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Callingjonny

Hi.
To cut a long story short we are 17K in debt on credit cards which is costing around £400 per month in minimum payments.
Already have three loans total of £480 per month which will reduce to £333 as one loan finishes in December.
Spoke to mortgage provider about a secured loan to pay off credit cards but don't think they were that positive as they said we might find it touch and go to get the valuation on the property to ensure that all borrowing is 75% of the valuation of the property but they did not rule this out.
The adviser then suggested that we look at possibility of cashing in our endowment to see if we could pay off debt and change our mortgage to all repayment as its part repayment and part interest at the moment.
We discovered that the mortgage will be £190 extra per month however as we will no longer be paying £103 per month to the endowment the extra would only be £87 per month.
I returned home and contacted my policy provider and was happy to discover that the valuation as of yesterday was £17300 just what we need for the credit cards.
If I go ahead I would no longer be paying £400 per month minimum payments but just £87 to my mortgage so being £313 per month better off.
To be honest I did not want to cash in the endowment but see no alternative, any advice would be greatly appreciated....Thanks

bettyruth

Hi,
I have a bank loan with approx 10,000 left to pay, credit cards just under 4,000 and various catalogue payments, overdraft of 2,000.... I have hidden these debts from my husband, as well as myself.... I am making min payments, and never missed paynent on bank loan.... but every month is getting harder, and I never have money for unexpected things...so end up getting deeper into debt..all the debts are in my name...and I dont want to involve him in anything...

To cut a long story short.. it finally came out last night.... I feel so embarrassed and ashamed... my partner is very good with money, and pays all bills.has no credit cards.. so this makes me feel even worse... I dont know how i got here...well I do, stupidity obviously... I need help, and have been on this site all day... I can see people being positive, and it gives me a little hope... I just dont know where to start..he is very angry with me, I just cant see a way out of this...

Woodypuddy

bettyruth wrote: »

Hi,
I have a bank loan with approx 10,000 left to pay, credit cards just under 4,000 and various catalogue payments, overdraft of 2,000.... I have hidden these debts from my husband, as well as myself.... I am making min payments, and never missed paynent on bank loan.... but every month is getting harder, and I never have money for unexpected things...so end up getting deeper into debt..all the debts are in my name...and I dont want to involve him in anything...

To cut a long story short.. it finally came out last night.... I feel so embarrassed and ashamed... my partner is very good with money, and pays all bills.has no credit cards.. so this makes me feel even worse... I dont know how i got here...well I do, stupidity obviously... I need help, and have been on this site all day... I can see people being positive, and it gives me a little hope... I just dont know where to start..he is very angry with me, I just cant see a way out of this...

Hi Bettyruth, I really feel for you I really do. I was sat in exactly your position 6 weeks ago. 55k in debt and my husband was oblivious - thought everything was great as we both have decent jobs. I finally realised I couldn't go on and didn't have a clue where that months minimum payments were coming from (totalled over a thousand). Borrowing from Peter to pay Paul. I then saw National Debtline advertised on the news, I poured my heart out in an email to them. Basically that was my lifeline and the turning point. I then decided to tell my partner all. Definitely the hardest moment. He was very upset. The next few days were even worse as it was like delayed shock. I am telling you this as 6 weeks on and I am in a much better place. I have my sanity back and I can sleep at night. I can also genuinely smile now without all the guilt. We worked out a realistic budget and I start my DMP today through Step Change. I am paying around a quarter of the amount I used to pay and We got through the whole of February with no credit on our revised budget. 4 of my 6 creditors have agreed to the plan and frozen interest. Still waiting to hear from the other two but fingers crossed. What I can say is that you have admitted the problem and now it is about moving forward and sorting it out, not looking back. My DMP is for 14 years but I am now in a much better place than I ever was. Hang on in there. Give SC or National Debtline a ring and they will talk you through your options. X

bettyruth

Thank you so much for this woodypuddy, It has made me cry... I will do as you advised so fed up having sleepless nights. He is still not really speaking to me...mabey if I can show him I am taking steps to sort it, it might be better.... thank you once again x

ffjohn

Hi

I have been in an IVA with Grant Thornton for 2 years and have just received a tax bill for £32k for the year 2011/2012 can this go into the IVA or does it have to be paid separately. I will ask Grant but just wanted an independent view first.

Many thanks for your help

John

Former_StepChange_Rachel

Callingjonny wrote: »

Hi.
To cut a long story short we are 17K in debt on credit cards which is costing around £400 per month in minimum payments.
Already have three loans total of £480 per month which will reduce to £333 as one loan finishes in December.
Spoke to mortgage provider about a secured loan to pay off credit cards but don't think they were that positive as they said we might find it touch and go to get the valuation on the property to ensure that all borrowing is 75% of the valuation of the property but they did not rule this out.
The adviser then suggested that we look at possibility of cashing in our endowment to see if we could pay off debt and change our mortgage to all repayment as its part repayment and part interest at the moment.
We discovered that the mortgage will be £190 extra per month however as we will no longer be paying £103 per month to the endowment the extra would only be £87 per month.
I returned home and contacted my policy provider and was happy to discover that the valuation as of yesterday was £17300 just what we need for the credit cards.
If I go ahead I would no longer be paying £400 per month minimum payments but just £87 to my mortgage so being £313 per month better off.
To be honest I did not want to cash in the endowment but see no alternative, any advice would be greatly appreciated....Thanks

Hi there CallingJonny, thanks for posting.

