Help Gratefully Recieved!

misspiggybank

Hi all,

I am new to the forum so please bare with me! I have got myself into a right old pickle with debts that I can no longer pay off without robbing Peter to pay Paul and this is frightening me to death!

I have contacted the National Debt helpline who were fantastic and have just on their advice opened a basic bank account with the Co-operative bank and am hoping to pay my next wage into this. I have cancelled all but my priorty debts. however this has now led to messages being left from my creditors. I am also in the process of writing to each of my creditors via the standard letter in the pack offering decreased payments in line with my SOA. I received the pack last week. My question is have I done the right thing in cancelling my DDs at this stage? Or should I have spoken to my creditors beforehand? I am so confused as to the correct thing to do!

I suffered a heart attack two and a half years ago due to a congenital heart defect which has since been corrected but all the phone calls are getting my down and I am now frightened that the stress could affect my health!

I know I have got myself into this mess and just want a way out! Any advice would be gratefully recieved.

My SOA is as follows......just hope it is ok as not sure what I am doing at the moment:

Number in household 2
Pets 1
Car 1

Salary 1,293
Non - dependent contributions 180
Total income 1,473

Outgoings:

Mortgage 238
Council Tax 78
Water Rates 34
Gas 44
Electric 44
Car Insurance 66
Sky 18
TV Licence 13
Phone/Internet 47
Water 34
Pet Insurance 15
Petrol/Travel 120
Groceries/etc 200

Total 951

Debts:

Natwest overdraft 1000
A&L overdraft 800
A&L Credit Card 3,577
Barcley Card 2,770
Blackhorse Loan 3,500
Credit Union 681

CLAPTON

can you post up a full SOA and include the full debt details..amount, APR and minimum payment
http://www.makesenseofcards.com/soacalc.html

DVardysShadow

I am surprised you are in a pickle, because it looks like your surplus is enough to clear the debts in 2 years. Is your SoA correct??? Perhaps you should keep a spending diary?

misspiggybank

Hi again,

I agree when I actually posted my SOA it didn't look half as bad as I thought! That was my first go at it and maybe, hopefully things might be better than i first envisaged! I am going to revisit it once I have moved my priority outgoings to my new bank account where I will no longer be charged for going over my overdraft. I am hoping I will have a clearer picture then! If things are not as bad as I thought would I no longer need a DMP? or would it wise to go down this route anyway??? I'm hopeless at this sort of thing! A spending diary seems like a splendid idea! Thanks for the advice.

3Dogs

Yes, a spending diary is a great way to find out where your mystery money is going - but you need to write EVEYTHING down you and your partner spend- it is amazing how much we spend on the odd coffee, food at work, papers, magazines, etc

Good luck with your debts