Help please! Bad credit

LittleStepsFirst

CannyJock wrote: »

Because it's an industry standard way of comparing products? Try wikipedia, it'll explain why APR was invented.



You sound to me like a a thinly disguised sales person for a payday loan company.

If you read the OP, you'll see that we're not only ridiculing the finance costs of a payday loan, but also their reasons for considering one - given this is a money saving/making forum.

Afraid you're wrong on the sales person front, and tbh it's a bit offensive to me that you put that there.

I'm in the same boat as many others on here, albeit my debt is only in the thousands rather than the tens or hundreds of thousands. I'm also getting through it as best as I can and don't envy those who aren't.

You seem to have skilfully evaded the entire point of my post in that quoting short term loan APR rates gives credence to long term loan sharkers like Black Horse - giving out 50% APR loans rather than rejecting people.

Giving repayment figures rather than saying "OMG 1000% APR!!!" will get the point across to those who are considering short term loans better than any percentage figure in the thousands. Most people don't know or don't care what that means.

In my example, paying back £44 for the chance of borrowing £100 would show how these loans operate. For you saying "it's 1000%+ apr" means nothing, it means that if they kept the loan open for the whole 52 weeks and paid absolutely nothing off it, they would end up paying back £1,310,463.09 @ 20% interest compounding per week. Even paying a token £10/week would still leave the total payable after 52 weeks as being £655,281.55

APR on short term loans makes about as much sense as quoting £1m+ payback. It's not how they work and it is scaremongering. Making people understand just how much of the brown stuff they'd get into by utilising them will go much further into dampening their "attraction" to some.

ElkyElky

The OP sounds like a very stupid and foolish individual. He obviously lacks in money common sense and the only way people like him will learn is by facing the hard reality of debt troubles.

I say.. go for the loan. No doubt in the future, he'll learn a valuable lesson (albeit a harsh one) from this experience if he gets himself in to trouble.

mkhan_2

lolat wrote: »

I need a credit card or loan, i earn enough money - £21500 pa, but my credit rating is awful. I've had a CCJ in the past. Has anyone been in this situation? what did you do?
I can pay the cash back in July/August. I need max £1000

Please help!

I see so much earning but in bad credit. your earning here is 100 time more than our earning. If we have only 1000 pound per month we have a superb credit.

CannyJock

LittleStepsFirst wrote: »

Afraid you're wrong on the sales person front, and tbh it's a bit offensive to me that you put that there.

The rest of your reply makes you sound even more like one IMO - sorry if you find that offensive.

LittleStepsFirst wrote: »

You seem to have skilfully evaded the entire point of my post in that quoting short term loan APR rates gives credence to long term loan sharkers like Black Horse - giving out 50% APR loans rather than rejecting people.

Thanks for the skillful evasion part, I'll take that as a compliment, although I wasn't trying to evade anything.

I doubt anybody who can do the maths would say that 50% APR on a loan is acceptable, and I do agree that any time I'm explaining "good" and "bad" credit to people I always point out the total amount they repay. If you want to sell finance, you talk up the small numbers "it's the price of a daily newspaper". If you want to buy finance you need to look at the big numbers "what's the total amount I repay".

Saying APR isn't fair is the standard line that payday sales people take - if you're in any doubt look at any of their websites. The fact that it's such a large percentage is very useful - it should make people stop and think for a second that this is "expensive" borrowing - which it is

The fact remains that they are aimed squarely at the sub-prime market and exploit people who can least afford it and don't understand how bad a deal it is. In previous generations, it was "the Provi man" who provided this legalised loan-sharking. Nowadays, it's much more accessible via the internet and you retain your anonymity as nobody comes round the door each week to collect your payments.

Someone who can't afford £200 can't afford £288 in 2 weeks time. And I'll repeat again, that there's no way that the OP we're all replying to should consider it for a bloody festival when they are already overdrawn at the bank of mum and dad.

LittleStepsFirst

CannyJock wrote: »

The rest of your reply makes you sound even more like one IMO - sorry if you find that offensive.



Thanks for the skillful evasion part, I'll take that as a compliment, although I wasn't trying to evade anything.

I doubt anybody who can do the maths would say that 50% APR on a loan is acceptable, and I do agree that any time I'm explaining "good" and "bad" credit to people I always point out the total amount they repay. If you want to sell finance, you talk up the small numbers "it's the price of a daily newspaper". If you want to buy finance you need to look at the big numbers "what's the total amount I repay".

Saying APR isn't fair is the standard line that payday sales people take - if you're in any doubt look at any of their websites. The fact that it's such a large percentage is very useful - it should make people stop and think for a second that this is "expensive" borrowing - which it is

The fact remains that they are aimed squarely at the sub-prime market and exploit people who can least afford it and don't understand how bad a deal it is. In previous generations, it was "the Provi man" who provided this legalised loan-sharking. Nowadays, it's much more accessible via the internet and you retain your anonymity as nobody comes round the door each week to collect your payments.

Someone who can't afford £200 can't afford £288 in 2 weeks time. And I'll repeat again, that there's no way that the OP we're all replying to should consider it for a bloody festival when they are already overdrawn at the bank of mum and dad.

