Reasons for applying for loan?

immuno

Hi everyone,

So, I have a 2k loan and wanted to increase it by 1k (effectively re-finance it, so apply for a 3k loan and pay off the other one). I called Natwest and they asked me what the loan is for, and I said moving house. Finally, they told me that if it had been for home improvements, a holiday, a car, etc, it would've been fine..but not for the purpose of moving house. :eek: Do you think I should call up tomorrow and say it's for a holiday or a car (which is better, or does it not matter?) !? I need the money, and I don't see how using it for a holiday is better than for something essential like moving house (my contract is ending and can't be re-newed).

Thanks!

foxy-stoat

I would apply else where as they will know on their computer what the purpose of the first application was for, or just get a credit card if you need £1000 that much....or try and sell some stuff.


Good luck

immuno

foxy-stoat wrote: »

I would apply else where as they will know on their computer what the purpose of the first application was for, or just get a credit card if you need £1000 that much....or try and sell some stuff.


Good luck

Thanks. They didn't make a full application, so that's why I thought it might not be on their system. I didn't realise that I could apply elsewhere for a loan?

[Deleted User]

immuno wrote: »

I didn't realise that I could apply elsewhere for a loan?

Really? You can apply wherever you like - a bank, a building society, a payday lender or Knuckles McGee down the pub.

But I'd stick with one of the first two.

immuno

Deleted_User wrote: »

Really? You can apply wherever you like - a bank, a building society, a payday lender or Knuckles McGee down the pub.

But I'd stick with one of the first two.

Thanks. So is it best that I say it's for a holiday or something? Or a car?

Anthorn

immuno wrote: »

Thanks. So is it best that I say it's for a holiday or something? Or a car?

Wow it's been years since I last saw knuckles. You could try him but if he breaks your legs don't come running to me.

Money to move house first of all is down to budgeting and secondly isn't concrete enough to prove. For a budgeting loan try your local credit union but watch out for high interest and a savings requirement if you're new to the CU.

Try a balance transfer / money transfer credit card. Virgin Money do 0% cards for both purposes but charge a fee for a money transfer. A good reason for a money transfer with a card is paying off an existing account to save on interest or an account which cannot be done with a balance transfer. A maturing buy now pay later with Argos Card does both reasons at the same time

[Deleted User]

immuno wrote: »

Thanks. So is it best that I say it's for a holiday or something? Or a car?

Not if it isn't.

DCFC79

immuno wrote: »

Thanks. So is it best that I say it's for a holiday or something? Or a car?

Not something i would advise doing.

Your effectively wanting to extend the term of what you owe but lower payments.

Why are you wanting to refinance ?

sheff6107

Natwest might just insist on a loan being used for one tangible outgoing, but most others won't give a hoot.

Go on a comparison site - a soft credit search will give you a rough idea of who to apply to.

Mobeer

A loan for "moving house" gives the impression that your mortgage offer isn't sufficient and you are trying to make up the shortfall with a loan. In turn that sounds risky. That might not match your situation, it's just the impression that "moving house" gives. It would be better to be more clear and say you have been forced to relocate to a different rented property.

immuno

Mobeer wrote: »

A loan for "moving house" gives the impression that your mortgage offer isn't sufficient and you are trying to make up the shortfall with a loan. In turn that sounds risky. That might not match your situation, it's just the impression that "moving house" gives. It would be better to be more clear and say you have been forced to relocate to a different rented property.

Thanks. I did make that clear, but apparently it didn't help.

I'm not sure how refinancing lowers my payments? I just need an additional 1-2k, but I can't seem to be able to apply for the money transfer cards. I have a good chance of getting a Sainsburies bank loan, but Natwest doesn't give odds on the calculator.