Need Help with my Debts - Also work in Finance

BitterAndTwisted

banks4u wrote: »

Hiya, well I've cut down everything, the car has to stay as we need to get around.

Getting around is not the same as needing a vehicle to get to work. And I really don't think you have cut down on everything: you are paying £100 a month on satellite/cable/internet while you're letting your mother, who is on pension credits, pay your lighting and heating bills. And what exactly is that £134 a month being spent on "other travel"? If it is what I think it is you don't really need a car to get around you just want one.

I'm sorry to sound harsh but I don't think you've really grasped the gravity of the situation and what sacrifices are needed to be made yet if you want to become debt-free. It's often a long, hard slog and things need to be cut cut down or cut out of your current spending. It's the current spending that's got you into this situation. It's time to change or maybe sell that property you've got so much equity in.

banks4u

Well u have an annual pass which would be 134 a month. London transport is so bad. Well I had a look at work and they also Jane an employee assistance program for people in debt. I am not FSA registered so should be ok. I am honestly quite annoyed as my brother has been jobless for a year. Why should I have to suffer? I was ok paying all the bills and mortgage up until my student loan started.

rising_from_the_ashes

Your brother must surely get some benefits & must therefore be able/willing to contribute something?

Agree with the transport costs - if you don't use it for work / it's not essential for work, then it needs to go just now (sorry) - it's costing £130/month that could be better put to use elsewhere.

Sky & the mobiles are also eating a lot of cash that's just not affordable just now.

InDeepDebt

Someone else has already mentioned this but I'd look at putting the mortgage onto interest only - if you can. We went to interest only whilst on a fixed rate. That, together with getting rid of satelite packages would save something.

I don't understand the comment about you having to pay for four phone lines.

The way I see it at the moment, it looks like you're paying out for stuff that you shouldn't be. Are you paying for all the mortgage whilst your brother's paying nowt?

I'm not up on benefits at all but, are you able to take over the whole of the mortgage and then charge your brother rent - paid for by the DSS? As I mentioned, I don't know.

Have a look at your staff handbook for work. I work for a bank and years ago if you had a dodgy credit record, you'd get sacked. However, the rules have now changed (for the bank I work for) to say they employees can have IVAs or be bankrupt - so long as any payment agreement with the bank is stuck to.

banks4u

Good Idea, basically for the last year I have been paying the full mortgage - which is on 70k repayment and 110k int only, which costs me £869. I need the car to get around with work and everything. Also I work in London City, and I have an annual pass which I pay for yearly. The car insurance I paid yearly too.

My brother gets Job Seekers but I have not asked him for any money, he has said he will pay me back but not sure when. My house isn't the best house and I dont think we will get that much money for it.

I mean I used to be an underwriter at a bank, and I used to underwrite sub prime mortgages so I know what I should be doing. But this is the last resort for me as I just can't afford to live at the moment. I used to have over 50k debt 8 years ago and now I have approx 15k. So have made progress.. I currently pay for 4 phone lines, one for each member of my household. Which isn't too bad as it ranges from £5-£10 each. I wanted to cancel one line but am on a contract so can't cancel it. Only in march can I cancel the phone line. I have cut back on so much recently, I used to earn so much more in the good old days, but now?? To think I got offered a job paying 11k more than I am now, but I chose to work for the biggest bank in the world.

banks4u

by the way, those people who have sub prime mortgages, I would personally think to complain as most sub prime brokers were shody!! and did not conduct the sale properly... I used to deal with complaints before so I know!!

banks4u

By the way I called up payplan and have an appointment tomorrow I will see what advice they give me.

BTW I was really annoyed with the DSS, I applied for housing and council benefit last year, but no they did not give it to me as no.1 I live in the house, even though my brother had bank statements showing he paid rent, they said no!! I could move next door and pay someone rent and they would give me housing benefit.
Council tax also a no, as I earn too much accordingly to them. So I suffered!!

wonabeedebtfree

Hi Banks,
You have a few suggestions on how to make savings.
Regarding work....I used to work for a Big bank and they did not take lightly their staff in debt or are not managing their repayments. It was a sackable offence but to be honest with you you are not the only one. A friend of my worked for the same bank and she was in the cycle of credit card maxed to credit card and in the end she was called in by hr. She was not meeting her min repayments. If you have a staff scheme or staff point of contact then just have a chat/quiet word with them and see what they suggest. Make sure they do not register your name as you may sort this out yourself without afffecting job prospects or having something on your file.

You have credit cards. Are they on interest only? You have not stated it on SOA
Get your mother to see citzens advice as she might be missing out on payments. Heating allowance etc.

You need increase the income in the house and the easiest way is the brother working. You will feel more confortable about paying your debts.

You need to get brother to pay something out of is jsa(take half) and it him where it hurts-his pocket. The less money he has the more inclined he is to get a job. There is no incentive for him to get a job if everything is paid for him. You have not mentioned the type of work he left but if it is unskilled then he might be able to get another quite quickly. Let him know his share that he will have to pay you back once he is in work. That might get him moving. It looks like you are annoyed with it all. Hang in there. It will get sorted.

shocktactics69

Hi,
If it helps I used to work at a big bank and as you are already there you tend to be ok, however if you move banks with a CCJ or IVA you wont get another job so do think about it long term as I have had to do the same and change careers because of it.
In this day and age with you already holding a position it would be ok to discuss it with your HR department in confidence as they will be able to give you a better idea as each bank is different, so I would definatly recommend it.
I would however keep it to HR and not your managers, in case they use it against you when they are looking to streamline.......if you know what I mean!
Hope this helps.
S x

Polly_Wolly_Doodle

Hi Banks, actually it must be very frustrating for you as you've been coping and have made a lot of headway with the loans you have but now fate has come and taken your brother's income out of the equation.
Can you rent out a room in your house? Can he go and rent elsewhere and get benefits paid?
I'd be very careful about any 'solution' to your debts, your employer may be very keen to find out about your problems and take any opportunity to get rid of you if you're breaking your t&cs.
Could you approach your loan companies and extend your terms with them, not ideal, as others have said if you can cut down on the expenses then it's probably better to keep slogging on and paying off the loans and cards.