Stock loan!

exercise is the antidote

Well lads,. What in regards to paper work will the banks look for if getting a stock loan.. What banks are actually lending?. anyone have any experience with the credit union?

Timmaay

exercise is the antidote wrote: »

Well lads,. What in regards to paper work will the banks look for if getting a stock loan.. What banks are actually lending?. anyone have any experience with the credit union?

Was in with boi not too long ago, seemed very keen to lend, stocking loan would be in around the 6% which seemed reason, the CU would be in around 10%, and need you to leave a % of the loan in the account. In terms of paperwork, 3yrs previous accounts, I had a fancy 10yr future plan, done out in excel with me also, it all helps, their main thing is to see if the farm can definitely meet the repayments.

restive

I have just got a stocking loan from Bank of Ireland in November. 12K.

biddy2013

Profit monitor. Cash flow planner. Previous years accounts.

whitebriar

Do ya know what Boi,is your only man at the moment, eager to lend and listen to a good case.
Bring in what Timmmay and Biddy said there.

Know a guy who applied to Aib and it took 3 months for a reply for small enough beans :eek:
How on earth are they ever going to get out of government ownership if that's their attitude to a new loan,no mortgage, largeish property dairy farmer?

exercise is the antidote

Timmaay wrote: »

Was in with boi not too long ago, seemed very keen to lend, stocking loan would be in around the 6% which seemed reason, the CU would be in around 10%, and need you to leave a % of the loan in the account. In terms of paperwork, 3yrs previous accounts, I had a fancy 10yr future plan, done out in excel with me also, it all helps, their main thing is to see if the farm can definitely meet the repayments.

Is that a once a year pay back timmay?

In regards to the amount your asking for? What % do they want you to have already?
Why do they ask to leave a certain amount in the account...

whitebriar

exercise is the antidote wrote: »

Is that a once a year pay back timmay?

In regards to the amount your asking for? What % do they want you to have already?
Why do they ask to leave a certain amount in the account...

That's how credit unions work.
It's your savings they want you to leave in your savings account with them that Timmay is talking about.
They lend you a multiple of that.

biddy2013

I am with Ulster bank. Took the guts of 3.5 months to get 10k loan

Timmaay

whitebriar wrote: »

That's how credit unions work.
It's your savings they want you to leave in your savings account with them that Timmay is talking about.
They lend you a multiple of that.

So to get around it, ya do what the eastern European lads supposedly did during the boom to get a mortgage for the house, one chap would lodge 3k, loan of 9k, give his friend that as the deposit for another loan, of 27k, and eventually they would be up to 200k

exercise is the antidote

whitebriar wrote: »

That's how credit unions work.
It's your savings they want you to leave in your savings account with them that Timmay is talking about.
They lend you a multiple of that.

Yes I understand that you must have savings that is basically locked and can't be touched till the loan is repayed but not a % of the loan that you are asking for surely?

biddy2013

exercise is the antidote wrote: »

Yes I understand that you must have savings that is basically locked and can't be touched till the loan is repayed but not a % of the loan that you are asking for surely?

We need 20% of what you are looking for in shares

exercise is the antidote

biddy2013 wrote: »

We need 20% of what you are looking for in shares

Thank you biddy..

biddy2013

exercise is the antidote wrote: »

Thank you biddy..

Then it gets more complicated if you want to withdraw some of your shares as loan balance is going down. You have to have 25% of the loan amount in your account then ??????? Every cu is different. Ours is a bit crap as one of the directors took out a big loan and didn't repay it

Pharaoh1

Was a PTSB customer and asked about stocking loan this time last year - wasn't even entertained.
Went to AIB asked for 15k they got back to me in a few days offering 7.5k

Into B of I (who I left years ago when they messed me around) and got the full 15k relatively easily.
Was in clearing the loan in Nov when the manager spotted me and came over to say if I needed a few euros again to come in and talk to him.

