Take a look please guys

tryingmybest_3

Ok here goes guys Im going to tell you all my worries and fears about debt and how I've managed it and if anyone can help I'd be very grateful!

I am a 20 year old guy currently in full time employment earning around 240-250 pounds per week due to a bonus scheme in our work place...

My outgoings are

193.45- car repayments on an hp loan of 6000 pounds over 3 years
80.89- car insurance which I can assure you is the cheapest i can get
39.99- mobile phone bill which has just been updated so i cannot change it
30.00- credit card with barclays with 300 pounds owed at 29.9%apr
120.00- petrol which is too expensive considering i live a 20minute walk from work
88.00- on a loan for 1000 pounds over a year, which was too clear my overdraft and my other credit card at the time
120.00- living costs and rent costs with parents
8.00- my account cost

right I have no savings my account currently sits at 530.00 overdrawn my overdraft is only suppose to be 230 pounds and I reckon I've been going over my overdraft for the last 4-6 months charging my 13.00 every week. I know this is my fault and I'm basically at the end of the line now guys I don't know what to do, My account is this badly overdrawn because I have been off work due to an accident at work for the past 3 weeks. I don't really know where to start! Can someone help me please.

savvykaz

Was the accident due to negligence on your employer's part? - if so, can you claim compensation for the accident and loss of earnings?

Anthillmob

how come your petrol is so high if you live within walking distance? can you walk to work at all? (sorry dont know if you have any type of disability that means you cant)

maybe ask your parents if you can pay less housekeeping.

and speak to your creditors. i owe a small piddly amount of £287 on my c/card (i have a £200 limit) and due to going from full time to maternit pay to no pay to part time employment ive got a bit in a muddle. ive spoken to my c/card co and also the creditors i owe and they are happy with the payment plan i offered.

joeblack066

Hi there, someone will come along with more technical advice I'm sure, but it looks to me that you have manageable debt, it's just that you are O/d due to being off sick, is that right? You need to talk to all your creditors and explain the situation, esp the bank, and tell them when you are due to be back at work. Do you have any insurances to claim off btw?
Could you take a second part time job when you are well, even if its temporary to give yourself a cash boost? There are plenty of p/t pub jobs at the moment and it would have the added bonus of getting you out over the Christmas period without it costing you anything!
Good luck Debs.

tryingmybest_3

Yes It was there fault and I am in the proceedings of claiming but it could take a while... My petrol is very high yes but I don't drink smoke or do anything else my and my mates go up town on a fri and sat nites in cars and spin about so I though 30 pounds a week was cheap but I gotta try cut it down I know...

Anthillmob

cut out the boy racing.

serriously. youre 20 years okld now so cut it out.

;-)

CLAPTON

first thing is you need to understand where your money actually goes.
as a single perons living at home you should be able to save every month rather than have any debts at all

so start a spending diary ...write everything down you spend...currently your budget has nothing for going out, clothes, holidays, work lunches, takeaways, etc etc

also there is nothing for car tax, servicing, mot, repairs (with these divide by 12 and add them to your budget). for these yearly costs you need to SAVE each month so you have the money when you need it rather than borrow it.

if you work out the true cost of your car ...petrol, loan, insurance, tax, mot, repairs, RAC/AA you really need to ask yourself why you need it...consider getting rid of it and save the money instead.

tryingmybest_3

Ok I don't go out maybe twice a year, my going out is 120.00 a month on petrol meeting up with friends etc, I don't have rac, tax is 120.00 a year and service is 80.00 a year as for lunches takeaways I included that into my living costs and living with parents at 120.00 a month which is my rent at 80 a month and 40 a month on takeaways and lunches.

CLAPTON

your income is about 1040 monthly

you say your spending is 398 per month excluding debt repayment
your debt repayment is 311 per month

so you should have a massive 330 each month spare.
as i said start keeping a spending diary and think about all those yearly and one off cost and revise your monthly budget.

Annie_Fanny

tryingmybest wrote:

193.45- car repayments on an hp loan of 6000 pounds over 3 years
80.89- car insurance which I can assure you is the cheapest i can get
39.99- mobile phone bill which has just been updated so i cannot change it (Why not? Have you heard of haggling?! How long have you been a customer?)
30.00- credit card with barclays with 300 pounds owed at 29.9%apr
120.00- petrol which is too expensive considering i live a 20minute walk from work (That is crazy money. Can you walk/cycle to work?)
88.00- on a loan for 1000 pounds over a year, which was too clear my overdraft and my other credit card at the time
120.00- living costs and rent costs with parents
8.00- my account cost (What are you paying this for?)

Ask your parents for 'The Money Diet' for Christmas...

You are in a good position though as you are thinking about finances now at a young age - well done!

Phoenix79_2

If he has just upgraded/taken out a new phone contract then there is no way of reducing it.

As for saving money....firstly...walk to work (when you get better!) and cut out the donuts/boy racing. This should cut your petrol bill a lot and also save you money on wear and tear on tyres, brakes etc.