Hi All
I recently lost my job in January.
I have a credit card of E 3000.00, Overdraft on C/A 1500.00 and personal Loan of 11240.00. I have 196pw and awaiting decision on housing assessment. No letters or actions have been taken yet, so this will be a proactive action. Total owed 15740. I also have rent arrears of 1450 and other debts of about 1600.00.
I have read all the posts on debt settlement and payment ideas. I must admit I had considered just taking my Mrs and new baby and leaving the country, but having seen that banks may accept 40-50% as a settlement, I want to get this sorted now. I do not worry about my credit rating; I just want a fresh start. Now having looked at all the advice I am considering the following, would anyone have any advice as to this course of action.
I have written a letter to the bank manager of my local branch. I outlined all debt and that I wanted to consolidate this all into one loan. I have proposed a payment of 30pw (as this all that I can afford).
Now I need help on the next step.
The only way I can ever hope to get out of this situation is to try to make a settlement. Do I make the offer to the bank or do I wait for the bank to approach me? I have a car with a book value of about 9000.00 and I was going to offer this as payment on the debts. Do banks accept this or would I have to sell the car and give them cash? Has anyone had experience were they would take the vehicle as full or partial settlement. I could possibly raise about 1000.00 euro from a loan form my sister, although she has already lent me about 2000 and I will need to pay this back sometime. Anyone any ideas please?