Am I in debt crisis yet?

gabriella90

Hi all

After a few ignorant months, i'm back i have managed not to reduce my debt and have instead racked up another £2000. Not only am i dissapointed in myself but i really have got to sort this out.

I have 4 debts
Loan with Egg £10891 7.9% with facility to over pay finishes Jan 2012
CC1 Barclaycard £4031.51 0% runs out May
CC2 MBNA £1757.35 0% has just finished so only paying interest
Overdraft £1000

Any help on sorting myself would be greatly appreciated. I know i can reduce my spending its comes from using my switch card and not thinking.

When i last came on here i was thinking of consilidating which i didn't do, and have also just found out that i can't get anymore credit which has made things really hit home. I'm beginning to struggle each month and just don't know what to do.

I spoke to Directdebtline (charityone) and they have sent information and have maybe recommend that i write to my creditors and ask to have my interest freezed and make a lower payment, or go through the CCCS and set up a debt managment plan. I am very wary of doing this as i know that it can effect your credit rating. I have not defaulted on any of the above and have always paid on time.

The main reason of also not doing this is also that my better half doesn't know of my situation and we are due to remortage in a couple of years. I know its a couple of years but maybe just maybe if i am super strict i could get myself out of this on my own, and woth your help:rolleyes:

I have done some reading and there is an article on snowballing my credit card that has the lower amount higher interest, then move on to the next one. Using any extra money left to pay off even more. My only worry is that my Barclaycard will not be 0% in May.

I have looked at everything and all my bills are at the lowest i/my partner can get them. my biggest thing is to stop my spending on non neccessities.

Any advice greatly received and wil be taken most sriously this time.

Thank you x

tifnstav

looking at what you've said you've got about £17000 to deal with and I think it may be worth broaching the subject with your OH - even if only to give you support in not buying unnecessaries.
are any of the debts joint? if so, OH should be helping you out. if not, then you might at least have a hand to hold.
Put up your statement of affairs (SOA) so that the wise old owls of MSE can give a bit of wisdom.
good luck.

System

Debt crisis is if you are unable to meet your minimum payments and your debt is spiralling out of control. We really need to see your SOA to determine wheter you are in debt crisis. Stick it up. Lenny