Abbey Loan advice

clarkey_2

Hi,

Decided I'd apply for an abbey loan thinking I'd get the 5.8% rate as my credit history is good. Got offered 14.9% and I was suprised to say the least. Turns out I'm not on the voters roll according to experian *eek*. I'm investigating to see whats going on. But anywho, I was wanting to move it off my Abbey CC which MBNA had increased the rate from 17.9 to 27.9 in june(????). I didn't realise and wasn't being a very good MSE. Abbey have hence moved it down to 25.9 and the advisor suggested I write to complaints.

Anywho, I'm realising subsequent applications for credit might not be a good idea just now. (I've had an HP 0% for lifetime of agreement accepted on a TV after my old one blew up).

What I'm trying to get my head round is the way early settlement figures are calculated now. Would I be right in thinking it makes sense to take the loan, try and get a better rate in say 5 months with another provider (insuring I'm on the register) and settling my existing abbey loan? Is there any websites that have these types of calculators?

Thanks in advance

Clarkey

Xbigman

It is not a good idea to switch loans around. Many loans have penalties for repaying early and all the applications and loan details clogging up your credit records will knock down your credit rating.

First thing is to get on the electoral roll.

Second thing is to go for a 0% credit card and balance transfer to it, then start paying it off. Switching CC debt to loans cuts down on the one thing that CC's are good at, thats flexibility. Its also a case that a high percentage of people who take loans to clear credit cards then run them up again. If you can't get a 0% CC then try again for a loan in 6 months but afterwards either cut up the CC or drasticly reduce the limits to avoid running it up again.
Regards


X

MikeAndHisLovelyPlant

I popped in to my local Abbey, removed all of their mortgage brochures (there were quite a lot!) and replaced them with a piece of paper saying
"I was ripped off by Cahoot (owned by Abbey)".

This was very childish of me but I felt so much better.

I think I'll do it again, you should try it.

Mike

MikeAndHisLovelyPlant

oops, wrong thread - meant to be in
http://forums.moneysavingexpert.com/showthread.html?t=320404&page=3
but you should probably read that thread if you're reading this one anyway

Mike