Not sure why.....

LegacyUser

I am even writing this, as I don'y know if anyone can help.

I lost my job in May 2008 and was out of work for 3 months, until I found something new. Then after a year, I was let go from that one, and haven't worked since August last year. Not from lack of trying, but I am stil not working.

My bf has now lost his job too, and I guess the thing thats bothering me is that we owe quite a lot of money on a credit card, from Halifax, and as you all know, they are leaving Ireland in June. We paid off the interest every month, and some months we were paying extra off too. But it just added up. We haven't used the card in about a year, and now beacuse neither of us is working, we will not be able to pay off the balance.

And I know we can apply to other financial institues, but no one is gonna take on a 5000 euro debt when neither of us are working. I am really worried about it all. It is the only debt we have and I know there are thousands of others who are worse off than us, but its really getting me down. I don't know where to go from here.

My bf suffers from depression and has been on medication for the last 12 months and the change has been great, but I have noticed over the last few days that he is becoming more withdrawn and won't talk to me about anything other than normal day stuff.

I am so upset about it all, and I really don't know what to do about the debt and I really can't see a way out of it. We have less than 3 months to pay it off, but we haven't even had so much as a phone call or a letter from the bank yet.

What to do? Sorry for the length, and thanks for reading and I do understand that there are thousands of others worse off than us, and I know we shouldn't have ran up such a a debt but it was mostly on dental treatment and doctors bills. I am so lost.

Victor

Its only one loan and its betweeen the two of you, it isn't that bad.

Are you receiving all the benefits you are entitled to?

Unsure101 wrote: »

it was mostly on dental treatment and doctors bills. I am so lost.

You may be entitled to write the medical / dental expenses off against income tax, if you paid tax in the relevant year.

banie01

OP, While Halifax are closing their retail operations i.e credit cards and personal banking operations, They have announced that any existing Credit Card customers who are unable to clear their balances by the time the cease operations will be offered the following options.

- Use of all CC will cease as end of May as noted

- Halifax will be sending out documentation to all customers in the coming weeks to illustrate the options open to all customers

- Halifax wish for all customers to pay of their CC balance by the end of June (not end of May)

- Halifax wish for customers to either pay off the balance or find alternative arrangements with another provider - they will assist as much as they can

- In the event that customers cannot pay off their outstanding balance, or switch to another CC provider, Halifax will present the option of turning the balance into a personal loan - where the interest will be lower than that of the current CC interest

So, with the final point, at least there is the final option of a personal loan with lower interest rate if no alternative can be found.
OP I bolded the last point as it most seems to fit your circumstances, While Halifax have not been in contact with any of their affected customers as of yet(Which is very poor service! Not that they care anymore) This information is widely available on media outlets and Irish forums.

Danniboo

According to my calculations the min payment is 250 per month that's 125 each per month could you pay this up until June then when this is turned into a personal loan put it over a few years to take the strain off until you get a job.

kmick

What you need to do is start saving in a local Credit Union. Keep aside 10 euro of your benefits and put it in there every week. The CU will normally lend you money in hardship cases although the rates are quite high. Just start saving NOW so you have a history with them.

Danniboo

kmick wrote: »

What you need to do is start saving in a local Credit Union. Keep aside 10 euro of your benefits and put it in there every week. The CU will normally lend you money in hardship cases although the rates are quite high. Just start saving NOW so you have a history with them.

€10 a week for 3 months? That's 120 that's not gonna be enough of a history to take out a loan of €5000.

kmick

Danniboo wrote: »

€10 a week for 3 months? That's 120 that's not gonna be enough of a history to take out a loan of €5000.

They usually will give you 3 times what you have saved. You would probably get 5000k if you had 1700 saved.All I am saying is start your savings record now rather than waiting for an answer to fall from the sky. If you have a better suggestion perhaps you could impart it rather than just pissing all over mine.

Danniboo

kmick wrote: »

They usually will give you 3 times what you have saved. You would probably get 5000k if you had 1700 saved.All I am saying is start your savings record now rather than waiting for an answer to fall from the sky. If you have a better suggestion perhaps you could impart it rather than just pissing all over mine.

I've already given my advice. How is saving 10e a week going to add up to 1700e in 3 months. You're asking the OP to do the impossible. Not to mention the Credit Unions are gone much stricter on their lending.

miec

Hi Op

I would suggest that you have a chat with MABS (Money Advice Bureau), you can google them for the nearest one to you but they can work out a budget plan and advice you on issues like this. I'm sorry about your job loss, like you I've been out of work since August last year and the job market is grim, grim, grim out there.