moy83

My manager in aib was on about a new type of loan for farmers there before Christmas . I think it was called green line credit or something . They would clear you for a certain amount but wouldnt start taking interest until you actually used it , which sounded handy for things that cropped up at the right price that you wouldnt be ready for . Im not sure but I think it was 6.5% rate

bob charles

75% of my business is with BOI, who im becomming increasingly frustrated with over small things, on saying that they are **** scared of my type of business. AIB on the other hand are always more eager to lend in my case.

porter shark

Just paid my boi stock loan
No trouble getting it, just asked wat it was for. Told them t buy cattle that'll be sold in 12 months and no prob 15k for 12 month cost 1060.
Went in lookin for a mortgage durin d year, when they saw my accounts it was a full refusal.

adne

porter shark wrote: »

Just paid my boi stock loan
No trouble getting it, just asked wat it was for. Told them t buy cattle that'll be sold in 12 months and no prob 15k for 12 month cost 1060.
Went in lookin for a mortgage durin d year, when they saw my accounts it was a full refusal.

What stock did you buy with the 15k and what they leave?

porter shark

adne wrote: »

What stock did you buy with the 15k and what they leave?

Bought a few heifers, still have them and had t get a relation out of a hole wit d rest, didn't get that back yet. Paid bank wit my grants. The story is about as scattered as the rest of my life!!!

exercise is the antidote

biddy2013 wrote: »

Then it gets more complicated if you want to withdraw some of your shares as loan balance is going down. You have to have 25% of the loan amount in your account then ??????? Every cu is different. Ours is a bit crap as one of the directors took out a big loan and didn't repay it

Then this is going to make it more complicated.ha.... I have they accounts the last few year, but everything is in my dads name. Even my stock it's in dads herd number. Would I be rejected because of this? I have all the cards and pay the meal bill...etc etc
I have never applied for loan before..

biddy2013

exercise is the antidote wrote: »

Then this is going to make it more complicated.ha.... I have they accounts the last few year, but everything is in my dads name. Even my stock it's in dads herd number. Would I be rejected because of this? I have all the cards and pay the meal bill...etc etc
I have never applied for loan before..

they make allowances for all situations, they know my story and i normally pay off loan before the term is up. If its your local cu they should know you and will tailor what you want to what you have iykwim

caseman

6.2% with aib ,one year account's and a bundle of form's to fill.
It only took 3 day's to get approved.

Sam Kade

whitebriar wrote: »

Know a guy who applied to Aib and it took 3 months for a reply for small enough beans :eek:
How on earth are they ever going to get out of government ownership if that's their attitude to a new loan,no mortgage, largeish property dairy farmer?

I got a stock loan off AIB at the start of the year it was approved within a week which included time to get the paperwork they asked for.

moy83 wrote: »

My manager in aib was on about a new type of loan for farmers there before Christmas . I think it was called green line credit or something . They would clear you for a certain amount but wouldnt start taking interest until you actually used it , which sounded handy for things that cropped up at the right price that you wouldnt be ready for . Im not sure but I think it was 6.5% rate

That's the loan I got around 6% interest you need to pay back before 12 months or else they will add extra interest.

jimmy G M

exercise is the antidote wrote: »

Then this is going to make it more complicated.ha.... I have they accounts the last few year, but everything is in my dads name. Even my stock it's in dads herd number. Would I be rejected because of this? I have all the cards and pay the meal bill...etc etc
I have never applied for loan before..

They might want your Dad to go in as joint borrower or go guarantor as if accounts are in your Dads name, you have no income? (unless farm paying you a wage or off farm income?) Back in the day, the first loan I got my Dad had to go guarantor. Once you establish a record in your own name you are in a better position.

moy83

Sam Kade wrote: »

I got a stock loan off AIB at the start of the year it was approved within a week which included time to get the paperwork they asked for.

That's the loan I got around 6% interest you need to pay back before 12 months or else they will add extra interest.

