money problems?

Question

i have a very bad credit rating, but i am wnting to get a loan to pay off two credit cards so i only have one payment.

is there any companies that i am able to contact for an unsecured loan? i hve already ben refsed from my bank and other major companies. i live in the uk.

Answer 1

I don't live in the UK and am not sure if it's any different from the U.S., but it's a VERY bad idea to apply for a loan to pay off credit cards. Sure, you'll have one payment, but you will still accrue debt from the loan, and your credit score will either not change or drop significantly. Besides, if you've already been refused by a bank, chances are you won't be able to get a loan.

Talk to a financial adviser. You might be able to consolidate your debt onto one credit card. You just need TIME and DISCIPLINE to pay off that debt - no extra loan.

Answer 2

Hello Darren,

It is likely that if you have been refused by your bank and other major credit companies, you will find it very difficult to get the loan you want unless you can put up some sizeable and acceptable security. Your home foe exampe (if you own it or have a mortgage of course).

The only other way really is to borrow from a less reputable company, a loan shark.

But by doing this you will be jumping out of the frying pan into the fire because their interest rates will be far higher than those you are paying on your 2 credit cards and if you default, they are likely not to take it very kindly.

If you want to clear your existing cards and not use them again, my advice is to contact the companies concerned rather than try to get a loan to pay them off.

Tell them that you are finding it difficult to pay off your balance or parts of it as well as the interest.

A good credit card company will appreciate your honesty and may well freeze your account without adding more interest to it. All they will expect you to do is simply pay off the existing balance over a period of time.

This is likely to be far cheaper than getting a loan.

Good luck.

Poseidon

Answer 3

All you are doing here is getting yourself deeper in the mire, I have been there, and please dont get a loan out to pay for credit cards, if you do get one you will be paying incredibly high intrest rates, so you will never escape.
I know christmas is coming and you want to spend on the kids or whatever, but you are just putting off the inevitable, you cant afford the credit cards, face it, and take control, go the website I have listed below, they can help you, you can get control of your finances, its going to be a bit tough, but its better to do it now rather than later, if christmas is going to be a bit thin this year, well its better then the bailiffs comng round in six months time.

Answer 4

Be very careful about taking out a loan to pay off credit card debts. Firstly you will end up paying a very high interest rate (assuming you can get a loan ). Secondly unless you cut up your cards after paying them off you are likely to end up in an even worse position than you are now.

Answer 5

Type in your search engine for a company offering unsecured loans. You will then have to check them out by seeing if one is suitable for you. They will say if they deal with people with bad ratings. Good luck!

Answer 6

why not search the net?.tap in unsecured loans,but do check out what the company is like,dont get stuck with a cowboy oufit,and dont get caught up with high interest charge's,or you will be back where you started

Answer 7

That would be like buying a Hummer to save on gasoline.

Sell your car to pay for one of your credit cards and use the public transportation system for a while.

Answer 8

DON'T DO IT!
You will only get yourself deeper into debt.
CUT UP THE CARDS NOW!
Try to pay slightly more than your minimum payments each month.
The balances will soon come down if you do not spend on them.