Consolidation Help
Hi,
I recently got a pay rise at work to £32,750 per annum. I also get a bonus of £400 a month on average. This means my take-home pay will be £2,250 after tax.
My current outgoings are:
£200 RBS (£6,000 left, was £10,000)
£270 RBS (£5,000 left, was £12,000)
£250 George Banco (£6,091 to settle, was £6,000 been paying it for 6 months)
£172 Santander (£4,000 left, was £10,000)
£750 Rent
£46 EE Contract
This leaves about £600 per month remaining, but food/travel/general living expenses come out of this.
I also have a loan of £2,000 with a less-than-favourable lender shall we say, and I wish to consolidate the George Banco (£250 p/m) one plus that one in to a lower repayment, albeit over a longer period of time.I know my salary will rise to £33,750, then £34,750, then £35,750 each February until 2020.
The Santander and £270 p/m RBS loan ends in December 2019 which is still some time away.
I have seen loans of £8,500 for £150 p/m over 5 years which would free up some more capital and allow me to overpay the others, thus freeing up more cash as my salary increase. Eventually I will be able to save £1,000 per month when all these god damn debts are cleared.
My problem is I can't get a loan anywhere (0% on Experian credit checker for every single loan) and my Mum/Step Dad won't help me despite having a 999 credit rating. I was in tears and they said 'don't worry we will sort it' but have done precisely nothing since that day in July.
Where do I go from here!?
Thanks in advance.
I recently got a pay rise at work to £32,750 per annum. I also get a bonus of £400 a month on average. This means my take-home pay will be £2,250 after tax.
My current outgoings are:
£200 RBS (£6,000 left, was £10,000)
£270 RBS (£5,000 left, was £12,000)
£250 George Banco (£6,091 to settle, was £6,000 been paying it for 6 months)
£172 Santander (£4,000 left, was £10,000)
£750 Rent
£46 EE Contract
This leaves about £600 per month remaining, but food/travel/general living expenses come out of this.
I also have a loan of £2,000 with a less-than-favourable lender shall we say, and I wish to consolidate the George Banco (£250 p/m) one plus that one in to a lower repayment, albeit over a longer period of time.I know my salary will rise to £33,750, then £34,750, then £35,750 each February until 2020.
The Santander and £270 p/m RBS loan ends in December 2019 which is still some time away.
I have seen loans of £8,500 for £150 p/m over 5 years which would free up some more capital and allow me to overpay the others, thus freeing up more cash as my salary increase. Eventually I will be able to save £1,000 per month when all these god damn debts are cleared.
My problem is I can't get a loan anywhere (0% on Experian credit checker for every single loan) and my Mum/Step Dad won't help me despite having a 999 credit rating. I was in tears and they said 'don't worry we will sort it' but have done precisely nothing since that day in July.
Where do I go from here!?
Thanks in advance.
0
Comments
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You're unlikely to get a further loan, given how endebted you currently are.
You may be able to get a money transfer card, but given you already have at least one high rate loan, I think that's unlikely.
It's not your parents' job to pay off your debts. You'll need to do this the old fashioned way - pay back what you owe.
Visit the DFW boards for advice on how to cut costs. Then put all spare cash to the highest rate debt, while paying minimums on everything else.0 -
Look - I have no problem paying back what I owe and I have never missed a payment.
My issue here is when someone says they will help, then completely blanks you, it's a bit disheartening - especially when the APR is 49.9% and they know full well they can get a loan at 3-4%, costing them nothing and allowing me to overpay on everything else.
I'm sure one day they will need a favour, perhaps in their old age, and I will surely help them out as I try to help people wherever I can. It's mentally quite tough to know I am paying a ludicrous amount of interest when I needn't, but my own bank and everybody else seems content to let it grow gradually worse.
Also, they aren't going to be paying a penny are they, simply getting the money on my behalf to allow me to make inroads in to my debt without a crippling APR. It's logical.
Appreciate the response though and I'm not having a go, but i'm at breaking point.0 -
they know full well they can get a loan at 3-4%, costing them nothing and allowing me to overpay on everything else.
Perhaps they can't. Their 999 credit rating means absolutely nothing. Or perhaps they have other borrowing requirements in mind.Also, they aren't going to be paying a penny are they, simply getting the money on my behalf to allow me to make inroads in to my debt without a crippling APR.
They'll pay more than a penny if you don't pay them back. These boards are littered with people who lent to family members and never saw a penny back.
Do a budget. Cut your costs.
