Accepted for a loan I don't need now

Frustratedseller_3

I have recently been accepted for a loan as I thought I would need extra money following the sale of my house, to pay off a sinking fund payment required by the leaseholder. As it turns out the leaseholder completely miscalculated what payment I was due to make and I now don't need the loan.

I haven't returned the signed loan agreement but was wondering if I don't take up the loan offer will it effect my credit rating as I may need to get a lower value loan when I move into my new house in a couple of months time.

Any ideas?

Apples2

If you are happy with what you have been offered why not just take the loan and leave it alone inthe bank until you need it?

You will of course have a search on your file which may or not hinder a next application, but it certainly won't help improve an offer.

Southend1

Apples2 wrote: »

If you are happy with what you have been offered why not just take the loan and leave it alone inthe bank until you need it?

Because it would cost money in unnecessary interest on the loan? :eek:

enfield_freddy

just say "thank you" "I have been offered a better rate"


thank you

Foxy-Stoat_3

How much is the loan, and how much do you need in a month's time?

Herzlos

You haven't agreed to it yet? Just tell them you no longer need it. It'll show up as a search, but not as a loan.

If you've already got it? Just pay it back and it'll show as cleared.

Apples2

Southend1 wrote: »

Because it would cost money in unnecessary interest on the loan? :eek:

What???

You pay interest over the term of the loan. whether you need it now or in three months is of no consequence, you would finish the repayments three months earlier than taking it out three months later.

If it's more than you need, just make an overpayment back again.

CrisAdams

Your credit score is impacted by your utilization ratio. Credit bureaus and lenders are interested in what is known as a balance-to-limit ratio, also known as your utilization ratio, which compares the amount of credit being used to the amount of total credit available to the borrower.

The ratio is more important today than how much available credit you have. From a lender's standpoint, a low balance-to-limit ratio is a strong indicator of good credit risk.

Apples2

CrisAdams wrote: »

Your credit score is impacted by your utilization ratio. Credit bureaus and lenders are interested in what is known as a balance-to-limit ratio, also known as your utilization ratio, which compares the amount of credit being used to the amount of total credit available to the borrower.

The ratio is more important today than how much available credit you have. From a lender's standpoint, a low balance-to-limit ratio is a strong indicator of good credit risk.

Ratios you say? Where can I buy some ratios?

d70cw6

take the loan anyway and put it all on black


what could possibly go wrong?

Foxy-Stoat_3

Buy Premium Bonds....you'll be rich...rich I tells you !!!!!