Struggling to decide

Kazonline

Hi Whatatwit, thanks for the encouragement. It's come at just the right moment as I was starting to feel like a waste of space/posts.
I've not got a Lidl near me, the nearest best thing is Aldi, but even that is a half hour drive. I'm pretty cheesed with my local Tesco too as unless the food is visibly rotting they only seem to take the odd 20p off things - and they're allways the things that were way over priced so not worth buying anyway!
ahhhh, Stardrops - I've a bottle in the kitchen and in the bathroom. People I meet in the cleaning isles at tesco/asda think I'm insane as I can't help but introduce people (who are looking in a confused manor at the detergents) to the wonders of Stardrops - and of course the microfiber cloths and vinegar (I'll never use anything but vinegar and bicarb on my oven again!)
As you can probably tell I've earned most of my stars on O/S but dare I admit that I've still not started keeping a spending diary????
Yikes, I think that's what I need to do - more than anything....... What's the best way to go about it whatatwit? Do you keep one, and if so what do you use - do you carry it everywhere? I feel nauseous at the thought of it - but I'm guessing that it's a sign that it's going to tell me a few home truths.....:o :rotfl:
Kaz x
PS keep meaning to set up a price book too - even drooled at notebooks in WHSmith the other day trying to decide how best to 'manage' it.... but kept my purse in my pocket

whatatwit

I got a 19p Tesco notebook.
I don't always carry it, but I do try and write down what I have spent.
I've also started cutting down how much I have in my purse. If I only have £3 then I can't spend anymore.

There is usually a 'how much have you spent today' thread on here. It's for non-budgeted stuff, I find that's a great reminder for me as to what I have bought, when I see what others post.

If you put everything in the diary, you will get a much better idea of how much you are actually spending on stuff each week.

PS, Wilkinsons are cheaper than Smiths.

Kazonline

Just another quick udpate.
I've spoken to someone at the CSA who was very helpfull.
I was under the impression that once the maintenance started to come in it would be automatically pay the monthly ammount to the state first, and then I'd get a small amount towards the arrears. The gentleman I spoke to today said they can arrange for it to come off the arrears first so that I get to keep the payments. If this is the case then I might get the chance to seriously hammer down these debts of mine - and keep my credit rating intact.
I think, given this, that my best bet is to carry on as I have been (robbing peter to pay paul) just for another few months and in the meantime work hard on driving down my living expenses. What do you think?
(by robbing peter to pay paul I mean only putting enough of living expenses etc onto the card as is necessary to ensure that minimum payments are able to be met from overdraft)
Kaz x
PS - I'm sick of these 'debtbuster loan' adverts - they're driving me crazy!!!!

Kazonline

Well, for now at least, I think I've decided not to go down the DMP route. The way I see it the only thing I am guaranteed to achieve from that is a bad credit rating and possibly charges on my property. As there is no guarantee that they'll reduce/freeze the interest I could actually end up paying more in interest than if I throw all my money at the cards every month, as it comes in, and continue to use the cards to pay for my living expenses.
If I go onto the DMP it'll take me 40 years to pay off the debt at the scheduled rate - and that's providing no more interest is charged! Lets face it - that's not very likely!
While this isn't an ideal solution either, at least this way should my circumstances improve I might be able to get a 0% card again in the future to help bring my costs down. Or am I missing something?

Just to sumarise, my plan is to cancel my DD's with the credit cards and instead make payments through the month as soon as any money comes in. I'll pay everything I receive, less £10 a week for petty cash and what is needed for other dd's (eg gas, ele etc). As this will leave me with no money for groceries etc I'll have to use my cards, but I'll keep these to what was budgeted on my DMP. That way I am still paying back at the rate I would have on the DMP, but the extra cash that I would normally 'save' for clothes/insureance/emergency etc is reducing the balance on my card until needed (as opposed to sitting in an account) and so should be lowering the interest payable.

The other advantage of this is because I will be regularly using the card the companies are more likely to reduce my interest rate if I call and ask for a lower rate (two of the companies told me this yesterday). At the moment because the only transactions have been minimum monthly payments (for the most part) they aren't making anything other than interest on my cards, however if I 'use' the cards they make money on the transactions IYKWIM.

I'd really appreciate some feedback on this because I'm well aware that I've been thinking about it so much that I may not be thinking clearly at the moment and there could be serious flaws in my plan.....

Also, I've decided to try to find a job within that I'm allowed to earn as that should further hammer down the debt.

Kaz x

Kazonline

Erm - changed my mind again.....
I called CCCS again to explain what I was thinking of doing. She told me that although they can't guarantee that the interest will stop, it is highly likely. Also she said that while my credit will be shot as far as loans and credit cards are concerned, that might not be the case when I come to remortgage as I've kept up with this and the company have the house as security.... (with lots of equity)
I then went onto the 'snowballing' form and entered the lonely £30 I can afford to spare to clear my debts per month and it worked out that I would clear my debts in something rediculous like 908 months, and would repay OVER 1million pounds!!! - yep, on what is currently UNDER 15k of debt!
Totally unbelievable - and enough to put someone off debt for life!!!
It's a really bitter pill to swallow, but in all honesty I don't think my mental health is up to the constant juggling to make my other option work - and even if I carry it out perfectly it'll mean adding 1.5k to my debt every year - plus the accumalative interest... I daren't even think what that is.
So, the plan of action now?
Request the pack from CCCS and onto a DMP in the new year.
Thanks to everyone for their support and patience (lol, if anyone reads this lot they deserve a medal!)
Kaz x

Icemaiden

Well done Kaz, :T I personally think you've made the right decision. Sit back and enjoy christmas now with the knowledge that 2007 will be a new and better chapter in your life. Good luck.

Kazonline

Thanks Icemaiden. I wish it could be a 'lightbulb' moment... I just feel numb and confused at the moment.
Perhaps I'll start to feel more positive when it gets underway.
Kaz x

whatatwit

Sounds like a good decision Kaz, at least you will have the backing and support of CCCS
Juggling is great, whilst you keep all the balls in the air. You would only need a slight hiccup and it might all come tumbling down.
Keep us posted on how it goes and good luck hun. :smileyhea

How's that spending diary going?

Kazonline

OMG - I told you that name should've been mine Whatatwit. I've just started filling in the details for the CCCS to send out the info to me when somehow it froze on the wrong house no (but right street) Everything happened so fast I'm not sure what has happened - but I know that it won't let me back on the page with the address, and I can't contact them until tomorrow!!!
I so hope that my info doesn't get posted to someone else !!!!
Spending diary? What's that? :think: :whistle: Actually I bought my value one in TEsco yesterday - 18p
But forgot to write in it....:rolleyes:
I have however started on the 'what have you spent today' board.... but not too sure of the 'rules'. Any pointers?

whatatwit

People use different guides to the what have you spent board.
It's usually for non budgetted stuff, like your chips. :rotfl:
It's like a confessional.

At least the notebook will last longer...better value.