Newbie in trouble with money

BIGLASSIE

I know I've got myself in this predicament and believe me, no-one feels more guilty or ashamed than myself. Put simply I'm at my wits end about the route I must take. Having read many posts I have eventually bit the bullet and admitted I have a major problem with money. I quite simply cannot be trusted with CC's or loans of any type.... :embarasse

Income 900


Outgoings 500 to OH to cover rent/bills/food etc

190 HSBC CC
160 LLOYDS PLAT CC
28 CAR INSURANCE
50 PENSION
15 MOBILE PHONE
15 INTERNET


In 2003 contacted CAB and sorted payments for bills I had then which I am still paying

15 A&L LOAN
35 COOP CC
10 MASTERLOAN
2 RBS MATERCARD
6 RBS VISA

I owe 9000 HSBC
8000 LLOYDS TSB
1350 A&L
1800 COOP
1750 MASTERLOAN
1040 RBS MASTERCARD
220 RBS VISA

I am at present using money off my credit card to live on which really cant go on. I cannt give my OH any less as bills need to be paid.

So where do I go from here? I've read some posts and I am guessing Bankruptcy would be the best option as I have no assets...yup, thats right, nothing to show for all that money i've spent.

Any help for this newbie would be very much appreciated, I know there are some very knowledgeable people on here so really hope someone can sort me out....

Broken_hearted

Hugs someone will be along to help soon. Don't feel bad about yourself, we are all in a mess thanks to debt and we can all get out of it.

BIGLASSIE

so easy to get into, so hard to get out of..thanks for your thoughts...

ms_london

BIGLASSIE wrote:

I've read some posts and I am guessing Bankruptcy would be the best option as I have no assets...yup, thats right, nothing to show for all that money i've spent.

I disagree about bankcrupcy. True you may have no assets, but you DO have an income, and not a bad one at that!! I didnt have any assets when I had £19,000 of debt on a £11,000 salary - and I managed to pay mine off - so it can be done!!

Well done for posting!!

BIGLASSIE

At the mo I am paying out 1025 per month and only earn 900, not including what i'm borrowing off my CC's to get by.

Just need some guidance really?

There's also a slim chance my job may be getting made redundant in the near future, I dont have any insurances to speak of. It just gets worse, I cant see any future.... _pale_

in*the*red_6

Hi Biglassie

Yes, your outgoings exceed your income at the moment and you can't carry on the way you are. I know you already have an agreement with the CAB but have you tried contacting one of the free debt charities, either the CCCS or Payplan to see if they can set up a debt management plan for you which includes all of your creditors? I would suggest you contact them in any case because they will give you the best advice and can also discuss the bankruptcy option with you.

Best of luck

ms_london

If you have any direct debits set up with your creditors, cancel them. This will give you some breathing space so that you can sit down & work out what you CAN afford to repay them each month. Then you need to get on the phone & try and negotiate your payments with your creditors - explain your situation - and ask if they can freeze interest/charges (some will do this, others wont!!) - and then make sure that you pay them the agreed £X per month on the agreed date. If your payment is 1 day late, they will come down on you like a tonne of bricks, so you need to show willing and stick to what you agree with them. If they are proposing £50 a month repayments (for example) and you cant afford this, then you need to negotiate a payment you can afford.

Have you seen what the £500 you pay your OH each month goes towards? Could you trim back on this at all? Does your food budget come out of this? You need to stop spending on your cards TODAY - if you dont, your situation will only get worse!!

I agree that the CCCS and CAB and even payplan are good places to start for advice - but you can negotiate your repayments on your own rather than getting someone else to do them for you. This will help you feel more in control!!

If there is a chance you could be made redunant - to be honest, you will have to wait and see. You can not pay any money now IN CASE you get made redundant, because it might not happen. If it does, then you can call your creditors again and let them know - and then perhaps consider bankcrupcy or the like.

xx

Alleycat

Well done for coming here and looking for help!

Just one thought, which I always find strange. I know you share the bills with your hubby but what about all your other financial commitments? Could you not combine your income with your OH, cut down where necessary (if you post all your outgoings including bills) and use whatever is left to pay the debts? A problem shared and all that!

ms_london

BIGLASSIE wrote:

28 CAR INSURANCE
50 PENSION
15 MOBILE PHONE
15 INTERNET

Could you shop around for cheaper car insurance? Could you stop paying into your pension for the time being? (although perhaps not worth it - I dont know how old you are, sorry!!). Mobile & Internet - could you cut down on your mobile usage? Get a cheaper internet provider? Cant your OH pay 50% of this - surely its a household bill? xx