Soooo many late payments between us

KeepOnKnitting

Looking2thefuture said:

We are 31 and 32 so not that young and have been living ‘at home’ with the in laws for 6 years. We just want/ need our own space and want to start a family in the next couple of years.

feel like we are finally getting somewhere but now I’ve posted I feel it’s buster my bubble. Nobody wants to be 35
licinf with their in-laws for 10 years with no home and not able to start a family. 

OK, @Looking2thefuture I gave you the nice post that was all about your goals and what a great situation you can be in if you just put in a little effort. The motivational one.
Now I am going to tell you to suck it up, buttercup. You spent all your money and way more in your 20s or on your wedding, and now you have to pay back what 20-something you borrowed. It only costs about £200 or so to get married, the rest was window-dressing. That's fine, but own your spending. You could have saved that money for your deposit. You are still in an enviable position at only 31 and 32. You could be buying a house at 32 and 33, but instead you are whining. If you don't like the freaking sweet deal that your in-laws are giving you and have for SIX YEARS while you blew all your money on stuff that doesn't last and still needs paying for, then move out and pay rent like the rest of us who don't live off our parents.

Looking2thefuture

I do own my spending hence why I’ve paid off £14k of debt in the past 5 months. I posted asking a direct question about mortgages. This isn’t my debt free diary. I understand the sentiment surrounding your ‘tough love’ the  but the execution is lacking. I hope your talk to people a little better face to face. Please don’t try to presume my situation or how I treat or feel about my in-laws, that is unrelated to my post about late payments and any potential mortgage. 

heston2014

Looking2thefuture said:

I do own my spending hence why I’ve paid off £14k of debt in the past 5 months. I posted asking a direct question about mortgages. This isn’t my debt free diary. I understand the sentiment surrounding your ‘tough love’ the  but the execution is lacking. I hope your talk to people a little better face to face. Please don’t try to presume my situation or how I treat or feel about my in-laws, that is unrelated to my post about late payments and any potential mortgage. 

You will need a mortgage broker who specialises in Adverse mortgages to help you. You are on the right track in terms of clearing down your debt, don’t feel pressured to get a house now, it is possible, but you’d want to work on reducing your outgoings as much as possible as this would work in favour of affordability from a lender’s perspective.
As others already mentioned, wait for the late payments to drop off. If I was a lender and with  that many late payments, I would be very concerned about you being late with mortgage payments and struggling to keep up with other costs associated with owning or renting a property.

So keep working on getting your finances in shape and before you know it, you’ll be able to bag a good mortgage deal in no time.

Clear off higher interest debts first, you don’t necessarily have to zero out every debt, but reducing it down to less than 50% of your overall debt and no late/missed payments going forward will be taken into account by lenders. In the meantime, look past the “in our thirties, still living with parents” - it’s a luxury for you right now as it gives you time to save up more and get finances in check. We didn’t get a mortgage until our late 30s as we weren’t good with our finances back then, but it’s never too late, we’re in a much better financial position now, good credit history and currently awaiting decision on a second home mortgage application. So it is possible, just get your finances in check and be patient, your time will come. 😊

csgohan4

Looking2thefuture said:

I do own my spending hence why I’ve paid off £14k of debt in the past 5 months. I posted asking a direct question about mortgages. This isn’t my debt free diary. I understand the sentiment surrounding your ‘tough love’ the  but the execution is lacking. I hope your talk to people a little better face to face. Please don’t try to presume my situation or how I treat or feel about my in-laws, that is unrelated to my post about late payments and any potential mortgage. 

To be fair life is a choice and you are now reaping those choices. Sadly you are in alot of debt and have to clear this to have a reasonable chance to get a house you can afford and want. 

Posters can only go on what you posted, and others will read this in the future and see this as a lesson as well not to spend what they don't have. 

I know people who just got married in the registrar and went for a cheap meal at pizza hut afterwards. Call them cheap if you must, but they have a house and are not in financial trouble. 

