Dealing with mega debt - query

matt8787

Staying in and watching Sky is about all we can afford to do right now - if I cancel that, I'm pretty sure the other half would file for divorce

Re credit cards, do 0% offers ever run out? I know you don't get the introductory lengths any more, but thought offers of 12-15 month 0% periods would always be around for existing customers - at least that's what I've always found - is this not the case?

Re the mortgage - yeah, the debt accrued has probably got me by the knackers there - will probably be forever tied to the Chelsea - though would still look for a remortgage deal from them rather than move on to SVR.

January2015

matt8787 wrote: »

Re credit cards, do 0% offers ever run out? I know you don't get the introductory lengths any more, but thought offers of 12-15 month 0% periods would always be around for existing customers - at least that's what I've always found - is this not the case?

We found that as we built up the number of credit cards / lines of credit we had that the offers of 0% eventually dried up, even for us as existing customers of card companies. Eventually we ran out of CC companies to move money around between as well.

MrsTinks

matt8787 wrote: »

Staying in and watching Sky is about all we can afford to do right now - if I cancel that, I'm pretty sure the other half would file for divorce

Re credit cards, do 0% offers ever run out? I know you don't get the introductory lengths any more, but thought offers of 12-15 month 0% periods would always be around for existing customers - at least that's what I've always found - is this not the case?

0% offers are available, it will depend on if you meet the lenders criteria at that EXACT point in time. That criteria will depend on their own risk profile, the world financial markets, what stimulus is being offered by governments and frankly if the algorithm coder had baked beans for breakfast or wheatabix. You can NEVER be guaranteed a 0% transfer.

You will also find that if a DMP is the route you end up on there may be some allowance for luxuries (like holidays) - but it won't be to sunny Florida and it won't allow for things like £500 fun money a month.

And absolutely you get 0% offers still - if you aren't being accepted for them then that's because you have become too big a risk as you have too much debt.

My #1 priority at the moment is ensuring the monthly repayments are manageable / don't have too much of a detrimental impact upon the livelihood of my family (which has obviously already been negatively affected by the debt incurred / sizable monthly payments now required).

I'd rather allow them to have a good life (e.g. holidays etc) and pay more in the long-run, than deny them the nice life they deserve.

Once the 0% offers run out you realise there is a high risk this choice may not be yours to make?

You really really need to post up your SOA if you want us to offer you any meaningful advice on how this might realistically work. Teach your kids to live within their means (yes that's a bit harsh...) but that will be worth far more to them than fun holidays that they will think they are entitled to when one day they can't afford them and end up in the same debt trap as where you are now...

EssexHebridean

matt8787 wrote: »

Staying in and watching Sky is about all we can afford to do right now - if I cancel that, I'm pretty sure the other half would file for divorce

Re credit cards, do 0% offers ever run out? I know you don't get the introductory lengths any more, but thought offers of 12-15 month 0% periods would always be around for existing customers - at least that's what I've always found - is this not the case?

Re the mortgage - yeah, the debt accrued has probably got me by the knackers there - will probably be forever tied to the Chelsea - though would still look for a remortgage deal from them rather than move on to SVR.

Did you accrue the debt all on your own? If not, then you need to work together to fix the situation too - it is rather sounding as though you're putting in a lot of legwork here and maybe not getting wholehearted support? Please don't take that as a criticism, of your OR your Mrs, but it can be almost impossible to shift debts unless all parties are singing from the same hymn sheet.

Be wary also of thoughts about people "deserving" a nice lifestyle. You "deserve" the lifestyle you can afford, once all bills are paid, and savings are set aside. A quick read on here will tell you how many folk have fallen foul, at some point, of feeling as though they deserve to live a different lifestyle to the one their income allows. Sometimes adjusting expectations can make for a happier time of it.

EssexHebridean

Mrs T we've done it again! :rotfl::rotfl:

matt8787

Pretty much all of the debt has been accrued by yours truly, with zero assets to show for it (gambling over long period, chasing losses, etc)

EssexHebridean

matt8787 wrote: »

Pretty much all of the debt has been accrued by yours truly, with zero assets to show for it (gambling over long period, chasing losses, etc)

Got you. You aren't the first, and you won't be the last. Well done for looking to deal with the situation. That does make rather more sense of your comments, too.

Have you got the help you need to break the habit now? That's the main thing really.

I have a feeling there is a thread on here somewhere for support for gamblers/ex gamblers if that might be of any help for you too.

JB613

I don't know much about debt, but if it is due to a gambling problem then it is also essential you seek help for this as it will help to deal with the root cause of your situation and prevent any relapses.

Good luck and I wish you all the best.

Windofchange

There was a post on here this week from a guy who had a 100k debt on CC's and had finally cleared it all last month after 11 years of trying. I can't find it at the moment.

You have to keep that sort of debt on 0% somehow or other or it'll eat you alive. Would it be worth selling the house if you have built up equity and using that to pay off some / all of the debt? Rent instead whilst you get yourself sorted again?

EssexHebridean

Windofchange wrote: »

There was a post on here this week from a guy who had a 100k debt on CC's and had finally cleared it all last month after 11 years of trying. I can't find it at the moment.

You have to keep that sort of debt on 0% somehow or other or it'll eat you alive. Would it be worth selling the house if you have built up equity and using that to pay off some / all of the debt? Rent instead whilst you get yourself sorted again?

Bearing in mind the circumstances, and that there is a family involved too, I'm guessing that the OP may feel this is not a viable option.