Best course of action?

MollyG88

Hello, I’m new here and after some opinions.

I need to borrow £30k for some roof repairs.

My credit score is currently fair mainly due to high utilisation of my available credit (78% of £26k) and a missed payment to O2 a couple of months ago, because they wouldn’t let me pay the bill for a lost phone until I could tell them what model of iPhone it was, and time ran on.

I asked to borrow the additional funds on my mortgage and was turned down on affordability grounds. It would have taken me to about 60% LTV.

I have £7k in savings. My question is, do I use the £7k to reduce my, mostly 0%, finance and hope that that means I can borrow the full amount from my mortgage. Or do I hang on to the cash and try to find the balance from elsewhere?

Reading various posts on here, I suspect I should keep the cash.

I know I have a high level of debt but I also have water coming through the ceiling!

Thank you for any thoughts.

fatbelly

Have you tried a soft search using this?

https://www.moneysavingexpert.com/eligibility/loans-calculator/search/?featuresToEnable=needToKnowsBlock

Edit: options are fewer over 25k. 

MorningcoffeeIV

With a poor credit history and a lot of debt, and water coming through the ceiling, you're going to need your savings to at start to fix the ceiling. You don't have time to mess around.

Break the work down into stages so that you can save for each subsequent stage. 7k should be enough to at least stem the water ingress.

Nasqueron

MollyG88 said:

Hello, I’m new here and after some opinions.

I need to borrow £30k for some roof repairs.

My credit score is currently fair mainly due to high utilisation of my available credit (78% of £26k) and a missed payment to O2 a couple of months ago, because they wouldn’t let me pay the bill for a lost phone until I could tell them what model of iPhone it was, and time ran on.

I asked to borrow the additional funds on my mortgage and was turned down on affordability grounds. It would have taken me to about 60% LTV.

I have £7k in savings. My question is, do I use the £7k to reduce my, mostly 0%, finance and hope that that means I can borrow the full amount from my mortgage. Or do I hang on to the cash and try to find the balance from elsewhere?

Reading various posts on here, I suspect I should keep the cash.

I know I have a high level of debt but I also have water coming through the ceiling!

Thank you for any thoughts.

Your credit score is neither seen by, nor used by, lenders for anything, it's a gimmick purely for your entertainment. The utilisation is only a worry for the CRAs, no-one really knows if lenders care or not. A single missed payment isn't the end of the world though I would do a complaint to O2 formally about this as it would be good to have it removed from your record if it was their fault

I would use the 7k to deal with the first part of the emergency and look to borrow less