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to consolidate or not to consolidate??Advice needed!
Hope I've put this in the right bit ths time...don't know where my last one went!
Hi everyone
I am in the process of doing an SOA, but have done a budget planner so do know pretty much where I'm at. As I said, I have about £35,000 of debt, to one credit card, an overdraft (which is currently double its limit so I'm being charged £150 a month every month) and the rest are personal loans.
I'm lucky enough that even though the debt is huge (does anyone exist with debt bigger than this?!) we can afford to pay it. We don't have much left over but we manage. I've just taken a second job as a Helen-E make up consultant doing parties at home, which brings in good money - if people don't keep cancelling!!
We are hoping to consolidate as at the moment we have debts coming out left right and centre and as I get paid monthly and my fiancee gets paid weekly it's hard to follow were we're at. Therefore we'd like to have one payment that's easier to track.
Brief research shows that if we got a decent APR we could save over £100 per month by consolidating - nevermind the fact that we'd get rid of the bank charges.
As the debt is over £25k we don't have the option of an unsecured loan, it would have to be secured. People seem massively against these. Am I better finding a reputable secured loan, or maybe two personal loans?
I guess our point is secured loans are only a problem if you default on your payments? Which we are lucky enough to be unlikely to do.
Help please! I don't know what to do for the best
TLC x
Hi everyone
I am in the process of doing an SOA, but have done a budget planner so do know pretty much where I'm at. As I said, I have about £35,000 of debt, to one credit card, an overdraft (which is currently double its limit so I'm being charged £150 a month every month) and the rest are personal loans.
I'm lucky enough that even though the debt is huge (does anyone exist with debt bigger than this?!) we can afford to pay it. We don't have much left over but we manage. I've just taken a second job as a Helen-E make up consultant doing parties at home, which brings in good money - if people don't keep cancelling!!
We are hoping to consolidate as at the moment we have debts coming out left right and centre and as I get paid monthly and my fiancee gets paid weekly it's hard to follow were we're at. Therefore we'd like to have one payment that's easier to track.
Brief research shows that if we got a decent APR we could save over £100 per month by consolidating - nevermind the fact that we'd get rid of the bank charges.
As the debt is over £25k we don't have the option of an unsecured loan, it would have to be secured. People seem massively against these. Am I better finding a reputable secured loan, or maybe two personal loans?
I guess our point is secured loans are only a problem if you default on your payments? Which we are lucky enough to be unlikely to do.
Help please! I don't know what to do for the best
TLC x
Long Haul Supporter #203
:beer:
0
Comments
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You wont get unsecured loans as you already have 35k of debt,if you apply to borrow 35k to consolidate all they see is 70k as theres no gaurantee you`d pay off the original 35k.In a case like this providind you have oooodles of equity a remortgage might be the best and cheapest option0
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I wouldn't recommend consolidation at all, let alone as a secured loan. What happens if one of you loses your job? With unsecured debt you end up with a trashed credit rating, with secured debt you end up losing your home.
Why don't you ask on the DFW board? People on there have seen much worse than your situation (some people are 100k+ in debt) and will be able to offer you advice.Unless I say otherwise 'you' means the general you not you specifically.0
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