nationwide quote, likelihood accepted, consequences if declined?

wilson1972

Hey all

Its been a tough few years financially (partner sick, then -out of work for last 18 months) and in the last 4 years ive racked up a little debt

I have a close to max cc (3.2k) which i pay 80 a month on
I have 3.8k left on a 6k loan (203 a month)
And i use my 1600 O/D every month.. i pay 20 a month for that

I may have missed payments as a student etc (20 years ago!)..but have never gone over my ODraught, or missed a payment in the last 5 years.

My noddle rating is 3/5 which i understand is somewhere between average and poor?. Presumeably because of my debt levels.

So with outgoings for debt at 300 a month i want to consolidate it and reduce my monthly cost, and used nationwides soft search for a quote

i added my loan and cc when asked (there was no facility to enter overdraught)

i applied for a quote for 10k over 5 years and was quoted at 9.9%?

This would greatly reduce my outgoings

However im nervous about the impact of a failed application.

So, i was hoping people could clarify a few things?


1) Can i get any idea from the quotation rate (9.9%) about how likely i am to be accepted? Do banks hate consolidation loans generally?)

2) Will my level of current debt (39% of a years salary) be deemed so high that i am auto declined?

3) If i apply and am rejected, is there a risk my OWN bank will remove my over draught and cc? due to the search on my file...thats my biggest concern really.

Thanks

_Andy_

1/2 no point people speculating on it as there's so many factors involved.

wilson1972

Thanks andy, so basically i cant read much into the apr offered by the soft search?

The main concern is

3)

since if my bank wiped my overdraught and cc as a result of a failed loan application.. id be in trouble.


Thanks

Olza23

The likelyhood of them removing your lines of credit with them because of one failed application are highly unlikely..

If this is what you want then I would say go for it - I'm not sure how they (the bank) would feel loaning you money to pay off a debt though...

Is your credit card and loan already with your current bank?

What is your annual income?

wilson1972

Olza23 wrote: »

The likelyhood of them removing your lines of credit with them because of one failed application are highly unlikely..

If this is what you want then I would say go for it - I'm not sure how they (the bank) would feel loaning you money to pay off a debt though...

Is your credit card and loan already with your current bank?

What is your annual income?

Hey

yes my cc and loan are with my current bank (natwest)- i looked at nationwide because the headline rates were better and because of the soft check option

my income is net £1367 a month at present because i underpaid tax on my bupa (not my error- my companies) and have a low tax code as a result .

chris198

Hello I was quoted 14.4% decided to apply and was accepted pending proof of adress and income and was offered 9.9%. I had a 5yrs default on my credit file that had a noc which I guess helped my case. So if you have little searches I would go ahead and give it a try you never know.

heartbreak_star

I'd say pop over to the DFW board and post up an SOA - the last thing you need is more credit, and if your debt is approaching 50% of your salary you'll probably be declined as the lender has no way of knowing you'll consolidate.

HBS x

wilson1972

heartbreak_star wrote: »

I'd say pop over to the DFW board and post up an SOA - the last thing you need is more credit, and if your debt is approaching 50% of your salary you'll probably be declined as the lender has no way of knowing you'll consolidate.

HBS x

Thanks, i have to admit id rather avoid increasing my overall debt- as it is all to easy to NOT pay off the credit card etc- or gradually build it back up.

One option i have considered is going to my bank and asking them
if they will change the length of paying off my current loan.

Ie instead of another 20 months at £203 a month, pay a smaller amount for 36 months

Ive no idea if they even do this, or consider it high risk though...

ill take a look at that board, thanks again.

DCFC79

wilson1972 wrote: »

Ie instead of another 20 months at £203 a month, pay a smaller amount for 36 months

Ive no idea if they even do this, or consider it high risk though...

ill take a look at that board, thanks again.

You can ask the bank if they would consider doing it.