Debt Consolidation Problems

Tixy

Trickyuk wrote: »

Should I be looking at IVA's or bankrupcy?

I'd have thought on your salary and with a family it would be very hard to keep up with payments on that level of debts in the long term.
Worth talking to one of the charities, they'll talk you through the various options including those or perhaps a DMP.

IMPORTANT - Where to seek professional impartial advice about your debts.

Trickyuk

DCFC79 wrote: »

Reduce your bills, food bills, mobile phone contract, tv/landline/internet package.

All done or recently done in the past 6 months.

rolls99

Set the loans you have aside for a second:

How many credit cards do you have, and what are the balances on each?

What is the cost of paying these as a percentage of your total monthly payments (loans included)?

Trickyuk

rolls99 wrote: »

Set the loans you have aside for a second:

How many credit cards do you have, and what are the balances on each?

What is the cost of paying these as a percentage of your total monthly payments (loans included)?

I have 2 credit cards, 13k on 1 and 9k the other.

I pay £310 on my loan and £380 and £180 on the cards

rolls99

OK.

Have you tried applying (soft search) for any 0% BT Cards?

I would suggest attempting this for your £9k card initially just to see what happens (Barclaycard or Nationwide).

If this is an option, then at the very least you'll be able to pay one of the debts down and achieve a month with no (or very reduced) payment which will save you a little bit in the interim.

Are you able to use your cards or are they maxed out/frozen?

Trickyuk

rolls99 wrote: »

OK.

Have you tried applying (soft search) for any 0% BT Cards?

I would suggest attempting this for your £9k card initially just to see what happens (Barclaycard or Nationwide).

If this is an option, then at the very least you'll be able to pay one of the debts down and achieve a month with no (or very reduced) payment which will save you a little bit in the interim.

Are you able to use your cards or are they maxed out/frozen?

Tried the soft searches and got refused in all cases.

The cards have been frozen as I rejected APR increases.

rolls99

Trickyuk wrote: »

Tried the soft searches and got refused in all cases.

The cards have been frozen as I rejected APR increases.

OK: and if this is the same for loans then for anything unsecured, this then isn't an option.

Do you have any leeway on the cards at the moment: are you simply paying the minimums?

If you've access to your statements - by how much did the actual debt on the cards reduce by last month, and how much did the payment reduce by assuming it's not a fixed amount?

Cycrow

im not sure any kind of credit would be possible due to how much you already have.

How long do you have left on the loan ?
as once thats finished, it'll free up the £300 to put towards the credit cards, so once that happens, it'll start help to clear them.

do you own a house/mortgage ?
as if so, bankruptcy might not be the best way to go

Trickyuk

rolls99 wrote: »

OK: and if this is the same for loans then for anything unsecured, this then isn't an option.

Do you have any leeway on the cards at the moment: are you simply paying the minimums?

If you've access to your statements - by how much did the actual debt on the cards reduce by last month, and how much did the payment reduce by assuming it's not a fixed amount?

I am paying the minimum on both cards which to be fair is all i can afford. I dont have the figures to hand but the 13k debt is 50% interest, the other one is more like 80% interest.

rolls99

Trickyuk wrote: »

I am paying the minimum on both cards which to be fair is all i can afford. I dont have the figures to hand but the 13k debt is 50% interest, the other one is more like 80% interest.

Are these cards High APR ones? Have you had late payments or charges?

Short of trying for a secured loan on any property, you've no option for credit at the moment - and, your loan is fixed payments with presumably a while to run.

It will seem far from this just now: but the cards WILL come down.

The question is, at the moment, do you think you could handle things for another three or four months?