Graduate overdraft not reducing

Alleycat

Hi, thanks for even more advice! I have had a look on Barclays website and will most definately NOT be gatting a loan with them. Average 18.9% for a loan of £2800!! I'm now surfing looking for a (hopefully) better deal. Although my partner has an okay credit score (I assume) he has just changed his two credit cards to one 0% and has a loan himself. We do share finances, but I don't feel it fair to saddle him with more debt, whilst I sit there with nothing in my name.

I think I will also look into a bog standard credit card, just to do as you say and build my score up a bit. Its nuts, I used to be the one always in control of my finances and it was my partner who was crap with money!

Alleycat

Sorry, me again! Does anyone know how to sort out an error on their credit file? I signed up for the 30 day free trial yesterday, and it shows that an outstanding balance on a loan that I did a short settlement with.

Alleycat

One more question, honest!

I have had a look around and have found that Nationwide do offer quite a reasonable loan. I am thinking of applying for this and see how it goes. I don't really see that I have any other options as I am pretty sure I would be refused immediately on any 0% or low life of balance cards.

Now, the question....is it best to go in and discuss the situation with one of their staff or should I just go ahead and apply on-line?

Sorry, questions! I am going to take the advice given and apply for a bog standard capital one card to use a little bit to build my credit rating up, but should I wait until after I get my loan accepted (thinking positive here!) or do it before? I don't really want to have to wait too long before getting the loan and being able to make inroads into my last outstanding debt

And, thank you all again for all the help and advice you have given me. :beer:

johannamse

I dont want to pry into you amd hubbys finances, but I will...

Why can't he get another loan in his name (or even better a 0% card)?

You sound extremely organised, and I don't see it being a problem, the loan being in his name and you paying it out of your bank account. As long as you remain organised, you will be richer as a couple sooner - surely better for eveyone?

Anyhow...if this is all wrong...i would...

1. sort that credit report out - do not know how t do this - why don't you send them an email - or wait for some other cleverer person to answer.

2. How long ago did you defalut on your last loan? If it less than a year, I doubt you will get a loan (but I am not the oracle) and I would wait, to get a bit of distance.

3. Get the Capital One card and be good!

4. Go in with all amended paperwork and credit card statements and apply for loan.

I know you are very keen now that you are learning all about good moneysaving, but sometimes, you just have to be patient. You sound totally reformed and know what you are doing, so I am sure you will get there in the end. I still think best bet is hubby.

johannamse

this guy gives nationwide the thumbs up...so would seem a good idea - but do sort out credit report first

http://forums.moneysavingexpert.com/showthread.html?t=90973

Alleycat

Hi John,

Don't worry, you're not prying, just asking relevant questions! We did talk this afternoon about my partner taking on another loan, or increasing the one he has. I guess I just feel bad that it would all be round his neck and I would be sat there totally debt free. We do share all our finances, whats mine is his etc, and to be honest one of the reasons we ended up with all this credit is because he was out of work for a while a few years ago and I was supporting him.

Thank you for your lovely words, you wouldn't believe that I provide (albeit very basic) debt advice on occasion to my homeless clients! But thats usually things like what benefits they would be entitled to, sell the house and buy a smaller one and to stop buying premium bread if you can't afford it. I like to think of myself as someone who is pretty good at managing money, though supporting partner for a while, moving house and having a baby all take their toll!

Anyway, to answer your question, I defaulted nearly two years ago and paid off my debts around 18 months ago in full (though loan was a short settlement figure).

Alley

johannamse

see here... looks like you go back to company

http://forums.moneysavingexpert.com/showthread.html?t=94628

Cerbera_2

johannamse wrote:

Hi Alleycat,

If I were you I would apply for an MBNA group card (eg Virgin), and get 9 months interest free. On this card you only HAVE to pay £5 per month (but if you are currently paying £35 pm - keep paying this - you will knock £315 off the debt at end of 9m), by the time this is up, you will be in London and you will be on an increased wage, so will have no problem getting another 0%. Then you can really hammer it! I know what you mean about getting used to a debt, youve had it stuck in one place for AGES, get it moving and get it down.

Hi Alleycat,
I would also recommend this as the best way to go about it. I too have an overdraft of £1000 from student days which I have basically been feeding for the past five years. I can't remember getting a statement with a plus in it

I now have taken a card with Virgin on the 0% deal to clear this overdraft and a credit card and free me from the bank :j
I plan to knock away at this and hopefully switch at the end of the nine months.
As Johanna has said the best bit in my opinion of the Virgin card is you only have to repay £5 a month, so if it's a tight month you can't lose :j

I don't think you should worry if you have a weak credit rating as I think Virgin are quite easy going about this. I did a search on Moneyextra for a card as 'Refused Credit' and Virgin appeared in the list, here

Hope this helps :beer:

Alleycat

Thanks Cerbera (and sorry Johanna for getting your name wrong before!).

I've had a look on the Virgin website and it only mentions balance transfers from credit cards. Did you transfer directly from your overdraft then, or via another credit card? I don't have any credit cards or cheque books as I don't want the temptation (cut them up a few years ago!).

Also, re Johanna's point of applying for another 0% once the other one finishes, I won't be the one earning the high wage I'm afraid. Looking at costs of childcare etc and the fact that I won't go back to work full-time while my daughter is young means that at most working 18.5 hours per week, earning roughly £12,000 p.a. I would asume in this case, I would be less likely to get accepted for another 0%. Although thinking about it, this would mean that at present, only working 18.5 hours per week and earning roughly £9000 p.a. I am a lot less likely to get any decent credit. Is this the case? I seem to be tying myself in knots now.

Rather than card tarting, I think I may just try and get a low rate loan and be done with it. £40/50 per month is really the only amount we can afford to chuck at my debt, at least until my partner's card/loan is paid off (unless I win the lottery, but no chance of that seeing as I've only bought a ticket once, waay back!).

Anyway, still open to advice/suggestions on the best thing to do.

Bargain_Rzl

Cerbera wrote:

I don't think you should worry if you have a weak credit rating as I think Virgin are quite easy going about this. I did a search on Moneyextra for a card as 'Refused Credit' and Virgin appeared in the list, here

Weirdly, Virgin refused me a CC when I applied a couple of months ago - I got an online "yes" then a letter through the post saying my credit history was too new (I've had credit products for nine years and never got into any trouble!) They're the only company ever to have refused me, and Lloyds TSB subsequently (same day as the refusal from Virgin) accepted me on the spot and and gave me a £9k limit! Very odd