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  • FIRST POST
    • motivated
    • By motivated 28th Jan 17, 4:51 PM
    • 2,273Posts
    • 3,389Thanks
    motivated
    Debt Demolisher
    • #1
    • 28th Jan 17, 4:51 PM
    Debt Demolisher 28th Jan 17 at 4:51 PM
    Hi MSE ers

    Have plucked up the courage to admit that I cannot cope financially.

    Long story short. We are £82,590 in Credit card and Loan debt basically spent on nothing but shopping, holidays, clothes and household things.

    We are not in arrears or any CCJs at present but fear this will not last.

    I completed the step change debt remedy tool thing today and it advised me to ring them on Monday Petrified at the thought of phone calls, bailiffs at my door and threatening letters etc. I don't even know what to expect about the process etc.

    What do I have to show for it all NOTHING

    So angry with myself but I do feel a little easier as it seems I have woken up and am willing to face it all, pay it all off and remove a lot of the stress I have every month.

    Myself and My OH both work and are both willing to pull together to sort this sorry mess out. I am hoping that keeping a diary and soaking up some excellent tips and advice will see us through to the end.

    I have seen some excellent advice and encouragement given on here and have thoroughly enjoyed reading all of the advice and diaries.

    One day I will be advising others (I hope)

    Please be gentle with me
    M
    Last edited by motivated; 30-05-2017 at 10:33 AM.
Page 1
    • motivated
    • By motivated 29th Jan 17, 7:41 PM
    • 2,273 Posts
    • 3,389 Thanks
    motivated
    • #2
    • 29th Jan 17, 7:41 PM
    • #2
    • 29th Jan 17, 7:41 PM
    Well have had an up and down weekend.
    I feel like I have a big sign above my head saying I AM IN DEBT

    OH changed his mind and basically panicked about a DMP. Anyway a lot of convincing and reassurance I think he has come round the the idea.

    Me convincing him I'm absolutely bricking it myself but didn't let on.

    I am going to ring SC after work tomorrow and set the wheels in motion. I have secured repayment holidays on 2 big loans. This is for a month only but it will give me a little breathing space. Have applied for a new basic bank account and await their reply.

    I must admit I am sort of looking forward to a new start and hope and pray that it all goes as smoothly as possible.

    I will keep updating on our progress and will need some reassurance if I hit a snag along the way.

    I aim to budget budget and budget some more and save some money as an emergency fund.

    WISH ME LUCK
    M
    • Seasidegal58
    • By Seasidegal58 29th Jan 17, 7:56 PM
    • 1,074 Posts
    • 5,764 Thanks
    Seasidegal58
    • #3
    • 29th Jan 17, 7:56 PM
    • #3
    • 29th Jan 17, 7:56 PM
    All the very best for your MSE journey. I run up an horrendous amount of debt as well which was made up of exactly the same spending as your own. It's a good thing that your OH knows that something has to be done as well and is on board with you. Good luck tomorrow with SC
    Finally Debt Free! - July 2016
    Finished Emergency Fund- £10,000 April 2017

    Next Scrimpy Goal - Save for New Kitchen!
    My debt free diary - " Paid off the £31,000 - BUT still scrimping!"
    • dieselv2
    • By dieselv2 29th Jan 17, 8:08 PM
    • 157 Posts
    • 96 Thanks
    dieselv2
    • #4
    • 29th Jan 17, 8:08 PM
    • #4
    • 29th Jan 17, 8:08 PM
    I went with stepchange. All they do is ask for your income/expenditure (they even tell you to add funds to things you never thought of such as hair cuts, birthdays, etc) and ask for your creditors along with account numbers. They will work out what you can afford to pay your creditors each month and split that equally between creditors. You send StepChange a Direct Debit and they pay creditors.
    Start of 2017 Debt: £15,889 | 31st Jan 2017 Debt: £13,400 | 16% Repaid
    • motivated
    • By motivated 29th Jan 17, 9:06 PM
    • 2,273 Posts
    • 3,389 Thanks
    motivated
    • #5
    • 29th Jan 17, 9:06 PM
    • #5
    • 29th Jan 17, 9:06 PM
    Thank you seasidegal and dieselv

