Impossible to get a Loan???

bovrilbadboy

Hi,

I have a poor credit history from 2-3 years ago and untill 6 months ago, had never really earned over £26,000.

I've always lived in my overdraft and twice been unemployed for 3-6 months over the last 5 years.

I know how the traceability factor works but I find it hard to believe a person who is now earning £40,000 a year, is struggling to get a £7,000 loan for a motorcycle.

I've moved a lot and only owe on my overdraft.

I'm currently not on the electoral role, does that make a big difference?

I'm with Experian and closely watch what's going on but I just find this all crazy considering I took out a loan unemployed in 2005(paid off 2008) yet I can't find anything now!!!

I got accepted for a car loan for the same amount which I didn't take on(my birthday present to myself was newish car or bike, bike won) but nothing for bikes.

Give up hope and ride push bikes instead???

I don't know what answer I'm looking for but I'm gobsmacked that I can't find anything.

[Deleted User]

I'm not surprised it's adding up to a big fat no -

poor history (I assume you mean missed payments and so on?)
short time in job
not on electoral roll
living in overdraft

You're going to need to get clean and stay that way for a while by the looks of it before anyone will touch you. It's not 2005 anymore, I'm afraid....

Tixy

Yes it makes a very big difference if you are not on the electoral roll.

What is on your file that you define as a poor credit history from 2-3 years ago?
If you've got defaults or CCJs on file then your chance of a loan of that size is very low. If its a few missed payments then thats perhaps not insurmountable, but the apr you'd be charged might be high.

How much do you owe on your overdraft? unfortunately living within your overdraft to a lender looks like you cannot manage on your income (and so would think you couldn't afford loan repayments).

Sounds like you've tried a few places - how many applications have you made recently (last few months)?

bovrilbadboy

I owe £2000 on overdraft which will be paid off in 3 months.

I missed payments from 5 years ago from a loan but it was paid off in full 2008, no CCJs.

I've tried about 3-4 places in the last 48 hours.

Sounds like I need 6 months of being boring and clearing everything first.

ReadingTim

It sounds like you're a riskier customer than the banks would ideally like (for the reasons outlined above), plus you're asking for a loan for a fairly risky activity - riding a motorbike.

(Not having a go at bikers, but 2004 Dept of Transport figures suggest they have 16 times the rate of serious injuries per 100 million vehicle kilometers compared to cars, and a loan provider has to factor that in...)

If you were accepted for a car loan, perhaps some of the bike mags (MCN etc) may have adverts for specialist bike finance providers...? Could be worth a try...

flutterby_lil

bovrilbadboy wrote: »

I owe £2000 on overdraft which will be paid off in 3 months.

I missed payments from 5 years ago from a loan but it was paid off in full 2008, no CCJs.

I've tried about 3-4 places in the last 48 hours.

Sounds like I need 6 months of being boring and clearing everything first.

You need to stop applyinh now as too many searches also looks bad in such a short space of time.

If you earn so much can you not save for a few months to buy it outright after you have paid the overdraft off?

bovrilbadboy

ReadingTim wrote: »

It sounds like you're a riskier customer than the banks would ideally like (for the reasons outlined above), plus you're asking for a loan for a fairly risky activity - riding a motorbike.

(Not having a go at bikers, but 2004 Dept of Transport figures suggest they have 16 times the rate of serious injuries per 100 million vehicle kilometers compared to cars, and a loan provider has to factor that in...)

If you were accepted for a car loan, perhaps some of the bike mags (MCN etc) may have adverts for specialist bike finance providers...? Could be worth a try...

If bike's are so dangerous, why are they half the price of insurance compared to a car, if not cheaper?

Last year it was majorly cheaper to insure a standard sports bike that does 190mph compared to a Renault Clio 1.4!

Good idea about the magazines though. :-)

bovrilbadboy

flutterby_lil wrote: »

You need to stop applyinh now as too many searches also looks bad in such a short space of time.

If you earn so much can you not save for a few months to buy it outright after you have paid the overdraft off?

I take home £2500 pcm, out of my outgoings, I can save £1100, to pay off my overdraft and pay for the bike I want outright would take me 9 months!

I can clear my debt, it's just sadly I thought it wouldn't be this much hassle to get a loan.

DCFC79

bovrilbadboy wrote: »

I owe £2000 on overdraft which will be paid off in 3 months.

I missed payments from 5 years ago from a loan but it was paid off in full 2008, no CCJs.

I've tried about 3-4 places in the last 48 hours.

Sounds like I need 6 months of being boring and clearing everything first.

Dont think the 3-4 searches in last 48 hours would have helped.

bbfc

As already mentioned, stop the applications as you've tried too many times in a short space of time. This makes you look desperate to lenders.

Coveredinbees!!!!

save up then it won't matter