Is My Credit Profile good enough for a loan?

jamierogan26

Hi Everyone.

I'm hoping i will get some great advice from the fantastic people in here. I will give as much info as i can to help.

Ok i have 1 loan with Nationwide. I have £4670 remaining from an original balance of £18k. I pay about £225 pm.

I have 2 credit cards. 1 with £2670 left and the second with £2821 left.

Ideally i would like to extend my Nationwide loan to pay off these 2 credit cards. I would therefore need to extend my loan up to just a touch over £10k. I would then just have 1 credit type of payment per month.

Ok i've checked my credit report before looking to take out the extended loan. I did it through Experian. Currently i have a score of 750. However in the last 3 months there are 3 missed payments logged on there. These are false and i have rang the relevant companies and they are going to amend my credit profile. So I expect my score to improve over the next week or so by how much i'm not sure.

Apart from that recent blemish my payment history is fine. In the last 6 months i have paid off 1 loan with hsbc and paid off a credit card so i expect this to have had a good effect.

The only bad thing i can see on my credit report is a did receive a default from three "3" the mobile provider from a miss understanding of a final unpaid bill. Stupidly it was only for £53 and i regret it alot now. Anyway that was in Feb 2009 and since then i haven't had any genuine missed payments or defaults etc.

I have been at my current address for 11 months and my address before i was there for 6 years. Both addresses are on my profile via electroll roll.

I work full time and earn around £40k per year.

So what advice do you have. Does it not matter what my score is if i still have that default on my file or is this not too bad since its over 12 months ago.

I'm just looking for some advice i don't want to apply if its a straight no as i don't want the search on my file.

So do i have a good chance? Also i should mention that i have been
paying my loan with nationwide for 5 years with no missed payments. The loan is/was over 7 years thats why i was thinking of going with nationwide first as i would have a better chance with them.

Over to you........

cos_2

As long as you get the three missed payments corrected I wouldn't see a problem raising a loan with Nationwide to cover the card amount. Make sure you check with Experian that the corrections have been effected before you apply.

sassy_one

The honest truth is, no one actually knows if you will be accepted.
The only way to find out is apply and see what their decision is.

Remember, points dont mean prizes, ignore the CRA's scores, they mean nothing.

Mara69

It depends on what you earn and how much credit you have available to you. What is the total balance on the credit cards and what are your earnings?

BugsyBrowne

At the moment you have a default on your report and 3 missed payments and youve got a 10k debt, even with the missed payments adjusted on your file I personally think its a big ask.

tell_it_how_it_is

You don't suggest what debt you have on your credit cards, only what you have available, but with the overall information you have given us, I suggest Bugsy sums up the likelihood quite well. I'd perhaps try Nationwide, but move onto Plan B if that doesn't work.

A suggestion? Maybe of equal or more benefit to you would be to do a statement of affairs and work out where your money is going each month. Earning £40k it seems, on the face of it, you're probably relying too heavily on loans and credit card spending.

jamierogan26

Tell it how it is......

What I have given as the credit card figures is the remaining amount. Both cards have a £5k limit and I do not use any credit for month to month living as a matter of fact. I do not use the cards at all.

I haven't had any new credit for over 2 years.

I want to consolidate those cards into 1 loan to save on intrest not because I can't afford the re payments.

It's as simple as that. If I had to I could quite easily carry on with paying things as they are but I wanted to see if I could do this cheaper and more smarter.

Thanks for your replys but I am not in any financial trouble just wanted to see if I could reduce my debt payments.

Jeez!

Jamie

BugsyBrowne

Jamie I would ring nationwide and see what they say.

zxspeccy

As has been said before there is no one that can give you a definitive answer on this.
This will be a new loan with increased borrowing so will probably be subject to credit checks and credit score. So the only way to find out is to apply and see what happens.
The bank will probably require some sort of income and expenditure figures to check if you can afford the new loan. You have to remember that you are asking your bank to take on debt from another lender, and a lot will depend on whether they wish to do this for you. Having said that the fact you have made all your previous loan repayments with them will go in your favour (as far as the credit scoring goes).
Unfortunately it is no uncommon thesedays for people to lie to their banks when applying for loans, and in this case they will only have your word that you will be repaying your cards with the extra borrowing. You could simple take the extra borrowing and go out on a spending spree (I am not saying you will of course).
If these are your main bankers and you wages have been going through them all this time you might even have a pre-approved loan limit already, meaning you are worrying about nothing.
I would say apply anyway and good luck, they worst they can do is say no and then you can perhaps look at other options.

tell_it_how_it_is

No need for exclamations, I'm only trying to help, and indeed mentioned asking Nationwide seemed the sensible first port of call.

It seems like there is £9k of debt from what you mention, on the two cards and one loan, but I wasn't for one minute suggesting you are in trouble. As you say in your reply you want to "do this cheaper and more smarter", and my later thoughts were intended to assist in that respect. Or so I thought!