Desperate to manage Debts

ruppert

Morning, I have never been good with money as the following will demonstrate. I was hoping someone could advise me on what to do as I'm really worried about the position I've gotten myself into.

I am single, in my late twenties and over the past few years managed to get myself in to an unhealthy state of debt.

In total I have short term loans (incl. credit cards and personal loans) totalling about 60k! How I don't know. Started on low salary, took out loans etc. stupidly, then as payments/ loans increased had less to live on so borrowed more. Vicious circle that I really want to put an end to.

I am now on a decent salary (approx. 60k) but over half of this goes towards repayments each month so as for the past few years I'm struggling to live on what remains.

Are there lenders who may consolidate these loans over a longer term? Is this a bad idea? Otherwise what should I do?

Thanks,

Ruppert

daveirl

This post has been deleted.

Sponge Bob

a 100% of gross (never mind net) salary in debts is a case for MABS .

http://www.mabs.ie/

They can negotiate standstill agreements with the main lenders so that you can start to pay it back without getting black marks against your record for defaulting. You are overborrowed pure and simple.

Have you chopped up all your plastic ???

take out as much more as you can and flee
not joking.
seriously, but it depends on your circumstances etc, I know a fella who started workin in the guards at 19 and with the shift work (and where he was stationed) public transport was NOT an option so he bought a car that cost him somethin like a grand then had to pay several thousand on insurance and he every year he kept gettin roasted for insurance on the car, for the first year and a half in the guards he was on an student garda "allowance" (think 100 - 120 a week) and bills added up, the cheap car he bought broke down and had to get a bigger loan out for another car ...... loans loans loans........

bounty

your on 60k thats about 4k a month...

just get a mortgage for the 60k... you've nothing to worry about

Savman

ruppert wrote:

In total I have short term loans (incl. credit cards and personal loans) totalling about 60k!

I am now on a decent salary (approx. 60k)

what should I do?

Pay them back. :rolleyes:

mmosulli

www.moneysavingexpert.com is a UK website, but provides excellent advice on money management and debt repayment which should be transferable!

LegacyUser

wow!! 60k in short term debt. How much of that is based on term loans?
At least with term loans there is an end in sight....so I would not worry too much about that,but its the credit cards that are the real worry,because your paying 3 times the intrest on a credit card and they go on for ever. If your earning 60k you should aim to have all your debt paid off with in 3-5 years....as long as you decide to manage your debt properly. If you have a few extra bob each month set up a standing order to make extra repayments on your loans.

tHE vAGGABOND

1) you MUST cut up and destroy your credit cards and *stop* spending..

2) If your paying back half your monthly salary, thats about 2-2.5k a month I would think - you should be debt free in about a couple of years. No need to press the panic button.

..that is assuming you can stop spending

Im not a huge fan of massive loads to pay off debt tbh, if your anything like me you will waste some of it on holiday/computers/crap and the cycle keeps going.

Maybe restructure loans, to make them la year or two onger, and therefore make the repayments cheaper [or indeed make them shorter, and more expensive, to get them paid off quicker]