# Getting a mortgae and in 38k debt



## mairead1981 (2 Aug 2009)

I have 38k detb in total.. Aiming to have it paid off by 2012-2013. Im earning 2560 a month. This is working overtime. Average 2450 at the least. I also have a second job which pays for my car. Earning after tax 1200. I am paying 1500 a month on bills loans and rent. I figure i have been doing this for 2 years now and am very disciplined in my spending. Clearly i have gone mental for a few years with money and learned the hard way! I would like to take out a mortgage but before i go and EMBARRASS myself. What the likely hood of somewhere giving me a mortgage and paying off my existing debt??? I am fairly secure in my job. Pretty much 100% ok for the next 2 years minimum... I would appreciate your imput... thansk


----------



## jhegarty (2 Aug 2009)

Not a chance even during the good times.

Now, you will have to pay off the loans and start working on a substantial deposit.


----------



## mairead1981 (2 Aug 2009)

I figured as much although i was holding out on the hope that since im paying that amount out anyway they might consider consolodating.... bummer! Gettin even more DEPRESSED lol


----------



## wbbs (2 Aug 2009)

No need to get depressed, even real good cases are being turned down these days.  I do have to agree though, there isnt a hope, concentrate in getting rid of the debt as soon as possible.


----------



## mairead1981 (2 Aug 2009)

Ta for the advice.... Right... I pay GE money, PTSB and CU all separate.. When I asked PTSB to consolodate they say no.. Im paying 3 lots of interest when I could be paying one. Im afraid to ask my CU as they are my JUST IN CASE IM REALLY REALLY STUCK option... What do u advise me to do with this.. TOTALLY different subject. Any advice to get me on the property ladder quicker is really appreciated...


----------



## Yeager (2 Aug 2009)

Whats the rush to get on the property ladder - news from last week indicate that prices continue to fall so keep chipping away at your debt get that cleared, start on saving a deposit and then pounce when prices bottom out - everyones a winner.


----------



## flattea2 (2 Aug 2009)

Just to give you an example
I earn 55k a year so take home is about 3k (am professionally qualified in a relatively secure job), am a homeowner with about 8k in personal debt.
I asked for 7k loan from AIB last week for a car and was refused. I was shocked! I had to go into my branch (I had originally applied online) and complain basically.
I got it in the end but was a load of hassle and the branch seemed to do it on the sly (as in they told me not to tell head office!)


----------



## mairead1981 (2 Aug 2009)

flattea2 said:


> Just to give you an example
> I earn 55k a year so take home is about 3k (am professionally qualified in a relatively secure job), am a homeowner with about 8k in personal debt.
> I asked for 7k loan from AIB last week for a car and was refused. I was shocked! I had to go into my branch (I had originally applied online) and complain basically.
> I got it in the end but was a load of hassle and the branch seemed to do it on the sly (as in they told me not to tell head office!)


 
CRAP!!! I really dont understand this. When banks see that someone is in a good position to PAY INTEREST and they refuse! Why? I went to my branch before so I dont think thats an option.. How about transfering all my dealings to another branch?


----------



## flattea2 (2 Aug 2009)

mairead1981 said:


> CRAP!!! I really dont understand this. When banks see that someone is in a good position to PAY INTEREST and they refuse! Why? I went to my branch before so I dont think thats an option.. How about transfering all my dealings to another branch?


 
Yeah but with respect you are saying you have 38k in debt on an average salary and there is no indication you have any assets.

As someone else has said, concentrate on reducing your debts...tough but the best way going forward. Even in the good times they would have drawn a line with your debts.


----------



## mairead1981 (2 Aug 2009)

I totally understand.. I suppose I was thinking about what I was paying and could match it. Does anyone know how I can reduce the amount of interest im paying? I am paying 3 different kinds of interest where i could be paying one and using the rest to pay off the actual debt


----------



## mathepac (2 Aug 2009)

mairead1981 said:


> ... How about transfering all my dealings to another branch?


Lending decisions in financial institutions are made centrally, so irrespective of the branch you operate through, an application for a loan goes to the same people anyway.

You've had some good advice already. It took you a while to accumulate the debts, it'll take you a while to reduce them.

Debt consolidation loans have had a poor press, justifiably IMO. The most effective way to reduce debt is to accellerate the payment of the high interest debts, clearing those first. If you need more detailed help, maybe give http://www.mabs.ie a call on Tuesday.

(as an aside could I ask that you drop the expletives, the words in all caps and the  multiple exclamation marks in your posts; they add no value yo your posts IMHO).


----------



## Bronte (3 Aug 2009)

mairead1981 said:


> I totally understand.. I suppose I was thinking about what I was paying and could match it. Does anyone know how I can reduce the amount of interest im paying? I am paying 3 different kinds of interest where i could be paying one and using the rest to pay off the actual debt


 
This is exactly what you should be doing and not trying to get further into debt.  Not being cruel but it's a good thing a bank won't let you increase your debt.  You should address your spending problems and seek to have no debt before even contemplating purchasing a house.  Do you not think that you should have some kind of savings before you look for a mortgage?  You should try MABS to see if they have a way of negotiating your interest rates down.  Do you have anything you can sell to reduce your debt?


----------



## niceoneted (4 Aug 2009)

Can you detail your loans more specifically ie how much reaming, time remaining and how much is paid on each. also what is the amount of savings/shares you have in the credit union. This might help in giving more definitive advice in clearing your debts.
Have you any other savings?


----------



## Chris (4 Aug 2009)

mairead1981 said:


> I have 38k detb in total.. Aiming to have it paid off by 2012-2013. Im earning 2560 a month. This is working overtime. Average 2450 at the least. I also have a second job which pays for my car. Earning after tax 1200. I am paying 1500 a month on bills loans and rent.



So, your main job earns you 2450 and your part time job 1200; that's 3650. Of that you are using less than 1500 to pay off the loans you have. Don't get me wrong, but why are you not paying off significantly more each month?


----------

