LOAN - HELP (outrageous APR rating/personalised)

konn1ch1ha

Hello all,

So some of you may already know, as I've already posted several related questions, I am looking for a loan for necessary home/property repairs. My flat is owned by myself (no mortgage), in the value of around £110,000, and it's a part of a management company (I own 4% of the building, sharing the same proportion in responsibility).

I have applied for a loan through my bank, Lloyds, who have offered, but at the price of 29.7% APR, which is a huge monthly outgoing of repayments. Nowhere else can offer me a loan.

In summary, is there a way I can use the capital of my flat to get a cheaper deal. It's just ironic that I can't afford the £1700 for repairs, but I have all of that capital in my property. Surely a bank can give a little leeway on that?

Any insight would appreciated.

Gaz83

Banks will offer higher APR on smaller loans.

If you're applying for a loan of just £1,700 then that could go some way to accounting for the high APR.

An option would be to apply for a £7,500 loan, which may be offered at a cheaper APR, and then, if you're approved, immediately repay £5,800. That way you have in effect a £1,700 loan at (hopefully) a lower APR.

I'm not sure what you're actually after, you've posted this question twice before and been given help, have you followed all the advice you've been given previously?

konn1ch1ha

Gaz83 wrote: »

Banks will offer higher APR on smaller loans.

If you're applying for a loan of just £1,700 then that could go some way to accounting for the high APR.

An option would be to apply for a £7,500 loan, which may be offered at a cheaper APR, and then, if you're approved, immediately repay £5,800. That way you have in effect a £1,700 loan at (hopefully) a lower APR.

I'm not sure what you're actually after, you've posted this question twice before and been given help, have you followed all the advice you've been given previously?

That's not a bad idea. It probably won't work due to my financial status but worth a punt.

I just want to secure a loan that can help pay for my repairs on my flat's building and not get a huge interest rate.

I guess it makes sense banks charging more on smaller loans.

Pixie5740

Why apply for a £1,700 loan? At that level a credit card, specifically a money transfer card would be more appropriate. Alternatively an overdraft for that level of lending although that would probably work out more expensive than a money transfer card.

konn1ch1ha

Pixie5740 wrote: »

Why apply for a £1,700 loan? At that level a credit card, specifically a money transfer card would be more appropriate. Alternatively an overdraft for that level of lending although that would probably work out more expensive than a money transfer card.

I've already maxed out my overdraft so that option's out the window.

And the property managers don't accept credit card!

Gaz83

konn1ch1ha wrote: »

It probably won't work due to my financial status

If that's the case, then you are about to find out that not every financial problem has a solution.

As you've admitted on other threads, you knew about this work for a couple of years before it needed paid for, and have done nothing about it.

You do not have a right to be lent to.

Pixie5740

I did say "a credit card, specifically a money transfer card." With a money transfer card such as the ones offered by Barclaycard, MBNA and Virgin, you can transfer the money into your bank account to then spend as you wish. The 3 cards I mentioned all offer 0% on money transfers for X number of months although there is usually a fee (approximately 3% of the amount being transferred).

konn1ch1ha

Gaz83 wrote: »

If that's the case, then you are about to find out that not every financial problem has a solution.

As you've admitted on other threads, you knew about this work for a couple of years before it needed paid for, and have done nothing about it.

You do not have a right to be lent to.

What would you know?

I've lent family members money on the strength they promised to pay it back, when they desperately needed it, and now I need it but they don't have the money. If I were to be a selfish !!!!! and not lend the money in the first place, I wouldn't need to borrow from the bank right now.

Think first before making snidey, sanctimonious comments.

konn1ch1ha

Pixie5740 wrote: »

I did say "a credit card, specifically a money transfer card." With a money transfer card such as the ones offered by Barclaycard, MBNA and Virgin, you can transfer the money into your bank account to then spend as you wish. The 3 cards I mentioned all offer 0% on money transfers for X number of months although there is usually a fee (approximately 3% of the amount being transferred).

Yeah, I checked them out but a lot of them only cover up to about £1200, whereas I need around £1700. Thanks for the input, anyway.

Candyapple

konn1ch1ha wrote: »

Yeah, I checked them out but a lot of them only cover up to about £1200, whereas I need around £1700. Thanks for the input, anyway.

I don't think you understand. The £1,200 you are seeing is a representative example. I have a money transfer card from MBNA with a £10k limit. It's not the exact credit limit you will be getting - that would be down to your credit history, salary etc.

Pixie5740

konn1ch1ha wrote: »

Yeah, I checked them out but a lot of them only cover up to about £1200, whereas I need around £1700. Thanks for the input, anyway.

No they don't. I have 3 money transfer cards with the lenders I mentioned and not a single credit limit is under £10k.

The £1,200 you're seeing on the landing page is a representative example.