Debt advise please!

kiki7976
kiki7976 Community Member Posts: 57 Connected
in Money and bills

Hi all!

Please can someone advise me?

I have credit card debt of just under 9k. This is between two cards. I feel so bad. The repayments min is £200 per month each. I was trying to work out which would be s better way to clear this. I own my own house. I was considering a consolidation load or to borrow against my house. I really dont know what im doing. Can someone advise?

Comments

  • kiki7976
    kiki7976 Community Member Posts: 57 Connected
  • ChrisR777
    ChrisR777 Community Member Posts: 1,887 Championing

    I have similar debt on a single credit card, and I buy everything with it, paying it off slowly every time I get a benefit payment. I can't imagine taking out a loan would solve anything.

  • kiki7976
    kiki7976 Community Member Posts: 57 Connected

    I know. Thats what scares me.

  • kiki7976
    kiki7976 Community Member Posts: 57 Connected
  • ChrisR777
    ChrisR777 Community Member Posts: 1,887 Championing

    I wouldn't be overly concerned, I bet your credit card company are perfectly relaxed about it, they like debtors like us!

  • Carl_Scope
    Carl_Scope Posts: 206 Online Community Team

    Hello @kiki7976. Are you struggling with the £200 repayment each month?

  • Dynamisante
    Dynamisante Community Member Posts: 66 Connected

    I’m in the same boat too, rest assured you are not alone, I struggle month on month with the cost of living, I too own my own house but only on uc and lcwra, that’s it, I can’t afford decent food, I get everything reduced and freeze it, i also grow what I can from seed in my garden to eat, I wouldn’t consider taking out a loan against my house to pay it back, yes I’m struggling but once my mental health and other illnesses are somewhat stable I will sell and settle everything, well that’s my plan, hopefully you manage to sort something that you are happy with xxx

  • kiki7976
    kiki7976 Community Member Posts: 57 Connected

    hi eveyone. I guess im worried I seem to pay the £200 then bounch back into paying it off again never really touching it, you know?

  • kiki7976
    kiki7976 Community Member Posts: 57 Connected
  • Kimi87
    Kimi87 Community Member Posts: 9,052 Championing

    One of the debt advice agencies might be able to help you find a better way forward, also I really like Money Saving Expert they have an extensive forum & advice on dealing with debt.

  • CarNineSix
    CarNineSix Community Member Posts: 60 Contributor

    IF you can, and it is a big IF stop using one card. Make the biggest payments you can on it, You'll pay it down quicker.
    To decide which card, look at the interest rate, the higher one needs to go.
    You also need self control . . . . it can take several tries . . . . I know.

  • Yani09
    Yani09 Community Member Posts: 145 Empowering

    If you qualify for a low interest rate loan, it would be better than trying to pay off the credit card in small amounts. One fixed sum over a set period with a low interest rate.

  • Kimi87
    Kimi87 Community Member Posts: 9,052 Championing

    Consolidation will only work if the root cause of the debt is also addressed alongside paying off the loan. Otherwise the debt cycle just continues in a circle.

  • bumper55
    bumper55 Community Member Posts: 30 Connected

    I was in 13 thousand debt on credit cards . the monthly payments got too much so I contacted money wellness they sorted it out within 2 days they help you with the best options for you I can’t thank them enough so plz give them a ring or you can do it online

  • damine222
    damine222 Community Member Posts: 24 Listener

    Credit card debt can feel overwhelming, but looking at options like consolidation is a solid step. Just make sure to weigh the risks carefully since you own your home.

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