My turn

Bubblewrap_2

Hello everyone, ive been looking through this site for a few days now and i like the support that everyone is giving. Its my turn now to face the fact that im in debt and want to get out of it. Im not going to try and justify why im in this much debt as i know the only fault is mine. I would just like to ask for any advice you can give me to help me get out of this huge hole that i have dug for myself. I was managing my debts ok(ish) up until recently when i moved away to a better job with a lot more money but found myself knocking up more debts as im now living on my own and wanted my new pad (which is rented) kitted out as nice as i can do and bought a new car to boot! You will see by my wage why i thought i could do this!

OK here goes im taking a big breath......

My incoming wage - £2623.91

Now my monthly out goings and how much i owe ...

£1200 - RENT (Standard for where i now live)
£200 - Bond and 1st month rent im paying back to my employers (will end in May 2007) currently owe £1600
£200.98 - MBNA loan 7.9% 3 years to go - £8000
£200 - Cahoot loan 12.2% variable loan as its variable dont know when it will end- £7798.35 left on it.
£44 per month - Electric (there is no gas in the property)
£58.20 - Student loan 3.2% £403.38 left 7 months to go (yipee)
£47.00 - Telephone and broadband
£100 - Egg credit card 16.9% Owe £4100 got £5000 limit
£75 - Natwest credit card 16.9% Owe £3350 got £4000 limit
£36 - Sky
£226 - Car finance £5.9% (I think) owe £7000 due to finish 3 years.
£56.38 - Black horse finance interest free owe £2000 due to end in 3 years
£6.02 - House insurance

Also have an overdraft of £2250 (last month i went over on this incurring £30 charge just to add to my misery)

Total out going per month - £2449.58
Leaving a grand total of £174.33 and you will notice i have not yet added in food and petrol!!!

Total owe - £36501.73

Okay there it is written down in black and white and it dosnt look pretty, now i have written it im close to tears and cant believe how much debt i have got my self into. As i said i can only blame myself but at least for the first time i am admitting there is a problem and asking anyone out there if you have any advice on what i should do?? Anything you can think of will help and thankyou all in advance!

Sorry i should of put this bit in first of all! I have just moved to the beautiful island of Jersey my work contract here is 5 years. . The rent is standard there are some that are a little cheaper but within my wages i get a subsidy so even if i went cheaper it wouldnt matter as they would then lower my rent subsidy causing the rent to be exactly the same! Im fixed into Sky until May 2007. In regards to phone and broadband there is only one company on the island at the moment which is Jersey telecom im a little bit upset as Cable is just arriving on the island and im stuck in contracts till 2007!
The only bright point is that i live near to where i work so i can walk to work. I need my car however as i do regular home visits to people and i also should of added i do get a mileage allowance.

judi24

i'll be the first to say hi and wellcome! Youv'e done the hardest part and faced up to the situation. I'm fairly new to all this but, there are loads of very knowledgable folk on here that will advise soon.

bargainbetty

Hello Bubblewrap, and welcome to the boards!

Don't cry - you've taken a huge first step in recognising the problem and seeking help. Loads of lovely people will be along to help soon!!

First thoughts:

Bubblewrap wrote:

im now living on my own Do you have a room you could rent out?How long before you could move somewhere cheaper - that is hugely pricey!!

£1200 - RENT (Standard for where i now live)
£200 - Bond and 1st month rent im paying back to my employers (will end in May 2007) currently owe £1600 Would they slow down the plan, or let you take a payment break?
£200.98 - MBNA loan 7.9% 3 years to go - £8000
£200 - Cahoot loan 12.2% variable loan as its variable dont know when it will end- £7798.35 left on it. Ask about fixing and reducing payments?
£44 per month - Electric (there is no gas in the property)
£58.20 - Student loan 3.2% £403.38 left 7 months to go (yipee) - could these be reduced?
£47.00 - Telephone and broadband - I get tel, broadband and cable for £30
£100 - Egg credit card 16.9% Owe £4100 got £5000 limit Call to ask for a lower interest rate, if not, credit card tart if you can
£75 - Natwest credit card 16.9% Owe £3350 got £4000 limit Same as above
£36 - Sky - see broadband note, or scrap it
£226 - Car finance £5.9% (I think) owe £7000 due to finish 3 years. Could you downgrade the car?
£56.38 - Black horse finance interest free owe £2000 due to end in 3 years
£6.02 - House insurance

I hope this helps to begin - good luck xx

LittleL_4

Hi and welcome :wave:

So your lightbulb moment has arrived too... You'll get tons of great advice here bubblewrap (love the name)

Your rent is astronomical!! Can't you share with someone and half it immediately?
You have a great income so why not transfer those high interest credit cards onto a 0%.
Do you really need sky?

