How much debt are you actually in?

[Lilypad]

Tuition fees are over £9000 per year now. If you get the full maintenance loan (no longer a grant so now needs paying back) that’s a further £8-9000 per year. A Masters is 4 years.
£18000 x 4 = £72000.
My son changed university after year 1 so at the end of it he will have been studying for 5 years and accrued about £87000 worth of debt.
I find it sad because we, as his parents, have zero debt and he will be starting out in life with such a huge student debt. Plus they get charged interest from day 1, even though they are unable to start paying it back until after they graduate.
I dread to think how much it will be once that is added on.

I really wouldn’t worry about student loans, they aren’t a debt as they don’t show on credit scores and aren’t seen as a negative, there not taken into account when taking out a mortgage or loans, and they get written off after a certain amount of time, it shouldn’t put people off getting a degree. Martin Lewis explains it really well on one of his shows that they shouldn’t been seen as a bad thing.

 

[Jg182]

recently paid off all debt (bar car finance) Morgage paid off (due to two deaths in family) but just about to get in debt to start ivf.
lost my job last month. Don’t want to postpone ivf as time is ticking

 

[37BBL]

My family own an estate agents/mortgage advisory company. The amount of people who kick off because their offer is accepted and then cannot progress any further because of debt they failed to declare or lack of earnings is insane. They genuinely blame the agency, rather than admitting they were dishonest or failed to properly consider things.
An offer is only accepted subject to contract and a mortgage is only agreed in principal, lots of checks from thereon to see if its feasible. We have friends who had an offer accepted and put a post on social media that same day saying they had bought a house, it all fell apart because they had previous court judgements attached to them from past debt.
Lara joanna Jarvis recently fell into this, posting they had bought s house then having a paddy online that she was agreed a mortgage then couldn't get it. When in reality she hadn't declared the right years earnings!

 

[lipsticktaser]

Not including my mortgage I'm about £13k personal debt. I was really ill with a bout of mania and spent all this on shite. Moved house and found stuff still in wrappers I'd hidden and never opened. It's an albatross round me neck.
Paying off the paypal and credit cards this year and then it's the personal loan left. Husband only knows about half of it.

 

[Eastonell]

I’m so glad this thread exists, so helpful and really does make you realise how easy it is to fall into debt but hey debt runs the country!

so mine;

Credit Card - Just under £4K,was initially £1.5K that I balance transferred with the intention of paying it all off but then I moved and had to buy furniture very quickly!

Very - £220

PayPal - £130

Distance Learning Course - £2.5K in total have paid off a small chunk as only just started!

I rent so don’t have a mortgage and my car is a company car so I don’t pay that. I do worry about my credit card though, most of my wage goes on bills as I live alone and don’t have anyone to split with!

Gonna have a look at the things you guys have suggested to help me clear it!

 

[AE110]

We paid our mortgage off in June and the feeling was fab. Not bragging because we worked hard to do it jointly, but I have been in debt numerous times and when I was younger I was terrible with money and owed bits here there and everywhere. I was given some money in my late 30's and wasted it and I am ashamed of that to this day as it could and should have been put to good use but it wasn't. I am now very careful with money and panic over it at times because I never want the 2am dread ever again..

 

[Rose91]

Whilst it doesn't necessarily go 'against' you, debt will always impact on your affordability when applying for a mortgage. Some lenders, even if you have credit cards with zero balances, will take the credit limits into account in their affordability calculations - the reasoning being they could approve the mortgage then you could go and run up those credit limits the next day.

My uncle’s a mortgage advisor and the amount of people he has to turn away because someone doesn’t admit to their partners etc. they are in serious debt is really high

 

[Suzesnooze]

Good grief, what sort of uni course means racking up £50K of student debt? Genuinely interested, not being critical. I know some courses take years - veterinary surgeon 7 years, for example.

My daughter is currently at Uni and will leave with 50K debt. It's now £9,250 per year for the course then she gets quite a high maintenance grant (which is dependent on our income) so that brings it to around 50K.

 

[Viewer1901]

Just to make you aware, as someone who worked in the finance industry (mortgages) for 24 years (and still got into a lot of debt - the irony does not escape me) a lot of lenders do not like or accept potential borrowers with any kind of pay day loan history - it is a big red flag that they cannot manage their finances appropriately - so you may have to approach a more specialist lender or leave her off the mortgage altogether.

