should i get a loan to repay credit cards? SOA added

chalkie99

Yes, I only meant you were unlikely to get the loan - didn't mean to over panic you - sorry!

Goodtimesahead

Flipped27

When did you take out these credit cards, if any are pre Apr 2007 I would be sending off the standard CCA letter for starters, some or all maybe unenforecable, so can't see the point in repaying those cards that are unenforceable, why stress yourself out over debt! Even if you are going to get a loan, not sure if you would get one unless your credit score is very good but if you do get say some family member a parent etc you would only need to get say 25% of the debt and play hard ball with full & final settlement offers no more than 20-25%(especially if they can't produce a true copy of the original CCA) the debt in each case, make sure of course you get them to remove any default etc as part of the settlement.

Play them at their game,wish you the best of luck, plenty of assistance on these threads.

Flipped27

Thanks all - we are already on a water meter, we are in the south west where water rates are insane....

Council tax is paid over 10 months - could do it over 12 but our MOT is in March so we kind of rely on that to pay for the car then....

I don't know what the APRs are - i shall have a look and come back later on...the loans finish in 2012 and 2014 and are for around £5000 and £10000 - one is mine, one is partners....

I think it is probably unlikely we will get the loan, but am still in two minds about whether to try...it panics me so much when i see how much interest i am paying to blooming virgin. Would it be worth trying to get a loan just to repay that partcular credit card? Then we would have one free to do balance transfers to? Or best to just not even try it?

I will have a look at the snowball, will get all most recent bills out and sit down with dh and enter all info, am so scared it will come back and say we can't even afford minimum payments though.

I think the problem we have, is a £2000 overdraft so we can't really see where we are all month, i get paid end of month, dh gets paid on 15th, all our bills including credit cards are direct debit so, while we have all the info on a spreadsheet, its really difficult to keep track of. I am clearly awful at budgeting, so should I take out cash every week for groceries, school dinners and petrol or is there another way?

I think i will try and open another account and use that one, so i don't have the overdraft hanging over me every month (We also get charged £100 per month at moment....) is that a good idea?

Thanks so much for any advice, I really need help with this, I have to stop spending like this.

Flipped x

Flipped27

property.advert wrote: »

Council Tax seems very high, water rates as well, food perhaps but I know there are 5 of you, no life or other insurances ? nothing for the dentist ?

No mention of what the loan amounts are or any expiry dates and yet they cost £420 a month.

The CC debts are 20k, what are the loan debts ?

We don't have life insurance or anything else - i think dh is insured through his work....
Dentist? I have had it free due to maternity, we have an NHS dentist, so I don't think its that much...anything like that I would try and take out of food budget (and clearly fail mserably!)

Flipped27

Verbatim wrote: »

Have you got insurance on any of the cards or loans? It might be an idea to cancel these &/or reclaim the money already spent. As you are short by £102.68 it may be possible to cut down a bit and get some extra income to meet the gap.

You could snowball, paying minimums to all cards except the one with the highest apr which you pay everything you can find to. When this one is gone you do the same to the next highest and so on.
Could you take a lodger or a foreign student? This would be the highest extra income quickly. Also see the up your income thread and check you're receiving all the benefits to which you're entitled, especially with childcare expenses.

No insurance on any of the cards or loans, always refused it all....

We are not allowed to take a lodger or student as we are renting....I defintely think we are getting all the benefits we are entitled to but will definitely have a look on that thread for some ideas.

Flipped27

Goodtimesahead wrote: »

Flipped27

When did you take out these credit cards, if any are pre Apr 2007 I would be sending off the standard CCA letter for starters, some or all maybe unenforecable, so can't see the point in repaying those cards that are unenforceable, why stress yourself out over debt! Even if you are going to get a loan, not sure if you would get one unless your credit score is very good but if you do get say some family member a parent etc you would only need to get say 25% of the debt and play hard ball with full & final settlement offers no more than 20-25%(especially if they can't produce a true copy of the original CCA) the debt in each case, make sure of course you get them to remove any default etc as part of the settlement.

Play them at their game,wish you the best of luck, plenty of assistance on these threads.

I don't know if any are pre 2007 - only one if any i think. Would i not need to pay them back then?! Sorry, I am not sure what CCA is?

DVardysShadow

The APRs are important - please add them to the SoA, so you can build a strategy of paying them down.

Goodtimesahead

CCA Credit Card Agreement

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Unenforceability & Template Letters II

g_attrill

Flipped27 wrote: »

Thanks all - we are already on a water meter, we are in the south west where water rates are insane....

Have you thought about your usage and how it could be reduced? The water company should have those inflatable things to put in a cistern available for free. If you take showers then you can get a little hourglass on a suction cup which times the maximum amount you should really take. If you use baths then use it one after the other to save water. Try a shorter programme on the washing machine to see if it cleans just as well, but using less water and electricity. I doubt you use a sprinkler or hose, but if you do then fit a rainwater butt!

Flipped27

Thanks - I hadn't thought to get the aprs from there.

We could move, but the children are at school and get a free school bus which they wouldn't get if we moved, so then we would need to pay to get them to school.

I think moving would be the complete last resort, we are so lucky to be here, the kids are in a fantastic school and get the free bus, its a lovely house in a lovely area and is cheap for what it is - it would be complete madness to move without trying absoloutly everything else.

We live rurally so need to keep the car, we use it only when we have to though, and I get the bus to work.

£300 a month is for 16 month old to go to childminder, DH has him on the weekdays when he isn't working - the childminder is SO flexible, if baby was in nursery this would be about £700 a month, I honestly can't see how we can cut this down more..

I could try and get a higher paid job, but the job I am in is really flexible around the children, its in local government where we have flexi time, so when i can get in early I do, to make some flexi to take days off when i need to with the kids....so while it could be good on paper it would probably cost me more in childcare in the end....

I am grateful for all help....I spoke to my friend today who works at the Council and she thinks we would be able to get Housing Benefit - I had never thought of claiming that before, I cant' believe we would get it?!

I forgot my child benefit of £185 a month off my SOA, which makes a bit more sense.

Oh water rates have just gone down from £69.50 so i guess we are moving in right direction - everyone I know pays around this down here though, South West Water.........

Thanks, i really do appreciate everyones help

Can the bank just say it needs to be paid back all in one go if we offer to pay £100 a month to clear it? We are going to open a new account, as if we are not using the other one then the £100 we pay on charges can be used to pay back the debt.