Savings and general financial help
Options
saving2016
Posts: 3 Newbie
Hi all, long time lurker and first time poster, I am hoping for some advice about savings and my current financial status.
I apologise if this is quite a long post, and thanks in advance for reading it and any help or comments!
Myself and my partner are in our early to mid 30's and are finally in a position to start saving for our first house. We have been together for nearly 10 years and met as students. In the early student days we built up a fair bit of debt and being carefree and youngish thought nothing of it, borrowed from Peter to pay Paul and ending up destroying our credit. In the years after leaving uni, we both worked nothing jobs, house shared and travelled around the world. We have now settled down quite a bit and both have steady jobs, me as an IT developer and the missus is working as a HCA for the NHS. We have a combined income of £51k before tax and rent a house privately in the North of England, we have been back in the UK after our last travelling experience for a year.
Now the other halfs job starts next week, for the last year we have been living of off my wage quite comfortably but have not saved anything as yet as we have had the usual life outgoings of buying furniture for our rented house, a replacement car for one that got to sick and the usual social money of trying to make friends in a new city. So with the new income we think we should be able to save 100% of the new income so around £1100 a month.
Our credit, I had assumed had been getting better for the last couple of years, as we have not missed a payment or had any late marks, I have a default which is satisfied and should drop off June next year. Today, for the first time in a long long time I decided to check my credit file and have discovered a ccj that was registered to our last address when we was travelling, in Feb last year. This is for £1500 and I have no idea who or what it is for as I believed we was on top of all our debts before we left. Now as I was out of the country and no longer living at the address, I believe I am in my right to contest this and have the ccj set aside, the only thing I am wary of is the time that has expired since this was placed on my file. I should have the money to pay the outstanding balance in full in two months and was planning on sending an N244 for next week when I get paid, is this a wise decision or should I plead ignorance for another couple of months until I have the money to just pay whatever it is and then send the N244?
Our plan is to start saving for a deposit for a house with the aim to buy in 3 years, I would also like some advice on the best place to put this money each month? Nationwide do a save to buy scheme but there is also the save to buy isa coming out shortly, would it be wise to split the money across these or would it be better to put it all in the save to buy to prove to Nationwide that we can save a fixed amount each month?
My hope is that the CCJ wont effect us in the long run, we both have credit ratings around the 550 mark at the moment. I have a credit card that I has had a 0 balance for a while, I am planning on spending a couple of hundred on it each month and then pay in full to try and raise this, I am hoping that if I can get the CCJ removed then this will start to creep up?
Thanks again for reading this, any advice would be greatly received!
I apologise if this is quite a long post, and thanks in advance for reading it and any help or comments!
Myself and my partner are in our early to mid 30's and are finally in a position to start saving for our first house. We have been together for nearly 10 years and met as students. In the early student days we built up a fair bit of debt and being carefree and youngish thought nothing of it, borrowed from Peter to pay Paul and ending up destroying our credit. In the years after leaving uni, we both worked nothing jobs, house shared and travelled around the world. We have now settled down quite a bit and both have steady jobs, me as an IT developer and the missus is working as a HCA for the NHS. We have a combined income of £51k before tax and rent a house privately in the North of England, we have been back in the UK after our last travelling experience for a year.
Now the other halfs job starts next week, for the last year we have been living of off my wage quite comfortably but have not saved anything as yet as we have had the usual life outgoings of buying furniture for our rented house, a replacement car for one that got to sick and the usual social money of trying to make friends in a new city. So with the new income we think we should be able to save 100% of the new income so around £1100 a month.
Our credit, I had assumed had been getting better for the last couple of years, as we have not missed a payment or had any late marks, I have a default which is satisfied and should drop off June next year. Today, for the first time in a long long time I decided to check my credit file and have discovered a ccj that was registered to our last address when we was travelling, in Feb last year. This is for £1500 and I have no idea who or what it is for as I believed we was on top of all our debts before we left. Now as I was out of the country and no longer living at the address, I believe I am in my right to contest this and have the ccj set aside, the only thing I am wary of is the time that has expired since this was placed on my file. I should have the money to pay the outstanding balance in full in two months and was planning on sending an N244 for next week when I get paid, is this a wise decision or should I plead ignorance for another couple of months until I have the money to just pay whatever it is and then send the N244?
Our plan is to start saving for a deposit for a house with the aim to buy in 3 years, I would also like some advice on the best place to put this money each month? Nationwide do a save to buy scheme but there is also the save to buy isa coming out shortly, would it be wise to split the money across these or would it be better to put it all in the save to buy to prove to Nationwide that we can save a fixed amount each month?
My hope is that the CCJ wont effect us in the long run, we both have credit ratings around the 550 mark at the moment. I have a credit card that I has had a 0 balance for a while, I am planning on spending a couple of hundred on it each month and then pay in full to try and raise this, I am hoping that if I can get the CCJ removed then this will start to creep up?
Thanks again for reading this, any advice would be greatly received!
0
Comments
-
The ccj could well be a major problem, you need to determine if this is you or a mistaken identity case. If you can challenge and get rid of it then it will be a major improvement, but the length of time before you licked this up doesn't bode well. It may be difficult to secure a low rate mortgage, or indeed any, with a ccj on your credit file, which could mean it being problematic for the next four and a half years.
Starting the save to buy may well be a good plan, otherwise looking at saving into the high interest current accounts highlighted in the main site will give you the best return.
The experian score doesn't necessarily mean a lot, but it suggests your current standing isn't great, so build, this up by spending on your credit card and paying in full every month.0 -
Yes, first thing is to heck up on that Ccj.
Who did you house share with? Could one of those people be at fault? Who is the creditor? Get this sorted asap, and if it was a mistaken identity, get it sorted and bargain with the creditor to clean up your record? Might cost you the debt though?
Then save for your deposit. But whatever you do, have your OH join the NHS pension and you join your work one.
In your case, if the CCJ is yours it will be quite the while before you can buy so join the pensions.
Ask on the debt free board for help withe the CCj0 -
Thanks Guys
It is just in my name as it doesn't appear on the other halfs so I can only assume it is mine. If I get it put aside and the pay it would it be removed from my record?0 -
I am in my work pension, why the importance on this?0
-
saving2016 wrote: »Thanks Guys
It is just in my name as it doesn't appear on the other halfs so I can only assume it is mine. If I get it put aside and the pay it would it be removed from my record?
Even if paid it will still be a black mark and problematic.
Pensions are unrelated, just a question of maximising what may be generous employer contributions, rather than giving up on free money. Pertinent in your cases if you are only starting to save into pensions in your thirties.0 -
saving2016 wrote: »I am in my work pension, why the importance on this?
A work pension is important so as to not throw away free money.
If the debt is truly yours, you are up the swanney w/o a paddle. you may need to try and negotiate and maybe ask to put a comment on your credit file.
but it will delay any property buy substantially.0
This discussion has been closed.
Categories
- All Categories
- 343.2K Banking & Borrowing
- 250.1K Reduce Debt & Boost Income
- 449.7K Spending & Discounts
- 235.3K Work, Benefits & Business
- 608.1K Mortgages, Homes & Bills
- 173.1K Life & Family
- 247.9K Travel & Transport
- 1.5M Hobbies & Leisure
- 15.9K Discuss & Feedback
- 15.1K Coronavirus Support Boards