OK Here Goes!!

D&DD

Hi Dotty dozed off with the kids :rotfl: will get my thinking cap on in the morning and have a proper look re the powergen thing I'm with them..nightmare :eek: I get clubcard points but wasn't banking on all the free grey hairs that came with the changeover...Catch you tomorrow

*zippy*

Hi dottyanne

Hope you don't mind, but I thought it would be better to answer your question on your own thread rather than it get lost on someone elses.

I think my situation is a bit different from yours I have 2 part-time businesses. Pre-lightbulb moment I had the one that gave me a nice bit of pin money and I also had a part-time job, Hubby works full time. I was over spending, ebay etc and we were getting more in debt it started to worry me so duuh! I decided to borrow more money to consolidate debt and set up another business very bad idea :eek: Well to cut a long story short it cost alot more time and money to set business up, so then had a huge loan and most of original debts, Oct had a very painful lightbulb moment when I realised what I had done, but for my familys sake pulled myself together and decided to try and sort it out. I managed to get another part-time job that was flexible (and I do enjoy it which helps) and so now have the 2 jobs and also run the 2 businesses part-time. The new business I loathe, but have no choice, but to continue, as you read on the other thread, nasty customers etc, but the one thing is it does take good money. By making huge reductions in spending, everthing bar essential cancelled, I don't need to touch this money so it goes into a free A&L business account and after the tax man has had his share will all go towards the loan debt as well as savings made from our jobs.

I'm sorry to waffle on, but I think its relevant for you to think if your business needs both of you, if it can't support you both could one of you find a job that would really help your situation, it will give you some stability. I too have children and its not easy, but you can work it between you to make the best of the situation. Is your business quite new? Do you think long term it will work out or would it be better to find employment until your finances are less stressful? Can you get any benefits or grants? I don't know what type of business you have, but can you increase your profit?

I can totally understand the stress you are under as I was there a few months ago, TBH I feel in control most of the time now, but I do get mini panic attacks about it, our original plan was that my hubby would give up work asap, but I now realise I couldn't cope with the uncertantity of this. I think as soon as debt is paid I will sell the new one unless it grows on me :rolleyes:

I have found the small biz board very helpful in answering any business questions I have.

Best of Luck
Zippy x

dottyanne

Thanks Zippy for your honest advice!!

I have taken a part-time cleaning job, which pays me an extra £50 per week but as i've only been doing this 2 weeks havent really felt the benefit as im in arrears with so many things!!

The mortgage and other D/D's are coming up in about a week and I havent got a penny for them this month?? I thinks its because im playing catch up all the time with other bills during the month instead of ploughing the essentail money away.

OH has a new venture underway to earn more profits in the business but this is a new starter and anticipate that will be a month or two before we see some extra income from that.

As you can see i have faced up to the problem - just dont really know where to start to solve it - other than earn more and spend less - but i really have cut back. I think my main problem is that at Christmas etc. i fall into the trap (especially having to buy 6 kids pressies) of buying everything between oct and dec then struggling like hell for months afterwards.

I am getting all the benefits I can - I am quite on the ball with this, so no extra can be made there.

still ???????????????

*zippy*

Hi Dotty

I'm off to work now,but will have a think today for you and post later.

zippy x

dottyanne

Thanks Zippy

Hi Ho off to work in a while for me too - hope to catch you later...and thanks

dotty

D&DD

Morning Dotty
Right have had a tally up on your figures and I make it £2486.60p outgoings..
with so far £2240.65 coming in...
I noticed your water is high too is this with backpayments as well (ie likely to go down when caught up)?
First thing I did when I found this site was phone all our credit card creditors and ask if they could do anything their end like a reduction in interest rates and also to let them know we were in the process of sorting our mess out,you never know..this does sometimes save on late payment charges etc if they know why!
Next step I cancelled our ppi on everything (all our debts are in hubbies name and he's covered at work)worth looking for insurance elsewhere as this can save a bit and also knock down the outstanding amounts..
Next look at your utilities (if you are making backpayments you won't be able to switch yet)see if you can make any savings there on how much you use fit low energy lightbulbs,wash a full load dry outside if you can not in the tumble drier..There are energysaving sites which can help with this..
I'm afraid some of the 'luxuries' have to go I personally wouldn't call sky a luxury (in my situation its a necessity) but this would save a hefty chunk a month..If you have boys can you buy hairclippers and do the haircuts yourself or try the model nights most salons have?
Foodwise the Old style board is a godsend the posters there are marvels! They will also help you with things like cleaning products,washing powders etc they'll save you a fortune and as someone posted on the good news thread the kids will be delighted at all the homebaked goodies

I think the first urgent thing you need to address is the fact you can't do the payments this month so do get in touch with people and tell them and also explain why/what you are doing to sort it out and see if they can offer any help??

It does all seem a bit daunting but you WILL get there it just takes time to sort it all out..once you're caught up you will be able to start snowballing..looks like theres a few bits almost paid so that will free up some money soon to throw at others..keep posting and keep persevering!!! You will have knockbacks..its not easy but we'll get there in the end

jitsuguy

Hi Dottyanne,

Do youhave anything you could sell on eBay to gain some cash initially to help with Mortgage payments? Plus would your Mortgage company allow you to go down to interest payments for a few months until you get on top of the problem?

