Please help £75k debt!

Lighthouse81

Also another question, I have put in an affordability complaint with Monzo, if I stop paying do I still speak to them about this if they contact me as obviously the advice is not to speak to creditors until the debt has defaulted, I am told I will have their final response by 11 Nov, should I do affordability complaints with all mine and my partners loan and credit cards? 

RAS

Let's try to separate out your finances. Your wife has separate debts. I appreciate that your account has been paying these but since they are in her name, the decision on whether has to be made by her, in discussion with you. There's no requirement to treat creditors equally but you'd be better to transfer funds to her rather than pay directly.

If you keep a joint bank account her credit rating will be wrecked by your debts. If you keep separate accounts, then there may be some sense and she may want to maintain a better credit record. 

Particularly as her income is going to increase and then she can pay more or all of the debts in her own name? Her Monzo account can be cleared quite quickly.

Meantime, you'll not be paying anything towards the debt in your name and saving an emergency fund. I'd suggest that you split the funds and each have a basic ISA, but neither take anything out without joint agreement.

Are you likely to get another bonus next year?

Lighthouse81

Yes we have made the decision to continue paying her debts which she will pay from her own account and I will transfer the funds to help do that, I like the idea of seperate ISA’s especially with my history that if anything was to happen she would have some funds to help her out that I have no access to. Not that I am concerned by that but also not naive enough to know it couldn’t. I am currently moving all priority bill D/D to my new account ready and making sure address and my new email address are all current on these, the only one I am concerned about and I know I have sort of asked but just need clarification, if I don’t pay my NatWest C/C that won’t affect our new mortgage guarantee in 2027 and how do I change DD details for my mortgage without it being applied to my card as they are linked on the same app. 

Thanks for all the help so far, I feel so good right now feeling like I’m actually doing something to help the situation, I called and spoke to my partners mother last night and explained everything as they are close and I could see it was bothering her to try and hide all this, she was really supportive which makes me just want to climb out of this hole more! 

Lighthouse81

I am unlikely to get a bonus next year but it could happen depending on the market.

Also I said the car HP was in her name but on going through everything it’s actually in mine, I assume if I just continue to pay as I have always had this won’t be affected by any of this at all? 

RAS

Secure debt needs to be paid before you look at consumer debt.

With respect to the mortgage, you need advice on the app. 

But the basic is that if it's in joint names, either of you sign in and select another fix without a credit check. Hopefully someone here understands the Nat West app?

wolveswolves29

I’d definitely be sending of affordability complaints off to the debts first step and go from there mate , you done the hardest part in owning up to the issue! 

itsthelittlethings

RAS said:

Secure debt needs to be paid before you look at consumer debt.

With respect to the mortgage, you need advice on the app. 

But the basic is that if it's in joint names, either of you sign in and select another fix without a credit check. Hopefully someone here understands the Nat West app?

Priority debt needs to be paid.

Lighthouse81

Morning so me and my partner have opened two new bank accounts,( single not joint) one to use purely for bills and the other for everyday spending and saving
An emergency fund . my plan this weekend is to move all priority bills along with my HP car finance to my new account I have already sorted my salary to be paid into this new one.

order a PAYG SIM card and change all the credit card + loan accounts contact number to this and make sure addresses are all up to date to reduce the amount of calls  I get ( as I use my phone for work so would be a nightmare)

cancel direct debits too my loan, credit cards etc and write a template letter to send to each of them to tell them to only contact me by post.

should we close our joint account with Monzo, as we have no overdraft on this ( they are each on our personal accounts) as this will remove another financial link leaving just the mortgage.

and does anyone have a definitive answer if I stop paying my NatWest credit card can it affect me getting a new mortgage with them if I just product transfer as otherwise I will have to continue to pay that one 

Is there anything I am best to do? 

I have contacted step change and put all the details on there so when the debts default I can start to make a plan to try and self manage dmp  though not really sure what I’m doing or get them to take it over.

Assuming they are going to default at different times do I need to wait for them all to default before I contact them again or can they take over the debts one by one? 

I understand priority debt needs to be paid but with the regards to the car as it’s in my name this won’t cause an issue with the defaults will it, or when it’s paid in two years ( and no longer on finance) there’s nothing they can do with it? 

ManyWays

 if I stop paying my NatWest credit card can it affect me getting a new mortgage with them if I just product transfer
it won't affect you getting a new fix on the mortgage assuming there are no mortgage arrears. See https://www.natwest.com/mortgages/switch-mortgage-deal.html#promise

sourcrates

Secured debt and unsecured debt are two very separate animals.

Your mortgage is secured on your home, so if you don`t pay it, they can take your house.

With unsecured consumer credit cards and loans etc, there is no security, so they are treated very differently.

A re-mortgage with your existing lender does not normally require a credit check, as you are simply changing financial products with them, that is all a business looks at, your payment record for the mortgage, nothing more.

You can have numerous defaulted unsecured credit accounts and it won`t make any difference, the only issue would be if you attempt to change lender, then a new credit check would be done, which you would likely fail.