question regarding loans

bach230

I have a quick question for everyone regarding loans – I’m not that great when it comes to financial things etc but am able to take control of incomings/outgoings of all the accounts we have between my husband and I.

Basically my husband is a dreadful spender and has no regard at all for whether there is any money in our joint account or not, continuing to take money out of this account whether we are overdrawn or not.

Unfortunately things have come to a head recently as his employers underpaid him by around £300 and refused to pay him this money until his next wage was due. This caused us dreadful problems as we were then incredibly overdrawn. (He gets paid around the 14th day of the month and I get paid around the end of the month). My wages however are not substantial enough to cover the first of the month’s bills and tend to pay off most of a heavy overdraft before they can even touch the first of the month’s bills. This situation has just been getting worse and worse and there seems to be no way around it.

Our bank have recently written to all its customers saying that from the 6th December for every day it’s customers with an overdraft of around £1500 use this overdraft, they will charge £1 a day. Ok this isn’t a lot but for us it’s probably going to make a huge difference as currently we are overdrawn nearly every day of the month.

I have been to see an advisor at the bank and informed him that my husband has been looking at a loan for £10,000 as he wants to get himself a motorbike – he does not drive/ride due to epilepsy but has now been clear of any fits for 2 years and as he has to rely on everyone else taking him places, he wants his own transport. The advisor has said that this would be fine and would sort us out for this new charge but unfortunately we have been declined.

My husband probably has a worse credit rating than me as I have never been in debt before so we assume this is the reason for us not being accepted for this loan (he applied for the loan in joint names) but we really do need to get something sorted asap.

I currently have a £3000 loan over 3 years with Asda for my new car which I have thought about extending over 4/5 years to £6000 but my husband is looking into other ways himself and has now been suggesting that we may only be able to get a secured loan rather than unsecured but he has mentioned something about a secured loan being against your house!! It took us long enough to get our house in the first place and we don’t even own all of it, we are shared ownership so if this is what a secured loan is I’d rather leave this well alone.

If I have a better credit rating is it better for me to just apply for more money on top of my current Asda loan or are there any other solutions that people know of?

Thanks, Nat x

davetrousers

A £10,000 motorbike is a Brand new Fireblade!

Does he need a 170+ mph superbike?

CHR15

bach230 wrote: »

but unfortunately we have been declined.

Surely you mean FORtunately you were declined.

Jeez... £10k on a motorbike! and if it's his first bike he probably won't be around long enough to enjoy it!!

Asking for a loan in your circumstances is nothing short of financial suicide!!!

jennihen

I think its time you sat down with OH and got real. Its time to get real and think about where you both want to be, financialy speaking, say 5 years down the line. How do you feel being responsible for the finances? Is it stressful having a partner who is effectively undermining you by spending money that isnit in the bank? Does it cause rows or resentment or bad feeling. How will you manage with a HUGE loan if there was another payday blip at work?
Its unlikely that either of you would get a loan of this size at this time which is probably a good thing. A £10 000 bike is quite honestly a lifetime's dream not something we can have just because we want it.
I only say this because my marriage ended in similar circumstances to these.
Good luck
JH

bach230

My husband wouldn't be spending the whole 10k on a bike for himself. That amount was for the bike, all the accessories and to help the account (which he reckoned would be around a couple of grand).

I don't mind being responsible for the finances but when my husband is, as you say, undermining me by constantly spending money that isn't there it is incredibly frustrating and does cause arguments. My mum is constantly helping me out by talking to him and occasionally helping out with money too - both she and my dad just paid for my car to be fixed (£210) which i will be giving them some money back for out of my ISA savings.

He's just gone and applied for yet another loan, without telling me i might add, which he has been declined for again. He thinks it is possibly to do with us both starting new jobs in April this year, i have just had to take a loan out for £3000 for my new car (this was a necessity as my last car was on its way out) and he has a student loan for a course that he's doing. I do however wonder whether it is literally just him that is causing the requests to be declined as my credit rating is fairly good, as far as i am aware, and obviously i have just managed to get a £3000 loan so why should my details be helping to get us declined all the time?