Where would be best?

[divegirl]

Hey there .....

My brother needs some money in his life right now....don't we all! Usually I would lend it to him but right now I just don't have it. He needs about £2000, is he best off going to his own bank or trying to get one online? I don't do loans so am not sure what best to advise him.

Lisa x

[factor-fiction]

My first questions would be whether he really needs it, whether he can show he can definitely pay it back and over what period he will repay it. His bank is probably the best starting point, but maybe a zero % credit card should be considered

[sunny-dave]

How's his credit rating ?

If it's OK then a cheap/fast way might be to open a new credit card which has a 'zero percent on cash advances' deal - there will usually be 3% fee, and he needs to be absolutely certain that he can clear the debt before the end of the interest free period.

[divegirl]

TBH I don't think he has much of a credit rating....he's never had a credit card or loan.[apart for the bank of big sister].
He needs the money to keep/get his car back on the road which will be around £400 and to pay me off....also £400... I think the credit card could be the way forward here.
Thanks guys

Lisa x

[bednobs]

if he's as good at adding up as you DG, i would advise him not to get a loan :) :)
Anyway, the best thing to do would be to look around at rates

[lcg]

if he's never had a credit card or loan, he will have a poor credit rating - believe it or not. my parents have always saved and used cash to buy stuff but when they needed something doing to their roof urgently (around £1500 worth of work) their bank refused them a loan even though they had never been in the red and because their savings were all tied up somewhere else (and they couldn't access money in time). in the end they used my hubby's credit card - so your brother may have some problems but must look around and be wary of 'good' introductory offers which skyrocket if he is unable to meet certain conditions later down the line or even just high rates. i have never paid more than 10% on finance and try to steer clear of the sharks that are out there. bankers really can be w a nkers, imho! hope he is successful and gets a decent rate sorted out x

[solvitquick]

I doubt if a loan of any sort for £2000 is wise, if he needs £800. Do you believe he will pay off his debt? If not, a loan would just land him in deeper sh*t than he is in: unable to pay £400 to get his car fixed - did he not reserve money over last months. How much does he earn, if working at all? Do not tell him but perhaps you should write-off your £400 unless he has made any repayment of your loan. He needs to be taught, as young as possible that we all have to live within our means. Best to be "cruel" to be kind and leave him to his own devices. Do not be emotionally blackmailed. I have never "lent" money to a relative or friend (it destroys relationshps). If I knew they were sensible over money management and were surpringly desperate for money I might consider lending/giving them money provided I could EASILY afford to do it.
Has your brother anything to sell or does he think he deserves all luxuries that everyoneone else has? Luxuries are anything more than a roof over your head, food, water, table and chairs, radio or cheap TV. They do not include computer, Sky TV, high-cost mobile phone, games machines etc.
MY BROTHER SLOWLY BLED MY MOTHER WHITE, DRIP-BY-DRIP OVER DECADES and I had to help her out with items he could not access.
Good luck to you & your brother xxx.

[divegirl]

Lol@Bednobs....He needs some other bits too but could go as low as the £800 he really needs. Also the interest rate would be less on £2k.

Lcg.... I have said that to him about his CR.

solvitquick...as much as I would like to write off the amount he owes me, I will not be doing so. He is not young [35] and needs to man up to his financial responsibilities! I'm sick of bailing him out. That said, and having looked at the interest rates on loans under £2k I see it would be madness to get one.
I think it's going to be a CC or nothing but I don't fancy his chances of getting one of those either :0/

Thanks for all your help
Lisa x

[starone]

Let him walk. It will do him good.

[solvitquick]

Dear Lisa,
Between us all I think you know the answer now. If he really needs a lift to work, does he have no friends there (not relatives) to give him a lift? Well done for giving him a straight talking to! Insist he pays you back before car.
I'm not psycic at all but having read your letter I felt that I read a
family-sponger up to old tricks. Leave him to stew in his own juice, dear. I know now that you are too intelligent to act as guarantor - in fact cannot afford to, despite any pleadings or "promises".
Love to you and best wishes for a happy outcome to all xxx