RE: Advice Please.

[S Mac]

Hi All just wondering if anyone has any thoughts on this one.
My partner has a loan for 13k and a credit card that is maxed out on 14.5k with the Halifax this is costing £600 per month in Payments and is 75% of her wages every month. Last week she went to the bank to pay her visa card and the assistant said to her . because you owe alot of money on your visa and it is not gioing down you are only paying the intrest rate that do you want me to make an appointment to see someone about consolodating her debt. She asked if i could come with her if she made an appointment and she said that would be ok. Really want to go in with some anmmunition and we are really strudling to pay this debt to the point of looking at taking out some sort of debt relief.
Also in the middle of a miss sell claim for the PPI on the visa card at the moment and could this have a bearing on the outcome and will the branch know that there is a claim in place. any advice would be great.
Many Thanks.

[WendyB]

Re: Advice Please.

On the one hand, thy shouldn't offer more debt when you are already in debt. However, on the other hand, and this is just my personal opinion, if the interest on the loan would be less than the interst on the credit card, then it might be worth thinking about having a loan to pay off the credit card. BUT (and this is a VERY BIG BUT) if you do this, then you absolutely HAVE to pay off the credit card and then cut it up and not use credit card again, otherwise you will just end up with a loan and another credit card bill. I speak from experience here, been there, done it.

How far along are you with the PPI claim? If that is successful will reduce the balance on the card.

[leclerc]

Re: Advice Please.

I would merely add that if servicing the new loan(they will offer this) is lower than you currently pay on loan plus credit card then it is worth doing that. However, I would move money immediately you're paid into a savings account because otherwise what you think you have saved is spent on something else and the initial benefit is lost. I speak from experience unfortunately cos it will lead to further consolidation of loans.

[S Mac]

Re: Advice Please.

The PPI claim was sent on the 9th March and all we have had back is a letter acknowledging the letter and they said they would investigate. The PPI Payment claims go back to 2003 - last month when the PPI was stopped been through all statments and this equates to £4,595 in payments for PPI. There is also the intrest to be added as the payment protection is added to the oustanding ballace and intrest is added on. Don,t know how to work this one out yet but it will be quite large. then there is the standard 8% to add so would presume it would be a fair chunk of money. And there is a miss sell for the loan that we have not started yet. If both are succsesfull should net around £10k Ish that,s providing they pay out ?????.