Loan or Credit Cards

Gemmzie

We have 7k minimum due to us within 6-18 months but need £6k by Christmas to exchange contracts on a house.

Is it worth taking out a loan of £8k and using the extra £2k to make the monthly payments and then making the payments ourselves before early settling the loan?
Or is this better done by tarting credit cards?

jonesMUFCforever

It's not clear from what you have written - are you looking to use the loan as a deposit to exchange ie you don't actually have a deposit?

If so many banks will not lend to you on a personal loan if it is to be used as a property deposit.

Gemmzie

In a roundabout way, yes. The loan would be in my mum's nam and she would give me the money to use as our deposit temporarily.

CHR15

You'll be lucky to get a 0% card with such a high limit, normally only a couple of £k at most but worth looking into.
The last time I got a 0% card I didn't even find out my limit until I received the card (£3k) which was well before the crunch (my credit file is unblemished).

It would be worth ensuring you have a backup plan if this sale/purchase falls through and you still have to keep up the repayments.

Gemmzie

We have cards with enough of a limit so just need to tart around a bit to get LOB or 0%

If the purchase falls through, then we still have the £7k to come - it's guaranteed.