Secured loan - broker worth their fee?

robbieswife2b

Hi, I'm after some advice from the forum (always had help before so the first place I come to!). Basically our mortgage deal (£164k on £225 home) has come to an end and we have looked to borrow more to pay off debts (8k credit cards, 9k tesco loan with 2 years left to pay but is crippling me). I have a ccj which I acquired because we moved home and is registered at our old address (2008). My husband has 5k on a 0% card also. Can't switch the mortgage so looking at secured loan but the broker has quoted a 3k fee. I'm just wondering if the brokers are worth their fee or where to start if I try and sort out myself. my husbands credit rating is fab mine is the opposite. We both earn the same (just over 40k each). I can't face struggling through the next 2 years as I will end up running up the cards again. I'm now in a position whereby we're not paying child care costs, cars etc so can manage to pay a secured loan and have a life which I haven't for a long time trying to juggle the bills. Secured loan may not be the most sensible but I just need a clean break and to not have to rely on the cards any more. Really appreciate any advice on how to get ther best secured loan or if you think a broker is the way forward. Thanx in advance

Apples2

No cars, no kids, a £164k Mortgage and an £80k income... you must go on lots of holidays.

I can't see how those figures slot together to leave you struggling with debt.
How would moving all your debt into one place, meaning you will repay significantly more back in the long run help?

All your Credit Cards will be empty with all that lovely available credit ready and waiting for you.

Please don't confuse the ball and chain of a large Secured Loan with a Clean Break, they couldn't be further apart.

Not much info to go on, but I think you are simply wasting too much money on needless things.

Conrad

£3k is a bit steep. We typically charge about £1500 so I'm sure other brokers will be similar so have a shop around.

robbieswife2b

Sorry I meant we have finished pay over 40k childcare costs and the cars are now paid for. If you class camping as a luxury holiday then year I go crazy! Advixe I was after, judgement No - I have made my mistakes and can beat myself up enough without others joining the party!

tlh858

Taking out a large loan to 'pay off' other debts is rarely the solution to anything. You will just be making the debt larger, which will cost you far more and it will take years longer to pay it.

Don't be fooled into thinking that a loan with lower monthly payments will be the solution - it won't be, because unless you find out where your money is actually going every month, all that will happen is that you will end up spending the 'saved' money on something else, and in a year or three you will be in the same situation again - or worse.

If you are relying on credit cards for daily spending, then you need to take action to find out where your money is actually going.
If you are struggling financially, paying £3000 to get a loan and then pay thousands more in interest for many years doesn't make sense.

Suggest you post on the Debt Free Wannabe board for help.