Debt advice or help gratefully received!

robin_h

Hello everyone
This is my first posting on a forum of this kind. I would appreciate some advice on what best to do.
I have debts totalling just under £10,000. These are in the form of a loan with £7000 left to repay, a credit card with about £1400 owing, another card with about £850 owing,an overdraft of about £550 and a store card with around £250 owing.
I have up to now kept up payments. However a couple of years ago I lost my job after suffering a period of ill health. I am now back at work but only 20 hours per week. I earn about £740 net.

I am struggling to cope and although I have always made at least the minimum payments required I have been late on sesveral ocassions and acquired a default notice.

I have had enough of this and am not sure whether it's best to get a debt management plan or a consolidation loan. Everyone on here seems really supportive. Any advice or guidance would be really appreciated.
Thanks
Robin:)

Tixy

Hi Robin and welcome

Considering the level of your debts and your income i think you'll probably struggle to get a consolidation loan. A debt management plan might well be a suitable option for you - if you go down the DMP route make sure you only ever use a charity or a free DMP provider, not a commercial company that would charge you fees.

Usually people ask for posters to complete a statement of affairs to see your financial position, see if a DMP would be suitable and also whether it would be likely to be accepted.
We use this calculator for the statement of affairs - http://www.makesenseofcards.com/soacalc.html. If you completed that and posted the results on here people should be able to help you with your next step.

robin_h

Hello Tixy
ThanksI'll complete it as soon as possible. When I acquired these debts five years ago my annual income was £26000. I then had some health problemswhich have affected my ability to work. Thank you once again.
With Kind Regards
Robin