personal loan interest rate for 25000 - advice pls

drpbalaji1960

Hi
I'm planning to take a personal loan of 25,000 pounds from HSBC bank. i will be grateful if someone could advice pls whether i should split the loan as 15,000 and 10000( 2 loans separately requested at different times) rather than 25,000 in one loan to avoid higher APR rate.

Thanks very much

[Deleted User]

Leaving aside whether you will be able to get 25k at all, the danger of making two applications is it increases the chances of being declined for the second, due to the additional search and additional credit given.

The second loan could also be given at a higher rate, for risk reasons.

HappyMJ

drpbalaji1960 wrote: »

Hi
I'm planning to take a personal loan of 25,000 pounds from HSBC bank. i will be grateful if someone could advice pls whether i should split the loan as 15,000 and 10000( 2 loans separately requested at different times) rather than 25,000 in one loan to avoid higher APR rate.

Thanks very much

As the previous reply states the second loan will be at a higher rate I recently took out a loan at 4.3% on £15k and for interests sake about a month later I had a look at what the rate would be if were to borrow another £15k....it was 24.9%. £25k would have been 7.9% on the whole amount in the first place.

Thrugelmir

HappyMJ wrote: »

As the previous reply states the second loan will be at a higher rate I recently took out a loan at 4.3% on £15k and for interests sake about a month later I had a look at what the rate would be if were to borrow another £15k....it was 24.9%. £25k would have been 7.9% on the whole amount in the first place.

Were you actually offered this rate?

jayjay21

If you actually want/need the £25k, I think you'd be best to just make a single application as you'd be running the risks of not being able to obtain the credit at a later date, furthermore, having one open loan could potentially effect the rate they offer you IF they offer a second loan. Alternatively, why not look elsewhere for a better rate on the £25k?

drpbalaji1960

thanks for all the reply. much appreciated for the advice.
many thanks