Debt consolidation loan?

mick8020

Hi everyone hope your all well

I'm looking for any advice 
My credit rating is slowly going back up after taking out small door step loans and a sim only contract 
But I still have alot of debt that I just wouldn't know where to start to clear off 
I don't want to declare myself bankrupt to clear these debts there for small things from my past but add upto £8000 which I'm guessing is interest added 
Because my credit is still really low I can't even get something simple as a payday loan or catalogue 
Where would I stand with a debt consolidation loan 
I want a clear credit history because I'm hoping to purchase a house in the next few years and don't want old debt preventing this 
When I was in my 20s I took advantage of credit and looking back I'm so mad at myself 
Any advice would be appreciated in how to start getting my credit clean 
Thank you

poppasmurf_bewdley

You can't borrow yourself out of debt.

You need to concentrate on paying off your debts, but send a CCA to all your outstanding debts to see if any are unenforceable.  

I've been where you are, and it takes time and effort.  There is no simple way, and certainly not consolidation.  

Hoorah

Consolidation loan is a big no no and you end up paying alot more back. 

Also I worry about your mentality towards this debt and that needs to change first. You mention consolidation loan and getting payday loans/catalogue accounts in the same post. What would end up happening is you'd take a consolidation loan then rack up further debt on catalogues etc.
 
 You need tackle the debt as it is, there is alot of help available here. Start by posting a full SOA. 

fatbelly

mick8020 said:

Hi everyone hope your all well

I'm looking for any advice 
My credit rating is slowly going back up after taking out small door step loans and a sim only contract 
But I still have alot of debt that I just wouldn't know where to start to clear off 
I don't want to declare myself bankrupt to clear these debts there for small things from my past but add upto £8000 which I'm guessing is interest added 
Because my credit is still really low I can't even get something simple as a payday loan or catalogue 
Where would I stand with a debt consolidation loan 
I want a clear credit history because I'm hoping to purchase a house in the next few years and don't want old debt preventing this 
When I was in my 20s I took advantage of credit and looking back I'm so mad at myself 
Any advice would be appreciated in how to start getting my credit clean 
Thank you

You haven't said what these old debts are but they are unlikely to be adding interest. Most debts get defaulted, with interest and charges frozen after 6 months of missed payments. The debt then drops off your credit file six years after the  default.

If you're moving towards a house purchase you're obviously saving for a deposit. The most cost-effective way is to offer enforceable debts a lump sum in full and final settlement, out of your savings pot.

What we mean by enforceable debt is those that have been able to comply with a cca request if that is relevant, and are not statute barred. Statute barred is where there has been a six-year period where you did not make a payment or acknowledge it in writing, and no court claim has been started.

Don't focus on credit score but do think about credit history. Multiple doorstep loans do not look good. At some point you'll be able to get a credit card,  if you keep checking the pre-eligibility checker on this site, which you must pay off in full each month

Suseka97

As has been said, consolidation is not the answer here.  If your debts are old and already defaulted then the damage is done as far as your credit history goes, but time is a great healer.  Even with defaults it is possible to get a mortgage, you just need to speak to a broker with experience of adverse credit.  It's best to follow the advise to work at clearing the balances by way of full and final settlements, firstly having determined whether the debts are enforceable or not or depending on their age - whether they are now statute barred.