LOAN - HELP (outrageous APR rating/personalised)

Gaz83

konn1ch1ha wrote: »

Running out of options...

You have an option. You just don't want to take it.

PeacefulWaters

Newly self employed.

Maxed overdraft.

Financially clueless.

29% is a bargain.

enthusiasticsaver

How are you going to repay a loan without a job? Is your self employed income regular?

konn1ch1ha

Herzlos wrote: »

You have an option; you've already been quoted a loan.



It's worth noting that if you do this, your repayments will remain the same (~£200/month) with a vastly reduced term (10 months rather than 36), rather than reducing the repayments and keeping the term. So if you're looking to minimise outlay, taking a £1700 loan @ 29% may work out better. If your wanting to pay the least interest, borrowing £7500 and overpaying by £5800 is going to be better.

Alternatively, you can try to re-mortgage, but they probably won't be interested for as little as £1700.

Yeah, I've spoken to a remortgage team. It's gonna cost around £2000 for solicitors' and surveyors' fees just to get it off the ground. Not worth it.

I'll look into the £7500 option.

konn1ch1ha

enthusiasticsaver wrote: »

How are you going to repay a loan without a job? Is your self employed income regular?

Fairly regular. Though, I will have to pull a few more strings to make ends meet for sure.

Candyapple

I think you pinning your hopes on getting a loan of £7,500 is not feasible. You can't even get a credit card, your income is erratic, you have 2 hopes; Bob Hope and no hope. And Bob Hope's dead.

If you don't have any family/partner/friends you can borrow small amounts from to make up the £1,700 your only other option would be to sell anything you own of value. Or just take the loan offered to you with the high APR and learn from this to budget better, especially given you had years to save up such a small amount in the grand scheme of things.

foxy-stoat

If you cannot afford to pay £1700 for repairs, that you have known about for a few years, then maybe owning your own property is not for you.

If this is the flat that you let out then you should be able to deduct the costs from your income tax and you should have a nice savings fund already as you are not paying a mortgage, unless you are using this as the main source of income.

If you "have to pull a few strings to make ends meet" on the possible loan repayments, which would be £100 a month based on 27% interest over 2 years, then you should be thinking about selling the property now.

Where are you living, another mortgage free property or are you paying rent?

konn1ch1ha

foxy-stoat wrote: »

If you cannot afford to pay £1700 for repairs, that you have known about for a few years, then maybe owning your own property is not for you.

If this is the flat that you let out then you should be able to deduct the costs from your income tax and you should have a nice savings fund already as you are not paying a mortgage, unless you are using this as the main source of income.

If you "have to pull a few strings to make ends meet" on the possible loan repayments, which would be £100 a month based on 27% interest over 2 years, then you should be thinking about selling the property now.

Where are you living, another mortgage free property or are you paying rent?

I'm paying rent.

It is my main source of income at the moment and then I have my self-employed thing, which is extra 'pocket money'. This is why I'm considering getting a part-time job for the top.

I've knuckled it down to around £80pm for the repayments.

27cool

Stop lending money you cannot afford, to people who have no intention of paying it back.
Impoverishing yourself is hardly sensible when you are trying to get on a solid financial footing.
Loans to family and "friends" are rarely a good thing. Just read the hundreds of posts from people who have done this and then regretted doing it.