Debt Help!!!

mrtr0113r

Help, a week ago I lost my job as a train driver, I was taking home approx 4K a month, however I have significant debts that I was paying fine. Now I'm worried about paying these debts and ruining my great credit rating.

Credit Cards:
Nationwide, 0% with 6 months left: Limit £8000 Balance £4649. Minimum payment £47
MBNA, 17.9%: Limit £6500 Balance £5325. Minimum payment £133
Aqua, 49.9%: Limit £2400 Balance £2365. Minimum payment £106
Vanquis, 39.9%: Limit £2200 Balance £2122. Minimum payment £74
Barclaycard: Limit £7700 Balance £4299. Minimum payment £107
Total: £18,670. Minimum payments £467
.
Loans
Zopa: £5000/36 months@3.4%. Monthly payment £146, 24 months left. £3390 left to pay.
Lloyds: £7500/48 months@7.5%. Monthly payment £181, 40 months left. £6400 left to pay.
Santandar: £4000/36 months@9.9%. Monthly payment £129, 26 months left. £3005 left to pay.
Sainsburys: £2000/30 months@9.9%. Monthly payment £76, 24 months left. £1638 left to pay.
I've since tried to apply to Tesco and Asda loans for £5000 each to tide me over till I got another job. Both declined.
Total: £14,403. Monthly payments £532

Out of desperation I applied to Sunny and QuickQuid for some money. Both Declined also.
Third time lucky I applied with Myjar and got approved for £5,000 over 24 months at £387 a month. Total to pay £9298.

I've also got a car on a £10,000 finance deal over 5 years at 14.9% APR. This monthly payment is £237. I've paid 2 years off, there is £6857 left to pay.

Finally my mortgage on my lovely house being in the SE is a £350,000 mortgage over 30 years, monthly payment £1651. There is 21 years left on it with a balance of £283,712


This is outgoings of
Credit Cards: Debt £18,670. Payments £467
Loans: Debt £14,403. Payments £352
Short Term Loan: Debt £9298. Payments £387
Car: Debt £6857. Payments £237
Mortgage £283,712. Payments £1651
Outgoings for debt and mortgage £3094

Other outgoings
Council Tax: £120
Car Insurance: £75
Car Tax: £12
Food & Groceries: £240
TVL: £13
Home Insurance: £18
Electric: £85
Gas: £45
Water: £56
TV&Broadband: £60
Phone Line: £20
Mobile Phone: £45
Clothes/Haircuts etc: £20
Entertainment: £20
Total £829
Added to the £3094 for mortgage and debt payments is £3893. So somehow I need to find another job earning about £4K a month. I've since applied to another train company for a driving role and waiting to hear back.

Meanwhile I've got the £5K from Myjar, but that will only last approx 5 weeks, so hopefully I'll be back to work soon and can get back with paying these off without ruining my credit rating with CCJs/Defaults or IVA's

stripeyfox

Hi. Something struck me about your post is your desire to "protect" your credit rating. Credit ratings are more or less meaningless anyway and you have probably already damaged it by applying for the loans in quick succession. But none of this addresses the fact that despite having a well paid job, you have accumulated a LOT of debt.

I'm sure others will be able to offer better advice, but I think your "credit rating" should be the last of your worries at the moment

Your 4/K month job isn't enough on it's own. Your debts and bills eat up almost all of that salary on their own.

I'm guessing you may have been spiralling into this for some time?

I really don't know what your options are. If you got another job paying 4K take home pay tomorrow then I think you still need to massively look at your finances.

micky2phones

stripeyfox wrote: »

Hi. Something struck me about your post is your desire to "protect" your credit rating. Credit ratings are more or less meaningless anyway and you have probably already damaged it by applying for the loans in quick succession. But none of this addresses the fact that despite having a well paid job, you have accumulated a LOT of debt.

I'm sure others will be able to offer better advice, but I think your "credit rating" should be the last of your worries at the moment

Hi, i agree with this post

Pixie5740

mrtr0113r wrote: »

Help, a week ago I lost my job as a train driver, I was taking home approx 4K a month, however I have significant debts that I was paying fine. Now I'm worried about paying these debts and ruining my great credit rating.

Credit Cards:
Nationwide, 0% with 6 months left: Limit £8000 Balance £4649. Minimum payment £47
MBNA, 17.9%: Limit £6500 Balance £5325. Minimum payment £133
Aqua, 49.9%: Limit £2400 Balance £2365. Minimum payment £106
Vanquis, 39.9%: Limit £2200 Balance £2122. Minimum payment £74
Barclaycard: Limit £7700 Balance £4299. Minimum payment £107
Total: £18,670. Minimum payments £467
.
Loans
Zopa: £5000/36 months@3.4%. Monthly payment £146, 24 months left. £3390 left to pay.
Lloyds: £7500/48 months@7.5%. Monthly payment £181, 40 months left. £6400 left to pay.
Santandar: £4000/36 months@9.9%. Monthly payment £129, 26 months left. £3005 left to pay.
Sainsburys: £2000/30 months@9.9%. Monthly payment £76, 24 months left. £1638 left to pay.
I've since tried to apply to Tesco and Asda loans for £5000 each to tide me over till I got another job. Both declined.
Total: £14,403. Monthly payments £532

Out of desperation I applied to Sunny and QuickQuid for some money. Both Declined also.
Third time lucky I applied with Myjar and got approved for £5,000 over 24 months at £387 a month. Total to pay £9298.

I've also got a car on a £10,000 finance deal over 5 years at 14.9% APR. This monthly payment is £237. I've paid 2 years off, there is £6857 left to pay.

