Dont know were to start - help!!

Lensman_2

No worries Blue.

Defaulting may still be right for you. It was for me - my SOA was about -£1,000 a month at the time and it got down to being able to feed me and my cats. No choice and absolutely the right thing to do. I am in serious trouble, possibly bankrupt but I can eat right now and know I will do so again next month too.

You should read up about the "CCA". If your creditors cannot legally prove the debt, it puts you in the driving seat. But don't expect the charities to discuss it.

Good luck tomorrow and keep us posted.

LM

Teacher2301

Hi Blue,

Try writing to each of the credit cards and showing them the state of affairs and offer something which you can manage per month rather than their minimum amounts. Some may say ok- pay what you can while other may not and expect you keep to the schedules. Perhaps someone else could add to this because I'm not totally sure of the procedures about writing to creditors - CAB could advise as well.

Teacher2301

Just had a quick look through the forums - ignore my advice about sending details to creditors - one MSE'er had interest rates increased but have a look at this thread - doing your own Debt Management PLan (DMP)

http://forums.moneysavingexpert.com/showthread.html?t=1597891

Could be useful to add and get some advice.

GeorgeUK

Blue, although you aren't supposed to have your house put at risk by unsecured debts, there have been a few cases on the site where judges have done this by applying legislation that has not even been passed - it is /was still in draft. If you can get through this without defaulting, it would be better - if not, then it would be best to have a word with one of the free debt charities who may be able to set up repayments with them for you and possibly also get them to freeze charges and interest.

You can usually have about 3 credit checks in a 6 month period before your credit score is affected, so i would suggest not to apply for any more credit for about this long.

Have you tried reclaiming bank and credit card charges yet? There are templates and walk through instructions on one of the other boards on this site.

Mortgage................................ 475
Is this interest only or repayment?

Council tax............................. 155
If paying over 10 months, can you ask to pay over 12?

Electricity............................. 60
Gas..................................... 90
Check the comparison sites to see if you are getting a good deal (uswitch, moneysupermarket)

Mobile phone............................ 30
PAYG?

Telephone (land line)................... 18
Satellite/Cable TV...................... 45
Internet Services....................... 0
Is this a package deal?

Groceries etc. ......................... 400
You should be able to cut this down a bit. Have a look at the old style board for mealplan ideas. Have you moved down a brand (shops own)?

Clothing................................ 0
Must have something here.

Car Insurance........................... 41
Pet insurance/vet bills................. 10
Buildings insurance..................... 15
Contents insurance...................... 16
Life assurance ......................... 30
Again, have a look at the comparison sites to see if you are getting the best deal.

Haircuts................................ 0
Entertainment........................... 0
Emergency fund.......................... 0
Need something for these - even if just a fiver.

If your wife has a good credit rating and not applied for any cards, she could try to get a Virgin card. I wouldn't bother applying for any others, but the Virgin card is the only reason i can afford my minimum monthly payments right now.

Also worth looking to see if your house is in the correct council tax banding.
http://www.moneysavingexpert.com/reclaim/