Are we in serious debt or not?

dazza21ie said:
i think the OP is entitled to get married
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Of course. And they are entitled to blow as much money as they like on it. Even if this means living way beyond their means if they so choose. But if they post here looking for advice on stuff like debt and living within their means then it's reasonable to people to comment as they see fit.
It has already been pointed out to her that a mortgage may be the most cost efficient way of doing so and i agree.
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And they dismissed the idea initially and only later, seemingly reluctantly, admitted that it was something worth investigating.
However i think the OP is getting a bit of a hard time on this thread. To many eddie hobbs wannabe's out there.
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I disagree. Some straight talking maybe. Nothing more.
 
Back to the original question are they in serious debt, i would say they are not, but as clubman pointed out they could make life a bit easier for themselves if they paid the debt by remortgaging over a similar period.
This might allow them save more each month for the wedding.
 
ClubMan said:
I disagree. Some straight talking maybe. Nothing more.
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OP has been advised not to get married purely from a financial view point. Surely people can look beyond numbers and understand that marriage is much more important than that.
 
heretohelp,

by putting €1020 into savings each month while still having outstanding debts, you are bascially borrowing money to put it into a savings account (probably earning less interest than you are being charged for the loans)

a good idea is to pay down the loans as quick as you can (assuming they are not fixed term loans) if you are disciplined it is ok to borrow if you need to again to pay for the wedding.

you could try the debt snowball method to get rid of some of your debts http://en.wikipedia.org/wiki/Debt-snowball_method
 
dazza21ie said:
OP has been advised not to get married purely from a financial view point. Surely people can look beyond numbers and understand that marriage is much more important than that.
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That was just one specific opinion/piece of advice. There have been lots of others too.
 
Couldn't agree more with the suggestion to remortgage, if only to avail of cheaper interest rates than standard credit loans - tracker mortgage and pay off over a five year term rather than 20 and you would probably save money. To have a mortgage of 55K would be a dream for me - I am a long way away from that position and I have three younguns!

I would not personally think your position is as daunting as many on this thread, but to come back to a possible tongue in cheek comment made earlier, try to steer people to give you cash as a wedding present - if you own your own home, you probably have everything you need already for it, so offsetting some cost of the wedding this way would be a big plus. Personally I know the day is not about this, and some people don't even want gifts, but if you could direct the gifts this way, it would be great?

(First and foremost, enjoy it though)
 
basically you have approx. 60,000 in loans Incl car, credit union & bank.

You own a house but no mortgae (nice position to be in)

You have 10k saving for wedding + approx. 10k savings in bank & credit union.

You best option is to get a secured loan (not a mortgage) for 50k paid over 5 years. You should get a rate of approx. 6% as there is very little risk for the lender.

This will cost approx. €1150 per month over 5 years.

This added to your everday savings (keep wedding money seperately) will clear all loans into one easily managed loan.


As to general financial wellbeing, its quite good as you have a large asset in the house. The car loan is also asset backed.

Take away the car loan, (asset backed) add in your savings and you have a net debt of approx. 15k which is less than 40% of one years net salary. - Not bad!
 
Hi to heretohelp, I agree with the remortgage option because while you are not in 'serious debt' from an overall view you are in a high interest rate debt which is not a good place to be. Why not compare how much your loans are costing with the current interest rates and compare that to how much you would pay on the remortgage option? It would make financial sense. I understand how you feel about remortgaging it feels like a weight around your neck but it IS the cheaper option.

Have a fabulous wedding !!! !
 
ClubMan said:
Seems to me that this is actually the first hysterical post in this thread. For example....
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Ah, you don't do irony Clubman...and you certainly don't get it.

ClubMan said:
Care to cite examples if such alleged hysteria from this specific thread to date?
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Your use of '' is a good start, don't you think?

ClubMan said:
Do you disagree that my suggestion of rolling the unsecured debts onto a similar term mortgage might not be one worth investigating for viability in terms of cost savings?
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It's certainly worth investigating Clubman, well done. It's just a pity you attached that '', don't you think?

ClubMan said:
Or are you just here to troll?
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Now you know why I chose 'Good Grief'. If someone challenges your attempts to frighten those (remember: '') who seek advice they are a 'troll'? That's rather defensive of you Clubman, don't you think?
 
If your scared of strong/blunt opinions the web isn't the place to be looking for advice. The OP seems to be well able to pick and choose the advise they want to use. I didn't think there was anything extreme in what was posted above myself. The OP came looking for a 2nd opinion and got them. If you have a problem with other posters the report button/PM is a better way of doing it that derailing a thread. IMO.
 
I agree with Good Grief that the post was a bit OTT.

In my opinion the OP should remortgage and agree with tink, if only avail of the better interest rates, but keep the term short. OP will be in a position to apply for a the best mortgage rate on the market, given the level of security in the home.

In my opinion the OP is certainly in more of a position than a position
 
MandaC said:
....

In my opinion the OP is certainly in more of a position than a position
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Are you taking that out of context. Did clubman actually post that it was a position? I thought it was just in relation to not being aware of the rates of the loans they were on and the details of those loans.
 
Yes you are right on that one. Reading back over his post, it was in respect of the rates.
 
Hi there, I'm enjoying the discussion here, and wanted to add my tuppence worth!
My view of unsecured debt is basically, if the worst thing possible happened, how well could you cope....
For me, your situation, would have me ask:
What if my partner gets ill, and new job doens't provide sick pay, how long could we survive, and if I had to go back to work could we afford it on the salary I would make?
If we broke up, how would we be able to fund 2 spearate residences... mortgage free now will probably not be mortgage free if you needed to set up 2 new homes. Would we both be eligible for mortgages (based on news stories of people being declined today who were ok-ed in the past).

For me personally, the level of unsecured debt you have would not leave me comfortable (i'm not a risk taker by any means).

Wedding wise, have the best day you can, but remember that money won't buy you the best day, your friends and family bring it! And limit the attendees to just the ones who matter, forget about dusting off Aunty Mary that only turns up at weddings, or people you work with that aren't your friends outside of the office.... its your friends and immediate close family that should get first dibs!
 
thanks mell61,
hopefully we wont break up!!!
we have a separate residence , his parents which is in his sole name , so thats his at the end of the day but god forbid we did split he wouls live there .
i wouldnt be able to work as im a carer , so that is something for me to think about . we do have some savings to fall back on and if he did lose the job i would simply put off the wedding and use the money saved to cover bills.
Want to save for wedding not borrow, and we can safely do this and service the loans (i think)
 
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