Loan advice - I wont go for a naff deal

cybermat

Hello
I am looking into getting a loan at the moment to pay off 2 debts and to have a little spare for a car. I am only looking at about £4000 max

The loan offers on the site said to go for Zopa and it said about 3% APR but after a proper check on Zopa they will offer me 18%

There is no chance I will go for a naff deal like that, I can pay the debts off slower and get myself a 2nd hand Micra or Civic which will cost £300 and live longer than I will.

Is there some way to improve on this offer or shall I just file it in the bin, just carry on paying it all off and start a search on Autotrader for a cheap un.

The days of me taking on a naff loan as I really needed to are well behind me.

[Deleted User]

It depends on your circumstances. But needing a consolidation loan rarely opens up low rates.

Buy a car you can afford with cash.

Candyapple

For such a low amount, have you thought about a 0% money transfer card instead of a loan?

https://creditcards.moneysavingexpert.com/?money-transfers&_ga=2.247552771.529710553.1499073251-1296058811.1499073251

What do the results come back as?

cybermat

I have £800 outstanding on an old capital one card
£2000 overdraft to kill off and after a medical restriction is lifting I can drive again soon so want to get something unexciting, reliable and cheap - Honda,Nissan, French Diesels etc

I am paying off the debts gradually anyway but was thinking about maybe getting a loan to consolidate some and use the change on a car.

As the rates are not worth biting, I think I will probably just carry on as I am and get a higher mileage but still reliable old car - 206 diesel you cant go wrong really to be honest or a pensioners chariot Nissan Micra.

I paid off a £5000 nat west loan last September and never missed a payment in 4 years but still getting fairly poor results when searching at the moment. I wont just leap into a poor deal so will probably as you say buy a cheap car I can afford without a loan and just pay everything off.

I am lucky in that I dont 'have' to get a loan these days, in my student years it was tough to live without a pile of debt.

cybermat

I checked that link by the way Candyapple and it said 0% eligibility for any of them.
Not quite sure why - I just paid off a £5k loan without missing a single payment.. non the less - cheap motoring it is

Candyapple

cybermat wrote: »

I checked that link by the way Candyapple and it said 0% eligibility for any of them.
Not quite sure why - I just paid off a £5k loan without missing a single payment.. non the less - cheap motoring it is

Check your files, there is obviously something wrong if you are getting zero.

The free versions to check your credit files are below:
Experian: https://www.moneysavingexpert.com/creditclub
Equifax: https://www.clearscore.com
Call Credit: https://www.noddle.co.uk

dresdendave

cybermat wrote: »

I am paying off the debts gradually anyway but was thinking about maybe getting a loan to consolidate some and use the change on a car.
.

Doing the above wouldn't pay off the debts, in fact it would increase them.


Go with your other plan, buy a cheap run-around and throw as much cash as you can at the debts.

jonesMUFCforever

Most of the best loan deals I have seen are for amounts over £7500 (some £5000) so your application for £4000 is bound to deliver a higher APR.

cybermat

Thanks folks - idea binned.
I would rather take a while longer paying everything off than plump for a !!!!!! deal so it's an MOTd banger for me and an increase in my capital one payments for a few months instead I reckon.
I'm going to increase my payment from £50 to £200 and nail that instead.
By xmas it will be a memory and can start to save for banger bits till my Overdraft is nailed

Thanks for the advice non the less

Candyapple

cybermat wrote: »

Thanks folks - idea binned.
I would rather take a while longer paying everything off than plump for a !!!!!! deal so it's an MOTd banger for me and an increase in my capital one payments for a few months instead I reckon.
I'm going to increase my payment from £50 to £200 and nail that instead.
By xmas it will be a memory and can start to save for banger bits till my Overdraft is nailed

Thanks for the advice non the less

I'm glad you have decided to stump up cash for a banger - however I urge you to still check your files with all 3 agencies (links above) because there is definitely something wrong with your credit history if you are showing as 0% eligibility for a card.