Short Term Bank Loans - Your Experiences

Luxy

(This might be in the wrong category, if it is, I apologise in advance mods. Don't murder me, please.)

I was just wondering if anyone has approached any banks recently for short term loans and what their experiences have been.

I know that a lot of people have lost jobs unexpectedly in recent months and have been forced to turn to financial institutions for help covering bills and so on. I have spoken to people who were refused loans even though they held decent savings with certain banks, along with people with stellar credit histories who were straight out denied credit without any fair reason being given.

I understand the reasons as to why banks are behaving this way these days, I'd just like to know everyone else's experiences with credit & lending in the past few months.

Lizzykins

A couple of people I know have gotten loans in the last month or two. No bother at all. Including one student who got 5k. B of I seem to be lending as those I know who've gotten loans have gotten them with B of I.

dotsman

The 2 big Irish banks are lending, and pretty much the same criteria as always.

You are correct to say that credit history and savings are important (perfect credit history being essential). But the most important aspect is the ability to repay. Thus, someone on social welfare is not really in a position to repay any amount of significance. Also, banks generally don't lend for periods under 1 year (there are exceptions).

A Credit union sounds more like what you/your friends need. It may cost you a good bit more (depends on the credit union - they individually set their prices: some very cheap, some very expensive), but credit unions main activity is lending small amounts for small lengths of time to people without a strong income. You will probably also have to transfer some savings there to act as collateral (which adds to the cost of the loan!).