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  • FIRST POST
    • lmoon25
    • By lmoon25 13th Jan 18, 1:11 PM
    • 5Posts
    • 1Thanks
    lmoon25
    Will I be allowed to consolidate?
    • #1
    • 13th Jan 18, 1:11 PM
    Will I be allowed to consolidate? 13th Jan 18 at 1:11 PM
    Hi just looking for some advice,

    I have 2 loans out with Lloyds at the moment, the monthly payments come to 250 and one of them is for remainder of 55 months.

    I want to take another loan out to pay them off so my repayment comes down. If I take it over 60 months it will save me over 120 a month.

    However I have a low credit rating due to being at the top of my affordability (only work part time). Do you think it's likely that the bank will allow me to consolidate or will my credit rating equal a no go?
Page 1
    • DCFC79
    • By DCFC79 13th Jan 18, 1:28 PM
    • 31,890 Posts
    • 20,083 Thanks
    DCFC79
    • #2
    • 13th Jan 18, 1:28 PM
    • #2
    • 13th Jan 18, 1:28 PM
    Hi just looking for some advice,

    I have 2 loans out with Lloyds at the moment, the monthly payments come to 250 and one of them is for remainder of 55 months.

    I want to take another loan out to pay them off so my repayment comes down. If I take it over 60 months it will save me over 120 a month.

    However I have a low credit rating due to being at the top of my affordability (only work part time). Do you think it's likely that the bank will allow me to consolidate or will my credit rating equal a no go?
    Originally posted by lmoon25
    Credit ratings aren't seen by anyone but yourself, lenders see your history.

    How much is left to pay on both loans ?

    I'd say no you won't have a chance based on working part time, how much do you earn part time ?

    2 options, 1 cut your spending to bare minimum and 2 get a second job to increase your income and see if Lloyd's will let you make overpayments.
    • lmoon25
    • By lmoon25 13th Jan 18, 1:49 PM
    • 5 Posts
    • 1 Thanks
    lmoon25
    • #3
    • 13th Jan 18, 1:49 PM
    • #3
    • 13th Jan 18, 1:49 PM
    Credit ratings aren't seen by anyone but yourself, lenders see your history.

    How much is left to pay on both loans ?

    I'd say no you won't have a chance based on working part time, how much do you earn part time ?

    2 options, 1 cut your spending to bare minimum and 2 get a second job to increase your income and see if Lloyd's will let you make overpayments.
    Originally posted by DCFC79
    They gave me 8000 worth of loans working part time, there is 4000 remaining and I am on the same income.
    I can't get a second job as I am also studying and have a baby to look after. Spending is already cut to bare minimum hence why I want to lower my monthly repayment. Therefore overpayments are not an option either. I am taking steps to adjust my budget and my loan repayments are the biggest chunk going out every month so I only wanted advice on what I asked.
    • Money maker
    • By Money maker 13th Jan 18, 2:03 PM
    • 5,006 Posts
    • 11,381 Thanks
    Money maker
    • #4
    • 13th Jan 18, 2:03 PM
    • #4
    • 13th Jan 18, 2:03 PM
    Good advice by DCFC79, sometimes repeating the obvious can be very useful as what is obvious to one certainly wont be to another. The Debt Free board can also give you fresh pairs of eyes over what some peeps think is a tight budget which can in fact be much improved upon to reduce amount of time in debt.
    Please do not quote spam as this enables it to 'live on' once the spam post is removed.

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    • Edi81
    • By Edi81 13th Jan 18, 2:13 PM
    • 463 Posts
    • 318 Thanks
    Edi81
    • #5
    • 13th Jan 18, 2:13 PM
    • #5
    • 13th Jan 18, 2:13 PM
    How much is outstanding on each loan, interest rates and remaining time.

    Lloyds may allow you if you speak to them in branch.
    • sourcrates
    • By sourcrates 13th Jan 18, 3:16 PM
    • 14,297 Posts
    • 13,514 Thanks
    sourcrates
    • #6
    • 13th Jan 18, 3:16 PM
    • #6
    • 13th Jan 18, 3:16 PM
    They gave me 8000 worth of loans working part time, there is 4000 remaining and I am on the same income.
    I can't get a second job as I am also studying and have a baby to look after. Spending is already cut to bare minimum hence why I want to lower my monthly repayment. Therefore over-payments are not an option either. I am taking steps to adjust my budget and my loan repayments are the biggest chunk going out every month so I only wanted advice on what I asked.
    Originally posted by lmoon25
    Are they your only debts ?

    Affordability is the key to finance applications these days, if a creditor deems you to be a good risk, and can afford the repayments, then you may meet there criteria, unfortunately from what you have said, its unlikely you will be accepted, except by some high interest guarantor lender, whom you should not touch with a barge-pole.

    They only have your word that the loan is for consolidation you see.

    It may be a blessing in disguise for you, as the DFW board is full of folk who have been down this well trodden route of borrowing to get out of debt, and finding its not the easy escape they envisioned it to be.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
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    • Sncjw
    • By Sncjw 13th Jan 18, 4:51 PM
    • 1,822 Posts
    • 1,086 Thanks
    Sncjw
    • #7
    • 13th Jan 18, 4:51 PM
    • #7
    • 13th Jan 18, 4:51 PM
    You will be doubling your debt as they won!!!8217;t know it!!!8217;s for consolidation as they would see it!!!8217;s another 4K loan on top of the loan you have.
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