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Cheapest way to borrow £4000

agriff2 Avatar
8y, 1m agoPosted 8 years, 1 month ago
Hi guys wandering if any of you can help, I'm planning on setting up a business with 2 of my friends, i need to raise another 4k myself - what's the cheapest way of doing this? (Martin Lewis always talks about credit cards with 0% apr for 12 months, is there any way i can get cash from a credit card???)
Thanks in advance
agriff2 Avatar
8y, 1m agoPosted 8 years, 1 month ago
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[mod] 2 Likes #1
Cash from a credit card usually charges.
I think you'd struggle to get an interest free way.
[url]www.zopa.com[/url] are good if you have decent credit.
1 Like #2
i just took a loan with aa very good apr 8.5%
my bank hsbc 15.9% i think aa good for loans cheap
#3
magicjay1986
Cash from a credit card usually charges.
I think you'd struggle to get an interest free way.
[url]www.zopa.com[/url] are good if you have decent credit.


Thanks, i'll look into that, i have got a v good credit rating, fingers crossed
[mod]#4
agriff2
Thanks, i'll look into that, i have got a v good credit rating, fingers crossed


Best of luck!!
#5
sme24185
i just took a loan with aa very good apr 8.5%
my bank hsbc 15.9% i think aa good for loans cheap


Do you have to have their break down cover to apply for this? Rep added, thanks
#6
magicjay1986
Best of luck!!


Rep given, Thanks
1 Like #7
virgin credit card - can pay cash stright into your account and classed as balance transfer 3% applies and I think they are doing interest free for 15 months
1 Like #8
We have used a Cahoot flexible loan in the past. They deposit the money in your account and you basically decide how much you are going to pay per month (decided before the loan is agreed) and then you pay at least that. It's great because you can overpay and settle early with no charges or you can reborrow some of the amount you have paid back should you need some extra money again.

The loan we had was probably 4 years ago and we settled very soon after taking it out so I can't guarantee the terms are still the same.
1 Like #9
Don't whatever you do borrow money on a credit card - no matter what the deal is - you will end up paying far too much off in the end.

If you look at a simple comparison site such as www.moneysupermarket.com or www.moneysavingexpert.com, or similar you will quickly be able to see the majority of the lenders that will lend you thins sum of money over the term you require at the cheapest APR (Annual Percentage Rate) They will also give you a TOTAL cost of borrowing so that you can see exactly how much it will cost you.

£4000 over a term of (say) 12 months isn't (realtively) speaking that much - if it is to start a business most banks will give your a preferential business loan, if they think the idea is a good one.

To put it in perspective the current GOvt have just loaned the majority of our Banks PLENTY of money to help them out in the short to medium term, so I am sure that they will be able to help you too. But please - be VERY CAREFUL with Credit Card Cash Backs or (alleged) Interest Free times and so on... It is all too easy to get caught up that way,.. You are far better off paying it back monthly at a cheap APR Rate.....
Any questions feel free to ask and I will give you some more help if needed.

:-)
Cat About Town.
Puuurrrrr
xxx
#10
agriff2
Do you have to have their break down cover to apply for this? Rep added, thanks


no you dont. i dont have that
#11
cloudthecat
Don't whatever you do borrow money on a credit card - no matter what the deal is - you will end up paying far too much off in the end.

If you look at a simple comparison site such as www.moneysupermarket.com or www.moneysavingexpert.com, or similar you will quickly be able to see the majority of the lenders that will lend you thins sum of money over the term you require at the cheapest APR (Annual Percentage Rate) They will also give you a TOTAL cost of borrowing so that you can see exactly how much it will cost you.

£4000 over a term of (say) 12 months isn't (realtively) speaking that much - if it is to start a business most banks will give your a preferential business loan, if they think the idea is a good one.

To put it in perspective the current GOvt have just loaned the majority of our Banks PLENTY of money to help them out in the short to medium term, so I am sure that they will be able to help you too. But please - be VERY CAREFUL with Credit Card Cash Backs or (alleged) Interest Free times and so on... It is all too easy to get caught up that way,.. You are far better off paying it back monthly at a cheap APR Rate.....
Any questions feel free to ask and I will give you some more help if needed.

:-)
Cat About Town.
Puuurrrrr
xxx


Thank you for the advice, we each need to raise £10k, i've got 6k but wanted to get a loan for the remaining 4k, barclays have offered me up to 25k (apparently my credit rating is brilliant!), but i forgot to ask them the apr, d'oh!! We are taking a business loan out aswell as we need to raise £100k, aarghhh. As you've probably guessed i've never taken a loan out before, hence me not knowing anything about it. Why d'you advise against getting a credit card? Surely it's just a case of remembering to transfer the outstanding balance over to a new credit card before the 0%apr is over, isn't it???
reps on it's way to every1 that's helped.
#12
loan sharks or dug dealers.
banned#13
octobergirl
virgin credit card - can pay cash stright into your account and classed as balance transfer 3% applies and I think they are doing interest free for 15 months


They also do cheques that you can pay directly into your current account.
#14
agriff2;3194042
Thank you for the advice, we each need to raise £10k, i've got 6k but wanted to get a loan for the remaining 4k, barclays have offered me up to 25k (apparently my credit rating is brilliant!), but i forgot to ask them the apr, d'oh!! We are taking a business loan out aswell as we need to raise £100k, aarghhh. As you've probably guessed i've never taken a loan out before, hence me not knowing anything about it. Why d'you advise against getting a credit card? Surely it's just a case of remembering to transfer the outstanding balance over to a new credit card before the 0%apr is over, isn't it???
reps on it's way to every1 that's helped.


