bit of advice..

Worry

Hi

Just looking for a bit of advice, im currently paying off my debt bit by bit, currently outstanding i have an overdraft of £800, second overdraft of £1,069, catalogue of £244. Ontop of these payments I have my usual car, car insurance, phone bills, board etc to pay. I lowered my oustanding debt by quite a bit over the last year, paying approx £950 from my catalogue account within 6 months and ive just settled my Loan last week (on time). But the problem is myself and my partner were hoping to get a loan to carry out repair work to his home so i could move in with him. Unfortunatly although i have paid alot from my outstanding debt, I have had several missed payments on my credit file as i was juggling payments around to pay the worst ones off. This has caused me to go into the 'poor' category on experian. Is the only option i have to keep paying the debt off and improving my credit report until its finally over??? and doing repair work as and when we have the spare cash, or are there any other ways?? We were looking for approx £3,000 to carry out work to his home. He has got very poor credit history from his past so there is no chance of him getting anything.

andys15

Sorry but you have no chance of getting a loan with a regular high street bank. Do not go near a broker. I was reading in the paper last night about one firm who had brokered loans for 10000 people and taken the broker fee. Out of them 10000 people, 27 got a loan. What are the repairs that need doing. Can you not get mates rates from friends. Offer to do something for them in return of help. What are the repairs that will cost 3k.

Worry

I know ive got no chance with a high street bank, hence not even botherin to try as it will ruin my report even more. how long will these late payments effect my report for?

Tixy

Late payments are usually reported for 3years. If you had any defaults these are shown for 6years.
Are you now able to make at least the minimum payments on time each month? Whilst you want to focus on those debts that cost you the most, it is more important in the long run to at least make a payment to each debt every month.
If you are constantly using your overdraft(s) each month this usually also makes it harder to get more credit so even after the late payments don't show you could still struggle to get new credit until they are substantially repaid.

Have you been through all your items of expenditure to see if you can reduce any to free up more cash for repayments (eg have you checked for cheaper car insurance, a lower phone tariff etc).

RAS

Hi

I am sorry, but if OH is living in his home, why is it not possible for you to move in with him in it current state?

You should certainly not be taking out credit in your name to do up his house.

Worry

Simply because half the decorating was started when problems were found with the walls, with me having asthma its not a good idea moving in before or while work is going on. And WE would both be trying to put money into the house, and it wouldnt be getting credit in my name to do HIS house up, it would be trying to find extra money to make HIS house OUR home! not that it has anything to do with the post...

Thanks for your advice Tixy, as far as i know i havent had any defaults, just late payments, there never really paid that late but obviously because they werent on time it still gets registered as late payments, which ive just noticed when checking my credit file. The only overdrafts I have are with an old bank account, which im under an agreement with to pay off on a monthly basis which im sticking too, my catalogue account is now £250 so that should be paid shortly and out my way, so it only leaves the simple things, my car, which is paid in november! my insurance which ive just renewed but unfortunately its gone up! and i cant find any cheaper, altho i havent had any convictions or accidents or anything my phone bill which is up for renewal in October which ill certainly be moving to cheaper too, so the only main debt i will have to re-pay extra is my old overdrafts (I have a claim in at the moment for bank charges which are more than my overdrafts, not that im expecting to get anything back from them)

So i guess im just gonna have to be good and keep paying off as much as i can to get them down as quick as i can to get my credit file back on track.

DarkConvict

Can you wait a bit longer? If you are in debt you are hemeraging money in interest, if you could at least settle your current debt. You would be saving money and probably in a better position to be able to afford it. If you are tackling your debt i would advise against taking out further credit as it will set back your debt free date by quite alot. Would it not be better if it was really needed that your partner gets the loan to pay for repairs and you pay them back when you can afford it? it is there house after all, its just you simply cannot afford to invest at this time.

Has your partner looked into house insurance, would the problem found be covered by it?