Guarantor loan, what's the lowest APR out there?

System

111222 wrote: »

I see what your saying, it's a family member though and they'd like to have as little to do with it as possible if you get what I'm saying, even though they'd still be liable if I took out the loan. It's only for £2000.

Anything cheaper, 24% seems pretty cheap already so I doubt it.

Aside from the fact that doing this with a family member or friend never ends up well....

Seriously get the person who is going to be the guarantor to take out a loan, it works out best all round as they're in exactly the same situation regarding liability and if you default at least they're not saddled with a loan at double digit APRs. Get them to draft up a separate loan agreement between yourselves specifying the date of the commencement, the amount of the loan, the monthly repayments, the total to be repaid, the interest rate and the final date when the loan is going to be repaid by and any consequences if you fail to pay (such as taking you to court) so that way they can take you to court if you don't pay them back.

pjcox2005

Tarambor wrote: »

Aside from the fact that doing this with a family member or friend never ends up well....

Seriously get the person who is going to be the guarantor to take out a loan, it works out best all round as they're in exactly the same situation regarding liability and if you default at least they're not saddled with a loan at double digit APRs. Get them to draft up a separate loan agreement between yourselves specifying the date of the commencement, the amount of the loan, the monthly repayments, the total to be repaid, the interest rate and the final date when the loan is going to be repaid by and any consequences if you fail to pay (such as taking you to court) so that way they can take you to court if you don't pay them back.

Even better give them an item of value (if held) as security for it as well would seem sensible which they return on completion of the loan.

John_G_Jones

“Only” £2,000, eh?

There’s no “only” about it. You know that you are very likely to default, which is why you are looking at the dregs of the lending industry.

If you have any decency, don’t do this to someone. Don’t borrow at all, save up.

DCFC79

111222 wrote: »

I see what your saying, it's a family member though and they'd like to have as little to do with it as possible if you get what I'm saying, even though they'd still be liable if I took out the loan. It's only for £2000.

Anything cheaper, 24% seems pretty cheap already so I doubt it.

Maybe introduce the family member to the foum or just show them the thread.

Is the family member entirely aware of the repurcussions if the other person doesn't pay up.