I can't quite believe it's got this bad

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  • Tondella
    Tondella Posts: 934 Forumite
    The lloyds loan is probably not top of your action list as it probably doesn't have the highest APR, however a handy tip for when the time does come to tackle it. The £180 early redemption fee is only incurred if you pay off all the loan at once, however they do allow you to overpay with no penalty. This means that if you overpay all but next month's payment, the loan is repaid with no redemption fee. Worked for us. But like i say, something to file away until it is needed.
    Debt Oct 2005: £32,692.94
    Current debt: £14,000.00
    Debt free date: June 2008
  • Talheedin
    Talheedin Posts: 21 Forumite
    Thanks everyone,
  • Talheedin
    Talheedin Posts: 21 Forumite
    I'll try that again. Nudged the mouse button at the wrong time.

    Thanks everyone,

    I feel all welled up and emotional now. A big man like me should be above such things. I better not start crying or they'll put me on sick for a month. (I'm at the office)

    When I get home tonight I'll go through this site with my Wife and show her what you've all said. I'm sure it will chear her up too.

    I'm off to the snowball calculator now to check that out.

    Thanks a lot

    Talheedin
  • lynzpower
    lynzpower Posts: 25,311 Forumite
    Combo Breaker First Post
    All the best with it :)
    :beer: Well aint funny how its the little things in life that mean the most? Not where you live, the car you drive or the price tag on your clothes.
    Theres no dollar sign on piece of mind
    This Ive come to know...
    So if you agree have a drink with me, raise your glasses for a toast :beer:
  • Cantdance_2
    Cantdance_2 Posts: 200 Forumite
    Yes, very best of luck. I think the hardest part is facing up to it but just posting on here can be very cathartic and helps you feel better!

    Just remember, the only way is up!

    James
    Total Debt: Owe about £19,000 on credit cards plus £24,000 which is my half of joint loans.
  • Floss
    Floss Posts: 8,240 Forumite
    Name Dropper First Post First Anniversary Photogenic
    Which water company are you with? check their website or phone & ask about any help for those in financial difficulties....United Utilities have a scheme where as long as I pay the agreed payment, they match it pound for pound every 3 months.....how many other companies would reduce the debt by 50%?! I found it on their website.....if they are yours, PM me for the debt office's direct land-line phone number.
    2021 Decluttering Awards: ⭐⭐🥇🥇🥇🥇🥇🥇 2022 Decluttering Awards: 🥇
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  • joolz43
    joolz43 Posts: 126 Forumite
    I too remortgaged 3 years ago. I wasn't honest with myself or anyone else at the time about how much debt I had, but we paid off the biggest things including both our credit cards, loans and some store cards. Neither of us cut the cards up, OH was given a bigger credit limit on his CC, I have since got a personal loan, got up to my own credit card limits again and lastly a year ago was persuaded by the HSBC that a £20,000 loan was just what I wanted just for myself.

    So in 3 years we have accrued a further debt of what must be 100,000!!!!

    Please don't re-mortgage unless you are never likely to use any credit ever again or if you retain a credit card you are going to pay it off in full.

    My DMP started on 1st July, it hasn't been easy, but the house isn't at risk and feels less likely to become at risk. I think I have the best chance of paying off my debts now than ever and the £740 per month for my DMP (I have a good income), will mean that I can pay a whopping £55,000 off in 6 years. Then I can begin to have a good life can't I?