    It all sounds so easy doesn't it. I hope it's as easy in reality

    I don't know what I'm imagining will happen I think it's because up until now we have been servicing the debts (just). I'm just worried that SC will say we have enough to carry on as we are

    Ignore me I'm just thinking of all different scenarios

    Thankyou again I will keep you updated on progress from now onwards
    M
    • dieselv2
    • By dieselv2 29th Jan 17, 9:24 PM
    • 157 Posts
    • 96 Thanks
    dieselv2
    • #6
    • 29th Jan 17, 9:24 PM
    • #6
    • 29th Jan 17, 9:24 PM
    I was panicking phoning StepChange but they told me not to worry and would help. They worked out I started with -£200 monthly income but talked with my debtors for a £1 payment. While they touched on Bankruptcy and IVA, it's the last thing they want to talk about. They are all for a Debt Management Plan
    Start of 2017 Debt: £15,889 | 31st Jan 2017 Debt: £13,400 | 16% Repaid
    • motivated
    • By motivated 29th Jan 17, 9:35 PM
    • 2,273 Posts
    • 3,389 Thanks
    motivated
    • #7
    • 29th Jan 17, 9:35 PM
    • #7
    • 29th Jan 17, 9:35 PM
    Thankyou again
    Do you mind if I ask if Stepchange will give me a rough figure as to what I am left with to pay creditors when I speak to them on the phone.

    Also will I need to give them credit card numbers etc tomorrow too. I will get them ready just in case
    M
    • Drawingaline
    • By Drawingaline 29th Jan 17, 9:44 PM
    • 187 Posts
    • 762 Thanks
    Drawingaline
    • #8
    • 29th Jan 17, 9:44 PM
    • #8
    • 29th Jan 17, 9:44 PM
    Good luck with tomorrow, I can't help you with what step change will say as I haven't contacted them.

    However if you wanted to you could fill in a SOA (there is a link in the sticky thread at the top of the debt free board) if you do that tonight it might give you an idea of figures for a monthly budget. It includes lots of things you don't tend to think of as monthly and may give you an idea of some things step change may ask.
    • dieselv2
    • By dieselv2 29th Jan 17, 10:20 PM
    • 157 Posts
    • 96 Thanks
    dieselv2
    • #9
    • 29th Jan 17, 10:20 PM
    • #9
    • 29th Jan 17, 10:20 PM
    Yes they'll ask for account numbers. After they've discussed everything they will either email or post about 20 pages of information including your income/expenditure and creditors list. You need to sign a few forms and send them back before the process starts.

    They'll tell you what you have left and what offer will be. If your happy they send you the documents to sign
    Start of 2017 Debt: £15,889 | 31st Jan 2017 Debt: £13,400 | 16% Repaid
    • motivated
    • By motivated 30th Jan 17, 8:17 AM
    • 2,273 Posts
    • 3,389 Thanks
    motivated
    Morning all

    I have had confirmation that our new basic bank account is open. Need to wait for paperwork etc

    Just hoping I get home from work early enough to ring SC and get the ball rolling

    Very nervous indeed but will face it head on. I suppose im worrying that they will say we have to carry on as we are
    I have account details at the ready and I completed the online budget tool thingy. Does this mean they will take our debt plan from this? I even considered ringing in sick today so I could get started with plenty of time for phonecalls as I believe they close at 6oclock. Naughty I know but I need to know where we are going with all this. Will update later on progress
    M
    • louby40
    • By louby40 30th Jan 17, 10:28 PM
    • 1,159 Posts
    • 3,164 Thanks
    louby40
    How has your day been M? Hope you got some bits sorted

