Bank Loan - Refusal

[DrMoriarty]

I can't be sure because — thankfully — I haven't had to take one out in a while, but I would have thought that personal loans were subject to the same requirements as other financial products (insurance policies, etc.) regarding full written disclosure of T&Cs/commission structures, and also subject to a 16-day 'cooling-off' period?

summer28 — whatever you make or not of the advice given earlier, for God's sake read the fine print carefully before you sign up to another loan..! [broken link removed] (.pdf file) re credit ratings and how to check them/have them amended.

 

[summer28]

Thanks for all the advice, the main point I was trying to get across was that by getting out a loan of 28k I was trying to sort myself out!!! ... Not get myself into further debt. The one loan would cover everything, the car, the cc, and the existing loan so that I would have one single payment of €564 a month, I know people asked how I was going to pay back an even bigger loan but by amalgamating everything I was cutting down on all my original separate payments (which if I did get the car loan on its own and added it to all other repayments would total €940), this loan payment plus my ssia of €254 a month are the only outgoings I would have, leaving me with approx €1200 a month for personal spending...obv then of course i could afford to pay off a little extra on the loan whenever i could reducing my debt even more .. pay the loan off in 4 .. 4 1/2 years instead of 5?! I suppose I left it a bit too late to sort out my debts, which I thought were very small, obv in the banks eyes they are not, let it be a lesson to anyone else who thinks it is ok to miss a payment on a cc and make it up the next month - very naive of me, I know, but I don't think I am the only one out there...!??

 

[ClubMan]

For resources and assistance on dealing with or keeping out of debt check out the three threads pinned to the top of this forum.

 

[Diziet]

Thanks for all the advice, the main point I was trying to get across was that by getting out a loan of 28k I was trying to sort myself out!!! ... Not get myself into further debt.

But you are getting into further debt, aren't you? The car loan is hefty and adds a considerable amount to the money you asked the bank to give you. The amount for an unsecured loan is by no means small compared to your salary. Debt consolidation sounds good but it generally serves to increase your level of debt and does nothing to address the underlying finances. All IMO of course.

Just to illustrate why I am saying the above, a few years back, my partner and I both had reasonable jobs, and owed modest amount on credit cards and a card loan. Then the company I worked for closed down. We calculated that by cutting all expenses to the bone we could live for 6 months - at the end of that, we would not be able to pay the mortgage. Six months is not very long, and it was a stressful time. As soon as I got another job, we paid all the loans off; the belt tightening had taught us that we were just carrying debt unecessarily. It also became clear that we had no contingency built into our borrowing, as to be honest we had not really looked at the numbers in any detail or made long term plans. It makes me cry to think how much interest we gave the bank oved the years.