Help needed - Crisis Point

tattooed_lady

ms_london wrote:

Shut up you, stop trying to blow my cover :0)

I still feel like im in debt I suppose...

Yeah, but it's healthy to still feel like you're in debt in my opinion. I still feel like it sometimes and it keeps me sensible with money

southernscouser

Moustacheman wrote:

Monthly Incomings:

My salary - £970

Monthly Outgoings:

Mortgage/Rent - £140
Gas - pay on reciept of quarterly bill
Electric - pay on reciept of quarterly bill
Phone - £0 Company phone
Food - £75
Loan - £256
Natwest Credit card (min payment) - £166
Virgin Credit Card (Min Payment) - £74
Barclaycard(Min Payment - £75
Capital 1 (Min payment)- £30
Dentist - £14
Council Tax - £32 a month
House Insurance £11

Total: £873

This allows for no socialising, and I have only managed to get the outgoings down to this in the last 3 months as I have got rid of my car and cancelled my gym membership.

As far as credit cards go, I have no idea what the apr's are but the details are as follows:
Natwest Balance £7165 (LIMIT £7300)
Virgin CC – Balance £4,1294 (limit £4,200)
cAPITAL 1 - Balance £997 (limit £1000)
Barclaycard - Balance £3036 (Limit £3100)

Overdraft - £1100 - Natwest Advantage Gold (Limit £1100)

Sorry can you explain the situation regarding how you pay the utlitie bills as I'm confused. (easily done).

The APR's are very important as you need to pay the most to the ones with the highest but I assume you are only paying minimum payments anyway.

Don't mean to intrude but in your OP you said that your credit rating is bad. Can you tell us why? Missed payment? CCJ's?

Your best short term option seems to be to use your Natwest CC and Barclaycard as you have £199 available but as you said this doesn't take into account the interest to be added!

I have been just about managing for the last few months, paying off the minimum amount off my cards and cutting back on pretty much everything.

Now I'm not having a go here coz I'm guilty of this aswell but it is clear that you haven't been managing. You are paying the minimum payment then spending up to your limit again. We need to help you with this aswell.

Start a spending diary and list EVERY penny you spend. It is amazing where your money goes. Last month I spent £30 in the sodding drink/snack machines at work! :eek:

I know you might not want to hear it but socialising is your last priority. You owe over £15,000 on your credit cards and that doesn't include your loan. What are the deatils with that.

Is a part-time job a possibility?

southernscouser

Thefunkygibbons wrote:

Obviously you need to go down the DMP route with CCCS or payplan, and you need to do that now.

I'm not sure this is true. Take ms_london for example she worked her b****cks off so to speak to get out of debt. Had she decided to do that she would still be paying back money and for many years to come.

Myself aswell, I owe more than £37,000 and only earn £21,300 and I'm sure I could take a DMP but then I won't be able to get a mortgage for 6 years. However, by a determination to get myslef out of the mess I got myself into I could get a mortgage in 5 years!

southernscouser

ms_london wrote:

Shut up you, stop trying to blow my cover :0)

I still feel like im in debt I suppose...

Only my opinion but I think you should of kept your signature. It is good for other people to see that becoming debt free can be done.

black-saturn

Theres really not much room to cut back there I must admit other than the food bill seems a bit high. Maybe you could cut that down a bit by making things from scratch (look for ideas on the Old Style money saving board) and buying in bulk. I have 2 children and I spend £40 per 6 weeks on food for the 3 of us. So I'm sure you can cut down yours.

Other than that you need to think about ways to earn more money to put towards the debt. Some ideas are: Ebay, Avon (or any other similar company), Ann Summers, getting a room mate, meals on wheels, bar work, early morning cleaning, catering for children's parties.

Good luck, let us know how you get on.

black-saturn

ruyareece wrote:

Yeah, but it's healthy to still feel like you're in debt in my opinion. I still feel like it sometimes and it keeps me sensible with money

I know the feeling. I've been debt free for just over a year and still budget and watch every penny. Not a bad thing though as I find I've usually got more money spare at the end of the month than others.

Moustacheman

Thanks to everyone for posting so far. I am off home now and dont have time at the minute to respond to all the questions and will respond to all your questions tmrw. I really do apprieciate the help and advice. Spk tmrw, hopefully you are still all around.

ms_london

southernscouser wrote:

I'm not sure this is true. Take ms_london for example she worked her b****cks off so to speak to get out of debt. Had she decided to do that she would still be paying back money and for many years to come.

Myself aswell, I owe more than £37,000 and only earn £21,300 and I'm sure I could take a DMP but then I won't be able to get a mortgage for 6 years. However, by a determination to get myslef out of the mess I got myself into I could get a mortgage in 5 years!

Hehe!!! You did notice that I was a "Ms" london then rather than a "Mr" :0)

I did work damn hard to clear the debt, and until I moved to London I was on a wage of £11,000 (with a debt quickly increasing to £19,000), so perhaps I could have gone bancrupt myself, but I knew that I had run up the debt and that I should pay it off. So here I am.....

I have learnt so much and am a better person for it. I know the value of money, I know how to budget, and I am no longer as shallow and materialistic as I was, and I also learnt what really is important in life and you can be happy on a limited budget.

xx

sparkle84

Quote:
Originally Posted by Thefunkygibbons

Obviously you need to go down the DMP route with CCCS or payplan, and you need to do that now.


I'm not sure this is true. Take ms_london for example she worked her b****cks off so to speak to get out of debt. Had she decided to do that she would still be paying back money and for many years to come.

Myself aswell, I owe more than £37,000 and only earn £21,300 and I'm sure I could take a DMP but then I won't be able to get a mortgage for 6 years. However, by a determination to get myslef out of the mess I got myself into I could get a mortgage in 5 years!

Southern I am afraid I disagree with this by going DMP route there is a possibility of having your interest frozen (4 out of 5 of my creditors have agreed to this) which mean all the money you are paying goes towards reducing the debt. As moustache is paying out 3/4 of his salary (or more) in maintaining his debts I feel he really does need to contact CCCS and find out about a DMP. d

homersimpson_3

1. 75 on food for one person is too much. you can easily reduce it 60 (saving of 15)
2. why do you spend 14 each month on a dentist? (another 14 saving?)
3. use spare 100 to target towards debt.