Debt Consolidation Loan with Halifax

runforlife

If you do go down the consolidation route you MUST destroy your credit cards and cancel them. If not you could easily use them again (you know, keep 'em for emergencies like a new boiler, washing machine broken, fancy a decent night out and a meal because we've been scrimping for so long…) and before too long you are back where you started except then have a large loan too. I speak from experience.

[Deleted User]

In my experience do not do it!! you will be paying them a huge amount of interest over the three years which could well be in your own pocket.

Find the debt with the largest interest and throw everything at that until its paid off just keep the other debts to minimum payments or try and switch to to a 0% card with a long time at 0% Cut the card up as soon as you get it so you will not be tempted to spend on it. Once the first debt is gone then start on the next one. It will not be easy, I too know from experience, its a long slog.

As the others say post your SOA and let those that know run their eyes over it to see where you might find extra money from to throw at your debt.

[Deleted User]

The other thing to watch for, if you do go down the consolidation route is when, a year or two down the line, a bank manager (either your own, or another one) says:-

"We can do you a loan, which will pay that one off, and reduce your monthly payments."

tocca_2

We have already ripped up all the credit cards. Problem is we just feel like we are getting no where in paying everything off. We both feel we should just get it into one payment and get it done asap. We want to move and i cant see us getting a new mortgage on another property with credit like ours. With a big loan no matter what its paid then. Because at the moment whenever we start paying overdrafts off we end up usingthe money on other stuff..

tocca_2

Just to update, we needed a 24000 loan to consolidate everything and we got it. Much happier now with a good plan and an ending date. Thanks all for the advice

dumpyboy

Well done is it with the halifax

tocca_2

Yes, went in there with everything laid out on the table. Gave them an idea of what we could afford. It got referred to underwriters, had a chat with them and all sorted. Rang up and paid everything off today, just going to hammer the loan now with overpayments when we can.