Anybody got £35k?

Skinted_2

Hello!

Long time admirer of Martin and have been a regular subscriber to his newsletter but now I think is the time to step up and ask for a bit of advice.

I'm 32 and married but because of family situations we've had to do everything financially on our own. Since we got together we've got married, had to pay for 2 cars and buy and completely furnish a house - all without help from anybody else. Unfortunately things are now starting to financially get on top of us.

Now please don't read this and think that we've got marble baths and golden taps - our house is a two bed ex-council house that needed complete redecoration as it had been neglected since it had been built. It's structurally fine, but that's about as good as it gets. We're working on things but it's taking time.

We've currently got a mortgage for just over £100k and on top of that a loan of £25k that is unsecured which may not sound too bad (and if this was all we had against us we could cope with it comfortably). Unfortunately where we fall down is on credit cards. Currently we've got:

£15k @ 10.9%
£9k @ 5.9% (fixed)
£3.5k @ 14.9%
£2.5k @ 5.9% (fixed)
£1k @ 14.9%
£1k @ 4.9% (fixed)

We've just applied and had approved (but are waiting on) an Amex card with a £4.9% balance transfer rate (fixed for life) and we're going to transfer as much of the high interest debt to it, but in total we owe over £30k on unsecured credit card debt - and although we're just meeting the repayments, we're paying out over £700 a month to various card companies.

Can anyone give any advice on what to do? It's starting to concern me and I'm wondering if it would be worth/possible getting a loan for about £35k from one of these companies advertising on daytime TV to clear everything and reduce the total monthly payments.

Help! It's getting serious.

Thanks in advance.

Ivrytwr3

I'm 32 and married but because of family situations we've had to do everything financially on our own. Since we got together we've got married, had to pay for 2 cars and buy and completely furnish a house - all without help from anybody else.

I appreciate your situation and your need to control your finances, but the above quote struck me. If not you, who do you think should have paid for your house, your car, your furnishings?

funky-footprints

sorry got to agree with that quote too, we also have not had any financial help from anyone, and have never expected it ? I too am 32.

- have always thought to avoid those day time program adverts.

kathfisch

skinted, you've come to the right place for advice and support so well done for taking the first step! I'm not as knowledgeable as some on here but I do know that most (if not all) of the companies that advertise on the telly are absolutely the worst people to turn to. Whether they are offerring a consolidation or debt management, there are still better ways (or other organisations). The likes of Payplan, National Debtline, Consumer Credit Counselling Service and Citizen's Advice will offer their services for FREE, unlike the companies that will charge a fee. They will be able to offer impartial advice and liase with creditors for you.

Repeat, anyone that charges a fee for this should be avoided at all costs!

Do get in touch with one of the above for advice and I'm sure others will be along to add their thoughts.

Best of luck

JAMIEDODGER

hi skinted, i totally agree with what kathfish said. do not go to one of those debt consolidation places you see on tv. at the moment your 30k is unsecured, please do not secure this debt to your house, which by the sounds of it means a lot to you after all the hard work you have put in.

the best thing you can do is post a list of your incomings and outgoings and debts with not just aprs and balances but credit limits too.
make sure you list everything you spend in the month and im sure we can do something to help.

JD xx

Skinted_2

Ivrytwr3 wrote:

I appreciate your situation and your need to control your finances, but the above quote struck me. If not you, who do you think should have paid for your house, your car, your furnishings?

I can see what you're saying and I agree with you.

What my comment alluded to was that unlike quite a few people, we've not had rich parents that have helped with paying for weddings or providing interest free loans for house deposits or even (in my wife's case) putting herself through university.

JAMIEDODGER

i think we crossed posts!

goldentouch

Skinted wrote:

I can see what you're saying and I agree with you.

What my comment alluded to was that unlike quite a few people, we've not had rich parents that have helped with paying for weddings or providing interest free loans for house deposits or even (in my wife's case) putting herself through university.

Likewise.... and we married at 20/22.

Ivrytwr3

What my comment alluded to was that unlike quite a few people, we've not had rich parents that have helped with paying for weddings or providing interest free loans for house deposits or even (in my wife's case) putting herself through university.

Well that means you are in the same situation as the majority of not only the UK, but the rest of the World! Sorry for sounding so harsh, but i cannot feel bitter that my parents did not provide a deposit for a house, did not pay for my wedding or my new 3 piece suite, I'm an adult and have to fend for my family on my own. If anything else comes along ie parents DO give a helping hand, then it's abonus, but not something that can be expected.

As for your debt if you could, can you post incomings and all outgoings. Also as already has been said, do not visit any debt service that requires a fee.

Skinted_2

Thanks for the input thus far.

In truth we've already stripped things financially down as tight as we can. We currently have two extras that we need to cut down on and that is Sky and my mobile phone. Our Sky service is needed because we can't get a decent TV picture where we are, but we have had movies on for the Christmas period and I've not had chance to switch it off yet. My mobile is only on contract because I used to do a lot of flitting about but now I've changed to a home based job I'm just using my free minutes and running the contract down before flipping to a PAYG deal.

We're paying well over the minimum repayments on most of the cards and with the exception of the £15k and £3.5k debts are well within out credit limits on all of our cards - unfortunately we haven't got any life of balance deals available to us to transfer these debts otherwise we would. This is why we've applied for the Amex card.

Skinted_2

Ivrytwr3 wrote:

Well that means you are in the same situation as the majority of not only the UK, but the rest of the World! Sorry for sounding so harsh, but i cannot feel bitter that my parents did not provide a deposit for a house, did not pay for my wedding or my new 3 piece suite, I'm an adult and have to fend for my family on my own. If anything else comes along ie parents DO give a helping hand, then it's abonus, but not something that can be expected.

As for your debt if you could, can you post incomings and all outgoings. Also as already has been said, do not visit any debt service that requires a fee.

I'm not looking for sympathy here. I'm trying to explain my situation to people.