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Help needed

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catlovesjim
catlovesjim Posts: 1 Newbie
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edited 21 July 2023 at 11:29AM in Debt-free wannabe
I’m looking for some guidance/help. 
I’ve currently got 2 loans with nationwide for a total of £21k alongside 2 credit cards totalling £3k I’m currently paying £890 a month on the loans with 27 months remaining and £300 a month on the cards whilst still be charged interest. Alongside other household bills and the general cost of living I’m starting to real struggle, 60% of my income is going on debts alone and with 27
months to go I’m struggling to see the light at the end of the tunnel. I’ve spoken to Nationwide about rewriting my loans a bit it’s not currently an option, they’ve advised they can look at this again in a few months. I’ve been exploring options to what I can do to try sort out the mess I’ve got myself into, I should have £1500 a month disposable income but with the debts I’m paying I don’t have very much left for a month once I’ve paid everything, I keep trying to find a debt consolidation loan but no one will consider me with the debt I already have although a £24k loan over 5 years would be around £500 a months and clear all the debts I have then I would pay that loan provider every month comfortably, would a bank look into the nitty gritty details of something like this if I was to approach them or is it that the credit scoring system overrides everything. 

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  • MattMattMattUK
    MattMattMattUK Posts: 9,004 Forumite
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    I’m looking for some guidance/help. 
    I’ve currently got 2 loans with nationwide for a total of £21k alongside 2 credit cards totalling £3k I’m currently paying £890 a month on the loans with 27 months remaining and £300 a month on the cards whilst still be charged interest. Alongside other household bills and the general cost of living I’m starting to real struggle, 60% of my income is going on debts alone and with 27
    months to go I’m struggling to see the light at the end of the tunnel. I’ve spoken to Nationwide about rewriting my loans a bit it’s not currently an option, they’ve advised they can look at this again in a few months. I’ve been exploring options to what I can do to try sort out the mess I’ve got myself into, I should have £1500 a month disposable income but with the debts I’m paying I don’t have very much left for a month once I’ve paid everything, I keep trying to find a debt consolidation loan but no one will consider me with the debt I already have although a £24k loan over 5 years would be around £500 a months and clear all the debts I have then I would pay that loan provider every month comfortably, would a bank look into the nitty gritty details of something like this if I was to approach them or is it that the credit scoring system overrides everything. 
    I would recommend you complete a full SOA and post it so that people can help properly, there are many knowledgable people who will be able to help you. It will also be useful o have one ahead of speaking to StepChange (a debt advice charity).

    Use the link to create an SOA, export it in MSE format and post i there. 
    https://www.lemonfool.co.uk/financecalculators/soa.php
  • MEM62
    MEM62 Posts: 4,825 Forumite
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    General wisdom is that you cannot borrow your way out of debt.  Stick up an SoA as suggested.  The solution is likely to be cutting back expenditure as much as you can (be brutal!) and throwing everything you can at the debt until it is cleared.     
  • th081
    th081 Posts: 132 Forumite
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    What is the reason for this debt, you have a 21k loan and 10k credit card debt. Was it earlier consolidation. 
  • sourcrates
    sourcrates Posts: 29,310 Ambassador
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    Post your SOA on the debt free wannabe board, that way you will get advice on how to tackle this in the right way, no more borrowing, as that never works, we`ll see you soon.
    I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter
  • enthusiasticsaver
    enthusiasticsaver Posts: 15,763 Ambassador
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    I would advise you post an soa on here so you and we can see whether your budget is tight or unsustainable with the current debt situation.  You may need to consider a debt solution like a DMP.  Were the debts consolidation loans? 
    I’m a Forum Ambassador and I support the Forum Team on the Debt free Wannabe, Budgeting and Banking and Savings and Investment boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.
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