How much debt are you actually in?

[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.

 

[crankypants]

thank you! I’ll do that in the next few weeks - we are looking to relocate from London to the North West Area so I may call in both areas. Our deposit is there and ready to go so it’s all dependant on what the lenders will give us, Ive done the calcs and the mortgage repayment that we are looking as well as my DMP are easily affordable within my salary alongside a standard of living.
Wish me luck!

Try and use one local to you that knows the local area as they’ll understand the property market there better. Google search “whole of market mortgage brokers near me” and make sure they are whole of market as you don’t want anyone tied to places like St James’s Place etc as they’ll be restricted in the lenders they can approach... you want choice from across the board rather than a selected panel. All brokers should be adept at dealing with adverse credit.

Phone about a few and have a chat... see who you get a good vibe with and who listens to you. The initial phone call will tell you about the type of person you’re dealing with - you want someone who listens to you and takes a genuine interest in you and your situation, as opposed to someone who just sees a fee coming in when you sign up.

 

[bunnyboo]

No debt.
Which sounds impressive.

BUT... I'm in my late twenties living at home because of the Irish rent crisis. I will never get a mortgage. I have accepted that. I don't have a car either.

I'm just one big duck up lol. This is all my fault because I didn't really plan on living past the age of 25. I've been hospitalised several times with mental health problems. Failed suicide twice. So I'm kind of winging it.

 

[Vploco646]

I have no debt thank duck , I'm only 25 but have lost my job for the second bleeping time due to covid. I left Dublin for cheaper rent and it was the best decision financially but I miss my family. But I've accepted the fact I will never be able to afford to buy in Dublin. Ive double the deposit saved for a house in my area. If the banks would lend to me that would be bleeping great but I've never been in a secure non contract job. Even though I worked for the same company for 3 years. Seriously considering taking my dog and bleeping off out of Ireland and living somehwere else.

 

[caitlinbullen]

80k mortgage
8k car loan
2k credit card
2k store card
1k overdrawn most of the month

Hate our non-mortgage debt but it is what it is. Ain't gonna be paid off any time soon as we have 3 kids, only one of us working, so kinda just scraping by.

It is a huge regret that we weren't more savvy with money in our twenties. Seems mad to me that it doesn't form part of our national curriculum in schools. I will make damn sure my kids are a better informed than we were.

On the plus side you can't take it with you eh? And we're happy, healthy and leading full lives so I really try not to not let it get me down any more.

 

[TommyTBFC]

thank you! I’ll do that in the next few weeks - we are looking to relocate from London to the North West Area so I may call in both areas. Our deposit is there and ready to go so it’s all dependant on what the lenders will give us, Ive done the calcs and the mortgage repayment that we are looking as well as my DMP are easily affordable within my salary alongside a standard of living.
Wish me luck!

late to this so apologies if I have got the wrong end of the stick but if you are on a DMP or thinking of entering a DMP with funds for a deposit on a property ready to go, why are you not paying off your debt with the deposit money? Before taking on more debt? If you are entering a DMP I’d say goodbye to any chances of a mortgage (even if you’d easily afford it) my DMP Killed me for years. Couldn’t get an Argos card let alone anything else

 

[Reverend]

I really, really hate money. My mum says I take after my dad who basically gave my mum full control of the finances (my gf won't allow me to do that!). I want to pay my mortgage as soon as possible, I would rather go without!

 

[TheWitchIsBack]

late to this so apologies if I have got the wrong end of the stick but if you are on a DMP or thinking of entering a DMP with funds for a deposit on a property ready to go, why are you not paying off your debt with the deposit money? Before taking on more debt? If you are entering a DMP I’d say goodbye to any chances of a mortgage (even if you’d easily afford it) my DMP Killed me for years. Couldn’t get an Argos card let alone anything else

Argos cards and other store cards are usually administered by a subsidiary of a major high street bank so having any sort of recent DMP, IVA or default will make it near impossible to be accepted for anything like that. You’ll start to get accepted for credit cards that deal with poorer credit like newday aqua/marbles/Vanquis etc first then after a few years potentially a store card.

Mortgages are different as there are specialist lenders out there who deal specifically with adverse credit such as active debt management plans. It’s also easier to get a mortgage than unsecured borrowing in this sort of situation because there’s the additional security of the borrowing being levied against a property. A mortgage can be obtained 12 months after a DMP has been set up providing it has been satisfactorily managed.

 

[Tui]

£400 for a sofa on 0% APR - I only keep the debt to improve my credit rating after the bank fucked up the closure of an account and it badly affected my credit rating which was difficult to recover as I didn’t have any debt at the time.

Christ knows how much in student loans. £20k+? I don’t even look as I’m already paying for it every month.

