# 27 years old, single - consolidate debts?



## PaddyW (15 Aug 2008)

xx


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## lightup (15 Aug 2008)

*Re: Financial advice*

Why are you paying rent and a mortgage?

You seem to have quite a bit of disposable income after all your outgoings.  I think watching your spending, getting rid of extras like gym and really making an effort to pay off your debts for a year or so should see you make a big dent in your debt.


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## PaddyW (15 Aug 2008)

*Re: Financial advice*

Hi, Paying rent as living in Dublin and the mortgaged house is in Kerry, my family home. Money just seems to fly through my hands, whether it be silly tat or what. Probably need to cop on a bit. Have signed on for moneywallet.com to keep track of my spending. Do you think it would be best to take loan now, or just leave as is and pay it off quick as possible?


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## Lsquared (15 Aug 2008)

*Re: Financial advice*

You really cant borrow yourself out of a debt problem because what you need to do, especially as you are young, is learn to live within your means and to manage from your income. I would strongly encourage you to tackle your debt from your own means - its possible.


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## PaddyW (15 Aug 2008)

*Re: Financial advice*

Thank you


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## Blossy (15 Aug 2008)

*Re: Financial advice*

buy a rollie machine!


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## simon44 (19 Aug 2008)

your making nearly 50k a year man holy crap you must have a great job. However, it sounds like your living beyond your means. Gym? Why not go for a jog or buy some equipment which will save you money in the long run. Sounds like you've no car either so god knows what your borrowing for. Sounds like plenty of holidays. Maybe you've got to learn to say no to those (or too many) expensive trips? Phone bill is 62 a month as well! **** sake man move to meteor and get your free calls and texts for 20 euro a month. Your going to have to ask yourself what you can cut down on. Add all your savings up and then check your figures. 

If your borrowing to pay off other loans then your in real ****. Maybe sell off some of your things? its much better than consolidation my friend. It costs a fortune for that. Oh and dont forget you can always cash in your pension any time you like if you really need alot of money fast (charged at about 23 - 28% tax as far as I remember).


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## eileen alana (19 Aug 2008)

simon44 said:


> your making nearly 50k a year man holy crap you must have a great job. However, it sounds like your living beyond your means. Gym? Why not go for a jog or buy some equipment which will save you money in the long run. Sounds like you've no car either so god knows what your borrowing for. Sounds like plenty of holidays. Maybe you've got to learn to say no to those (or too many) expensive trips? Phone bill is 62 a month as well! **** sake man move to meteor and get your free calls and texts for 20 euro a month. Your going to have to ask yourself what you can cut down on. Add all your savings up and then check your figures.
> 
> If your borrowing to pay off other loans then your in real ****. Maybe sell off some of your things? its much better than consolidation my friend. It costs a fortune for that. Oh and dont forget you can always cash in your pension any time you like if you really need alot of money fast (charged at about 23 - 28% tax as far as I remember).


 

You can only cash in your pension within the first two years of starting it but after that time its locked in until your retirement.


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## simon44 (19 Aug 2008)

eileen alana said:


> You can only cash in your pension within the first two years of starting it but after that time its locked in until your retirement.


 
Thats not what I was told. Maybe they are based on your personal agreement with your investment company?


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## PaddyW (20 Aug 2008)

Thanks for the tips lads. Simon, I am with meteor, talk 400, which i need at moment, but as soon as contract runs out will switch back to you pay as you go. Decided not to consolidate loans now as asking for trouble. Started using walletwatcher to see where I'm spending stuff and plan to cut out the non necessities asap. Thanks again.


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## PaddyW (23 Aug 2008)

Further to all this, I'd like your opinion with a new plan I have come up with.

I've decided to put away 100 euro a week to a seperate savings account. Hoping that it will grow, but if needed I can use to cover any extras or, hopefully, when enough saved to pay off loans quicker by lump sum.

Does this sound like a good idea or can anyone see any flaws with the idea?


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## PaddyW (23 Aug 2008)

Oh, never put in also that I pay 68 a month VHI. Has come in handy over the past three years as needed three operations, which would have set me back over 10k. Have no medical conditions at present, but like having the security of it if needed.


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## Cormi (23 Aug 2008)

In relationton your vhi, definitly agree you need medical insurance. have you tried shopping around with other providers, quinn, vivas. I done so last week and am saving 150e by changing from vhi to quinn for the same level of cover.


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## Sue Ellen (23 Aug 2008)

PaddyW said:


> Further to all this, I'd like your opinion with a new plan I have come up with.
> 
> I've decided to put away 100 euro a week to a seperate savings account. Hoping that it will grow, but if needed I can use to cover any extras or, hopefully, when enough saved to pay off loans quicker by lump sum.
> 
> Does this sound like a good idea or can anyone see any flaws with the idea?



Doesn't make sense at all to be paying high interest on credit cards while saving 100 euro a week and probably earning a lot less interest than you're paying.  Pay it off the debts.

Whilst AVCs are tax efficient it would be better to clear your credit card debts before setting up a further deduction of €130 a month IMHO.

You should have a read through:

Top ten suggestions in reviewing your financial affairs

How to cut your day to day expenditure


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## PaddyW (24 Aug 2008)

Sounds reasonable, maybe best get rid of debts before AVCs. Thanks


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## Vanilla (24 Aug 2008)

Is it possible to get a rental income from the property in Kerry?


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