Can I apply for two loans at once?

lucylearner

Hello,

I need to borrow a lump sum of £23,000. Sainsburys advertise they will loan this much over 5 years for 8.3% APR.

But Sainsburys and A&L advertise loans of £7,500-15,000 for rates of 6.8% or 6.9%.

Should I borrow it all in one go, or can I apply for two £11,500 loans from two different loan providers at the same time to get the lower rates?

Cheers!

chalkie99

You can apply for as many as you like - getting them will be an entirely different matter, especially at the headline rates you mention.

Only 51% of loans actually granted will qualify for those rates, so much less than half of all loans applied for.

You will need squeaky clean history and a very large wage with steady employment history to get the amount you are looking for.

Apples2

How sure are you that you will magically hit that 51% of successful applicants and get the advertised rate... not once... but twice in a row??

lucylearner

Not at all! Thank you for the info, I didn't know they don't bother with the rates they advertise.

Apples2

lucylearner wrote: »

I didn't know they don't bother with the rates they advertise.

Are you serious?

If so, you really need to take some advice from someone with more financial awareness before attempting to obtain such a huge loan.

Tixy

They do bother with the rates they advertise - they give that rate to 51% of successful applicants. Other people who are accepted will be offered a higher rate and many many more people will be refused a loan altogether.

To borrow that sort of some over 1 or 2 loans you would need a high income, a near perfect credit history and be able to demonstrate and convince the bank(s) that you can afford to repay the loans.

bm144

we were told today that we can't have a loan of 6.9% over 5 years only over 4 with A &L does that sound right?

hcb42

what are you borrowing the money for

Tixy

bm144 wrote: »

we were told today that we can't have a loan of 6.9% over 5 years only over 4 with A &L does that sound right?

If that is the basis A&L are prepared to lend to you on then that would be right. Their money, they get to choose what loans the offer on what terms.

ashaput

that would depend on your income. if you are able to earn big money each month, you are okay to go for Sainsburys and A&L. you should double the interest if you take them both, and of course this will ask you to spend more money each month. that would be different if you take the Sainsburys with that 8.3%. if i were you i would go for the only Sainsburys. but again, it depends on your monthly income.

steve1980

Why don't you try Zopa?