Yeah the plan is to leave her off. The deposit is solely mine and I doubt she’d get accepted. I’m gonna buy a house that I know I can afford on my own if anything goes tits up between us and she’ll pay ‘rent’ almost. We’d just need to work out an agreement incase of marriage/break up if you know what I mean. I’ve overthought this all a million times

 

[Zanzi202]

I would just sit down with your husband and show him everything. Hopefully you can ask his business accountant to give you some advice in terms of the mortgage and how that would be affected.
One thing I have learned is too be honest with your partner about finances as it can lead to a lot of resentment and arguing


Do not get finance! Especially not on a vehicle that will depreciate the moment you put the key in the ignition. If "make" is important to you it might be worth looking at getting an older model and just putting a private plate on it. That way nobody will really know the age

Me too, it makes no sense if you do the maths. Also, it looks ridiculous when you see someone who is renting or doesn’t earn much driving around in a car worth £40 or 50k. It’s obvious they didn’t buy it, and it’s on credit, all for show. I know people who pay almost £1000 pcm for a car. It’s madness.
Also, I’d hate to have that as a monthly outgoing. Buy an old car that you can afford, at least if you lost your job, you still have a car.

 

[eSsExBiRd]

Credit cards= 3k
Club books/ catalogues = 7k
Due to receive £6,500 in mis sold PPI any day now so will use that to pay off as much as i can.
Trouble is my credit limit increases just before xmas so its very tempting to shop but resisited the temptation.

I’ve opted out of credit increases, if it’s not easy to select online then call them to decline future increases

 

[Be More Pacific]

At least 30k.

These are all various catalogues I ripped off years ago when I didn't care. Old phone bills following me around. Various loans.

I am also 36 and have never paid a gas/electric bill in my life, I wont even open what is sent, last time I ever opened one it was 4k.

I wish I could sort all this shit out, but wouldnt know where to start.

Definitely contact StepChange - another poster has just provided the link

They can help you make a start. They can contact your creditors on your behalf and help you make a repayment plan or an IVA or even bankruptcy.

There's no doubt it will be difficult and painful but the main thing is you can open up to them without judgement, it's free and you absolutely don't have to cope with this on your own.

Please call them as your post scares the hell out of me. Good luck.

 

[Deepsigh2018]

Student loans and mortgage debt but I don't really count them as proper debt if that makes sense. £75 on my credit card and thats it really. It took me a few years to clear debts after being stupid as a student at uni and being a 22 year old single parent. Now I try and buy most things outright

 

[under the ivy]

I was going to get my first car on finance but I’ve decided to save up for one. I don’t want anything fancy at all, just something to say this is my car. Looking at anything under £2k that is in a low insurance group and cheap to fill!

 

[9lives]

Belulah, totally
Its considered still taboo to talk about money but also particularly debt. We are taught various mathematical equations at school but nothing on APR and about management of money. I am not conspiratorial but I often think its deliberate. debt fuels the economy like getting drunk at a party does. If everyone saved and stopped purchasing until they had saved I think the UK economy would sink.

 

[slippyfrog]

£36,000 from trying to survive on disability benefits after 2 emergency spinal surgeries like wading through mud.

I’m around £23k in debt caring for my daughter with long term health needs and I also had spinal ops which caused me to lose my job. I’m back in work now and have all adaptations to help me work.
It’s been tough so I understand where you are coming from. I spoke to a free debt charity called stepchange. They were fantastic and free xx

 

[summersuzy]

My parents were extremely wise with money both working class but never ever lived extravagantly. I am wise now because I have to be but would have been very much an emotional spender and only recently realised it was a thing ! I’m loving the minimalism pages and actually think in a world that strives for more i am aiming for less. I want a smaller house and smaller mortgage and a bit more security. Has anyone else downsized and lessened their mortgage?

 

[_RainBeanTemaki_]

Absolutely no debt but I rent :/ I am very good with money.

My mother was terrible with money and got into serious debt when I was little. My dad has to make sure she doesn't take out any credit cards even nowadays. Her thing was pay day loans it was always to help a "sick" family member or something along those lines. She was very kind (and stupid sorry) and people took advantage.

 

[Deleted member]

I hear you big time, luckily her dad does all the gadgets. It’s difficult trying to keep up with peers and them not feeling left out in the social structure. my debt is just years of every day stuff really being a single parent, sometimes the food shop and petrol had to go on it. the plan is to seriously try and pay it off after our first ever abroad holiday in 2020 as currently saving my bum off to pay for that (and not add it to the CC)
Good luck getting yours paid too

I probably could reign things in a bit. We’ve been to Orlando twice in the last 3 years but then I think you only live once...he’ll be 18 next year so won’t want to come on holiday with me and I’m glad we’ve had some amazing experiences

 

[Rippedjeanmaybe]

I have 67k left to pay on my mortgage and I have student loan debt too.

If we aren’t counting student loans and mortgages then I have 2.7k for my car, but I could pay this off tomorrow if I wanted to as I have the money, I just haven’t done it yet.

I grew up poor, we struggled for food and I think this shocked me enough to never get myself in that position if I could help it. I’m not really a spender though, I don’t like clothes, shoes or bags or nights out ect. The only thing I like is holidays.