Big Loan to pay off small loans

wallace87

Hi

I'm new to this and want to see what you guys could advise?

I'm currently earning around £1200 take home money, but once all my bills have gone out, which is around £700-800 i have around £200 + £200 overdraft.. but i can never get out of it. Then i still need to pay petrol money etc + cost of living.

I've been thinking would it be worth while getting around a £8k loan to pay off all my existing finances and have it over so many years so i only pay out £200 a month? Is this possible and whats that best way to do this?

Thanks alot

Luke

terakris

You might wanna fill out one of these and post it here;

http://www.makesenseofcards.com/soacalc.html

It sounds like you are spending more than you earn so trying to work out where to make cutbacks will help.

Maybe hop over to the Debt Free Wannabes area with your SEO and they can help you look at reducing your monthly spends

HTH.

dizzy_dog_fan

You should not take out a big loan to pay off smaller debts and avoid overdrafts - that's just common sense, surely? You'd just be getting yourself in deeper - what would happen if you couldn't afford the repayments on that loan?
The best advice is to look at your outgoings and see if there's any cutbacks that can be made there - £700-800 out of an income of £1200 is a lot. Cut back on non-essentials first before trying to borrow your way out...:cool: