garantor loans!!!!

darkmagician

hi would like some advice,
basicaly my wife and i have about £8000 worth of debt which we owe to quite a few companys, some of these are payday loans (stupid i know but when you are up against the wall, needs must).
anyway we are currently renting a property which is owned by my mother in law and she has the buy to let mortgage for 5 years,
we need to clear and repair our credit rating so we can obtain a mortgage and buy the property from her when this time is up.
we have poor credit score due to defaults and my wife has a ccj,
we need to get a loan to pay off all debts and ccj repair outr credit rating whilst paying off loan, my mother in law has agreed to act as a garantor for a loan so wanted to know which would be the best companys that would offer this service.
thanks for all advice.

cheri15

Amigo loans is a guarantor loans website and it doesn't matter if you have bad credit. Your guarantor can sign the form online so the money can be in you account the same day.

miketaff1408

darkmagician wrote: »

hi would like some advice,
basicaly my wife and i have about £8000 worth of debt which we owe to quite a few companys, some of these are payday loans (stupid i know but when you are up against the wall, needs must).
anyway we are currently renting a property which is owned by my mother in law and she has the buy to let mortgage for 5 years,
we need to clear and repair our credit rating so we can obtain a mortgage and buy the property from her when this time is up.
we have poor credit score due to defaults and my wife has a ccj,
we need to get a loan to pay off all debts and ccj repair outr credit rating whilst paying off loan, my mother in law has agreed to act as a garantor for a loan so wanted to know which would be the best companys that would offer this service.
thanks for all advice.

Your mother-in-law must need her head examined to act as the guarantor for a loan when you both have already proven you default on your debts.

Instead of putting that pressure on her, why not pay your debts of month by month, as most other people do, and once you have cleared your debt, THEN think about mortgages.

darkmagician

miketaff1408 wrote: »

Your mother-in-law must need her head examined to act as the guarantor for a loan when you both have already proven you default on your debts.

Instead of putting that pressure on her, why not pay your debts of month by month, as most other people do, and once you have cleared your debt, THEN think about mortgages.

did you not read the part where i said that i need to buy the house by 5 years time, by paying everyone off which i could do at the same amount each month i could pay off a loan would take me past 5 years, thus leaving my wife and my 4 children homeless???
my mother in law is quite sane and has agreed as she knows that we would not sting her, i have been paying her "mortgage for the last 3 years without missed payment" so she knows and trusts that the loan would be paid every month.
many people default on debts for many reasons some beyond there control or circumstances!!!

darkmagician

Apples2 wrote: »

Why would you think anyone would accept you for a mortgage?

Forget that hairbrained idea until you understand how to control money and spending.

cheri15is one sandwich short of a picnic, the last person on this board to take ideas from, although there are already similarities between you.

why not if i pay off my debts now all clear, then 1 loan for say 4 years paid in full no defaults, then a year of debt free maybe a credit card running to keep improving my credit, oh also aproaching the bank for a 150,000 mortgage with a 40,000 deposit (which is already in the house we live in) why wouldnt the bank ???
i would rather be like cheri15 as she actually amswered my question, rather than you who i can just about see on top of that really high horse of yours.

somethingcorporate

The cheapest way to do this would be for her to take the money out on her own and give it to you. The rate for guarantor loans are horrendous (priced for risk no doubt).

Unfortunately whilst you may "need" to buy it in 5 years (why can she not get another mortgage at the end of the term?) there is not a need for banks to give you a mortgage. I think you need to rethink your attitude to money and be less demanding, I cannot see any lenders falling over themselves to offer people with such a terrible history large amounts of money.

You should deal with your own money problems rather than relying on family to bail you out and dragging them into your financial quagmire. I am being optimistic in saying that only 10% of people that sign up to be guarantors for loans really understand their responsibilities.

dealer_wins

A consolidation sounds great in principle and im sure you are confident of making all the 60 repayments. But im sure you also felt just as confident when you took out your other borrowings, and look what has happened.

Do you really want to put your MIL in a horrible situation when you cant make the payments. DONT DO IT, ITS NOT FAIR ON HER!!

darkmagician

i understand what you are saying but if my #mil takes the loan and gives us the money we pay everything off great, but if we are on the loan then surely by making the payments every month will show future lenders that we are trust worthy, other wise i might as well just go for a debt solvency order then wait 6 years, tht ay nothing to anyone.

the need to obtain the mortgage in 5 years is purely for security for my family, as we are technically tennants, although i pay the whole mortgage, if my MIL was to die the bank will resell the house we live in which then would screw us over even more,?

somethingcorporate

It will be a LOT more expensive to get a guarantor loan. You are looking at rates of 30%+ compared to rates sub 10%, close to 6% for very good borrowers for personal loans. You'd save a heap doing it this way, you can build your credit record up other ways (using and paying back a credit card regularly would incur you no interest charges and build your rating).

Yes, you are probably right on the front of the bank selling the house if your MIL dies but you cannot buy it until you are creditworthiness enough to be given a mortgage and a guarantor loan is not the way to do it as it actually puts the responsibility to pay it on your MIL rather than yourself.

miketaff1408

darkmagician wrote: »

why not if i pay off my debts now all clear, then 1 loan for say 4 years paid in full no defaults, then a year of debt free maybe a credit card running to keep improving my credit, oh also aproaching the bank for a 150,000 mortgage with a 40,000 deposit (which is already in the house we live in) why wouldnt the bank ???
i would rather be like cheri15 as she actually amswered my question, rather than you who i can just about see on top of that really high horse of yours.

But YOU don't HAVE a 40,000 deposit??? It's your Mother in law's equity? So you cant utilise that equity - only she can?

dresdendave

cheri15 wrote: »

Amigo loans is a guarantor loans website and it doesn't matter if you have bad credit. Your guarantor can sign the form online so the money can be in you account the same day.

Of course Amigo don't care if the borrower has bad credit, it's the guarantor who will end up making most of the repayments.