CONSOLIDATION LOAN FAQ's
What can I use a Consolidation Loan for?
How do I make sure I get a good interest rate?
What is I have a bad credit history?
What will my repayments be?
Can I change my monthly repayments?
How much can I borrow?
What information do I need to provide?
I have been declined, can you tell me why?
How long does it take to get my Consolidation loan?
Can I repay my Consolidation loan early?
Can I top up my loan?
What if I'm ill or if I'm made redundant?
What if I am self employed, can I still get a loan?
What can I use a Consolidation Loan for?
You can use an Unsecured Loan for a variety of purposes including Debt Consolidation. A professional broker will provide you with what you can and cannot use them for.
How do I make sure I get a good interest rate?
To make sure you get a good interest rate make sure you do lots of research or use an independent broker. Independent brokers have access to all the lenders in the UK and are impartial, i.e. they are not tied to any particular company. So it is less likely that you will be given inaccurate information.
What is I have a bad credit history?
If you have a bad credit history and are struggling to find credit then a Secured Loan may be more suitable to you. Secured loans require security of an asset or property. If you struggle to get a secured loan a Bad Credit Loan may be available to you. Be warned if you do not keep up the repayments on a Secured Loan your home or property may be at risk.
What will my repayments be?
This will depend on how much you borrow, how long you borrow it for and the interest rate at the time you took out the loan. Be sure to check fully with your broker and read all the terms and conditions before signing or agreeing to anything.
Can I change my monthly repayments?
If you are struggling to make your monthly repayments a Lender will usually be able to help with this by means of a repayment holiday or fixing a lower payment over a longer term. On the flipside, you can usually increase you payment if you want to pay them off faster.
How much can I borrow?
This depends on the value of your property or asset and your personal circumstances.
What information do I need to provide?
You will have to provide personal information, income and expenditure details and details of your property including its value and current mortgage status.
I have been declined, can you tell me why?
If you have been declined for an Consolidation Loan it may be due to your credit rating. Visit the websites of Experian, Equifax or Call Credit. For a small fee (Usually £2), you can obtain a copy of your credit report. If there are any issues you should be able to spot them and look for solutions to rectify the situation.
How long does it take to get my Consolidation loan?
You can get your funds as quickly as 24 hours but it is mainly dependant on how fast you return your paperwork to your broker.
Can I repay my Consolidation loan early?
Most loan companies will let you repay your loan early without incurring penalties. Check with your broker before taking out a Consolidation Loan.
Can I top up my loan?
You can usually top up your loan after a set period from the time you first took out the loan.
What if I'm ill or if I'm made redundant?
Ask your broker about Payment Protection Insurance or PPI. This will cover you incase of a sudden change in circumstances.
What if I am self employed, can I still get a loan?
If you are self employed you can still get an Consolidation Loan. You will have to provide further information such as proof of income.
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