I have the answer but no one will help

Herzlos

Do you really need a £46/month phone plan? You can get decent sim-only plans for £10/month and decent handsets for under £100 outright. Even if you're stuck in the current plan, you might be able to free up a bit of cash by selling the handset and replacing with a cheaper one. You're not far from clearing the Santander loan as it is so if you focus on getting rid of that you'll free up £112/month to put onto the Sainsburys one.


What's the £119/month for the car for, if the car is worth £200?
Are you still paying off both the car and bike? Are you sure you need both?
selling the bike will save you £200/month, and presumably take a significant chunk out of your debt. Once you're debt free you can always treat yourself to a new bike.




You've no TV license, gas or internet? Or are they covered by your partner?


Got anything else you don't need that you can sell? Clothes, DVDs, old phones? Anything you can raise from that and put towards the debt will save you a fortune later.


On £1800/month before tax, you're not going to be considered for a consolidation loan as it'd count as additional debt and take you above your salary. You're going to need to pay it down significantly first. Though at those APRs you probably wouldn't do any better anyway.

sourcrates

Grazelgirl wrote: »

I seem to be up against a brick wall when I speak to the banks, its so daft.....

They say speak to use and we will help..... but no......

Basically I need one loan to cover all but no one will help me!!

What can I do?

Lending unaffordable consolodation loans is not helping you.
Although just now you think its the right thing to do, as you are living in the "credit bubble", so your natural instict is to borrow more.


We see it all the time on this forum.


Ask any bankrupt, how many times did they consolodate their debt before taking proper action to tackle it ?


Most will say at least once.


The problem with consolodation, is that the consolodated lines of credit get run up again, sometimes pretty quickly, so you end up with twice the debt, and no way to service it, only in a small number of cases does consolodation actually work, and thats were the debtor has been extreamly tough on themselves budget wise, and resisted futher borrowing, so the banks have done you a big favour, you just don`t realsise it yet.


There appears to be a lot missing from your SOA, so i cant tell for sure who pays what and from where, so with that in mind, if you cant reduce your outgoings, and/or increase your income, then some kind of debt management may be nessessary if you find yourself unable to make ends meet.

enthusiasticsaver

If the interest rates on the soa are correct then most of the credit card is 0% so you would be unwise to move those on to a loan. Your soa shows £122 surplus but you have not accounted for presents, haircuts, clothes or entertainment. An emergency fund is essential too so if you have that with your NaN that is good.

I think at the earliest opportunity you should get rid of the car or the bike. Not sure why you need both and you cannot afford them both. Almost £350 there you could save some of that to give you some spare. Are they really only worth £200 combined?

Same goes for mobile in that as soon as you can move to sim only.

£175 is quite high for groceries for just you if your partner pays for his own. Of course if he covers some of the bills in exchange for you buying food it is more reasonable if that is for 2 of you. If you could get rid of some of those car/bike costs you could give yourself some leeway. Which of those credit card deals expires first and when? Those are the debts I would tackle and leave the loans to run for now. Are your partner and NaN happy to wait for repayment?

sourcrates

Hey, I understand the bike, I’m an ex biker, makes perfect sense to me, the others don’t understand lol ��

ShakeItOff

Grazelgirl wrote: »

Monthly Expense Details[/b]
Council tax............................. 0 Missing something here?
Electricity............................. 33 Is this right? I have £32 per month for our house, and this covers both electric and gas
Gas..................................... 0 Any gas, or just electricity?
Water rates............................. 0 Missing something here
Mobile phone............................ 46
Internet Services....................... 0 Something here?
Groceries etc. ......................... 175 If this is equally split between you and partner, this seems high
Clothing................................ 0 Nothing at all?
Petrol/diesel........................... 80 This seems low for two vehicles
Road tax................................ 0 The bike is going to be between £19-88 per year, and what about the car?
Medical (prescriptions, dentist etc).... 47.5 Seems high - any commitments you can review options on to change package?
Motorcycle Insurance.................... 61.78 This seems really high - have you shopped around for this?
Motorcycle ............................. 151

As painful as it is for me to say it (as I am a biker), do you really need a bike right now? I am guessing it is something quite nice, on the insurance costs. Can you trade it? If you can't/won't, when is the insurance up for renewal? To give you an idea, I have no NCB currently (getting my first bike in years on Sunday), doing a lot of miles on it (it's my new commuter) and have it for SDP&C. It's stored on the road. All of that, and I'm paying about £130 annually for it. Also, you'll be going through a set of tyres, oil filter, plugs etc at least yearly I would have thought.

I think there are some things missing in there, that may make more sense when it is clear how you run the house between you and your partner.

I have recently gone through a full year's worth of expenses and categorised them so that I can see where my money is really going. It was really helpful in determining what my actual spends were on average, and I think you could find that kind of thing useful. I don't have any "big spends", but couldn't understand where my money was going. I'm also the "consolidation loan" failure story (on more than one occasion).

ditty1234

Hi Just had a quick look, I dont see the problem, you have money left over after you have done your payments - to be fair you just need to keep paying, and hope you can bring the interest down along the way. If you snow ball and push your bills a bit you should be through the worst in a couple of years. Best advice get it out of the way - now. I am talking from experience, but with no authority.

Sanctioned_Parts_List

Grazelgirl wrote: »

I have the answer but no one will help

You've had a few blunt replies already, so I won't add another one. Your thought process now is roughly consistent with mine the second time teetered around the edge of the debt spiral.

Some years ago, I had the same blunt conversation with my bank, whose loan assessor was quite forthright in his explanation. In essence, a loan to anyone with other loans/CCs outstanding is always assumed to be a consolidation loan, regardless of the purpose they claim it's for.

Consolidation loans are always viewed less favourably from the lender's point of view because, i) on average, debtors run up their other lines of credit again instead of cancelling them increasing the risk that the loan will default, and ii) there's usually no tangible asset that the bank could recover if the loan goes sour. As a result, the cheapest loan that Smile could offer me, consistent with the risk I presented to their business was as expensive as the CCs etc. I was trying to consolidate.

What that means for you is that, had you been accepted for the loan, the interest rate wouldn't have been as low as you might have hoped and you may have been left in a worse position than with the CCs - at least with those you can vary the payments, whereas the loan takes what it takes regardless of how your month's going.

Your way forward is to track your spending rigorously to ensure that you do actually have £122+ surplus each month. Then you can use the snowball calculator to optimise your repayment strategy for least cost.

Thankfully your income's good and your costs are low, so it's solvable with time and effort.

nkomp18

there's firms like zopa that offer debt consolidation loans, if your credit score is good you can get it via a company like that. Doesn't have to be a bank

buythedip

You already owe approx. two thirds of your annual salary, of course banks won’t extend a huge loan. It’s not a question of them being unhelpful, it’s a question of risk.

FTBuyerGlasgow

You cannot borrow your way out of debt.

Please heed the advice on this forum, snowball the debts and pay it off rather than borrowing more.

If you are really struggling contact StepChange, a free debt advice charity.