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secured loan for hopeless case

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hopeless_case_2
hopeless_case_2 Posts: 546 Forumite
in Loans
i have been offered a secured loan for £37000 over 10 years with 12.5% interest this is with i group not got a good cr rating. dont know what to do as wanted unsecured but does not look like i will get it.Any advice out there?
Make £11,000 in 2011 / ebay £600
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  • savvykaz
    savvykaz Posts: 890 Forumite
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    That's a very high rate - do you know how much interest you will pay over the 10 yrs?
    DMP starts June 2012, £38,180.

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  • GirlRacer_2
    GirlRacer_2 Posts: 3,026 Forumite
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    Post your SOA and let the good folks on here look it over and advise accordingly.
  • hopeless_case_2
    hopeless_case_2 Posts: 546 Forumite
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    what is an soa? i know it is a high interest rate but wherewill i get a lower one?
    Make £11,000 in 2011 / ebay £600
  • artic_fox_2
    artic_fox_2 Posts: 253 Forumite
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    an SOA is a statement of affairs look at the sticky by southernscouser
    i have an intermittant connection so sorry if i dont reply straight away
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  • hopeless_case_2
    hopeless_case_2 Posts: 546 Forumite
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    well i already got a secured loan for £18000 and need a £20000 loan for my business so they will only consolidate the first loan in with the second.what i asked was where will i getunsecured loan?
    Make £11,000 in 2011 / ebay £600
  • nearlyrich
    nearlyrich Posts: 13,698 Forumite
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    hopeless_case wrote:
    well i already got a secured loan for £18000 and need a £20000 loan for my business so they will only consolidate the first loan in with the second.what i asked was where will i getunsecured loan?

    If you want a loan I can move your post to the loan board.
    Free impartial debt advice from: National Debtline or Stepchange[/CENTER]
  • hopeless_case_2
    hopeless_case_2 Posts: 546 Forumite
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    can someone do this asap please need to make a decision today
    Make £11,000 in 2011 / ebay £600
  • mjdh1957
    mjdh1957 Posts: 657 Forumite
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    hopeless_case wrote:
    can someone do this asap please need to make a decision today


    You're not giving a lot of information for people to advise you.

    What is the loan for?

    You say you have another secured loan, what is your total debt and what APRs are you paying?

    How much will the payments for the new loan be and can you afford them?

    If it's to pay off more debt, have you changed your spending habits so you won't get into further debt?

    Could you spend less and not take a loan but make do with the debt you already have?
    Retired in 2015.
    Moved to Ireland September 2017
  • hopeless_case_2
    hopeless_case_2 Posts: 546 Forumite
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    Right i have afranchise and i owe the franchisor £16000 which they want asap or will chase me legally. They have been very patient with me until now.
    Well i have a £97000 mortgage and a £18000 secured loan.
    5.45% and 13% respectively. i have been ofered another unsecured loan but it is 12.5% and it will have to repay the £18000 and so i will have a £37000 secured loan. it is with group and not what i want to do but dont know if i have much choice.Can you help?
    By the way my businees loan is finished next month at £300 per month and in April my car loan of £275 is paid so i can afford repayments.
    Make £11,000 in 2011 / ebay £600
  • mjdh1957
    mjdh1957 Posts: 657 Forumite
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    Personally, I would do anything to avoid putting this onto a secured loan.

    Can you offer to pay the franchisor in instalments, using the money you will have from finishing the other loans?

    Couldnt you budget to pay the franchising fee out of income from the business?

    If I were you, I would approach CCCS or PayPlan to see if you can work out a Debt Management Plan with them. Getting another loan seems like one step too far.
    Retired in 2015.
    Moved to Ireland September 2017
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