Not sure what to do next..any advice please

jj33_2

Hi all i am new to this site but what a site it is, theres so much great help on here, seemed like i was alone till i found this site.

Not sure if anyone can help but my problems started when i owed some money and took out two loans with very high interest. I was not thinking at the time and now feel i may have let myself get in trouble and am worried about loosing my flat that took so log to get.

I earn £11OO a month

my outgoings are about

£103 a month Everyday loans £2200 over 3 years
£133 a month Welcome Finance £2500 over 3 years
£750 mortage + council tax and bills
£90 Barclaycard £3500 balance minimum payment
£30 Halifax card £1500 balance minimun payment
£56 a month travel
£100 a month food etc

I never have enough money at the end of the month and end up getting late payment carges. Do credit card companies hold your account for a few months if you write to them or is this a waste of time.

I have been told about putting all my debts into one payment but don't really understand it. I have not got behid on my mortage payments yet but that's one thing i really do not want to do. I was also told that loan companies can get a bit funny about you putting your payments into one if you have not had your loans long, is this true. I will end up paying back double on the loans due to the high iinterest rates i feel so stupid to have done this.

Any advice would be great.

jj33_2

Thank you for your reply i really have nothing to sell.

I am also in my overdraft £250 so nohig there i really am at my limits with spends.

£750 is as follows
£400 Flat interest only
£70 council tax
£43 sky
£10 internet
£30 mobile
£15 house phone
£40 electric
£50 gas
£15 water rates
£15 i think tv licence
£30 flat insurance
£10 pet insurance

Both my loans are over 3 years and are 45apr.

Thanks againfor the reply.

jobbingmusician

Most important, is that 'putting all my debts into one payment' usually means taking out a consolidation loan where you take a big loan from one company, use it to pay off all your loans from the other companies, and pay back this loan after the next very long time (anything up to 25 years). BAD IDEA!

It looks to me as if you owe about £10,000. Honestly, the best thing to do is to go to see your local CAB for advice. They are likely to advise you about how to negotiate with the people you owe money to. Your are perfectly right that you can't afford all these repayments out of your salary - what is likely to happen is that the creditors (people you owe money to) will understand this when the CAB tell them. Since your creditors would rather have SOME money rather than none, CAB or whoever will work out with you what you CAN afford to pay and work out a schedule with you. This will also involve considering whether they will freeze the interest on your payments - this would really really help you as you are on 45% APR :eek:

(PayPlan or CCCS are also possibilities instead of the CAB but I'm not sure you owe enough for them to take you on. Someone who knows more than I do will doubtless be along in a moment to confirm or deny this!)

You've certainly come to the right place to get some good advice and sort yourself out. Don't panic - lots of people on here have successfully managed to get themselves out of situations like yours, and worse. All the very best.

CLAPTON

can you increase your income ... get a part time job and/or let a spare room?

jj33_2

Thank you all for your advice i have just looked on payplan have heard they are quite good. They have some letters on there that i can send to my credit card company to ask if i can pay a reduced amount until i grt a bit more sorted out.

I have changed my Sky package from next month and am waiting to see if i can get my broadband through them.

Need my pet insutance as had to pay out £700 5 months ago when my cat gotin a fight can't pay that again.

Went on uswitch but they came up with British gas who i am already with i need my bolier and electrics looked at but that will have to wait for a while nomoney to get them checked.

I have to have the insurance i am with as that was the condition that came with my flat under the lease holder so nothing i can do about that.

I am going to wait for payplan to contact me but after reading some other threads i see that with my loans etc as i have only had them a couple of months they can get a bit funny, is this true should i wait a while a try and cope befroe i contact them.

Thanks again you have all been great.:A

whatatwit

Hi, can you try and reduce your mobile?

Also start to keep a spending diary, this will help you to identify where you are spending un-necessarily...the odd coffee or sandwich at lunch.

Have a look at the Old Style board, there are menu plans and some great meal ideas for literally pence.