Help scared and worried

finnigan

Please don't go shopping SnS, instead make it your goal to get some sort of income. Take a good look at your skills and talents - you didn't the job you just lost without those - you are in a hole right now and you need to dig yourself out, not wallow.

misspoppy

Hi

I think there are two schools of thought on this forum, slash everything eat as cheap as possible pay everything back asap and those that want to pay it all back but be reasonable about it. If you went on a debt management plan they would give you a reasonable budget to live on and I think it would be fair to ask to you to try to live within those budgets. Many people won't understand how you have got into this position as you were fortunate with your salaries but whilst some of the comments might sting a little they are trying to help.

My practical suggestions are take the most costly car off the road, sorn it and only use the most fuel efficient car, saving tax, fuel and insurance.

Monitor how much you are actually spending on food, last month I think we spent £350 for two of us but we could have been better eating out of the freezer and just buying fresh veg. Try going to lidl or Aldi for fresh fruit and veg, it hate going but the savings are huge, they are also great for cans like tomatoes. Check your freezer what meals can you make so you are reducing how much you spend. Do one shop a week so you don't keep nipping back and spending £50 each time. It would be worth making a spending diary which when you see how much you are spending wasting makes you think about how much you are spending, my other half was astounded when I told him how much I alone had spent on food last month.

Hairdresser, tough one, you don't want to admit to people you are skint I understand that, but if you've been going for years maybe you could explain on the phone even get her to change your style for one that can be maintained less often or ask to use a more junior member of staff.

Entertainment, well tough one but what do you do for entertainment, if its eating out well realistically it will have to change or have you got weddings or family do's you are commited to try to plan the month and see what you have to do and try to cut out what you can, invite people round they are more likely to talk behind your back that you are still keeping up with the Jones even though you've lost your jobs rather than if you cut back.

Clothes do have to stop, there is no other way of dealing with it, you could ebay old stuff you don't wear and use the moeny you make as your shopping budget maybe.

I hope these suggestions help.

sarahs999

Also just re-read your first post and you mention that your total debt (not inc mortgage) totals £100k, but I can't see that all accounted for on your SOA...

SkintNScared_2

Hubby just phoned to say that his redundancy package is going to be £26k tax free.

I calculate that we need £5k a month to survive with the savings I can make immediately. We have £2.5k in cash and an offer of £20k loan from hubbys friends.

If we sell the house, we should have about £50k equity, less £10k costs to sell.

So.. we're going to have £88.5k as a lump sum. Even if we get an old banger at £5k, thats £83.5k left over. Once we are free of the mortgage, we can rent a cheap place at £1k a month (saving another 1.5k on our expenses - which will cover the min repaynebts on the credit cards).

£83.5k will last us nearly 18 months being frugal and spending £5k a month, and I'm sure we can both find jobs in the meantime to turn things around a bit. Hubby is already talking to a recuritment consultant today.

Off to go shopping now (not much apart from 'bits' left in the cupboard), I shop at Sainsbury's not M&S - full of old people.

We are not the only ones in our social circle to lose jobs, the others have places abroad to which they've escaped to for the summer. No idea what they are like financially though.

SkintNScared_2

sarahs999 wrote: »

Also just re-read your first post and you mention that your total debt (not inc mortgage) totals £100k, but I can't see that all accounted for on your SOA...

£47k (approx) on cards, £53k approx on the HP car agreements.

Smashing

Your lightbulb is not even flickering. We can throw suggestions at you till we're blue in the face but unless you're willing to actually take heed nothing will change. This is not going to go away. The fact of the matter is that you were never able to afford this lifestyle, even with the huge wages. Now that they're gone, you're living in wonderland. If you don't make drastic changes, your debt will continue to grow and the worse it'll be when you actually decide to get real.
For your sake, I hope this is sooner rather than later.

newlywed

That sounds a bit brighter for you then, if you could really end up with 88k. But I think should only use a loan as a very last resort - you already have enough debt without adding to it.

But remember not all houses are selling that quickly - what if it takes over a year to sell you house? Work out what you will do then and how long the money will last and then work out what other cuts you may need to do until your house sells to make sure you can survive.


Also :rotfl: at a 5K "old banger" - my car cost £500 and does just fine

elfen

You need to get your head out of the sand and be much more realistic. You'll basically be living on a month what I live on, and I don't have a fancy house/car/holidays, I scrimp and save until I can get it. And you will have to do the same thing too

Get an older car. You can get decent ones for 1.5k, saving you another k. (As people have said, the second hand Ka is a good deal, but buy private, not dealer, and you'll save more.

I don't know where you live, but £1k a month rent ISNT cheap, not by my standards, and not by people's on here. If you could knock that down even a few hundred quid, that would be more money you're saving. It doesn't have to be posh, or big, just room enough for you two.

Get onto the HP and CC people, and ask if you can lower repayments. Explain what has happened.

Oh, and the social circle. Right now, the last thing you need to be doing is keeping up with them. Tell them you aren't working, tell them you can't afford things, and you may be surprised at how some people could help you (and not by loaning money)

BeautyandtheBeast_3

SkintNScared wrote: »

Hubby just phoned to say that his redundancy package is going to be £26k tax free.

I calculate that we need £5k a month to survive with the savings I can make immediately. We have £2.5k in cash and an offer of £20k loan from hubbys friends.

If we sell the house, we should have about £50k equity, less £10k costs to sell.

So.. we're going to have £88.5k as a lump sum. Even if we get an old banger at £5k, thats £83.5k left over. Once we are free of the mortgage, we can rent a cheap place at £1k a month (saving another 1.5k on our expenses - which will cover the min repaynebts on the credit cards).

£83.5k will last us nearly 18 months being frugal and spending £5k a month, and I'm sure we can both find jobs in the meantime to turn things around a bit. Hubby is already talking to a recuritment consultant today.

Off to go shopping now (not much apart from 'bits' left in the cupboard), I shop at Sainsbury's not M&S - full of old people.

We are not the only ones in our social circle to lose jobs, the others have places abroad to which they've escaped to for the summer. No idea what they are like financially though.

Im sorry - i have tried to be patient and understand where you are coming from and i cant - YOU DONT NEED 5K a month to survive. YOU WANT £5K a month to survive. You dont want to cut back in anyway shape or form, you want to continue wth this pretence. You ARE HEADING FOR A FALL AND A BLOOMING MIGHTY ONE AT THAT.

YOU NEED TO WAKE UP - YOU HAVENT GOT A JOB!!!! YOU ARE LIVING IN CLOUD CUCKOO LAND!!

p.s M and S isnt full of old people.
sorry if you dont like what i have wrote but tough love is needed for you..

JAMIEDODGER

Exactly what do you need 5k a month for?