Struggling to get a loan at a good rate

cymruchris

Adams18 said:

i was being pestered by my bank every month about a personal loan at a personalised rate for me.

Now its not available anymore past few months!

Again you know that being targeted in a marketing campaign to 'likely' customers in no way guarantees acceptance? even if they label it pre-approved? It's all subject to a final hard search - and some have found that's led to an auto-decline - even after being pre-approved. 

You've been saying how hard it is to get a loan now compared to a few months ago - but you haven't actually applied for anything across the whole timeframe - just because the eligibility checker is throwing out a different result - your 'actual' result could still be the same - and you won't know until you actually apply. Eligibility checkers have never been foolproof. I had a zero percent chance of getting both a Virgin and Sainburys credit card according to the checkers - but on full application both went through without issue. You're currently too focused on 'could-be's' and 'might-be's'. The only way you'll know is to actually apply - and then you'll know if you fit the criteria or not. 

backinbusiness

I may have missed this (skim-read this thread), however, have you and your Mother actually spoken with the bank to find out what options are available to you both?  It's an unusual situation granted, but it can't be unique.

BiB

-taff

Adams18 said:

i just want to pay it off for her peace of mind and she can own her home after living in it for 32 years instead of taking another mortgage out for another 25 years.

you say either “they think i cant afford it or my debt is to high” thats the confusion point here

as a few months ago when i was preapproved by the lender in question I was earning LESS and my debt was much HIGHER.

so whats the negative on my standing as a borrower?? Thats all id like to know before having to fish for another loan at a higher interest rate which will cost me much more

I didn't say can't afford, I said can't repay. And if you have been putting debt consolidation, that's another nail in your coffin. And being pre approved with less income and more debt last year makes no odds. You are not listening. They do not want to give you the money, and they are not obliged to tell you why. You are confusing your ability to rustle up 300 or whatever out of your monthly wages and the bank seeing affordability of a loan that will take you to well over half your income. They want their money back too and they don't think you'll be able to do it consistently over that period. What other credit have you got at the moment? Credit cards? Insurances paid monthly? Your own mortgage or rent?

If you're looking for a loan over 7 years, why don't you ask a mortgage broker for ideas regarding a similar amount over a similar term. I don't know where you get the idea it has be over 25 years.

Ibrahim5

I might be a bit out of date but I thought if you wanted a loan you just went and had a chat with your bank manager. I suppose it has to be on Zoom these days.

rustybucket

sourcrates said:

Adams18 said:

Honestly i come to money saving expert as a last resort after ive exhausted every resource available to me because anytime I make a thread here there is a flurry of toxicity towards me.

whats up with that? Why cant posters be constructive instead of bashing and hurtful.

Take people at their word! If you are missing information then ask for more information dont just accuse the OP of lying.

Honest question, with a 70k plus salary, why do you need a loan ?

You must be bringing home 6k a month.

I’m on 70k and I bring home 3.9k after deductions.  A decent wage but nowhere near the 6k you may think.

enthusiasticsaver

It is certainly puzzling that they cannot give you an indication on whether you can get an unsecured loan of £25k  or not on the eligibility checkers so my only thinking is that they either do not like the reason debt consolidation which may be a problem given only £15k will be showing up on searches or you do not  meet the lenders criteria.  As I said lenders are much more cautious now. Last August many may have thought the effects of the pandemic would be short lived and that may not now be the case. You also have to take pre approved with a pinch of salt.  The only way to know for sure is to actually make an application. 

If you have an income of £70k and current debt of £15k with no mortgage it cannot be affordability.  If no bad markers on your file as you say then it must be you do not fit the lenders profile.  You should be putting the correct reason for the loan purpose so property purchase.  I honestly think your mums current lender is the one you should be talking to either in so far as putting your name on the mortgage if that is what you want or you paying off a lump sum and your mum extending the mortgage term so it can be repaid.  The business with your fathers will though seems to be the sticking point with this. 

[Deleted User]

Ibrahim5 said:

I might be a bit out of date but I thought if you wanted a loan you just went and had a chat with your bank manager. I suppose it has to be on Zoom these days.

Ha ha ha, just a bit and it’s not even by Zoom. You don’t speak to a bank manager at all to get a loan. A few clicks and it’s all done online without having to speak to a single soul. 

[Deleted User]

This whole thread is ridiculous. The OP has spent a lot of time and wasted money trying to figure out why he can’t get a loan yet hasn’t actually applied loan never mind been declined. 

Nebulous2

Adams18 - despite being told that you can use the checker as often as you like, I think your use of it could be a problem. 

For car insurance they are concerned about people trying to game the system to get a suitable quote and people who have changed details such as job, address etc to get better quotes are having policies cancelled. 

National Hunter check details such as salary, across applications, for discrepancies. I think you should submit a subject access request to them, to see what information they hold on you. 

MovingForwards

Now it's all come out your best option is speak with a mortgage broker about obtaining a mortgage on your mom's house. There are lenders who lend in those circumstances.

Forget all the jargon and everything you've tried as that was the wrong way to go about it.

If you don't know any brokers post on the mortgage board but keep your opening post simple and clear eg income is £70k, outstanding mortgage on mom's house is £Y, whether or not you own anywhere or if you live in your mom's house, your age and wait to see what the brokers say.