    Louby
    Parent loan PAID IN FULL Sealed Pot Challenge 10 #572
    Emergency fund £670/£1000. Christmas savings £450/£600 Car maintenance £50/600
    Kitchen July £12,493 OCT £10,493. 18% paid off
    Barclaycard £233
    Car loan £2890 Mortgage £95,391
    TOTAL DEBT (with mortgage) = £109,024 (without mortgage) = £13,633
    • dieselv2
    • By dieselv2 30th Jan 17, 10:31 PM
    • 157 Posts
    • 96 Thanks
    dieselv2
    I have account details at the ready and I completed the online budget tool thingy. Does this mean they will take our debt plan from this? I even considered ringing in sick today so I could get started with plenty of time for phonecalls as I believe they close at 6oclock. Naughty I know but I need to know where we are going with all this. Will update later on progress
    M
    Originally posted by motivated
    I forgot about the online tool...doh. Yes give them the reference number (mine began with a W) it gives and they can get your details up.
    Start of 2017 Debt: £15,889 | 31st Jan 2017 Debt: £13,400 | 16% Repaid
    • motivated
    • By motivated 5th Feb 17, 3:18 PM
    • 2,273 Posts
    • 3,389 Thanks
    motivated
    Hi all

    I hope you are all enjoying the weekend (I am now)

    Have not updated as things really came to a head here big time over the planned DMP

    Anyway things are calm now and both OH and myself have finally agreed that we need to do it to be able to live a little less stressed than at present.

    We have gone through our budget and have a rough idea how much we will be paying each month and OH and I will give employers our new account details for wages this week.

    Fingers crossed this will all run smoothly as I am a little anxious as to how things will go

    I plan to ring SC tomorrow and get the ball definitely rolling I already rung them once but got cut off and was too late to ring back. Hopefully I will have better luck tomorrow.

    Will update on my progress
    M
    • motivated
    • By motivated 6th Feb 17, 8:49 PM
    • 2,273 Posts
    • 3,389 Thanks
    motivated
    Hi all

    Well we have given new account numbers to employers for wages to be paid into. I doubt very much that mine will go in there this month as I am very close to the cut off date. Fingers crossed it will be fine in March. DH is paid weekly so his should sort itself sooner.

    I have survived the phone call to SC and was pleasantly surprised on how nice they were. Quickly putting me at ease and going through all of our options with me. They and we decided that a DMP would be the way forward for us.

    All paperwork was received via email whilst I was still on the phone to them. Speedy or what

    Anyway I now need to figure out a way of printing it off at work away from prying eyes and start organising things ready to take the plunge and get it all sent back.

    I feel a lot easier about things to be honest even though SC estimate I will be free of debt in 6 Years & 2 Months Our plan is to do whatever it takes to knock some time off of this and bring our DFD forward.

    We would both dearly love to be free of it all so we don't take it into retirement with us. We are both early 50s and we are seeing this as a goal to aim for.

    A bit of a ramble post but if I write it down whats happening I can see that we are actually dealing with it together rather than burying our heads in the sand, arguing, blaming each other and not facing up to it all.

    Our main mistakes we have made along the way was consolidating then consolidating again, credit cards and then then transferring balances from one to the other then losing track of when 0% deals run out or even where each debt has gone. Which card its on and how the hell are we going to pay it all back

    Eventually the brown stuff hits the fan at 100 miles an hour and here we are. Basically running out of options so we have had to ask for help.

    I hope and pray that it all comes together and runs as smoothly as possible. Many on this forum have given me some excellent advice and encouragement which is what has given me the strength to accept we cannot cope financially any more.

    Anyway I will update on our debt busting progress and may ramble now and again
    Please feel free to offer any advice or tips and hold my hand as I crawl to my DFD
    M
    • motivated
    • By motivated 7th Feb 17, 7:37 PM
    • 2,273 Posts
    • 3,389 Thanks
    motivated
    Hello DFW diary

    Still feeling positive as I have contacted SC again and revised our budget. They were absolutely fine.
    ( note to self, STOP PANICKING)

    My maths is atrocious possibly the reason I am in the boat I am in

    Anyway I feel positive that we will come out the other side of our long tunnel but I feel that every payment I make will make that tunnel a little shorter. With some hard work and determination we will soldier on and one day will cross the finish line

    Will update on progress along the way and I'm sure there will be some highs and lows but that's all part of the journey I should imagine.

