Payments help

muletman

Hi guys/girls

Just some quick advise please...

Just been informed by my employer that im being took off shift work for 5-6 months due to sales figures dropping which means im gonna be down around £300 a month now is it possible for me to ring the bank inform them of this situation and ask that my payments be reduced?

my current mortgage is £606 a month id be looking at trying to pay around £300 for 6 months until my work brings back in shifts, now i know that you can take a payment holiday but unfortunatly i have used my allowance given.

I really cant think of anything else i can do my money is stretched enough as it is?

help

beecher

You could ask to go on interest only?

I'd advise trying to cut down on your spending on other areas rather than only cutting back on your mortgage. You could post on the Debt Free forum to get an idea of where you could cut back on - possibly Sky, mobile phone, food etc?

I think it is wise to try to change your spending patterns rather than relying on shifts being reinstated as conditions may well be no better in 6 months.

getmore4less

If you have allready used your payemt holidays this rings allarm bells. whatwas the payment holiday for?

You need to look long term here and the posobility that this will not be just a few months and could end up with job loss.

preventative action is needed fast.

A full review of you budget and spends is needed to eliminate all non essencial spending, look here http://forums.moneysavingexpert.com/forumdisplay.html?f=76 for ideas.

But think reduce car costs, sky/cable,mobiles review utilities etc.

Mortgage interest only is an option but anything less than this and you will get into trouble very quickly as the debt grows.

Longer term you need to be thinking about a contingency/emergency fund.


Also need to thst start thinking of what happens if the job goes, CV up to date alternative options etc.

muletman

if that was possible i would cut the spending but like i said we are at a stretch now.. also the period will only be 5-6 months after that we start a new model and will need shifts again

getmore4less

DO you have a Stament of affairs(SAO) or a budget draw up and has someone look at it to make suggestions?

Most people thisnk they are stretched till the savings are pointer out to them.

beecher

muletman wrote: »

if that was possible i would cut the spending but like i said we are at a stretch now.. also the period will only be 5-6 months after that we start a new model and will need shifts again

I think it is very dangerous to assume that this will happen. You really need to take action now, and cut spending in other areas. The mortgage really has to come first, even if that means ditching a car or something else which you may think is essential, but can be done without. That's where posting your SOA would help.

happybroker

speak to your lender anyway just to get a good idea of your options, this should be the first thing you do if you think you are going to struggle to make your payments.

do you have any unsecured debt? if so this will have to be paid after the mortgage if there is any money left and whilst this will play havoc with your credit profile it is less serious than mortgage arrears and also means you would still have somewhere to live.

look at your companies competitors and see if there is work there (or anywhere else for that matter) that will pay you more money, your employer obviously isn't that concerned for your financial well being so why should you worry about loyalty?

all the best with it

muletman

My original holiday on the mortgage was for a 6 month trip to canada i dont think we can use anymore months

as for saving on the car i have to drive 30 miles to work each day so not an option, i will phone them and look at my options hopefully something can be worked out, trust me in the car trade right now people keeping there jobs is a bonus many people are getting laid off at other companies

opinions4u

Can you car share occasionally? Change the way you drive (55mph instead fo 70mph is saving me a small fortune - if a bit boring)? Reduce the Sky package back? Switch to a free or cheaper broadband provider? Sell the contents of the loft on Ebay? We've saved £20 a week by cutting back on fruit juice - water works wonders! Do you have a supermarket expenditure you could avoid? Can you cut out shorter car journeys and walk (e.g. corner shop type trips)?

What I'm trying to say is don't mess with your mortgage until you've exhausted absolutely everything else!