Credit rating?

Lirin

I have never had a loan etc before. My partner and I are applying for one now, and I know it's all speculation until then, but wondering how likely we will get it.

The loan is to cover debt on two credit cards- he was divorced years ago, and this is the end result, there's 10,000 left roughly to pay off on two cards. I'm paying off one card for him, and paying in 700-800 odd every month, which leaves us tight enough, but it's doable.

I have no debt, one credit card, no hire/pruchase or finance agreements, two things worry me about my situation. I went over on my credit card by £20 a few months ago- my fault, forgot to bring the debit card out when refuelling, and forgot the balance- and it was resolved in a day. I was made redundant in 2007 after a lot of messing around from previous employers, and there's a 3-4 month period where my account shows bounced cheques, overdrawn, etc, until I got it resolved.

My partner and I are joint on the mortgage, and he's had a couple of loans before- none within last 5-6 years (again, spawned from divorce). He's never defaulted on a payment, and also has no hire/purchase.

My reason for asking for a loan- a joint one- is to allow us to repay the debt faster at a lower interest rate than the cards. It would also allow me to begin saving properly. I have no idea about credit ratings, considering I'm always on time with payments, never been made bankrupt etc, does that mean I have a good one?

I know it's all really speculation, but I've never asked for a loan before. What do you think my chances are?

BugsyBrowne

Lirin wrote: »

I have never had a loan etc before. My partner and I are applying for one now, and I know it's all speculation until then, but wondering how likely we will get it.

The loan is to cover debt on two credit cards- he was divorced years ago, and this is the end result, there's 10,000 left roughly to pay off on two cards. I'm paying off one card for him, and paying in 700-800 odd every month, which leaves us tight enough, but it's doable.

I have no debt, one credit card, no hire/pruchase or finance agreements, two things worry me about my situation. I went over on my credit card by £20 a few months ago- my fault, forgot to bring the debit card out when refuelling, and forgot the balance- and it was resolved in a day. I was made redundant in 2007 after a lot of messing around from previous employers, and there's a 3-4 month period where my account shows bounced cheques, overdrawn, etc, until I got it resolved.

My partner and I are joint on the mortgage, and he's had a couple of loans before- none within last 5-6 years (again, spawned from divorce). He's never defaulted on a payment, and also has no hire/purchase.

My reason for asking for a loan- a joint one- is to allow us to repay the debt faster at a lower interest rate than the cards. It would also allow me to begin saving properly. I have no idea about credit ratings, considering I'm always on time with payments, never been made bankrupt etc, does that mean I have a good one?

I know it's all really speculation, but I've never asked for a loan before. What do you think my chances are?

Well I think you should look at your credit report first before applying for anything.
Experian do a free 30day trial,both of you look through that and look to see if everything is in place.
Lenders do like stability when lending so a proven history would be a definite with the size of the loan you want.
The lender will check both your credit reports as you are financially associated as well.
Your best bet would be your bank as they will see how you manage money,and if they turn you down then you may have a bit of trouble finding a decent loan.