Finally my mortgage on my lovely house being in the SE is a £350,000 mortgage over 30 years, monthly payment £1651. There is 21 years left on it with a balance of £283,712


This is outgoings of
Credit Cards: Debt £18,670. Payments £467
Loans: Debt £14,403. Payments £352
Short Term Loan: Debt £9298. Payments £387
Car: Debt £6857. Payments £237
Mortgage £283,712. Payments £1651
Outgoings for debt and mortgage £3094

Other outgoings
Council Tax: £120
Car Insurance: £75
Car Tax: £12
Food & Groceries: £240
TVL: £13
Home Insurance: £18
Electric: £85
Gas: £45
Water: £56
TV&Broadband: £60
Phone Line: £20
Mobile Phone: £45
Clothes/Haircuts etc: £20
Entertainment: £20
Total £829
Added to the £3094 for mortgage and debt payments is £3893. So somehow I need to find another job earning about £4K a month. I've since applied to another train company for a driving role and waiting to hear back.

Meanwhile I've got the £5K from Myjar, but that will only last approx 5 weeks, so hopefully I'll be back to work soon and can get back with paying these off without ruining my credit rating with CCJs/Defaults or IVA's

1) There's no such thing as a universal credit rating.

2) If you're being rejected by lenders such as Sunny then your credit history probably doesn't fit the risk profile for most other lenders either.

3) Every debt problem has a solution.

It does sound like you were in a debt spiral before losing your job. It would be helpful if you could fill in a full statement of affairs, format for MSE and post it on the forum.

http://www.stoozing.com/calculator/soa.php

fatbelly

Please post your soa as above.

You should claim for what you can while you are out of work. Depending on your 'household ' that may be means tested benefits or contribution based, or a mixture. Info here:

https://benefits-calculator.turn2us.org.uk/AboutYou

As for

Third time lucky I applied with Myjar and got approved for £5,000 over 24 months at £387 a month. Total to pay £9298.

that doesn't fit my definition of lucky

mrtr0113r

I've put in the income I was receiving from my last job as I had to put something in

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2
Number of children in household......... 2
Number of cars owned.................... 1

Monthly Income Details
Monthly income after tax................ 4012
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 4012

Monthly Expense Details
Mortgage................................ 1651
Secured/HP loan repayments.............. 237
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 120
Electricity............................. 85
Gas..................................... 45
Oil..................................... 0
Water rates............................. 56
Telephone (land line)................... 20
Mobile phone............................ 45
TV Licence.............................. 13
Satellite/Cable TV...................... 30
Internet Services....................... 30
Groceries etc. ......................... 240
Clothing................................ 10
Petrol/diesel........................... 50
Road tax................................ 12
Car Insurance........................... 75
Car maintenance (including MOT)......... 20
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 18
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 10
Entertainment........................... 20
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 2787


Assets
Cash.................................... 5000
House value (Gross)..................... 367000
Shares and bonds........................ 0
Car(s).................................. 4600
Other assets............................ 0
Total Assets............................ 376600


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 283712...(1651).....4
Secured Debt.................. 6857.....(237)......14.9
Total secured & HP debts...... 290569....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Nationwide CC..................4649......47........0
MBNA CC........................5325......133.......17.9
Aqua CC........................2365......106.......49.9
Myjar Loan.....................9298......387.......69.4
Sainsburys Loan................1638......76........9.9
Santander Loan.................3005......129.......9.9
Lloyds Loan....................6400......181.......7.5
Zopa Loan......................3390......146.......3.4
Barclaycard CC.................4299......107.......0
Vanquis CC.....................2122......74........39.9
Total unsecured debts..........42491.....1386......-


Monthly Budget Summary
Total monthly income.................... 4,012
Expenses (including HP & secured debts). 2,787
Available for debt repayments........... 1,225
Monthly UNsecured debt repayments....... 1,386
Amount short for making debt repayments. -161

Personal Balance Sheet Summary
Total assets (things you own)........... 376,600
Total HP & Secured debt................. -290,569
Total Unsecured debt.................... -42,491
Net Assets.............................. 43,540

sourcrates

I hope you manage to find yourself work pretty soon, as no amount of benefit is going to pay that whopping mortgage payment.

Please stop borrowing money, you are just digging the hole you are in deeper, your credit rating is the last thing that should be on your mind right now, the unsecured debts are all non priority, but it’s the mortgage that worries me, you say you have 5k in savings, that will keep the roof over your head for another 3 months, then it’s crunch time.

You don’t need me to point out that if you can’t get new employment, at a similar rate to your old job, the wheels will well an truly come off, and repossession will be the most likely outcome.

All that aside, whatever happens, I still think you need advice on how to lower your reliance on borrowing.

A difficult time for you I know.

stripeyfox

well done for posting this mate. It might seem desperate right now because you're in the eye of the storm but there's always a solution.

Does your partner know about the debts, or the extent of them?

Pixie5740

Is your partner's income really zero? You really need to start claiming whatever you can including SMI (although this is a Loan not a benefit) and maybe speak with your mortgage lender too. See how your mortgage lender can help, it's easier to do it now than wait until you start defaulting.

mrtr0113r

I've applied for another train company, as other companies run in my area. Of course I don't wan't to divulge the company that I previously worked for, due to social media policies and wouldn't want them finding out. I'm hoping to have an interview after Christmas and fingers crossed i'll get back to driving the trains.

My partner does know about the debts, she has recently given birth to our 2nd child two months ago therefore she is currently not working, but will do when the child is a little older. She has said she will help me pay down the debts once working again.

I will be cutting up the credit cards but may keep the two currently on 0% which is Nationwide and BC

mrtr0113r

I'll also speak with the mortgage lender and see if I can defer payments for a few months, then over pay once I'm back working