Was there much paperwork needed ? I didnt question ur wan too much about it at the time , and more importantly was there much left for yourself when the interest was paid on top of all the usual costs

Sam Kade

moy83 wrote: »

Was there much paperwork needed ? I didnt question ur wan too much about it at the time , and more importantly was there much left for yourself when the interest was paid on top of all the usual costs

Previous years accounts and stock numbers money owed and money in bank. I didn't pay it back yet as I only sold the cattle before Christmas, not much profit as I bought aax bullocks if I was doing it again I would buy continentals.

moy83

Sam Kade wrote: »

Previous years accounts and stock numbers money owed and money in bank. I didn't pay it back yet as I only sold the cattle before Christmas, not much profit as I bought aax bullocks if I was doing it again I would buy continentals.

I reckon its handy money for the bank unless you can borrow a right slam off them and carry alot of stock at a better interest rate .
Its a handy bit of credit for the day you see something cheap that could be moved on within a few short months though .

Sam Kade

moy83 wrote: »

I reckon its handy money for the bank unless you can borrow a right slam off them and carry alot of stock at a better interest rate .
Its a handy bit of credit for the day you see something cheap that could be moved on within a few short months though .

I read on here 2 years ago where someone got a stock loan for 4% I mentioned it to the woman over my account in the bank and she wanted to know where I heard that.

bob charles

Sam Kade wrote: »

I read on here 2 years ago where someone got a stock loan for 4% I mentioned it to the woman over my account in the bank and she wanted to know where I heard that.

believe half what you see, a quarter what you hear and an eighth what you read on the net

EliteC

I went to BOI last week looking for a stock loan of 16k and got it easy. 6% interest rate.
Went to CU before Christmas and they wanted 9.5% IR!!!

Sam Kade

bob charles wrote: »

believe half what you see, a quarter what you hear and an eighth what you read on the net

The thing is I knew by your wans reaction that I wasn't supposed to know that amazing what you can read with body language. So Bob have you got one of them low interest stock loans in the past

bob charles

Sam Kade wrote: »

The thing is I knew by your wans reaction that I wasn't supposed to know that amazing what you can read with body language. So Bob have you got one of them low interest stock loans in the past

nope, between 5 and 6 were the lowest ones I had, I can bargin as I have the hand out begging anytime I wanted a stocking loan. my 2 loans currently at 2.15% are my little nugget , its a pity I ever have to pay those off

delaval

bob charles wrote: »

nope, between 5 and 6 were the lowest ones I had, I can bargin as I have the hand out begging anytime I wanted a stocking loan. my 2 loans currently at 2.15% are my little nugget , its a pity I ever have to pay those off

In the same boat here. Term loan at very low rate, have negotiated another for a new project and the biggest battle is stopping them putting all into one new loan.

I'm at the stage where I'm about to go to another bank as I don't want to lose this rate

bob charles

delaval wrote: »

In the same boat here. Term loan at very low rate, have negotiated another for a new project and the biggest battle is stopping them putting all into one new loan.

I'm at the stage where I'm about to go to another bank as I don't want to lose this rate

depends what % of your total borrowing the low interest rate makes up. I think my business manager is overconcerned about the low rate and constantly mentioning that maybe a more friendly repayment structure might be available to me. yeah right, I find my low rate very friendly

Farmer Pudsey

bob charles wrote: »

nope, between 5 and 6 were the lowest ones I had, I can bargin as I have the hand out begging anytime I wanted a stocking loan. my 2 loans currently at 2.15% are my little nugget , its a pity I ever have to pay those off

Jayus Bob you seem to be over paying there I have two like that and I have it at under 2% at present I think. Made an awful mistake about 3 years paid a lump ( about 10K) off one am as sorry as sh!t now. They will get the payments only from now on it was a serious mistake.

TBF they have never came back about paying back early. It is with Rabobank/ACC will be sorry to see them go. From looking at thread BOI seem to be getting more competitive and if you can get a stock loan for 6% what is the rate for land might have another punt soon if I got good terms.