Reality bites and it certainly does for you, we are not here to tell you what you want to hear, there are other forums to tell you this and that you will be fine and apply for a mortgage e.t.c. 


But looking at your numbers, it will be difficult to buy at this time, you have effectively more loans than deposit.  

Keep saving and smashing that debt, no shame in not having your own house yet, it isn't a race. 

orange-sox

Honestly, in your position I would use the 10K you have set aside to pay off the highest interest debts, and continue to focus on clearing your debts before you consider mortgages. An adverse credit broker will be your best bet in the long term to guide you towards your ultimate goal of home ownership, but right now in the current climate I would imagine that you'd be way too high of a risk for certainly any mainstream lenders unless you have absolute job security, and can demonstrate responsible use of credit since your last missed payment. 

I mean this in the nicest possible way, but a mortgage lender is not going to accept a missed payment on the basis that a pay day changed. You've made some great headway with servicing your debts since your LBM, but it will take continued commitment to get the stage of a mortgage in the current financial climate. 

RyanHello

I wouldn't even be thinking about buying a house if I had 11 months of missed payments from a CC. 

Imagine yourself and wife are scraping by on a variable 30 year mortgage..The interest rates on mortgages are that low, they are bound to just go up! THINK of it! It will be a huge disaster for you. 

Get the debt paid, rent somewhere for a while and save for a BIGGER deposit. What is the rush?

KeepOnKnitting

Looking2thefuture said:

I do own my spending hence why I’ve paid off £14k of debt in the past 5 months.

Brilliant. Keep going!

Looking2thefuture said:

I posted asking a direct question about mortgages. This isn’t my debt free diary.

I answered the question; I said keep paying off debt and saving for 15 months. Maybe this should be the start of your debt-free diary?

Looking2thefuture said:

I understand the sentiment surrounding your ‘tough love’ the  but the execution is lacking. I hope your talk to people a little better face to face. Please don’t try to presume my situation or how I treat or feel about my in-laws, that is unrelated to my post about late payments and any potential mortgage. 

I don't think you do understand the sentiment at all. I would love to be only 32, happily married, in secure and cheap accommodation, having supportive family, earning good money, paying off debt at a speedy rate, planning a future with my spouse and with the worst of my financial mishaps behind me if I can only be a little bit patient. At present, a mortgage will be a massive stretch on your finances. In a year it will be plain sailing. You are so lucky.

phillw

orange-sox said:

Honestly, in your position I would use the 10K you have set aside to pay off the highest interest debts, and continue to focus on clearing your debts before you consider mortgages. 

Right, if you owe more than you have in your savings account then you don't have any savings and are in effect borrowing them (which is only ok if you're making more interest on the savings than the debts are costing you).
Move the savings to the highest earning interest account you can find, then pay off any debts with a higher interest rate. Keep an emergency buffer, which can be smaller if you have a 0% purchases credit card.

MovingForwards

@Looking2thefuture there is one broker who deals with a lot of adverse history clients, who normally posts on these boards, have you thought about approaching him for a bit of a chat, see how your expectations match reality? 

At least then you can plan ahead, have an end date as to when you may be able to get a mortgage etc. There's nothing wrong with chipping away at debt and saving at the same time, it's what I did.

I can see why people are posting what they are, I can also see it from your perspective. You need to find out what is feasible for your exact circumstances rather what you have posted here.

Looking2thefuture

Thanks for the replies and apologies for the earlier post. Tough love isn’t what I wanted but it is what I needed. Just paid one of the loanA off with a settlement of £3700 and saved myself £4K interest!! The interest clearly shows my position in the borrowing market and think I’ll be at the bottom of the pecking order even more so after the effect COVID-19.

I work a 9-5 then also have a second job Which I’ve been able to do more shifts during the lockdown so all bills are paid on the 1st then basically my wife’s wage and most of min go on overpaying on the debts now.

Thanks again for the replies, very much appreciated