Credit Cards, Loans / struggling to pay

merchantmr

Hi, my debt:

£12000 credit cards
£6000 loans

Seriously struggling to pay the £700+ repayments each month, i cannot get a consolidation loan which would reduce my payments to £300 which i could manage.

Im a homeowner so dont want to go bankrupt

I dont know what to do as i know there is some more debt headed my way....

I spoke to a friend and she told me that she owed money on credit cards and she actually stopped paying them for around 3 months, then she spoke to them and said she could borrow some money from her family and offer them a settlement figure of around 55% of the outstanding....they agreed

Is this adviseable and something that is common? Thee seems to be a lot of conflicting advise on here....

Would appreciate someone just telling me straight on how to deal with it....as im not coping to well with it...

Thank you

fatbelly

Well, I'll be as straight as I can....

We'll need more detail before we can work out your options. So please could you put together a statement of affairs (SOA) using this calculator. You should format it for MSE.

What do you mean when you say 'there is more debt heading my way'?

How is your bank account looking. Is it overdrawn? Is it with the same company as one of your loans or credit cards?

For the moment don't jump into consolidation or borrowing more money for full & final settlement offers.

BigCraigJohn

How old are the debts?

Erme

Try getting a DMP.....there's a board here or there's other boards if you just do a search for DMP (debt management plan) that should help in the first instance...No...at this stage I would discount bankruptcy and IVA before you've tried DMP... I don't know much about them having given up on mine last year when the bank played up (well bad phone calls one weekend - but apparently that's normal ) but there's loads f of folk on MSE who do so pick their brains...

Hope that helps

E