Another Person In Need Of Help

southernscouser · 27 September 2005 at 3:51PM

After reading countless posts I have decided to take the plunge and seek some advice for myself. Everyone on here seems to be a book of knowledge so I would appreciate it if you could take the time to cast an eye over my situation.

I've come to the realisation that my debts are alot worse than what I thought they were. I never have anything left at the end of the month and the overdraft keeps getting bigger. Quite often in the past I have transferred my O/D debt to my Egg card (stupid, I know) which made it seem like I was coping as account was always in the black. Clearly I'm not.

Debts:

Egg CC - £2,933.02 (£8,600 limit) - 14.9%. Paying min. payment, last month was £45.72

Capital One CC - £8,093.97 (£10,300 limit) Balance Transfer Interest is 3.9% (£21 last month) & Purchase Interest is 12.5% (19.59). Paying min. payment, last month was £249.06.

Morgan Stanley CC - £2,484.27 (£2,700 limit) Not sure on APR but last months interest was £12.25, Paying min. payment, last month was £51.

Tesco CC - £2,899.54 (£4,100 limit) 7.7%. Paying min. payment, last month was £89.

Tesco Loan - £22,294.20 APR 6.7%. Have 5 years left of 7 year term. Monthly payment of 371.57.

So there it all is! Actually feel embarrased posting all this as I am ashamed of the debt I have mounted up but I desperately need help and you guys and girls are my first point of call.

Please feel free to ask anything you like, I won't take offence, and thanks for taking the time to read this.

Miroslav · 27 September 2005 at 3:54PM

The 'experts' around here will ask you to list your incomings and outgoings so they can see where they can advise you, so that's a good place to start.

Don't feel ashamed, we all make 'mistakes' or have unfortunate turns of events, but you've reached the stage i'm at - time to try and sort it

Good luck

Lucie_2 · 27 September 2005 at 4:06PM

It probably seemed as though you were coping as all of your debts are relatively small (except the Tesco loan). In total it comes to £38,705. Looks a bit scarier like that!
How big is your overdraft?

The main questions to consider are what have you spent the money on? Do you have anything to show for the debt that you could sell? (like a car?), or is it just going on living expenses, meaning that you are living beyond you means & need to have a budget (& lifestyle) re-think.

You've made the first step in asking for help to rectify your situation, so well done for that! Post your incomings & outgoings as previously suggested, as the more details you give, the more help is forthcoming (generally).

southernscouser · 27 September 2005 at 4:08PM

Income:

Salary - £1320

Monthly Outgoings:

Internet - £22.50 (was £29.99)
Egg CC - £45 minimum payment
Loan - £371.57
Mobile - £30
Capital One CC - £250 minimum payment
Morgan Stanley CC - £50 minimum payment
Tesco CC - £88 minimum payment
Rent - £250
Petrol - £120 average

OK, missing from that list is

BT - £31.50 quarterly
Car tax, insurance, MOT, all yearly and have all been paid this month.

southernscouser · 27 September 2005 at 4:13PM

Lucie wrote:

It probably seemed as though you were coping as all of your debts are relatively small (except the Tesco loan). In total it comes to £38,705. Looks a bit scarier like that!
How big is your overdraft?

The main questions to consider are what have you spent the money on? Do you have anything to show for the debt that you could sell? (like a car?), or is it just going on living expenses, meaning that you are living beyond you means & need to have a budget (& lifestyle) re-think.

You've made the first step in asking for help to rectify your situation, so well done for that! Post your incomings & outgoings as previously suggested, as the more details you give, the more help is forthcoming (generally).

Overdraft is estimated to be £300 at the end of the month once DD's come out. Had cleared some with selling a few bits on eBay, but like I said before I tended to often transfer £500 or so onto my Egg card.

I have a 3 year old Focus worth about £7000 to show for it all and have thought about selling it but I do need a car as I use it to get to work.

Also family and girlfriend don't know about my debts so if I sold the car for a cheaper one the questions would start!

StevenP_2 · 27 September 2005 at 4:13PM

southernscouser wrote:

Income:

Salary - £1320

Monthly Outgoings:

Internet - £22.50 (was £29.99)
Egg CC - £45 minimum payment
Loan - 371.57
Mobile - £30
Capital One CC - £250 minimum payment
Morgan Stanley CC - £50 minimum payment
Tesco CC - £88 minimum payment
Rent - £250
Petrol - £120 average

OK, missing from that list is

BT - £31.50 quarterly
Car tax, insurance, insurance, MOT, all yearly and have all been paid this month.

Can you not transfer most of that EGG debt to a lower APR card , the CC one at 3.9 % ?

and how about cutting internet down , i have 1mb (£20 to upgrade to 2mb) wanadoo at £17.99

Steve

StevenP_2 · 27 September 2005 at 4:15PM

StevenP wrote:

Can you not transfer most of that EGG debt to a lower APR card , the CC one at 3.9 % ?

and how about cutting internet down , i have 1mb (£20 to upgrade to 2mb) wanadoo at £17.99

Steve

Oh

and cancel all purchase protection insurance if you have taken that out (in my opinion)

then go and tell your girlfriend about your debt

southernscouser · 27 September 2005 at 4:19PM

Oh forgot to mention that I recently tried to get the outstanding loan debt renewed over 7 years again to reduce the monthly payment but was rejected.

Have also been approved an Amazon CC with 0% for 9 months which should be here in the next couple of days. Forget the credit limit but was thinking of transferring at least the Egg CC debt to it!

Also applied for another CC, think it was Nectar or something, which had a low lifetime balance but was rejected for that also.

southernscouser · 27 September 2005 at 4:22PM

StevenP wrote:

Oh

and cancel all purchase protection insurance if you have taken that out (in my opinion)

then go and tell your girlfriend about your debt

I don't have payment protection on anything anyway.

Don't think I can tell the girlfriend. She keeps talking about us getting a place together and I just keep saying that we will start looking next year. The thing is I don't think she is in a financial postition to do this either as she is a student and I know she has a few debts although no-where near as bad as mine!

StevenP_2 · 27 September 2005 at 4:27PM

southernscouser wrote:

Don't think I can tell the girlfriend. She keeps talking about us getting a place together and I just keep saying that we will start looking next year.

Mate

this looks like a golden reason for you both to sit down and have a long chat

Steve

southernscouser · 27 September 2005 at 4:29PM

StevenP wrote:

Can you not transfer most of that EGG debt to a lower APR card , the CC one at 3.9 % ?

Steve

No I stupidly transferred more outside of the Capital One introductory offer which is why I'm paying more for "Purchases" interest than BT interest.

I did phone them to see if they could offer me a special rate but it was about 12.9%.

Another Person In Need Of Help

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