Cash Secured Loans

khazmash

Hi

Does anyone know of banks that do personal loans secured against cash deposits. I have the funds available and am looking to get a loan of roughly 5k, I know my credit history is bad and wont be able to get a loan the traditional way. Just wondering if anyone knows of reputable institutions that perform this service. My main aim is to rebuild my score and am aware that it will cost me more in the long run but I am willing to take the hit.

DCFC79

khazmash wrote: »

Hi

Does anyone know of banks that do personal loans secured against cash deposits. I have the funds available and am looking to get a loan of roughly 5k, I know my credit history is bad and wont be able to get a loan the traditional way. Just wondering if anyone knows of reputable institutions that perform this service. My main aim is to rebuild my score and am aware that it will cost me more in the long run but I am willing to take the hit.

Not your score but your rebuilding the credit history.

Is the end game to improve your credit history/file ?

Get a credit card suitable for those in your situation and use it and pay it off monthly.

It takes patience for your credit file to improve.

27col

Why do you need to borrow if you have cash on deposit.
Just borrow your own money from yourself. Repay to yourself and you can let yourself have a loan at a very low rate of interest. ie 0%

marcarm

27col wrote: »

Why do you need to borrow if you have cash on deposit.
Just borrow your own money from yourself. Repay to yourself and you can let yourself have a loan at a very low rate of interest. ie 0%

OP wants to rebuild their credit history, so using the money they already have will not enable them to do that.

AnotherJoe

khazmash wrote: »

My main aim is to rebuild my score and am aware that it will cost me more in the long run but I am willing to take the hit.

Why do you wish to rebuild your score rather than credit history ?

dealer_wins

Best way to have a credit score of 10000 gazzillion is to never need a loan.

Have a rainy day fund, emergency fund and 3 months salary saved and BOOM.

CHR15

marcarm wrote: »

OP wants to rebuild their credit history, so using the money they already have will not enable them to do that.

It's a Bat Crazy idea to PAY to rebuild a credit history. I mean real Fruitloop territory.

It would be cheaper to take a loan with a poor credit file and pay needless interest on unnecessary loans for no other reason than to pay it all back.

Lets move out of Crazy land and advise the OP to take a credit card, use it regularly and repay it each and every month. This will improve a credit history....for free.

It takes 6 years to fix with only slow incremental improvements along the way.