I'm sinking now....can't manage the debt now...

debtCollector_3

bonnie wrote:

you need to do a proper budget, i.e water, car tax ,petrol, food, presents.
If your in it for the haul you can't rely on your parents bailing you out the cre
ditors if you go to cab or somewhere will eventually except your payments.The budget has to be doable, there's no point going with out for 7years because you will get fed up and fall of the wagon.
then subtract your total outgoings from your incomings and the debts share what is left i.e highest debt gets most money.

I know I was saying to my mum the other the other day that I was feeling be taking money, she told me not to worry about it as long as I was keeping on top of things...... if only she knew the whole truth.... she'd flip!!

I'm thinking if I was to do a complete budget then I'd have nothing left for creditors..... and then what would happen?

I so have to get a new job with a better salary!!

loneranger

It is better to start off with an affordable sum then throw more money at it if you have it than to start off struggling.By having the assistancee of someone like payplan or ccs you will also get the respect of most of your creditors,they are more likely to accept their proposals because they know that they calculate fairly.

debtCollector_3

loneranger wrote:

It is better to start off with an affordable sum then throw more money at it if you have it than to start off struggling.By having the assistancee of someone like payplan or ccs you will also get the respect of most of your creditors,they are more likely to accept their proposals because they know that they calculate fairly.

I know you're right, the thing that worries me is that I won't have any surplus income after I pay my bills, food, etc. then what will happen...?

Just looked on Payplan's website and read this:

A Debt Management plan is a debt solution for anyone who has unsecured debts that they can't afford to repay. A DMP requires you to have a surplus income each month (money left over after you have paid all of your living costs and household bills from your income) and owe money to more than one creditor.

And what's an IVA? Will have another read on the internet.......

Thanks again

debtCollector_3

Tustastic wrote:

You're quite right debtCollector, concentrate on starting to tackle your debt and taking care of your family. All the very best to you.:)

Thanks...

You know if I was to sell house then I'd be completely debt free, and I've thought about it but as said I just don't know how my kids would react...

I'd then have plently to live on if I sold.....

I'm so glad I posted this evening, I have popped on this site a few times and never posted but after spending a good few hours today, writing letter and working on budget, I felt rather depressed and thought I'm never getting out of this mess, its good to know that I'm not alone......

loneranger

Payplan have calculated that I have £12 per month to pay off nearly £12,000 debt to 10 creditors, some I will be writing to to offer less than £1 per month, I'm a bit scared of their reaction but I am sending a letter to explain that I will be doing things ( e bay, mystery shopping, paid surveys etc.) to raise whatever I can to pay more (pro rata) to each of them. I have fallen down with debts before because my car (which is a necessity for my job) has broken down- but payplan have shown me that I must budget for such things, if you haven't budgeted for everything the DMP will collapse. your creditors would rather get a smaller regular sum than an unmanageable offer.

Prudent

If you got a part time job would it effect your tax credits from your main job?

debtCollector_3

Oh....... I was nervous about what I was offering, ok, think I'll def contact Payplan......... seriously have to do something!!

what happens if creditor doesn't agree?

I keep telling myself that they are unsecure debts so what can they do? as long as you're paying something...... or am I being too niave?

debtCollector_3

Prudent wrote:

If you got a part time job would it effect your tax credits from your main job?

You're right, so a part time job wouldn't make much difference........ I do tutoring sometimes and PC maintenance, but that's cash in hand, only thing is I don't have the money to advertise......

livinginhope

Evening debtcollecter,just had a quick read through this thread,welcome to DFW and well done on facing things.
We really do need a more detailed SOA,one that includes food,water,clothes and car maintenance etc.Try not to add up your outgoings with the debts,your CCs and loans are not priority debts,your mortgage,secured loan and council tax are.Once we have worked out what you need to live on,we can then work out what you have to offer your creditors,even if that is only a £1 token payment.
Please try not to worry,you are in the right place.

moozie_2

Hello debtcollector and welcome

I think your best course of action is to contact payplan/CCCS/national debtline or CAB. Any of these agencies are free and are recognised by all the creditors.

I think livinginhope is absolutely right. You do need a proper SOA (see Martin's budget planner for what to include) that breaks down living expences from debts. You will find that useful in the long term as it's will be good to know how much your living is costing away from the debt repayments.

Please keep posting your progress - you are doing great to face it all!