Is it even possible to be approved for a personal loan?

[Anonymous]

Hi,

More specifically, could someone that isn't in the greatest shape debt wise be able to be approved for a personal loan? I don't want to apply for the loan if its most likely I will be denied.

How much does Debt-to-Income ratio (DTI) weigh? I assume lenders look at this?

My Fico scores (ordered March 2013) are: 677 TU / 672 EQ

Embarrassed to say, I have high revolving credit card debt. Almost maxed out, 95%. I was around 50%, but I received a nice surprise - some of my credit limits where slashed in half. Though, its really my problem and failure of being irresponsible.

With a 12 year credit history, I have only one "bad" on my report. A 30-day late payment on my car loan was reported for January 2011. 

No collections, charge-offs, bankruptcy history... no other late payments, none of that. Just high-revolving debt killing me I guess?

I have started to save some money to pay off my debt, but I want to keep the money on the side. I guess as an "emergency fund"; I'm a little scared to pay off more credit card debt, they might slash my limits again 

I'm just trying to give you a idea of my credit profile. I was thinking about applying for a personal laon at LendingClub. Also, being I have cash savings, I was also thinking maybe a Secured Savings Loan, but neither of my banks affer such account (USAA / Capital One 360).

[Anonymous]

What is the loan amount you are considering? Have you tried sending a GW letter for the late payement before applying?

[webhopper]

Are you eligible to join NFCU?  Are you an active duty servicemember, an annuit, or retired from the military?  Do you have a sibling, child, or parent who is either active duty or retired?

If you answer yes, I highly recommend NFCU. They offer both loans, and low interest credit cards.  If not, look around for different credit unions.  DCU, Andrews FCU, Ft. Knox CU, Alliant CU

Many of these will let you become a member, and offer some great rates on shares certificate loans or sharesavings secured loans.

They have very good rates... you can save some serious money.  If your CLs are slashed, you can also apply for a credit card at these places.

I also believe that you may be able to ask for some goodwill to remove the late, especially if you've otherwise been on time with your payments.

Good Luck!

[boomhower]

Look into one of the mentioned CU's or a local credit union.  A debt consolidation loan looks to be an option for you.  High UTL is expected as that's the point of the loan to start with.  For things like this I prefer local, someone you can talk to face to face and explain the situation. 

[Anonymous]

I don't want to apply for more credit cards (yet). I want to pay theme off. I'm also thinking they will denie me.

Not eligable for NFCU. Maybe someday they will allow vetrans to join? haha

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@boomhower wrote:

Look into one of the mentioned CU's or a local credit union.  A debt consolidation loan looks to be an option for you.  High UTL is expected as that's the point of the loan to start with.  For things like this I prefer local, someone you can talk to face to face and explain the situation. 

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I also have higher DTI, so they may will denie me. I think I will just save up a little more, find a Secured Savings Loan somewhere, and try that (if they approve me). 

[Anonymous]

 I'm in the process of paying of CC debt.

I'm pondering using a personal loan to consolidate debt. The thing is, you have all these banks that have all these products that they advertise and tell you about - they can help people with good and bad credit but when you go to apply they can never seem to find a way to approve you. They are very secretive about their approval process. Then on the other side you have others that suggest you consolidate the debt into a personal loan.

I know its about the money.

I haven't applied for a loan yet, because I'm trying to figure out what does it take to be approved for one? Just a ball-park figure that is all.

My credit utilization is about 95%

My DTI is about 20% if I exclude my car payment.

My car will be paid off in September, and I have been told that if auto or personal loans have 8 payments or less, they do not include those in your DTI. Anybody ever hear this?

I have some money saved up to pay debt, and I will be listing stuff on eBay and AudiogoN that I'm estimating will collect around $1,200 maybe more. I'm just brainstorming  what path I should take.

[Anonymous]

webhopper, I'm looking around at DCU and I'm interested. 

Is American Association of People with Disabiliites (AAPD) a good orginaization?

[webhopper]

I think so!

If you are a veteran, check out USAA

[Anonymous]

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@webhopper wrote:

I think so!

If you are a veteran, check out USAA

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I've been with USAA since 2007. I have auto insurance, checking, savings, and two CCs with theme. Never late, but I'm not sure if they would approve me. 

I do wish I joined NFCU when I had the chance. I hear NFCU has much more lenient standards than many banks and CUs; I suppose thats both good and bad... 

[Anonymous]

I think I may have found my answer, after snooping around at LendingClub

http://www.lendingclub.com/kb/index.php?View=entry&EntryID=186

To borrow through Lending Club, you must be a US citizen or permanent resident and at least 18 years old with a valid bank account, a valid social security number and a FICO score of at least 660.

Borrowers will need a debt-to-income ratio (excluding mortgage) below 35%. In addition, your credit history must show that you are a responsible borrower:

• with 2 or more revolving accounts
• with more than 36 months of credit history
• with less than 7 credit inquiries in the last 6 months

At this time, we are not accepting loan applications from the following 6 States: Iowa, Idaho, Maine, Mississippi, North Dakota, and Nebraska.