Hayley's-Not-A-Diary-Just-Ramblings

hayley11

Hi

I was just looking for some advice really. I have posted SOA’s in the past and tried to keep a diary but I always forget to update it anyway although on paper, things don’t look so bad, they’re nothing like this really. I’ve only just started working again (after being ill and out of work since December) and we haven’t had regular money coming in for me since then, due to sick notes going missing and various other reasons, some my fault.
So I am now behind with all my debt repayments, I haven’t paid Littlewoods for 3 months. Luckily I’ve been able to take a 3 month payment break with Egg so I haven’t defaulted on that but all the others are behind. I haven’t paid my council tax this month although I rang them and I’m okay to pay that at the end of the month when I get paid but that means I’m either going to have to pay two lots at once or always be behind with it.
Is a DMP a last resort? Do you think it’s too drastic for my circumstances? I’ve never struggled to reach minimum payments before and it’s really worrying me now. I've suffered quite badly from anxiety and depression and I don't want to get ill again because i'm so worried about money.

Most of the debt is in my name so I’d be the only one going in a DMP. Do you think I should speak to Payplan or someone like that and see what they say? The job I am doing at the mo is a fixed term contract until March 2009.

Incoming:
My wage - £629.78 (I worked this out on something online, I only started the other day and don’t get paid til the end of the month)
OH wage - £957
DLA - £250

Outgoing:

Rent - £475
Council tax - £83
Gas - £40 (I recently changed tariffs with Eon)
Electric - £40 (as above)
Water - £23.27
TV License - £11.29
BT - £40 (tied in until August 2009)
Sky - [STRIKE]£50[/STRIKE] £40
Setanta - £15 (OH loves football and horse racing so wont cancel this)
Life Insurance - £5 (I only did this to get the £80 cashback and £50 Sainsburys vouchers so I’ll cancel it when I’ve got both of them)
My Mobile - £35 (reduced from £40, can’t reduce it more than that as I need the texts and minutes, tied in ‘til December)
OH Mobile - £35 (tied in until December, he hasn’t looked into knocking the tariff down, I’ll get him to do this)
Shopping - £150 (this is approx, I have done the grocery challenges in the past and will start again in August)

Debt:

Egg Loan - 9.9% - £9052.21 - £304.20 (finishes July 2011)
Egg CC – 7.9% - £416.94 - £10
TSB CC – 18.9% - £728.07 - £15
OH TSB CC – 18.9% - £827.97 - £15
OH Overdraft – 0% - £150 - £0.00
My Overdraft – 18.9% - £60 - £20 (this is being reduced every month)
Next – 26% - £303.98 - £31
Littlewoods – 0% - £788.14 - £150 (missed payments so in a payment plan)

Total incoming - £1836.78
Total outgoing - £1556.76
Difference - £190.02
Total Debt - £12,327.31 (£11349.34 which is mine :eek:)

Thanks for any advice you can give me.

Hayley xx

Gemmzie

You have £839.22 so call it £838 to pay your debts. Your payments are £555 so I would say, you aren't suitable for a DMP, you need to snowball your debts and focus on getting them down.
Have a play on https://www.whatsthecost.com/snowball and see how quickly you can clear this!

hayley11

Gemmzie wrote: »

You have £839.22 so call it £838 to pay your debts. Your payments are £555 so I would say, you aren't suitable for a DMP, you need to snowball your debts and focus on getting them down.
Have a play on www.whatsthecost.com/snowball and see how quickly you can clear this!

Thanks gemmzie, i'll have a look. I've tried snowballing before but something always crops up so I can't stick to it. I think i'm just panicking a bit at the moment coz i'm behind with things.

hayley11

Okay if I pay £800 a month towards my debts each month which I kind of think is going to be really pushing it but i'm going to give it 100%. I should be debt free in 17 months! No way!!

I'd say i'm going to turn this into a diary but like I said I never stick to it, so i'll just update as and when

Gemmzie

Then you can aim for two years and live comfortably.

Please, please pay the council tax arrears first! They are a priority.

Also, the cards you've not paid anything to - pay something, even if it's a £1 postal order with a letter saying you're having difficulties and will contact them soon with a revised payment.

hayley11

I rang round everybody I owe money to and let them know I was struggling but should be able to pay them soon. I rang the council tax and they said it's okay to pay them at the end of the month when I get paid.

I've reduced the total monthly payment to £600 so like you said we can have a bit of spare cash for ourselves.

So should be debt free in 23 months IF I stick to it, which I will try to.

Gemmzie

Good luck and we're always here for support if you need it

Cleosmum

Try and get hubby on side and get that sky and setanta cancelled, even if you have to promise to get it again when debt free.

Good luck with the debt busting, you can do it

hayley11

I told him last night I wanted to get rid of Sentanta and he got a bit grumpy, it's in his name so I can't even cancel it. I'll keep bugging him though

I'm definitely ringing Sky today though, going to see if we can just have the entertainment and sports package.

dancingfairy

Hi. It sounds like you have fallen off the wagon but now's the time to get back on again.
Definitely your first priority is to pay off the council tax when you get paid.
Would also have another go at your SOA as I think you have missed some things off - you can't never buy clothes/get the bus/buy presents/go out/ get your haircut/ etc, etc. You really need to allow for these in the budget for it to work properly so you can see what you really have left for debt repayments. Have a look at the newbies link and see if any of the categories there jog your mind. You will feel better when you have a realsitic picture so things just don't crop up anymore.
Life insurance for
£5 a month - is it worth keeping? It is only a £5 - check what benefits it gives you before deciding.
Also do a spending diary to keep you on track.
Good Luck with it all.

hayley11

dancingfairy wrote: »

Hi. It sounds like you have fallen off the wagon but now's the time to get back on again.
Definitely your first priority is to pay off the council tax when you get paid.
Would also have another go at your SOA as I think you have missed some things off - you can't never buy clothes/get the bus/buy presents/go out/ get your haircut/ etc, etc. You really need to allow for these in the budget for it to work properly so you can see what you really have left for debt repayments. Have a look at the newbies link and see if any of the categories there jog your mind. You will feel better when you have a realsitic picture so things just don't crop up anymore.
Life insurance for
£5 a month - is it worth keeping? It is only a £5 - check what benefits it gives you before deciding.
Also do a spending diary to keep you on track.
Good Luck with it all.

Thanks You're right I have fallen off the wagon, I'm always so determined then something crops up or like last year I got ill and had to leave my job so I always give up But I really am going to give it 100% this time.

I honestly can't remember the last time I bought any clothes and if I do they are always from next so go on the next card I have a free bus pass coz i'm disabled, we very rarely go out but i'll start keeping a note of things like that in my spending diary, my friend cuts and colours my hair, so it's usually only about a tenner but i'll start keeping a note of that too.

As of today me and my OH are keeping spending diaries to see properly where all our money goes.

I got the life insurance purely to get the £80 quidco cashback and £50 sainsburys vouchers, as soon as i've got them i'll cancel it.

Hayley xx