Debt solution?

Vicande

Thanks for the advice. Been reading loads through step Change charity.
I forgot to clarify that the smaller loan is not from a UK bank or loan lender, I had it before I came to the UK, so I guess it is not register anywhere here in the UK. I mean, I send the money to the account outside the UK to pay it but I guess here there is no register of where and for what I send that money.
Does that change things?

BrassicWoman

Vicande wrote: »

Thanks for the advice. Been reading loads through step Change charity.
I forgot to clarify that the smaller loan is not from a UK bank or loan lender, I had it before I came to the UK, so I guess it is not register anywhere here in the UK. I mean, I send the money to the account outside the UK to pay it but I guess here there is no register of where and for what I send that money.
Does that change things?

depends ...

https://bankruptcy.co.uk/faqs/can-include-foreign-debt-bankruptcy/

Vicande

I will search more information about it but a loan from a EU it looks like it can.

BrassicWoman

Vicande wrote: »

I will search more information about it but a loan from a EU it looks like it can.

While we are in the EU; so I would not hang about!

Vicande

If one of the loans is not in the UK and there is like no trace of it in my credit score or anywhere, won’t it make a difference if I then try for a second loan here?
I mean, I have never missed any payment on anything, rent, bills, the UK loan, always paid on time. My credit score last time I checked was 886, and my bank offers me a loan for 20000 over 60 months, which I don’t take because it doesn’t solve my problem. What I need or would like is a way to instead of paying two monthly loans to pay one, but would really want to pay off my debt and not declare bankruptcy. Been reading about it and it has his good thing but it also has lots of consequences.
Bit stuck I think

ViolaLass

I never understand why people are keen to consolidate just to reduce the number of monthly payments. It won't make any difference unless you reduce the interest rate and/or throw more money at the debt.

Vicande

ViolaLass wrote: »

I never understand why people are keen to consolidate just to reduce the number of monthly payments. It won't make any difference unless you reduce the interest rate and/or throw more money at the debt.

I know that I will still be owing and having to pay for a long time, but is a way of affording better my debt. I will be able to pay without struggling and will pay off my debt eventually. Bankruptcy is much more radical option I think.
I really don’t see how declaring myself bankrupt which has lots of side effects will be better for me than trying an option that will let me breathe a bit but also pay off my debt.
That is why I speak advice, cause I have no clue about these matters, why would bankruptcy will be a better option?
Why trying to put everything down the same loan which I could comfortably pay is such a bad idea?

[Deleted User]

Because when it comes to consolidation loans, the 'one loan that you can comfortably pay' doesn't exist.

It was a very effective marketing strapline popularised by Ocean Finance in the 90s.

DCFC79

Vicande wrote: »

I know that I will still be owing and having to pay for a long time, but is a way of affording better my debt. I will be able to pay without struggling and will pay off my debt eventually. Bankruptcy is much more radical option I think.
I really don’t see how declaring myself bankrupt which has lots of side effects will be better for me than trying an option that will let me breathe a bit but also pay off my debt.
That is why I speak advice, cause I have no clue about these matters, why would bankruptcy will be a better option?
Why trying to put everything down the same loan which I could comfortably pay is such a bad idea?

You owe 30k and you earn 43k, with all the other costs eg living costs could you pay the debt off, would take a while mind, bankruptcy just gets it gone but you have it on your credit file for a year I believe.

Another loan (consolidation loans dont even exist) just wont happen, your already over stretching yourself as it is.

What are the rates for the 2 loans ?

Vicande

The rat for the one in UK is 11% the other I don’t know.
Bankruptcy just sounds really scary when reading about freezing your account, that they will only realease money for my house and my goods for living, it seems I will be worse than now. Now I struggle but at least I pay and have my money for my things.