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NEW DFW........PLease help if you can

Hello everybody,

A good day to you all.

Am in 10's of thousands of debt due to very personal circumstances. I won't bore you with details.

I have a little equity in my flat so plan on selling it to reduce the size of my debts. At this point in time I am not concerned with being a property owner. Also do not want the burden of my huge mortgage. I can for at least a year go back home........even at the my ripe age.

I wondered if anyone out there had approached their lenders with the suggestion of stopping interest but not reducing the size of loan as the intention is to pay it back in full. I also want to agree an affordable monthly repayment plan.

My idea is to avoid the bankruptcy or IVA route. Has anyone done this and did it work. If so do you have any ideas on how to word this letter ?

If you can help I would greatly appreciate it.

Many thanks

bala

Comments

  • Storm
    Storm Posts: 1,749 Forumite
    Debt-free and Proud!
    Hi Bala :hello: and welcome to DFW!

    Some lenders will suspend interest and charges, but it can take some time to set up (and I have heard at least 1 poster say after they contacted I think it was Egg about reducing payments/interest they increased their apr :eek:)

    Quite a few people on here are on Debt Management Plans (DMP) either arranged themselves or through the non fee-taking organisations (CCCS/PayPlan) where the whole of the debt is being paid off, but without interest & often a reduced monthly rate.

    If you post a full SoA (see SouthernScousers sticky) we'll be able to give you more personal advice - if you're credit rating is good for example then you may be able to transfer some to a 0% or low LoB credit card deal.

    If you're thinking of selling up anyway, will you have loads of furniture etc that you'll be able to sell to raise some extra money?

    Storm
    Total Debt 13th Sept 2006 (exc student loan): £6240.06 :eek:
    O/D 1 [strike]£1250 [/strike]O/D 2 [strike]£100[/strike] Next a/c [strike]£313.55[/strike]@ 26.49% Mum [strike]£130[/strike] HSBC [strike]£4446.51[/strike]@15.75%[STRIKE]M&S £580.15@ 4.9%[/STRIKE]
    Total Debt 30th April 2008: £0 100% paid off!

    PROUD TO [STRIKE]BE DEALING [/STRIKE] HAVE DEALT WITH MY DEBT ;)
  • david_hellier
    david_hellier Posts: 847 Forumite
    SOA please
  • System
    System Posts: 178,222 Community Admin
    10,000 Posts Photogenic Name Dropper
    Hi Helen. Please bore us with the details. Welcome, more help will be here shortly. Lenny
    This is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com
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