Trying to get her Debt Free - Advice needed

KoalaBear_2

DON'T USE PAYDAY LOAN COMPANIES. THEY ARE A RIP OFF!!! They have outrageous APR's Interest Rates and are a nightmare to deal with if you can't pay back on time. Noteven to mention the charges they start applying. I learnt this the hard way?

What do you need a loan for?

JammyJim

One thing I know NOT to do is use sites like W0nga and what not, seen some of the "kids" in the pub using this, and have got themselves in some serious issues. Anything with a zillion% apr rings alarm bells to me like.

theoretica

The good news is that once you correct the SOA to take account of the fact that you pay half the car loan, and the car tax is clearly a typo (does it need dividing by 12?) you will have - on paper- a budget that breaks even. The next challenges are first to break even in reality and then to find a little to pay off the debt faster than minimum payments. Haircuts, groceries (the old style board here can help feed a couple well and healthily on £120 a month) and petrol (there is an article about cutting petrol cost under the transport tab at the top of this page) are the main targets where a little could be shaved to make room for the odd chocolate bar or coffee. Selling stuff to try and clear the store cards is a great idea - seeing how much less stuff is worth once it leaves the shops is a real eye opener.

Good luck to you both.

JammyJim

What do people think of somewhere like Zopa? (can you tell I've spent like all day on this site trying to get ideas haha)

DVardysShadow

JammyJim wrote: »

She wont be putting any more money on cards, as I'll be taking them off her and cutting them up... she's very shaken over everything, and just wants to get out of this debt. I'll get her to write out a SOA and post it up asap.

I think that is asking for trouble. It may seem the right thing to do, but it is far better if she gives them to you for you to cut them up. The difference may seem pedantic, but it is poles apart from what you suggest.

JammyJim

DVardysShadow wrote: »

I think that is asking for trouble. It may seem the right thing to do, but it is far better if she gives them to you for you to cut them up. The difference may seem pedantic, but it is poles apart from what you suggest.

She has already given me then, i didnt ask her to, she gave me them

JammyJim

JammyJim wrote: »

What do people think of somewhere like Zopa? (can you tell I've spent like all day on this site trying to get ideas haha)

Scrap that, as she's just tried this and got declined.

jellybean39

Hi jim

At least your here and she is willing to dt it sorted. i done the same champagne lifestyle and not the income!! i have just sold a load of dresses on ebay and made 71 quid and 160 at a car boot selling handbags shoes etc. must admit wish i sold the shoes and bags on ebay would have got more as car boot they wanted it for literaly nothing, but quick and easy to make a bit of dosh.
Good luc will get easier.
As a hairdresser to look at local salons even toni and guy do it where they have training nights where you pay little for your hair to be done cut and coloured where level 3 students will be watched over and there work checked. these hairdressers are trained and some may have done level 3 few years after there basic training so may well be very good. could save you some money.

jellybean39

get her to cut them up that will be the hardest thing after telling you that she wil have to do x

miggy

Is there any chance of extra work to increase the money available for repayments? Can she do surveys or mystery shopping in her spare time for some extra income? I'm guessing that with the amount of travel involved in her work this may be difficult, but as they say, 'every little helps'.

Talking of that, it's worth looking at any little savings she can make (maybe on haircuts or chocolate, or anything for that matter) and running them through the 'demotivator' (see right-hand column under 'free tools') to see what they add up to over a period of time.

There will be a way to do this, so hang on. It may be a combination of tactics, and it will certainly take work and there will be times you will find it an uphill struggle, but have a look through the 'role of honour' for some encouragement and ideas. You'll get there.