APR Rate good or bad?

Needaloanquick

Hello Again,

Is 24.9 %APR good or bad for a Personal Loan (Lloyds TSB) - £6500 over 48 months?

Golfoneliners

It's horrific!

somethingcorporate

Depends on your history of managing credit. If you are a bankrupt or on a DMP then it could be brilliant. If you have a good credit history then it's terrible.

Tixy

Yep as SC says - it depends on your situation, if you have no existing credit history at all it could be very hard to beat that, same if you have defaults or CCJs on your credit file.

If you have a clean credit history, low existing debt compared to your income and a medium to high income - then I'd be questioning why it was that high.

Needaloanquick

I have a Fair Credit rating - score of 804.... medium income - above £40K - no CCJ's or default...only been with bank for 17months though

Tixy

What credit history do you have? have you had loans or credit cards before?
Don't put too much concern into the score - but as its only a fair score, and not excelled - do you have missed payments? or been over the limit on accounts etc?

Is lloyds your current bank?

KingElvis

That's a pretty nasty rate to be honest............

Needaloanquick

no loans..just 1 credit card....no missed payments and have never been over the limit...have only been in UK for 2 years too.

Yes Lloyds is current bank

Tixy

I'd guess the reason for the rate is probably the length of time you've been in the UK, you would probably be find quite a lot of lenders won't lend at all if you've been UK resident for less than 3years (not that I'm suggesting shopping around lots of places).

If you do decide on the loan, even at this high rate, have you tried contacting them to ask if they will reduce the rate at all? I know it sounds odd but some people have found with certain loan providers that they can get a small reduction this way.

Kira000

Needaloanquick wrote: »

Hello Again,

Is 24.9 %APR good or bad for a Personal Loan (Lloyds TSB) - £6500 over 48 months?

TBH, that is blinkin awful! I'm with LTSB, and have had 2 loans with them, most recently taken last summer, for ever so slightly more than yours, and got around 13%. Obv everyone circumstances are different, but based on what you've said about your finances, and what i know of mine, the difference between our two rates, is extreme in a way that our circumstances arent!

tell_it_how_it_is

Over four years you're talking paying back over £10k, so is whatever you need it for worth it? I wouldn't be up for accepting such a deal myself.