103 months of mortgage remaining but only 40 months of earnings

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Age 61
Spouse ?
Married

Two incomes €5775

Mortgage
Property value
Interest rate - Fixed ?
Term remaining 8.5 years
Repayment amount


1. Bank loan 5 years remaining
2. Credit union loan 5 years remaining
3. Credit card balance.
4. Overdraft

Cost of all 3 plus mortgage € 3883



Lancelot because of your age I'm trying to figure out your figures for you. Can you tell me the following:

Questions

How much does each of the three loans cost
What is the interest rate on all loans
How long more will your wife earn beyond your retirement
What will be your pension in retirement
What will be your lump sum
I presume you are entitled also to the state pension? Is your wife also. How much is that per person.
How much is in the Credit union
Were the two loans originally 60 months or is that now much less to go?
How much is your house worth
What amount is currently owing on the mortgage
 
Last edited:
LS400 said:
If I were to put myself in your shoes, then your right to try solve an impending situation. Your 61.5 years young and hopefully will be employed for the remaining 3.5 years. The problem I have is, if you manage to honour your payments, you will be then 70 years young starting to only then, enjoy your retirement, but with what??
You shouldn't have to be working whether part-time or after 40 years on grindstone if you can help it.
How much is the current family home worth ?, Could you emotionally sell it on reaching 65 and down size to free up capital?
There is no point in me saying, change service providers and save a few hundred here and there, take the bus instead of the car, were talking much bigger decisions here in order for you to be financially secure in a few years time.
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Thanks. You are correct. I cannot see selling the house as a solution. I do not want to just swop problems. The reason and the only reason I am still afloat is because of the long strong association I have with my bank and their positive view of me. My most treasured possession is my credit history. But soon that is all that I will have behind me while in front of me is a diminishing opportunity.
The buzz word right now in Ireland is 'space' and for the first time in my life time I see it as confining rather than expansive.
I am looking over all of the suggestions made by the contributors and I am thankful and grateful for the levels of interest shown. I suppose without getting too carried away with cliches I am waiting for that 'thinking outside the box' suggestion/solution.
Finally for now, just to say that I was always in charge of the finance in the family. I have made some poor judgement calls and some very very poor judgement calls over the years (to not have seen the mortgage elephant in the room sooner was major) but we are where we are (apologies) and now I need to plan a route out of the situation with that elephant on my back.
Thanks a lot
 
Lancealot said:
The reason and the only reason I am still afloat is because of the long strong association I have with my bank and their positive view of me. My most treasured possession is my credit history. .
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You are just a cash cow to the bank, literally just a number, of course they love you, they love people in lots of debt paying high interest rates and with a nice asset, your house, if necessary, at the end.

If you really want help Lancealot try and fill in the blanks on the summary I'm trying to do for you.
 
Bronte said:
You are just a cash cow to the bank, literally just a number, of course they love you, they love people in lots of debt paying high interest rates and with a nice asset, your house, if necessary, at the end.

If you really want help Lancealot try and fill in the blanks on the summary I'm trying to do for you.
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Great. I will sit down this evening and go through your request line by line and I will give you all of the details. I'll get this out of the way first though. My wife will be retiring from her job at the same time as I will be retiring (she is younger but says she will not work after I have retired :(
.... Thanks a lot...
 
Lancealot said:
Great. I will sit down this evening and go through your request line by line and I will give you all of the details. I'll get this out of the way first though. My wife will be retiring from her job at the same time as I will be retiring (she is younger but says she will not work after I have retired :(
.... Thanks a lot...
Click to expand...

No offence but maybe given your predicament she would want to get a grip on reality!
 
Hi Lancealot,

I should have made my post clearer. You see I wouldn't be ruling out selling the house, and I dont see it as swapping problems. Maybe if anything, swapping a big problem for smaller problem.
Its easy for me to sit here to make a suggestion as life changing as that about some stranger I have never met, and if the shoe was on the other foot, I would be deeply put out if I had to make such a call.
But, your health really is your wealth here. Sometimes going backwards is the only way to go forward. Btw, there have been poor judgment calls made by some of the cleverest folk out there, so your in good company.
You seem like a thoroughly nice guy and I hope things work out for you.

LS.
 
Lancealot said:
Great. I will sit down this evening and go through your request line by line and I will give you all of the details. I'll get this out of the way first though. My wife will be retiring from her job at the same time as I will be retiring (she is younger but says she will not work after I have retired :(
.... Thanks a lot...
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I'm very glad that you have decided to take the time to do this, we can then help you to help yourself hopefully. Take your time and do it as best as you can.

Stop beating yourself up about making the wrong choices financially. Everybody makes mistakes.

Your wife might need a good talking to however. How you handle that is up to you. My husband lost his job after working for a very long time. He is now very happy at home and he deserves it and I'm continuing to work into my sixties if I have to for our children and to pay the bills ! He's way older than me too and I'd love to retire early. Currently not able to do so but I'm young enough yet. Golf is not for me.
 
Bronte said:
You are just a cash cow to the bank, literally just a number, of course they love you, they love people in lots of debt paying high interest rates and with a nice asset, your house, if necessary, at the end.
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I'm not sure how this comment is relevant to the case in hand. There is no evidence of any difficulties caused to the OP by his bank. Simply his income stops at a time when he has 3.5 years repayments left on his mortgage. The bank will expect the payments to be made as per the mortgage agreement. They will allow some flexibility in line with CCMA but are not expected to resolve this client's or any client's cashflow problems!!!
 
