Equity Release some questions. Anybody help??

Fire_Fox

Do you have a spare bedroom? Could you maybe take in a lodger - occasional foreign language student, travelling salesman weekdays only ... this would be tax-free income.

monkeyintrouble

Hi, thanks. Yes I have taken my daughter and fiance in as lodgers, which enabled me to double my monthly payments on my DMP. I am paying as much as I can possibly afford with the income I have but I know my creditors aren't going to wait forever. If there was any possible way that someone could buy into my property I would be able to stay in my home and pay off all my creditors, and give a return to an investor in 12 years time when my mortgage is fully paid off.

Fire_Fox

Hi again! If you do this you are just switching one sort of debt for another. With a DMP you can reduce or increase payments as circumstances dictate - no, the creditors won't like it, but you are going through the right channels. If you sell part of your home and rent it back you won't have any room to move if your family members move out or you become unwell. Don't pay your mortgage or the rent and you will be repossessed.

I have just skimmed through some of your previous threads, and noted a few things: firstly that you haven't kept your debt free diary up to date. Recording where you are managing to make more money or cut back can really help maintain motivation, and also be a kick up the backside if bad habits are creeping back in. Secondly that you have remortgaged before, but that it didn't solve your debt issues. Why do you feel this time will be different (genuine question)? Thirdly that you have been hassled a lot by creditors recently - have you sent out the template letters insisting on contact in writing only? :A