Help scared and worried

LeeSouthEast

Becoming "Good with money" is akin to "losing weight". If you go on a "diet", it implies it'll end at some point, you go back to your old ways, and the weight goes back on. If you change your whole lifestyle however, it stays off for life.

It's the same with debt.

Katie-Kat-Kins

Great analogy Lee! One that a lot of people on this board would do well to bear in mind.

ferox666

First of all, well done for facing up to the fact you have a problem and asking for help!

I can't really add to some of the great advice already given here. It's worth listening to.

Just out of interest, what kind of jobs did you guys do?

Good luck, hope it works out

dancingfairy

slowlygoingcrazy37 wrote: »

new to the sight, only joined a few days ago, but i think its pretty cool the way people have tried to help skintnscared. hope you get yourself sorted. Also, read about the online survey sites- how does this affect you if you are on benefits, does anyone know?

I'm not sure the payouts are that great to be honest - I think it's more a case of a couple of quid here and there. I'd be surprised if you could earn enough to have to declare it but I guess double check with the benefits office if in doubt.

df

SkintNScared_2

Thanks for the replies, tips and suggestions.

I don't think there is a big market for rental properties around here, but there was one on our road up for rent for £1,500 so wouldn't come close to covering the mortgage. However, had a bit of luck with the bank who will reduce us to interest only which is a saving of £450.

We've paid for our next holiday in total, so thats £400 that can be taken off the list. Although perhaps it is unrealisitc not to go on holiday at all??

I will cut my clothes budget down to zero.

We can reduce our entertainment to about £250 a month, a saving of £250.

I'm sure we can get our grocery bills down from £400, but I don't see how we can get it much below £75/week for 2 people. Possible saving of £100 a month.

Petrol will be cut in half to £100 a month now we are driving less. Sadly filling the car up costs £90 and this only lasts 370 miles.

I will phone all our utlility providers tomorrow as most are shut now.

Can't really cut down the hair cuts, as I have been using the same lady for years.

Not sure about the cars. As mentioned, they are both on HP agreements so I can't simply sell them. We could return them, but then we'd need to make up the difference in the negative equity I suspect. Something we simply cannot do.

Thats a saving of £1,900 already.

grahamlaw

Well done so far, it's not the end of the world. Your hair dresser is charging an crazy amount of money. Can't go an extra month without a haircut? I assume your entertainment bill of £250 is tie ins with clubs?
Have a look at your holiday see if there is any chance of a refund or at least some of it. Worth talking to them. You said you have two cars and by the looks of things your keeping the most expensive?

Also, what has your husband said about these posts?

LeeSouthEast

If you can't get out of the holiday for a complete refund, then go on it. Just do not spend while you're out there (is it full board?).

Groceries can be cut in half. You just need to change the way you cook. It can be done and done well. Look at some of the Old-Style Saving boards for meal plans etc. I spend £12.50 for me for a week (equiv.).

You really do need to change your cars as a priority. £90 will get me nearly 1,100 miles in my ford focus (almost 3 times as far for the same amount of fuel...).

Haircuts have to go. They're just obscene and you cannot afford them.

Likewise for entertainment, unless you're tied in by contract somewhere.

grahamlaw

LeeSouthEast wrote: »

Groceries can be cut in half. You just need to change the way you cook. It can be done and done well. Look at some of the Old-Style Saving boards for meal plans etc. I spend £12.50 for me for a week (equiv.).

£12.50? Where do you shop and what do you eat? Fish finger sandwiches?

My car is also expensive to run. I stopped the insurance and got a refund on the tax. It's now off the road as SORN. That way you don't loose the car, no insurance and no tax. If the car sits too long it will loose it's value but it all depends on the type of car. Have you got somewhere to keep it?

LeeSouthEast

Now there's an idea. Not had fish fingers for ages! Nope, I just cook at home a lot, or buy the Value range or things supplemented with good fresh fruit from the local farmer's market.

My point was if I can live comfortably on £50/mo for 1, then £200/mo for 2 is extremely easy to do.

tallyhoh

SkintNScared wrote: »

Thanks for the replies, tips and suggestions.

I don't think there is a big market for rental properties around here, but there was one on our road up for rent for £1,500 so wouldn't come close to covering the mortgage. However, had a bit of luck with the bank who will reduce us to interest only which is a saving of £450.

We've paid for our next holiday in total, so thats £400 that can be taken off the list. Although perhaps it is unrealisitc not to go on holiday at all??

I will cut my clothes budget down to zero.

We can reduce our entertainment to about £250 a month, a saving of £250.

I'm sure we can get our grocery bills down from £400, but I don't see how we can get it much below £75/week for 2 people. Possible saving of £100 a month.

Petrol will be cut in half to £100 a month now we are driving less. Sadly filling the car up costs £90 and this only lasts 370 miles.

I will phone all our utlility providers tomorrow as most are shut now.

Can't really cut down the hair cuts, as I have been using the same lady for years.

Not sure about the cars. As mentioned, they are both on HP agreements so I can't simply sell them. We could return them, but then we'd need to make up the difference in the negative equity I suspect. Something we simply cannot do.

Thats a saving of £1,900 already.

Its great that you have sorted out some cuts, however I still feel (please dont take this badly) that you have not yet realised your true position.

You OH's redundancy payment may or not cover the debts you owe, you may or not get another job, you may or not sell your home.

In the meantime where does the money come from for £100 haircuts & £250 entertainment etc? & then the mortgage?

You will be entitled to job seekers allowance of approx £60 per week each & a council tax rebate.

Good Luck.