High personal debts

Congratulations Jonny on taking the bull by the horns and keep up the good work, I have been reading this thread with interest.

Just one or two things..
On the upcoming change of circumstances have you considered talking to your other creditors and renegotiating repayments based on your projections? You seem to be resigned to defaulting on other debts when your interest-only period on your mortgage is up but it may be worth discussing with each creditor (including your mortgage provider) now what you can afford to pay when that time comes instead of waiting for the crunch. Otherwise you are just gambling with your future. It is better for them if you pay something than if you pay nothing and it is better for you and for them if they are kept in the loop.
Also have you discussed with your wife the impact of the upcoming change? From the sounds of it you have but just in case she is thinking that you two have managed to clear the hump I thought I would mention it.
No harm in keeping in touch with MABS either, rather than looking to them when you are in deep trouble.

Rochs, from what I understand, the basic problem isn't really the business finances it is the personal finances. However if the business is a drain on his personal finances (as in he is investing money in it) then it is certainly worth considering.
 
Just some ideas....

Assuming that your wife does not work at the moment as you havent mentioned it, would it be possible for her to take up employment to increase the family income ?

Try to speak to your bank about extending the interest only position.

The stress involved in dancing through courts I think will only distract you from what you should be spending your time on which is increasing your monthly income.

Can you get a top-up on your mortgage to clear the more expensive debt ?
Lower interest rate over a longer term should give you more room to breath on a monthly basis. ?

Is your house big enough to "rent a room" ?

If your business shows good figures, could you apply for a business loan?
Perhaps to purchase a cheaper vehicle ? Then sell the one you have personally and use the proceeds to at least pay off some of the personal car loan. Again this might have the effect of reducing your monthly payments.

Can you do any extra work in the form of nixers ? Obviously there is a tax implication for this type of income.

Any chance your teenage child could do any part-time work? Would be very helpful the next time he needs new runners etc etc .

Anyways, keep strong and positive and above all remember that every euro counts. Be the meanest, tightest ba$tard that you possibly can be when it comes to spending. This will be really hard but I am afraid it is very necessary. Young kids sometimes don't understand but they will just have to get used to it. All luxuries out.

One thing that I find very useful when money is tight is to plan every spend as best you can and keep a track of all your daily expenditure.

Stay strong.
 
Hang in there jonny. As Winston Churchill said " When you are going through hell - keep walking "

Sorry I have nothing more concrete to add, but the efforts you are making would suggest that you are made of strong stuff.

Good Luck.
 
hope things go well for you, life is for living not for loathing, i know its easy for me to say but as long as you can keep your family together that is the main thing, family is everything.

money isnt the be all and end all of everything, i think you would benefit from some very good one on one financial advice, did you sit down face to face with mabs??
getting rid of the van is a good thing ,my partner did the same recently, he was paying 300 a month for a 16k hiace.
he wrote to the bank saying he could no longer afford the repayements and they took it back this week.
we await to hear if there was a shortfall.

is there any chance of a remortgage to take and of the debts into consolidation, maybe its already been suggested sorry if it has.

but maybe if the mortgage provider saw that by getting a re mortgage it would enable you to clear the debts and pay one loan ie , mortgage, thus they wouldnt have the added hassle of repossession ,auction etc.

sorry if i havent been any help
 
jonnykkk said:
More updates,

Car sold at auction leaving me with a shortfall of 15k, no way I can pay it, Have come to agreements with some of my creditors who are willing to accept reduced payments but have also said they will be getting judgements on our house, Am a liitle scared of the sherriff coming in at that point,but what can I do? Wife done a 2nd interview with the HSE for a job as a carer working weekends and evenings,but is now awaiting Garda clearance which can take a while. She would be good at that king of job. Am thinking of giving back my van also as it cost 440 euro pm which has 3 yrs left to run,If I do this I will pick up a reliable old hiace or such like for a couple of thousand,hopefully in this case the shortfall wont be so much as I paid a deposit on the original deal of 3k. We are tighening our belts so much we cannot breathe!! Is it true tat interest on debts grows by 8% per annm? I read this somewhere and if thats the case I feel It will be impossible to ever pay the debts back.
Click to expand...
PM sent.
 
