what about this scenario please

johnwey

skintandscared wrote: »

So the house will need £53k to modernise it. You have £30k cash and £25k available credit on existing cards. Why do you need a further loan?

because one credit card the 10k limit one will give me 12 month interest free cash withdrawel , with a 2% charge for this

the 15k limit one isnt offering this incentive and if I put 15k onto it the interest is about 20% per year

unless anyone can think of a way to utilise the 15k limit I will then need a 15k loan

skintandscared_2

But will you need the £53k all in one go? Maybe the cash will do until the purchase has gone through and you can apply for a loan without it affecting your mortgage offer? And if you don't get the loan approved, at least you have the £15k card to fall back on? It's not like the loan would be interest-free anyway is it.

KingElvis

Yep I was wondering if the house could be done up in stages?

johnwey

skintandscared wrote: »

But will you need the £53k all in one go? Maybe the cash will do until the purchase has gone through and you can apply for a loan without it affecting your mortgage offer? And if you don't get the loan approved, at least you have the £15k card to fall back on? It's not like the loan would be interest-free anyway is it.

I think the best thing I can do is wait until the mortgage has gone through and the house is ours before applying for the loan

johnwey

KingElvis wrote: »

Yep I was wondering if the house could be done up in stages?

We wont live in the house with a small child as its just too grotty . so we intend to have all the work done in one hit after we own it . needs an extension and refurb . probably take 3/4 months

just hope the loan goes through after we own the house

KingElvis

johnwey wrote: »

We wont live in the house with a small child as its just too grotty . so we intend to have all the work done in one hit after we own it . needs an extension and refurb . probably take 3/4 months

just hope the loan goes through after we own the house

Good luck, I had no probs getting new cards and the other credit I needed recently after our new mortgage had gone through.....I applied on the day of completion and got good limits etc

skintandscared_2

johnwey wrote: »

We wont live in the house with a small child as its just too grotty . so we intend to have all the work done in one hit after we own it . needs an extension and refurb . probably take 3/4 months

just hope the loan goes through after we own the house

Well a good builder will only want a deposit up-front and possibly something towards materials. There should be plenty of time to get the loan secured after completion and before the final payment is needed on the works. I've watched Cowboy Builders enough to know never to pay the whole price up-front and make sure you get a written contract with the builder!!

johnwey

skintandscared wrote: »

Well a good builder will only want a deposit up-front and possibly something towards materials. There should be plenty of time to get the loan secured after completion and before the final payment is needed on the works. I've watched Cowboy Builders enough to know never to pay the whole price up-front and make sure you get a written contract with the builder!!

I aggree with you , but can you imagine geting most of the work done and then you cant get the loan to pay the builder

redpete

johnwey wrote: »

Do you reckon there is any way we could get refused the loan and credit card loan ? we already have mortgage offer in place and before you ask they will not lend us anymore , im self employed etc

Thoughts please and thankyou

You've been told that the mortgage lender won't offer you any more than 60% LTV for a loan that is secured on the house because the risk of you not being able to afford the repayments is too high.

I think the chances of someone else offering you an unsecured loan after you've taken on the mortgage are slim.

skintandscared_2

johnwey wrote: »

I aggree with you , but can you imagine geting most of the work done and then you cant get the loan to pay the builder

Well then you would just have to use the credit card that you'd prefer not to? Or even use that card to buy the materials and, if you DO get the loan, pay the card off with part of the loan?