Consolidate??

Davidp77

Hi

Was just after a bit of quick advice about my current financial situation. I currently have about £7000 of Credit card debt split over 3 cards, all at quite low rates as have moved things about a bit to get 0% or low rates until the balance is paid off etc. The only other debt i have is a personal loan which has 5 months to go where i pay £135 a month.

At the moment I am currently paying what i have left of my salary after mortgage, bill etc on to my credit cards, leaving a little in my bank so i can withdraw cash if needed and then trying to cut back where i can so the overall debt has gone down.

However, I have been doing this for a while and the debt isn't really coming down as most months something will come up which means i am more or less back where i started.

I would like to get rid of the burden off the cards but feel my only option is to get another loan to clear them and start from fresh but don't really want to be tied down to another 5 years etc of a big monthly payment. Is there anything else i can do? I don't live a lavish lifestyle and only try to spend when needed but feel like i'm not getting anywhere!!

Any advice/help would be appreciated.

Dave

[Deleted User]

Consolidation is an option, but always an outside chance. People who need to consolidate have normally indebted themselves too far to get antoher loan.

What are your debts and income? I suspect a trip to the DFW boards is going to be your best bet.

Davidp77

Thanks, income is about £1500 after tax but then have outgoings of mortgage etc which come to about £900-£100 so it doesn't give me a huge amount to pay off big chunks at at time.

CLAPTON

Davidp77 wrote: »

Hi

Was just after a bit of quick advice about my current financial situation. I currently have about £7000 of Credit card debt split over 3 cards, all at quite low rates as have moved things about a bit to get 0% or low rates until the balance is paid off etc. The only other debt i have is a personal loan which has 5 months to go where i pay £135 a month.

At the moment I am currently paying what i have left of my salary after mortgage, bill etc on to my credit cards, leaving a little in my bank so i can withdraw cash if needed and then trying to cut back where i can so the overall debt has gone down.

However, I have been doing this for a while and the debt isn't really coming down as most months something will come up which means i am more or less back where i started.

I would like to get rid of the burden off the cards but feel my only option is to get another loan to clear them and start from fresh but don't really want to be tied down to another 5 years etc of a big monthly payment. Is there anything else i can do? I don't live a lavish lifestyle and only try to spend when needed but feel like i'm not getting anywhere!!

Any advice/help would be appreciated.

Dave

without the details it's impossible to say

but if you are already on low interest rates and you are only paying the minimum and you are constantly reborrowing, then sadly the only real option is to cut your spending (or increase income -say parttime job?)

maybe just struggle onwards until the loan is paid off and you have that extra 135 to pay towrds the CCs.

gb12345

You mention that the cards are on low rates (including 0%).

There is no point consolidating the 0% balances as you will be paying interest that you wouldn't need to (although it obviously depends on how long the 0% has left and what they will go to when it runs out).

Also, from your comments about unexpected spending, I would be worried that if you cleared the cards with a loan that the balances would start to crawl up again.

I would echo zx81 comments - post a Statement of Affairs on the DFW board and posters there can give you an idea of where you can cut outgoings.