I'm not really good with things like this but i'm sure someone will be along soon to help.

Glad you joined us....
Little L
x

GreyPilgrim

Hi Bubblewrap, and welcome.

Just to echo what the others have been saying...rent seems very high...you may have to sacrifice that chelsea penthouse I think...:o

pivotalgubbins

This is just a few thoughts from me, as I'm not the biggest expert here, but hopefully I'll provide some help!

£1200 - RENT (Standard for where i now live)

What is this for? A one bedroom flat? In any case, it is crazy to live like this in your situation. I'd look at moving into a house-share and cutting this down by at least half. When you are debt-free, then get your swanky pad!

£44 per month - Electric (there is no gas in the property)

Are you allowed to switch at all? If so, checked out any better deals? Do you try and limit your usage where possible (i.e. limit things left on stand-by, turn lights off, etc... every little helps)?

£58.20 - Student loan 3.2% £403.38 left 7 months to go (yipee)

I believe this has dropped to 2.4% now!

£47.00 - Telephone and broadband

This is far too much, search around to get a better deal. Personally, I'd go for an ultra-cheap 'capped' deal to leave you some access and also save some cash.

£36 - Sky

If you are out of contract, get rid. If still in contract, can you reduce the plan to make it cheaper? Once rid, get a freeview box, there is plenty of stuff to watch on that!

Also have an overdraft of £2250 (last month i went over on this incurring £30 charge just to add to my misery)

Check the forums for how to claim these back (and any other bank charges you've incurred). Takes a bit of work but I'm sure it is worth it. Then sort out your money so you don't do this again, as £30 a shot never helps.

Total out going per month - £2449.58
Leaving a grand total of £174.33 and you will notice i have not yet added in food and petrol!!!

You need to factor in petrol and food so we can help there too. Check out the Money Saving Old Style Board for tips on how to reduce your bill. Walk where possible to avoid the using the car (are you able to cycle?)...

Other things I can think of off the top of my head (these are for you to consider of course, I don't know your situation):
- Can you sell the car and get something cheaper or survive on public transport?
- You haven't included money spent on nights out, general bills, general junk, etc... you have half an SOA here really, you need to paint yourself the full picture.

Finally, WELL DONE for admitting you have a problem. You earn good money, and seem eager to sort it out (though willpower and a lot of reading here is still necessary). I'm sure you'll be OK if you take some of the advice offered above and elsewhere. Sorry if I seemed harsh at all as you read down, but you do need to change the way things are going.

Good luck... make sure you keep us informed of how you are doing! :beer:

youngandreckless

Hi and welcome,

Are you in london? In a house? If you're on your own could you downsize in anyway like a one bed flat? Slightly less desirable area? It seems terrible to pay all that money in rent.
If you have kitted the place out anything you can sell?
Downgrade the car?
Sorry I can't be more help but you're in the right place x

Bubblewrap_2

Wow i cant believe how quickly people get on here and try to help and i thank you I have now edited the bit about where i live just to make people understand my situation a little bit more. I should of thought really about how best to write out my situation!

postingalwaysposting

hiya bubblewrap all the others have given you some great advice there, dont cry, you have started to make steps to change your life you should feel proud of yourself. take a minute to take it all in and then tackle your debt in the best possible way... good luck

mintymoneysaver

£1200 for rent! It may well be standard for where you live but could you move to a cheaper area?

GreyPilgrim

Bubblewrap wrote:

Wow i cant believe how quickly people get on here and try to help and i thank you I have now edited the bit about where i live just to make people understand my situation a little bit more. I should of thought really about how best to write out my situation!

Can't see any additional info on where you live or why the rent is so high mate. Did you submit the changes?