Loan Rates

[Deleted User]

Adams18 said:

Deleted_User said:

Your score is meaningless, no lender ever sees it

Check MSE Credit Club, Clear Score and Credit Karma and look carefully at every report to check for anything dodgy. Consider too existing debts and how much you want to borrow

Also, even for a 60k salary, 25k unsecured debt is very high risk for a lender. Depending on what you need the money for, it might be better to split it into smaller amounts and do it over time

Deleted_User said:

Your score is meaningless, no lender ever sees it

Check MSE Credit Club, Clear Score and Credit Karma and look carefully at every report to check for anything dodgy. Consider too existing debts and how much you want to borrow

Also, even for a 60k salary, 25k unsecured debt is very high risk for a lender. Depending on what you need the money for, it might be better to split it into smaller amounts and do it over time

Erm not it's not?

How do you even calculate what is high risk, or is this your OWN opinion? Is it based on anything????

Actually, the universal formula used for calculating debt to income ratio is to take your GROSS annual income monthly and compare it to the monthly debt expenditure.

So you''ll find that 25K debt against 60K salary is perfectly adequate.

Happy to see any of your links or documentation that refute the above.

It’s not just @Farfetch’s opinion though is it? The OP is struggling to borrow the desired amount of money at a half decent rate so lenders are also viewing the OP as higher risk. 

dont_use_vistaprint

 If you have good credit history you should be getting 2.8 or 2.9% on £25K. Maybe you have low cedit availability  ?
Not sure if you earnings are high enough but Barclays Premier app does instant loans of £50K at 5.9%, rubbsih rate I know but one of the few banks that will give you 50K over 60 months

 

teachfast

"Now for the same loan, and with only 15K existing debt I am getting denied."

There's your answer. This would take your overall debt with the £25k to more than half your annual income. The risk attached to that today is much higher than it was a few years ago, hence the interest rate being higher. 

If you went for £14k (hence just below half your income) I bet you'd get a much better rate. 

Also, there's factors you know and the bank knows and this forum doesn't, such as job status/title, recent furlough or at risk notices etc.