DMP vs Full & Final settlement and advice on SOA

icecube2009

I am still waiting to hear from DH, what do we do if the in laws offer the £20k we have asked for? we planned on a F+F, but common sense would say pay it off the debt & lower it by almost half, but then we still have to pay the in laws back.....my head is spinning!!

icecube2009

loaner wrote: »

income 2180
mortgage and debt repayments 1786

=

£394/month for food/council tax/clothes/bills.

ok council tax is £122 a month which brings it down to £276, thats not a lot to live on, bills food & everything included!

Burlesque_Babe

If the loan is 0% from your inlaws, then use it to pay back the CC's etc until it's all gone. Then re-do your budget - you'll have around £400 per month spare from doing this and use the money saved on the CC's to tackle the next highest APR debt and carry on like this until you only have the mortgage and the in -laws loan left. By then you should be in a position to change to a better rate mortgage which will save even more money and all the money you now have spare each month you can pay to the inlaws in huge chunks each month.

It's going to take commitment, but I think 50 is going to be a realistic goal if they are willing to wait for a while until they get something back.

icecube2009

loaner wrote: »

income 2180
mortgage and debt repayments -1786

=

£394/month for food/council tax/clothes/bills/everything.

Find those apr's, they are crucial to working out the best way forward.

how do i find out the apr's? I have looked on line and cant seem to find them

Burlesque_Babe

Your statements will detail the APR.

Or, a quick call to them to ask and then act shocked etc when they tell you and see what they say to reducing it 'otherwise you'll go elsewhere'

icecube2009

Burlesque_Babe wrote: »

If the loan is 0% from your inlaws, then use it to pay back the CC's etc until it's all gone. Then re-do your budget - you'll have around £400 per month spare from doing this and use the money saved on the CC's to tackle the next highest APR debt and carry on like this until you only have the mortgage and the in -laws loan left. By then you should be in a position to change to a better rate mortgage which will save even more money and all the money you now have spare each month you can pay to the inlaws in huge chunks each month.

It's going to take commitment, but I think 50 is going to be a realistic goal if they are willing to wait for a while until they get something back.

not quite sure what you mean ? (sorry...stupid here!!) do you mean use the £20k to pay off half the debt or use it to make the monthly payments? confused

icecube2009

Burlesque_Babe wrote: »

Your statements will detail the APR.

Or, a quick call to them to ask and then act shocked etc when they tell you and see what they say to reducing it 'otherwise you'll go elsewhere'

ok thanks, might not be able to do this today as little ears listening ! but have a day off tomorrow.

icecube2009

DH just rang, his parents have called & told him its safe to go back. so it can go either way 'yes we can help (but i have told DH i want to get more advice before we agree on a plan of action)' or 'no we cant' so waiting now to see whats been said!

icecube2009

egg loan 7.66 apr
egg card 21.9 apr

thats all i can find at moment, but working on it

icecube2009

loaner wrote: »

Offering to pay the parents some interest could swing the decision.

yes we have offered to pay them interest. But I am still confused as to what to do now if they do offer to loan us the money, as un til today we just thought we would do F+F's but now it seems that is probably not going to be the right option for us