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Getting a personal loan, saving it for six months and using it for a home loan deposit

Is this an option? I know it's a silly one but has anyone done something similar?
We have saving but obviously wondering if this will help achieve our goal earlier


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Answers (5)

Op here. Thank you for all your responses. We have decided not to do this. So I appreciate the support and advice you gave me.
We will save and have overhauled our budget... things have been going wrong lately so it was a desperate attempt. Thank you for talking me out of it xx

No it won't work. Banks normally want you to pay out debts before starting a mortgage. Unless the personal loan is in someone else's name?

My sister did this. Not exactly sure of how it all worked but a house came up that they wanted but were 10k short. They got a loan approved and borrowed 10k to add to their deposit. They paid off the personal loan pretty quickly though because it's higher interest. Just be careful doing it though because you could get into financial trouble

It won't.
One step forward, 3 back. Just keep saving and spend your money so you don't pay banks to get cappuccino machines and fancy sofas ( yes happened to my local one ) c

 Yes I am literally stealing 100k worth of minties and fantails from my local branch after the c'*&s would not accept my application for financial hardship after my house burnt down.
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Aha, but will you be able to get a home loan if you still owe on the personal loan?! Unlikely.

 Yes I think you might find this is the case.
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 Unless you can get a loan from family, they will need to sign a form saying it is a gift not a loan.
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