My Soa Not Pretty Reading!

System

hypno06 wrote: »

I think you have two priorities - one is to get rid of the debt that is outside your dmp, and then to put just a little away for emergencies (real emergencies, not "I need a takeaway" emergencies!)

So, my way of tackling it would be to pick on of the debts - the smallest perhaps, (I would choose the catalogues) and to target it. Throw every penny you can at it. So, if you sell something on ebay, pay the resultant money off the debt straight away. Once you have paid that off, you free up £30 a month - a big amount, and you can close the catalogues and never use them again, thereby minimising the risk of increasing the deb again!

Once you have done that, then you could, say, put £10 out of that £30 saving in credit union, which would allow you to take out a loan IN A REAL EMERGENCY if you need it.......but there is little point building up big-ish savings while you are in such a pickle, so I would prioritise the debt first.

Believe me, the little things do add up - I have got my debt down from over £100,000 to £36500 in a relatively short space of time -sometimes I only pay off £2 extra, but that means that my debt has reduced by £2 not increased.

Once you get into that way of thinking, it feels very liberating....

Wow, that is good,

Fire_Fox

nirelandguy wrote: »

Ok, I should tell you where to go to be fair. I will address the car, the reason we bought a new car is previously we had an old 106, before that an old Vauxhall Cavalier, they where cheap cars, the Vauxhall £500 the 106 £800, both kept bloody breaking down, and anything to do with cars is not cheap especially on our wages, so we bit the bullet and bought a newish car in the hope that would end our headache, However since December something in the front went which cost £800 to fix, at the mix something in the back is making a funny noise but don't have the money at the min to get it looked at.

Any car is a luxury when you are trying to sort out your finances; as you have found, the running costs are immense. I have suggested car sharing or cycling to work instead.

nirelandguy wrote: »

As for my telecoms, the landline is on an offer with BT at the min £9.99 (usually £30) a month for free anytime calls, broadband £15 a month for unlimited, I urge anyone to try and get these cheaper, BT vision £10 a month for 12 months which is usually £17.

When you are striving to get out of debt it's not how much you 'save' it's how much you spend that matters. For £6 a month broadband see here
http://www.moneysavingexpert.com/latesttip/
The cheapest Freeview boxes are £10 one off, the major benefit being there is no contract to fulfil if your circumstances change.
Well done for starting the spending diary, it's a massive step in the right direction. :T

nirelandguy wrote: »

And as for my procrastination, if you have read my threads so much you would know I suffer from bouts of anxiety and depression

So I am sorry that I am not jumping with enthusiasm, the truth is I don't have any for anything in life, But I have started a spending diary and I have listed the mobile phone on ebay along with a couple of other things so but because I don't get all excited don't assume I am not doing anything.

Over the past eight years I have been diagnosed with chronic insomnia, recurring anxiety/ stress, Seasonal Affective Disorder and depression. I am very sorry to hear you also feel this way, and would suggest that you try to get your medication adjusted, as this can be the key to altering the negative frame of mind and procrastination (which I have not criticized you for) that accompany disorders of mental health. :cool:

As a result of my ongoing health problems I had to change career. At 36 I am working in a hospital for the same hourly rate as the cleaners and have also chosen to become a full-time student. I can't afford to run a car or have a landline installed or have cable TV or buy nice clothes or heat more than one room of my flat in the winter. I have a very cheap (£12 a month) mobile contract, a Freeview box and a £15 a month mobile internet connection which I consider to be a luxury! :eek:

Because I have made these 'sacrifices' I will not leave university with the normal student debts, I will have savings that equal or better my student loans and overdraft. I still buy things I don't really need for my flat and still spend more than is necessary in the supermarket, but I am learning!

Please understand that when we appear to criticize you, we criticize ourselves. There is no financial 'mistake' you can make that we have not already made, no late payment or defaulted account or red bill that we have not received. This place will inspire you and give you hope if you can put your trust in it. :A

hypno06

nirelandguy wrote: »

Wow, that is good,

thanks, it IS good, but only because the effort has been made. We don't have sky, we sold our second car, we rent out our spare room, we don't buy things for birthdays (we earn vouchers from survey sites and use those if we need to buy anything), we have both done some pretty crappy second jobs to fit in around kids and full time work in order to bring a few extra ££ in, and we have thrown as much as we can at the debt.

