1. Home
  2. UK Finance Discussions
  3. HELP:...What are my options for obtaining financial help with an adverse credit history?!?!

HELP:...What are my options for obtaining financial help with an adverse credit history?!?!

Hi,

This is a bit of a desperate plea. I am desperate to borrow money (10k) and have pleaded with my bank till I am blue in the face and showed them figures/facts etc to prove I am more than capable of paying this loan. I had problems around 3/4 years ago where I was out of work for a year and in this time missed all payments as despite paying through nose for PPI, as a contractor I wasn't entitled to it. It took a long time to get back on my feet, my level of debt wasn't particularly high (4k) but took me a good 3 years to clear it, I often went the wrong about doing things, paying lots of money to one company while I had hoped another would wait, and accumulated a lot of defaults along the way.

To cut a long story short, my bank looked as if they would be able to help me out with the loan (I've been after this loan for about 2 years, and really need it to help make up for the year out of work). The bank was not able to succesfully appeal my loan.

I have been looking into other possibilities although I really can't find any. I thought maybe I could take out a mortgage for my flat and get a secured loan on that, although thats more debt than I really want to take on. The rent payments for our flat is £200 a month, and its only a 2 bed flat (I have a family of 4, 1 boy 1 girl, so will NEED 3 bedrooms very soon). With my adverse credit I don't think I qualify for a mortgage with a high street lender, and am no interested in dodgy con merchants...what are the options available to me?!?! We've been spending the past 3 years playing catch up for the time we had NO money whatsoever, we really need a bit of cash in our lives and I'm more than prepared to develop an excellent repayment record...but I am turned away everywhere.

This is a little distressing, sure you are all aware of the couple on an income of 5k being 100k in debt....the lack of cash we have right now is affecting my families life and we really need some big help. Anyone have any ideas?

Thanks,

Reply to
straighteight
Loading thread data ...

Do you currently save?

How will you pay the money back?

There are places that will loan you money however you will pay more % for the worse risk you are.

Reply to
mogga

Hi,

No I currently do not save any money, I have been spending over £500 per mont on debt repayment for the past year...having adjusted my lifestyle to saying goodbye to this amount per month, the quote I had for a 10k loan (198 per month) seems very easy. Currently my partner has lost her part time job (roughly around 500 per month!) So until she can get back in to employment, there is absolutely no disposable money. My bank were going to give me 2 months grievance on my loan, which would have been plenty time for my partner to get a new job, also essentials such as hair cut, new clothes etc. plus we really need a car as we are stuck in the middle of nowhere with lack of public transport so our life is very difficult. Just now its easier for her to stay at home rather than waste money on taxis, child care etc....

I'd be keen to know these places. I have heard from some potential lenders, although I am certainly not interested in APR rates over 30%! :)

Thanks for any advice!

mogga wrote:

Reply to
straighteight

I have been looking into other possibilities although I really can't find any. I thought maybe I could take out a mortgage for my flat and get a secured loan on that, although thats more debt than I really want to take on.

This statement implies that you own the flat - otherwise you couldn't take out a mortgage on it.

The rent payments for our flat is 200 a month, and its only a 2 bed flat (I have a family of 4, 1 boy 1 girl, so will NEED 3 bedrooms very soon).

But this statement implies that you don't own it. Are you suggesting you might buy a flat? You might find a lender who'd accept your credit history but he wouldn't lend you the whole purchase price. You'd need at least 20% deposit from somewhere. Do you have a parent or a friend who would help you out, even to the extent of being a joint owner?

Rob Graham

Reply to
Rob graham

Hi,

You're right I don't own the flat. The last mortgage shop I visted (crooks'r'us) seemed convinced they could sell me a 100% mortgage on the flat however. 20% deposit sounds like more money than I will ever have at one time in my entire life. I don't personally know anyone with that kind of money.... I really don't want to go down the mortgage route, I'm just after money to patch up things, concentrate on paying that off....and then I can think about savings/mortgages etc...if I was to get the loan today I will be 27 when its payed off....

Rob graham wrote:

Reply to
straighteight

You're right I don't own the flat. The last mortgage shop I visted (crooks'r'us) seemed convinced they could sell me a 100% mortgage on the flat however. 20% deposit sounds like more money than I will ever have at one time in my entire life. I don't personally know anyone with that kind of money.... I really don't want to go down the mortgage route, I'm just after money to patch up things, concentrate on paying that off....and then I can think about savings/mortgages etc...if I was to get the loan today I will be 27 when its payed off....

I don't have a solution for you other than a high interest lender. Someone else might.

Reply to
Rob graham

Are you sure you're claiming all the tax credits and benefits you're entitled to?

In particular, housing benefit - it's suprising how much you can earn and still be eligible for housing benefit.

Reply to
Andy Pandy

Yeah been down this road before, and have just received our new figures for the year from Inland Revenue. We had a combined income of around

30k for 2004/2005 so i don't think we're entitled to housing benefit....

Andy Pandy wrote:

Reply to
straighteight

Yes but what's your income now - you said your wife's lost her job. HB is assessed on earnings now, not last year.

Mind you your rent's quite low so you probably won't get any now, but if you moved to a bigger property you could well be eligible for HB if your income is about 25k.

You could try a calculator such as the one below (the rules are the same nationwide except in some areas which are piloting Housing Rent Allowance):

formatting link
7

Reply to
Andy Pandy

Not entitled to anything according to that calculator.

Not to bash your efforts, and appreciate your response, but its quite urgent that I am able to borrow some money sooner rather than later, and I am looking for a significantly larger sum than what could be raised by saving the odd £ on rent I'm afraid...

There must exist a fair lender? Or is that an oxymor> > Yeah been down this road before, and have just received our new figures

Reply to
straighteight

Not entitled to anything according to that calculator.

Not to bash your efforts, and appreciate your response, but its quite urgent that I am able to borrow some money sooner rather than later, and I am looking for a significantly larger sum than what could be raised by saving the odd £ on rent I'm afraid...

There must exist a fair lender? Or is that an oxymor> > Yeah been down this road before, and have just received our new figures

Reply to
straighteight

Reply to
keilan.knight

BeanSmart website is not affiliated with any of the manufacturers or service providers discussed here. All logos and trade names are the property of their respective owners.