Applying after accepted loan

nicthemighty

Applied for loan with Post Office - soft check said 2.9%.

Filled in details, it's primarily for home improvement but also debt consolidation.

It asked me about existing debts - which I filled in, and it offered me 6.9% as an accepted application. But I won't have those debts once loan arrives. My browser crashed - I've not accepted it but I can't get back to the application.

I phoned up Post Office and they said they can't change it now it's accepted, but I could cancel the accepted application.

Can I apply for a different loan that will take account of the consolidation? Or is my credit score now impacted?

I need the loan in the next 30 days so I'm not sure I can do much other than accept the Post Office loan?

Jami74

Might be worth applying for one more loan. When I wanted a loan I applied for 3 and the 2nd one offered the best rate. If it is a better rate you can cancel the post office loan. However, you will still need to list your current debts on application unless you pay them off before you apply. 

It's not your credit score that'll be impacting the interest rate, it'll be how risky the lender thinks you are based on things like your current debt, payment histories, income etc and how much they want you as a customer.

foxy-stoat

nicthemighty said:

But I won't have those debts once loan arrives.

Errrrr yes you will, once the money has left the lenders account and into yours that is pretty their risk.  If you choose not to clear your current debt there isn't much the lender can do about it so the interest rate takes that into account.

6.9% isn't too bad if that includes debt consolidation and must be cheaper than your current interest rates.

Apply for 1 more loan just to see if you can get a better rate if you like.