Newbie accepting this needs to be sorted...

lufc_4eva

Newbie accepting this needs to be sorted...

I have credit cards of nearly 5k, an overdraft of £1.6k (which im constantly in) rent arrears of £2800, we are 50% shared ownership. My credit has got bad so a personal loan is not an option. But with 3 CC the interest each month is sickening, so I NEED to clear as much as I can. Realistically Im sure CC and overdraft can be cleared within 2-3 years but I need to be strict.
Im constantly behind on payments with nursery and mortgage and rent (hence the arrears) and council tax so I really need to get some order and feel on top of everything.

I need a structured plan , where shall i go from here?
Thanks in advance

dancingfairy

Hi :hello:
I saw you over on another thread just now
Probably the best place to start is if you fill in an SOA - I will post the link for you in a moment - you will then see a) how much you have 'spare' after your main bills like council tax, rent etc have been paid to put towards debt repayments and b) if there is any area that you are overspending on or if there is a black hole of money that is disappeaing each month and you don't quite no where (this is very common).
Depending on the results of your SOA you may need to prioritise repayments to rent and council tax and perhaps send token payments to the credit cards as rent and council tax are far more important than credit cards to pay - but you'll have to see what the result is first.
Don't forget as well as all the help and advice on here you can always phone National Debtline (or see their website), CCCS(Consumer Credit Counselling Service - or again see their website) or your local CAB for further help and advice.
df
Edit: Link to SOA calculator here:http://www.makesenseofcards.com/soacalc.html

123budget

lufc_4eva wrote: »

Newbie accepting this needs to be sorted...

I have credit cards of nearly 5k, an overdraft of £1.6k (which im constantly in) rent arrears of £2800, we are 50% shared ownership. My credit has got bad so a personal loan is not an option. But with 3 CC the interest each month is sickening, so I NEED to clear as much as I can. Realistically Im sure CC and overdraft can be cleared within 2-3 years but I need to be strict.
Im constantly behind on payments with nursery and mortgage and rent (hence the arrears) and council tax so I really need to get some order and feel on top of everything.

I need a structured plan , where shall i go from here?
Thanks in advance

Hi,
I am also fairly new to the forums and I think you have made the first step in realising you need help. I am luckier than many on here with a credit card debt of £6000 and overdraft of £1000 .
There is a thread where you can fill in all of you income and expenditure realistically (am sure someone will tell you where it is) and see where you can first make any cutbacks. Search all of the threads for advice on credit cards etc. There are so many forums and threads that someone will pick up your messages and point you in the right direction. Also lots of threads on thrift ideas.
I have just made up my own edexcel spreadsheet so I can record everything each month, from income, direct debits and other costs. It was quite shocking when I listed everything I had spent and realised that I have already spent £250 on things that I could have done without this month. Once you start recording things it really makes you look at everything critically.
Haven't prob been much help but wish you lots of luck, stay on MSE and realise that it will be a long journey but you WILL get there.:)

dancingfairy

it's scary when you start writing things down and realise how much this, that and the other bits and bobs have cost you without realising isn't it - things like magazines, chocolates, when you go to the shop for bread and milk and buy loads, hair bands/make-up, things for the kids, coke, cigarettes, etc etc.
df

123budget

dancingfairy wrote: »

it's scary when you start writing things down and realise how much this, that and the other bits and bobs have cost you without realising isn't it - things like magazines, chocolates, when you go to the shop for bread and milk and buy loads, hair bands/make-up, things for the kids, coke, cigarettes, etc etc.
df

It sure is! I have been off work sick for a couple of weeks and on days where I did have some energy got in car to local shop ended up buying a couple of magazines, extra treat snacks for kids etc- should have just got a book off the bookshelf to read!

tbourner

Have a look at the Big Guide thread if you haven't already:
https://forums.moneysavingexpert.com/discussion/2976812
The steps should take a while to go through, I think I'm somewhere between 6 and 8 now but it took me a year to get there!!!

Very handy, if I do say so myself!

lufc_4eva

thanks guys for your responses I will look through everything on my day off on tuesday