Please tell me this doesnt mean my life is as shit as I think it is

[bolshybolshevik]

We are not happy where we live, I hate in actual fact, but cannot move due to negative equity.

Today we had to phone our BS to reduce our mortgage from repayment to intrest only. We cannot switch lender as we do not have enough equity in the house and our BS is one of the ones that isnt reducing their SVR. When our fixed deal ended last month our mortgage went up and due to a cut in both mine and DHs hours we cannot afford the increase.

So now not only are we trapped but we are not even paying our way out.

Please someone tell me this isnt as bad as it seems

You really need to sit down with someone who can work out your budgets and work out what is best for you to do in the long run.

Why aren't they reducing? Who is it with?
The one thing that is keeping most people going is the cut in the mortgage rates.

Go and talk to an IFA - not one linked to a bank etc - and not one who deals with people in debt. The consultation should be free, just pay him/her back by using them to negotiate for you so they get some commision.

If you're in difficulty speak with your mortgage lender, and if they won't listen to you, speak with CAB.

e We have spoken to our mortgage lender, they say they are not reducing their SVR dispite rate cuts and our only option is to go intrest only if we want lower payments.

It probably doesn't help today, but it will change eventually.

At least by changing to an interest only mortgage you are staying where you are, and most importantly not building up any negative issues (credit checks) about the payment of your mortgage.

I knows it seems terrible now (I was in the same position during the last recession) but stay in control of what you are doing.

Sitting tight and waiting for an improvement in the economic climate will take less time than waiting for a bankruptcy order to be revoked.

It is awful living in a place that you don't want to live, but keep holding on and believing in the future.

Thank you notsoclever, it does really help hearing things like that.

Seems like we are in a never ending black hole at the moment

We were in a similar situation. We have switched to interest only and have now rented our house out and it covers the interest only re-payments.
We rent elsewhere and although money is very very tight, we are surviving and are so much happier now we hve moved.

There are genuinely free places that will help you out there.

CAP - Christians Against Poverty is one, but there are others. They will go through all your finances with you and if anyone is treating you unfairly help sort it out for you.

Have you looked on moneysavingexpert.com to check you are with the cheapest insurance, phone/internetm fuel bills etc etc?

You could look into CCCS. They helped us a lot with our debt. here

Sorry if i sound nosy but - you don't put what is the matter, is is too small, the area, the neighbours? just wondering if it is something which could be made more bearable/ may become better without a move. I speak as someone in a shoebox with nutty neighbour 2 doors up ( old bag blatantly spies on us and our children and spreads nasty gossip) and previous next door neighbours from hell of the drunken aggressive variety.

We have nice neighbours in there now and it has made living here one hundred times better.

I know how all consuming and depressing it is to live somewhere you cant stand. X