I won't pretend it has been easy - waiting for a bus that doesn't look like it will turn up when it is chucking it down is rarely fun, and that feeling when you just know you want a takeaway but there is no money in the bank to have one, or when your shoes have holes in, but you are waiting until you have saved up enough for a new pair etc etc etc.....BUT, I can honestly say now that my debts don't keep me awake at night any more - I no longer have nightmares about bailiffs turning up, I no longer cry myself to sleep after yet another bill landing on the doorstep.

I took control, with huge thanks to this site, and I am well on my way to getting there. And boy does it feel good.

I too am a procrastinator - I will find a million things to do before I do what needs to be done, but sometimes you have to MAKE yourself do it, and the feeling you get when it has been successfully done is nothing short of fantastic.

Good luck, and remember, you didn't get into debt overnight, so it won't go away overnight - it takes time, it takes patience and it takes effort.

System

And can I just ask you guys, how do u keep motivated? Motivation comes and goes with me, I'd just like to know how you keep your heart in it? Because as said before "it takes time, it takes patience and it takes effort"

Josie12

Hi There

I don't make comments very often, but have been a member on this site for a while. I just wanted to say that me and my husband are in a huuuuuuuge amount of debt. Even so, we try really hard to keep going and keep our chins up! We are no very very slowly getting ourselves sorted. I have read over all of the posts and can honestly say that the best advise is to keep up with the spending diary. Me and my husband start to do this and realised that we were spending nearly £200 on things, that we had nothing to show for. I mean things like buying 'treats' for the kids, takeaways (even if it only was one or two now and then). The spending diary just shows you that even the odd £10-£20 here and there really do mkae a difference.

I hope you can start to get things sorted and the one thing that keeps me going, is that there is always someone worse off than you !!

Good Luck ...

System

Josie12 wrote: »

Hi There

I don't make comments very often, but have been a member on this site for a while. I just wanted to say that me and my husband are in a huuuuuuuge amount of debt. Even so, we try really hard to keep going and keep our chins up! We are no very very slowly getting ourselves sorted. I have read over all of the posts and can honestly say that the best advise is to keep up with the spending diary. Me and my husband start to do this and realised that we were spending nearly £200 on things, that we had nothing to show for. I mean things like buying 'treats' for the kids, takeaways (even if it only was one or two now and then). The spending diary just shows you that even the odd £10-£20 here and there really do mkae a difference.

I hope you can start to get things sorted and the one thing that keeps me going, is that there is always someone worse off than you !!

Good Luck ...

My Mrs is the worst offenders for this, She works in a supermarket, it has the benefit that she gets first refusal on reduced items, we have a nice roast for tomorrows lunch reduced from £6 to £2:D However she also see's all the treats, we have a cupboard out there full of bloody chocolate,sweets and general junk.

Fire_Fox

nirelandguy wrote: »

And can I just ask you guys, how do u keep motivated? Motivation comes and goes with me, I'd just like to know how you keep your heart in it? Because as said before "it takes time, it takes patience and it takes effort"

I have a spreadsheet with all my income - basic wage/ overtime/ student grant/ surveys/ cashback - and outgoings divided into essential (ground rent/ insurance/ utility bills/ TV license/ public transport/ basic food) and non-essential (mobile phone/ internet/ textbooks and journals/ clothing/ socialising/ gifts). The spreadsheet contains an annual budget, divided into monthly intended spend and monthly actual spend. I changed my priorities when budgeting: income minus essentials minus savings to pay off my debts = how much left for non-essentials.

