Am I ok with money?

lynzpower

Its not a good idea to take a payment holiday if you can avoid it. the banks charge you the interest on it in any case, and doesnt make your debt free date come quicker.

Have you started selling stuff, that can help bring money in to get those credit cards down too

Lara44

Hey Shooter

I owe around a similar amount to you, and a similar age (24) and here are the things I did to start paying off my debts:

1. Use Martin's spreadsheets here to do a fully comprehensive budget. Loads of things I had missed out in my SOA such as birthdays, xmas, eye tests, bike servicing etc.

I have £30 per week for socialising and day to day expenses (stamps newspaper etc). I pay this to myself each week along with my shopping budget in cash. The change goes in a jar. The debit card doesn't come with me to work, just the cash that I have left.

2. Start a spending diary - not only does this make you think twice about purchases it also shows where you could be saving more. I was spending lots on food on the go so now I stash a box in work full of drinks, nuts etc - a can of lemonade is 95p in the nearest cafe to where I work

3. Selling things - I sold loads of things that I didn't want anymore on ebay and amazon. I kept all the things I really liked but have been making a little extra a month on the side, as well as getting cashback from purchases and offers through pigsback and quidco. These have enabled me to pay for things like people's pressies with points etc. I've even had enough to go on holiday for a few days with oh to see my nephew. I need a few rewards here and there and making money on the side really helps this as I can only spend the extra I make it is a good incentive.

I also do matched betting - see the gambling introductory offer loopholes thread, but I haven't been very good at it yet!

Hope some of that helps! At the end of next month I will have cleared my overdraft and hopefully in a few months will be semi df and start saving to pay off my student loan. If I can do this you can too - I am studying again and only take home around £600....

Lara x

startedsaving

Hi Shooter, when I read your post I really sympathised with you - I too have been in a similar position, ie maxed out on credit cards, took out loan to consolidate, then started again with cards...talk about a slippery slope, but its so easy to do. I finally got a grip when I realised how much I was spending in interest charges. Bottom line is - you have to amend your lifestyle drastically until all the debts are paid, and keep your lesson learnt - don't go there again. I agree with the other posts re get a 0% credit card as soon as you can and transfer the balance. You can keep doing this, plenty of info re card-tarting on the relevant board on this site. This means all your payments are going to reducing your debt. If you have to wait to get a new card, meanwhile put most of your money to reducing the current debt with the highest interest. Also agree re packed lunches - make your own sarnies, soup, salad, whatever - should cost no more than £1 per day. Sell stuff on ebay if you have internet access at home, you can sell clothes, CDs, computer games, books - go to car boot sales and buy stuff to sell on. Spend time looking on ebay first to see what sells - I sell paperbacks and magazines, even if only make £50 per month, it all helps. I advise get a good book on how to sell on ebay - check Amazon and get the best rated book for beginners, will tell you all you need to know and will be a great help. Also re a second job - Christmas is coming, most stores will be offering part time temporary jobs, get one in a supermarket and you can work evenings/weekends. You may be eligible for staff discount so can buy your food & presents cheaper. Finally - there is loads of good info on this site re how to save money, make it a game, its you versus them - and you CAN win. Facing up to it and determining to change is the hardest step, after that its all achievable - I really do wish you all the very best.