    I will certainly be sticking around and soaking up lots of tips and advice to keep me on the straight and narrow.
    M
    • motivated
    • By motivated 8th Feb 17, 9:12 PM
    • 2,273 Posts
    • 3,389 Thanks
    motivated
    Today I printed all necessary paperwork and slowly I am getting things together to start our DMP. Still slightly anxious if I'm honest but I keep pushing it to the back of my mind in the hope that things run as smoothly as possible.

    DH and I are still firmly in this together and will be working together to sort this mess out.
    Tasks to start Monday when I am off work
    • Budget For the week
    • Check all food stocks before shopping
    • Meal plan
    • Batch cook
    • Declutter house and look for things to eBay ( I'm sure we have loads)
    • Check all finances are in order ready for our SC payments to start
    Need to make sure I plan, plan and plan some more from now on

    Wish me luck
    M
    • Bobarella
    • By Bobarella 8th Feb 17, 9:59 PM
    • 10,476 Posts
    • 69,666 Thanks
    Bobarella
    It's brilliant that you and OH are going to work together to sort this out. You read so often on here that one party is bearing the burden alone and the other doesn't even know. You will achieve so much more doing it together. Good luck with your journey.

    Bob
    " Your vibe attracts your tribe"

    Debt neutral 27/03/17 from £40k in the hole 2012.
    Roadkill 17 £56.58 2016-£62.28 2015- £84.20)
    RYSAW17 £1900 2016 £2,535.16 2015 £1027.20
    • motivated
    • By motivated 8th Feb 17, 10:05 PM
    • 2,273 Posts
    • 3,389 Thanks
    motivated
    Thankyou Boberella
    It wasnt easy at the start i promise you. We had many tears arguments and played the blame game for a long time before we finally realised that after 30 years together we have had many a tough time but came out the other side. This will be just another one of those times.

    I hope it all works out for the best

    Thanks for your comments they mean alot
    Last edited by motivated; 09-02-2017 at 6:40 AM.
    • motivated
    • By motivated 11th Feb 17, 8:50 AM
    • 2,273 Posts
    • 3,389 Thanks
    motivated
    Well so far things seem to be ok. DHs wages have gone into the new account this week that's one hurdle overcome. A few more hurdles to jump before I will feel that things are ticking along nicely. My wages won't go in there this month but I have enough in the new account already to change DDs over so that's a job for me on Monday.

    Sorted through food stocks and realised that I don't actually need to do a big shop apart from a couple of bits. Will write a list of essentials only and take cash with me to avoid temptation

    Managed to reduce our Virgin package and have saved £30 per month. It's amazing what they will do if they think you are cancelling and leaving them

    Also plan to list a few things on eBay this week every little helps eh

    I feel totally in control at the moment. I think it's because the brown stuff well and truly hit the fan and we have exhausted all other options. The wake up call we desperately needed.

    I will be taxing my car for a year today and also doing my insurance for another year. Need to check if I can do it now as well. Then my plan is to put the money I need each week aside and save up for next years. It seems a long way off but I will not have access to CCs to back me up. Actually a Godsend as the hole we are in would just keep getting bigger

    SC paperwork is more or less ready to go back and then there's no going back for us. I actually feel good about taking control and have not been worrying about CC statements coming in as I am telling myself it's either their full payments every month with interest or my sanity, marriage, mental and physical health. Sorry but I know which I prefer.

    It is also helping to keep me positive and seeing progress by writing things down on here. I suppose it's by little security blanket

    Anyway I'm off to check car insurance
    Back later
    M
    I have arrived in DMP land and I like it, I may stay a while
    Short term goal £735/£1796

    SPC # 91
    • motivated
    • By motivated 11th Feb 17, 9:01 AM
    • 2,273 Posts
    • 3,389 Thanks
    motivated
    Just checked car insurance and the renewal date is 13th March so any time then. Will be doing some serious haggling over the price this year
    M
    I have arrived in DMP land and I like it, I may stay a while
    Short term goal £735/£1796

    SPC # 91
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