Am I gonna lose my house????

Nix143

Help - advice - anything please

Situation is this - I split with my partner and spiralled into depression - ran up debts and am now trying to sort it out. But the more I ring round the more scared I'm getting.

I earn £21,000 - I have a mortgage of £60000, solely in my name, on a house just valued at £125,000. I'm currently advertising for a lodger who will bring in £250 pcm.

I have loan of £5000, credit card of £8000, overdraft of £2000 and I have to pay my ex partner £10,000 - this is non negotiable by the way

Thus I need to borrow £85,000.

I have got no money in the bank with all my direct debits due out today/Monday. I've got a financial adviser coming to see me on Wednesday.

Problem is even tho have owned the house since June 2001 I am not on electoral register as I have always worked away and partner lived mainly in the house - so no record of me being here. I am now in the hgouse permanently but in arrears with council tax, got no money to pay it so can't register!

Have buried my head in the sand for so long and am now panicing that i am gonna have to sell the house after all. Any advice, help, guidance - anything - can't believe I have let this happen and am just on verge of breakdown now.

Please help

Raspberry_Ripples

Hello,

I can't advise on your debt situation, but I will say that the electoral roll is a register of those entitled to vote in local/national elections - it has nothing to do with wether you are up to date with your council tax. You are British Citizen, therefore you have the right to vote.

Go down to your council offices today (if possible) and get your name down!

(I assume you already have the £60k mortage, so you don't need to borrow this again - does it make it any easier to think you only have to borrow £25k instead of £85k??!!)

Good luck.

RR

JasonW_2

Yes, I also done see how you get 85k. 25k is a lot easier to get, and as you have quite a lot of equity in the property, have you asked the bank for this amount? Of course, this will then secure the debt onto your home, but if you cannot get a loan or anything to pay it all, it may be the only option. Just dont go with one of those dodgy companies that advertise on daytime telly

J

ceegee

You are getting scared and panicking because you are trying to sort it out all by yourself and everything is so jumbled up in your head that you can't see any way out. Please try and stop panicking (easier said than done, I know!)

What you need is some good advice from people who know about this sort of thing. Financial advice is available on this site and often people with debts are advised to seek help from National Debtline or the Consumer Credit Counselling service.Their help is offered free of charge. The Citizens Advice Bureau are also free and very helpful.

On the one occasion in my life that I was unable to manage financially (very brief, thank goodness) I found that being totally upfront with my Bank and utility companies was the best approach.They actually wanted to be able to help. Without telling them what my situation was, it would have looked as if I was just ignoring the bills. I would go to the Council and be upfront with them too.

I don't know if any of this is any use to you and I don't know you but I hate to think of you being on your own and getting into such a panic......

ceegee

I have just copied this from elsewhere on the site and hope it is useful.

"Debt Counselling: For those consistently struggling with debts and meeting repayments, free personal help is invaluable. Do it as quickly as possible, the longer you leave it the worse it gets.



It’s really important you avoid any of the hideous evil beasts that advertise debt help or management on the TV or in red top newspapers. They are commercial companies who simply want to make cash out of you, they don't care. While in the short term their plans will make your payments lower, in the long run it'll cost you dear. Avoid them. Don't touch them. Don't go near them. The services I’m talking about are special ones for those consistently struggling with debts and meeting repayments.

The three places I’d recommend are Consumer Credit Counselling Service 0800 138 1111, National Debtline 0808 808 4000, Citizens Advice or visit your local CAB centre. The sooner you talk to them the better. It may help you sleep at night."

NOTE FOR ANY MODS WHO MAY HAPPEN ACROSS THIS POST:

I hope I have not done anything wrong by copying this here! An apology can be provided if need be....it just seemed the quickest way to get the best advice to Nix asap!

chugalug

Can you telephone your bank and get an emergency overdraft. I'm only thinking of the immediate problem of having DD and SO coming out on Monday which will bounce and cost you more in fees. Worth a try. If you can get that sorted follow Ceegee's advice and get some help with the rest. At the moment it doesnt sound as though you are in immediate trouble with your repayments (I mean repossession isnt imminent) so you have time to get help. Once you have someone on your side who can assist you will feel much better. Good luck.

Nix143

Thanks everyone for all your support and advice.

I'm ringing the National Debtline on Monday, plus the bank and have got a financial advisor coming to see me on Wednesday - basically I want to find out what all my options are before committing to anything.

I've spent a lot of time reading the boards and being inspired by everyone on here - thanks be to Martin for starting this up. Have taken time to budget for food, am giving up the fags and basically regaining control of my life rather than expecting it to control itself.

A friend said to me today it's sometimes a toss up between pleasure and happiness - so spending on the credit card gave me pleasure at the time but becoming financially secure, providing for me and my son, not living in fear of the post or the telephone - now that will give me lasting happiness. It's enabled me to see the changes I'm going to have to make not as sacrifices but as the way to get lasting happiness.

Thanks again x

BenL

If you've got no money for your DD's and SO's and the bank won't give an overdraft, cancel the payments straight away.

If you don't have the funds there you will be charged £30ish for each payment and the originators will apply for the momey again in 10 working days time under the DD rules. If you fail again to make the payments more £30 charges.

Don't fall into this trap or it will seriously hamper your chances of sorting out your mess.

If originators call you about the DD's you can be a little sneaky and say the bank messed up and you want to reset setuo the payments.

Ben

deemy2004

yeh, as above cancel the DD's and S/O's immediatly ! See if you can do it online , make a note of the DD details in case you need to set them up quickly later.

mountainofdebt

1.getting help with your council tax...don't know if this can be back dated but as there is at the mo only one adult you can get a 25% discount...see if you can get it back dated as well!

2. get working family tax credits ...or any other form of tax credit help?

3. Not sure what the exact figure is, but I think you can earn £4700 from the rent a room scheme which works out abit more than £250pcm.

4. Get yourself on the electrol roll.

Nix143

Hi

In work and cant ring bank until dinner time (no personal calls plus dont want whole office knowing my business!) and am getting more and more nervous about what to say to them

Any advice on approach to take? Do I
- ask for advice on what to do?
-say I'm seeing a financial advisor and that I will be able to sort it out soon (something I've already told them once!)
- or something else

I have no idea now how far over my agreed overdraft this is taking me and I know that some payments have already been refused. DO I go ahead and ask bank to cancel all direct debits or ask them what they think I should do?

I feel so useless, I'm 35 and have been completely irresponsible and am now scared in case someone gets mad with me or tells me something I don't want to hear - I feel about 10. Except my 10 year old son is financially more responsible than I am. I keep working myself up into a complete state about it all which then stops me acting effectively.