Changing to a new loan

[shelley2]

I took out a loan of �12,500 around November time last year, it was originally refused due to bad credit rating from my student days (5 years ago) the loan request eventually went to the underwriters and was agreed. the interest is something like 14%, and overall i will be paying back �19,000. I know since i have taken this loan that my credit rating is now ok and wonder how i go about getting another loan to pay off this one? do i contact the people i have the loan with or do i go to another bank? Any help appreciated - thanks

[CheekyChops]

You go to anyone you like. Get a settlement figure from your current lenders and then approach others and ask for the amount neeed to repay the current loan.

You could try telling your current lenders what you are thinking of doing and see if they will do you a new loan at a lower rate. Probably not but must be worth trying.

[shelley2]

Thanks for giving me a steer in the right direction - ill try ringing them first and see if that gets me anywhere

[malaise]

Hi Shelley. I have an unsecured loan with Cahoot, and the rate's really good. You can apply and set it up over the internet. (Though don't take my word for it, shop around!)

You will need to get a settlement figure from your current loan provider. This will provide you with the figure that you will need to repay them to close the loan account, and may include a premium for paying off your loan early (this should be in your terms & conditions if you have a copy, but the loans company should be able to tell you over the phone). Good luck finding a cheaper rate! x

[shelley2]

Thanks Malaise - i rang up my loan provider and asked about changing the loan over - the girl was so unhelpful that i have given up on them altogether and applied for a lower rate loan with alliance & leicester. Fingers crossed!!

[LondonGal74]

Was this an unsecured loan please with Cahoot ?