Young, Working and Owes Money!

Dannyboy10_2

Hey,

I'm looking for advise mostly of where i should go and action to take with my current situation.

At the moment i owe Lloyds TSB £500.00 (Overdraft), A Family member £400.00 and my ex-Girlfriend £140.00.

I am Currently working taking home after tax about £800.00 i am currently living at home with parents paying £120.00 a month in keep/rent, i don't have any other outgoings other than that.

I'm struggling as i am getting paid weekly and money is not my strong point.

my family and ex are getting quite annoyed with me not paying them back or paying them little amount here and there, It's driving me insane too!!

I have looked at loans to wipe the slate clean and borrow £1000 and pay it back over 6 months which isn't to bad, Should i do it does anyone recommend a certain bank? or should i just tell them to wait and battle with it?

Any help would be great Thank You!!!

PasturesNew

Takehome £800
Rent £120
Remainder £680

Take £430 yourself each month (£100/week is loads, double what Jobseekers would be) and use the other £250 to pay people back. You'd have it paid off in four months without borrowing and paying interest.

sharpy2010

Dannyboy10 wrote: »

Hey,

I'm looking for advise mostly of where i should go and action to take with my current situation.

At the moment i owe Lloyds TSB £500.00 (Overdraft), A Family member £400.00 and my ex-Girlfriend £140.00.

I am Currently working taking home after tax about £800.00 i am currently living at home with parents paying £120.00 a month in keep/rent, i don't have any other outgoings other than that.

I'm struggling as i am getting paid weekly and money is not my strong point.

my family and ex are getting quite annoyed with me not paying them back or paying them little amount here and there, It's driving me insane too!!

I have looked at loans to wipe the slate clean and borrow £1000 and pay it back over 6 months which isn't to bad, Should i do it does anyone recommend a certain bank? or should i just tell them to wait and battle with it?

Any help would be great Thank You!!!

With complete respect, a loan is not the answer here. As the above poster says, the debt is small enough that you can clear it yourself, without finance, within just a few months.

Good luck!

woody01

Op owes £1040 ........ pay your family first.... all clear in 2 months

lea_t88

Why don't you give them the money in installments as soon as you get paid-if keeping the money in your pocket is too hard. As soon as you get paid give your family £50 and ex gf £50 for example. Then you haven't got it in your pocket to spend.

Do this for a couple of weeks and after 3 weeks, you will have paid the ex and got her off your back and can then give your family say, £100 each week.

Tixy

HI danny and welcome

Agree with the other posters - you don't need a loan, you need to learn to budget.

You say you don't have any other outgoings? do you not have a phone? buy clothes? get your haircut? do you run a car? how do you travel to/from work - do you have bus fares to pay? does the £120 cover all your food? do you buy lunch whilst at work?

If you don't have any other expenses then you could be free of these debts within a few months.
If you do pay out any of these things then write out a monthly budget and work out what you have left to pay back towards these debts each month, then divide by 4.33 to get a weekly figure and repay that as soon as you are paid each week.

wontfallforit

Dannyboy10 wrote: »

Hey,

I'm looking for advise mostly of where i should go and action to take with my current situation.

At the moment i owe Lloyds TSB £500.00 (Overdraft), A Family member £400.00 and my ex-Girlfriend £140.00.

I am Currently working taking home after tax about £800.00 i am currently living at home with parents paying £120.00 a month in keep/rent, i don't have any other outgoings other than that.

I'm struggling as i am getting paid weekly and money is not my strong point.

my family and ex are getting quite annoyed with me not paying them back or paying them little amount here and there, It's driving me insane too!!

I have looked at loans to wipe the slate clean and borrow £1000 and pay it back over 6 months which isn't to bad, Should i do it does anyone recommend a certain bank? or should i just tell them to wait and battle with it?

Any help would be great Thank You!!!

Hi Danny,

As pointed out, you really don't need a loan!

You're actually in an enviable position, only owing a grand, with half of that being (presumably) interest-free.

Make a regular commitment to your ex and your family. You don't need to go overboard - stick to an amount that will clear the debts quickly, but won't leave you skint and looking to borrow more.

As for your overdraft - how do you get paid? In cash, or in the bank? If it's in the bank, simply visualise every week that your new available O/D is not £500, it's now £470...then £440...then £410 - or however you choose to pay it.

If you're paid in cash, you need to have the discipline to pop down the bank once a week and put a bit of cash in, come rain, hail or shine.

You could always cut your actual overdraft limit each month as you pay it off, too. However, by exercising a bit of constraint, you should be able to keep this emergency feature (no interest charges if you don't use it), and keep yourself/make yourself a healthy credit history.

You might want to look at a budget calculator. http://www.moneymadeclear.fsa.gov.uk/tools.aspx?Tool=budget_calculator

You obviously don't enjoy being in debt, so take it as a lesson learnt and a lucky escape from loans

Dannyboy10_2

Hi, Thanks for the advise!
I have sorted it all out Many ThANKS