despairing....

InHell

Hi, well this is my first post on this site, although have read others posts with interest.

My problem is this:

I am married, aged 21 and my husband is 28 years old. We have £46K worth of unsecured debt and a £91K mortage, with a £600 deficit each month.

We are in the middle of arranging offers for our creditors- some have accepted some have completely ignored us and some are just plain frustrating, but we are getting there.

Anyway, basically we only have £65 per month after all essential expenditure (we did a SOA with the Citizens Advice) to offer between all our creditors for £46K worth of debt.

We obviously CAN'T afford an IVA, even though our CAB advisor keeps pushing it at us (which is both frustrating and concerning) PLUS it is way too risky as we got into this mess due to my own unemployment and the lack of employment in my area, so if it were to happen again obviously bankruptcy is a risk.

We CAN'T under any circumstances go bankrupt as my husband works in the financial sector so would lose his job, and we would most likely lose our house.

Any other advice or are we basically screwed? _pale_

I just feel so guilty and I have such low esteem as we are in this situation simply because I can't get a job. My husband is working three jobs at the moment and I am only doing 2 hours a day as thats the best employment I can find, plus most places require a car licence (as we live in such a rural area) which I don't have and the little I would get paid wouldn't cover the petrol where as at least with my current job I can walk to work.

My husband and I are both going to join the TA where hopefully we can get some extra cash and it will give me my car licence. Its just such a desparing situation as I was so sure that I would be in a different better paid job by now

dippy-dora_2

Hi, I'm not qualified to help, but saw you have posted only minutes ago.
I'm sure you'll get lots of helpful suggestions on this site, so welcome aboard,:T and try not to despair too much as I'm sure the experts here can help.

roswell

Morning and welcome, post you SOA up here im sure many of the regulars can find money you didnt know you had just by cutting your expenditure.

lynzpower

I know this sounds rather drastic, but is there any chance you could move? I lived in an area where there was no work and I know how you feel, it really is the complete pits.

Are you getting all the benefits you are entitled to? 2 hours a day should get you job seekers allowance on top.

InHell

I would post a SOA up but basically my husband and I have cut down as much as we can cut down- neither of us drink, smoke go out and buy anything other than essentials (which I work out on the cheapest price, including petrol costs), our shopping bill for the two of us per week is £10.

Life is very depressing at the moment because we literally don't let a single penny go to waste- I even switched pet insurance plans to save us an extra 15 pence per per month.

I am not entitled to any benefits as my husband is working full time.
We actually owe working tax credits of £1300 on top of that £46K but they told us not to pay for now as the amount we offered wasn't worth their paperwork apparently.

We can't move as basically there is nowhere to move to, and we have animals so basically it is very hard to rent somewhere and we only moved down here a year ago so I don't think I would be able to cope moving again. Plus we have a very high fixed penalty if we sold our house as we are on a fixed rate mortgage for 10 years.

My husband even cycles 16 miles one way everyday to work to save on car running costs, and my job is a mile and a half away from me which I walk to regardless of the weather.

roswell

can i ask how oftern you have claimed on the pet insurance?

dippy-dora_2

Have you thought about selling on ebay, as you have the equipment and the time.

dippy-dora_2

You could cut down on your internet connection if you are preapred to go on dial up and have it on from 10pm till 8am and it cost 3.99 a month.
That's what I'm on, and 1.5p a minute any time out of those times.

it's with one-tel their nightowl package.

skintchick

Morning and welcome.

First, please don't despair. Nothing is ever as bad as it seems, and even if you lost your home, you are well and loved and that's what matters. Please stay positive.

I know you feel posting your SOA won't help, but it gives us a starting point for asking questions, which often leads to more pertinent things, so it is well worth doing it.

It also helps calrify your mind, makes you feel you are doing something, and that really helps mentally.

A £600 defecit is obviously huge, and I see you do need professional help on this. I wonder if you can move house? Do yu have any equity or have you mortgaged it to the hilt?

If you can downsize, then that would be a great start.

I know you say it isn;t possible, but at the beginning of the road nothing seems possible, and then gradually we realise it might be, so don;t rule anything out at this stage.

I accept it is not your preferred option, but sometimes we can't always have the option we want int eh short term.

The plan is to get you out of debt, via a reasonable budget that works, so please do post as much info as you can and we will help.

Big hugs and welcome again. It's hard doing the frist post so WELL DONE.

Little_Miss_Winner

I second skintchick - that was a lovely post.

Everything I would have loved to say, only it's too early, and my brain isn't engaged yet!

Hugs
pot

InHell

we are mortaged to the hilt and its very difficult to downsize on a one bedroomed terrace

we have never claimed on the pet insurance but I am not going to risk not having it.


my statement of affairs is this:

Income Husband £1235
Income Me: £231

Expenditure
Mortgage £573.62
Council Tax £60
Water rates: £26
Buildings/contents insurance £23.55
Life insurance/pension (for husband) £56.83
Gas £30
Electricity £50
House keeping £250
TV Licence £10.05
Hire purchase £121
travelling expenses £100

Telephone/mobile £35
Health costs £14

repairs £30
pets £10

The reason that we appear to have £76 per month rather than the stated £65 per month spare is that we are paying £10 permonth off 1 months worth of mortgage arrears...

and thats not including the unsecured debts....