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Original poster

I'm 12,000 in debt and don't work. I'm very worried is it as bad as I think?

94 replies

ajeo · 09/09/2024 22:03

It's all through money building cards, over draft and a very account for £6000. It all adds up to £12,000

I'm trying to get a payment system set up (I'm from Scotland). They have debt repayment schemes were they freeze the debt

How bad is this? I'm so worried.

OP posts:
CleanShirt · 09/09/2024 22:04

How are you going to pay it back without earning a salary?

The Apr on things like Very can be huge.

Original poster
ajeo · 09/09/2024 22:05

@CleanShirt they freeze the interest so you pay back what you owe so you can't get any more arp.

I'm able to put aside a £100 ish. I go back to work next year.

OP posts:
BertieBotts · 09/09/2024 22:05

There are debt advice charities. I would contact one of those and see what they say.

Antihistamine62 · 09/09/2024 22:06

Exactly what this poster said
get advice from a debt charity. Some local councils do a free money matters service which can help you navigate this.

llamalines · 09/09/2024 22:06

Step Change is a debt charity who will help.talk.it through with you.

Original poster
ajeo · 09/09/2024 22:08

@llamalines is this a huge amount of debt? Is it really bad?

OP posts:
BiscuitlyBoyle · 09/09/2024 22:08

What do you mean by money building cards?

Original poster
ajeo · 09/09/2024 22:11

@BiscuitlyBoyle rather than credit card it is a money builder

OP posts:
outdamnedspots · 09/09/2024 22:11

How long had it taken you to get into this debt? What interest are you paying on the Very account?

Please get advice from a debt charity.

12k is a LOT if you're not working! How did you think you would pay it back?

GuestFeatu · 09/09/2024 22:12

ajeo · 09/09/2024 22:11

@BiscuitlyBoyle rather than credit card it is a money builder

What does this mean? Like a credit card for people with bad credit?

MrsMoastyToasty · 09/09/2024 22:12

You need to speak to a debt advisor at your local Citizens Advice Bureau.

...and consider going back to work sooner rather than later.

Original poster
ajeo · 09/09/2024 22:13

@outdamnedspots circumstances changed.

I go back to work in a year

Right now I could offer £200 maybe less a month to pay. Making it 5 years paying back

When I get back to work next year I could pay more back

OP posts:
HappyShake · 09/09/2024 22:15

Ouch I've just googled money builder aka bad credit cards - 39% apr

You need some directed one to one advice op.

GoogleWhacking · 09/09/2024 22:15

ajeo · 09/09/2024 22:11

@BiscuitlyBoyle rather than credit card it is a money builder

A money builder is a credit card though isn't it? Just for people with bad credit.

I think it sounds a lot. I hate owing money and earn about £100k and have a £5k credit card debt on 0% with a sensible plan to pay it off soon and it still feels like a big debt. I can't imagine having £12k with interest being added and only £100 to pay it off each month.

Definitely speak to a debt charity.

Singleandproud · 09/09/2024 22:15

Any debt is huge if you don't have the means to pay it off without it increasing.

And 12k is huge if it's just creeped up from general outgoings, it's very small if it was planned debt for a full house renovation but this certainly doesn't sound like it was planned.

Talk to the debt charities mentioned above and then before getting into any more debt do some financial literacy work,plenty of resources on line to ensure you don't get into a pickle again with such high interest organisations.

mitogoshi · 09/09/2024 22:16

Can you work sooner, part time, freelance or something. The interest means it's getting more not less. And cut up those cards and stop buying on credit. Yes it's a lot if you aren't working in a high paying job

converseandjeans · 09/09/2024 22:17

Can't you go back to work sooner? It's a lot if you're not working.

I ran up almost £10k when children were tiny due to a run of bad luck with car repairs, new boiler etc.. DH was earning peanuts. So I had to up my hours to try sort it out.

FoxtrotOscarKindaDay · 09/09/2024 22:17

That's a huge amount of debt. You need to go to Citizens Advice and have them contact the cards/accounts for you. Are you in persistent debt (paying more in interest each month than you are off the capital)?

A credit builder card should have a limited time on it, you pay a monthly fee for a year to build your credit as repayment for a "loan". Most don't allow you to run up credit debt.

Harvestfestivalknickers · 09/09/2024 22:21

Could you get back to work sooner? I would worry with that amount of debt.

NewUserName5 · 09/09/2024 22:29

I'm in a lot more debt than you are but felt exactly the same. Stepchange have changed my life. I couldn't have done it without them.

EscapingTheseFeelings · 09/09/2024 22:31

I agree with everyone else. I have £3k on a credit card and that feels like we will never pay it off and we work, 12k is a worrying amount.

SwiftiesVSLestat · 09/09/2024 22:35

6k on a catalogue account is large amount for most people.

Is there anyway you can start work now, now next year? Are you single?

You must have some sort of income, how much is that a month and how much are your outgoings.

’a lot of debt’ really depends on a lot of things.

Changingplace · 09/09/2024 22:36

Why aren’t you working right now? How are you making the payments on the debts right now? You need to get on top of this sooner rather than later, were you working and making the payments until recently?

BiscuitlyBoyle · 09/09/2024 22:40

ajeo · 09/09/2024 22:11

@BiscuitlyBoyle rather than credit card it is a money builder

Like this? https://www.moneysavingexpert.com/credit-cards/credit-builder/

They seem to be credit cards but they build up your credit score. I assume you aren’t paying off in full each month.

Original poster
ajeo · 09/09/2024 22:41

@NewUserName5 could you message me please?

OP posts: