Excellent Credit Rating, no loan - help!

Foxy-Stoat_3

[Deleted User] wrote:

I clear well over £1k per month, sometimes £2k

You dont earn enough to get approved for an unsecured loan for £18K with £18K worth of debt already.

Try to reduce the highest interest cards first, pay the minimums on the rest and repeat.

Or if there is a particular high interest card, go for a loan to clear that one and try and cut down on your expenses as much as possible.

Pixie5740

Another poster with a fascination with having 1 payment to make each month instead of several. Can someone explain to me what that is all about?

Taking home £1k to £2k indicates that your bank is correct. You cannot afford an £18k loan especially not on top of £18k of existing debt.

Put together a statement of affairs and get yourself over to the Debt Free Wannabe board.

Stop paying for a credit score. There's no such thing as a universal credit score and Experian, Exquifax and Call Credit don't lend money so any score they give you is pointless. That should free up an extra £15 to put towards your debts.

Foxy-Stoat_3

Pixie5740 wrote: »

Another poster with a fascination with having 1 payment to make each month instead of several. Can someone explain to me what that is all about?

Its because they have no understanding how credit card interest/minimum payments [STRIKE]scam[/STRIKE] system works. The credit card companies or customers should change the minmum 5% payment to "debt divided by 60 plus that months interest" and pay that, the next month "debt divided by 59 plus that months interest and so on....or start at 48, 36 and go down. So each debt will take a reasonable amount of time to clear rather than a decade.

The OP has done the first step, cut up the cards. They should now clear say £250 on a card and reduce the limit down by £250 and so on, that should save them from borrowing more and continuing the cycle.

Pixie5740

I did wonder if it stems from people's inability to budget. They find it easier to have 1 direct debit rather than 4 coming out the account as they go by account balance rather than a proper budget.

Caz3121

Given that nothing has really changed since last year you should probably be best getting over to the debt free board and posting a statement of affairs where you may get some help on how best to deal with your debt https://forums.moneysavingexpert.com/discussion/5067326
Borrowing is not going to be the answer here and as has been stated, a guarantor route is going to be at a much higher APR than you are currently paying
Maybe also consider looking at one of the debt charities

andyfromotley

Hi Pickle,

it kinda sucks doesnt it. But when the bank says no you have to take it as a huge red flag that you are deep in debt!!

So now for plan B. Try to transfer what you can onto 0% or low lifetime BT card. Get yourself over to the DFW board for a pan on how to really attack your debt. Its not perfect for you but at least you will see that there is a road out of this debt for you.

Foxy-Stoat_3

Fair play to the OP, in 2012 is debt was £22K and luckily for him the bank has said "no".

Time to get budgeting and saving as much money as possible as you have spent more money than you can earn.....kinda like the UK goverment.