Getting a loan after discharging from bankruptcy

punto_chris

Last month I was finally discharged from bankruptcy. I have learned a lot from the mistakes I made that forced me to become bankrupt in the first place and I always said I wouldn't get another loan of CC. Unless I was to get a mortgage.

6 months ago I started a new job and things are going really really well. Can't fault the job one bit. I'm an IT systems engineer and work all over the country so as part of my job I get a company car. Which is great, but it doesn't suit me. They have given me the option of having a car allowance so I can find my own transport. This is perfect for me as I'm a real car enthusiast and really want to buy my own car, one that I can enjoy driving and has all the extra's I like. Taking a company car I don't get that, I get a bog standard model that I don't enjoy.

Now the problem is that I can afford to get a car with the allowance with is £250 a month. I've worked out all the figures and all looks great. There is only one snag, getting the lump sum of money to buy the car I want. I've gone to a few companies that reckon they can help, but as of yet no luck. Now I'm reluctant to keep trying different companies as I know this will affect my credit score even more.

So what can I do? Do I have no choice other than take the company car? I've got a couple more month to decide as at the moment I'm using the pool car but this goes in November.

Sorry for the long post but I'm really stumped. Thanks in advance.

jonesMUFCforever

IMO you have no chance with a mainstream lender.

To be honest in your position I would take up the company car. I don't think you can afford to be picky.

punto_chris

I was afraid that might be the case.

I was made to feel it was hard to get a loan after bankruptcy, but not impossible.

When you say not with mainstream lenders I assume you mean I might have a chance with more unscrupulous lenders?

punto_chris

Could I not get a secured loan on the car?

jonesMUFCforever

punto_chris wrote: »

Could I not get a secured loan on the car?

Do you mean by securing your home against a car?
If so that would be madness IMO.

If the job works out then you can start saving until (I assume that you will get one chance every financial year to make your mind up about what to do re company car) you are in a position to put a decent deposit on a car you want.
You will also show your lender that you can afford to put money aside to meet repayments.

You also asked about unscrupulous lenders - yes I'm sure that you could find a back street money lender but how would it affect your work if they suddenly cut one of your fingers off for missing a payment??

punto_chris

No that's not what I meant.

In the end I took the company car option, which was a good decision. I have a brand new Fiat Bravo Sport that I pay next to nothing for. Happy days

However, I have recently moved in with my long term girlfriend. We are in desperate need of a few bits for the house and more importantly a new bed. I've been trying to find a loan for £1000 but I haven't been able to get anything at all. I have received a letter from Wentworth Direct Finance, but after doing some research I'm not going to bother with them at all.

The problem is this is the only place that's even hinted I they will give me a loan. I was discharged from bankruptcy 2 years ago this week but I'm still finding it impossible to any form of credit anywhere. Even my bank won't give me a £50 overdraft.

What can I do, if anything, to sort this?

Kez100

No one is desparate for a few bits for the house. Everything can be bought second hand really cheap. I admire you for going with the company car option as I think another loan would just restart your old ways. However, then I read you want to borrow for something else! Please, do yourself a favour and DON'T borrow unless, as you say, you decide one day to get a mortgage.

If you save for things you have to wait for a while but they cost sooooo much less in the long run. Don;t say you can't afford to save - if you can afford to service a loan you can afford to save.

punto_chris

Thank you for your input, but that's not what I was looking for.

I have a perfect grip on my finances now and I'll never get into the bother I did again. £1000 over 24 months isn't exactly earth shattering. so the chances of my defaulting a nil.

We are in desperate need a new bed, we've already bought a second hand bedstead but we now need a matress as our current matress is too small for the bed and gives us both awful back pain.

Please can someone advise me on the answer to my question and not whether you think I should get a loan or not. Thank you.

TheAnalyst

punto_chris wrote: »

Thank you for your input, but that's not what I was looking for.

I have a perfect grip on my finances now and I'll never get into the bother I did again. £1000 over 24 months isn't exactly earth shattering. so the chances of my defaulting a nil.

We are in desperate need a new bed, we've already bought a second hand bedstead but we now need a matress as our current matress is too small for the bed and gives us both awful back pain.

Please can someone advise me on the answer to my question and not whether you think I should get a loan or not. Thank you.

As a discharged bankrupt the only place you are likely to get a loan if any would be Welcome Finance!

They charge around 60% APR so on a £1000 loan ofer 24 months I make it that £2200 total repayments.

Seriously, don't do it!!!


You could try littlewoods catalogue, they do 0% for 12 months... they are a little more expensive than high dtreet shops but tend to be pretty lax when it comes to bad credit history.

jonesMUFCforever

Littlewoods will make a search on you just like any other lender.
Unfortunately I do not think that they will give you credit.

skylight

Have you actually cleaned up your credit file yet?? There is a sticky on the BR board relating to default dates etc etc. and how to start cleaning it up.