Best Way to clear my debt

Mach4

Graham

Smaller brokers dont check at least they didn't a few years ago. Insurance companies don't check.

Its your choice at the end of the day but learning to drive is an expense you cant afford rght now, because you definitely cant afford to run a car. Your debt is actually really small. Start earning half decent money and really deprive yourself for 6-9 months and it will be cleared. Dont do this and it will hang over you for the nxt decade.

You need to make some hard sacrifices now to sort yourself out

graham2335

Mach4 – if my debt is small, and with driving I will hardly clear it, I don’t pay any bored so can afford driving, how do people clear debt of 100k.

If I save up a lump sum is that the best way, and what sacrifices can I make, I only spend £5 a week on food and have to pay my phone contract, and driving.
That’s all the money I spend, obviously other essitenll less like razors.

That’s it once in a a month or two may go out.
Even if I did that which I am and was working full time and manged to save £600 a month that’s £5400 in 9 months debt still won’t be clear.


The only reason I want to work in a bank is for the insane amount of money you can earn, and I don’t mind working 12 14 hour days for that kind of money.
I know bankers work hard, and I’m sure you have to be reasonably intelligent but that’s just like any job.

The reason I want to move London is that anything you want to do you can do there, where in my city there’s alot less things and lot less people. Also more job opptunites in London

Mach4

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graham2335 wrote: »

Mach4 – if my debt is small, and with driving I will hardly clear it, I don’t pay any bored so can afford driving, how do people clear debt of 100k.

If I save up a lump sum is that the best way, and what sacrifices can I make, I only spend £5 a week on food and have to pay my phone contract, and driving.
That’s all the money I spend, obviously other essitenll less like razors.

That’s it once in a a month or two may go out.
Even if I did that which I am and was working full time and manged to save £600 a month that’s £5400 in 9 months debt still won’t be clear."

Graham you have debt of around 7k.
Saving £800 a month for 9 months would clear it.

On a half decent salary of £1200 plus take home that is doable with no car and no rent.

People who clear a 100k debt earn a lot more or do it on a mortgage at 3% interest over 25 years. If you had a 100k unsecured debt I'd advise bankruptcy.

Very few people earn big money in banks. Those that do have never had periods of unemployment as have either been workingin good jobs/ doing goodinternships/ been at top universities. You aren't them and won't ever be. I'm not either but I make good money so I dont worry about it!

graham2335

Mach4 – what do you do, I just want to make good money
I am currently on £7.00 a hour, it took me 4 months to get this job.

Are there any benefits to clear ever single penny, instead of doing full and final settlement and saying clear 70%.
Is there anyway any of it can get written off?

Mach4

graham2335 wrote: »

Mach4 – what do you do, I just want to make good money
I am currently on £7.00 a hour, it took me 4 months to get this job.

Are there any benefits to clear ever single penny, instead of doing full and final settlement and saying clear 70%.
Is there anyway any of it can get written off?

Graham I'm an accountant.

When I finished my masters I had £17k of debt which I managed to service for 6 months whilst earning £6.50 an hour. I never missed a payment. I was paying rent and ran a car (unlike you needed it for the !!!!!! job). I basically didn't drink didint go out, hardly ate until I found a better paying job.

That is why I consider your debt small and manageable even on a low salary.

There are literally thousands of career paths you can go down that will make you good money. Banking is only one that is blocked off to you.

There are advantages to paying off the debt in full yes. You took the debt you should pay it. But to be honest if you get offerred full and final payments or have the money to offer them then I would go for that.

Paul

DeltaWing

graham2335 wrote: »

In terms of car, I think it’s a good future investment as I know if I don’t get it done now I never will and I never know if or when I may need one.

Right now, learning to drive is a luxury, not a good investment. You've lasted this long without driving, ou can last another year.

What IS a good 'future investment" right now is clearing your debt. That's something you need right now, it's going to do you more good than something which will be useless to you for a long while yet- if you passed your test tomorrow, what then? You can't afford a car, so there's little point.

Your debt is not big; take it from me, the benefit of getting it cleared sooner rather than later cannot be underestimated. Quit the lessons, clear the debt, then go from there.

graham2335

Mach4 - that a really good job, i wish i knew what i was good at i just have a-levels no degree.

Apparently a full and final setllemt goes on your credit file as partly settled pr satisfied,not fully paid.


Well as some of the debt was bank charges, which I don’t believe in as that bank should not let you go overdrawn..

Is there any disadvantage to full and final settlements?

sadclown

Mach4 wrote: »

Sorry to be bearer of bad news. I doubt you will ever work in a bank with your debt history.

You will be able to get a mortgage but only in 6 years once this is off your credit rating (presuming you get on top of it now)

Id tend to disagree with this. Im also an accountant whos managed to get a job in the city with one of the top banks despite having two defaults on my record (ive eleven in total)with that particular bank, the recruitment consultant even advised against mentioning it as they are only interested in CCJs and bankrupts.

The best advice i'd give if you want to get into a bank is to try and pick up some kind of finance/accounts qualification, AAT may be useful if you've no financial background as you can train on the job pretty much picking up the basics.

Mach4

sadclown wrote: »

Id tend to disagree with this. Im also an accountant whos managed to get a job in the city with one of the top banks despite having two defaults on my record (ive eleven in total)with that particular bank, the recruitment consultant even advised against mentioning it as they are only interested in CCJs and bankrupts.

The best advice i'd give if you want to get into a bank is to try and pick up some kind of finance/accounts qualification, AAT may be useful if you've no financial background as you can train on the job pretty much picking up the basics.

Always happy to be corrected especially when its good news! I thought all banks did an enhanced credit check for employees and turned anyone down who wasnt kosher. Had a friend turned down for a callcentre job because of some defaults. But obviously not all are the same

Mach4

graham2335 wrote: »

Mach4 - that a really good job, i wish i knew what i was good at i just have a-levels no degree.

Apparently a full and final setllemt goes on your credit file as partly settled pr satisfied,not fully paid.


Well as some of the debt was bank charges, which I don’t believe in as that bank should not let you go overdrawn..

Is there any disadvantage to full and final settlements?

The disadvantage is the one you mention. But to be honest if you havent been paying your debts for a while your credit file will be trashed at the mo anyway.