Debt Free Neewbie

eldoxy24

Hi having been looking on the site for somtime now and have decided to post and see if anyone can help and maybe tell me what I can try to do to improve my debt.

Here is my story over 4 years ago I joined a debt managment programme worse thing i ever did have caome out of it worse than when I started to be honest so for the last year I have sorted things myself.

Here is a list of my debt balances plus my payments

RBS Loan £3782.65 paying £65 per month
Littlewoods £748.82 paying £40 per month
Cahoots £363.55 paying £15 per month
RBS CC £180.19 paying £15 month

All of the above I have an agreement that they are interest free so that is a bonus plus I have never misses a payment in the last year. I have in the past defaulted on some things I have cleared off some of my other debt and setteled these early pleased with that.

I am happy to pay what I am the now but after 6 months I do enter into a new agreement with the above people so that's good but what I would love to do is get a loan and pay them all off and have one payment to make for the loan I DO NOT want to go to a debt managment programme but with my credit history I am finding this difficult to do so anyone has any suggestions please tell me I live with my parents and work full time.

Anything else you need to know plese tell me cause I am really looing to get out of my debt.

Ok sorry for going on for so long but decided to start now!!!!!!

dudleyboy

Hi eldoxy24.

Happy new year and welcome to MSE. It would help others to help you if you take a look at the following thread and compile your SOA (Statement Of Affairs) so that your income and outgoings can be taken into consideration and suitable advice offered:

http://forums.moneysavingexpert.com/showthread.html?t=107280

Well done on posting here and taking the first step. :beer:

DB

taxi73

HI and wecome...I agree with the above

Rob_K

Hopefully you will post a full SOA soon, but first of all let me say- if all of those are interest free, you'd be mad to get a loan on which you'd be paying interest! You are fortunate in that you live with parents and therefore probably don't have to pay masses in the way of living expenses.. with a bit of careful living, I'm sure you'll have those debts cleared in no time at all

But just to reiterate:

0% interest = :dance:

consolidating into a loan = :think:

eldoxy24

Many thanks for your kind welcome

Ok hope this is right for my SOA

My Salary - £830

Monthly Outgoings:

£100 Dig Money
£20 Internet
£20 Petrol to mum for taking me to work
£50 Catalouge money to my dad
£25 Mobile phone bill
£25 to a savings scheme for Xmas 07

I also have a loan with Welcome Finance but this is due to finish in June 07 I pay £72 a month. And 1 other loan but that will finish next month and I pay £88 a month to that.

Hope I have done this right anything else just let me know.

Rob_K

£25 mobile bill - can you switch to pay as you go?
£25 christmas savings - do you really need to spend £300 on christmas? You could hunt for bargains over the course of the year and cut it down to £100
catalogue money - what's this?

I suspect your SOA doesn't include all your expenditures- unless you never go out, on holiday or pay anything for lunches etc.. Try martin's budget planner to figure out exactly how much you can afford to pump into your debts each month! http://www.moneysavingexpert.com/budgetcalculator.phtml

If you lost the Xmas savings, I suspect you'd probably find yourself with about £400-500 to put into those debts. Try putting the figures into the Snowball Calculator to find out how long it will take you to get debt free! :j

Storm

Hi Eldoxy & welcome :hello:

By my calculations from your SoA and what you are currently repaying you should have £295 left each month. Obviously you're not, so I would recommend keeping a spending diary to see where the money is really going. You do need to budget a small amount each month for things like clothes, haircuts and socialising, but you should be able to free up quite a bit I think.

You're currently paying £295 a month towards your debts, although 1 loan is due to finish next month, so that will free up £88. With the other loan to Welcome Finance - can you make overpayments on this? I'm guessing that this is your only debt that's attracting interest at the moment, so would be the first to throw extra money at.