Advice please!

garry_s

I have struggled with debt all of my life. I have a heavy mortgage, good job and a wonderful family. At present I am in debt (credit cards) to the tune of £11600. I DISCOVERED this site and the people here convinced me that it was time to cut the debt. For the last few months I have managed to cut up the credit cards and pay off a lot of debts including selling my car - I now use bike and bus and it is quicker than car! Now down to £11600 which I am paying off at £290 per month (it will take me 5yrs and I will pay £4949 in interest)
However I applied for a loan from Moneyback Bank (Alliance and Leicester) as advised by Martin for £11600 and was accepted! This would mean £400 per month for 3 yrs and paying a total interest of £1063 -much preferable except that I will be really struggling to pay £400 per month. I already have a part time job,sold lots on E bay and can't really think what I SHOULD DO! Struggle with £400 payment for 3 yrs or continue paying a lot more for £290 payment for 5yrs!! Help! I have been reading these forums for months and a lot of info has really helped me focus.

mandy6979

You could always take out your new loan over 4 years. It would mean that your monthly payments will be less than £400, thus hopefully making them more managable. The interest on your original loan is a bit hefty and I don't blame you for looking around for something better.

Good Luck :beer:

Mandy.

garry_s

Thanks Mandy - good advice BUT I really wanted to clear the debt asap -can't have everything I suppose! :T

lynzpower

Hey
have you had us look at your SOA over on Debt free wannabee

We could have a nose and see if theres any savings in your outgoings if you like