Help Please - Parents just moved back to UK and need a loan

ChunkIOW

Hi, my parents have just moved back to the UK after being resident abroad for the last 10 years. They need a £10k to £15k loan for some purchases, however everyone saying no due to not being UK resident for last 12 months or 3 years. I would happily stand as guarantor or have a joint loan but I seem to also be struggling with this, down to criteria rather than credit as my own score is good.

Does anyone know of any lenders who would offer something to my parents either with or without my involvement at a sensible rate, 5% to 10% over 5 years?

Any thoughts greatly appreciated.
Thanks Andy

Voyager2002

What you call a "sensible" rate is not going to be possible...

I suggest you explore what you could borrow, and if you get any quotes that you find satisfactory, contact the lender and ask whether they would make a loan on the same terms with you standing as guarantor rather than borrower.

ChunkIOW

Thanks Voyager, I think the rate is a sensible request as my credit is good and I have no issues in gaining circa £10k for under 5%, the issue is doing it jointly with my parents to
a) enable them to have the funds rather than just me borrowing and then a family loan and
b) to also enable them to rebuild a credit score.

CLAPTON

ChunkIOW wrote: »

Thanks Voyager, I think the rate is a sensible request as my credit is good and I have no issues in gaining circa £10k for under 5%, the issue is doing it jointly with my parents to
a) enable them to have the funds rather than just me borrowing and then a family loan and
b) to also enable them to rebuild a credit score.

just lend them the money


they can build their credit score over time


presumably they have a bank a/c and some income

YorkshireBoy

ChunkIOW wrote: »

I would happily...have a joint loan

my credit is good

But will it still be good once you're financially associated with them? Clue: the answer is not yes.

Re the guarantor option...this will be far more expensive, so you may as well take out the loan for them since you believe you have a good credit rating. You do trust them to repay?

Then let them build their own credit over time as CLAPTON says above.

DCFC79

Risky you being a guarantor for them, easier to either lend them the money or take out the loan and give them the money and to repay x amount back each mother.

ampersand

A programme on R4 today, re: lending to family.
Strongly suggest you listen:
http://www.bbc.co.uk/programmes/b04f9r4r

ChunkIOW

Thanks all for your comments and suggestions, much appreciated.