Car Finance

[angussampson]

Lombard is recommended on another thread for car finance .

Would appreciate any feedback regarding availability of loans for used cars. Is a loan of this type secured on the car? I.e. do they hold the title ?

Presumably their lending criteria is quite lenient, if it is secured on the car?

Many thanks

[Porsche911R]

https://www.oraclefinance.co.uk

or

remortage the house at 1.5% with strict payments over 5 years.

Tesco's loan 3.4% again over 5 years

all good options

AVOID PCP and Baloon loans

[HoHoHo]

Porsche911R said:

https://www.oraclefinance.co.uk

or

remortage the house at 1.5% with strict payments over 5 years.

Tesco's loan 3.4% again over 5 years

all good options

AVOID PCP and Baloon loans

One possible problem.....

Small mortgage .26 above base so currently .51% which you don't want to lose.

I can't see a second mortgage anywhere near 1.5%?

Also Tesco max loan is only up to £35,000

Edited by HoHoHo on Wednesday 17th August 20:25

[DJMC]

Why 2nd mortgage, why not further advance?

Re-mortgaging will involve £1000+ fees with a different lender. Valuation, legals, completion fee.

Further advance easier and cheaper, but 1.5% unlikely.

Have a look at moneysaving expert for best personal loan rates.

[angussampson]

Thanks Chaps.

Unfortunately I've already got a good mortgage which is BBR plus 1% for 19 years and interest only. I f I want a further advance they want to change it to repayment.

I have facility of 100 k credit cards which I can use on a rotating basis equating to about 3% for balance transfer per annum. And make the minimum payments monthly , but it's not. 3 or 5 year guaranteed agreement as the provider may up the balance transfer rate or worse, withdraw it. Only problem I think having this credit facility is putting off loan providers , even though I'm hardly using any of it...Guess they are worried if I take a loan from Lombard etc, I will max out my cards too...

I think lenders can see my credit facility and it black balls me!

Anyone in the know regarding this ?

Thanks

[WindyM]

I'm not in the know, but I have in the past asked, e.g. Amex, to lower my limit! (They used to keep bumping it up every year.) It might help with your credit score problem if you don't anticipate maxing out the cards?

[jdwoodbury]

Your available credit will help not hinder your application. Credit agencies look at availble vs used credit, if you have high credit with low balances well serviced you get a good credit rating.

[Slaav]

jdwoodbury said:

Your available credit will help not hinder your application. Credit agencies look at availble vs used credit, if you have high credit with low balances well serviced you get a good credit rating.

Large credit facilities and limits on cards with zero or low balances CAN impair new credit applications.

[WindsorRob]

I work for a business that does involve credit risk assessment. Not a lender but principles are similar. I don't see why high credit limits with little borrowing against them hinder applications other than new credit cards, in that case they think you'll just apply for a card that will then become dormant. Most credit assessments will look at your headroom, I.e. Difference between what you could draw down on credit cards and what you have, only as one factor mind.

[angussampson]

All in all , confused!

Spoke to the experience bloke and although I have a rating of 999 he reckons that having 20 k on a credit card may be doing me! He suggested that getting to 15k on cards will put me in a much better position! Will try that.

Any road, at least the prices of GT3's will come down to meet me as I just save up !!

[Granfondo]

What interest rate are you paying on the £20k debt on the credit cards or are they 0% ?

[angussampson]

All 0% . No way that I would pay the regular rate. I got the various cards so that I could do some work to my last house as a short term facility before I sold it. I could use my cards for short term use but it's quite an effort to juggle it long term, so was looking for a simpler solution and a facility that is guaranteed.