advice on a new 10,000 loan pls

seasideholiday1

Hello , i am new to this site, after some advice on applying for a 10,000 loan pls.
ive never had a loan before or credit card , so really would be gratefull, as i have not got a clue what i am doing & dont want to agree to something silly.
ive checked my noodle credit score its 3/5 & my partners is 1/5 , all the bills everything we buy is in my name, so i think thats why his score is lower eg mobile bills. even thou he earns 30,000 per year i only work part time & earn 6,000. ive just always delt with the bills & never missed any payments never.
i need a home improvements loan of 10,000 for new windows & fitted kitchen. my partner applied on line to Tesco last night, as a single application, & got refused , this morning we applied again jointly & was refused again. ive since range Natwest ( my bank) & been pre approved? but the rates are much higher which means over ten years total we would pay back would be 21,000 much higher than we planned, 11,000 intreast.
Is this normal ? repayments would be 175.00 per month for ten years. much more than i thought.
my questions are would we be better off adding 10,000 to our mortage repayments would be 100.00 per month extra for 25 years. or taking the natwest loan, or searching for another loan? (any advice on which company really would be helpfull) , i know our credit score is not great, threw lack of credit history on my partners side.
we can aford to pay back a loan, our out goings are 1200 per month plus food, incoming would be 40,000
just would like a reasonable intrest rate, thankyou for any advice

No1Stoney

A word of warning here. Do not keep applying for credit until you've done your homework. As each application for credit, regardless of whether you are accepted or not, will be further hampering your chances of getting credit. Each application leaves a mark on your credit file, and lender can view multiple searches as being desperate for credit. This can have an impact if there are more than say a couple in a few months. I'm sure someone will be along soon to help you with your questions though.

DCFC79

I cant see you getting a loan of 10k on a salary of 6k (or is it 8k) a year, maybe you coiuld get 1 with a high apr and maybe thats the best thats available. Id stop applying, do some scrimping, save up and leave it a while before you apply again.

19lottie82

there is no way you, alone, will get a loan for 10k, with an income of 8k, sorry.

if you get a joint loan with your partner, then you will be financially linked and his credit rating will drag yours down too. Hence why this is a bad idea.

Do you really "need" a new kitchen?

seasideholiday1

Hi thankyou for your replys & help.advice,
We would be applying jointly, joint income of 40,000.
windows really do need replacing, leaking, poorly fitted, mold around them, freezing cold in winter, & the kitchen is in a very bad state of repair. basically its a sink unit & 2 units, which are falling to bits, very small. we would also be spilting one bedroom into two, so the children can have there own room, as there is a 8 yr age gap ,
i have never even thought about applying for a loan before & wouldnt be thinking about it unless these jobs really needed doing, thankyou

DCFC79

seasideholiday1 wrote: »

Hi thankyou for your replys & help.advice,
We would be applying jointly, joint income of 40,000.
windows really do need replacing, leaking, poorly fitted, mold around them, freezing cold in winter, & the kitchen is in a very bad state of repair. basically its a sink unit & 2 units, which are falling to bits, very small. we would also be spilting one bedroom into two, so the children can have there own room, as there is a 8 yr age gap ,
i have never even thought about applying for a loan before & wouldnt be thinking about it unless these jobs really needed doing, thankyou

Ok so applying jointly, get your reports from the other 2 ref agencies and see what they are like but as your applying jointly your credit rating will be dragged down as Lottie says so paying a high % might be the best there is. Not sure what other avenues you can try though. Maybe its a case of your partner building up some credit history first.

Pixie5740

I know all the bills are in your name but what about the mortgage? If you have a joint mortgage you will already be financially linked.

seasideholiday1

Hi, thankyou all for your help, yes i think the best bet would be apply for 2 other credit files, see how they compare, & build up my partners credit history.
I did not really want to go down the credit card route, but if he puts petrol on it & repay in full every month, it might boost his credit score,:T
i think the credit system scoring is unfair for people that are carefull with money & never get loans or credit cards, through fear of getting in debt.
its like playing a game of monopoly with plastic :eek: thanks again for everyones help, saves me from jumping in to a high intrest loan.
game is now on to see how long it takes me to boost his score.:T

CLAPTON

seasideholiday1 wrote: »

Hi, thankyou all for your help, yes i think the best bet would be apply for 2 other credit files, see how they compare, & build up my partners credit history.
I did not really want to go down the credit card route, but if he puts petrol on it & repay in full every month, it might boost his credit score,:T
i think the credit system scoring is unfair for people that are carefull with money & never get loans or credit cards, through fear of getting in debt.
its like playing a game of monopoly with plastic :eek: thanks again for everyones help, saves me from jumping in to a high intrest loan.
game is now on to see how long it takes me to boost his score.:T

get all three credit files

do they show you both on the electoral roll

do you both have a CC each ?
they are excellent for building a credit history : use them regularly for normal things; pay in full each month without fail and credit history will slowly build up

seasideholiday1

Hi, no we don't have credit cards, never have had, too much small print but I will be researching & applying for 2 today, yes we are both on ele roll, so hopefully a credit card will boost his score thanks

jellie

seasideholiday1 wrote: »

Hi, no we don't have credit cards, never have had, too much small print but I will be researching & applying for 2 today

So long as you only ever put on your credit card what you can pay off in full when the statement arrives, they can be a good thing - cash back/air miles/clubcard points etc.

I haven't paid a penny in interest for years, but have bought lots of things with the clubcard vouchers that Tesco send me regularly.