What to do?

tomandjerry

Hi everyone,

Last year at the end of July I took a secured loan (Lloyds TSB)for over £18k to pay off my huge credit card bill and an unsecured loan I'd taken online. With insurance it's about £24k and eventually after 5 years I'm going to pay £38k. (Due to my unemplyment 3 years ago my cr. card bill hit the sky and I wanted to clear it with unsecured loan. I'm emplyed now.)
The monthly instalments are £194 higher than before and the cr. card bill is growing again and the salary hasn't changed much, actually it went down a bit for a few months due to my course. When I went to see my bank manger in Feb this year and asked whether I could decrease the monthly payments, I was told I need to wait until July this year and it would be great if I get money from somewhere to show the bank that I can efford to pay my loan and so they can decrease monthly payment. (I already know that decreasing won't help.)

Another problem:
over £7600 LloydsTSB cr.c
£1175 Halifax cr.c (charged £25 late fee)

And I need at least £1600 before Aug 10.


Please, any great suggestions?
I'm desperate. :eek:

P.S:I already posted this thread on different chat forum, I was advised to put it on DFW as well.

jessicamb

Have you got anything you can sell on e-bay?

Can you get any overtime at work?

tomandjerry

I could sell a pair of boots, that's all. I used to do overtime (as everybody else at work), but a company wouldn't pay OT now, they need to save money, so they pay only extra hours (the normal rate). This doesn't help ,tax goes higher.

taj

Annie_Fanny

Hi tomandjerry

Could you please post up a Statement of Affairs (SOA)? Basically this is a list of your incomings and outgoings with a list of your debts. You can find advice here on how to post your SOA:
http://forums.moneysavingexpert.com/showthread.html?t=107280

Post back once you have posted this back and I'm sure we can help!

Good luck!

Annie

mountainofdebt

why do you need £1600 before 16/08/06?

I know this is going to sound hard but you MUST stop using your credit card.....you cleared it once before and already building it back up together with the loan. This is why consolidating loans is never a good idea unless you can keep your spending in control. Before you say anything, I've seen the film and read the book on that one.

Can you cancel the insurance part of your loan? This may reduce the monthly payment.Be careful of decreasing your monthly payments - they're not going to try and sell you another loan are they to clear that loan?

As has already been said, post your SOA and we'll see where we can shave those ££££s.

Prudent

The insurance seems very expensive. Are you committed to it or could you cut costs by taking up more competitive insurance from elsewhere.

lynzpower

Hi there Tom & Jerry

Glad you could come over. Here at DFW we do two things 1) bring in extra money from whatever and wherever we can 2) cut our outgoings to get the most out of our money and pay our debts off asap!

Pop up an SOA and lets see what advice we can offer :wave: welcome again

tomandjerry

Here we go. My SOA:
Salary last month: £1171
Outgoings: loan Lloydstb £644.17 (original loan taken July 05, started paying Nov 05, at 17.9 APR, with protection, after 5 yrs I pay over £38,000):mad:

Lloydstsb cr.c: £200 - min. payment (£7900 to pay at 1.349% monthly interest for purchases and 1.461% for cash)

Halifax cr. c: min. payment of £23.49 (normally I pay £30) 0% until Oct 06 then 19.9% APR

rent: £100.20 per week (incl. all bills)
travel card: £37 per 4 weeks
groceries: £100 -£120
account charge: £15
BT line: £25.50 (normally £17, just receantly gone up)
mobile: £20
AOL broadband:£20.48
social life (if any): £50
cloths: £50 (not every month)
O/draft limit: £1600
O/draft interest: £7.90 this month (don't know what %APR)

:eek: :eek:

Annie_Fanny

tomandjerry wrote:

Here we go. My SOA:
Salary last month: £1171
Outgoings: loan Lloydstb £644.17 (original loan taken July 05, started paying Nov 05, at 17.9 APR, with protection, after 5 yrs I pay over £38,000):mad:

Lloydstsb cr.c: £200 - min. payment (£7900 to pay at 1.349% monthly interest for purchases and 1.461% for cash)

Halifax cr. c: min. payment of £23.49 (normally I pay £30) 0% until Oct 06 then 19.9% APR

rent: £100.20 per week (incl. all bills)
travel card: £37 per 4 weeks
groceries: £100 -£120
account charge: £15
BT line: £25.50 (normally £17, just receantly gone up)
mobile: £20
AOL broadband:£20.48
social life (if any): £50
cloths: £50 (not every month)
O/draft limit: £1600
O/draft interest: £7.90 this month (don't know what %APR)

:eek: :eek:

This is where CLAPTON comes in!!

Annie_Fanny

Is this truly everything? Hair cuts - dentisty - meds etc??

Don't worry - you will be ok!

Annie

tomandjerry

Annie_Fanny wrote:

Is this truly everything? Hair cuts - dentisty - meds etc??

Don't worry - you will be ok!

Annie

I go to hairdresser every 3-4 months (sorry I've forgotten about that), last one was £32, I'm pretty healthy person as well, but meds cost me last month about £10. Have I left anything else out?