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Original poster

bad, bad debt

13 replies

blackmonday · 05/02/2008 22:31

we're in really bad debt to the tune of about 30k all on credit cards and one personal loan. we've got a mortgage of 140k that we're paying interest only but that'll go up when our two year fixed deal ends this year. dh is self employed and bringing home only about 350 per week at moment. i'm a sahm with two small children but i'm looking for a part time job around my dh. we get the tax credits we're entitled to but are short of our monthly ougoings every month. we so far haven't missed any payments on anything so our credit rating is intact but well aware this situation cannot continue. Do we try to sell our house? We'll have about 50k left once we've paid the mortgage but we love our home, our children love their home and i will feel like we have really failed them. We might be ok and struggle on if i get work soon but i'm scared to get in such trouble we get repossessed and lose our equity. I'm losing sleep and am really scared. Anyone got any advice?

OP posts:

stuffitall · 05/02/2008 22:35

Hi BlackMonday
Sounds like you need serious financial advice from someone in the know. I mean CAB or something, or a bank. I really hope you wouldn't sell your house on the advice of someone on the internet though sod knows I love it here. No advice but best wishes x

B1977 · 05/02/2008 22:37

Sounds like you have a lot on your plate. It can sometimes take a little while to get an appointment with your local Citizens Advice Bureau so in the meantime here is their advice website www.adviceguide.org.uk/index/life/debt.htm

Original poster

blackmonday · 05/02/2008 22:38

i put all our info into a debt help website and it basically said they cant help as we don't have enough money coming in. i don't know why i've posted here really and don't know what i expect people to say but i'm just hoping someone might have a similar experience and could offer some advice

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noddyholder · 05/02/2008 22:41

Sell it is only a house and your peace of mind is more important.Loving your kids is all they really need and if you didn't do that you would fail them but to rent somewhere for a few years and get yourself straight would be the best thing imho and then buy again when you are back at work HTH

bubblepop · 05/02/2008 22:41

hello,could you sell your house,it would'nt be the end of the world would it if you did? better to take control now then let it run away with you..

LadyOfWaffle · 05/02/2008 22:42

Is there a way to put it into your mortgage? Get a loan? Shift to 0% credit cards? How much do you pay out per month for credit cards and your loan? Can you get the loan over a longer term to take the pressure off for a few years? Secured loan over a long period (so in effect like adding it to your mortgage - we did this with some of DHs old debt).

policywonk · 05/02/2008 22:43

Go to the CAB. Really. They are shit-hot on this stuff. If you are really struggling they will help you to make reasonable offers to your creditors.

B1977 · 05/02/2008 22:43

Some of those debt help websites are set up by moneylending companies one way or the other. CAB should be different, it is worth arranging an appointment with them before you do something as drastic as sell your home.

Original poster

blackmonday · 05/02/2008 22:44

it's funny because i can go day to day pretending nothings wrong and that everyone has debt nowadays but 30,000 is a lot and writing it down brings that home to me. You are right i suppose, it IS only bricks and mortar and I would love to go to sleep at night debt free.

OP posts:

Original poster

blackmonday · 05/02/2008 22:48

i think i'll try the CAB. i'm worried about making arrangements with the cc companies as it would affect our credit rating wouldn't it? and with our mtge deal up this year we need to be able to shop around. I've shifted to 0% on as much of our debt as I can but our min payments are about 400 a month. With council tax and everything else it's just too much for us at the moment.

OP posts:

B1977 · 05/02/2008 22:51

Hang on in there. If you make a note to call your local CAB tomorrow for an appointment then you can go to sleep having done all you can for now. Well done for not letting it bring you down day to day, you will get through this and be the stronger for it. Best of luck.

Original poster

blackmonday · 05/02/2008 22:53

thanks for your support. I'm off to try and sleep now but I will make that appointment tomorrow.

OP posts:

madamez · 05/02/2008 22:57

Im not an expert but maybe selling the house would be a good thing to do before the property market crashes... Then you could maybe get another mortgage in a year or two.

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