Advice needed - tesco loan

Scharliecxx

Goodbye MSF

chrisfurbs

If you told them the truth then the AIP should be fine as its an agreement in principle based on the facts you disclosed

opinions4u

I would stop worrying. There's nothing you can do but wait anyway.

I challenge one statement though.

I am very good with money however and live within my means

If that's true, how come you're taking out multiple personal loans and not saving up for stuff?

Apples2

Have you worked out how much those to payment breaks are going to cost you overall?
It isn't another two normal payments later on. They offer it for a reason.

victoria797

you had mentioned that you wont be getting married until the end of 2014,why would you need a 3.5k loan now? Just wondering....

CLAPTON

I don't really know your full circumstances but you are taking on a very large amount of debt on a very modest salary.

You don't say what the APRs of the loans are but the interest you are paying is dead money.

Scharliecxx wrote: »

Hi everyone

Hoping to get some advice re an application I made earlier with tesco for a loan.

The loan is for 3.5k over 3 years to cover the last bit of my wedding expenses. I am 25, never had a lot of credit but do have an unblemished credit record and good credit history on the credit I have taken.

I currently have an outstanding loan with my bank, Halifax that I took out in August. 7k for a car.

7k is a very high level of debt on an income of only 1000 per month.
10.5k is almost your entirely yearly take home income.

It went on to outline the apr, monthly repayments and total cost etc. it then said we can also offer you an initial payment break of two months. This is not something I requested during the application as I don't really need it and thought it may look negative?! As they offered this to me after the application I decided to select the option with payment break as it only increased the repayments by £4 a month and as I'm saving for my wedding every little helps, no pun intended!

well £4 pm for say 36 months is £144; that's a lot of money down the drain simply to delay the initial payments by a couple
of months.
And it isn't a case of 'every little helps' because you are paying dearly for this.

I am very good with money however and live within my means.

actually 'living within one's means ' doesn't mean I can live within my means by borrowing 10,000.



Maybe rethink what living within your means actually means. i.e. saving first and then spending.

Scharliecxx

Whoa! Sheesh, wanted some advice not a collection of lectures.

Okay living within my means may have been the wrong statement. What I meant was, I am good at managing my money and once I've paid what I must I.e loan, mobile, car insurance etc etc i am good at budgeting what's left to live on.

I am not really interested in wether I should or should not take out the loan with anybody here, I merely wanted to know if it seems I have been accepted or wether they just fancy taking a look at my paperwork and then are going to reject me like they have done with others.

The reason I WANT the loan, not need, is because although my wedding is not until August 2014, we are getting married abroad. I.e wedding package that needs paying for in advance.

Anybody else feel the need to launch into an interrogation, feel free. Anybody actually has any experience with tesco re the same matter I'dike to hear from you.

marathon_man_3

I have to concur with the comments above.
This isn't a "lecture" but is drawing on my own life's experiences.
It is extremely beneficial to have the opportunity to be able to live in your new home rent free but you are starting off your new marriage with unnecessary debts. You should aim to clear them off ASAP, so far ahead of your marriage, rather than adding to them.
Romantic as it is to have a big wedding and wonderful honeymoon, what is the enjoyment of having that if it is built on the back of large debt; relative to your income(s), that is?
However, if you go ahead with the loan, you should get a good few clubcard points !

opinions4u

Scharliecxx wrote: »

Whoa! Sheesh, wanted some advice not a collection of lectures.

So you got some advice and didn't like it? Fair enough. Nobody lectured though.

One of the suggestions went with the flow on borrowing and saved you £144 in interest. Good advice. Another post made the same point, encouraging you to think it through.

I suggested saving, albeit via a question. Good advice as you earn interest instead of paying it. You end up better off.

Do what the hell you like. It's your life and your debts. But nobody lectured you. Most of the posts above tried so save you money.

What's the name of the web site we're on?

fishybusiness

Sorry, but the two together are too much - that is why one bank turned you down.

Perhaps if you were asking to borrow over 1 year, so that when you are married and quite possibly your financial circumstances changed, your loan would have been paid off.

That is how people find themselves on the slippery slope in to debt.

You obviously didn't want people's views on the ethics of your decisions, but posting on a public forum will bring all angles of replies

dealer_wins

Scharliecxx wrote: »

I'm concerned because I'm not on a high income. £980 every 4 weeks after tax. I live with my parents and will be doing so until I'm married which will be end of 2014 so my outgoings are minimal.

That is the time you are really going to regret taking out your loans, believe me!!