Bad credit loan- soem advice please!

istdp1

Hello

Hoping someone may be able to help...

I am about to graduate from a degree in medicine- my first job starts as aDoctor in early august this year.

cut a long story short...it's in a different part of the country, so to help with the move, buy some furniture and general expenses, etc (I am renting andwill continue to do so- at least for the next few years) I applied for a £5,000 loan through my bank HSBC (a student account from day one and have had a good relationship with them). It was all fine and dandy and they approved the loan,then an old debt came up which showed on their system and they have nowrefused.

I checked on expedia and is in fact an old credit card, which I was struggling to repay a few years ago as a student and defaulted- I have paid regularly since with no problems.

To get to the point, I am now in a real sticky situation- in fact pretty desperate - I really need this loan to help me get through the next few months,etc.

My starting salary is circa £32,000 a year (which will increase by about 10%in 2013 and should increase as I go through my career).

I have spoken at length with hsbc and although sympathetic, they are not budging.

I have googled for a loan, but have no idea which to go for? I am guessing that no high street lender is going to lend me the money, as I am considered as having bad credit- I can look at trying to get the report removed in the future, etc but right now I need to get that loan!

Any ideas/suggestion would be most welcome... what I am slightly worried about, is that I don't actually start the job until August, so I am not sure if they would be willing to lend me the money, purely on the strength of starting the job in August? That was the advantage of applying with my existing bank...they kind of know me. They checked with HR at the hospital I am going to be working at, to confirm my salary, so I am hoping any other potential lender can do the same?

I have seen companies like norton, ocean, wentworth, etc- will I be refused or are they generally ok with a bad credit rating? Are they ok companies aswell...?



Any advice on which company (s) to approach, would be really great.



Thanks ! Sorry for the long post.

jason1231972

Expedia is a holiday broker

You must mean Experian. But I'm just teasing.

Anyway, chances of getting a loan may be slim RIGHT now. Not just so much the fact that you have 'bad' credit, but the fact that you appear to have little/no income?

As difficult as it may be, you may just have to ride out these 2 1/2 months. As for moving costs, is there anybody in your family/social circle who could lend you the bare minimum costs associated with moving (i.e. deposit and rent)?

If you want to leverage against your salary/future career, have a look at another high street bank? They will almost certainly find your CC default if Experian finds it, but play the card of "oh, I was a bit bad as a student, but I'm going to be a doctor...you can check". See somebody face to face if possible. They may see you as a potential money-spinner, so no harm in trying.

I'd steer clear of borrowing from any 'brand' that isn't a high-street bank/building society, or isn't financed by one (the supermarkets do loans - these are fine - but you won't necessarily qualify).

DCFC79

You can get furntiture form freecycle or freegle in the area. What about family for rent etc.

Theres no such thing as a bad credit loan.

istdp1

Thanks for the response and advice Jason1231972(haha yes...just noticed the expedia/experian!).

Yes, that's what I was worried about is my lack of salary *right now*...but as you suggest, perhaps someone will give me a chance on the strength of my future job/career.

I take on board not borrowing from a brand...but I might have to if there is no alternative, so in some ways I'm hoping someone might be able to suggest the "best" of a bad bunch. Difficult situation, I think I will try, as you sugest, seeing someone face to face tomorrow and taking it from there.

Thanks again.

Emmzi

so you have a few weeks to do bar work etc and earn enough to rent a room as a lodger (not a flat).

time to lower expectations.

istdp1

DCFC79 wrote: »

You can get furntiture form freecycle or freegle in the area. What about family for rent etc.

Theres no such thing as a bad credit loan.

Thanks for the response- sure, there could be other ways of getting furniture, etc.

I am from Denmark, so have no familly here... my Mum has been great in the past, but is not wealthy and I don't want to hassle/worry her.

hmm...hopefully I can work something out.

Thanks again for responding.

Theres no such thing as a bad credit loan.[/QUOTE] Really? oh ok.

istdp1

Emmzi wrote: »

so you have a few weeks to do bar work etc and earn enough to rent a room as a lodger (not a flat).

time to lower expectations.


I am a mature student (in my 30's), after 5 years of incredible hard work and lodging/ sharing I am very much looking forward to having my own home/space!

I wish I had the time to earn some extra money. Being a med student (especially a final year one), you simply don't have the time- clinical placement is 40+ hours a week (for another 5 weeks) and then I have to find time to actually study/revise. The workload is a 12 hour day.

Emmzi

but you don't need your own space in week one. want =/= need.

and you said you were just about to graduate, so will have free time after.

Tixy

Have you asked your new employer whether they offer any relocation expenses or relocation loans that you can pay back out of your pay packet once you are earning?

Are you looking for parttime/temporary work from when you finish uni until when your new job starts?

Have you looked to see what benefits you are entitled to in the period before your new job starts? eg are you eligible for income support?

I would seriously reconsider the whole idea of a loan, and certainly one of that size for a couple of months living costs.
But anyway its very unlikely you will get any loan for the amount you are thinking from anywhere without an income (a graduate loan from your student bank would have been the one exception - but obviously you've already been turned down for that).

Its not really your bad credit history that will be the main stumbling block anywhere else - its your lack of current income.

The companies you mention in your first post won't lend to you - norton & ocean only provide secured loans to homeowners. Wentworth are brokers so don't offer any loans themselves - sure they'll pass on your details to very high interest unsecured loan companies but even they will require applicaticants to have a job and income.

opensomehours

Hi,

I feel for you - I had something similar a few years back (due to owning a repossessed house). I was turned down by pretty much every company I approached - however I did manage to get a loan for home improvements from Sainsburys bank. They proved very helpful and understanding. The loan application was quick and the interest rate competitive.

Worth giving them a try.

smartpicture

Surely it's more sensible to rent a room just for the 1st month - then you have a proven salary to apply for a loan after that, and you would have your own space after a month.

This would also give you time to look around for somewhere to rent while living there, which gives you more chance of finding the 'right' place.