Any Options?

Badsaver

Hi

I took out a loan a little while back but the interest rate is ridiculous (yes - I did know this at the time and foolishly still went ahead) I have a rubbish credit rating - mostly boiling down to when I had my little one and worked part time as I was terrible at budgeting. I'm now paid monthly and all of my bills are paid on time (although I have had a couple of blips when payments have come out on an obscure date that I had forgotten about.)

I have had a few of the dreaded payday loans but always paid them back on time or early (I believe these also affect your credit rating in a detrimental way?)

Anyway the point of my droning on is...

Is there any way I can find a better loan with a bad credit rating that is unsecured? It's not for a huge amount by any means but the fact that my interest on 2 payments totalling £559 is a whopping £484.63 makes me want to sob a little! I can't really ask my family for help as they would just be disappointed in the fact I had to borrow money

Are there any options or do I just need to stick to my bad decision and trundle on with the payments?

[Deleted User]

A few questions.

What's you salary?

How much is the existing loan for?

How much are you looking to borrow?

Badsaver

Bedsit_Bob wrote: »

A few questions.

What's you salary?

How much is the existing loan for?

How much are you looking to borrow?

Thanks for the reply.

- 17,000 ish
- Loan was 2k - £1925 left to pay
- Literally just want lower payments so a loan of 2k (maybe 2500 at a push) would be fine.

Like I said - its not mega money - just would like it to be a bit lighter on the interest!

[Deleted User]

Well, your salary to borrowing ratio wouldn't be bad (less than 1/3rd), but as you have already struggled to get your current loan (PDLs don't help), I think you will struggle to get a better rate.

Any chance of getting a 0%/low % APR credit card and doing a BT?

Badsaver

Bedsit_Bob wrote: »

Well, your salary to borrowing ratio wouldn't be bad (less than 1/3rd), but as you have already struggled to get your current loan (PDLs don't help), I think you will struggle to get a better rate.

Any chance of getting a 0%/low % APR credit card and doing a BT?

I currently have a Credit Card with a balance (about £186 of £200) with payments always made on it (usually minimum because I keep forgetting to change it)

Not sure if I would be able to get another one?

Plus - I doubt I would be able to get one for £2000 so say for example I got one and they gave me £200 I could pay that £200 off the loan and it probably wont even make a dent in it (considering the fact that if I left it to the end of the loan, my current balance is £4472.32 for a £2000 loan with over £500 already paid against it

[Deleted User]

So, including interest, how much is the loan?

Badsaver

If I paid it off today - it would be a touch over £1925. If I let it run its course, it would be £4472.32 with the last payment in April 2015.

Just bought an Equifax Credit rating thing - could be a default in 2009 that's causing most of my issues!

Also had a few late payments (although its saying I had 4 late payments to 1 supplier in 1 month for a phone bill??)

And my loan isn't showing up on there!

redpete

Badsaver wrote: »

I could pay that £200 off the loan and it probably wont even make a dent in it

Or more positively it would save you approx 10% of the interest payment - so using your earlier figures you would have paid approx £48 less in interest.

You might find that you wouldn't be able torreduce the monthly amount but just shorten the period. In any case you would be paying less interest.

Badsaver

redpete wrote: »

Or more positively it would save you approx 10% of the interest payment - so using your earlier figures you would have paid approx £48 less in interest.

You might find that you wouldn't be able torreduce the monthly amount but just shorten the period. In any case you would be paying less interest.

yes I suppose so - but then its another one to be paying back! I'm not sure whether to give it a go and apply for another CC and more than likely get rejected and then it further my bad credit.