Loan/Salary Ratio

Foxy-Stoat_3

Its usually a good idea not to have more than 50% loan to salary ration. Never heard of 30% before.

Its also a good idea not to lie to obtain credit and use borrowed money to gamble on the stockmarket.

Another quality tread on MSE!

iolanthe07

I got the loan and I told my bank it was for a car

You committed fraud, then. Good luck with that.

Foxy-Stoat_3

iolanthe07 wrote: »

I got the loan and I told my bank it was for a car

You committed fraud, then. Good luck with that.

Its fine, as the OP paid it back and made £10,000 profit....now he needs another £25,000 loan to re-invest in the stock market.

Not sure what happened to the £10,000 profit though, maybe its on the next page of this Jackanory.

somethingcorporate

The FTSE has never been higher, seems a great time to put a bunch of cash into it!

audigex

Note that the current loan may have been rejected purely on the grounds that you've recently had another large loan, suggesting that perhaps you're not on top of your finances.

Sanjjj1189

Pixie5740 - Thanks mate, and I invested £14,950K and got £10K profit so ended up with £25K

R P W - When you're sure of a companies outcome there is no risk

andyfromotly - Thanks mate

CalumHeath - That makes sense thanks

Foxy Stoat - Yeah it may not be a good idea, but the banks !!!! us taxpayers off all the time! so I feel fine making money off their money no-one gets hurt ... and I still have the £10K profit so its not gone anywhere!

iolanthe07 - Not really fraud, I got a car the same month so could just say I spent it on that!

somethingcorporate - If you think like that you'll never make money! the FTSE has been this high for months now and people are still making a fortune everyday

audigex - I understand that but it does not make sense that if I take a huge loan, then repay it early I am clearly on top of my finances

Vikipollard

Sanjjj1189 wrote: »

Hi guys, so I've been reading up on loans, and see many people saying you can only get one upto 30% of your salary..

I was earning £21,600 last year and got a £14,950 loan from Nationwide, so clearly this 30% figure is wrong or was I lucky?

I have had a promotion and earn £40,000 now, lets say for example I get a £25,000 loan over 5 years, I would earn £125,000 in that amount of time so why am I being declined?

Surely you would earn £200,000 over five years...?


Why have you not saved the difference in salary to fund your gambling err investment on the stockmarket?

Sanjjj1189

Vikipollard - well £40K - £8k tax is £32,000 x 5 = £160,000 so in actual fact that solidifies my point!

so why would I be declined for a £25,000 loan?! when as stated my outgoings are so minimal

and I have put my salary into the markets too, but more is better!!!

oh and unless the likes of Apple are going bankrupt anytime soon, it is certainly not a gamble but an investment

SeduLOUs

Why don't you just invest the £10k and grow it, and then you won't need the loans...

dealer_wins

For someone so financially clued up you ask a lot of basic questions!