I found planning this pretty motivating as on paper I have money left over after the essentials (but note that my essentials are pretty strict). :j My first attempt showed me how much money was going on food and this has since been cut back hard. And whilst working out the annual totals columns motivating I discovered I spent £600 with Amazon (books for college and music for my classes) last year! :eek:

I also have my online diary, which shows me where all my cash goes (I used to get paid in notes, still get cash from Mr. Fire Fox for bills) and my signature, which shows me how far I have come in just two months of taking this MSE thing seriously. I want to pay off a £1100 debt to my flat's management company when I get my next grant installment in April, and I won't be able to do that unless I live on my part-time wages now.

rosered1963

Hello Nireland guy - You have had some great advice here.

Have read the thread, and the thing that strikes me is how low paid you are (excuse the cheek) - £800 pm seems poor - my unskilled husb earns far more than this, in the North of England. You are obviously literate and bright - clear from your posts - could you perhaps go for something better paid? I seem to recall that you work in a factory - could you get something else with prospects? i know the job market is awful, but if you aim higher, you would earn more and it wouldn't be so hard, debtwise. You are young with a young family, and it should be a happy time of life - I would give a gold pig to be 29 again! You need to earn more. If education is the issue, what about an Open University course to dip your toe in the water? Best of luck

Forris

Hi, looks like you're finally having your LBM, but perhaps its one of them energy-saving bulbs that take a while to come on fully, lol!

The thing that strikes me about this thread is that you have said a few times that you don't know what some things cost because 'the missus pays this'. Do you discuss your finances together? Has she seen your posts on here (and the replies) and is she onboard with the whole moneysaving idea? This is crucial that she is part of this process, not only so that she is on the same wavelength but also for support and help keeping you motivated.

Up until a few months ago, my OH trusted me to deal with all the bills and payments, and I screwed that up big time (£26,000 big!). We now discuss everything and check the accounts and bills together, and things have improved greatly.

You will (and already have) get plenty of advice and support on here but without your wife's full backing you will find it very tough, on yourself and your relationship.

Good luck!

System

rosered1963 wrote: »

Hello Nireland guy - You have had some great advice here.

Have read the thread, and the thing that strikes me is how low paid you are (excuse the cheek) - £800 pm seems poor - my unskilled husb earns far more than this, in the North of England. You are obviously literate and bright - clear from your posts - could you perhaps go for something better paid? I seem to recall that you work in a factory - could you get something else with prospects? i know the job market is awful, but if you aim higher, you would earn more and it wouldn't be so hard, debtwise. You are young with a young family, and it should be a happy time of life - I would give a gold pig to be 29 again! You need to earn more. If education is the issue, what about an Open University course to dip your toe in the water? Best of luck

Don't start me on pay:mad: Northern Ireland is the lowest paid region in the UK yet cost of living is apparantely the highest outside London, so work that one out, at least London has the high pay.

Yes the Open Uni, I have already been there, got a certificate in I.T, I did start another course this year but unfortunately dropped out as it was going in a route I didn't want to go, I have sort of went as far as I can with the Open Uni without going in a direction I don't want to go if that makes sence:rolleyes: Its an A+ Certificate in I.T I need but it cost £250 So still trying to work out how to pay for that, but then even with it is ther any guarantee of a job?

Hi, looks like you're finally having your LBM, but perhaps its one of them energy-saving bulbs that take a while to come on fully, lol!

The thing that strikes me about this thread is that you have said a few times that you don't know what some things cost because 'the missus pays this'. Do you discuss your finances together? Has she seen your posts on here (and the replies) and is she onboard with the whole moneysaving idea? This is crucial that she is part of this process, not only so that she is on the same wavelength but also for support and help keeping you motivated.

Up until a few months ago, my OH trusted me to deal with all the bills and payments, and I screwed that up big time (£26,000 big!). We now discuss everything and check the accounts and bills together, and things have improved greatly.

You will (and already have) get plenty of advice and support on here but without your wife's full backing you will find it very tough, on yourself and your relationship.

Good luck!

My missus couldn't even turn the computer on yet alone post on here. I am the one that takes charge of things around here, Unfortunately the missus is the sort that just burries the head in the sand, and if you bring it up it ends in a row, so what do ya do? She all up for the cutting back so thats not so bad.