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Getting out of loan agreement?
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Hello,
I am trying to get my debts in order and think i am am going about it the wrong way....
I owe a total of £14.000 in debts in bank loans and credit cards, i can manage it but i would like to get it all sorted out in one payment.
I have bought my parents council house....the morgage is £30.000 and the house is worth about £130.000...i am paying £340+ a month for 10 years to buy the house.
I wasn,t really thinking....i applied for a personal bank loan from Moneyback Bank for £15.000 to pay off my debts at £400 a month and it was accepted.
I am now thinking i should have asked the bank for the money and stuck it on the morgage over 15 years....the payments probably would be much the same as what i am paying now.
Moneyback Bank is sending out papers for me to sign an agreement and direct debit before the loan is payed into my account.
I can still cancel this agreement can't i?
if i dont sign the papers there will be no aggreement will there?
Sorry for all the questions....i have not had to deal with this kind of stuff before.
Cheers!
I am trying to get my debts in order and think i am am going about it the wrong way....
I owe a total of £14.000 in debts in bank loans and credit cards, i can manage it but i would like to get it all sorted out in one payment.
I have bought my parents council house....the morgage is £30.000 and the house is worth about £130.000...i am paying £340+ a month for 10 years to buy the house.
I wasn,t really thinking....i applied for a personal bank loan from Moneyback Bank for £15.000 to pay off my debts at £400 a month and it was accepted.
I am now thinking i should have asked the bank for the money and stuck it on the morgage over 15 years....the payments probably would be much the same as what i am paying now.
Moneyback Bank is sending out papers for me to sign an agreement and direct debit before the loan is payed into my account.
I can still cancel this agreement can't i?
if i dont sign the papers there will be no aggreement will there?
Sorry for all the questions....i have not had to deal with this kind of stuff before.
Cheers!
0
Comments
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AFAIK you can cancel a regulated agreement up to 2 weeks after getting the funds.0
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AFAIK also, you are not allowed to borrow on the right to buy scheme for council houses for this purpose so check this out before you evoke the above.I am a Mortgage AdviserYou should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0
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Thanks for the replies!
homer_j, i dont understand what you are saying....
"you are not allowed to borrow on the right to buy scheme for council houses"
What do you mean?
Cheers.0 -
Sorry, its one of those statements that read right to me but clearly hasnt to you.
The right to buy scheme allows you to buy your house at a discount. The benefit of that discount can bring a few restrictions. One of which with the councils that I have dealt with is that they are not keen for people to use their equity to debt consolidate so if you are in your pre-emption period, you will need to check whether this can be done before you canel your loans etc.I am a Mortgage AdviserYou should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
Thanks for clearing that up:T0
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