My husband doesn't know...

ssearson89

Ok, I'm glad I got your attention. 

Unfortunately it is true. My lovely husband doesn't know about my credit card debt, and at the minute telling him just isn't an option. I'm very open with him on everything else in life - I'm just too embarrassed to tell him about this. So please don't give me any marriage advice. I am completely unwilling to let him know about it. I'd rather confess (and probably will) nearer to the finish line of paying it all off. 

So the situation:
4 x credit cards
Totalling around £24,500

I can't get a free balance transfer card or interest free card, or even a loan to compile all of the debts together and pay just one monthly amount. Trust me, I've tried. 

I am paying all of the cards minimum amounts each month, and haven't defaulted on these for quite some time. The monthly minimum payments usually equal around £700 a month. 
However then I'm getting charged around £450-500 a month in interest for all of the cards. They're all 26.9% APR give or take.

It's like a bad game of snakes and ladders. It's depressing. And I know it's all my own silly fault for getting in this situation in the first place.

I've taken on a couple of side hustles to help with the financial situation, and I have a million-and-one-things to sell on Vinted etc, which will help. 

I need to shift a lot of this debt within the next couple of years. My husband and I plan on buying a house in my name (we have a decent LISA). However my credit rating needs to be spot on. At the minute it quite rightly says that I have too much credit/debt. So an IVA and even a DMP are really out of the question - I can't have anything that is going to make my credit rating any worse, or flag up on my report. 

Has anyone had any luck with writing to their debtors to ask if they can freeze the interest/cards and just allow the borrower to pay it back? a bit like a debt management plan, but without the mark on the credit report. Is this possible? 

I'm more than 'happy' to pay all of my debt back. I just can't let my husband know, and can't have it affect my credit score. 

Thank you x

**Edit - the credit cards are with: Santander, HSBC, Sainsburys and MBNA

sammyjammy

There is nothing to stop you asking, you may get a temporary stop on interest if your question is compelling enough and their company rules allow it but generally no, if you want interest stopped they are going to put some kind of marker on your record.  If you post a statement of your income and outgoings including the credit cards and their rates people might be able to make some suggestions but its mostly a case of spend less and/or earn more and chip away at it, pay minimum on all but the highest interest card first.

ssearson89

Thanks @sammyjammy. I thought this might be the case. I've spent hours scouring over whether this is even possible, hence writing the post to see if anyone has had any luck.

twiggy86

I can't remember the exact context but I do recall a very simple and painless call with Barclays where they dropped my interest rate from 24% to 6/7%. So it's probably worth a call to ask if there is anything they can do - they won't necessarily know that other options aren't available to you and the worse that can happen is they say no?  

BoGoF

Even if you get an arrangement with the creditors then it is going to be noted as an arrangement to pay on your credit file making it very difficult to get mainstream credit. There is no way out of that, they have a duty to report the facts.

Unfortunately I see no way out of your predicament without telling your OH. At the current rate of only reducing the balance by £200 a month then you are still going to have £20k debt in 2 years time unless you find a way to pay more.

Hopefully the cards have now been cut up?

ssearson89

Hi @twiggy86. Thank you!! I will certainly give that a go. I did try with HSBC a few months ago in-branch, however they weren't that helpful. I will definitely give it another shot though thank you for that little bit of motivation!

@twiggy86 can I ask if it impacted your credit rating please?

BoGoF

Is there a reason why the house is going to be in your name? Just noticed you had said that?

ssearson89

Hi @BoGoF - the lifetime ISA is in my name, hence why the new house (when we're in a position to get one) will be in my name and not his. I'm still classed as a first time buyer as I've never been on a mortgage. 

ssearson89

Although they're not touched, and out of sight, I will definitely be cutting them up @BoGoF

enthusiasticsaver

Just to say an arrangement to pay will put an AP marker on your file which takes longer to drop off than defaults. Regardless of whether or not you tell your OH I think you will need to manage expectations that you won't be in a position to buy a house in 2 years time if the balances are only coming down by £200 a month..  Are you even managing to save in the LISA? I would prioritise repaying the debt first. I would also say that the debt will already be affecting your credit record as you will be shown as being over leveraged.   

Cutting up the cards is the first step so you cannot continue to build the debt up.  Side hustles are good for extra income. Doing a detailed soa (statement of account) may help us advise better. A DMP is an informal arrangement but the defaults will stay on your file for 6 years.  AP markers don't drop off until 6 years after the debt has been repaid. 

liselle

I had a DMP for years, never de-faulted on the payments and even during the period of having the DMP, was offered credit cards.I maintained a savings account also, throughout, not saving much but a little, regularly.Oh and never going overdrawn.You could discuss your future plans with Stepchange.