Guarantor loan debts is destroying me

Angie10

I Am currently in an unreal situation in which i carnt see any way out of to the point i just feel like i want to sleep and not wake up.

I got made redundant 2 years ago everything from there has gone down hill my house is being re possesed im a single mum with a 3month old and a 10 year old child, ive been to the cab and my only option is bankruptcy but the problem is i had taken out 2 guarantor loans one with Flm and with Tfs they are charging me 435pound amonth if i dont pay they take it from my guarantor and they wont reason its killing me as there is no way i could put this on to my freind as she trusted in me but i carnt manage and feel so ashamed these people are like loan sharks they are awful companies i have been so stupid i feel as though im robbing peter to pay paul i took out these 2 stupid loans to try and keep my home which in the end is going now.
Has anybody been in this situation? and seen light at the end of the tunnel?

Bravehearted_2

Really sorry about your situation.

They will go after your friend with full force as you know so try not to default.

In my book no one should ever be guaranteeing another persons loans - always ends one way.

lindann_2

I am really sorry about your problems, how terrible, I would come clean to your friend, what the situation is, so she can prepare for what may come, as it possible it will do... also get help from various debts thingy, plus it will cost you quite a bit of money to go bankrupt.... Hope people here will be able to advise you with bit more knowledge. Also you need to think of being rehoused, so shelter is a good area to explorer, l do hope it does not come to that, Good luck.. fingers cross for you

AMILLIONDOLLARS

Really sorry to hear about your troubles. First thing you MUST come clean to your friend, as other have told, they will go looking to her for the money.

Is there anything you can sell, car, furniture, jewelry that could go towards these loans. what about cashing in any insurance policies. If its not too late what about renting out a room to help towards your bills. Please dont hide yourself away, go to your local CAB they will be able to help.

Good Luck

AMD

Angie10

Thanx for the advice, unfortunatly ive nothing to sell as ive sold must things to keep up the monthly repayments its like a living nightmare!!

DVardysShadow

I suggest you go to the Statement of Affairs calculator http://www.makesenseofcards.co.uk/soacalc.html and fill that out. When you've filled it out, press calculate, then format for MSE and press highlight text in the popup window. Copy and paste everything, including the formatting codes into a post here, then let's see what we can make of your situation.

Angie10

How do i do that?? il give it a go thanku for your advice.

Angie10

Ive done my income and expendisre im in a minus i carnt afford to pay the mortgage because of the guarantor loans, I just want to not be afraid anymore and wake up without worry only to worry about my children. The thing is i have always worked every hour of every day the pay is just not enough and its so difficult now ive no childcare, i can cope with the fact my house is going only just but its the guarantor loans ive no escape to the point i dont no who i am anymore!

RAS

Hi

rather than CAB (are you seeing a specialist debt advisor), check out CCCS, NDL or CAP.

They all offer specialist debt help. Details here http://www.moneysavingexpert.com/loans/debt-help-plan#help

Angie10

Yes ive tryed them but my friend is still liable for my debt if i go down that route its just not fair on her i wish that could be a solution more than anything but ive no way out of this mess. Its unfair but my debt i have to pay this somehow

AMILLIONDOLLARS

Ok, you'll lose your house, so that will be one less major monthly expense that you will not have. Will you be in negative equity, when the Building Society/Bank sell it? If you have to go into temporary housing your outgoings on this expenditure might be less. Could you use the savings made to pay your friend instead of leaving her to carry the can alone.

Have you posted up your SOA so that we can see where other savings can be made.

AMD