From bad credit to home owner.

stu08

My mother passed away no too long ago and we were renting at the time. I myself am in my early twenties and through several life insurance policies I am now a home owner. In the past I have had a CCJ several defaults from when I was a student.

Being a homeowner with no mortgage, will that boost my credit rating, and if so I currently have debts of around 10-12 k, what would be the best way to get rid, as I do not earn enough to pay these off!

scarlet55

first of all im sorry about your mother...i too lost my mother a couple of months ago and also my best friend 4 wks later and i am still struggling to come to terms with it, but i dont understand, you say you had the money to buy a house mortgage free but you still have debts of 10-12k, im sorry if im being naive but why on earth didnt you pay your debts off (which you say you can't afford ) and then buy a cheaper house.

Superbiatch

If I read it correctly, she has inherited the house - not bought it.

stu08

I have a disabled Dad and a younger brother, the house isnt a lot of money, its nothing plush, but I want it as security for all of us. I was unable to get a mortgage either.

hanfrangipane

stu08 wrote: »

I have a disabled Dad and a younger brother, the house isnt a lot of money, its nothing plush, but I want it as security for all of us. I was unable to get a mortgage either.

You say you were renting before you bought the house. How much were you paying towards rent before? Could that money not be put towards the debt repayments now?

What are the debts that you have? Credit cards, loans, overdrafts? And the interest rates? Could you post an SOA so we can see where you may be able to cut back and put extra money towards the debts?

Sorry to hear about your mum, today of all days especially.

PNPSUKNET

how much is your salary?

lambda

Firstly, I'm really very sorry to hear about your mum. This must be a very hard and frustrating time for you.

If you could post an S.O.A. on here (http://www.makesenseofcards.com/soacalc.html) then people would be able to help you much more. It's important to see your income and outgoings against your debt so that you can prioritise your finances and manage your money.

[Deleted User]

As suggested above, you really need to post an SOA so that people can have a clearer picture of your current situation.
You need to make sure you include all of your income and all of your expenses, debts (how much, what kind of debt (overdraft, credit card, loans etc), and what the APR's are on each of the debts)

Once you do this people will be better able to advise on the situation.

D9

Hannah_10

A house is no compensation for a mother, I am sorry for your loss.

If you would do a SOA and post it then we will be able to get a really good detailled look at your situation and might be able to come up with a solution that suits you. If £5 a month is all you truly have spare then even with that we can do something. As Martin says, there is no unsolvable debt.

Culex

Hannah_10 wrote: »

A house is no compensation for a mother,

Quite.

Try as I might, I cannot persuade my house to do my ironing.