Loans for Bad credit rating

Ray:

Hi,
I am in a bit of a mess. In the past few years I have racked up a bad credit rating score. And I'm in need of some money. Now before I start apply (again) for loans/credit is there any advice. I need the money (£500) to pay for this month's bills/rent. What do you advise? Are there loan applications for such low rating, where my bank refuses to give me an overdraft or a loan? Is the payday loan my option here? And take out what I need? Would appreciate any help. thanks.

bigadaj

No easy solutions. With a Poor credit rating any lending would be expensive if you get it at all, only answer is to reign in spending, try and earn more or sell things, ideally all three.

Many people find it helpful to draw up a statement of affairs to see where they spend money and how they can save and cut back, if you post this on the debt free wannabe board, where there is a template, then others can comment and provide helpful advice.

iolanthe07

If you have to borrow money for this month's bills, how are you going to afford to repay the loan as well as cope with next month's bills? As above, head over to the DFW board where you will find plenty of helpful advice on how to budget and manage your finances.

Ray:

Thanks to you both. I am only thinking 'loan' because I can pay it back in instalments rather than the whole lot in one go, thus being able to sort finances out in the current situation. And as this happening now? I need to organise 'something' now. So do you suggest any particular place to apply with low credit ratings? thanks (again).

RuthnJasper

Ray - visit www.stepchange.org. They are free-to-use and can give you helpful advice about money-matters. They're very friendly.

Best wishes. x

Caz3121

Ray: wrote: »

Thanks to you both. I am only thinking 'loan' because I can pay it back in instalments rather than the whole lot in one go,

Payday loan is not an option then as the norm is that you repay in full on your next payday so are a very short term loan. Some people have rolled them over but you end up with very high APR....they advertise 365% APR on their site

Looking back at your posts from Aug/Sept last year you previously dealt with Wonga and got into difficulty with paying it back so you may find some of the Payday companies will not lend to you anyway. You said you contacted Step Change is September - did you follow up with them? do you have anything you can sell to raise funds?

DCFC79

To be honest OP you dont need wonga or another pay day lender, you need to contact 1 of the debt charities. You tried wonga last year and had problems paying them back so dont go down that road again.

19lottie82

the only companies who will lend to you are pay day loan places, but please DON'T even consider them. they will make things ten times worse...... and that's a promise.

As people have suggested, pop over to the debt free wannabe part of the board, people can be very helpful in advising how you can stretch your cash, or get your hands on a bit more, without resorting to PDLs.

Ray:

Yeah I managed to somehow sort things out last year. But somehow, £10 here and £20 there... got taken into the minus and now I've bank charges. which they've taken from me. Spoke to them about getting a small overdraft and they won't allow that. So this month, what remaining money I had left, has been paid out to the bank charges of £150 with HSBC and then obviously to pay back what I went over by. Therefore leaving me with less cash with the costs of life, and now bills are needing paying. So...? What can I do for the immediate.

I appreciate all of you all are referring me to the debt plans but that won't solve the bills I have to pay today? That is an eventual thing, and I won't be paid until the end of the month, and we're in the 2nd week. And yes I will look at them, but I am trying to see what I can do in the interim.

DCFC79

How would you cover next months rent plus the wonga loan ?

There are no loans for bad credit rating.

Ray:

DCFC79 wrote: »

How would you cover next months rent plus the wonga loan ?

Well (I'm assuming) that would be organised and orchestrated with the help from step change with their advice. OR possibly speak to the Wonga about a repayment plan, so instead of the full amount but a mere 10% or 20% of the amount borrowed? Could I do that?