Jonny, you are doing better than you are giving yourself credit for. It isn't a short road and unfortunately it won't be fixed in a year but you are doing all the right things so as Bluebell said, hang in there. Try to think in a longer term for getting out of this dip. And think of all the positive things you have done.
You have together identified a new revenue stream which will help when your wife gets the go ahead to work and will continue to make it easier.
You have lines of communication open with your creditors and they are willing to accept reduced payments. I am not 100% sure on the judgements but my understanding is that this is basically their safety blanket until you have paid them off. I don't think you need to worry about the sherriff turning up just yet.
You have disposed of a depreciating asset, I know you still have a shortfall. You say there is no way you can pay it, does it need to be paid as a lump sum?
You have curtailed your outgoings and you are working as a family together on this.

Look carefully at the cost of the van and the advantages and disadvantages of replacing it. If the money looks right I would say go for it but consider it carefully first.

You have got in place the means of making this right, and you have the support of your family in what you are doing. For what it's worth you have certainly my best wishes in this and I'm glad you are keeping us posted.
 
jonnykkk said:
Thanx to all of you for the encouragement,it really helps a great deal to know people out there are willing me on! I certainly will give it my all thats for sure,will keep you all posted on my progress,and again many thanks.
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Hi Jonnykkk... please keep up the good work, i know it may not seem like it now but you are doing everything you can... I am in a similar position (debts through gambling) but only for the support of my partner I would have spiralled out of control...

We sat down and reviewed all our finances... I have four outstanding credit cards which has now been cut to three as I have paid a balance in full this week... that leaves me with 200 euros to keep me going for the rest of the month which is going to be difficult to do and i'm having to make big sacrifices such as not going to the cinema or buying replacement football boots as I just cant afford to do it... but i know in the bigger picture its best ...

So keep the head down and keep working at your debt and fingers crossed this time next year we'll be in a lot better position... both financially and with our loved ones!!

Wishing you all the very best!
 
I too have had very bad experiences of gambling by a family member - I think we as a society need to tighten up on this destructive industry...

Best of luck in getting through this situation.

S
 
chief
here is the golden advice to you:
you are still gambling your life (contract, courts..blablaba)
Advice: Stop gambling,
solution: sell your house ASAP, move in to a cheaper house (outside Dublin,CORK wherever you are), there are cheaper house available..Unites State of Navan and Repbulic of Fermoy are the few examples of this...
dont be show off and look ahead.
Pay all your loans, credit cards etc. and sky and all useless item.
just become a man and come to simple living
i dont think you should have any problem except your gambling in each and every expect of life.
good luck
now after reading so many sad stories (some are really sad and some are made sad by owners themsleves), i am started to getting worried about myself, going to sleep...
hope you get it.
time for show off, big confidence, big cars social animality is gone;;;wake up, buy tesco/pennys/dunnes cloths for few years....
 
jonnykkk said:
Thanx to all of you for the encouragement,it really helps a great deal to know people out there are willing me on! I certainly will give it my all thats for sure,will keep you all posted on my progress,and again many thanks.
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Hi Jonnykkk, I had a gambling problem last year just before I got married. I nipped it in the bud within two months thank God. I was honest with my wife to be and promised that I would stop. I haven't gambled a cent since.
I hope that things work out for you. I think that they will.
 
jonykkk, (just from looking at AAM this morning) I think astraclub gave similar advice on a few threads in this forum last night without fully reading the history of any. Also I think they have something of a distaste for any loans at all as in another thread they referred to them as "the worst virus". I wouldn't be too upset by them. When does your wife start work? And how is the delivery work suiting you? Also did you decide whether you wanted to change the van?
 
So-crates

Yes, i give advice becuase i was in debt too till 2003. Personal Loan and credit cards bills were the worst one. Trust me, when i had this car loan/personal loan and credit card loan, i felt so depressive even thoguh i was paying. I did not go to cinema in those 2 years, did not rent a dvd, and put my full energy and resource on paying off these. Since i have paid off personal loan and credit and took oath that i would not take it again. I am happy driving a 7 year old car just becuse i dont have loan.
JKK
Yeh i know the rating is gone but if you talk to someone from bank sector and explain..they might refer you to some rich man who may buy your house... apology but these all were suggested to me and i was ready to try anything......

I have full sympthey with you and wish i can help...
i am starting a business very soon and would need some part time head count , PM me and i will see what i can...
Hope to god that you can get out from this soon.....
 
Just to clearify, i read all the psot and found that almost all had many personal loans and credit card balance and i realized that paying off these is as equal as the take home....
And due to the fact that i was hit hard by these two issues and i still feel scared with these two.
I dedicate my success to come out from red was killing these two issues.
 
Yes - but referring to loans/debt as "the worst virus" without any reference to an individual's specific circumstances is nonsensical.
 
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