More Out than In

thaylock

The 6.5% figure I stated earlier is the interest rate charged by Northern rock on the load amount/term I specified, how do I know this ? I helped someone take out a loan recently with NR, that's how.

debt_free_chick, please refrain from being all high & mighty, I am also debt free but don't gloat about it, I think your comments aren't too encouraging to a person in debt. I would still speak to Northern Rock about a consolidation loan !

juno

The 6.5% figure I stated earlier is the interest rate charged by Northern rock on the load amount/term I specified, how do I know this ? I helped someone take out a loan recently with NR, that's how.

debt_free_chick, please refrain from being all high & mighty, I am also debt free but don't gloat about it, I think your comments aren't too encouraging to a person in debt. I would still speak to Northern Rock about a consolidation loan !

Yes, but did the person you helped have exactly the same credit history, salary etc as the OP?

And debt free chick, carry on helping! I've read quite a lot of your posts and I don't think you're at all high and mighty or gloating.

Debt_Free_Chick

The 6.5% figure I stated earlier is the interest rate charged by Northern rock on the load amount/term I specified, how do I know this ?  I helped someone take out a loan recently with NR, that's how.

Please ... look at the links I supplied, which are taken straight from the NR website. Not everyone will get this rate. NR will credit check each applicant and then say which rate they will offer. The OP has stated that he has a poor credit record, so his chances of getting a tip-top rate are low. There's no point in encouraging him to apply, as he may be refused.

debt_free_chick, please refrain from being all high & mighty, I am also debt free but don't gloat about it, I think your comments aren't too encouraging to a person in debt. I would still speak to Northern Rock about a consolidation loan !  

Please quote where I gloat and I will glady apologise and amend the post.

However, I have said nothing to suggest that I am happy about the OP's situation - and for the record, I'm not.

I've not always been Debt Free either, that's how I know a lot of this stuff ... all through my own painful experience.

I've tried to encourage the OP to tackle his debt - not simply swap one lot of debt for another. Eventually, it all has to be paid off.

I agree, lowering the interest rate would be one of a number of ways of tackling the debt, but he has a recent loan on which he's being charged 17%! That indicates, to those who know, that he is paying a premium for a sub-prime credit record .... so applying for more debt is highly unlikely to result in a lower rate and more than likely will result in a refusal.

If everyone was offered the best interest rates, then there would be no need for credit records. But bad payers pay more so good payers can pay less - it might not be fair, but it's the system. And in a way, it's no different to insurance. Both systems are about measuring risk. For loans, the lender assesses the risk that the borrower will default and a poor credit record can be a signal that they will be a bad payer. Despite what you say, lenders want good payers - they want their interest back .. every penny of it.

I don't know why you are so keen that the OP take out a loan with NR - are you on a commission?

If you have tackled your own debt too, then you know there is no easy way out. You just have to pay it back. If you can "shuffle" to get better rates, then great. But not everyone can.

And whilst we're looking at paying back loans, don't forget the good old Rule of 78 for calculating the interest rebate. And don't forget that many lenders charge 1 or more months' interest as a "penalty" to pay off early.

Finally, remember this is a public forum. Anything we post has to stand up to comment, correction and/or criticism. If you don't want that to apply, then you need to think about posting.

Regards

Optik_2

I wish to thank everyone for there replies.
Sorry if it nearly started a flame war ;D

So, I have worked out where I can cut down.
And i have £100 spare per month.

I also would like to transfer the barclays loan to someone else. 17% is too much.
As I have had this bank account for 9 years and that is the best interest rate they can offer I am looking elsewhere.

What do u think my chances of getting a lower rate would be with my credit rating?
I only reason I have bad credit is due to amount on credit searches - i think.
I have no reason to have bad credit.. with 2 loans always paid. i would think this is a good sign.

I will try phoning a loan company 2moro. But I don't want to make the same mistake as last time and apply for about 6 in 1 day to get the best rate and then realise I have 6 searches on my credit report..oops

if I can get the barclays payment down by half I will be sorted - £230 to about £120-150

CHEERS