Help!In a terrible loan vicious circle!

jamiej7

Hello everyone,

My name's Jamie and I'm new here.I really need some help and advice.I have a loan for £7600, A credit card for £ 4300 and an overdraft for £700(£12,600 in total)
The loan's fine but I'm getting nowhere just paying the minimum on the on the credit card and the overdraft so I want to consolidate it all.I don't make a lot but I make enough to cover a consolidated loan over 7 to 10 years.

However I'm self employed(Just over a year) and my money come's in irregularly so I have missed a few payments, not because I don't have the money, but because I didn't have the money on time.All my payments come in at different times of the month.However I only miss the payments by a day or two.

If I had ONE payment ONCE a month then I would always be able to have the money on time.The problem is this.Due to the missed payments, my credit rating has taken a hit - as in I've missed more than one payment in the last three months.

I haven't had a credit rating done recently but did apply for a 0% credit card last month and was refused.I gather it's due to the missed payments.I am a homeowner but don't want a secured loan.I do want flexible loan so I can pay off more in any given month, as my my income varies.

Does anyone know somewhere I could apply to that would understand my curcumstances or does anyone have any ideas or agencies I could talk to?In a way it's such a small problem but it's having awful effect on my rating and hence my ability to get a simple consolidation loan.

Lastly, I would like a conpetitive loan insurance poilcy.Does anyone have any suggestions and you think that not taking the loan companie's can affect your chances of getting the loan?

Thankyou for reading my post and for any help anyone can give.

Cheers,

Jamie

lindsaygalaxy

Hi

Im not sure I would consolidate it into one unless you sure. If you have slips of "oh what the hell" moments like me then you would need to get rid of the credit card asap or it will just end up getting in a worse situation, like me.
Also, is it not more a matter of budgeting. If you know that you are unlikley to get money the next month, is there any way of putting so much away until next payday. Or could you possible get a small part time job that is only a few hours a week but would keep you going without having to spend so much of your self employed income?

Not sure if this helps but there is always loads of people with loads of ideas on here and it has helped me endlessly!

h4nym

Hiya Jamie

If you're self-employed, there's surely an opportunity to raise your income - that would be the place I'd start. ultimately, though - a lender's not obliged to lend you anything - if your credit score is too far south, you'll end up having to go to pondlife who charge a fortune. Seriously, I'd take another job - however many you have now - and work your way out of this one. Your missed payments card, sadly, is marked for the next six years.

Loan insurance:

1. Has no bearing on whether or not you meet the criteria to be granted a loan - it's normally a different provider altogether that provides the insurance and just pays the lender a commission

2. Loan insurance and self-employed? erm... don't think you'd have a cat in hell's chance of a successful claim!

Sorry I'm not too helpful on the loan thing, but hopefully the insurance myth is sufficiently nailed.

H

jamiej7

Thanks so much for your help.I am going to have to work my way out of this one.Quite looking forward to challage of doing it weirdly!Thanks again.

jamiej7

Thanks for your help.Just having outside views on it makes everything clearer.Gonnna work my *** off to get out of this one but I'll do it!Thanks again for your advice.

thesaint

If you are only a day or two late then you won't be classed as missed payments, but late payments. Late payments are not usually recorded on your credit file.
Have you seen your credit file recently?