Gambling debt

Hi all, i'm hoping that someone might be able to give me some advice on above...foolishly Ive accrued some personal debt due to a gambling problem up to 3000 euro in an overdraft and a credit card debt of 4000 euro...I also have a personal loan with my local credit union for 7000 euro..I am currently getting help for my problem as well. I am currently working earning net 1800 euro approx. each month, I don't have a mortgage( council house)..and my phone and transport are currently (company van) from my employer hence no expense there..my rent is 365 per month and my loan to credit union is approximately 200 euro per month. I wanted to to get an extra loan to cover the above debt from the credit union and brought in all the documentation but on my bank statements are betting transactions which they asked me to clarify what they are...im basically asking if I clarify what they are now will it come badly against me in terms of getting credit now and more importantly in the future?. Also as my credit card and overdraft are with Bank of Ireland is theyre a possibility if I approached them would they consolidate the total into a loan?..My credit history I would consider to be very good...Id really appreciate if anyone can advise me on the above ...thanking you all..

An honest opinion would be you need to try and start living if not within your means then as close as possible to them, good luck with beating your gambling addiction but from all your previous postings I doubt consolidating your loans will help, try pay off what you owe with the income you have,best of luck

Many thanks mark, much appreciated

I don't think any institution will consolidate to help cover gambling problems. In any case until you have your problem under control it would be pointless.

You need to tell the CC company that you cannot pay them back. Then they might deal with you in stopping the interest payments and allowing you to pay back the capital at a reasonable rate. It would be best if you cut up the CC.

You should definitely cut up the credit card and ask them to come to a payment plan agreement. Just keep up your credit union payment and they should be ok with that.
Well done on admitting the problem and getting help.

Can you try cutting back on any other spending to pay down the overdraft quicker?
You are in the very fortunate position of living in government subsidized housing and have fully funded transport and phone paid for.

Thanks a tax payer and bronte will def consider both your suggestions ...many thanks!

johnny said:

Thanks a tax payer and bronte will def consider both your suggestions ...many thanks!

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Hi Johnny. Good advice above and, in particular, about cutting up the card etc. The credit union is probably the lender charging you the least rate of interest. You don't disclose how much you hold in shares with the credit union. If the shares are more than 25% of what you owe them, there is scope for a top up loan. However, they may now be suspicious as to the gambling transactions on your bank statement. If you are refused a top up loan, I think you should prioritise repayments to clear the credit card debt, followed by the bank overdraft, even if this means neglecting the credit union for a few months or a year. The credit union will be slow to take legal action and your existing shares may, at a later date, be set off against your loan, but it will give you breathing space while accruing the least interest on the debt compared to the other two debts. However, it is important to bear in mind that there is no point in taking this action if (a) you continue to rack up credit card debts and (b) you do not live within your means, i.e. stopping racking up overdraft

Also, do keep your credit union informed as to your progress, even if you are not paying them (hard to walk in and talk to them if you are not paying I know).

Best of luck, Slim.

Do a budget and see how much you can afford to give everyone per month. Write to each creditor with a copy of the budget and make an offer of payment.

Johnny some very good advise you have been given there, I was once in your predicament cut the cards up, joined gamblers anonymous, and 4 years later I never looked back. delete all your online accounts johnny please do take time to visit gamblers anonymous in your locality, remember these are all normal everyday people just like you johnny their storie's and experience will prove invaluable to you in seeking help. it isn't easy to kick this terminal addiction johnny, but with help and understanding you can and will succeed. my sincere good wish's go to you johnny.

Bronte said:

You need to tell the CC company that you cannot pay them back.

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Why?

€150pm for 3 years would pay down a €4k credit card bill. Am I missing something?

DerKaiser said:

Why?

€150pm for 3 years would pay down a €4k credit card bill. Am I missing something?

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It was a negotiation strategy to try and stop them piling on interest and then he could pay back the debt. Otherwise it will keep increasing. And I did suggest he cut up the credit card too. And another poster pointed out he needs to learn to live within his means. But until he tackles his real problem than he will not progress.

Bronte said:

It was a negotiation strategy to try and stop them piling on interest and then he could pay back the debt.

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Thanks Bronte, I understood that, just questioning the need for it.

I figure that paying the interest versus not paying the interest would amount to a difference of about €10 per week if the full debt is to be paid down over 3 years.

If Jonny can afford that, would it not be better for him to just keep his head down and focus on paying it down for a few years?

Yes you're absolutely right DerKaiser. Hopefully he will do that.