I have not read any worse than this!

downhillfast

Hi there

just wanted to say Good Luck with getting debt-free.

Having read the whole of this thread I have to agree with some points already made...

- the 4x4 HAS to go... you can source another 7 seater much cheaper than what the current vehicle must be worth if you say your car isn't worth selling. When we were having money problems we sold ANYTHING that wasn't essential and downgraded where appropriate. In the short-term your wife may not like it but long-term it's the only sensible solution - if you were to imagine how much interest you would be saving on your debts with what this asset could payoff it makes it an even more expensive car! If her grandma is anything like most peoples' she would be proud to see you living within your means for a while rather than driving round in the millstone around your neck that she financed!

- Your estimate for £150 on entertainment is gonna be way off I'd imagine... especially if your wife is "running around" in the car... parking... lunches.. stuff for the kids... coffees with friends... shopping... these things mount up really quickly when you're not working - it's so much more expensive being out of work and having a life than just vegging on the sofa! :rotfl:

- £250 on food/groceries - good on you if this is correct... esp as I know what a house with just 2 adults spends on a grocery shop now that the purse strings aren't as tight as they used to be - need to rein ours back in to be honest as we easily do £300 a month on groceries.

Utilities - all of this has been addressed and you should definitely claw back some of your hard earned here...

You haven't put anyhthing in your SOA for pressies etc... again I think the SOA may be out here aswell...

You definitely need to do a diary for a month and get a proper idea about what your living expenses are...

winner12

Hi read through your thread and just wanted to say your 4x4 is actually a valuable asset shortage of good used cars sold mine way back in January go to reputable dealer who buys cars for cash not them with the anoying advert and you might be taken by surprise
Good Luck

anh1904

Is your wife fully on board with sorting out the debts, or is there a sense of denial?

You BOTH need to be in it together if you are going to get through it, speaking as a divorcee, I assure you it will take a titanic TEAM effort, which can expose ven the slightest cracks in a relationship.

Make sure you talk and set out expectations both of yourselves and each other.

pjcox2005

I know in general people have said £250 for groceries isn't too bad but how about targeting this for a while.

If you try and cope with what's in the house already, or a low spend it may change mindsets quicker to spending and digging you out of the poor situation.

The following thread may give inspiration: https://forums.moneysavingexpert.com/discussion/2116179

Also, have you done a declutter of the house, selling unused/unwanted stuff on ebay. May help raise (some of) the tax payment required.

Ambersuccubus

Your wife's new job should make a huge difference if she is psychologically able to assign ALL the money left over after work related expenses (travel, and specific clothes, etc) to the debts. It is, in a sense, unaccounted for money that you won't miss day to day, and used in conjunction with snowballing should get things moving nicely. The only thing is, even if you are used to pooling finances, it may feel bad to her that all of "her" money goes to the debts...one to discuss maybe?

Mode1803

Ok so I now have a plan.

Have made a few switches (Gas and Electric to E-on and BT calls and broadband to Sky) and saved myself about £120 per month.

My Gas/Electric was way high with Scottish Power cos they basically cancelled the plan I was on about a year ago and instead of putting me on an equally good plan they stuck me on their standard rate. How out of order is that!

Anyway, I have also managed to discuss an advance on my bonus package which will allow me to pay off about £5k from my Credit card bill which will save me a lot in interest. The money I save I am going to snowball onto the card with the highest rate etc.

More news on the Default I am in dispute on - the Ombudsman are getting involved and this I have a good chance. I don't suppose that will make a huge difference unless I can then start playing the zero interest game on credit cards which is obviously a massive saving!

I have sold some stuff on Ebay and raised about £600 (so far) but had to tax and MOT my car but with the rest I am paying off the Capital One card and closing that account.

I am moving in the right direction but the Taxman cometh in January and will hit me for six. At least I have done something before then to reduce the hit though.

Cheers guys and will keep you posted.

mode

Gemmzie

Hi Mode, well done on the savings but...when is your bonus due? Do not use it for credit cards - save it for the tax man. They are the biggest worry for you, they can make you bankrupt and take your house - they will add a £1000 fine for you paying one day late. Please please consider using the bonus to pay them!

Mode1803

Thanks for the tip Gemmzie!

My intention will be to put in the tax return and call them before I do anything. I have had a conversation with them already and they have said that I can spread the payments across a few years subject to a review of my outgoings.

I may have to pay them a lump up front then spread the rest but so long as I am honest and open with them I am hopeful.

Will keep you posted.

Mode