Loan questions...

Jan 17, 2005 1 Replies
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Hi all,


  1. Is it possible to have 2, 3 or more loans from different lenders if you can afford to make the repayments ? How do lenders decide? Is it based on your salary alone?


  1. Is it possible to get a loan from a Eurozone country if you live in UK and enjoy a lower %APR?

  2. If you can get an unsecured loan at a low APR (around 6% from a lot of lenders for lans above 5000), what is the advantage of getting a secured loan which is often at a higher %APR ? Isn't the idea that a loan secured by your home runs a lower risk and therefore should have a lower APR?

Thanks



Xerxes


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Bitstring , from the wonderful person Xerxes said

Yes, it varies, no, in that order. Your perceived ability to repay &/or the usefulness of the security is all that most of them care about. Salary may or may not be a useful indicator of the latter.

Yes. At least you can get a Euro loan, even if not from a foreign country .. however you then have the exchange rate risk. So you pay 2% less annual interest, but when it's time to repay the Euros, they cost you twice as much as they did when you took out the loan.

That's the idea yes. If unsecured loans are on offer at lower rate than secured loans, then someone has their sums wrong (or has money to burn).

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