V Short Term Loan of €8,000 - €10,000

D

Dman

Registered User
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Hi Folks,
I wondering can anyone give me a bit of advice on the following : (I've tried Best Buys before posting this Thread and couldn't find what I was looking for).
Where is the best / cheapest place to borrow @ €10,000 but also have the ability to pay it all or the majoirty of it back within a month or 2?

I'm thinking my local Credit Union but also thought of Tesco. Has anyone been in a similair position?
 
In very same situation at min - not sure how much I need (or if I need any) to tie me over end dec/jan/feb. I really only want to have funds in a/c to cover direct debits.

Assistant Manager in bank told me overdraft and Manager told me Personal Loan would be cheaper & it can be paid off early with no penalties and there would only interest on the reducing balance.

Any suggestions?

(I think manager is only trying to sell a product)
 
Don't know what is best, but check out interest on overdraft.
12% with BoI for ours..
Also feel overdraft hard to get out of, whereas loan more manageable?

Best of luck

Fauve
 
Hi folks
I tried both Tesco & BOS and they only do fixed rate loads e.g. you have to pay a penatly to get out of the loan repayments early, so that not any good.
Although they do good fixed rates must say.

Anyone know a place that does variable low rate loans that can be paid back quick if you require?
Thanks
 
Dman said:
I tried both Tesco & BOS and they only do fixed rate loads e.g. you have to pay a penatly to get out of the loan repayments early, so that not any good.
Click to expand...

Did Tesco actually tell you this was the case? Did you tell them you wanted to repay in a very short time?

Their website suggests otherwise.
 
Just think the website means you can arrange the term of the loan to suit you ( i.e from terms of 1-5 years) rather than not having to pay a penalty for paying off the loan early
 
No-the website clearly states 'no exit penalties' as well as arranging the term to suit.

Maybe they mean that you can take out a loan for any period between 1 and 5 years and repay it within that timeframe, but not beforehand.
 
AIB was where I had enquired. Tesco web site shows 12 mths as minimum loan term and 7.3% as loan rate.
 
12 months may be the minimum term you can apply for-but if there are no exit penalties, I don't see anything to stop you repaying after 2 months, unless it states otherwise in the loan agreement (it may well do).

Using simple interest and 30/360 day basis on borrowings of €10k (purely for comparison purposes)

Overdraft interest at (say) 12 % would be €200
Variable rate loan interst at (say) 8% would be €133

You may have to factor in fees of c. €25 to the overdraft
 
Hi
CCOVICH, you were dead right, I just rang Tesco and you can pay the loan back early with no penatly. The figure they gave me were e.g.
Take out €10,000 -
Monthly repayments of 865.66, if after 3 mths you want to pay it back completly you pay 8664.11 on the third month.
If you pay for the full 12 mtks is costs you €10499.

That seems usual to me, as I always thought if you paid a fix loan back early you got hit by a penatly.
You live and learn.
Thanks for the advice.
 
So based on your figures, the total amount repayable would be €10,377.43 (2x€856.66+€8,664.11).

That seems a little high. Working on 30/360 and 7.3%, I work out simple interest on €10,000 as €182 for 3 months.

Even if my calcs are off (too simple), I find it hard to see how interest for 3 months is €377, while interest for 12 months is €499?
 
I rang AIB for €10000.00 - Quoted 8.24%

1st repayment on 15th Jan followed by 10 payments of €948.45 (not inc protection) Total Cost €10432.95. (I was offered choice of date for repayments to me made in the month)

No penalties for making extra payments or paying off early. Interest calculated on daily basis on outstanding amount of loan, but she was'nt able to calculate what int would be if total paid off after 3 mths as the loan term is for 12mts so her system would'nt let her calculate that.
 
Hi,
We got a short term loan, signed up for 5 years. I think the bank does not like doing the paper work for a loan to have it cancelled a couple of months later, all the paper work for short term. I said jokingly, if we win the lotto can we pay it off early, which we did with no penalty or charges. This was with BOI. I would check their rates as I think they are high. Credit Union are high on their rates. I can refer you to a broker who does loans, short, car, holiday, mortgages etc. Reputable company. But that you do know I would have a vested interest in this as a referral, but with that said I do not know any of the details that happen between you. All the best. Optimistic
 
Your own bank should surely be able to offer you a good rate. For eg I took out a short term loan ( for about two months) on something there recently and BOI gave me a rate of prime plus 2.25%.
 
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