Getting out of this mix

bwgames

So I got a credit card in June. Big mistake. Currently owe £830 on it; £480 on a Nationwide OD, and -700 on Natwest student OD.
The CC is 0% until 1st March 2007.

I'm at work at the moment over the summer for another two weeks, so I will have the NatWest OD clear by the 22nd September, in fact it will be +£200 or so ish.

About the 2nd Oct, I'll get student loan, £1100.

Monthly income aside from student loan:

£230 benefits
£130 allowance

Outgoings:
On the 1st Dec, I have the second rent payment, this will be approximately £300.
Then, my rent will be paid for the year.

My plan is to cut the credit card up... and put £120/month towards it as I think thats the most pressing thing to do.

I reckon if I put the £300 for the rent away from the student loan as soon as I get it, that will leave me £800 to last until the next payment (January, £1100). This leaves me £240/mo, and the £800 from SLC. Best option?

Can I do this? :eek:

cattie1

i think that you are very sensible-just don't be tempted to get more debt to pay off debt like i did!!!!!

Thefunkygibbons

Just watch what happens once you get into the college lifestyle

Best see if you can cut the card up and then leave on the money in your pocket on any given day

Make sure you get a notebook to record all your expenditure on a daily basis

bwgames

Yeah, I'm actually entering my second year at Uni, I got into -1100 on Natwest in my first year *sigh*.

SoA:

Regular income:
£1100, 1st Oct 06
£1100, ~ Mid jan 06
£1000? April 06.

Monthly Incomings:

Benefits: £230
Other money: £130
Total - £360

Monthly Outgoings:

Council Tax - £N/A
Gas - £20??
Electric - £20?? (not sure how much they'll be, student household...)
TV License - ~£3 (120/3 students)
Internet: £free
Phone - £20
Food - £100?
Car Insurance - paid till 31st may 07
Petrol - £50/month hopefully when I get to uni, mid sept, between now and uni, probably £120
Going out - £100?

Regular outgoings:

Rent payment - £300, rest is paid by HB, so I will have a 'surplus' HB at end of year (hopefully around £800) - this needs to be thought about though.

david_hellier

I can only suggest you do a budget and plan your spending. I would recommmend all students avoid current accounts and credit cards. Open an NSI savings account at the Post Office and get your loan paid in to it. You can get your money out using the chip and pin card.

Unfortunately banks have an irresponsible approach to students with the marketing intention of saddling them with debt for the rest of their lives. They are of no use to students at all.

Good luck!