£3,000 Loan over 2 years (19 Years Old)

Lioness_Twinkletoes

SamAudiA3 wrote: »

I'm really simple minded when it comes to these things, but the best way i think would be to get a credit card, spend £3000 on a A3, then pay it back £167 per month, and pay it off within 18 months interest free (better than getting a loan)

Do you already have a credit card? If not, you'll find it will take quite some time to reach a £3k limit. Usually they start you off around £500 and increase every 3-6 months in roughly £500 increments. Therefore it could take 18 months (ish) to get that sort of limit. You could have saved the money by then.

I'd try one more loan company, perhaps Nationwide, as they do a 'soft' search which will demonstrate their willingness to lend before carrying out a full search. Post the results of the soft search and people on here will be able to judge the likelihood of acceptance based on the amount offered and the APR. If Nationwide turn you down, save and reapply in around 6 months.

Or save. Assuming you live at home (?) your outgoings should be really low and therefore you should be able to save a significant sum each month. If you're not living at home...are you sure you can afford the loan?

Suarez

Also, alongside the credit limit you will find that you more than likely won't get the 18 months and may be offered 12 or 15 interest free.

That's if you get a mainstream credit card with no history in the first place!

SamAudiA3

I think i'm going to admit defeat. I've not got a rich Mummy and Daddy that hands me everything on a plate.

Never mind!

Thanks for the replies.

Sam. :cool:

Mr_F_Dorsetty

SamAudiA3 wrote: »

......Its only a small loan....... I don't really see the big risk to the loan company

Is it? Don't you?

You just have to love the bravado of youth, if I were you I'd leave home before you realise you don't know everything

Question 1 -

If it were your own personal money you were lending out and you met a 19yr old with no credit history and a full time job for a whole 2 months - would you give them your money for a £3000 unsecured loan?

If you say "Yes I would" - you're either not being truthful to yourself or you're really missing something fundamental.

Oddly enough banks and financial lending institutions are not charities and the reason they are in business is because they get it right most of the time.

Question 2

If you have 'a garage' in the family why are you not down a car auction buying a £3k on the forecourt car for the £1300 it's worth?

Cars are nothing but a way for punters to lose money and that's a fact. I grew up on a garage forecourt pretty much and have owned petrol/sales/repair garages myself; why would you even consider blowing £3k like a punter?

Fishingtime

DCFC79 wrote: »

Why an A3 ?

Because that is his forum name

SamAudiA3

Mr_F_Dorsetty wrote: »

Is it? Don't you?

You just have to love the bravado of youth, if I were you I'd leave home before you realise you don't know everything

Question 1 -

If it were your own personal money you were lending out and you met a 19yr old with no credit history and a full time job for a whole 2 months - would you give them your money for a £3000 unsecured loan?

If you say "Yes I would" - you're either not being truthful to yourself or you're really missing something fundamental.

Oddly enough banks and financial lending institutions are not charities and the reason they are in business is because they get it right most of the time.

Question 2

If you have 'a garage' in the family why are you not down a car auction buying a £3k on the forecourt car for the £1300 it's worth?

Cars are nothing but a way for punters to lose money and that's a fact. I grew up on a garage forecourt pretty much and have owned petrol/sales/repair garages myself; why would you even consider blowing £3k like a punter?

This is exactly the non-constructive advice i specifically asked not to be posted. Everyone else was great, and has given me an understanding of the question i asked.

"before you realise you don't know everything" - as i said, i know very little about this subject. (which i've stated more than once)

Its so petty, that theres some 'jack the lad, car dealer' that just wants to start an argument. You are right i know nothing about the big wide world, hence why i'm on a forum asking questions to get more of an insight into what i'm going to be facing.

Thanks for nothing Dell Boy.

BillJones

While the A3 is indeed lovely, if it's out of reach at present VAG do a range of ever cheaper alternatives on the same base, if you'd be willing to look at VW, SEAT, or Skoda.

You do get lesser interiors, lower quality plastics, etc, but they aren't terrible alternatives when funds require.

Di_B

Although you don't see it as a big risk, sit where the loan company is sitting. You have a big pile of money and you want to make more and not lose any.

A 19 year old (young in today's aging society!) comes along having worked for 2 months (when usually, a standard probationary period of employment is 3-6 months) with no credit history (nothing to show if he would pay us back) and wants some money. He says he will pay it back. Hmmm...

It's cruel and not fair, but the people who get the best credit deals are those that don't really need them as they have money and stability!

I think I'd recommend saving for 4-6 months then trying again. Other things to make sure: 1. You are on the electoral role 2. Consider getting a contract phone as it might show you are credit worthy and save you money 3. Don't change bank accounts often - bank = stability 4. Don't change employers otherwise start counting the 6 months again. 5. Do have your salary paid into a bank account which also offers a direct debit facility for taking the loan from. 6. Possibly consider/speak to your bank about when overdraft facilities become available? (The facility being there would be an additional credit available to you even though you don't use it)

One word though - be careful with credit. If you get it, only use it if you have to, not because it is there. I was 18 and given a credit card with a limit of £400 and an overdraft of £200 by Yorkshire bank many years ago. I only earn't £2,600 per annum at the time and got into a right mess!
Also good for you to come and seek advice before jumping in - I hope my ramblings have helped :-)

SamAudiA3

Di_B wrote: »

Although you don't see it as a big risk, sit where the loan company is sitting. You have a big pile of money and you want to make more and not lose any.

A 19 year old (young in today's aging society!) comes along having worked for 2 months (when usually, a standard probationary period of employment is 3-6 months) with no credit history (nothing to show if he would pay us back) and wants some money. He says he will pay it back. Hmmm...

It's cruel and not fair, but the people who get the best credit deals are those that don't really need them as they have money and stability!

I think I'd recommend saving for 4-6 months then trying again. Other things to make sure: 1. You are on the electoral role 2. Consider getting a contract phone as it might show you are credit worthy and save you money 3. Don't change bank accounts often - bank = stability 4. Don't change employers otherwise start counting the 6 months again. 5. Do have your salary paid into a bank account which also offers a direct debit facility for taking the loan from. 6. Possibly consider/speak to your bank about when overdraft facilities become available? (The facility being there would be an additional credit available to you even though you don't use it)

One word though - be careful with credit. If you get it, only use it if you have to, not because it is there. I was 18 and given a credit card with a limit of £400 and an overdraft of £200 by Yorkshire bank many years ago. I only earn't £2,600 per annum at the time and got into a right mess!
Also good for you to come and seek advice before jumping in - I hope my ramblings have helped :-)

See, this was very helpful! Great advice, i think saving, and proving myself for a few months is my best bet.

Thank you very much!

SamAudiA3

BillJones wrote: »

While the A3 is indeed lovely, if it's out of reach at present VAG do a range of ever cheaper alternatives on the same base, if you'd be willing to look at VW, SEAT, or Skoda.

You do get lesser interiors, lower quality plastics, etc, but they aren't terrible alternatives when funds require.

I have a Honda Civic at the moment, so was hoping to upgrade, and kind of have my heart set on the Audi! The A3 is very reasonable, and i can pick one up for around the £3000 mark. (I will also have around £1000 when i sell my car, which i saved up for)