i am in deep financial trouble

[michael.t47]

i am in deep financial trouble, i owe in excess of £100000 and have £250000 mortgage on a house that is fast falling in value, it was valued at £300000 last year. my debts comprise of credit cards and loans, i have been robbing peter to pay paul for far too long and now the interest payments are crippling me. can an iva help me? and will i be able to keep my house.
my current mortgage is £2079 per month, and we have a combined income of £4000 per month. gas/elec £130.00 council tax £192 water £50 phone £40 plus others i cannot think of at the moment.

[barbara.worthington]

hi michael and welcome to the forum

i am not an expert but someone will be along shortly to advise you

there will be a way forward for you, try not to worry like i say an expert will be along shortly

barb

[emma_t]

Hi Michael and welcome to the forum

You really need some professinal advice asap to stop the situation gettting any worse. Most of us on the forum have robbed Peter to pay Paul and as you have realised it makes things worse, the good thing is you have realised this and have admitted you need help.

I am sure an expert will be along soon to advise.

As Barb says there will be a solution to your situation.[:)]

[jgreenwell]

Hi mate, I do hope you get things in place soon. I am in a similar position to you, although not as much, but not far off either, and have posted on here for guidance. It looks like both you and I have realised at the same time that things cannot go on for much longer without casualties. It really hurts as you feel (like me) that you are a wise person, and how the hell did things end up as they are?

Fingers crossed for you mate, we are in this together
JG

[ianmillington]

Hi

A number of questions here.

How many u/s creditors have you got?
Is there any "history" associated with any of them e.g guarantees from a failed business or something?
What do you do for a living?
On a broad brush basis and without any commitment how much would you say you could pay each month if the U/S debts were not there.
You should be investigating the possibility of an IVA. However, there are a number of areas that would need to be looked at before it could be said whether it would work: Affordability and creditor profile to name but 2.

Shop around and speak a couple of firms and see who impresses you most.

Ian

[MelanieGiles]

An IVA is just one option for you, there are others depending upon your specific circumstances. Take time to make the right decision and to understand the advantages, disadvantages and implications of each option - and make sure the final decision is yours and not one enforced upon you by an IVA provider. Good IPs give advice as to all options and not just one specifically.

As an observation, you are very highly geared on your property, and I assume that you are paying a repayment mortgage. Is this on a fixed rate which is due to expire over the next few years> Some creditors tend to have a problem with mortgage to earnings ratios of more than 40%, so you may have to consider an interest only option if you do decide that an IVA is the right way forward for you.

[jpj]

Your mortgage payments of £2079 seem quite high on a £250k mortgage. (i have a 220k interest only mortgage and only pay just under £1,100 a month!!)
If you are on a repayment mortgage it could be worth switching to an interest only mortgage to help your current financial situation.

[michael.t47]

thank you all for your input. i am away visiting family from tomorrow, but when i get back i am gonna meet this head on

[MelanieGiles]

I can promise you that you will feel far better when you have spoken to a professional and shared your difficulties. Once you find out what debt solution options are available to you, you will feel like a weight has been lifted from your shoulders.

Have a good trip!

[michael.t47]

thanks melanie
i look forward to it and to taking with you

[michael.t47]

oops talking