I am stuck

OverSpender89

Hello there, I am a bit stuck on what to do. 

I owe around £30k to debt. I am a homeowner and do have money in (our) property. However, I cannot get to it because we also have a £75,000 Help To Buy loan on it.

If I start a Debt Management Plan I can't buy out the £75k. If I don't buy it out I can't take out any of the money I have in the house.

So my option really is to drown in debt and lose my head.

Any advice on what I can do?

Thanks, 

sourcrates

Hi, 
Start with a statement of affairs, (link in my signature) then we can figure out what you can afford and what you can`t.

As a homeowner, you only have the choice of debt management or IVA, a DMP is very flexible.

Lets see the figures first, then we can advise.

OverSpender89

Hi Sour - I have filled all that out on StepChange. It's more whether there is a way around getting money out of my house while a Help To Buy is still on it. That is up in March 2026 but that's a long time to keep treading water

RAS

Please, please do NOT secure consumer debt.

Fail to pay consumer debt and very little happens other than not being able to get more credit.

Fail to pay the mortgage and you lose the roof over your head, and that of your loved ones.

sourcrates

Its not a good idea to secure consumer credit debt, what do you have available for credit repayments??

Have you tested enforceability of your debts?, would any be subject to an unaffordable lending complaint?

There are a few things you can do.