Would You DO This? Increase Mortgage To Clear Debts

all_hours

its generally not a good idea to turn unsecured debt into secured debt.

i dont think you need to worry about what the dcas will do in the long term. after a review theyll more than likely accept the pro rata amount set by the cccs.

why wont the halifax stop the interest - has the debt been defaulted.

if the dmp payment is getting you down - why not put up a new soa - the other dfws could have new ideas for you.

Broken_hearted

Haifax are like that wouldn't stop adding interest till we stopped paying for three months and it went to a dca.

loopylu36

rayday2 wrote: »

Sorry to throw a possible spanner in the works.. but if you have bad credit which you do if on a DMP then you will have impacted your husbands credit rating and when you come to remortgage could end up with a higher interest rate. Of course you won't know until you try. Is the mortgage just in his name or joint?

I hardly get any letters anymore and I am nearly two years into mine. I treat it as an interest free loan and take it day to day.

Hi Rayday

Am I right in thinking that you manage your own DMP? Perhaps i should put this query on the DMP thread rather than bog this one down?

rayday2

Yes I do manage my own.

Jelly_Babies

Hello

Personally I wouldn't do it. As others have said, it is still a debt accruing interest and it puts your house at risk. Could you not continue as you are, and let your OH take control of the finances and give you an allowance anyway? It would mean that there is no temptation to spend and you are still plugging away at the debt without stacking up more interest.

I completely understand how tempting it is, I have a huge amount of debt and enough equity in the house to pay off the debt, but my house is the only financial stability I can offer my children and I would hate to jeopardise it.

loopylu36

rayday2 wrote: »

Yes I do manage my own.

Thanks have posted again and asked your advice on DMP thread

Broken_hearted

There is still the risk rates go shooting up in the near future which would put the house at risk. I will admit looking at it as an option but it wasn't worth the extra stress.

ree1971

:mad: MY OH DONT PAY NOTING TO ME AT ALL DONT NO WHERE HE IS SO EVEN HIS DEBTS ARE STILL COMING TO ME I HAVE TOLD THEM HE DONT LIVE HERE ANYMORE BUT THEY STILL PESTER ME AS THE HOUSE IS IN JOINT NAMES:eek:

Jelly_Babies wrote: »

Hello

Personally I wouldn't do it. As others have said, it is still a debt accruing interest and it puts your house at risk. Could you not continue as you are, and let your OH take control of the finances and give you an allowance anyway? It would mean that there is no temptation to spend and you are still plugging away at the debt without stacking up more interest.

I completely understand how tempting it is, I have a huge amount of debt and enough equity in the house to pay off the debt, but my house is the only financial stability I can offer my children and I would hate to jeopardise it.