Why am I not being allowed to consolidate my debts?

Standingtall

Sir William, I sympathise with your need to protect your credit rating in what is a credit society! Sadly, so many things depend on your credit worthiness. I am someone who consolidated twice using equity in my home. My mortgage was originally for £50k ten years ago. My mortgage now, after 10 years of paying, is £100k. I am now split from my husband, in a DMP. :mad::mad::mad:

If you of manage to get a comsolidation loan then I really hope you have learnt your lesson. When you do get that pay rise you may feel you need to live a different life style to suit your new income, so very very careful indeed.

HOWEVER:

If you do need a DMP then remember this. Many of the friends and maybe even some of the family that you are worried will find out, may be also sailing very close to the wind themselves. You may be very surprised at the level of support and understanding you receive.

Good luck.

somethingcorporate

You have no chance of consolidation. It would never work anyway, you evidently do not have the financial discipline to manage given you have racked up such large amounts in PDLs.

You need to take a radical approach and change the way you are living, consolidating would only prolong the inevitable for you so the sooner you face it head on the better it will be for you in the long run.

By the way, there really is no such thing as an ironclad job. One of my wife's colleagues was offered partnership in a law firm, the real golden boy of the company having been there for years. The following month he was made redundant.

What strikes me as odd is if you are in effect an MD and having lots of job offers from other companies why you are on such low money? 30k-40k seems fairly insulting for someone in such a position. I started as a newbie Grad on about that 5 years ago! PAs and EAs in my company make more than you are on for what I can gather is far less responsible work. I would expect MDs to be making very good money if not be 6 figure earners.

Good luck, but I think the next few years are going to be painful for you.

camuk81

Well I think the great thing is Sir William you have raised a lot of issues that people can sympathise with.

Billy_two_speakers

Banks are only happy to lend money these days to people who don't need loans and having read how sure you are about work and getting extra money... I would treat that as pie in the sky till the money is in the bank it means !!!!!! all....... I know many people who have been told jobs safe ect ect who have had a done a dirty when someone above them decides it them or you and off you go to the job center

If your company gets bought out or a big customer goes bust your stuffed ...... as for credit score the BBC ran a story where a high court judge could not get a loan the other week and his job is for life ....... you have far too many ifs and buts

jayss

Is there anyone in your family who could help towards the final wonga payment?
Take a real good look around and see what you can sell, car boot, take clothes to consignment shops, anything to drum up some money short term.

Is there any space on your ccard? If so do you have any balance transfer or cash transfer offers available? If you could shift some overdraft to your ccard that could help towards wonga.

You need 2 solutions, one to pay wonga this month and another to tackle your debt longer term.

Best of luck.

Credit-Crunched

sirwilliam wrote: »

"Without sounding harsh, ever heard the expression"...

I'm well aware that I've got myself into an incredibly bad position financially and don't require someone else to tell me what I already know. I'm sure you read the fact that I was 26 and wanted to act as teacher giving me a telling off, but I'd prefer you take your judgement elsewhere whilst I read the more helpful comments...

There's no reason for a bank to believe that I will not get myself into a similar position again other than my own assurance that I won't. I wake up feeling depressed and miserable about my debts and would do absolutely anything to wake up with manageable debts and feeling better. I don't want to go down this road of misery again and have learnt my lesson - I only hope I've not learnt it too late.

Is there really no way a bank will literally pay off creditors with money they loan to ensure that the loan isn't simply racked up as extra debt, but is genuinely used to consolidate? I'm flabbergasted by this fact...

You asked "why are banks not lending me money"

I answered, you did not like the answer, you have an internet tantrum

Seriously, if you are borrowing money from pay day loan companies then you are either:

- Desperate for money and have racked up un-sustainable debt and have the propensity to do it again

or

- have no idea about regulating your finances and do not understand APR's and repayment methods

Either way you are not a good punt to a high street bank.

Would you lend me money if I came to you in this situation.

I aint being harsh, just realistic,

Skint_Catt

Sirwilliam - how did the meeting with Natwest go?
C xx

AlyBaly

Just popping in to see how you got on sirwilliam x

william2074

As expected, NatWest declined any type of consolidation. I'm sure banks will all do this, but they also advised strongly against the DMP route since it will ruin my record for six years, starting from zero etc. and that it wasn't yet the right step for me, since I have an asset which means in theory I own more than I owe. Ironically, this asset is also the reason I can't consolidate as they can't take into account that I only pay half the mortgage and are taking into account my own monthly commitment as the full mortgage repayment as any other lender would... Reassuringly, NatWest also told me that there is no way they would recall my overdraft at the moment or try to get rid of me as a customer since, frankly they said, I earn them too much money.

So, my options as I see them now are:

a) DMP
b) Borrow the money from a friend/family to at least pay off all the PDLs and get them off my back to get back to sensible monthly repayments that should be manageable
c) Go for a BT card to pay the Wonga debt for this month and sort out another solution for the other PDLs

I still can't accept a) is the absolutely best option yet. Perhaps I'm being naive, but I do have the people around me who could help me out without me having to resort to destroying my credit record. I'm being cowardly about addressing my debts with those around me though and everyone is unaware. I am beginning to think b) is my best option, but I need advice on how to talk to family and friends about my debts. How has anyone else on here approached them? What did you say and how did you say it? What were reactions like? I'm quite terrified of doing this, but it overall is beginning to seem like the most sensible and rational option all round.

I guess I might explore option c) in the meantime anyway...

Thanks

Standingtall

It's never going to be easy to tell your family about your debts sirwilliam but in the end I have found that, with my children at least, it has given me the backing so that they know that 'no' really does mean 'no' and that a piece of plastic will no longer be utilised in order to buy them what they want:T

Also, if all else does fail please do not take the advice of the bank regarding the advisability of a DMP, since this would be the last choice they would want you to take! It is not in their interests for you to take that choice. I also own far more than I owe which made an IVA unsuitable for me but certainly not a DMP. I agree though, that having your family help out is a more preferable solution.

Good luck.