Consolidated my debts

k1dda

Long time lurker of these forums I've not posted for years, thought I'd come on and share some thoughts....

I'll start by saying I'm 28 and have lived either at home or for a nominal rent forever, but have always ran unsecured credit to a high level since I was 19...stupid I know. I've just consolidated a loan (which itself was a consolidation loan) with some credit cards (now cancelled) to the tune of £17k. I've been on this merry-go-round of nice cars, nights out, meals out etc without a thought for putting some money to one side for as long as I can remember. I've worked since I was 17 and although my wages have varied over the last few years I've generally earnt £25k+ but have finally in the last 6 months addressed my relationship with money. It turns out all this time buying stuff hasn't made me happy, nor has the nice cars or nights out every weekend!

I've never missed a payment on anything and this loan has given me what I feel is a fantastic opportunity to put to one side the difference that I've been paying which will get my savings up. Whether I choose to pay the loan off early with it or just concentrate on a mortgage deposit I'll have exactly that...a choice with what to do with saved money rather than Barclaycard sponsoring everything i do!

Its taken me nearly 10 years to understand my relationship with money has been an abusive one, my message to anyone in their early 20s is simply don't spend money that's not yours. If I'd have been more sensible I could have easily saved 20k and would be buying a house now rather than starting to save now!

DaveL84

I would very much agree with this, I am 29 and when I was younger would be out 5/6 nights a week and have nothing to show for it but a load of different hangover cures.


I now have around £26k debt, but do have a mortgage and I know buying stuff for my flat has increased the debt over the years.


But now you have had your LBM it is time to knuckle down and if you can with your loan, overpay and aim to be debt free by 30!


Good luck

blisteringblue

Good luck to you, I personally don't think consolidation works unless you address the underlying issues, ie the spending.

We have all done it though, me included, I've consolidated as loans and even on the mortgage thinking this is the time, and still run up the cards.

If this really is your moment and you have already got the loan then cut up the cards. You do not need them, and honestly hand on heart if you don't you are likely to be here again in a couple of years, with the loan and the cards.

Believe me, been there and bought several T-Shirts.

k1dda

Thanks for your replies, @blisteringblue I agree it doesn't work without addressing the spending issue, this is my 3rd consolidation loan but this time I actually realise I need to look at what I'm spending and not use the cards. They've been paid off and I've not actually had a card for any of them in over 12 months so can't spend on them anyway!

Without taking this too deep I'm now really happy in myself now I've settled down with a steady gf and take pleasure from walking my dog not blowing money on nights out every weekend! Whereas previously I was working too hard and not enjoying the simple things which got me into the spiral of spending!