First Post, Young and struggling. Wages get swallowed before I can access it.

ViolentFridays

I am a 21 year old student at university. I will be retaking my second year starting september - I suffer from depression and anxiety and while I feel better now, and am no longer having counselling or taking the medication (it's still on my repeat prescription, but I decided to stop taking it). It reall affected my attendance.

As I am retaking my second year (and I already did a first year in English before starting my business course) I will not be entitled to a tuition fee loans from SLC, and so I will need to use my maintenance loan (approx £3,000 in total paid in 3 quarterly payments) and I will need to pay the extra myself (approx £340.)

I live with my parents, but they don't know about the depression, retaking my second year or my money troubles.

I have a £1500 overdraft with my Lloyds Student Account which I keep going over due to bank charges, etc. which means that when my wage goes in (I get paid weekly as I work part time in a pub) I can't have access to them because it is still over my limit. Whenever I manage to get into credit and think things are heading in the right direction, there seems to be a bank charge or a direct debit I forgot existed and I seem to be knocked back again.

I have 2 credit cards, each with £500 limites, one is a Lloyds Student Credit Card & one is a Capital One Credit Card, both of which I have maxxed out.

While this is not a CRISIS, I still have a roof over my head, but I can't afford to pay my board, and I can't afford to socialise or save up to move out or anything, it's really getting me down.

It has been my own silly spending which has gotten me to this stage and now I really don't know how to get out of it. The last few weeks I haven't been spending anything because I haven't being able to take the money out of my account because my wage disappears into the fees, charges, etc.

I have the minumum payments set up on my credit cards, but then there isn't enough money in my account to pay them and I get hit with more charges when my bank makes the payment anyway.

In short:
Lloyds TSB: £1535 (interest free upto 1500, £10 a day daily charges upto 7 days of charges per month for being over + £5 overdraft fee per month)
Lloyds TSB C/C: £507 (£500 limit, 19.9% APR)
Capital One C/C: £500 (34.5% APR but interest free until October)
University: £3335 (£3000 of which will hopefully come from SLC)

No point doing a SOA as my only fixed expenses are
Board: £20 p/w
PAYG Mobile: £10 p/m

I have one fixed shift a week at the pub (4.5 hours) but some weeks I can do 5 shifts, it's really irregular and depends on if our city's football team are at home and if other staff are on holiday, etc.

CH27

I think you need to confide in your parents & together work out a plan to pay everything off.

Mikazaru

Can you set up a basic bank account to get your wages paid into so they don't get swallowed up in charges?
In the short term have you got anything you can ebay in order to get under the card/overdraft limits?

kerri_gt

Firstly, you really do need to speak to your parents about this - no doubt keeping it from them has also (and may in the future) make the depression and anxiety worse.

Speak to the credit card companies and see if you can come to an agreement with them about your repayments, they may be willing to reduce the repayments and Lloyds may agree to freeze your interest. I would also speak to your bank and see if they will come to some agreement given that you are getting hit with charges every month for going overdrawn with bill payments (out of interest, is this a student account you have?)

You could also speak to your university about an additional hardship grant - though I am not sure where you will stand as you do have accomodation. But worth speaking to an advisor anyway as you will not be the first (or last student) in financial difficulties.

Do you need to pay your tuition fees next year as well? (I know you prob don't want to think about it, but you'd be better putting an overall plan of action in place now rather than ending up in the same situation next year)

As suggested, do you have anything you could sell to help raise some short term cash? Music magpie is handy for standard CDs (though doens't pay loads).

Would it be possible to look for a second, or alternative job that regually pays more?

needingaccountability

As the mother of a 21 yr old myself all I can say is 'talk to your parents'. Don't deprive them of the chance to help and support.:(

Superbiatch

As others have said, talk to your parents - I'm sure they will understand and get their support.

Also, as I have a clinically depressed OH I'd suggest you don't just stop your medication. With most you should wean down and see how you get on. By stopping them suddenly your body can go into withdrawal and whilst you feel ok you might well be acting rather irrational. Please seek help and stop stressing over these debts x

ViolentFridays

Thank you for the replies.

There are some temporary family problems which make me not want to worry my parents yet, but additionally, we've never been particularly close. We don't discuss anything really. And my parents are polar opposites - my mum herself has credit card debts and my dad is really frugal, it's something they fight about sometimes so I really don't want to add to it.

I am about to raid my room to see what I can ebay, I don't own anything big/expensive really, mostly books and clothes. Most of my wasted money went on clothes, booze and food I'm afraid.

I'm sorry if this is a silly question but do the banks run credit checks before allowing you a bank account? Or will my poor financial state not stop me from getting a basic account?

I will work up the courage to request Lloyds to freeze the interest, do they do this often or is it a rarity?

It is a student account, so if I stay within £1500 of the overdraft I don't pay any charges or interest.

I believe I will get my tuition fees from SLC for the year 2012/13 (I'm not 100% but I think it works out that you can get 4 years worth of tuition fees. A 3 year course + one "spare" year. I used up my "spare" year before I was sure what I wanted to do and because i've already had tuition fees for my second year, my fourth year of fees seems to be "saved" for my 3rd year)

Now that I feel I am better, I am considering a second job. There are lots of other pubs near by so I can see if my company allows employees to work at other pubs at the same time. I am worried that I will fall behind with my studies once they start up again (late september) if I have a second part time job.

I am genuinely okay without the medication, I stopped taking it a few weeks ago, but thank you

Mikazaru

You'll be credit checked for bank accounts, but a poor credit record shouldn't stop you getting a basic bank account with no overdraft. When do you get your next wages? Is it possible to stop the board just for a week to get your account back under the overdraft limit?

bluecelticgirl

I understand that Banks do not run a credit check to open a basic account - this is the one with no debit card, cheque book or anything - only a card to use at ATMs

needingaccountability

Mikazaru wrote: »

You'll be credit checked for bank accounts, but a poor credit record shouldn't stop you getting a basic bank account with no overdraft. When do you get your next wages? Is it possible to stop the board just for a week to get your account back under the overdraft limit?

If it were my child they would need to be coming up with a very good reason for not paying their board so might not be that easy.

footiemad

Hello

Have you tried using unitemps? I don't know where you're based but it might be worth registering with them? They offer jobs for students and the wages are usually quite good.

Could you ask for a bigger student overdraft that you won't get charged with? Then you could move some of your credit card debt to there? Worth looking at it.

Hope this helps.