 

[Rosalind96]

26 single mum to a 2 year old.
Owe about 65k in student loans which I will never be able to repay- did a PGCE and now I’m doing a masters.
Will soon have a house deposit saved only due to my ex’s fam giving us a 5% deposit for our first house, 4 years ago. Made money in the sale so will still have a deposit left after my divorce.
Own a car outright only because his fam bought it for him and then he gave it to me when they bought him a new one.
Not in any other debt because my mum has been helping me out with solicitor’s fees and things for my little boy.
Basically, I’m immensely privileged and well aware that someone else, who had worked just as hard as me, could be in thousands of pounds of debt just through the misfortune of having no family who are able to help them.

 

[crankypants]

late to this so apologies if I have got the wrong end of the stick but if you are on a DMP or thinking of entering a DMP with funds for a deposit on a property ready to go, why are you not paying off your debt with the deposit money? Before taking on more debt? If you are entering a DMP I’d say goodbye to any chances of a mortgage (even if you’d easily afford it) my DMP Killed me for years. Couldn’t get an Argos card let alone anything else

Not a problem Deposit isn’t solely mine, other half is self employed and on paper I am the higher earner and have the better chance of obtaining a mortgage. We are now correcting this situation. The previous debt repayments was never an issue to me but the interest started to creep up, I was debating entering a DMP as I was under the original understanding that I wouldn’t need to apply for a mortgage for at least 18/24 months however our situation has now changed - hence why I’m kicking my teeth, hindsight is a wonderful thing I have spoken to various mortgage advisors who have mentioned that a mortgage is achievable after a 12 month period depend as on LTV / earnings etc. I could ask for help, though for one I’m very stubborn and believe that my debt is my debt it’s not anyone else’s to pay off , 2 my partner has worked hard for what he has saved for, 3 I would get an almighty bolloxkinh and possibility rejection from my dad who is anti debt / borrowing.

 

[Mulholland Drive]

Just a mortgage and a few hundred on my credit card.

Fortunately I have just started on a 10 year fixed rate mortgage, so at least I should be safe from any possible interest rate rises during the next few years of economic uncertainty post Covid.

The only downside is I am a self-employed IT consultant, so work is never guaranteed.

 

[Queen of the Thames]

Only my student loan, but it’s a big one.

 

[Married2019]

28 year old- married and living with husband. Not currently working due to health and covid but husband works full time and then farms on the side. Owe approx €13,000 left on a house loan. Currently paying that off and will have that paid off by March. No other debts. Neither have a credit card.

 

[Fofoca]

Mortgage and I’ve got about £600 on the credit card (I use it for daily expense, everything) but I pay that off in full every month

 

[Giggling Squid]

Hefty mortgage and student loan for me, but other than that nothing except a sofa that we took 0% interest to avoid forming out an extra almost £2k at the same time as moving noise. However, this is mostly because I inherited when my dad and granny passed away so was able to pay off credit card debt that I had alongside my car before we took out the mortgage...

 

[Lanavalentine]

Just mortgage, but it was a different story many years ago.

I got myself into trouble at uni. I had no help from my parents, and my loan paid my accomodation. Not much left over. I planned to get a part-time job, but it ended up taking me longer than I had expected.

In the meantime, I ended up blowing through emergency credit and my student overdraft in my first year. I’d love to say that was necessary to live, but it definitely wasn’t - lots of shopping trips and big nights out, basically. I came from quite a poor background compared to almost everyone else, and I definitely got intoxicated with spending in a way I hadn’t been able to before, without considering the consequences.

Even when I found a job and worked as much as humanly possible, I still never managed to get permanently out of the red until well after graduation. I just couldn’t make enough money to do that and live, and honestly, my attitude to it was quite crappy - I felt I deserved to spend my hard-earned cash on a new dress rather than making more than a minimum payment on my debt.

With hindsight I learnt a lot of important lessons but I really was an idiot at the time. Eventually this sunk in and I sorted myself out. My life is so different now, but I’ve never forgotten the panic of coming out of work to five missed calls and voicemails on my phone and knowing before I even listen that it’s the bank chasing some debt repayment, or my mum calling to tell me I had several urgent letters from the credit card company waiting for me at home.

 

[caterday28]

Student loan. A big chunk of (though luckily pre-2012 9k fees).

 

[Causewaygal]

I’m about £1800 overdrawn in my current account and about £1500 on a credit card. I’ve just invested in a new business and I’m hoping to get back in the black very soon. I don’t have a mortgage anymore or car payments etc, which puts me in a pretty good position for my age. I used to be thousands in debt and struggled to buy food so I’ve been at both ends of the financial spectrum.

 

[ElpisWept]

Student loan debt, plus I owe a few friends small sums.