Tips For Getting Out Of Debt

Kevicho

Ive worked out a payment plan on your current cards, firstly ive left the overdrafts alone as there is no interest to pay so they are less urgent, but once the CCs/loans are paid off then you can concentrate on these

On the egg card id pay £150 a month, this would be cleared off around august time, this will come handy at some point for balance transfers, (again this budget is flexible and if you can do 0% balance transfers great)

The halifax card (around £40 interest) id pay £300 a month, this will clear off around june 2007! at 300 a month

The cap 1 card, a hundred a month, this will be cleared off Dec 2006 (merry christmas

HSBC loan, £50 pound a month to july 2006, 90 in aug 2006, then 200 a month till feb 2006 then you should have around £60 to pay

The HFC loan id pay 40 a month to 2007

These payments total to 640 (slight miscalc on my part) but im sure we can cut your outgoings by another £40

Also id seriously consider phoning payplan or CCCs, as they will likely be able to get these interest rates down or at least argue on your behalf to get some rates frozen

I can send ya a copy of the spreadsheet i used if ya want a play

Kev

fairylights_2

Kev

Surely it would be better to pay off Cap One first since it's by far the highest APR? that's my understanding of it, at least?

towncryer

to Martin or anyone who may know. ( i dont mean the big orgs like credit counselling etc)
Does anyone know where you can get insolvency advice, that is free-ish. For obvious reasons, when you havent got money, you cant pay easily.
I know about making arrangements etc, i want to know about old debts ,that havent heard from for years, if banks will come after me later etc

so I can look forwards not backwards

I have found that the insolvency people i have met are like many dentists, and want 300 pound to start talking, then you are a couple of thousand down before you realise they were no help.

I have suffered from depression for a few years, due mainly to credit card companies and credit reference agencies, giving me little choices, and a couple of ccjs on the way
and find it v hard to get straight, because credit records, not knowing where stand with old debts, that havent contacted me for a long time etc are in back of mind all the time. How can i move forward, any professionals that are contactable/online/anywhereeeeeeeeeee (not govt/ or credit card sponsored)

Thanks forever ... maybe

Tondella

Town cryer, I'm going to copy the text of your message and start a new thread with it, as you'll probably get a better chance at attracting some attention to your probs.

Kevicho

IGNORE THE ABOVE. Have ahad another play and i think i may be able to shave 2 months off (and at £600 quid a month)

wait there

Kevicho

To pay off in may 2007 all credit cards do

Cap 1 - 200 a month till (and including) June - then pay balance which should be around £9

Egg - 200 a month till (and including) June 2006 - Which should then be paid off

Halifax - 100 a month till june o6, jul 06 to Dec 06 (inclusive) £400, Jan to (and including) 07 Mar 07 £40, Apr 07 - 550. may balance should be £281

HSBC - £50 to jun 06, jul 06 to (and including) mar 07 150, apr pay balance of £49

HFC - £50 a month till (and including)november 06, balance of £28 in december

That should do it

cornerclose

fairylights wrote:

Kev

Surely it would be better to pay off Cap One first since it's by far the highest APR? that's my understanding of it, at least?

Absolutely. If you use say £100 to pay off a debt at 10% it will save you half as much interest as paying off £100 of a debt at 20%. Do not be confused by the fact that the interest payment to Halifax is bigger. So is the debt.

frannyscho

For a speedy debt repayment ONLY IF YOU HAVE ANY SPACE or can shift multiple children into one room for a while. Rent a room for a short while, and pay ALL the rent to the debt. It's worth being squashed for a while as long as you know the end is within sight. We had all three kids (8, 5 and 3) in the same room for ages, they didn't know any different and it saw us through without too much pain. If teenagers are reluctant then do shorter lets at a time, and offer them a cut! The tax implications are ok if you stay within certain limits - check the official tax site if you aren't sure. Foreign students are good because often they wish to learn the language and see the real life not the touristy one...and if you get on, a free babysitter to boot.