So confused I could cry

debtfreeby30_2-2

I am so confused right now, I'm trying to figure out exactly how much I owe (I don't even count my student loan as a debt as I don't even earn enough to start paying it back so put it in the 'will think about it when I am earning a decent wage' drawer). I have two loans with the Halifax, a Post Office credit card, and I owe my sister a big amount of money. Only at this stage I cannot seem to find anyone in the Halifax who will tell me anything other than a final settlement figure. Maybe I'm being really stupid but I can't figure out which way is up. I am working really hard and am now in a position where I am making every single monthly payment and have no overdrafts anymore, so these are the only debts I have now. But who the hell do I need to speak to to get a total of what I owe them at this exact minute?!

Sorry if that's a bit garbled and doesn't make much sense, but my thoughts have gone from really clear and focused, to utterly messy in the space of one 20 minute phonecall

I use internet banking almost every day to try and keep myself focused on my finances. This is really where the problem came to my attention actually. I have started an Excel sheet to keep track of everything. So I called the Post Office to get the current balance on my card, got my sister to work out the exact amount I owe her, and checked online for my loan balances. Last month the Loan 1 was -£5,138.90, and Loan 2 was -£2,548.12. When I checked today after both this months payments came out, it stated that Loan 1 was -£5,003.69, and Loan 2 was -£2,604.36.

I pay £227.60 and £114.37 each month on these loans, so I can't understand the totals. That's why I called, to ask someone to explain it clearly, but the guy just didn't seem to have a clue, told me my final settlement (which I didn't need as it's not an option to repay early unfortunately). He also started talking about interest and charges for two arrears, one from September last year, and one from May this year, and suggested this may have something to do with it. He couldn't, however, explain what, and eventually I just had to get off the phone as my head was getting throughly fried.:wall::wall:

Actually, at this point, it doesn't even matter, as if I take those settlement figures, which can't be too far wrong, plus the other two, I owe over £11,500, excluding my student loan. So not understanding my repayments is not a surprise as they're a drop in a bloody big ocean.....

LovelyLeeds

debtfreeby30 wrote: »

Actually, at this point, it doesn't even matter, as if I take those settlement figures, which can't be too far wrong, plus the other two, I owe over £11,500, excluding my student loan. So not understanding my repayments is not a surprise as they're a drop in a bloody big ocean.....

You're probably right, an absolute accurate figure isn't relevant because it will fluctuate. If you times your monthy payments to the rest of the life of the loans, then that should give you roughly what you will owe.
If you're have a bit of a light bulb moment, why not take the opportunity and post your statement of affairs up - but repost in the DFW forum. Once some seasoned posters have had a look at it, you'll be surprised what you can save each month. Sorry if stating the obvious - it's something I do with alarming increasingness.

debtfreeby30_2-2

No I appreciate it Leeds, thank-you. I've had several light bulb moments, but trying to figure out exactly how much I owe is more like a Road to Damascus moment. Seems very silly getting excited over tiny savings when I look at the big picture...

Will try and do a SOA this evening and sit back and try not to freak out!

Thanks again xox

pqrdef

debtfreeby30 wrote: »

Actually, at this point, it doesn't even matter

It matters if one of your loan balances is getting bigger instead of smaller. They're hitting you with charges for the ongoing arrears.

If you miss payments, they don't just give you a payment holiday. You need to catch up with the arrears and charges and get the account back in order.

Unfortunately you've probably trashed your credit rating by now.

debtfreeby30_2-2

But as far as I'm aware the two payments were made, they were just late. I'm not justifying that of course, and I'm not arguing the charges, if they were late they were late. But he was telling me 'it might have something to do with that, and then saying, oh I'm not sure though, and you are up to date with all repayments'?? This is what is utterly confusing me.

Also, according to Experian report my credit rating is pretty average....

CH27

Are you definately upto date with your payments?

MonkeyMad

Whilst not suggesting this is the answer you could be up to date with all payments yet still incur charges increasing the balance if those payments were late?

debtfreeby30_2-2

I have to apologise folks, I have been a bit of an idiot about all this and getting myself in a state over nothing it seems. I'm definately up to date with all my repayments, I just never examined my finances before in such detail and never understood how the interest was calculated on the loans. Hence the reason I flew into a panic. Steep learning curve. Apologies again, and thanks for the feedback, I think I'll be okay. Hopefully.