What to say to bank

christopher39_2

Hi all,

I have hit crisis point with my overdraft, I am struggling to buy food at the moment because all of my wages are taken in overdraft and then some. I have called the bank to see somebody to talk about options that are open to me. Just wondered if anyone had any ideas about how I should approach them when I see them. What sort of help can I expect if any and any tips on sorting this problem out will be greatly appreciated.

Thanks for reading

trying-very-trying

It seems to be a bit quiet round here today, but I'll see if I can be of any use.
Is the bank your only debt? Or are there other debts as well?

christopher39_2

Thank you for your reply.

I do have other debts which total about 2000 credit cards and a loan with Halifax I got out to pay off the overdraft and an existing loan this is about 3500. I know Im a numpty for getting in debt with overdraft again, but as the breadwinner with 3 kids it is so hard to think of things that crop up like shoes, school clothes etc as well as trying to feed everyone. It soon gets out of hand.

Any advice greatly appreciated

Gemmzie

Hi Chris, the best thing to do is pop up an SOA (see the sticky here: http://forums.moneysavingexpert.com/showthread.html?t=107280)

Then we can help you to budget everything

christopher39_2

Hi, thanks for replying. here is my soa:T



Monthly Incomings:

My salary - £1,164.28
Partners salary - £120.
Benefits - £150

Total - £1,434.28

Monthly Outgoings:

Mortgage/Rent - £270
Council Tax - £100
Gas - £60
Electric - £45
TV License - £10.99
Sky £45.00
Phone - £32.00
Food - £400
Car Insurance - £40.00
Petrol - £80
charity 5.00
Home insurance 27.00

Total: £1114.99

Ignatius_A

christopher39 wrote: »

Hi, thanks for replying. here is my soa:T



Monthly Incomings:

My salary - £1,164.28
Partners salary - £120.
Benefits - £150

Total - £1,434.28

Monthly Outgoings:

Mortgage/Rent - £270
Council Tax - £100
Gas - £60
Electric - £45 (check for cheaper combined gas/electric supplier)
TV License - £10.99
Sky £45.00 You can live without this
Phone - £32.00
Food - £400 VERY high - try the downshift challenge
Car Insurance - £40.00 high - try martin's tips for reducing
Petrol - £80
charity 5.00
Home insurance 27.00 Check around for cheaper prices

Total: £1114.99

Water, car repairs, car tax, mobile phones?

check interest rates on existing debts to see which is the most important (highest) to pay off first. - try the credit card shuffle (main site)

& well done for making a start!

Ignatius_A

Just re-read your initial post.

a good place to start is http://www.moneysavingexpert.com/loans/debt-help-plan

Under NO CIRCUMSTANCES use any of the firms that advertise on TV that they can help you. :mad: - use the free debt counselling services.

christopher39_2

Hi thanks for the advice so far,

Just going back to my original question. Is it still worth me going to the bank? What should I say to them and can I expect any help/ agreement with them?

Thanks so much for all the replies. I really do appreciate it.

P.S oopps yes water rates 40.00

christopher39_2

thanks again!

Ignatius_A

christopher39 wrote: »

Hi thanks for the advice so far,

Just going back to my original question. Is it still worth me going to the bank? What should I say to them and can I expect any help/ agreement with them?

Thanks so much for all the replies. I really do appreciate it.

P.S oopps yes water rates 40.00

No harm in asking - They may offer to migrate your overdraft to a loan - so long as the interest rate is better than what they charge on the overdraft.

Don't agree to anything secured on your property. They can't take your house for failing to repay an overdraft. They can if you fail to repay a secured loan.

If you do use one form of credit to pay off the other - remember to cancel your access to the original credit (cancel cards, cancel overdrafts) or you could easily end up in a worse pickle ( i know - tried it about 3 times )

tealady

Beware the bank may try to sell you another loan! Just ask them can they reduce the interest or even freeze it for a while. I would also check to see you are getting all the benefits you are entitled to. Sell stuff on ebay/Amazon and throw that at the debt with the highest APR. Keep a spending diary as well, its amazing where the money goes.