17 year old getting a loan based on moneys held in high court.

Ste234

I am getting money as compensation from something that happend when I was 5. I will be getting this money in a month or so. So, I'm wondering would a bank give me a loan or overdraft based on this?

jimoc

Its very very doubtful, as I'm fairly sure that a bank cannot use any funds which are currently held by the court as collateral or security on a loan.

also, its very doubtful if its even legal for a bank to loan to someone under the age of 18, Bank of Ireland specifically state it in their conditions.

https://www.bankofireland.ie/applications/loan_app/loan_app.html

kmick

if you are getting the money in a month just wait until then. The Ps3 will still be available then however you local bank manager may be able to sort an overdraft of a couple of grand in the meantime if you ask him nicely. Id call in and pretend I need the money for dental work or a new car to drive to a job? Practise lying convincingly before you go in.

schween

I think it's illegal to give any credit to anyone under 18.

jhegarty

schween wrote: »

I think it's illegal to give any credit to anyone under 18.

Not illegal , but they can't get the money back.

Op, No one will give you a loan because you can't sign a contract until your 18. If they did give you a loan then you wouldn't have to pay the money back.

Ste234

jhegarty wrote: »

Not illegal , but they can't get the money back.

Op, No one will give you a loan because you can't sign a contract until your 18. If they did give you a loan then you wouldn't have to pay the money back.

Well I know for sure that a guardian can sign to give permission to sign a contract, basically me and my dad would sign!

Kimbot

Ste234 wrote: »

Well I know for sure that a guardian can sign to give permission to sign a contract, basically me and my dad would sign!

You can get a parent to go as a guarantor(Sp), basically that means if you don't pay then their credit rating is effected not yours.
At the moment banks are very careful of giving money out to people so it might be a hassle for you to get sorted.

seamus

Ste234 wrote: »

Well I know for sure that a guardian can sign to give permission to sign a contract, basically me and my dad would sign!

As Johnny says, your father would be guarantor on this loan - basically your Dad would be getting the loan out and giving it to you.

It's only a month, trust me it'll fly along. That moped/car/ps3/iphone/whatever will still be there then. I've been in your position and I know how frustrating it is to have to wait for the money, but you don't have long to go.

Ste234

seamus wrote: »

As Johnny says, your father would be guarantor on this loan - basically your Dad would be getting the loan out and giving it to you.

It's only a month, trust me it'll fly along. That moped/car/ps3/iphone/whatever will still be there then. I've been in your position and I know how frustrating it is to have to wait for the money, but you don't have long to go.

Well you see I need money quite urgently and my dad wouldn't be able to get a loan as it is. It's important that I try get the money in the next few weeks and i may not get the money til Feb so...yeah

jimoc

If your dad isn't able to get a loan on his own credit rating then its very doubtful that he will be able to go guarantor on a loan for you, since the guarantor's credit rating is taken into account to vet their suitability.

If you could say what the money is for, then maybe we could suggest another route to go, for example if its for college/rent at college etc, then there are student hardship funds you could apply for.

VB1962

Hi,

Since you're 17, you cannot legally enter into a contract - so no lender will give you a loan in your own right - even with a guarantor.

A Guardian's permission does not change this position.

You could look into the possibility of getting a Solicitor to act for you and issue a letter of undertaking to a bank stating they would pay off a loan given to your Father on the basis of the money due to you shortly if the Court is ok with this

But .... there's a lot of paperwork and there will be legal fees aside from loan interest and this takes time, lots of time - however, as other posters have mentioned you've waited 12 or so years for this - why is it so urgent now? Maybe just wait a little while longer - and good luck with the money.

Ste234

Well an accountant my dad knows told him that through a solicitor it would be fine.
So basically the solicitor will call the bank, its called a solicitor's guarantee, and it will probably only take a week apparently.

VB1962

Ok - partly correct.

Similar to what I suggested - its called a Solicitor's Undertaking - but it doesn't change the fact that you're 17 and not legally able to be bound by a contract. If the contract (loan) is not enforceable, then the Undertaking (guarantee) won't change the position - the Solicitor will tell you this.

While there is no law that says a 17 year old cannot borrow money, I would have to say that I think your chances would be very slim indeed.

A I already said, best way would be for your Dad to be the borrower, The Solicitor gives his Undertaking (guarantee) and away you go. However, expect the Solicitor to look for some paperwork before he/she gives an Undertaking - a week would be optimistic.

I'm not saying it can't be done but the red tape will cause you some frustration and remember nobody does anything for nothing.

Best of luck with it.

Ste234

Update: I got a solicitors undertaking and am getting a loan through means of an overdraft. Thanks anyway.

kildaremum

I see this post is from last year so its old now, but my son is in the same position as you were and he can't wait to buy a car but he wont be 18 till next March. Did you get the overdraft in your own name or your dad's. I spoke with AIB today and they basically said the only way would be for me to take out a loan and say it was for 1 or 2 years and then clear it in 6 months when he gets his money. I don't think they would give me a loan at the moment.

Ste234

I haven't been on in a while so don't know if this is too late but I got an overdraft in my name in the end but I had to get a letter from a solicitor to say they would definitly receive the money back.

Victor

kildaremum wrote: »

I see this post is from last year so its old now, but my son is in the same position as you were and he can't wait to buy a car but he wont be 18 till next March. Did you get the overdraft in your own name or your dad's. I spoke with AIB today and they basically said the only way would be for me to take out a loan and say it was for 1 or 2 years and then clear it in 6 months when he gets his money. I don't think they would give me a loan at the moment.

From a safety point of view, does a 17 year old really need a car?

kildaremum

One can get a provisional licence at 17 - which he now has. He is driving with either myself of my husband now and taking driving lessons. I'm sure it's very difficult for any parent to let their child out in a car, let alone at 17, and much as I'm weary from driving my children here, there and everywhere I'd prefer to do it than have them driving or in a car with one of their friends. I understand the safety aspect - also understand that just because his friends are driving doesn't mean he has to. So in reply, from a safety point of view, no, a 17 year does not need a car.