Next thing on the loans and credit cards do they have PPI (Protection Insurance) on them if so cancel it as it probably wouldn't pay out as you are self-employed. This should help bring down minimum repayments and should start to reduce the balances on the cards as you will be paying more of the debt back.

Jitsuguy.

graemecarter

can I ask how you got into so much debt?

Was it trying to keep the business afloat or buying nice things for the kids (my weakness). If you address these things, that is a small step also.
I would firstly concentrate on switching to low APRs

jitsuguy

DEBTS:
Egg Loan 20372.51 361.80 7.7% (up to date)
Egg Card 899.42 40.00 APR? (up to date)
CARS 93.71 MIN? APR? (debt recvoery for mobile)
DSS 3630.64 10 APR? (OH)
Capital One 1014.65 MIN? 17.9% (OH - in arrears!)
Barclaycard 858.24 MIN? 19.9% (OH - in arrears!)
RWDC 668.52 20 APR? (OH - Robinson Way Debt Collectors)
Great Universal 651.83 30 APR?
Barclaycard 300.00 MIN? 29.9%
Capital One 290.00 17.9%
RBS Loan 61.30 APR? (paid off this august)
RBS Overdraft 4000.00 MIN? APR?
Car Loan 37.19 APR? (got about 18 months left)


INCOME:

Weekly Breakdown:
Tax Credit - 178.57
Dad - 80.00
Child Benefit - 37.50
my second Cleaning job - £50.00
Maintenance - my ex should pay £25.00 per week but is always missing weeks!
OH income- 146.00

So before my income roughly - £2240.65 pcm

Outgoings -

All debts listed above and their minimum payments ( but alos behind with some)


MONTHLY OUTGOINGS:

Mortgage - 774.50
GE MONEY SERVCING(2nd Mortgage) £208.92
UNITED UTIL PLC (water) £49.82
TV LICENCE £11.07
POWERGEN £120.00
SKY DIGITAL £42.50
DIRECT LINE INS £36.36
DIRECT LINE LIFE £20.05
COUNCIL TAX - 98.00
LOAN TO BRO - 37.19
FOOD - APPROX £280.00
OH SMOKES - 125.00
KIDS LUNCHES - 120.00
GOING OUT - 25.00
CLOTHES - 25.00
PHONE - APPROX 30.00 PER MONTH (INCLUDING BROAD BAND)
HAIRCUTS - 20.00 (THERE ARE 5 OF US AT HOME)
CHILD CARE - 62.00 (TILL SEPTEMEBER ONLY)



Am I right dotty? I put it all together it makes it easier for people to see what is happening!

Jitsuguy

dottyanne

D&DD wrote:

Morning Dotty
Right have had a tally up on your figures and I make it £2486.60p outgoings..
with so far £2240.65 coming in...
I noticed your water is high too is this with backpayments as well (ie likely to go down when caught up)?
First thing I did when I found this site was phone all our credit card creditors and ask if they could do anything their end like a reduction in interest rates and also to let them know we were in the process of sorting our mess out,you never know..this does sometimes save on late payment charges etc if they know why!
Next step I cancelled our ppi on everything (all our debts are in hubbies name and he's covered at work)worth looking for insurance elsewhere as this can save a bit and also knock down the outstanding amounts..
Next look at your utilities (if you are making backpayments you won't be able to switch yet)see if you can make any savings there on how much you use fit low energy lightbulbs,wash a full load dry outside if you can not in the tumble drier..There are energysaving sites which can help with this..
I'm afraid some of the 'luxuries' have to go I personally wouldn't call sky a luxury (in my situation its a necessity) but this would save a hefty chunk a month..If you have boys can you buy hairclippers and do the haircuts yourself or try the model nights most salons have?
Foodwise the Old style board is a godsend the posters there are marvels! They will also help you with things like cleaning products,washing powders etc they'll save you a fortune and as someone posted on the good news thread the kids will be delighted at all the homebaked goodies

I think the first urgent thing you need to address is the fact you can't do the payments this month so do get in touch with people and tell them and also explain why/what you are doing to sort it out and see if they can offer any help??

It does all seem a bit daunting but you WILL get there it just takes time to sort it all out..once you're caught up you will be able to start snowballing..looks like theres a few bits almost paid so that will free up some money soon to throw at others..keep posting and keep persevering!!! You will have knockbacks..its not easy but we'll get there in the end

Morning D&DD, i have cut all the protection payments. Also upto date with 3/5 credit cards, 2 behind at the moment - my aim so far is to see how i go making the necessity payments i-e mortgage etc this month - am up to date - although have had a couple or late payments on most things.

Water rates go off a meter - so i dont think they can be wrong - not behind with these so i dunno??? will have to look into it.

I am lucky in that i have a best mate who is a hairdresser, she does mine and hubbys hair every 6 weeks at a reduced price, i put £10.50 for all 3 boys haircuts down as i sometimes cant get them over to her (she lives a way from me) so i sometimes take them to the local barbers.

Am looking at cutting some sky channels at the mo - but im a bit like you with 3 lads, 2 step sons and a hubby its gonna be a tough one!!

I have started to cook myself a lot more - cheaper than pre-packed stuff and more substantial and cut back on any take-aways....

I am trying, have started saving £2 coins towards CC debts, already save coppers and loose change so will put that towards them too.