Struggling with debt? Ask a stepchange debt adviser a question

rocktron_amp

Hello there.

I have taken out a Personal Loan to help avalanche credit card and consilidate debts.

I have 6 credit cards, 4 cards with high balances, but the loan is only enough to knock out 3 highest cards with high interest rates.

Does StepChange offer independent advice on pay down strategies. Avalanche vr Snowball?

I created a Google Spreadsheet to experiment on pay downs. I think I have an idea, but I'd like to double check my thinking with experienced / experts. Does StepChange offer that service?

StepChange_Aidan

rocktron_amp said:

Hello there.

I have taken out a Personal Loan to help avalanche credit card and consilidate debts.

I have 6 credit cards, 4 cards with high balances, but the loan is only enough to knock out 3 highest cards with high interest rates.

Does StepChange offer independent advice on pay down strategies. Avalanche vr Snowball?

I created a Google Spreadsheet to experiment on pay downs. I think I have an idea, but I'd like to double check my thinking with experienced / experts. Does StepChange offer that service?

Hi,

Unfortunately, StepChange can’t offer much advice on payment strategies like these, but I can see that you’ve already had some good responses from your other thread on the board.

If you’d like to discuss your situation and options in more detail with us, please give us a call.

Regards,

Aidan

stinabean

Hello

I work full time, very stable job. My partner isn't working due to mental health issues, and we have quite a lot of debt. 
We also have an actually-falling-down conservatory that's full of mould and unusable.

I was considering taking out a mini mortgage i think it's called, with nationwide. So far my reasoning is to sort the unsafe structure and put all our debt in one monthly payment. This also reduces how much we're paying each month significantly which would help us a lot as we're struggling in general spend ie food, petrol. 

It sounds like a good idea to me, less going out every month, less stress on me as working a lot of OT, but also v wary of borrowing against the house - can I have thoughts please? 

StepChange_Aidan

stinabean said:

Hello

I work full time, very stable job. My partner isn't working due to mental health issues, and we have quite a lot of debt. 
We also have an actually-falling-down conservatory that's full of mould and unusable.

I was considering taking out a mini mortgage i think it's called, with nationwide. So far my reasoning is to sort the unsafe structure and put all our debt in one monthly payment. This also reduces how much we're paying each month significantly which would help us a lot as we're struggling in general spend ie food, petrol. 

It sounds like a good idea to me, less going out every month, less stress on me as working a lot of OT, but also v wary of borrowing against the house - can I have thoughts please? 

Hi,

Thanks for your post.

I wouldn’t typically recommend taking out any secured debt unless you have no other option, as it can put your home at risk if you have any problems repaying it in the future.

How much will the repairs to the conservatory cost? Will it be possible to fund them by stopping or reducing the payments to your unsecured debts for a few months? If you have other debts but are already struggling to cover your general spending, I’d recommend getting full debt advice before you make a decision.

We would need more details to be able to give you specific advice. If you’d like to create a budget with StepChange you could use our online tool or give us a call to speak with an advisor.

I hope this helps,

Aidan