About to miss a credit card payment...

Titanic_2

OK. A quick run down. This is my first post so please be kind !

My wife gave up a well paid job to care for young children 3 years ago. But we never quite adjusted as we thought we would to managing on my income alone. We cut back and employed lots of MSE type advice, but very slowly the debts have grown, to a point where weekly food shopping is being done on the Credit cards.

I am in trouble, with a 17,0000 consolidation loan from Northern Rock

and 6,600 between a capital One card and a Halifax card. The 0 percent finishes this month on the halifax card, but I had made some late payments, my credit score has suffered and I cant qualify for a new 0 percent card to BT to.

I am optimistic for the long term (maybe foolishly optimistic?) - but we have admitted it just ain't working - and my wife has just got a job, increasing our joint income by about 70 percent (although childcare takes a sizeable chunk of that).

I am hoping we can start hacking into the debt a bit now.

The problem I have today is that my wifes first salary is not in yet, a payment is due on my Cap one card, but we have nothing in the bank (have just hit our 1,000 OD limit) to pay with.

I need help all round. But what I would like to know at the moment is: Should I be on the phone to Cap One, explaining the situation? Will it make any difference? I dont want to go down the road of setting up pay.plans or anything else that might affect my credit score even worse than it will be anyway.

Or should I just leave it for now, and wait for next month when my wife's first salary comes in.

Any help would be appreciated.

Report From Titanic - Hit The Iceberg and Going Down Slowly.

bank_of_slate

Hi Titanic,

Don't worry everyone on here is not only kind, but many of us are in the same boat (and in some cases much worse off)

Check with your wife's new employer if they do the chilcare voucher scheme, and if not, it could be well worth their while! This usually cuts a large chunk from the child care bill.

Also, Are you getting the correct tax credits? let them know how much you pay per month for registered child care to see if it increases your payments.

Also instead of considering it as a costly mistake that she has stayed at home, think about the benefit that your children have had while she's been with them.
Consider the money that's outstanding has paid for the irreplacable care and security that your children have had in their first years.
...Linda xx

sparklymessygirl

Hi Titanic,

It is tough acknowledging a debt problem - so well done for taking the first step. Short term I think that you should keep Capital One advised of your situation (at this stage just the position as regards them)- I would ring them and warn them about the late payment and explain that your income is certain to increase because of your wife's new job. Give them a precise date by which you know you can make payment and stick to it. For long term advice you need someone who knows more than I do - so they will probably suggest that you speak to one of the free debt counselling services - you won't have to commit to anything - just get advice to start with. You should probably post a detailed Statement of Affairs as well so people on this board can advise on your situation.

Good luck
Sparkly

nuttyrockeress

Do you have any money left on your Halifax card, for the short term you could do a balance transfer from this to Capital One to cover the minimum payment.

I know it just adds debt to that card but as a short term solution it may help a little

J_P_S

imo you should always ring the card company if you cant pay, you have nothing to lose and possibly a fair bit to gain.

in my youth i ran up £1000 on a rbs credit card and knew i was in trouble, i rang them ( took a while to calm my nerves!!) and agreed £20 a month, all interest frozen, jsut from one phone call!!!

its always worth a phone call imo, it cant do any harm