Loans

leighclaire

Hi just wanted a bit of advice really. I currently have quite a few loans and not the best credit rating. I would like to consolidate all of my debt and pay one monthly amount per month however with my credit rating not being the best the bank can’t offer me a great interest rate (not even sure if I am eligible) and I have stupidly got a couple of pay day loans which are making my outgoings go very high.
Is it best to leave the loans as they are and just wait a few years until getting a new one or should I attempt getting doing a debt consolidation if I can pay less interest in the long run?
Any advice would be much appreciated as I am unsure what to do for the best.
Thanks

[Deleted User]

You won't get a consolidation loan.

Throw as much as you can at the highest rate debt, then minimum at the other (plus £1 for credit card).

Cut your costs and put any spare cash to the highest rate debt.

dresdendave

OP, the advice from ZX81 is spot on, even if not what you were hoping for.


Slash outgoings and/or increase income, increase debt repayments.


Reduce your debt, rather than merely shift it elsewhere.

-taff

go to the debt free wannabe board for help budgeting and with the debt

Ilona

Hi. You will never get out of the loan trap if you keep on borrowing, all you do is move them around. Go to Debt Free Wannabee and post up your Statement of Affairs, then the good people on there can suggest ways to cut your spending so you have more to pay off the loans. If you can earn more, that would be a good idea as well.

http://www.stoozing.com/calculator/soa.php

Ilona

Catlady2017

Hi everyone,
I am just hoping that someone can help me....recently I have taken out personal loan without telling my family, friends and my boyfriend. Thats the reason I am asking for an advice on here.
Right, so I have taken 14.000 thousand pounds and the extra payment is over 7000! Surely thats not right?...I have asked my manager what he think about it and he said its just wrong to pay almost the half what I have borrowed!... When I was taking the loan I felt under pressure from the person on the phone saying that if I won't agree to their terms today they don't know if it will be possible again in the future. I have had a situation and needed some of the money so I agreed but even the guy in the bank said its a lot to pay off....
Hope I did make some sense and someone can help me what should I do now. Perhaps I can take this matter further somewhere so they can reduce the total loan? Oh the loan was from HSBC so perhaps someone was/is in the same situation as me:/
Thank you

Arleen

14k over what period? Over 3 years all it takes is ~16% APR to repay half of what you owe in interest. And it can go a lot higher than 16% in interest rates.

So what can you do? Hunker down and repay it. Cut your spendings, overpay as much as you can and don't do that again.

zippygeorgeandben

Have you accepted this loan? Surely there is a 14 day cooling off period. Over how many years is this loan and did you shop around before accepting?

redpete

Catlady2017 wrote: »

I have had a situation and needed some of the money so I agreed ...

What are the early repayment conditions? If you pay back the portion of the loan that you didn't need you will reduce the total amount of interest.

DCFC79

Catlady2017 wrote: »

Hi everyone,
I am just hoping that someone can help me....recently I have taken out personal loan without telling my family, friends and my boyfriend. Thats the reason I am asking for an advice on here.
Right, so I have taken 14.000 thousand pounds and the extra payment is over 7000! Surely thats not right?...I have asked my manager what he think about it and he said its just wrong to pay almost the half what I have borrowed!... When I was taking the loan I felt under pressure from the person on the phone saying that if I won't agree to their terms today they don't know if it will be possible again in the future. I have had a situation and needed some of the money so I agreed but even the guy in the bank said its a lot to pay off....
Hope I did make some sense and someone can help me what should I do now. Perhaps I can take this matter further somewhere so they can reduce the total loan? Oh the loan was from HSBC so perhaps someone was/is in the same situation as me:/
Thank you

Not overcharged, thats the lowest rate the bank could offer you, yes its alot to pay back.

You should really have started your own thread.

[Deleted User]

Catlady2017 wrote: »

I have taken 14.000 thousand pounds and the extra payment is over 7000! Surely thats not right?

It sounds right, based on the information you've given us.