    Goodluck Talheedin
    Julie

    Proud to have dealt with my debts
    Debt July 2006 circa £55K
    Now Debt Free!!!! :j
  • hano
    hano Posts: 5 Forumite
    Reading this thread has brought back all those feeling of how lonely, ashamed and desperate i too once felt that was until i contacted the cccs, and thank goodness i did. Everything was handled over the phone which was so impostant for me as if i'd of had to sit face to face with someone i think i'd of cried so much i might of flooded the world.
    With ongoing reviews with the cccs i'm now much more in control of my life in fact that even seems funny to think yes i do have a life because for many years i just excisted and it was berley that.
    We have one life and as much as we make a mess of it, there is help out there and sseing this thread its lovely to see there is so much help in people helping other's.
    I want to say thank you to all those that have offered such good advice and help and mostly for NOT standing in judgement it really is good to know that there is goodness in people.:T
    Dont suffer in silence as there's ear's all around you just waiting to help.
    Kind regards
    Hano
  • Marisan
    Marisan Posts: 96 Forumite
    Mortgage-free Glee!
    Hi Talheedin,

    I can't add much to all the excellent advice you have been given,I just wanted to say good luck and to always remember that you are not alone.When my hubby and I first faced up to our debts it was very scary and we often felt overwhelmed.We are not out of the woods by any means,but things are looking brighter now.Our lowest point was when my hubby got a CCJ,but we offered to pay what we could and the Court made our creditors accept it.You can't get blood out of a stone,and they have to leave you enough to live on too.

    One thing which did surprise me was that some (not all,I hasten to add) creditors can be quite understanding if you are upfront with them and talk to them.We went through the bit of ignoring letters and being scared to pick up the phone,but we bit the bullet and we are surviving.Some months we are potless after paying everything,which can be depressing when you've worked and can't afford a treat,but think how good it will feel to have your debts under control.

    All the best,

    Marisan.
    .Nothing is foolproof to a sufficiently talented fool.
  • Hi, Been reading this thread with some interest and thought i would pass on my experience with the CCCS and hopefully answer your questions.

    I had a DMP with the CCCS which was designed to last 5 years, putting your mortgage aside i owed approximately the same as you do.
    Include your wifes income in your budget, but not the maintenance, if you don't your soon going to be kidding yourself your better off than you really are and get yourself into a mess again, and realistically the bottom line is if its income into the house then you need to use it like every resource to fund your debt repayment. Plus the fact that if your totally upfront with your creditors they'll be much more sympathetic.

    I would do the following plan if i was in your situation again:

    Apply to the CCCS to set up a DMP.
    Move all your direct debits to a new bank account that is not affiliated to any of your existing creditors.
    Don't include your mortgage on the DMP, continue to pay that in the normal way.
    Do include your wifes income into your budget.
    Accept the fact that your credit rating will be shot for 6 years at least, you will not be able to get credit for anything, not even something simple like a mobile phone. But, its credit that got you into the mess in the first place so why would you want to go back there again? Its easier to live with than you can imagine, i promise you, once you get over the initial wrench of it, it becomes quite managable and something to be proud of, that is living without the need to apply for more credit.
    Pay your mortgage, don't miss a payment, don't try and remortgage, don't do anything except pay it, i know your fixed rate will end and you'll end up on a variable, but rates aren't so bad at the moment and are far cheaper than high interest loans so just sit back and let it ride, but keep paying.
    All or most of the interest will be frozen on your creditors accounts as soon as the DMP is applied, THIS IS EXACTLY WHAT YOU WANT TO HAPPEN... There will be no more interest applied and what you pay off reduces your debt, a very satisfying feeling when your statement from the CCCS drops through your door every month, you actually see your debt going down.
    Don't do an IVA, you don't need to, you'll need to include your house and if things go wrong you'll potentially lose it.. Don't be persuaded by your creditors to go this way, they don't need to put you through that and you don't need to go through it, as long as you pay them an agreed amount every month they can do nothing more to hurt you.
    Remember you have rights too.... Yes you owe the money, but nobody has the right to make another suffer because of money so don't be bullied by any of your creditors.
    What ever you do, don't try to go it alone with your creditors, do not contact them directly, always always go through the CCCS, they will be far more helpful and less demanding, be strong and don't be bullied.
    Oh and keep smiling....

    I wish you the best of luck with this, be brave and strong and in six years time you'll wonder what all the fuss was about. I promise you that, i'm in year six and it feels fantastic..
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