Is a remortgage the answer?

Mrpondlife

Wonder if I could ask for some opinions/advice on my current 'prediciment'..

My wife and I were in £42K's worth of debt (CCards, loans, catalogues) but we spoke to the CCCS and are currently using their debt management service (really is wonderful can't recommend them highly enough!:T ) anyway, we now have our debt down to £31K after approximately 2 years. If we continue the way we are going its going to take at least another 4 years to clear it all. :eek:

We live to a strict budget and I do private work (I'm in IT) and sell anything I can lay my hands on on Ebay to get us extra cash so we can 'live' a little. (actually buy the kids new clothes, shoes for school etc)

With growing kids, a car that's almost had it (but I have to have one for my job) and an increase in the mortgage rates (again! :mad:) things are very very tight

My wife has had an idea that might free up some of our money. Her idea is by the end of next year we will owe approx £20k - £17k and we could maybe get a 'remortgage' (our current mortgage was taken out before 'our troubles' and is a repayment. It cost us around £900 p/m at present) and add the remaining £20-£17k onto that, therefore allowing us to pay the CCCS the remainder of our debts therefore 'moving' the remaining debt (in therory) to the mortage. Therefore leaving us 1 debt, the mortgage.

We were wondering what others thought of this idea/solution?
What mortgage companies people could recommend that might help people like us?
Are there any car sales companies that anyone recommends to use to get a reasonably priced car from that isn't going to cost the earth?

Sorry for the length of my first post but my wife insisted I get it all down

Thanks for any help/advice anyone can give.

immoral_angeluk

Mrpondlife wrote: »

My wife and I were in £42K's worth of debt (CCards, loans, catalogues) but we spoke to the CCCS and are currently using their debt management service (really is wonderful can't recommend them highly enough!:T ) anyway, we now have our debt down to £31K after approximately 2 years. If we continue the way we are going its going to take at least another 4 years to clear it all. :eek:

My wife has had an idea that might free up some of our money. Her idea is by the end of next year we will owe approx £20k - £17k and we could maybe get a 'remortgage' (our current mortgage was taken out before 'our troubles' and is a repayment. It cost us around £900 p/m at present) and add the remaining £20-£17k onto that, therefore allowing us to pay the CCCS the remainder of our debts therefore 'moving' the remaining debt (in therory) to the mortage. Therefore leaving us 1 debt, the mortgage.

So you turn an unsecured debt which will take you 4 years to pay off... into a secured debt that'll take 20?

I know which I'd prefer...

mjdh1957

I agree with immoral angel. Securing your debt isn't usually a wise thing to do. And as with any form of 'consolidation', the temptation is to run up debts again until you end up in a worse situation than before (I speak from experience here by the way )

RAS

Hi

First can you check with www.entiteldto.com to make sure that you are getting all you should be?

Secondly, if you post up an SOA, please can see if there are any areas where you could save, or perhaps get the same but pick up a cashback via quidco for example.

Mrpondlife

RAS wrote: »

Hi

First can you check with www.entiteldto.com to make sure that you are getting all you should be?.

That link doesn't work??

RAS wrote: »

Secondly, if you post up an SOA, please can see if there are any areas where you could save, or perhaps get the same but pick up a cashback via quidco for example

Sorry whats SOA?? and quidco??

I take what you say about the secured loan etc but we will not be moving for years and years and will have a mortgage for ever probably!:D

I think its just a case of the wife and I would so like to be able to have some money rather than giving it all away all the time. Its like all the hard work is for nothing. The worst thing is telling the kids "you can't have that sorry" almost all the time we go out..anywhere :sad:

I also read another post where someone mentioned that the company's in a DMP don't have to suspend the interest. If that was to happen to us we'd be in a mess again, so that also makes the idea of moving the last bit elsewhere you see?