Help needed

Pownstar69

Hi to cut a long story short me and my wife have managed to get ourselves in a massive pickle we have both take. Our unsecured loans of 25k each we owe 20k on 1 and 22k on another coupled together with a HP on a car our debt payments are nearly £900 per month money has seemed to get tighter for whatever reason and we are left with nothing each month. Our mortgage is due for renewal soon and we might have the option to remortgage and pull out 26k which would pay 1 loan off and the car which would cut our outgoings massively . Please help I don’t know what to do

National_Debtline

Hi there


You need to be very cautious about taking out secured credit to pay off unsecured debt, especially if it is not enough to consolidate all of the debt. Once credit is secured on your home it could be at risk of repossession if you cannot afford the repayments in the future. Always seek independent financial advice before consolidating.


Your next step is to complete a statement of affairs (SOA), this will give us a much clearer picture of your financial situation and allow us to offer more advice on your options. You can complete one here http://www.stoozing.com/calculator/soa.php. You can then format for MSE and post back on the board.


Best wishes


Susie
@natdebtline

sourcrates

Pownstar69 wrote: »

. Our mortgage is due for renewal soon and we might have the option to remortgage and pull out 26k which would pay 1 loan off and the car which would cut our outgoings massively . Please help I don’t know what to do

Don`t consolidate would be the best advice to give you.


Look at any of the threads you see from people in serious debt on this forum, and consolidation is nearly always listed as one of the steps they took before seeking the right help.


Post up the SOA and we will see what can be done to help constructively.

Chocolate_Teapot

SourCrates is right, please don't consolidate. Its the start of an evil spiral that you will never get out of. We did this and ended up in a big mess.



Maybe we can help if you post a Statement of Affairs. Be brutally honest no matter how much you don't like it.

motivated

Another fan of not consolidating here. Been there done that and now it's like I'm trying to climb Mount Everest in flip flops getting it paid back.

Good luck
M

Dobbibill

Consolidation doesn't work as it's not paying off the debt, it's just moving it.

You need to complete the SOA so we can see what options would work best for you.

beanielou

Do not consolidate.
Dont make unsecured debt secured.

Teamocil

You can gain the benefits of consolidation yourself by paying all of your debts out of a separate bank account, which you transfer money into monthly. This way you get one easy monthly payment without paying someone to screw you over and make things worse.

JayRitchie

Post an SOA to see how you can manage your outgoings.