max loan term = contract length?

[IR35FanClub]

Sod the bank, sod buying, just lease something. They don't care if you are ltd co, self employed or whatever. Stop paying and they do a repo on the car anyway.

You can get much more car for the money - as long as you don't mind having to keep paying out and not "owning", which if you are borrowing, you don't own it anyway.

Anything from a Fiesta 1.6TDCi Econetic for around £150/month up to an Audi RS5 for about £1500 a month. (Figures are indicative and not a valid quotation - DYOR). FWIW I got a Nissan Juke 1.6 Accenta Premium, with maintenance for £224/month inc VAT on a 2 year deal. All I have to pay in this time frame is fuel and insurance. Beats the last few cars I've had with blown turbos (£1300), busted valves requiring a head rebuild (£1800), warped discs (£400) etc.

[IR35FanClub]

Dunno, would you lend money to to someone with only 6 months self employed and no history if they would be any good at it?

Yes if I knew they were an IT Contractor - and could maybe show me a savings acounts with several tens of Ks in in ;-). I've never understood this attitude of the banks. Had the same problem once before, wanted a loan but I was a new contrator. I still had huge pile of savings, with the same bank, but as soon as I said Ltd company director I may as well said "terrorist trying to launder money". Maybe they couldn't understand why someone with [rainy day] savings, would want to take out a loan - it was only 6.9% for £10k so seemed rude not to!

[northernladuk]

Yes if I knew they were an IT Contractor - and could maybe show me a savings acounts with several tens of Ks in in ;-). I've never understood this attitude of the banks. Had the same problem once before, wanted a loan but I was a new contrator. I still had huge pile of savings, with the same bank, but as soon as I said Ltd company director I may as well said "terrorist trying to launder money". Maybe they couldn't understand why someone with [rainy day] savings, would want to take out a loan - it was only 6.9% for £10k so seemed rude not to!

And why would he need a car loan if he had that? He is a contractor who hasn't finished a contract yet so won't have that money will he. And what is it to them that he is an IT contractor. They can't know every single profession and then say ah yes, an IT contractor, your the man, here is your money.

It's about risk profiling and something in the past has made it a risk. Maybe the number of startups that go under in the first 6 months or people going self employed and not seeing a year?

Am not trying to defend the banks but calling them for not lending willy nilly when we don't know how it works isn't really the way to go is it.

[TheFaQQer]

i explained her that i am employee of myself and she is happy with this but wanta audited accountat for 2 years , i was permie until late last year !! so i left my 50k pa permie late last year and she cant help me :/

she aid she has spoken to other managers from her side and they dnt take first year into account. and im within first 6month of being self employeed

Which screams to me thank you very much but I'll take my current account and everything else elsewhere.

It screams to me "if their job prospects are as good as their typing, I'll not bet on them being in contract for much longer"

[IR35FanClub]

And why would he need a car loan if he had that? He is a contractor who hasn't finished a contract yet so won't have that money will he. And what is it to them that he is an IT contractor. They can't know every single profession and then say ah yes, an IT contractor, your the man, here is your money.

It's about risk profiling and something in the past has made it a risk. Maybe the number of startups that go under in the first 6 months or people going self employed and not seeing a year?

Am not trying to defend the banks but calling them for not lending willy nilly when we don't know how it works isn't really the way to go is it.

You missed my point - they don't seem to care if you have £100k in the bank and still want a loan as the £100k is your warchest - there in case you need it. Might not seem to make sense - but I've taken a loan out before despite having savings in an account. The trouble with credit scoring & risk profiling seems to be they don't give you any credit for having been able to save. Only for having paid off previous loans and paid your utility bills on time.

What the op didn't say (unlessed I missed it) is how much he wanted to borrow for the nicer car. Itf it was £10k to get a nice saloon, it's not exactly risky to them. But the banks have simplistic lending criteria. 2 years accounts. = bye bye customer loan, and bye bye current account. A conversation would work wonders.

It screams to me "if their job prospects are as good as their typing, I'll not bet on them being in contract for much longer"

Ah - but my typing on here is often attrocious - that's when I'm posting fmor me phone whic I can hardyl see jumsp around all over the place and randomly changes words if i don't pay attention. At work/home I used a fullsize screen and keyboard, and still make mistakes.

[contractor0118]

Dunno, would you lend money to to someone with only 6 months self employed and no history if they would be any good at it?

i was on 50k before contracting, no gap in career for past 6 years!
i was on 36k 1 year ago and on 400 daily today, i am very stable and fast moving i made it clear to the bank

[contractor0118]

Yes if I knew they were an IT Contractor - and could maybe show me a savings acounts with several tens of Ks in in ;-). I've never understood this attitude of the banks. Had the same problem once before, wanted a loan but I was a new contrator. I still had huge pile of savings, with the same bank, but as soon as I said Ltd company director I may as well said "terrorist trying to launder money". Maybe they couldn't understand why someone with [rainy day] savings, would want to take out a loan - it was only 6.9% for £10k so seemed rude not to!

funnny thing is i already have 10k loan with them! they know it too!!

i took out 10k when i was permie ! then after i switched to contracting i got a random call from old bank assistant to say she can redo my loan with reduce apr!! she reduced my apr from 20% to 11% and im paying about 10 pound less on monthly repayment and saved 1k on top of this, all this due to improved credit and she being helpful and keeping an eye on customers files. she was really good !! its a shame she has moved on!!

[contractor0118]

Sod the bank, sod buying, just lease something. They don't care if you are ltd co, self employed or whatever. Stop paying and they do a repo on the car anyway.

You can get much more car for the money - as long as you don't mind having to keep paying out and not "owning", which if you are borrowing, you don't own it anyway.

Anything from a Fiesta 1.6TDCi Econetic for around £150/month up to an Audi RS5 for about £1500 a month. (Figures are indicative and not a valid quotation - DYOR). FWIW I got a Nissan Juke 1.6 Accenta Premium, with maintenance for £224/month inc VAT on a 2 year deal. All I have to pay in this time frame is fuel and insurance. Beats the last few cars I've had with blown turbos (£1300), busted valves requiring a head rebuild (£1800), warped discs (£400) etc.

that's correct, one alternative option is to go with dealers finance, but i guess that would be more expensive in term of interest correct?

[Scrag Meister]

i explained her that i am employee of myself and she is happy with this but wanta audited accountat for 2 years , i was permie until late last year !! so i left my 50k pa permie late last year and she cant help me :/

she aid she has spoken to other managers from her side and they dnt take first year into account. and im within first 6month of being self employeed

Oh I see, new contractor, I had to provide 2 years accounts for my mortgage, had to wait 4 months til that day arrived and off we went.

[northernladuk]

i was on 50k before contracting, no gap in career for past 6 years!
i was on 36k 1 year ago and on 400 daily today, i am very stable and fast moving i made it clear to the bank

I hope you made it clear in the strongest possible terms and stamped your feet to make them know you are serious...

You are either a sockie or a complete moron.