new help need please

biggidy33

hello there,

I am new here so will try and do things in the correct manner. My mortgage is for £78 500 with ge money I am 1 year into a 2 year fixed deal erc charge is £7000.

Cut a long story short when i took the mortgage out i was earning £28k last year my partner fell pregnant and she has expressed that she wants to be a stay at home mum. In March 2009 i was made redundant no pay off. Since then have beeb living off credit card and overdraft at this point all bills are upto date but in about 4 weeks i wont be able to meet my commitments. We have decided to sell the house and relocate down south to be near family. The house went on the market last week at £130 000 with the mortgage we have £12.5 k of debt that we want to clear and moving will cost £3k. The question is how do i handle the companies next month when i cant meet repayments i want to do it properly and how can i sell my house as quick as possible, i was think of using a cash buying company but know i will get ripped off, but i cant afford to wait months on the open market so sholud i just price to sell with ea and hope for best if so any price suggestions.

Thanks for taking the time to read this any help really appreciatted

ciano125

Welcome first of all, and I'm really sorry to hear of your situation. We're due our first child in a fortnight and I was put on consultation about 4 months ago, so I have some idea of how you must be feeling.

You might be better off on one of the other boards though, have a read through, others will be in a better position to advise but I would say ring them up and speak to them NOW rather than leave it until its too late.

All the best though.

pinkshoes

The cash companies will well and truly rip you off; they're a business and they have to make money some how!

Why not just price your house low for a quick sale i.e. find yourself a first time buyer with mortgage in place, and tell them that if they can exchange in 3 weeks, then they can have it for £110k or whatever.

Have you not been able to find ANY work at all to help pay the bills, like McDonalds, factory work, shift work etc...

biggidy33

thanks for replying,

i have really been trying but to be honest my partner had a very difficult caserian in April and i have trying to be supportive to her as well. So would i just tell the estate agent to make people ware that if they can move quickly i will do a decent discount?

ciano125

Swings and roundabouts, but I reckon you'd get much more interest by advertising it at a lower price to start with. You never know, you might then get two or more interested parties bidding the price up.

You're lucky in that you've got a decent amount of equity in the house to play with, and while I appreciate it wont be nice to lose it (especially if its money that you've saved up, its not so bad if its just pure equity, ie money you've never really had), at least you can get out of it relatively easily and dont have negative equity to deal with as well.

supergrand

biggidy33 wrote: »

hello there,

I am new here so will try and do things in the correct manner. My mortgage is for £78 500 with ge money I am 1 year into a 2 year fixed deal erc charge is £7000.

Cut a long story short when i took the mortgage out i was earning £28k last year my partner fell pregnant and she has expressed that she wants to be a stay at home mum. In March 2009 i was made redundant no pay off. Since then have beeb living off credit card and overdraft at this point all bills are upto date but in about 4 weeks i wont be able to meet my commitments. We have decided to sell the house and relocate down south to be near family. The house went on the market last week at £130 000 with the mortgage we have £12.5 k of debt that we want to clear and moving will cost £3k. The question is how do i handle the companies next month when i cant meet repayments i want to do it properly and how can i sell my house as quick as possible, i was think of using a cash buying company but know i will get ripped off, but i cant afford to wait months on the open market so sholud i just price to sell with ea and hope for best if so any price suggestions.

Thanks for taking the time to read this any help really appreciatted

please dont use cash buying companys they will rip you off. my advice would be to phone the mortgage company now before you get into arrears tell them your situation and tell them you are selling, it will be easier to negotiate with them if you do. is your mortgage interest only or repayment if it is repayment you could ask them if you can go on to interest onlly for a time to bring down your payments . my mortgage is with G.E.Money too and thats what i did, its only for six months but the monthly payments have gone down significantly which is a great help at the moment. good luck!

biggidy33

Thanks for replying,

my mortgage is repayment total 724 amonth but repayment part is only £40 a month so wont make a great deal of difference. I can just make the mortgage over the next couple of months its just the unsecured stuff.

I have decided thanks to what i have read on here etc that i will only use a quick buying company if for example i was days away from repossesion. I think i have over panicked a bit, i have read so much about ge money and how they wait to pounce after 1 missed payment. It is a shame it is quite a nice house recentlty decoreated rewired but what with csa payments i dont mind of course i want to support my kids bills and everthing else i cant do it on my own so the house has to go.

supergrand

biggidy33 wrote: »

Thanks for replying,

my mortgage is repayment total 724 amonth but repayment part is only £40 a month so wont make a great deal of difference. I can just make the mortgage over the next couple of months its just the unsecured stuff.

I have decided thanks to what i have read on here etc that i will only use a quick buying company if for example i was days away from repossesion. I think i have over panicked a bit, i have read so much about ge money and how they wait to pounce after 1 missed payment. It is a shame it is quite a nice house recentlty decoreated rewired but what with csa payments i dont mind of course i want to support my kids bills and everthing else i cant do it on my own so the house has to go.

if you contact the consumer credit counseling service which is a free charitable organisation they will helpyou put together a budget where all your priority debts are budgeted for and if there is money left over it is divided between your unsecured debts and if there is no money left over you can write to the companies you owe money to and offer them a token payment of £1 per month, this will keep them off your back until you are in a better position.

Fire_Fox

You really need to repost this on the Debt-free Wannabe board for comments. They will ask you to complete one of these:
http://www.makesenseofcards.com/soacalc.html

As Supergrand says also contact CCCS or Payplan which are both debt managment charities. You will need to write to all your creditors and offer £1 token payment and give your CCCS or Payplan reference number so they know you are going to make an official arrangement.

Have you thought about letting out your house or taking in a lodger for more income?

bitsandpieces

Sorry to hear about your problems. Definitely contact one or more of the debt repayment charities to discuss your situation (*not* the profit-making companies that will sell you a loan, IVA, etc). National Debtline is another one you could try http://www.nationaldebtline.co.uk/ CAB could also help talk through the options.

Where do you plan to live when you have sold the house? Depending where you are in the country, you could easily end up paying over £800/month for a house.