Managed loan?

jlashcro

Hi all

New to the board and after a good browse of the site, think everyone's advice is so helpful so was wondering if you could throw some my way!

Typical student really...here's my debt line up: :eek:
- £10,500 Student Loans Co. (Not paying back yet as not earning over £15,000)
- £10,000 Post grad study loan (to fund Legal Practice Course)
- £1760 HSBC overdraft
- £750 Barclays overdraft
- £980 HSBC Credit Card
- £585 Barclaycard
- £800 catalogues etc

Just got off the phone with a guy from HSBC who has suggested I try for a managed loan to pool my HSBC credit card and overdraft together and pay off a single monthly payment. He didnt give me much more detail and am waiting to hear from their managed loan dept.

Are the payments going to be really high (am currently working only 12hours p.w and on JSA as only just finished uni and looking for full time work) ?
What rate of interest am i looking at?

Also my credit rating is currently set at poor :eek: 797/1000 - not planning on applying for any other credit but how long, if carry on making my regular payments with everything, am i looking at before my rating is bumped back up to fair?


Well sorry about the rant but glad to get everything off my chest! Hope you can help!

Thanks in advance

Jenni

Annie_Fanny

Well done on posting. Are you able to post a 'Statement of Affairs (SOA)' here so that we may be able to help you make some savings which could then may be be thrown at your debts? Have a look at this post by Southern Scouser on how to prepare an SOA:

http://forums.moneysavingexpert.com/....html?t=107280

Generally speaking those of us on this forum are not big fans of consolidation loans as they take a long long time to pay off and end up costing you a small fortune. I'm sure someone will be along later to show you the maths - it is scary how much additional money the banks can squeeze out of you!

Can you answer the following?

- £10,000 Post grad study loan (to fund Legal Practice Course) When do you need to start paying this off?
- £1760 HSBC overdraft - what is the apr - hopefully 0% - until what date?
- £750 Barclays overdraft - what is the apr - hopefully 0% - until what date?
- £980 HSBC Credit Card - what is the apr?- £585 Barclaycard
- what is the apr?- £800 catalogues etc - what do you mean etc? What are the aprs of the catalogues?

What payments are you making at the moment bearing in mind you work 12 hours a week and are on JSA? Can't believe the bank have offered you a loan - cheeky b*stards!!

With this info hopefully we will be able to help...

Good luck

Annie
xx

Annie

CLAPTON

could you add a little more detail

are you currently up to date with your minimum payments?

are you within your agreed overdraft limits?

what are the APRs of your current debts and what are the minimum monthly payments

when do you expect to get a fulltime job?

agree to nothing about a loan over the phone, just ask them to give you the details in writing.

Warriorsith

Can some please explain what a 'Managed Loan' is as I've never heard of one.

Thanks

beanielou

I dont think from what Ive heard that a managed loan is a good idea.
Someone will be along to give us more info soon

skystar

A managed loan is normally offered either if a customer has applied for a personal loan and been declined or if struggling with payments for existing borrowing.

Only HSBC borrowing can be included in the loan.

Rate is normally about 14% apr which is calculated daily and charged monthly.

Payments are usually what is affordable to the customer and can be reviewed at a later date.

Normally for at least the first twelve months no further borrowing is allowed i.e. overdrafts, loans, c/c's.

Any cards will be changed to a solo card.

Hope this helps