Where to start - CAP or continue as a Lone Ranger

DebtbustingDiva

Hi all

I had my LBM on Friday when my first CAP meeting forced me to properly look at my finances and there were lots of tears.

I don't think anyone gets into debt intentionally and mine is about 70% defending myself through the he courts against my ex- husband and ensuring my reputation wasn't tarnished so I could still work. Life reads like a ruddy Greek tragedy to be honest for the last 10 years.......

But I'm still standing, have my sanity (just), kept my job and am lucky to have two wonderfully adjusted 7 year olds who make life worthwhile.

I also have a house that I've nearly finished doing up from a wreck on which I have a 40 LTV mortgage but HUGE debt of £46,490 from solictors fees, court costs and DIY. I have kept all payments save one with MBNA that got into a petty dispute as I went over my limit by £29 (with a court fee) and missed their electronic message. Fought it all the way but I now have my only ever default. And I can't remortgage now.

I turned to CAP as friends have used them and rave about them. But I'm so used to doing everything on my own, fighting for myself and sorting out my own s@@t that I don't think k want them to sort out the debt for me or it might be because it feels like someone else controlling my life, I just don't know?

Am I being realistic? Can I do this? I'm a single Mum with just myself to rely on, work 30 hours a week, have no childcare breaks and one of my twins has SEN. Am I just kidding myself that I can clear my debt because I can represent myself in court? I'm overwhelmed by my stupidity in not recognising the scale of the debt until now and just don't know what to do?

I'm tough but wobbling, to be honest.........

sourcrates

Hi,

I am assuming you want to go into debt management yes ?

Its actually really simple to do yourself, and as you seem like the independent type, i would be tempted to go it alone.

Its just like paying your credit accounts as you normally would, but at a lesser rate than the contracted payment, so you write and inform all your creditors of your intention to self manage, say you have taken advice from CAP, work out your budget, tell them how much they'll get, and when, and how frequently.

Also ask them to stop interest and charges.

You make your monthly payments to each one (online banking great for this), thats it really, as long as you budget correctly, and save a good emergency fund up first.

DebtbustingDiva

Thanks sourcrates

I'm not sure what I want to do, to be honest.

I've got 2/3 of it on a secured loan with Prestige so I'm thinking that it would be best if I clear the credit cards and overdrafts first and then see whether some bank would let me remortgage. I spoke to my Bank, First Direct, today and they said if was to make significant roads into clearing their debt and stop any further borrowing then they might be able to help me. That would mean clearing £3k on their CC and a £1.7k overdraft that feels more manageable.

MBNA has frozen my CC interest and charges anyhow as they're dealing with me as someone in difficulties - I have PTSD following the DV and court cases I have been though. Only my First Direct stuff is not on 0%, everything else is.

So not sure what benefits a DMP or CAP can give me?

Do I just need to find a good budgeted, cut back to the bare bones and start paying back?