Finally facing our HUGE Debt !!!! But still need your Inspiration !!!

Freckles2408

Well today is our official LBM ! DH and I have been talking about working out what we owe for a few days now and today I finally put finger to key and worked out what we owe.....OMG ! I used CCCS website to work it all out and now feel like a huge weigt has been lifted !! Not that it should be when you see how much we owe but we have an action plan and are going to get started asap. We have decided to wait until after xmas to start the huge changes but are going to implement little ones straight away.

Our situation is a bit of a difficult one but here's a brief outline. We have been married for just over a year (2nd for us both) and have 5 children between us, two living with us. DH is in the armed forces and we are currently overseas which isn't ideal but it won't be forever so we are making the most of it. We have to pay for my two to go back to visit father and flights aren't too cheap so that has really eaten into our bank account this year but it has to be done.


It has been very difficult to work out our budget exactly as we get paid some of our wages in Euros and some into UK bank (exchange rate is rubbish at the moment and cost of living here very expensive !!!)I have just put all the figures in pounds as it is about the same. Here are our monthly figures :

Income :
DH wages £3000
My wages £750
Child benefit £132
CTC £42
Maintenance £325

Total : £4259


Outgoing:
Total loans/CC £ 2399
Maintenance £ 500
(will break down into SOA when I get all rates etc)

Which apparently leaves us £1360 !!! God knows where this goes ! It has been such an eye opener to see how much we fritter away each month, I really can't beleive it !

I have had such inspiration from reading peoples diaries on here over the past few days that I just thought I too would share my story as i'm sure someone out there will have some great advice for us....yes yes... stop spending !!! We are going to. We have prioritised our debt and have an action plan.....so here goes !!!!

beanielou

Happy shiney new diary
Keep posting!

Freckles2408

Have just been reading a few more diaries and am so inspired by the comments you all make. I am so happy to have done this and think that writing a diary will help (fingers crossed !!!!)

Happy debt busting all x

TWINKLE

Welcome to diary writing - it will help you so much and the support and advice is great. Look forward to reading your updates!

Moneytroubles_2

Welcome to diary land maybe try keeping a spending diary so you can see where your money goes - good luck xxx

Freckles2408

Thanks for your messages of support....We have come up wth a plan today and are both really focused that we can make this work. When we realised just how much money we actually have coming in we were so suprised that we have got ourselves into this situation ! We have had to set up home again which isn't an excuse but one of the reasons we are in this mess ! I walked away from 1st marriage with a car and a few suitcases ( leaving behind a fully furnished 4 bed house !!!) and DH had what he could carry too ! Luckily we found each other and are communicating well about the debt (something I never did in 1st marriage) so things are looking rosy ! I will post our financial plan later and hope that some of you experienced DFW's can give us some pointers.

Thanks again and Happy Weekend !!!!!!

Freckles2408

OK here goes with our plan !!

These are all monthly payments :

UK Banks : Outgoings
Barclaycard cc £200
Capital One cc £50
HFC Finance £35
Lloyds loan £299
M & S Loans £470 (two loans one in each name)
Mobile £80 ( two contracts - getting out of them asap)
Maintenance £500 (DH three children)
Loan from family £150
Natwest Loan £197
Car Ins £42
Child Trust £20

Total : £2026

UK Bank Income :

DH Wages £1800
CTC £42
Child Benefit £132
Maintenance £325(for two children living with us)

Total : £2299



Overseas Bank(all figures in Euros)

Outgoings:

HP for car 350
Loan 250
Next card 70
Total 670


Income:

DH Wages 1460
My Wages 760

Total : 2220


So left over is :
Uk - £273
Overseas - 1550 Euros


We have planned the monthly budget for day to day living as follows:
again in Euros

Phone/Internet 100
Fuel/car main 100
Food 400
Hair 40
Kids clubs 30
DH mess fees 50(has to be paid - military rules)
Other 150(alot but cost of everything here is very high !!)

Total - 870 Euros

Which leaves us 680Euros to start smashing the Debt with(have updated signature with actual debts !!!!!)

We plan to pay off Sainsburys cc on 1st Nov as it has highest rate and is only £100 and also half of DH mess fee arrears 150 euros leaving us 400 Euro to xmas shop with(5 kids to buy for !!!!). It will feel SO good to know that one debt is cleared when I call and clear and close Sainsburys cc!!!:rotfl:

If anyone can see anyway of cutting any of these then please feel free to post !!!!

Thank you all x

savingholmes

Just wanted to wish you good luck on your debt busting journey!

FerociousDave

Good luck Freckles,

Your phone and internet is quite high, can you switch to get this down a bit, if it's lots of international calls then there's some numbers you can dial before dialling your number to get the costs down (I'm sure there's more info on it on this site)

D

Freckles2408

Morning.....thanks for all support messages. We are gonna look into the internet costs but have a feeling the locals like screwing the forces over for things like that !!!!!

Freckles2408

Well have managed to have a pretty productive but cheap day really ! I have made a huge betch of fairy cakes for the kids to have for their snack in school (usually buy!) and made millionaires shortbread (with biscuits from the cupboard so only needed a couple of ingredients) which is gonna be DH and my treat instead of choc (both chocaholics!!) so feel pretty proud of myself really. Hope to have a couple of NSD's this week as we need our money as we are going back to UK for half term (flights already booked and paid for) . I am going to do some research about Pheonix cards as i'm not sure if anybody out here is selling them and the selection of local cards is rubbish !!!! Will keep you updated.

:TYea for Sunday baking...kids loved helping me and it takes me back to my childhood !!!

Enjoy X factor everybody.....got to be better than last night !!!!