Help me get debt free ! (UPDATE )

Pressleyno1

Ok, hello to you all. I'm currently in a bit of debt and I'm looking for advice, tips, help etc.

My details of debt and payments etc are listed below.

I am 20 yrs old, and Get paid £225 a week, I have a credit card with an £800 limit. An overdraft with a £750 limit. I have a £2000 loan, and a car on HP. I have 2 bank accounts, one with all the direct debits on it, and the other for my wages to paid into. I get £225 a week, and then transfer a minimum £150 a week into the bills account. Sometimes there is plenty cash left over after bills have came off, and I see this as a way to get out of overdraft. But then again some of the bills are in the same week and cost over £150 so with the money left over from last £150 this should cover it.

This plan has just started so its gonna take a bit to straighten it all out.

Bills....

Car payment - £147 a month, comes ut on direct debit on 1st of each month

Mobile Phone - £40 a month on the 13th of each month.

HSA Health plan - £12 a month on the 9th of each month

Car payment protection - £10 a month coming out on the 16th of each month

Loan - £157 a month coming out on the 16th, (not unil March as got loan for christmas 2005)

Internet - £17.99 a month, coming out 24th of month

Car Insurance - £65 a month coming out on 27th

I also have to try and pay off my credit card, pay for petrol (£20) a week, plus pay digs to parent, usually £20 a week.

In addition to the info above, I got the football on Saturdays, home games only, season ticket is paid for, so I can manage on £10 for that. Also in long distance relationship, I usually travel by plane once a month, but flights are around £40 return.


So thats my story, I know there's alot of people on this board that know what their talking about. I'd really appreciate it if you could help me out, and advise on my financial problems !

Pressleyno1

Ok everyone must be having their din din's. I've found out that I'm paying Typical 16.9% APR on my credit card. And the £800 is actually maxed out. I've been reading the life of balance credit cards and I'm interestred in transfering debt to the 5.5% that lloyds tsb offer.

http://www.lloydstsb.com/credit_cards/advance_card.asp

However, I'm not sure I'd be accepted for this as my credit rating isn't good as I've missed direct debits and had bank charges in the past.

If that fails is there anything else i can do ?

Pressleyno1

Spam.... mmmm, nah, just looking for some help !

mancitychick

Have you thought about the Halifax one credit card, it is 0% for one year but it does charge a balance transfer fee.

Pressleyno1

No, I'm with the halifax bank just now, and doubt I'd get it due to a poor credit score. The 5.5% on the lloydsTSB card forever on the balance sounds good. It is aroud 16% on purchaces tho, but I WILL NOT be spending on it.

Pressleyno1

Anyone out there ?

BWZN93

Out of interest, why are you paying for a health plan? Do you have a medical condition that is better served with them than the NHS? Thats an extra £12 a month you could use to clear debts.

Also, is your car insurance the best deal you could possibly find?

Jo xx

brummybloke

£40 on mobile phone? you can get decent contracts for £25 with 200 mins to any network and 100 texts plus a new free phone you could sell for £150.

ditch the health plan

how much interest are you paying on the car finance? you would probably be better of talking to the halifax and changing credit card and getting a concolidation loan which should pay off your loan and car finance and you will be paying less than what you pay for the 2 now.

speak to parents and try and get out of the £20 per week rent for a couple months while you get things sorted.

your £17.99 internet? telewest? change it for one of the £14.99 a month deals with another supplier as that is the 1mb connection

take packed lunches to work will save money

if you smoke, smoke roll ups instead of normal fags ( if you cant quit smoking)

get your girlfriend to come to you every other month .

savings =

£15 per month on mobile
£40 per 2 months of travel
£20 per week on rent
£12 per month on health plan
a decent % by getting loan to pay off car hp

can you get cheaper car insurance? you are paying £730 per year at the moment, you should be able to find cheaper.

that lot should save you some money, including the payment protector on your car hp which you would no longer need.

good luck

Pressleyno1

Ok, firstly thanks for the replies...

The mobile is with o2 £40 gets me 1000txts and 400 mins a month, these are mainly used on phoning and txting the missus. Had a cheaper plan before but was always going well over it and usually over £40. My 1 years contract is up in may, so I could a free upgrade then.

The health plan is with HSA, you pay £3 a week and then for dentist and optical bills etc you get them paid for you. I wear contact lenses so I'm going to speak to opticians and try to buy 6 months supply, and then claim it back from the HSA. Then cancel it.

Not too sure how much intrest I'm paying on the car, but its £5500 over 4 years, and it ends up me paying about £2000 in intrest. I really need to check on that.

As for the loan and change of credit card, could someone please post a bit more info on this. I don't really want to get another loan out, but if it covers the cost of existing loan and car, and has a decent % that allows me to make affordable payments a month, it'd be good to learn more.

I can get the £20 a week taken away, but it goes to my dad who is a single parent and he has t cope with money aswell, so I'll probably just reduce it to £10 a week for now.

I'm with wanadoo, but I'll check out telewest and see what they have on offer.

take packed lunches to work will save money - Always do

Dont's smoke, but I do drink ?

She comes up once a month I go down once a month. ON average, could be every 3 weeks one of us comes up or goes down.

I'm with elephant, 10 months accelerator thing. I've had a claim, so it doesn't help, that plus my age, means its the cheapest around. I'm paying it up, but if I could have paid it there and then i'd have cost me £100 less !


Thanks

Lydia.42

Did you say your current cc is with Halifax?
Try calling your cc company and ask what deal they can do for you.
I called Halifax last month, and asked to negotiate a deal. Nice lady has given me 6.9% indefinitely (not life of balance, but similar).

Also spoke to A & L last month, they advised calling a month before my 0% deal runs out to see what they can do for me. Try it, you've nothing to lose on a quick phone call.

Good luck.

Pressleyno1

cheers for you're reply, I'll phone halifax tomorrow and see if they can offer me anything on my credit card % wise or tell them I'll be moving to another card for 0% for 9 months. Good idea !