my chances??

marginex

Hey everyone,

Im looking to get a loan later this year for about £5000, now I know know one really knows but i thought if i gave some basic details about me they might be able to rate my chances?

Im 27, will be 28 in a few months, im self employed and earn 18k a year, i dont have any outstanding personel debts, no overdraft and no credit cards, i did have a small amount of debt about 9 years ago of about £2k and paid off after a few missed payment (being young etc) but since been good as gold, as I say no outstanding debts, i checked my experion record and I have a straight down the middle average credit rating which i guess was effected from those years ago of small missed payments, i rent but have lived at the same address for 8 years.

What do you think?

Thanks for any advice

Brett

Hax

Do you have any active credit agreements? If not, then you have no history for lenders to base their decision on. In such a case, trying to get the loan through your own bank would be the best option as you will at least have a history with them that shows that you receive monthly salary payments into your account and have sufficient left over to support the loan repayments (assuming that you don't blow all of your wages each and every month).

CLAPTON

your credit rating means nothing at all

you need to look at your credit records and see what they say... if your missed payments were more than 6 years ago they wouldn't show up.
do your records show you being on the electoral roll at that address?

without any credit showing you will struggle to get credit at a good rate as your credit record will show no history of managing credit well (or at all)

on your salary 5k is quite a large amount to borrow; are you sure you can afford to repay the debt? Presumably you have spare money each month to make the repayments ... do you currently save this spare money?

but if you must get a loan probably your bank is the first port of call

marginex

Thanks for the replies so far!

Yeah i realise ironically works against me not having any credit agreements in place, im surprised credit rating means nothing! But im no expert.

I take home between £1200/£1300 varies somewhat a little month to month, but my household/life bills come in at £500 as I live with my working fiancee, so i have £700/£800 spare each month. I save around £250 a month from that and still have some left over running in my account.

Brett

KingElvis

Probably not much chance unless you apply to your own bank and have a good relationship with them. Any overdraft chicanery, bounced direct debits or charges would but the brakes on that though.

With no recent history of credit agreements, you stand no chance with the likes of Tesco or Sainsburys

marginex

OK Thanks KingElvis!

I suppose it begs the question is how do you get back on the credit agreement ladder if they wont touch you unless you have recent history?? How does anyone new start out?

But I appreciate what your saying!

tommy8721

You're asking for ~25% of your gross earning even more % of your net earning. It seems unlikely that you will get 5000 regardless if you have been good as gold over the past few years.

CLAPTON

marginex wrote: »

OK Thanks KingElvis!

I suppose it begs the question is how do you get back on the credit agreement ladder if they wont touch you unless you have recent history?? How does anyone new start out?

But I appreciate what your saying!

whyever do you want to get back on the credit agreement ladder?
why do you actually want to pay all that interest rather than spend it on your family?

maybe think save first, then spend ; you seem to have some disposable income so that should be feasible


however if you are determined to waste money then best way of building a credit history is to get a credit card (any will do), use it regularly for things you anyway buy and then pay in full each and every month without fail.

nomoneytoday

I reckon the odds are 50/50.
They will say yes or no

mo786uk

nomoneytoday wrote: »

I reckon the odds are 50/50.
They will say yes or no

i think you need a logic check there as the odds of them saying no are probably higher than them saying yes

OP - I got a loan of £12,000 when I was earning around £16,000 at 24 years old. That was a special deal for people that had graduated within the last 3 years though and I believe they took risk into account far less than they would for a normal person.

This was back in around 2008.

marginex

Thanks everyone, ill let you know how I get on!

Just for reference Clapton im not seeking to get back on the credit agreement ladder, its just even with my income etc, I would not be able to save nearly enough in the time frame I have been given so its one of these situations that people face and have to seek help.

Thanks for the comments.

Brett