Jump to content

Tips for buying my boat & loans


Tasemu

Featured Posts

Hi again friends!

 

I'm considering purchasing a particular boat in august. I'm rather ignorant of loans and/or buying anything significant. I can get a personal loan for the boat, but should I do this first? Or should I pay for the survey before applying for the loan? Or apply for the loan before paying for a survey... Or should i get the survey, haggle and then apply for the loan?

 

Thanks muchly for any advice in this regard.

Link to comment
Share on other sites

3 minutes ago, Tasemu said:

Hi again friends!

 

I'm considering purchasing a particular boat in august. I'm rather ignorant of loans and/or buying anything significant. I can get a personal loan for the boat, but should I do this first? Or should I pay for the survey before applying for the loan? Or apply for the loan before paying for a survey... Or should i get the survey, haggle and then apply for the loan?

 

Thanks muchly for any advice in this regard.

As you are getting a 'personal loan' (ie the loan is against you, not any 'object') it would be a good idea to get the loan before finding the boat, then with cash-in-hand you are in a much better position to negotiate a deal.

 

If you find the boat and then say "can you wait a week or two whilst I try and sort out a loan" I would reply, "if someone comes in the meantime, its 1st come 1st served, but if it is still available when you have the money, come back and talk to me"

  • Greenie 1
Link to comment
Share on other sites

1 minute ago, Alan de Enfield said:

As you are getting a 'personal loan' (ie the loan is against you, not any 'object') it would be a good idea to get the loan before finding the boat, then with cash-in-hand you are in a much better position to negotiate a deal.

 

If you find the boat and then say "can you wait a week or two whilst I try and sort out a loan" I would reply, "if someone comes in the meantime, its 1st come 1st served, but if it is still available when you have the money, come back and talk to me"

Is it possible to get approved for the loan before taking it out? for example, i'd like to be able to not borrow the money if after getting the survey, it turns out to have some critical issue.

Link to comment
Share on other sites

1 minute ago, Tasemu said:

Is it possible to get approved for the loan before taking it out? for example, i'd like to be able to not borrow the money if after getting the survey, it turns out to have some critical issue.

I've not borrowed money for many years but you certainly could get 'pre-approval' back in the 70's. and the money was just 'sat' waiting for you to 'draw-it-down'.

 

Remember the money is loaned against YOU and your income, unlike a mortgage where the loan is secured on the 'object'.

You could have the money and buy anything with it - even use it for a holiday and the bank wouldn't give two-hoots.

Link to comment
Share on other sites

59 minutes ago, Alan de Enfield said:

even use it for a holiday and the bank wouldn't give two-hoots.

 

Ahem.  The bank care a LOT of hoots what you are gonna use a personal loan for. It just so happens that wasting the money on a holiday, boat or car is just fine. Put “deposit for a house” or “working capital for my new business” on the application and you are guaranteed to be rejected. 

 

I still dont fully understand why. 

 

 

Link to comment
Share on other sites

2 minutes ago, Mike the Boilerman said:

Put deposit for a house” or “working capital for my new business” on the application and you are guaranteed to be rejected. 

 

I still dont fully understand why. 

You don't think the fact they want to charge more for both your examples has any bearing on it then?

Link to comment
Share on other sites

5 minutes ago, Mike the Boilerman said:

 

Ahem.  The bank care a LOT of hoots what you are gonna use a personal loan for. It just so happens that wasting the money on a holiday, boat or car is just fine. Put “deposit for a house” or “working capital for my new business” on the application and you are guaranteed to be rejected. 

 

I still dont fully understand why. 

 

 

I have only ever had one mortgage loan and one personal loan.

The personal loan was in 1979 for £1000 for 12 months at 17% interest  - purpose - to buy 1/3rd share in an aircraft.

 

With the last 10 years being at 0.5% - Tell the youngsters today about those rates and they wouldn't believe you.

Link to comment
Share on other sites

Hrm... a lot of these loans I see require being a resident in the UK for 3 years... That sucks as i've only been here 2.5 years. Anyone know if this is an across-the-board rule for all loans?

Link to comment
Share on other sites

19 minutes ago, TheBiscuits said:

You don't think the fact they want to charge more for both your examples has any bearing on it then?

 

Thats nothing to do with it. Certain uses for personsl loans are simply not permitted, thats why they always ask the purpose. Its not idle curiosity!!

 

 

 

I think the “Banking Code” demands “responsible lending” and those uses i mentioned don’t qualify.  

Link to comment
Share on other sites

18 minutes ago, Tasemu said:

Hrm... a lot of these loans I see require being a resident in the UK for 3 years... That sucks as i've only been here 2.5 years. Anyone know if this is an across-the-board rule for all loans?

Even if it is, just wait six months and you'll be eligible.

Where you bin then?

Link to comment
Share on other sites

14 minutes ago, Athy said:

Even if it is, just wait six months and you'll be eligible.

Where you bin then?

That would be the plan if they weren't needing to sell it before september. I've been growing up in australia, born in the uk but grew up across the pond. :)

  • Greenie 1
Link to comment
Share on other sites

1 hour ago, Tasemu said:

Hrm... a lot of these loans I see require being a resident in the UK for 3 years... That sucks as i've only been here 2.5 years. Anyone know if this is an across-the-board rule for all loans?

 

I would say it is one of those many parameters they have some leeway on, particularly if you want a really short term loan. Banks rate ‘stability’ really highly as people with a stable lifestyle tend to pay back their loans, whereas those who move around have a much poorer record, statistically as a large group. So staying at one address for years on end counts for a lot when being scored for a loan, as does staying in the same country, i would imagine from their stats. You might get lucky if you apply for one or two year loans, i.e. a payback period shorter than your current residency here. 

 

Edited by Mike the Boilerman
Link to comment
Share on other sites

3 hours ago, Alan de Enfield said:

I have only ever had one mortgage loan and one personal loan.

The personal loan was in 1979 for £1000 for 12 months at 17% interest  - purpose - to buy 1/3rd share in an aircraft.

 

With the last 10 years being at 0.5% - Tell the youngsters today about those rates and they wouldn't believe you.

Last mortgage, 1984, 13% variable over 25 years???

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • Recently Browsing   0 members

    • No registered users viewing this page.
×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.