Need help and motivation

Kepp

Hi,

Hoping for some advice and a bit of motivation please!

I finally sat down and added up all my debts in April of this year which came to a quite frightening £24,980. (Including payments left to furniture and my mum)
I only have 4 payments left to make on the sofa at £45 a month and my mum has been so nice and agreed to me paying her back at £50 a month on the £1450 I owe her so that I can concentrate on paying back the high interest debts.
That still leaves a massive £23,350 which is accruing £100s a month in interest.
My problem is that I can’t move any balances to better deals as my credit rating is shot. I phoned one credit card and they told me it will be for a while as I didn’t earn any money for 7 months until April this year. I spent from September last year volunteering in Africa which is why I didn’t get paid (not sensible I know when I have such massive debts!)
My boyfriend is great and at the moment is paying all our rent and bills so that I can maximise my debt payments but this isn’t something that can really last for more than say 6 months from now. Which I know is fair enough, I already feel very guilty living for free and do all cleaning and cooking but I still very bad when he can’t afford to go out or something and I know that if I paid my share that he could. He doesn’t complain, but I feel bad all the same.
I’ve just tried the CCCS debt remedy thing but apparently I don’t qualify as I can manage to make the minimum repayments each month. I was more hoping to get onto a DMP with hopes of getting interest frozen otherwise what I chip off my debts each month is such a small amount.
I already work as many hours as possible – I don’t just have a second job I have a third job as well! The problem is that working so many hours and throwing all the money at the debt is making me so tired from working so much and so miserable from never doing anything fun with the money.

I know that the situation is my fault and just reading back over what I’ve written sounds so whiny as I have people who are very good to me and am lucky enough to be able to work so much when some people are struggling to get one job, so my situation shouldn’t get me as down as it does.

But if people don’t mind that I’d love to get some advice on anything more I can do and also just a good kick up the backside that this is worth struggling on with to get it paid back as soon as possible or should I just accept being in debt for however many years it will be?

Thank you

David_Brent

Have you tried doing a Statement of Affairs? there are links on the top of this forum. If you post in this thread your SOA people may give you some help?

Fang_3

Go here - http://www.makesenseofcards.com/soacalc.html.

Do that, and then people will be able to give you proper advice.

Hannah_10

Ok well if you could do us a SOA (statement of affairs) then people will pick it over and tell you where they think you can make savings on your current outgoings or on your debt.

It's here. http://www.makesenseofcards.com/soacalc.html

Regards motivation, we're possibly not going to do that how you think we are... If you're expecting us to say "there there Beccie you can do it, keep smiling" then nah. What we'll do is have a look at the situation you're in and a good hard think and see what we can come up with to improve it for you, so then motivating you not to deal with the situation you have but to deal with an amended one instead.

So that's why the SOA, show us what you got, we'll see what we come up with. The more brutally honest you can be the better.

And no one's gonna tell you you've been a fool- we're all in debt. It happens. Guilt and self-flagilation just leads to wasted time and a bloody sore back! Try hunting for a better solution instead- that's where Debt-Free-Wannabe proves it's worth as a board.

Chin up, seeya when the SOA's up.

bargainbetty

Echoing everyone - put up your SOA. People can advise from there!

If your really want a DMP and are willing to put up with the wrecked credit ratings, then you could always try doing a DMP based upon paying your way with the household. If you have three jobs and still don't pay your way, how can you possible be meeting your minimum payments? Sit down with your man, and work out what a reasonable sum would be. Then redo your budget with that in.

Good luck - you really can get there in the end!

Kepp

Thanks everyone, will get on with that and post as soon as possible

Kepp

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household......... 0
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 1500
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1500
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 45
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 0
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 35
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 150
Clothing................................ 0
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 10
Haircuts................................ 0
Entertainment........................... 50
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 290

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 0

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 0........(0)........0
Hire Purchase (HP) debt ...... 180......(45).......0
Total secured & HP debts...... 180.......-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
Lloyds credit card.............2792......84........24.9
Lloyds loan....................7221......140.......14.9
Egg............................3700......111.......14.9
Mum............................1450......50........0
MBNA...........................7038......212.......29.9
Overdraft 2....................500.......25........10
Overdraft 1....................1000......50........10
Goldfish.......................335.......11........12.9
Total unsecured debts..........24036.....683.......-

Monthly Budget Summary
Total monthly income.................... 1,500
Expenses (including HP & secured debts). 290
Available for debt repayments........... 1,210
Monthly UNsecured debt repayments....... 683
Amount left after debt repayments....... 527
Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -180
Total Unsecured debt.................... -24,036
Net Assets.............................. -24,216
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.

David_Brent

No rent or Mortgage? Elec/Council Tax/Water/Gas? TV Licence? Petrol? Car Insurance? Tax? Internet Service? I think you may have missed a few things out?

From what you have listed so far maybe cutting your groceries bill from 150 to 130ish?

Mobile bill £35 - maybe look at a cheaper contract and phone?

Car value? Could you survive without the car? Sell it pay off some debt then rethink another car a bit further down the line?

Kepp

At the moment my boyfriend is paying those bills so that I can pay more towards my debt, although that can only last six months more max.
The groceries bill is for both of us (my small contribution to the household) but agree I could def look at cutting that down.
I don't have a car as it costs too much money, I walk to work etc and for longer trips my boyfriend drives.
My contract on my mobile is up for renewal soon so will definitely look at cutting the costs on that one.
Thanks everyone

Kepp

[QUOTE=If_your_really_want_a_DMP_and_are_willing_to_put_up_with_the_wrecked_credit_ratings,_[/QUOTE]

It's quite hard to decide whether this is a good idea due to the wrecked credit ratings, is it better to try to avoid a DMP when I have such crippling APRs on my debt?

I don't know!

David_Brent

Amount left after debt repayments....... 527 - What do you spend this on? Do you save any? Could you save £131 each month from this - leaving you with £99 per week to yourself for the month? (If you saved this for two months you could clear you goldfish card debt). Then actively progress with the higher APR loans (MBNA & Lloyds).