Loan is impossible?

kevincork

Hi there,

not sure is the right place but I feel lost.

I'm in Ireland since a few years now, always have a good wage with a huge multinational company, at least I'm thinking my wage is not to bad (32K / around 2500 a month)

but I can't have a loan, even a small one.

I managed to have my Car hire contract I think two / tree year ago now, I'm still paying but what ever I ask the bank for a loan, they always declined it.

Tried with my bank TSB, tried with other like KCB, always the same thing...

I though maybe something wrong with my score credit , so I ordered a report, and it's seems good, I don't understand much but it's said "523" and it's also report that all my payment are paid in time ....

I actually need a second car for my wife and for the kids, but can't get any thing accepted, tried with a small thing like 10K tried also with a ridiculous 1K just for the fun, always declined, that very upsetting me.

Any advise ? even though I don't think their is much to do.

extra-ordinary_

Join your local credit union.

bazz26

How much are your current monthly car repayments costing you? I presume you are also paying rent/mortgage, along with other bills. Are you the sole earner in your household? Its very possible they don't think you can afford the repayments of a second car loan based on your current disposable income (take home pay less outgoing expenditure).

bear1

Whatever you do stop putting many loan requests in, it's ruins your score.
If you have a credit card then consider cancelling it as some banks treat that as an open loan.

Ivefoundgod

I work for one of the main banks, as mentioned above disposable income is the crucial part. If your net salary is 2500 and you are married with kids you'll struggle to meet the criteria on your own. Best bet is to try a joint application with your partner especially if they are working even if only part time. If you want more info PM me. Next time you apply ask about Hire Purchase options, they are secured loans so the criteria isn't as strict.

Also, you mentioned getting your credit score? From whom? If its anyone other than the ICB its a scam and not worth the paper its written on. ICB charge €6 to send out their report to you as you are entitled to a copy of it under Data Protection.

kevincork

Thank everyone for the reply,

I ordered the score credit from ICB

I have a credit card with Tesco Bank, but I use it just as a security in case I need to rent a car in holiday (for the deposit) the credit limit on the card is 2k but I never wait the end of the month (direct debit) I always call them to make a payment with my bank debit card.

My wife isn't working as she minding the kids for the moment that while I'm going with a single application.

I recently opened a Credit union account, but I didn't bother made a loan request yet cause, it's a brand new account, and mostly put money for my kids there.

The car repayment is around 340€ a month
the rent is 1100€

and the bills are made from my joint account (basically electricity 75€ + internet 80€)

I had now clue that applying for different loans is damaged the score credit, thank you for the advice. ( I actually tried with KBC and AIB recently)

I didn't think about a hire purchase loan (that what I actually have with my first car) but that could be an option alright if accepted, but I'm guessing the car have to be brand new, and the 7 seaters car I saw are about 30/35K (which I think I can afford) but that probably sounds too risky for a bank/finance company

hi_im_fil

Based on your posts it looks like the banks do not think you have enough disposable income to cover the loan payment. Net income is roughly €2350 and you have expenditure of €1600 already which leaves €750 to fed and cloth 3 people. Too tight for a bank to give a loan on I'd say. What were you planning on spending per month paying the loan?

bazz26

Banks will usually give a hire purchase loan on cars up to 4 or 5 years old. Maybe look at buying a cheaper car that's a few years older that doesn't require you to borrow as much money. Credit Union might have slightly higher interest rates but would be more flexible on loaning criteria than the banks and also around repayments.

Casati

bazz26 wrote: »

Banks will usually give a hire purchase loan on cars up to 4 or 5 years old. Maybe look at buying a cheaper car that's a few years older that doesn't require you to borrow as much money. Credit Union might have slightly higher interest rates but would be more flexible on loaning criteria than the banks and also around repayments.

I think that your wages are actually not as good as your employer might be telling you they are. Adding up the maths I think your doing very well as a sole earner to pay the bills and keep the children and yourselves looked after, and keep a car in the road. Unless you or your partner can dramatically increase your income I think you'd be putting yourself under massive pressure to try to finance and run a second car

bazz26

Not sure why you are quoting me as I'm not the OP.

Casati

bazz26 wrote: »

Not sure why you are quoting me as I'm not the OP.

That wasn't intentional'

kevincork

Thank you all for your reply.