OK - Look, if you need to raise that sort of Capital, (which to some people isn't too far off a Mortgage!) you DEFINITELY need to be looking at the APR.
Now first of all, your bank or lender or business angel, should be looking at your proposal, your idea, your means of paying it back, the term ,what it is for, how you intend to pay it back and so on. Further to this, whilst the advice they CAN & WILL give you will be 'tied' (by that I mean that they will only advise you on their OWN products and not the whole of the markets products, so it may well mean that there is a better deal out there for you) it does of course mean that you will be getting at least SOME advice.

So, lets start with who needs what, why and where - you say that you have some capital already but just need to raise a further modest amount of £4K, and you were thinking of popping it on to a Credit Card Interest Free Loan..... (Who somebody very kindly said - AND they will even pay it straight into your Bank A/c!)
Well, looking at the 'small print' on this - that is the LEAST they could do!

Don't get me wrong, Zero percent Balance Transfers, and Cash Back can all be very good IF - and this is the important part - IF you either HAVE a balance to transfer that is generating (say) 29% APR, OR you think - I know, lets get cash for nothing for 12 months!
Think about it..... As if they are going to do that!? YEs, you are right, lets just switch from one card to another year after year and transfer the balance over!
Great if you have the time, perseverance, patients and discipline, but remember also that tied in with these 'deals' are often annual charges for the card alone, not too mention the fact that you have got (say) 12 months 'interest free credit'.

When you sign up for these, they take your bank account details, and direct debit details up front and unless you tell them BEFOR will AUTOMATICALLY debit the monthly amounts - in some cases BEFORE the 12 months is up.
They don't give you a nice 12 x £150 a month payment option = XYZ = Thanks very much. Before you know it, you have become used to the new disposable income in your bank account, and have not accounted for the 12 months interest free period and so on.

Yes, it IS possible to keep swapping and changing and cutting and so on - but you need to be both honest and realistic here with a) the amount of money that you BOTH need, b) the chances of you paying it back (all of it) and c) if you can be that strict to remember the other £4K.

In effect, as you need to raise such a large sum - and you have such a good credit rating - then adding the extra £4k on shouldn't be a problem at all. If it is for a Deposit - then beg, borrow or plead with ??? If it isn't then again, think about why they wont lend you the full sum? Now, it may be because they think that its not realistically possible of you to pay it back - if this is the case - you should think about that too. If this isn't the case, then have a look into other business loans and have a joint chat about your strategy, and who is responsible for what and so on.

There are a few good Internet deals on Personal Loans, but again think about the bigger picture here.

Without knowing exactly what is going on I can only give you fairly generic information - but one thing I can confidently say is that your own bank for one will be glad to advise you AND IT DOESN'T COST A THING- and also, you can ask an Independent financial Adviser as well if you like. (Some banks have these attached but not the majority as they like to sell their own products first)...
There will be plenty of those about in your local area.
Finally, make sure your business plan is watertight and that you have thought of all eventualities - as we have all seen recently prepare for the unexpected - as you never know when Financial Armageddon could or would strike.

As always, give me a shout if you need anything else!
Purrrrrrr ;-)
#15
Here you go have a look at this trusted site as well - but PLEASE don't go clicking away and applying for these without seriously thinking about the whole picture, your other friends and partners, and who gets what, where and when, and who is responsible for what, where and when and so on... But have a look anyway, as it gives you a "starter for 10" if you like?


Meow for now!

http://www.fool.co.uk/loans/compare-loans.aspx

Puuurrrrr for later.

xx
#16
Thank you very much cloudthecat, you've been extremely helpful.
#17
can you not get a company like inbiz or someone like that to help you?
#18
I actually want to invest £4000 somewhere (no, I am not from Nigeria and do not need payment by western union lol).

I dont know what to put the money into ... I dont want to borrow out to anyone because there is no guarantee I will get it back obviously. anyone know what to invest into ??
banned#19
Cyrus
I actually want to invest £4000 somewhere (no, I am not from Nigeria and do not need payment by western union lol).

I dont know what to put the money into ... I dont want to borrow out to anyone because there is no guarantee I will get it back obviously. anyone know what to invest into ??



stocks and shares

at times ive made £5000 in 2days- but ofcourse theres risks too
#20
Thanks ROKO
Any good places to read up on how to start with this ?
banned#21
Cyrus
Thanks ROKO
Any good places to read up on how to start with this ?





try-

[url]www.fool.co.uk[/url]
#22
:w00t::shock:Oh Dear..... LEt's hope our friends that come from The Colonade Canary Wharf don't start to read this......
banned#23
cloudthecat
:w00t::shock:Oh Dear..... LEt's hope our friends that come from The Colonade Canary Wharf don't start to read this......




tell me about it..... got my knuccles smacked
#24
ROKO;3205151


thot you were having me on then lol
thanks!

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