Around £33k Unsecured Debt Journey

[orfoster]

Good Morning!

It's taken me a while to get myself into the headspace to get some help with my debts.

Unfortunately these debts arise from a past relationship where my partner essentially made me borrow beyond my means over a number of years and they took a lot of the money. They're now well in credit and I am in debt. I want to now take the reins and address this and get myself out of debt.

Its taken me a while to get here as I've had to accept it all, I am someone with a lot of resilience and drive but with this, its taken me a long time to get to a point to take control. 

I have around £33k of Debt, monthly payments of around £650 per month which is causing me quite a lot of stress to get under control.

I know I have a few options;

1. An IVA
2. To cease paying them, allow them to Default and use this strategy (where I am leaning) 
3. Pay them - I just cant make my budget work and the interest they are now charging me is quite a lot.

I have just opened two parachute accounts with Chase and Starling.

Monzo Flex £800
Monzo Overdraft £1900
PayPal Credit £1100
Barclays Loan £800
MBNA £13,000
Virgin £7,300
Virgin £4,400
MBNA £3157
Tesco £2400
Halifax £1500

My biggest worry is my Mortgage,

I am paying £900pm (I have children), and if I allow this to all kick off I won't be able to remortgage in a couple of years and the SVR might be quite high?

Although I realise with my levels of debt I may not get it anyway.

[BankFodder]

I expect my site team colleague @dx100uk will be along soon to give you advice on all of these debts.

In the meantime, you've listed them out but you haven't even any details as to when the debt was taken out, when the last payment was made, any dates of defaults – et cetera.

You will need to provide a chronology of at least these details.

Also, you say that your partner has taken a lot of the money. Have you considered that there might be a possibility of claiming some from that partner?
We might be able to help you do this as well and if they are now in funds, it could be a useful contribution to your indebted situation

[Bazooka Boo]

Your mortgage MUST take priority.

 

Have you let any of your creditors know that you are having difficulty in the payments?

You can take a payment holiday, I think up to six months but don't quote me on that?

Have you switched any of these cards to an interest free CC? Some give up to 30 months interest free transfer which may give you enough breathing space to get your re-mortgage in place.

 

This really isn't insurmountable, although I understand it can feel like it is.

[dx100uk]

are all these debts still with the Original Creditors (OC) and have not been sold to DCA's and you've not received any Notice Of Assignments?

have you received any Default Notices from any OC under section 87 of the CCA, if so what date.

 

on each of the debts we need.

the original creditor

what type of credit

when taken out

who you pay now

default notice date.

outstanding balance

forget IVA/BK/DRO etc etc waste of time esp an IVA...

as for a remortgage...why? is your current mortgage about to end? never remortgage to pay off any consumer credit debts!!

following the threads here - you should easily then be able to pay your priority bills - mortgage/CTAX/Gas Electric if you stop or drop consumer credit payments.

esp look at things like mobile phone contracts, homephone/broadband/all streaming/TV services.

in a recent survey most house holds blindly pay +£200PCM jointly on all those and not pay priority bills that keep a roof over their heads. then wonder why they are in trouble. kill them dead.

dx

 

[orfoster]

Of course, I realise unsecured will be last, mortgage first is fine, its more just about the rate I will pay.

No, I haven't told any creditors I am having issues yet, I haven't had difficulties but I've been borrowing more each month to make the payments for possibly the last 12 months.

I had been switching them to Interest Free cards but now its too much and some of my cards don't have offers on them now, I assume due to affordability?

Remortgage is in 18 months time.

All are still with OC, there are no Default Notices currently, I haven't missed any payments yet.

Monzo Flex £800
Monzo Overdraft £1900 - 2018
PayPal Credit £1100
Barclays Loan £800 - 2022
MBNA £13,000 - 2010
Virgin £7,300 - 2014
Virgin £4,400 - 2022
MBNA £3157 - 2021
Tesco £2400 - 2011
Halifax £1500 - 2011

If I wasn't paying £650 per month on debts I would be absolutely fine! I would manage my budget fine so all my priority debts would be fine.

[dx100uk]

simply stop paying EVERYONE OF THOSE.until they send a default notice..end of no ifs or buts ignore everything they send

no phone calls/emails/texts WRITING ONLY. from now on and ONLY when we say.

there is stuff and ALL OC's can do to your. no DCA's!! they are NOT BAILIFFS

you've got all income going into a parachute A/C now? with NO DD's

you can pay everyone YOU NEED TOO by BACS transfer.

dont ever use DD's again .

 

[fkofilee]

Move from Monzo - Try Starling Bank instead. Have a parachute account.