73K debt advise please

John4702

chev

U have some good point, thanks.

But i do have a life plan, as i said in the last post so i really want to get to the end of my study, sorry should have said before, before limiting myself to any long term thngs.
over time is not easy at the moment as i am presently out the house 60 hours a week.

Now travel 4 hours a day due to going to london each day

saffronflowers

I am not entirely sure why you are posting on here, or what you want from the replies.

Lets face fact you are 27 and are in debt to the tune of £180 000 - £73,000 is unsecured. You have a reasonable income, but it is not great. You dont even seem to be slightly concerned that to pay the £43,000 at £600 and 11% a month it will take you 12 years to pay this off.

The feeling I get is that you think that if you juggle everything around from here to there, that if everything goes to plan, in two years you will be able to pay it off. Remember if it doesn't you could lose everything. Please deal with the here and now, not with ifs and maybes.

I work for the CAB and so often, I have dealt with situations like this, and more often than not 6mnths to a year later the same people are back but in a worse place.

SFx

quantumleap

John,

If you have a life plan and are determined to stick to it then I'm not sure that asking for advice is going to make a great deal of difference. I would say that with your debt levels the way they are, perhaps your life place isn't working as well as you had hoped. I don't mean that disrespectfully but you have to consider that what you hope for the future may of MAY NOT happen and it hasn't gone well financially up until now.

hypno06

Hi, me again. I think there are a number of issues here, please don't take offence, we trying to help, having all "been there" at some point.

I can see that you are currently trying to juggle your debt around to manage it better, but has this honestly worked for you in the past? Although you may be managing to "live", has the debt actually reduced at all since you took it out or does it steadily and gradually rise?

If you are not currently able to pay off your debt and actually see the balance reduce month on month, without the need to dip into it for anything other than emergencies (real ones) then you have to address far more.

For example, what have you been overspending on? Lifestyle? household bills? holidays? or nothing inparticular? Without addressing what is going out, you cannot hope to reduce the debt, even with the remortgage and credit card shuffle.

I did speak to CCCS etc and even though I did not want to go down that route, having the information available in order to make an informed decision was invaluable to me.

Believe me, I have looked at all the options, bankruptcy, IVA, DMP and at the end of the day I decided just to pay everything off and chuck as much as I can at my debt. I have tried switching to low interest cards but can't as even though I have never defaulted etc I get rejected for new cards due to the level of my debt, so I am stuck with 21% and more for the majority of my debt.

However, because I am so bloody determined to get this debt down without IVA etc, I am focussed and I am throwing everything I can at it from all angles. The result is that I could be debt free in less than 4 years! There is light at the end of the tunnel.

Please do the snowball calculation. Please speak to CCCS etc, even if just to rule them out, and please write down what you are spending - this could be the key to your future, rather than the interest rates you are being charged.

You will get there, but it is not an easy fix. I know you are not expecting an easy fix but everyone here is here to help and to give you the benefit of what they have already found to be successful or not.

Good luck.

John4702

I came on here for ideas/advise.

I am aware of my position but and am looking to tailor a solution to fit my mind set and life.

An IVA is not an option for me.
Bankruptcy is not.

Selling up and renting is an option thus reducing debt to 30K
Remortgage and insuring i have the lowest apr across my debt is an option. EG 180K at 6-7 percent.

All anyone has said is pay it back ad dont move it to mortgage. If i lost my job i am not going to be able to pay 110K mortgage let alone 150K so where the debt is, is really irrelivant. It is relevant how ever when its on high apr credit cards and not low apr mortgages.


The only question left to ask is has anyone managed to ring a creditor and get the interest frozen when they have no defaults?

Like hello sir/madam i have x on this card and i am considering going bank rupt. Are you willing to freeze the interest so i can pay it back and not go bankrupt.


Thanks for all your advise and i hope i havent rubbed to many people up the wrong way but for now i will continue to live in my slightly warped bubble. Yes I have a problem, yes i have had a light bulb moment but is the run of the standard ways of sorting for me. Well no, at least not until i have explored all the other options that i can think of, whch do not seem to be apparent to others on this forum.

lonely_2

Hi John

I think you should consider doing an full and final settlement offer to your creditors within an IVA. Yes, you will have to sell up or remortgage but at least you will have paid off the debt in full with what you can CURRENTLY afford, leaving you to concentrate on your lifeplan. And, yes, I work with contractors in the IT/financial sector and they earn a fortune - so good luck. Finebridge are a reputable IVA company I talked to when I was thinking of going down this route myself - they won't push you anything but they will give you the facts.

lonely_2

I just saw that an IVA is not an option for you. I'm not sure you can make a full and final settlement offer outside of an IVA - you should look into it. Try the UK insolvency helpline website. They have a section on this topic.

John4702

Hypno06.

Thanks for the info, you seem to be in the same mind set as myself.

My main reason for ending up here is lak of income then general overspending. Also i paid for a divorce and kept the property 3 years ago.

Now my life has changed, turned around. Better job and second income.

All of a sudden "my" income gone from 1200 to 2550, with girlfriends input.

This has happened in a matter of a year.

U may now be able to see how i have over spent, just general life for six years and also the decsion to keep my home when my wife left me, even tough i new i was gamberling. Outgoings were alot more than incomings when wife left but i still choses to keep my home. Silly but kept me saine at the time. MY HOME lol.

Any how, may i ask u a question.

How much are u able to throw at your debt a month? Thats if u dont mind answering? And waht do u do for a living as u seem to be taking big chunks off each year.

saffronflowers

I really dont think you have had a lightbulb moment, what you seem to want to do is maintain the debt at the lowest apr possible.

As they say you can ony ask, they may say yes! But where will this lead, to you addressing a serious spending habit, or maintaining a lifestyle way beyond your means.

There is no easy way out of debt, it is a long hard road to pay off your creditors. Even at frozen apr it will take you nearly 6 years to pay it off.

May I ask you a question - does it not scare you witless the size of your debt? I have sleepless nights about my husbands £6,000 debt and am doing everything in my power to pay it off as quickly as possible.

SFx

hypno06

John4702 wrote: »

I came on here for ideas/advise.

I am aware of my position but and am looking to tailor a solution to fit my mind set and life.

You asked for ideas and advice and that is what I see you getting.

It is always your decision whether you choose to take the advice offered, but at the end of the day we are only trying to help.

I wish you well.