I can appreciate why you would be reluctant to cash in the endowment to clear these debts. Before you make any concrete decisions on that front, I think it would be a good idea to get some free advice on the debts you’ve mentioned. We can help you put together an action plan to make the payments more manageable. All of our advice is confidential.

In order for us to help, we will need to take a look at your budget. You can either provide your details anonymously via our online advice tool Debt Remedy - http://www.stepchange.org/msehelp

You can also arrange a callback to go through your budget over the phone with one of our advisors - http://www.stepchange.org/Contactus.aspx

Hope this helps

Best regards

Rachel

Former_StepChange_Rachel

bettyruth wrote: »

Hi,
I have a bank loan with approx 10,000 left to pay, credit cards just under 4,000 and various catalogue payments, overdraft of 2,000.... I have hidden these debts from my husband, as well as myself.... I am making min payments, and never missed paynent on bank loan.... but every month is getting harder, and I never have money for unexpected things...so end up getting deeper into debt..all the debts are in my name...and I dont want to involve him in anything...

To cut a long story short.. it finally came out last night.... I feel so embarrassed and ashamed... my partner is very good with money, and pays all bills.has no credit cards.. so this makes me feel even worse... I dont know how i got here...well I do, stupidity obviously... I need help, and have been on this site all day... I can see people being positive, and it gives me a little hope... I just dont know where to start..he is very angry with me, I just cant see a way out of this...

Hi there bettyruth, thanks for posting.

I’m very sorry to hear you’ve been having a difficult and stressful time with regards to these debts. Rest assured that we’ll do all we can to help.

I know it sounds easy for me to say, but please don’t be too hard on yourself in regards to accruing these debts you’ve mentioned. People find themselves struggling for myriad reasons, and it can happen to anyone regardless of their financial situation.

I think from what you’ve told us, it would be a good idea to get some free and impartial debt advice on your situation. There are always options available to you, no matter the number of debts or amount of money you owe. We’ll help you put an action plan together to make these debts more manageable for your current circumstances. We can also advise you without involving your partner.

There’s two ways you can seek long term debt advice from us:

Our online advice tool Debt Remedy can help you put together a budget anonymously in just 20 minutes: http://www.stepchange.org/msehelp

You can also request a free callback from one of our friendly advisors: http://www.stepchange.org/Contactus.aspx

You’ve taken the first step to dealing with your debts, and we will support you for as long as you need it.

Best regards

Rachel

Former_StepChange_Rachel

ffjohn wrote: »

Hi

I have been in an IVA with Grant Thornton for 2 years and have just received a tax bill for £32k for the year 2011/2012 can this go into the IVA or does it have to be paid separately. I will ask Grant but just wanted an independent view first.

Many thanks for your help

John

Hi there John

Your IVA with Grant Thornton is legally binding. Only the insolvency Service can advise you apart from Grant Thornton while the IVA is active. You can find their contact details here: http://www.bis.gov.uk/insolvency/contact-us


Best of luck

Rachel

fabz

Hi,

I have an account with TMOBILE which went into default 20 months ago. I tried to pay the debt the other day they told me they couldn`t process the payment since the debt was sold to an agency called Westcot DCA, rang them up today to pay for it, got told they don`t have any records of my debt on their data base and tey wouldnn`t take the payment. What to do now if neither companies are willing to process my payment and amend my credit file?
Is there any company i could contact to help me with this matter?
Thank you.

runforlife

Callingjonny wrote: »

Hi.
To cut a long story short we are 17K in debt on credit cards which is costing around £400 per month in minimum payments.
Already have three loans total of £480 per month which will reduce to £333 as one loan finishes in December.
Spoke to mortgage provider about a secured loan to pay off credit cards but don't think they were that positive as they said we might find it touch and go to get the valuation on the property to ensure that all borrowing is 75% of the valuation of the property but they did not rule this out.
The adviser then suggested that we look at possibility of cashing in our endowment to see if we could pay off debt and change our mortgage to all repayment as its part repayment and part interest at the moment.
We discovered that the mortgage will be £190 extra per month however as we will no longer be paying £103 per month to the endowment the extra would only be £87 per month.
I returned home and contacted my policy provider and was happy to discover that the valuation as of yesterday was £17300 just what we need for the credit cards.
If I go ahead I would no longer be paying £400 per month minimum payments but just £87 to my mortgage so being £313 per month better off.
To be honest I did not want to cash in the endowment but see no alternative, any advice would be greatly appreciated....Thanks

You say that you will be £313 better off but do you have a repayment plan to pay off your mortgage? Will you continue to use your credit cards, you know "just for emergencies"? Consider how much it would cost to change the repayment vehicle of the mortgage.