we remortgaged do we pay debts? newbie by the way!

in*the*red_6

How much is the new mortgage for and at what rate? If you've already come to an agreement with creditors then i would have thought that would have affected your credit rating leaving you less likely to get a competitive mortgage rate (although i may be wrong)?

mrcow

Hi Catherine,

It sounds as if you have gotten yourself into a complete mess!

Just in case you need clarification on any of the above:


1. Pay off the debts (today if possible!)
2. Cut up all your credit cards and cancel the a/cs
3. Pay back the £11k to your mortgage company


If you really do want to start being "with it" when it comes to finances then turn this disasterous financial situation into a positive and learn from your mistakes!

Pay it off, put it behind you and NEVER borrow money that you can't afford again. Avoid credit cards like the plague as you have proven to yourself that they are too much of a temptation for you. Save up your home improvements and do them as you can afford them (as most sensible people do).

AMILLIONDOLLARS

Debtfreerus? Doesn't look like you want to be:rolleyes: !!

Xbigman

AMILLIONDOLLARS wrote:

Debtfreerus? Doesn't look like you want to be:rolleyes: !!

Now now, constructive criticism only please. If they have consolidated already then its that position we must move forward from. Its only people who are still only thinking of consolidating that we need to point out the pitfalls to.
Regards



X

debtfreerus

Thanks for all of your replies I have taken into account everything you have all said. We haven't borrowed the excess 11 just for the sake of it, we borrowed the extra because I had another child in jan 06 making 3 so have now got my son 8 sharing with my daughter 9 (disaster) so we need the money to make another bedroom in the attic that is the only reason we borrowed the extra which will cost 10,000 a lot I know but moving is not an option. When we originally took out the credit cards I was in a very well paid job earning twice as much as my husband so money has never been a problem until I had to leave work at 6 months pregnant and had my son 3 months premature, he is very poorly and the option of me going back to work is just not there. He will need my full 24 hour care for many years yet so we now have to survive on my husbands wage and get used to the fact that until my sons problems are not so severe our situation will not improve. We have not borrowed the full amount of our homes value by a long shot so neg equity is not likely from what I can see, I purely didnt know what to do, I have since leaving this post spoked to the two creditors who have kindly agreed to reduce the amount due to our position with our little boy and that fact that I can't go back to work for at least another 5 years. The amount they reduce it by is still at their discretion and I will be over the moon with any reduction to be honest but I have taken your advice and I will be paying them in full when they get back to me so thankyou to eerybody that advised me to do that. Thanks again for all your help.

Just to put the record straight for anybody who did misunderstand my reasons, consolidation was our only option, our creditors were demanding higher repayments every 3 months and they were just more than we had coming in. we got scared so took the decision to remortgage. I know most of you say you are anticonsolidate but I really dont think we had any other option.

Thankyou again everybody I asked a question ad you answered it and I will I PROMISE follow your advice and pay them in full as soon as I receive the amount due. Catherine and crew xxx

csarina

Get yourself over to the OS board and see what you can do to cut down on your living expenses...........as a SAHM.

krisskross

If your little one has extra needs have you considered applying for DLA for him and then perhaps carers allowance for you. Everything helps.