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GBMUR1
Guest
I've recently become aware that a close relative is in financial difficulties.
They have two investment properties in negative equity and are holding balances at max limit on credit cards, are overdrawn on the current account and have two car loans.
They work in one of the major banks. Their situation is worsening as they have a kid going to college in Sept and are waiting to hear the details of an impending pay cut in the next month. The person has been borrowing money from family members to get by and after another request for money they were asked to share their financial situation with me.
I stressed the need to consolidate loans and assumed they could get a top up mortgage. My estimate is that ca€50k would see them through the situation for the next 5 years. The person however seems to be in denial about the extent of the problem and doesnt want to approach the bank for fear it will impact their career prospects. He seems incapable of sitting down and drawing up a list of options and pursuing the best path, probably because he doesnt want to face the reality that serious lifestyle choices such as sale of a second car need to be made.
Our family are conscious he is under severe stress having lived with this issue for over 3 years but equally want to ensure that he finds a way out of the problem. He says he doesnt think he would get a top up mortgage but I'm not sure if this is the case or not. I approached MABS for advice but they will only deal directly with borrowers which is understandable. Does anyone have experience of how staff members are treated in the banks when they come clean about their personal situation or have any other advice on the matter.
Any help appreciated!
They have two investment properties in negative equity and are holding balances at max limit on credit cards, are overdrawn on the current account and have two car loans.
They work in one of the major banks. Their situation is worsening as they have a kid going to college in Sept and are waiting to hear the details of an impending pay cut in the next month. The person has been borrowing money from family members to get by and after another request for money they were asked to share their financial situation with me.
I stressed the need to consolidate loans and assumed they could get a top up mortgage. My estimate is that ca€50k would see them through the situation for the next 5 years. The person however seems to be in denial about the extent of the problem and doesnt want to approach the bank for fear it will impact their career prospects. He seems incapable of sitting down and drawing up a list of options and pursuing the best path, probably because he doesnt want to face the reality that serious lifestyle choices such as sale of a second car need to be made.
Our family are conscious he is under severe stress having lived with this issue for over 3 years but equally want to ensure that he finds a way out of the problem. He says he doesnt think he would get a top up mortgage but I'm not sure if this is the case or not. I approached MABS for advice but they will only deal directly with borrowers which is understandable. Does anyone have experience of how staff members are treated in the banks when they come clean about their personal situation or have any other advice on the matter.
Any help appreciated!