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Loan advice needed

Hi, I am about to rent out my house so I can live with my boyfriend. Before I do this I need to have the house decorated (painted) and I also need new carpets and a boiler.!

I have a friend who is a painter and decorator who has given me a very good price to do the painting, but would need to pay by cash as he is self employed and doesn't have the facility to take credit card payments. !

The carpet and the boiler I am able to pay by credit card.

My question is, should I take out one cash loan for £2,000 to pay for all of this, which the APR would be around 18% or should I take out a loan for £900 for the painting at 18% and use a credit card for the rest of the money, which I could easily pay back within a 6 month interest free period?!

Here is a breakdown of my costs:

£900 Painting
£900 Boiler
£200 Carpet.!


Also if anyone knows of any good deals on boilers/installation would also be appreciated.!

Thank you in advance for any responses,!

Alex. !

Comments

  • CLAPTON
    CLAPTON Posts: 41,865 Forumite
    10,000 Posts Combo Breaker
    well if you can get a CC with an interest free period and pay in full before the promotional period ends then that is as cheap as it gets

    no idea why you and b/f can't paint the house but that's another question

    do you really need a new boiler before letting?
  • chesky369
    chesky369 Posts: 2,590 Forumite
    Don't forget insurance! And letting the mortgage company know.
  • Rafter
    Rafter Posts: 3,850 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Can you really not scrape together £900 without getting a formal loan at 18% APR? If you are being offered 0% credit cards you should be able to get an overdraft at a lower rate than that, then pay it off much sooner than a loan, saving you interest.

    Others are right though - you will need landlords insurance and a consent to let from your current mortgage lender - who may increase your mortgage rate!

    R.
    Smile :), it makes people wonder what you have been up to.
  • DCFC79
    DCFC79 Posts: 40,611 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    edited 14 June 2012 pm30 5:26PM
    Maybe pop over to the renting board for help re the letting or maybe have a look for forums dedicated to landlords.
  • chanz4
    chanz4 Posts: 11,050 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Xmas Saver!
    Also landlords gas safety cert
    Don't put your trust into an Experian score - it is not a number any bank will ever use & it is generally a waste of money to purchase it. They are also selling you insurance you dont need.
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