So by your reckoning I'm a hawker of payday loans because I say "don't look at the APR, but look at how much it is going to cost you" - that's a bit stupid considering they both ultimately end in the same outcome, whoever signs up for it either pays through the nose, or pays through the nose.

I think it's funny that you are calling me out on something that I've in a roundabout way agreed with you. I never said the OP should get a pay day loan, far from it - I said that scare stories of huge APR are only relevant to those borrowing a short term loan over a long period of time, and those who do must be turned up to full 101% retard. The payday loan companies give money to anyone who asks because they don't care.

As for anyone who can do maths would realise 50% apr on a loan is unreasonable, why do so many people go for pay day loans in that regard (and get into so much trouble with them)

Like any borrowing, if it goes unchecked it spirals out of control. For what the OP is talking about, and the way the OP is talking - I agree with an earlier poster saying "take the loan and find out how much crap you get into" but that's just me - I've learned the hard way financially and I'm only just starting to get myself sorted as it is.

This really is a pointless argument, that has no relevance to the OP. If he wants £1k fast he either sees the parents, has some very understanding friends, sells his car, consults a payday loan shark or goes to see the local "money lender" at the pub. Of the lot of the finance options, one would possibly involve the loss of kneecaps if he defaulted, the other would involve the loss of a worthwhile credit history, the final one would alienate family and friends...

OP - your move.

Its-A-New-Age-Thing

CannyJock wrote: »

The rest of your reply makes you sound even more like one IMO - sorry if you find that offensive.



Thanks for the skillful evasion part, I'll take that as a compliment, although I wasn't trying to evade anything.

I doubt anybody who can do the maths would say that 50% APR on a loan is acceptable, and I do agree that any time I'm explaining "good" and "bad" credit to people I always point out the total amount they repay. If you want to sell finance, you talk up the small numbers "it's the price of a daily newspaper". If you want to buy finance you need to look at the big numbers "what's the total amount I repay".

Saying APR isn't fair is the standard line that payday sales people take - if you're in any doubt look at any of their websites. The fact that it's such a large percentage is very useful - it should make people stop and think for a second that this is "expensive" borrowing - which it is

The fact remains that they are aimed squarely at the sub-prime market and exploit people who can least afford it and don't understand how bad a deal it is. In previous generations, it was "the Provi man" who provided this legalised loan-sharking. Nowadays, it's much more accessible via the internet and you retain your anonymity as nobody comes round the door each week to collect your payments.

Someone who can't afford £200 can't afford £288 in 2 weeks time. And I'll repeat again, that there's no way that the OP we're all replying to should consider it for a bloody festival when they are already overdrawn at the bank of mum and dad.

well said mate ive read ure posts UMPTEEN times, an u know ure stuff mate you get way to little credit in my opinion

Its-A-New-Age-Thing

LittleStepsFirst wrote: »

So by your reckoning I'm a hawker of payday loans because I say "don't look at the APR, but look at how much it is going to cost you" - that's a bit stupid considering they both ultimately end in the same outcome, whoever signs up for it either pays through the nose, or pays through the nose.

I think it's funny that you are calling me out on something that I've in a roundabout way agreed with you. I never said the OP should get a pay day loan, far from it - I said that scare stories of huge APR are only relevant to those borrowing a short term loan over a long period of time, and those who do must be turned up to full 101% retard. The payday loan companies give money to anyone who asks because they don't care.

As for anyone who can do maths would realise 50% apr on a loan is unreasonable, why do so many people go for pay day loans in that regard (and get into so much trouble with them)

Like any borrowing, if it goes unchecked it spirals out of control. For what the OP is talking about, and the way the OP is talking - I agree with an earlier poster saying "take the loan and find out how much crap you get into" but that's just me - I've learned the hard way financially and I'm only just starting to get myself sorted as it is.

This really is a pointless argument, that has no relevance to the OP. If he wants £1k fast he either sees the parents, has some very understanding friends, sells his car, consults a payday loan shark or goes to see the local "money lender" at the pub. Of the lot of the finance options, one would possibly involve the loss of kneecaps if he defaulted, the other would involve the loss of a worthwhile credit history, the final one would alienate family and friends...

OP - your move.

as for yourself and pointless arguments...... its kinda yeah an kinda no.......... its JUST "OPINIONS" and theres RIGHT in both comments..........

ANYWAYS hows that add go "HAPPINESS IS A CIGAR CALLED HAMLET"

RIGHT whos buyin im SKINT................

:A

sometimes its more about NEED.............i want so f!k it FREEWILL an all that you know

jimbms

Its-A-New-Age-Thing wrote: »

as for yourself and pointless arguments...... its kinda yeah an kinda no.......... its JUST "OPINIONS" and theres RIGHT in both comments..........

ANYWAYS hows that add go "HAPPINESS IS A CIGAR CALLED HAMLET"

RIGHT whos buyin im SKINT................

:A

sometimes its more about NEED.............i want so f!k it FREEWILL an all that you know

Any chance of having a toke at whatever you're smoking