Disability Benefit Loan

alexb123

I'm on long term disability benefit. However I get a regular income from my OH. Would I qualify for a loan from a major bank?

Thanks

tomtontom

Try your own bank, if they say no it's unlikely another will help. They'd need to know that you can repay the loan, money from your OH is not guaranteed so is unlikely to be counted as income.

CKhalvashi

It would depend ultimately on whether the bank feels the loan is affordable.

None of us are able to answer this from the information we have.

alexb123

Okay that was a no from the bank, oh well. Thanks for the opinions

However, I do have £4500 credit limit on my credit card am I able to give that money to someone? i.e transfer it into their account? Or can you only spend money with a registered organisation?

Thanks

CKhalvashi

You can technically do a transfer with Paypal for a low fee.

Don't do it often, however, and don't spend unless you can pay the card at the end of the month.

tomtontom

Be careful doing large transfers (or taking out new lending) whilst looking for a mortgage. It will raise concerns when they check your credit file.

andyfromotley

There have been posts on here before about loans whilst on benefits.

IIRC correctly its a complicated picture. Some benefits are counted as income some aren't. There doesn't seem to be a clear process for this.

All lenders of course will assess your income and this is where most would fail even if the include certain benefits.

alexb123

Thanks all. The situation is that we have a mortgage deposit sitting in the bank but because its was in the OH's company util a few days ago it can't be used for the mortgage, despite the company doing great. We didn't know it needed to drawn as salary over time.

I'm not on the mortgage so I just want to get a few thousand together for the next application. And I can have it back in the account before anyone knows its missing

I will look into the paypal option Thanks all

CLAPTON

alexb123 wrote: »

Thanks all. The situation is that we have a mortgage deposit sitting in the bank but because its was in the OH's company util a few days ago it can't be used for the mortgage, despite the company doing great. We didn't know it needed to drawn as salary over time.

I'm not on the mortgage so I just want to get a few thousand together for the next application. And I can have it back in the account before anyone knows its missing

I will look into the paypal option Thanks all

I'm not exactly sure what you are saying, but if you want to use the money for a deposit on for mortgage purpose, then they will ask the source of the money.


maybe you could consult a mortgage broker

alexb123

It was a mortgage broker who got us into this situation.

CKhalvashi

The money can be withdrawn as a dividend, surely?

Or a directors loan that's converted to a dividend at year end

Or whilst not tax efficient, a large bonus

Is your OH trading as a sole trader or limited company?