I need a loan and I never have gotten one before so I really don't know exactly how this works. I put in an application at citifinancial I have an appointment to go see them today. I'm a little nervous!! I don't know if I should shop around before I make a decision or if I should stick with citifinancial what if this is the best deal I'll get. Well my interest rate is pretty high it's gonna be at a 27.99% but it might be because I'm just starting my credit. But that is a pretty high interest rate right? I don't know all this stuff gets me confused lol. What do yall think? Is it a good deal or no well the amount I will be getting the loan for is $2,000 and with a 27.99% interest rate and paying it off in 18 months I'm gonna end up paying back almost $2,500.Is that good or bad? Any advice would be greatly appriciated.
2007-02-01 01:41:28 · 6 answers · asked by mari 2 in Business & Finance ➔ Personal Finance
I do have credit cards and I have always kept up with the payments so I know I do have some credit but don't know if I have perfect credit since I just barely started building up my credit. And I need the loan because I will be moving really soon and need a lil extra money to pay off some things before I move and have one of my cars fixed. So that is the reason I need the loan. And I would save up instead of getting a loan but I don't think i can come up with $2,000 in a week.
2007-02-01 01:59:44 · update #1
my monthly payments are gonna be $138 a month. I was actually thinking of going to a credit union maybe I should check that out instead of going to citifinancial when they told me that my interest rate was gonna be 27.99% I knew that was to much even though I'm not to familiar with all this financial mumbo jumbo lol.
2007-02-01 02:04:50 · update #2
27.99% is VERY BAD!!!! You will end up paying more than $2500 in the course of 18 months. Have they told you what your monthly payments are going to be? Ask them what the total amount of the loan is including the interest...you will be shocked..and if they do not give you that information, RUN! they should not hesitate at all to give you the answers you need to make a sound decision.
What is this loan for? IF it is something you can live without then I suggest you save the money you would be paying to citi every month and pay cash for whatever it is once you have the money. Citifinancial is known for high pressure tactics to get you to sign on the dotted line. Cancel this appointmnet and go to a local, reputable bank or credit union.
2007-02-01 01:56:35 · answer #1 · answered by rebel g 4 · 0⤊ 0⤋
that interest rate is high but it's probably because you are repaying it over a short period of time. It would actually be cheaper to buy it with a credit card if you had one as they are usually around 18% and you can pay them off as quick as you like. Generally speaking the longer the period of the loan the lower the interest rate which is why 25 year mortgages are around 5% but credit cards are around 18%. I'd shop around a bit more if I were you. You're the customer after all, they're not doing you a favour, they want your business. As yourself though, do you need the thing that badly? If you put that 138 into a savings account you could buy the thing without a loan in 14 months time and save yourself $500. In fact if you put just a bit more away, say $200, you could have you £2000 in less than a year.
2007-02-01 11:17:24 · answer #2 · answered by gerrifriend 6 · 0⤊ 0⤋
I would definitly shop around before signing that note, I have had credit problems in the past and my rating is not very good and the highest % rate that I have on my loans is 19% which is still very bad, I would try talking to the bank that you bank at, or a credit union in your area, if this doesn't work then try www.prosper.com it is a great place to get a loan and the interest rates are a lot lower than that, make sure that you read through everything so that you understand how it works and by joining a group (which is free) that had 100% shared benefits than you will be more app to get your loan request funded! Best of Luck! I would not sign that loan agreement until you try some other options!
2007-02-01 10:05:39 · answer #3 · answered by randyssgirl25 2 · 0⤊ 0⤋
Its a good thing you asked this question. Personal loans will always have high rates. But, Citi is charging EXTREMELY high rates.
There is a website called bankrate.com that shows what all banks are currently offering for home loans, credit cards, car loans, and personal loans. I have used the site a few times and I have been very happy with it.
The bigger question is why do you need this loan. Can't you just save your money until you have $2,000?? Then you won't have to pay this excessive interest. Get yourself a credit card while your at it and build up a good credit history. Good luck!
2007-02-01 09:52:38 · answer #4 · answered by MR MONEY 3 · 1⤊ 0⤋
THIS IS WORTH THE BEST ANSWER, I PORMISE!
IF you need any help through this process please message me. I would be more than happy to walk you through it.
LISTEN, That interest rate is toooo, and I mean Toooo HIGH!
Do this,
1.Go to www.prosper.com (A LOAN Website for people 2 people)
2 Then open a free account with them.
3.Go to Barrow Money, then get the required information in order to post a listing, then just wait till your loan is filled.
4.Have people bid on a lower Interest rate and pay that back in 3 years or faster to cutt the interest more!
PLEASE DONT GET THAT INTEREST RATE, sheeesh that is a soar eye!
If you need any help understanding prosper.com please let me know. Its an excellent opportunity for you to get a lower rate.
2007-02-01 10:02:00 · answer #5 · answered by Jose T 1 · 0⤊ 0⤋
I dont recommend using them! id try Prosper, you can try for what ever rate you want! join Phoenix Financial Group and i can help you list your loan and fund a part also !
http://www.prosper.com/public/groups/group_home.aspx?group_short_name=phoenixfinancial
2007-02-04 12:30:35 · answer #6 · answered by Anonymous · 0⤊ 0⤋