Negotiate loan offer?

Legacy_user

Hi

I had an 80% acceptance on the soft credit search for a loan I am looking to take. Appreciate this is no guarantee but I mention as it may give some indication of my credit rating. I've been accepted for the loan but at interest rate of 5.4% rather than the advertised 2.9%, which doesn't make it cost effective for us. Has anyone had any experience of negotiating the rate down? Any tips on what worked/ what information they would need?

Thanks

AoB

glentoran99

Try somewhere else, Cant see you having much luck negotiating a better deal, they have gave you the rate they are happy with

BoGoF

Looking at your previous posts I would say 5.4% is pretty generous given your circumstances.

Why is it not 'cost effective'?

redux

This may or may not apply to you, but some loans have interest bands for different size loans, and smaller can be more expensive.

For instance someone who wants to borrow £5000 may find it useful to apply for £7500 and pay back £2500 early.

System

Thanks BOGOF but I was asking whether it was worth trying negotiating, not your opinion on what I deserved.

System

Good tip thanks Redux

Thrugelmir

Ashamed_of_Bristol wrote: »

Thanks BOGOF but I was asking whether it was worth trying negotiating, not your opinion on what I deserved.

Lenders don't negotiate, they make offers.

MABLE

Ashamed_of_Bristol wrote: »

Thanks BOGOF but I was asking whether it was worth trying negotiating, not your opinion on what I deserved.

Well said!

System

Fair enough thanks Thrugelmir.

And thanks Mable. This used to be a supportive and non-judgmental forum. It hasn't felt like that lately.

jonesMUFCforever

The OP can ask about his loan rate but unless they have some kind of scheme to match an offer somewhere, he won't get far.

BoGoF

Hardly think my post was judgemental. You're not long out a DMP by the looks of things and in your situation I would be delighted at the offer. The representative advertised rates are for those with squeaky clean records and I'm afraid you don't meet that.