Loans

Loans

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Is a loan possible?

Hi everyone,

I received a recommendation to this site and here goes my first posting:

I don't know whether to risk applying for a loan (and being potentially refused) and damaging my credit rating. I feel I have only one shot at it, and don't want to be in an even worse situation.

I'm earning an ok wage (28,800 gross) as a contractor through an agency. I'm a tenant in private accommodation, with no equity. I have the following debts I wish to consolidate somehow:

1,300 student loan - repayments being made to a debt agency at £50pw
500 Credit card - account about to go to debt agency if I don't make payment asap
1700 overdraft on closed account - If they find me I'm probably going to be made bankrupt.
400 old rent payments.

I want to get them off my back as soon as possible, and just have a single monthly payment.

I can afford about £200 a month at the moment after everything else.

My credit rating is probably in the minus somewhere. I have no idea what to do.

Has anyone crawled out of this kind of situation? It would be madness to be made bankrupt for this. As far as i know I have no CCJs, but I do have arrears.

I so hope someone could advise, the stress is building. It's great that there's such a site as this online.

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Comments

  • Posts: 1,919 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    £4000 total debts and you can afford £200 per month to pay against them?
    Doesn't seem like you have too much of a problem - only that you've been ignoring the situation maybe.

    Try talking to someone about it - CAB and CCCS sound like a good start.
    Have you talked to the various companies?
    Why are you £400 behind on rent if you have £200 per month free to allocate?
  • Thanks for your reply nrsql,

    I went through several years of the depression/medication nightmare which really messed me up and took me off track from these realities. I've only recently started to recover from this, and am addressing my finances as one of my highest priorities now.

    I had been ignoring the situation, which has led to this problem.

    I'll be in touch with CCCS and CAB tomorrow lunchtime and see what they say.

    It's hard to explain, but when you're down and destitute for a while it's hard to take stock of financial commitments let alone tackle them.

    The main issue is it seems I have only one shot at this loan and I need to get it right. If I apply for credit and it's refused then I'm really 'without a paddle', and I don't want to get ripped off or stung with interest rates etc.

    Does anyone know of any companies they can recommend?
  • Posts: 903 Forumite
    Part of the Furniture Combo Breaker
    Sorry, I can't recommend anyone. I just wanted to say that I completely understand how your circumstances have lead to the situation you're in, and congratulations on attempting to tackle the situation and get back on track.
  • I just want to say well done for taking the first steps towards deling with this, and good luck to :T .
    I think that going to CAB is one of the best moves - as well as giving you good advice they may also be able to liase with your creditors, and give you info about companies that offer "subprime" loans.
    Once you start to repay these debts, and improve the way you manage your finances you'll rebuild your credit record too...
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