consolodation loan

loopychicken

hi there

i need a consolodation loan to the amount of 13,000
was out off work last year for a short while but fell behind with bills
my 2 credit cards are maxed out an beyond paying alot on them but never coming down

this has obvioulsy lead te many defaults no CCJ tho

i have a guarantor but i know that some loan companies wont look at me but i need to do something as my out goings are almost over taking my income any one know of any companies or banks with an ok interest rate that will take me on

thanks

nomoneytoday

Never borrow money to pay off borrowed money.

It will come back and bite you harder.

frugalpam

nomoneytoday wrote: »

Never borrow money to pay off borrowed money.

It will come back and bite you harder.

I'd agree. I've done the consolidation loan bit - its an attractive proposition but you'll end up paying a massive amount in interest, far more than you ever borrowed
Speak to your creditors - get support from CAB or similar - and negotiate lower or token repayments

Pam

xgingerx

Hi, yes never borrow money to pay off other debts unless as Martin explains the apr is significantly less than you are paying.

ie Vanquis credit card at 49.9%
Capital one at 34%

Say you oweed 2000 pound then it would make a lot of sense to get a loan for 2000 and pay them off if you got an apr of 7%'ish over a relatively short time.

I really does depend on your circumstances and what the debts and apr's are.

Hi sorry didnt read correctly that u already have defaults / missed payments so the loan u might be offered will be a whopping apr anyway.

Try posting your statement of affairs on debt free wanabee and u will get good advice of what to do for the best! good luck

loopychicken

but there is no way i can bring my CC down there a few hundred pounds over the limit so one for instance i pay 150 every month an because of charges ect only around 50 of that comes of the bill

so wouldnt combining them with 1 intrest rate plus adding everything else be the right thing to do

the personwe have to go gaurentor is of high standing so maybe we cud get a good apr
god i dunno im soooo stuck but ilepost in the other forum as well

thanks

joeblack066

Hi yeah post in the Debt Free Wanabee, do an SOA, (see sticky) and there will be some real good advice for you!!