help on deciding plan of action pls

lou777

Hi,

Thanks for your reply. I agree about consolidation, which is why I have avoided it for so long. However, it would be cheaper to do that rather than carry on paying these interest rates on my credit cards. I don't think it is the best idea, but I do need an idea!
I pay half the monthly bills of:
Gas £32
Electricity £35
Water £26
Home contents & building insurance £21
Phone bill variable last mo £30 inc line rental
Sky £46
Mobile £5
Dog food £45
Council tax £144 over 10 months
Internet £20.99 (I pay all of this)
No car costs - took it off road last year and now sold
I am chronically ill so don't go anywhere, and if I do, I am driven.
Food budget is non-negotiable at approx £40-£60 a week for me only. I need to eat organic, fresh food to stay even this ill :-)
I have cut down bills as much as I can. We are tied into Internet, phone co and Sky for a while yet following recent switches so there is no cutbacks there to be made. My partner does help out where possible on an ad-hoc basis by buying top-up groceries etc.
Medical bills are variable (from £8k 2 years ago to £2.5k last year and £190 this year), whilst supporting medication is a never-ending pot. I could spend 1k a month on health alone, but only spend the minimum of £20/mo. Toiletries about £15/mo (can't be cut down either as they have to be organic).
Re work - I started an eBay shop 10 months ago, started selling books on Amazon recently, which I plan to do as a business when my personal stock depletes, have started Avon last week and have just agreed to be an independent rep for organic cosmetics and toiletries on commission, which will at least get me money off if nothing else. The reason I am so vague is that I cannot possibly predict how these things will turn out at this precise moment, as everything is still in infancy. My part-time job is not fixed hours. I know my hourly rate but not how many hours I will work. I could work about 20 hours in April, practically full-time in May and June, and then do nothing until December again. A yearly rate is easier for me to work out than a monthly rate, and all in all, I will probably only get 2k for it this year. I am not able to commit to a permanent and regular part-time job due to ill-health. I only do that job (and it is a struggle) because they know me and my limitations, and are still happy to employ me. I can manage doing it as I get to pick how many hours I work. Some days are hell due to illness, and I have to balance earnings against the cost to my health and businesses. Luckily, the hours are flexible, which is what I need. I would rather sell my house than commit to a regular part-time job as it will make me so ill that I would not be able to do any of the businesses and therefore still wouldn't have enough money.
We are trying to get a lodger at the moment, which is the only way I can get a guaranteed predictable income. I am not sure if it will be worth the stress though. I would do it but only for the absolute minimum period. My partner and I are only just getting over the upheaval my ill-health has caused and I fear for our relationship and sanity if we have to have someone playing gooseberry in our house.
Basically, I am happy to work every waking minute, and do expect that I can get a reasonable income for all my combined efforts. However, the interest means I need to earn at least 1.5k a month to get on top of it in a reasonable time frame, and that isn't possible until I get better.
Finally, even if I do decide to sell up, I still need to get this 450/mo interest off my back until the sale goes through, as there is no point in just sitting back and letting it all mount up. So plan A is to see how it goes, and then make a decision. I am doing all I can to earn and not spend any more than I have to, but the fact remains that I am paying 450/mo for nothing, which is by far my biggest expense.

jeff1969

I don't know what your illness is, but does it require a lot of prescription drugs to be purchased from a chemist?

If it does have you looked into obtaining a pre-paid prescription?

http://www.ppa.org.uk/ppa/ppc_faq.htm

Jeff

lou777

Hi,

Thanks for your input. No, I have had to finance my recovery completely at a private hospital due to NHS's lack of awareness of emerging diseases. I was bed-ridden and nearly died until I paid for help so the money was very well spent, but it will take 2-5 years to regain complete health...maybe never 100%. The more money I spend, the quicker I will get better and make a more complete recovery. My entire debt is from essential living expenses and hospital bils. I am very good with money and have made so many cutbacks, but have only felt well enough in the last 6 months to take on even this much work. I need to earn more money and get rid of the interest, and even then it will be a close call if I make it or not.

lou777

To lou lou skinty poos,

Thanks for the tip about payplan.com. I have been considering stuff like this but my biggest credit card is with my bank, through which I run my business account, and I am wary of letting all my creditors know what is going on in case it affects my business. I am considering this but only as a last resort before selling house. I suppose the other thing that puts me off is that some months I can't pay much at all, whilst others are OK, and I like the flexibility that I have at the moment - just not the interest. I guess I will see whether I can pay off my smallest credit card in the next month, and start swapping balances to see if that helps the money I pay off, stay off, if you know what I mean. My best earning months of the year are coming up now, so I want to give everything one fianl push to see if I can scrape myself off the debt ceiling.

lynzpower

apparently, if you threaten to leave sky, they will offer you a half price deal. A number of people on here have threatened to leave and theyve had this deal to them.

I dont know where you live, but I would say a lodger is a fab way of earning money. If you REALLY cant stand someone being there all the time, could you have some exchange ( foriegn) students in instead. Someone else on here has been doing that, slammed some cheapo bunk beds in, had 4 japanese students in and got 400pw. for only a few weeks. I dont know much about it though, just a thought.

lou777

Thanks. There is lots ot look into and I am sure I can earn a bit there and save a bit there after reading what some people do on this board. I have just been busy registering for online surveys etc.
The Japanese students thing sounds OK - we could do that without cracking up. It's the long-term haul that worries us, and the fact that everyone we know who has ever had a lodger said they hated every second of it! We are not in a big city but do have a uni here.
I am not sure if we can threaten to leave Sky as we got multiroom a few months ago so are still under contract, but I have earmarked that thought. I will also ring my credit card firms and ask for lower rates by telling them I will transfer balance off as it is too expensive etc, to see what that throws up.
I still have quite a few things to sell personally on eBay and Amazon, so need to cracking on that too. I just need 48 hours in every day
Thinking about my finances is slowing me down at the moment, but it needs to be done. I wish I had found this site earlier, but at least I have now.

skintchick

lou777 wrote:

It's the long-term haul that worries us, and the fact that everyone we know who has ever had a lodger said they hated every second of it! We are not in a big city but do have a uni here.
.

I have had a lodger for five months now, and apart from a few niggles about housework (she doesn't do any), it's been great. I actually miss her when she's not here!

My house is tiny, and we get on fine and it's nice to have someone to chat to.

I'd rather have a working person than a student myself, because I like early nights and wouldn't want to live with someone who might go out drinking all the time and coming in later, but it's your choice.

Just wanted to share a positive experience!