Parenting Pointers: Moving Loan

You may read the title of this and think “there is no such thing as a removal loan, this article is bogus” Well, you are absolutely right! There is no such thing as a removal loan. But this article definitely is not bogus. This article aims to explain what a removal loan is, how it can be used and whether or not it is suitable for you.

In this sense, a removal loan is no different to any other normal loan which we apply for, the difference being the purpose that we are going to use the money for. In this article, the term ‘removal loan’ has been made up by us for the purposes of this article.

Imagine this: you have been working really hard all year round and would really like a relaxing holiday with your family to the Caribbean. However, finances are not on your side. What do you do? Many people choose to apply for a short term loan and use the money for the purposes of the holiday. This loan is then considered to be a holiday loan, but is still called by its proper name.

Now let us apply that same logic to our removal loan. You are planning a removal (regardless of whether it is domestic or professional) but your wallet is not on your side and you find yourself struggling financially. What can you do? Easy, apply for a loan and use the funds to aid your removal process. Hence, it becomes a removal loan! This should have cleared the meaning of the term removal loan right?

What can/should a removal loan be used for? A removal loan is very advantageous to anyone who wants to move but cannot afford to do so. Removals do cost a lot of money, and often a lot of people do not seem to realise it until they are knee deep in boxes and bubble wrap.

Removal costs include smaller costs such as the costs of purchasing boxes, bubble wrap, tape etc. and the bigger costs such as hiring removal vehicles, storage containers or any other services. You may also encounter other miscellaneous expenses such as paying for take away meals etc. This all adds up eventually and becomes a lot more than one expects. If you are moving to a new home, you may have extra expenditures to cover such as letting/buying costs, commissions etc.

Who can apply for this loan? Well, this depends on where you would like apply for the loan. If you are planning on asking as bank or lending agency, then only people who can fulfil their requirements are entitled to apply. This basically means that you have to have a job which pays enough to cover the repayment costs. Often a clean credit is also required. However, it is not required that you go to a bank or lending agency for money. A removal loan can also be requested from family members or friends. Here, you have a little more leeway because your friends and family members are less likely to do a credit check and look into your financial history. Repayment terms can be negotiated further and repayments may be lower, making the whole process easier for you.

If you are planning a removal and find yourself to be financially struggling, do not go ahead and further struggle. Whilst it is always recommended to plan everything including finances before you start the removal process, sometimes the inevitable happens. A removal loan may be the answer to your removal needs.

Nicole is a housewife and expert in the field of relocation. Read more at http://londonremovals.co/man-and-van-central-london-removals/