You need to take control of your own destiny. If your parents decide to help you, then great. If not, at least you'll have a plan.0 -
I have a plan already, and it's slowly bearing fruit - I want to make the most of my salary increase by reducing my repayments, that's all. I know I can pay it quicker if the APR was at least reasonable.
I'm not asking them to pay anything on my behalf, and I am not the type of person to borrow money off someone and not pay it back, so that 'board littered with people' comment doesn't apply to me.
Whilst I can appreciate a 999 credit rating means nothing, I know from speaking to them that they have no other borrowing - the only thing stopping them from making an application (to at least TRY and help me) is the fact they think 'it's not my problem'. So the 999 credit rating is better than my 760 credit rating. I'm waiting for £8,000 I paid off to drop off my report also, which may boost my chances a little.0 -
I have a plan already, and it's slowly bearing fruit - I want to make the most of my salary increase by reducing my repayments, that's all. I know I can pay it quicker if the APR was at least reasonable.
I'm not asking them to pay anything on my behalf, and I am not the type of person to borrow money off someone and not pay it back, so that 'board littered with people' comment doesn't apply to me.
Whilst I can appreciate a 999 credit rating means nothing, I know from speaking to them that they have no other borrowing - the only thing stopping them from making an application (to at least TRY and help me) is the fact they think 'it's not my problem'. So the 999 credit rating is better than my 760 credit rating. I'm waiting for £8,000 I paid off to drop off my report also, which may boost my chances a little.
Did anyone else get you into debt?
No?
Then get to the DFW boards.
It's a hard lesson, but you need to be financially independent for your own benefit. Use all the extra you have earned via your pay rise to snowball your debts, and then you can look at refinancing down the line when your debt to income ratio improves.
In debt and looking for help? Look here for the MSE Debt Help Guide.
Also, If you need any free and impartial debt advice, the National Debtline, Stepchange, and the CAB can help.0 -
Did I say anybody else got me into debt?
No.
Doesn't really matter which board I'm on either, the post would be exactly the same. I've read a lot of material on there as well and it's all proven quite useful, unlike your comment. I am aiming to snowball them, I just want to be able to make a real difference each month and at 49.9% APR it's like one step forward and two steps back.0 -
Did I say anybody else got me into debt?
No.
Doesn't really matter which board I'm on either, the post would be exactly the same. I've read a lot of material on there as well and it's all proven quite useful, unlike your comment. I am aiming to snowball them, I just want to be able to make a real difference each month and at 49.9% APR it's like one step forward and two steps back.
If you read the DFW boards, you'll find materials, and examples of people in situations like yours.
You'd also be encouraged to post a full SOA where people there will advise on ways to balance your books better and make inroads into your debt.
People here are not fans of consolidation loans, guarantor loans etc, but are fans of helping people willing to face up to the fact that more borrowing is not your way out of debt, and never will be.
In debt and looking for help? Look here for the MSE Debt Help Guide.
Also, If you need any free and impartial debt advice, the National Debtline, Stepchange, and the CAB can help.0 -
This leaves about £600 per month remaining, but food/travel/general living expenses come out of this.
Do you live on your own? £750 for rent is a lot, can you take a lodger or up your income any other way? Have you got anything to show for those loans, anything to sell? What do you need to pay from that £600. Do an SOA and I'm sure people can help you cut down more and chuck it all at the highest interest first. Just pay minimum where you can and throw it all at the highest interest as not to let that one get worse. I know it's disheartening but you signed on the dotted line knowing the interest. Once this one is gone it will feel a lot easier.
Good luck
BTW with a debt of over 50k to an income of 32 k I don't think anyone will loan you more as they can't guarantee you consolidate.DEBT 09/23: CC 6347 5120, Other 1763 NSDs 0/20 Planned debt free date: Dec 20240 -
My issue here is when someone says they will help, then completely blanks you, it's a bit disheartening - especially when the APR is 49.9% and they know full well they can get a loan at 3-4%, costing them nothing and allowing me to overpay on everything else.
Is that a guarantor loan? who is the guarantor? If your mum, the time for discussion about alternate loans would have been before this was taken out
If you post up your soa on the debt free wannabe board you will likely get some help with your budget allowing you to focus on paying down the high interest debt first0 -
I have a plan already, and it's slowly bearing fruit - I want to make the most of my salary increase by reducing my repayments, that's all. I know I can pay it quicker if the APR was at least reasonable.
Surely a more positive use of a salary increase would be to increase repayments.0
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