personal loan help

snapzilla

Hi , ive been caught in the payday loan cycle for about a year now and it now appears to be getting out of control, i want to avoid having to go on a dmp so need to find a loan to consolidate, any interest rate has to be better than what im paying now! I have a 655 credit score with experian, what are the chances of high street banks giving me a loan of 3000 over 2 years? Ive never defaulted on my countless amounts of payday loans ive taken but i look credit hungry from when i was searching for loans without realising it would leave a footprint on my file! Thanks

[Deleted User]

Probably very slim. Your credit score is irrelevant and the fact you have used PDLs will put most lenders off.

Look at cutting costs, sellings things etc and get it paid off. Try the DFW boards for inspiration.

19lottie82

What's your total existing credit? Salary? Any "negatives" on your credit file like late payments or defaults? The score alone is meaningless.

Consolidation loans aren't always the best idea tho, they just extend your cycle of debt.

Pop over to the debt free wannabe board and post a thread. The guys over there are great at advising how you can cut back and save cash

sdellboy

I found Zopa to be very good. Might be worth a try.

[Deleted User]

Not with PDLs on his file.

JKSandy

Your own bank is your best bet to be honest.

There is a debt free board on this forum, maybe best to post on there for advice etc.

Gaz83

Yep, best bet first is to talk to someone at your own bank.

The problem with debt consolidation loans, is that if you have (say) £3,000 of debts and want to borrow £3,000 to consolidate them, a lender has no guarantee that you'll use their £3,000 to pay off your other debts.

So for all they know you could then be £6,000 in debt. That's why many lenders are reluctant to lend on this basis.

heartbreak_star

I managed to get out of the PDL cycle by borrowing £50 a month less each time.

It does work.

HBS x

snapzilla

I appreciate people saying to cut back to save and stuff, i have taken out over the last year or so about 10k+ worth of payday loans but always paid them back so i have no defaults. I am 21 years old 22 soon earning 1300 a month, luckily i live with my parents who only ask 160 a month housekeeping, my car insurance is 210 a month. The majority of whats left is going out on pdl.150 a month to pounds2pocket which i keep having to roll over, 200 a month to quickquid, 190 to sunnyloans, 180 to 118118 money. Ive always managed to keep up with everything but its starting to get too much whereas a 3000 loan on a bank loan i could pay back comfortably over 1-2 years unless circumstances change. The problem on my credit score is the multiple searches for credit which at the time i didnt realise would impact me and the fact im always rolling over these payday loans which means im always at the high end of my credit limit from these places.

DCFC79

snapzilla wrote: »

I appreciate people saying to cut back to save and stuff, i have taken out over the last year or so about 10k+ worth of payday loans but always paid them back so i have no defaults. I am 21 years old 22 soon earning 1300 a month, luckily i live with my parents who only ask 160 a month housekeeping, my car insurance is 210 a month. The majority of whats left is going out on pdl.150 a month to pounds2pocket which i keep having to roll over, 200 a month to quickquid, 190 to sunnyloans, 180 to 118118 money. Ive always managed to keep up with everything but its starting to get too much whereas a 3000 loan on a bank loan i could pay back comfortably over 1-2 years unless circumstances change. The problem on my credit score is the multiple searches for credit which at the time i didnt realise would impact me and the fact im always rolling over these payday loans which means im always at the high end of my credit limit from these places.

Credit scores don't exist.

Yes multiple searches show your desperate.

You do realise payday loans on your credit history has a negative effect.

An option might be for you to default on them, contact 1 of the free debt charities for this.

You live with your parents and are having to roll these over. Get a second job to help with paying them off.

ViolaLass

Unfortunately, we're not the ones you need to convince. All we can say is that it's unlikely you'll persuade a bank to lend you the money which is why cutting down/selling is being suggested.

Could your parents lend you the money?