Had my lightbulb moment!

scottishbrummy · 31 March 2016 at 10:46AM

So yesterday I had my lightbulb moment. I need desperately to get rid of my debt - my mortgage repayment and loan will both bounce tomorrow - I get paid on the 8th so will pay both then, as well as a £160 gas/electric bill which is well overdue.

It all started when I was a student, interest free overdraft (1800 - now maxed out) and too young and stupid to even contemplate paying it back. In September it will be 10 years since I got it, and since then I've added a credit card (1500 - also maxed out) and a loan (ironically to pay off the other two), which has 4200 left over 2 yrs 9 mnths.

I'm hoping with the support of this forum I will be rid of my debt soon enough. I earn 22,200 a year and after tax I get about 1350 every 4 weeks.

Wish me luck!! :beer:

Official MoneySavingExpert.com Insert:

scottishbrummy first started this diary back in March 2016. Have a read through the full discussion or click through to the second page to see how they're getting on!

[purplesignup][/purplesignup]

yasmin2 · 31 March 2016 at 11:02AM

You're in the right place for help and support.
If you post up a SOA I am sure someone will come along and make suggestions as to where you can cut back:)

Good luck:D

scottishbrummy · 31 March 2016 at 11:28AM

Thanks, I will do. Off to work now until 10pm so won't be home till 11pm

Not taking card with me so not spending any money!

glentoran99 · 31 March 2016 at 11:32AM

scottishbrummy wrote: »

So yesterday I had my lightbulb moment. I need desperately to get rid of my debt - my mortgage repayment and loan will both bounce tomorrow - I get paid on the 8th so will pay both then, as well as a £160 gas/electric bill which is well overdue.

It all started when I was a student, interest free overdraft (1800 - now maxed out) and too young and stupid to even contemplate paying it back. In September it will be 10 years since I got it, and since then I've added a credit card (1500 - also maxed out) and a loan (ironically to pay off the other two), which has 4200 left over 2 yrs 9 mnths.

I'm hoping with the support of this forum I will be rid of my debt soon enough. I earn 22,200 a year and after tax I get about 1350 every 4 weeks.

Wish me luck!! :beer:

Not the first and wont be a last to fall into the "consolidation trap"

Your debts are totally managable

National_Debtline · 31 March 2016 at 2:35PM

Hi

Your mortgage and other household bills should be your high priorities along with other essential living costs. If your mortgage payment is going to bounce it's a good idea to be pro-active in contacting your lender to explain your situation. Ask them for help such as a possible payment holiday or changing to an interest only mortgage in the short term to give you some breathing space.

Posting a SOA is the best place to start as the others have suggested.

James
@natdebtline

leebo87 · 31 March 2016 at 7:06PM

Very similar story to you brummy, had my LBM last October and have made big inroads since, thanks to this forum. I recommend starting a spend dairy - this has been the single most useful tool for me.

Good luck

rockabillygirl · 31 March 2016 at 8:10PM

Just wanted to wish you luck on your journey.

CoffeeBean_2 · 31 March 2016 at 9:28PM

Best of luck with everything, like another poster said, your debt with your wage is manageable.
Hopefully now you have posted on here you will get support and get there with it all.
Well done on posting
CB

scottishbrummy · 1 April 2016 at 10:12AM

Thanks for all the advice so far, the payments bounced today but as soon as I'm paid on 8th April I'll pay it all. I'll post SOA in a bit just got some bits to do. Didn't have time to make lunch before work yesterday (I definitely will today) but managed to get a chicken korma reduced to 57p - win!

scottishbrummy · 4 April 2016 at 9:02AM

So here's where I am at the moment:

Monthly Income:
My salary - £1,350

Monthly Outgoings:

Mortgage - £362.77
Loan repayment - 170
Council Tax - £81
Gas - 20
Electric - 20
TV License - 12
Sky - 39
Phone - 43
Food - 100
Life Insurance - 5
Bus Pass: 60

Total: 912

scottishbrummy · 4 April 2016 at 9:07AM

So it's looking ok.... there's just under £400 I can put towards my debt each month, however, I get paid 4 weekly which I think is what's contributed to my issues. I get paid on the 8th April and because some things bounced on the 1st I'm going to have to pay two lots out of the one pay (mortgage, loan, life insurance) so for me this month will be about getting back on track, and then paying back as much as I can every month from Mays pay - the 6th.
Luckily though the flipside of the 4 weekly pay is that I won't need to pay out mortgage loan or life insurance from my pay in June so I'll have an extra £532 on top of the £400 I'll be trying to put towards my debt

Had my lightbulb moment!

Comments

Categories

Get our FREE Weekly email full of deals & guides - and it’s spam-free