44brendan said:
I'm not sure how this comment is relevant to the case in hand. There is no evidence of any difficulties caused to the OP by his bank. Simply his income stops at a time when he has 3.5 years repayments left on his mortgage. The bank will expect the payments to be made as per the mortgage agreement. They will allow some flexibility in line with CCMA but are not expected to resolve this client's or any client's cashflow problems!!!
Click to expand...

Because earlier in the thread he mentioned that he had gone to the bank and they wanted to sell him another product and it looked to me that they want him constantly in debt as he is profitable to them. He was also under some delusion, in my opinion of banks, and their attitude to 'customer's that they, the bank, were somehow his 'friend'.
 
Lancealot said:
Sorry Andy836 when I must retire at the age of 65 in 3.5 years time I will have an outstanding mortgage in terms of months remaining to be paid off, of 60 months (5 years). I do not have a public service pension. I do have a pension that I pay into and I have done so but only since 1992. It is worth something, not a lot and therein lies the problem. I'm taking all contributors suggestions on board and I am grateful to you all for those suggestions. It is helping me to focus and to push on with finding a solution rather than languishing in 'what am I going to do'.
Thanks a lot
Click to expand...

Ok, I misread your timeline. Without a lump sum or high enough pension coming in you're most likely going to have to do either of (i) continue working, or (ii) trade down.

The problem with (ii) is you'd be paying fees etc unless you could arrange some sort of house swap with a relative although you're not going to avoid legal costs. I'd recommend continuing to work if possible. 65 is the new 55!!

Best of luck with the situation anyway.
 
Just in reading the last couple of contributions please understand that I MUST retire from my job at age 65 and I have done the maths on this ... Come my 65 birthday I WILL have 5.25 years left to pay on my mortgage. The above is written in STONE .... Mill stone actually .. :(
Thanks a lot
 
Bronte said:
He was also under some delusion, in my opinion of banks, and their attitude to 'customer's that they, the bank, were somehow his 'friend'.
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I know that the bank and the banking community are going to be part of the solution to solving my problem. When in the past I needed to be funded the bank stepped in and I was happy to go there and they were happy to help me. Dig outs were never part of what I resorted to when I was in dire need so poor planning and the fall out from same are consequences for me and blame rests solely on my shoulders.
I am asking about money and the management of diminishing amounts and opportunities, for the first time.
That time is now in short supply.
Every ones contribution on AAM I respectfully accept and I can swop comments until the cows come home but hopefully when I put Bronte's list (all of my financial commitment, loans etc) up a banking solution can be found to a banking problem.
Thanks a lot
 
Lancealot said:
Just in reading the last couple of contributions please understand that I MUST retire from my job at age 65 and I have done the maths on this ... Come my 65 birthday I WILL have 5.25 years left to pay on my mortgage. The above is written in STONE .... Mill stone actually .. :(
Thanks a lot
Click to expand...
You have to retire from your current job but couldn't you work elsewhere? This might also solve the dilemma of your wife wanting to retire at the same time as you ;-)
 
Lancelot I was just thinking about you and wondering how you are getting on with the figures, we only need rough ones. Sometimes just putting all the figures in order can help to see things more clearly.
 
Bronte said:
Lancelot I was just thinking about you and wondering how you are getting on with the figures, we only need rough ones. Sometimes just putting all the figures in order can help to see things more clearly.
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It is uncanny, great minds... I was just thinking about me as well .... I have just sorted my own pension lump sum tax free amount. The only outstanding item now is my wife's pension payment and that will complete the suite of figures that I will post for you. So on Monday I will lay them out and the moneycrats can have a go. Leaving aside all issues of lifestyle, behaviour and how we live our very ordinary lives 'here in the middle' I wonder if there is a genious/magician/performer out there who can juggle these figures to fit that fiscal space.
I know 28 were crammed into a Mini once ... :). Bronte, are you that person? Thanks for your time, your interest and your help:)
 
Hi Lancelot looking at your situation and I was wondering have you children and I persume if you have they might be getting older and in a position to help you out you should be looking forward to your retirement and not be stressed out I might be in much the same situation myself my property is the only pension I have and we are hoping one of our kids will buy it off us and build us something small on site we have a large mature site in an nice area look I don't believe in leaving my kids anything I will educate them and send them on there way I didn't get anything I didn't expect anything myself and I preacheate everything I have and worked hard for it and I expect my kids to do the same
 
Galwaypat. .. Thank you and welcome to the club. The only items that I am throwing into the pot on Monday when I post all of the figures will be financial assets and liabilities. I am looking for a moneycrat to come up with a proposal. The reason I am where I am is because of very poor planning and poor judgement. If you like "family" got me to where I am and I don't see a solution coming from this source in any case I do believe that someone out there has a financial formula that will be workable.
I don't regard my situation to be unique, you, Galwaypat, are in the same situation. We are not trying to Split the atom here and when the figures go live on Monday I am hoping that someone can engineer a financial platform that will launch me into at least a less stressful retirement that as of now I can only forecast as being bleak. Thanks a lot ..
 
Just a brief update on the posting of the figures tomorrow. It will be 5.30 pm before I will have all of the information.
Thanks a lot
 
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