£51000 in debt and growing

apear2die4

As the title suggests not a great situation. Unfortunately for me I work in Financial services. So if I end up with a bad credit history bang goes the lively hood.


Any suggestions


Thanks :j

VH

If you post a more detailed breakdown of the debts (with interest rates), your outgoings, incomings, etc., this will make things easier to advise on.

Debt_Free_Chick

apear2die4 wrote:

As the title suggests not a great situation. Unfortunately for me I work in Financial services. So if I end up with a bad credit history bang goes the lively hood.


Any suggestions


Thanks :j

Unless there is some other reason e.g. illness, divorce etc then you have effectively spent £51,000 more than you've earned. Only you know over what period, but it matters not.

You have no options if you want to avoid any damage to your credit record. You will have to rein in your spending. Not only will you be limited to spending ONLY what you earn, but you will have to curtail all your expenses to free up money to pay off your debts. You could consider a second job e.g. bar work and/or selling stuff on eBay.

Not clear why you think your job is threatened with a poor credit history. Does your employer credit check you now & then?

In order to give more constructive advice, we need to see your budget including details of your debts i.e. amount outstanding, credit limit, min repayment, APR and, if a loan, the term.

We can make suggestions, but you need to prepare yourself for a massive change in your spending habits - you need to chuck serious amounts of money at your debts, each and every month, if you are to pay this off. Apologies, not a telling off - just stating the bl**din obvious!

Crown

Can you give any details of your debt. Im afraid there isnt much for anyone to advise you on without knowing the Loan, Credit Cards Rates and Terms ect.

Also details of your present income and outgoings would help

Fran

Have you read Martin's Info? You could go to one of the free debt advisors, eg. Citizens Advice Bureau are not allowed to disclose that you have visited them, or you could go to a neighbouring area perhaps where people don't know you if that worries you? Or you could get a self help pack from them or one of the other agencies (links at the bottom of M's info).

Debt_Free_Chick

Fran .. the only potential problem with a Debt Management Plan is that they are classe as "coming to an arrangement with your creditors", so they result in an entry on your credit record. Apear2die seems to think he will lose his job, if his credit record is affected (but I am not yet convinced).

Otherwise, you're right - he needs a plan, just not one that negotiates any change to the existing terms of the debt.

HTH

Fran

Right DFC, so it could be a problem, is that definite then? (I hadn't seen your post when I posted - must be quicker!)

a2d4,
Just a thought but is there some reason eg. gambling why you've got this debt?

Debt_Free_Chick

Fran wrote:

Right DFC, so it could be a problem, is that definite then? (I hadn't seen your post when I posted - must be quicker!)

hello Fran

If one enters a Debt Management Plan, negotiating with creditors for reduced payments, freezing interest etc then some of them automatically issue a default notice. All are entitled to, as the account is not being run to the terms & conditions. So the defaults would appear on a credit record. Even if there are no defaults, the account could be recorded as being in arrears.

What is not clear is why a2d4 thinks their job would be at risk. AFAIK, employers don't routinely check credit records for employees - and, indeed, they can't unless the employee agreed to this.

Think we need more information.

Regards

youngandreckless

Hi,

I'm a total novice in all this and only started posting yesterday, but what I can say is that you've made the first step and that is something to be proud of. There are loads of people here that can help, so post as much and honestly as you can, you'll be set on the right road in no time. It isn't easy, but well worth it!

Young and Reckless x

VH

A lot of companies in the Financial Sector regularly perform credit checks on their employees every few years.

It makes sense to regularly credit check someone who is handling a lot of money or financial transactions. Such checks will generally be more stringent for employees who are higher up in such companies.

It could be viewed that someone with a lot of debt may be more inclined to 'put their hand in the till', so to speak.

Not that I am of course saying the Op would do this, but I can see where the Ops concern for their job is coming from.

Debt_Free_Chick

Thanks VH - that makes sense.

So his employer will already see the debt ... I wonder what difference it would make if the debts had defaults. Perhaps his employer would be more sympathetic if he "fessed up" and didn't leave them to find out from his credit record.

Also, I wonder what type of job he actually does and whether he really has the opportunity to stick his hand in the till or get access to cash from the business. I would have thought that pretty difficult in the current regulatory & risk managed environment.

Hope he comes back ....