What's the best way to get £8000 loan?

Idiophreak

sharp82 wrote: »

Not really nonsense. If the rest of the world thought this way we would have not been in the pickle that 2007 brought.

I'm not against loans at all. I'm just against loans for things which are 'nice to have' flashy cars and expensive holidays.

Comparing mortgages and loans is nonsense. Mortgages are seen as an investment. Generally once you've finished paying for your home, its worth more than when you started. The same can't be said for 90% of cars.

Does it matter if it's an investment? If you can't afford something, you can't afford it...whether it's an investment or not.

I'd love a £1m mansion...sure it would be a great investment. But I can't afford it by my own definition, as I wouldn't be able to comfortably service the repayments.

By your definition, I can't afford even afford my current, modest, mortgage on 1.4 multiplier - because I don't have the money sat in the bank.

How about a loan for a small business?...I mean, that's an investment...Can you afford those if you don't have cash in the bank?

Or back on cars - my car saves me having to buy two bus tickets and a train fare every day...and easy saving of £5 a day...so the car is a great investment...it saves me time and money each and every day. So, as it's an investment, I can borrow as much as I want for a car, right?

sharp82

Definition of 'Investment'
An asset or item that is purchased with the hope that it will generate income or appreciate in the future. In an economic sense, an investment is the purchase of goods that are not consumed today but are used in the future to create wealth. In finance, an investment is a monetary asset purchased with the idea that the asset will provide income in the future or appreciate and be sold at a higher price.

Idiophreak

sharp82 wrote: »

Definition of 'Investment'
An asset or item that is purchased with the hope that it will generate income or appreciate in the future. In an economic sense, an investment is the purchase of goods that are not consumed today but are used in the future to create wealth. In finance, an investment is a monetary asset purchased with the idea that the asset will provide income in the future or appreciate and be sold at a higher price.

Oh OK. So I can afford to buy as much gold as I want. Good to know.

sharp82

If you can afford it, then go crazy.

If you were confident on the price of gold increasing then you could even get a 0% interest deal to finance even more gold.

You'd be pretty screwed if the price of gold dropped though .

Also consider stocks, currency, oil and classic cars. These of course can rise and fall too. Your average £5k Ford Focus will only depreciate. So not a good idea as an investment

Idiophreak

sharp82 wrote: »

If you can afford it, then go crazy.

If you were confident on the price of gold increasing then you could even get a 0% interest deal to finance even more gold.

You'd be pretty screwed if the price of gold dropped though .

Indeed...As people were screwed in 2007 when their "investment" dropped. They viewed houses as something that only go up. Houses came down, people got burnt.

They'd used your "it's an investment...you can afford it" mentality and it didn't pay off.

sharp82

Was it not the over reliance on credit which lead to people getting screwed? And the sub prime and the 90% - 125% mortgages. You know, borrowing for things they couldn't afford...

castortroy31

Hi All,

I didnt want to read and run so heres my opinion on the matter...

1- Re the car... well like most other posters here, I agree with them you need to justify this cost if its something of necessity then you just need something to get you A to B. Yes you need to do some research on what would be reliable for you but taking out a loan for this doesnt help.

2-Holiday- I am sorry to hear that you havent been back to SA for such a long time. I understand that different circumstances and money probably lead yourself not saving up the money to go. However, if there is no major emergency then you need to save up the money to go.

Lastly if you were to get a loan... then i believe I read that you thought you could get the loan at 4.9%? Um correct me if I am wrong here other posters but I havent seen a loan % apr for that little before, in the current climate I would have though that 11.9 would be a more realistic number.

the 450 you have left at the end of the month isnt much.. is that after all expenditure and savings are taken account for?

freeisgood

Wow, it is a different world in which many people live.

I am in my late 30's, my parents taught me that if I want something then I "should save up for it" and only spend money when it is yours".

I have never bought anything on credit, I saved up for my car, I saved up for my wedding, only went on holiday when I could afford it, never had a credit card, and haven't used my overdraft for years. I am self employed, low earning, and work is erratic, but I am careful and put money aside each month.

Just amazes me how casually people borrow. Its so hard to dig yourself out of debt.

Please get yourself out of the borrowing mindset, it really is a lifetime habit for the best.

geoffky

The thing that angered me was he says he is 41 and running out of time...That knocked me for six being 49..

[Deleted User]

geoffky wrote: »

The thing that angered me was he says he is 41 and running out of time...That knocked me for six being 49..

You were lucky you even had enough time to finish your post.