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geting a loan

ive been over my overdraft a few times im with hsbc - will this affect me getting an loan...
Learning to keep within budgets !

:money:

Comments

  • dealer_wins
    dealer_wins Posts: 7,334 Forumite
    It will affect both your chances of getting a loan, and the rate you may be offered.
  • maginot
    maginot Posts: 484 Forumite
    Part of the Furniture Combo Breaker
    Yes, you will be considered higher risk and more likely to default as you have been unable to meet current obligations.
    This could lead to not being offered a loan to having to pay a much higher interest rate if you do get one.
  • how much time will it take before this goes away? ie , if i dont go over it for 3 months or 6 months
    Learning to keep within budgets !

    :money:
  • No-one but HSBC can tell you that and they won't even if you ask. The longer away it was the less it will matter.

    I would say at least 12 months but probably more before it has minimal impact. You are a credit risk and HSBC will price accordingly (or not at all).
    Thinking critically since 1996....
  • bengalknights
    bengalknights Posts: 5,021 Forumite
    Part of the Furniture 1,000 Posts
    Yes it will have a detrimental effect on your credit worthiness, you may find only sub prime lenders willing to offer you a loan.
  • thanks for your help guys x
    Learning to keep within budgets !

    :money:
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