Loan

alansmith7

Hi All

I have trying to help my friend out with her finances and she need to take out a loan as she is running out of cash, she has recently tried to apply for a loan but her application has been rejected. She wants to take a loan for £1500.00, i am not sure which lender to advise her to go to get the loan.

Thanks

[Deleted User]

Her own bank is likely to be best. But there's no point in her banging out applications if she has a lot of negatives on her credit report. Or no income.

What are her circumstances?

alansmith7

Deleted_User wrote: »

Her own bank is likely to be best. But there's no point in her banging out applications if she has a lot of negatives on her credit report. Or no income.

What are her circumstances?

she has already had a loan with her bank, she only needs to have a new loan for a few months as she will be remortgaging her house to pay off her debts.

she has more outgoing then incoming because she is paying her debts off.

Gaz83

She has more outgoings than incomings? And is about to remortgage her house to pay debts? What level of debts? Why take on more debt if she is struggling to pay off her debts?

It's not the smartest idea to apply for credit when you're about to apply for a mortgage.

Nope, I wouldn't expect any mainstream lender to even entertain the idea - and if I was you I would leave your 'friend' to it.

19lottie82

alansmith7 wrote: »

she has already had a loan with her bank, she only needs to have a new loan for a few months as she will be remortgaging her house to pay off her debts.

she has more outgoing then incoming because she is paying her debts off.

Hi Alan,

From the sounds of it, another loan is the last thing your friend needs. Also, based on what you have told us, I doubt anyone would give her one.

Tell her to post on here, on the Debt Free Wannabe part of the board so we can advise her better.

And also to get in touch with Stepchange, they are a debt charity (no fees) who will help her.

alansmith7

19lottie82 wrote: »

Hi Alan,

From the sounds of it, another loan is the last thing your friend needs. Also, based on what you have told us, I doubt anyone would give her one.

Tell her to post on here, on the Debt Free Wannabe part of the board so we can advise her better.

And also to get in touch with Stepchange, they are a debt charity (no fees) who will help her.

i have helped her through her income and expenditures, she has contacted her a debt advisory company but they only advised her to cut down on her expenditure which she has.

Ok i will post on debt free wannabe board

alansmith7

Gaz83 wrote: »

She has more outgoings than incomings? And is about to remortgage her house to pay debts? What level of debts? Why take on more debt if she is struggling to pay off her debts?

It's not the smartest idea to apply for credit when you're about to apply for a mortgage.

Nope, I wouldn't expect any mainstream lender to even entertain the idea - and if I was you I would leave your 'friend' to it.

I cant leave her to it, she was there for me when i needed someone and i feel its wrong to leave her in this mess.

the only reason why she wants take out a loan is because she needs extra income for next few months then she will be able to pay off her debts. she has got debts of 18k

Pixie5740

It's unlikely your friend will get a loan. Could she maybe look at selling some things to raise the £1,500? CDs and DVDs she no longer uses or any old mobile phones lying around.

alansmith7

Pixie5740 wrote: »

It's unlikely your friend will get a loan. Could she maybe look at selling some things to raise the £1,500? CDs and DVDs she no longer uses or any old mobile phones lying around.

i have already helped her with the selling some of her belongings which she doesnt need but she is still sort of cash

alansmith7

Quick question.... If my friends talks to her credit card company and tells them she needs to lower her monthly payments would this affect her credit report?

lindens

The best help you can give your friend is to show her the debt free wannabbee section, and read other people's horror stories, many of which involve consolidation which then makes things worse.
At the very least get her to read the helpful sticky at the top and fill out an SOA.
If her outgoings are more than her incoming sshe has 2 choices - reduce her outgoings or increase her income.