So I have decided...(advice req.)

MW84

Following on from the previous thread...I think the only option I have is to contact payplan and trying to set up some sort of monthly plan say £100 a week with people who I owe money to. I am 21, live at home, have around £17000 worth of debt and have a income of 12k

here is the previous thread

I have so many questions which need answering prior to contacting payplan to help me sleep tonight as I see tomorrow being the first step in trying to sort this crisis.

Questions which I need answering.

1. Other than my loans and credit card. I have a phone on a monthly contract with Orange, Car Insurance (monthly) as well as Dell payments (which run out in Nov). What I am wondering is whether or not I will be able to keep these as I really need them for work? Obviousally if phone was cancelled that would be the end of phone, but am I likely to have car insurance finished meaning I won't be able to drive and also will PC be taken off me or just kept and some financial package worked out between them and payplan?

2. Here is a list of income / expenses; is there anything on here payplan may say no to or anything I have clearly missed off which I have forgotten about, or what seems too high or low??

Income

Roughly about 12k a year which after tax and expenses means around £800 to £900

Expenditure


Loans and Credit Cards

Loan Balance 1 - 9356.13
Rate - 6.7
Paying - £148.51 per month

Loan Balance 2 - 4650.88
Rate - 9.7
Paying - £81.18 per month

Credit Card Bill £700 (approx)
Paying £12 per month

Also at limit of £1170 overdraft

Other

Car Insurance - £51.88 per month

Mobile Phone Bill - £50 (approx) per month (12 month contract expires in June 07)

Direct Debit 1 for PC - £27.99 per month (payments stop by November 07)

So basically I wanted to keep the bottom 3!

Monthly Requirements

Board 160
Petrol 250
Smoking 120
Food/Drink 150
Living 50
Car Parking 50
Car Running Costs 15


3. *Also I understand I may to change bank accounts? is this true?

4. I have a car worth roughly 3k; full paid for...will this be taken from me? as it is required for work! and if I got a car cheaper the likelyhood is that I would spend more money fixing it!


**I look forward to hearing people who have had similar experiences with payplan**

southernscouser

OK by entering into a DMP with Payplan or The CCCS you will not have to give up your car, PC, phone etc.

They simply look at what you earn and your outgoings and using their budget they work out how much you can afford to pay monthly to your debts. The budget is by all accounts very generous but it needs to be to stop people getting into debt again.

MW84

southernscouser wrote:

OK by entering into a DMP with Payplan or The CCCS you will not have to give up your car, PC, phone etc.

They simply look at what you earn and your outgoings and using their budget they work out how much you can afford to pay monthly to your debts. The budget is by all accounts very generous but it needs to be to stop people getting into debt again.

do they have their own set out budget or are you referring to my own?

also and I am not 100% certain on this so this could make things go tits up so to speak. i am thinking of going to Uni full-time :eek: next year which will mean taking on more debt :eek: however I am thinking that say if I agreed to pay £100 a month and then sold my car I could pay the 3 years off whilst at Uni and having no income with funds from my car sale.

However I wonder how this would affect things. I understand that when getting a student loan no credit is checked or anything similar according to my friend who works and helps with student loans....

any more advice on original post and what I have just said!?

southernscouser

MW84 wrote:

do they have their own set out budget or are you referring to my own?

also and I am not 100% certain on this so this could make things go tits up so to speak. i am thinking of going to Uni full-time :eek: next year which will mean taking on more debt :eek: however I am thinking that say if I agreed to pay £100 a month and then sold my car I could pay the 3 years off whilst at Uni and having no income with funds from my car sale.

However I wonder how this would affect things. I understand that when getting a student loan no credit is checked or anything similar according to my friend who works and helps with student loans....

any more advice on original post and what I have just said!?

Payplans budget is generous. So that you aren't pushed back into debt.

As for the uni thing. Well in theory it's a good idea but in reality maybe it isn't! The temptation to spend the money or use it for 'emergencies' could cause you trouble!

Also and I don't mean to put a downer on things but you realise that by paying just £100 a month means you are going to be paying this off for a minimum of 14 years! :doh:

MW84

southernscouser wrote:

Payplans budget is generous. So that you aren't pushed back into debt.

As for the uni thing. Well in theory it's a good idea but in reality maybe it isn't! The temptation to spend the money or use it for 'emergencies' could cause you trouble!

Also and I don't mean to put a downer on things but you realise that by paying just £100 a month means you are going to be paying this off for a minimum of 14 years! :doh:

I know. However I cannot think of any better ideas!!

Kevicho

Hi, a few things that were suggested on the other post, that i couldnt find answers too (may be me just going blind at this late hour)

Could you find work closer to home? or even work from home?
(it annoys me when people have to use up a good chunk of there after tax budget on petrol just getting too work, i class that as unfair)

You said you were taking food to work as opposed to buying, which is good.

Have you considered other ways to earn extra income? Also have you ebay'd none essentials to get some extra cash? to go towards your debts.

I think even if you found something workwise on your doorstep at 11k then youd be able to flog the car and be much better off (half your wage goes on your car).

Is there anyway you could trade for a more fuel efficient model? (I have no idea about cars, may be worth checking out)

I think uni's risky tbh, i think the extra debt you'll accrue, on top of the 17K you already owe will be a huge task, and i doubt youll get great gains in wage when you leave.

MW84

Kevicho wrote:

Hi, a few things that were suggested on the other post, that i couldnt find answers too (may be me just going blind at this late hour)

Could you find work closer to home? or even work from home?
(it annoys me when people have to use up a good chunk of there after tax budget on petrol just getting too work, i class that as unfair)

You said you were taking food to work as opposed to buying, which is good.

Have you considered other ways to earn extra income? Also have you ebay'd none essentials to get some extra cash? to go towards your debts.

I think even if you found something workwise on your doorstep at 11k then youd be able to flog the car and be much better off (half your wage goes on your car).

Is there anyway you could trade for a more fuel efficient model? (I have no idea about cars, may be worth checking out)

I think uni's risky tbh, i think the extra debt you'll accrue, on top of the 17K you already owe will be a huge task, and i doubt youll get great gains in wage when you leave.

only recently moved jobs and considering the area of work I work in I would have to probably pay a fair bit in order to leave like I did in my last job as they pay my Uni fees. however it is a possibility come next year and i decide against going to Uni (which is unlikely in anycase)

I am in the process of eBaying quite abit of my stuff. such as DVD's and the like. also selling erm cd-r's and dvds to my mates which is making a bit of a part time job on top of uni and full time work but worth it.

if I did find a new job closer to home I would still need to go to have a car as the area of work I am in requires so, in going to meetings etc.

re: cars. I have a 1.4 atm which isn't too bad. I have started driving slower and not flogging it so to speak in order to save petrol. I am already seeing the difference but its not "that much"

I see what your saying about Uni and i'm in mixed emotions. I am 21 atm and i feel although I go part time its something i need to do. i don't want to be 40 and miserable thinking i wish i did that. on the other hand I will be Uni for at least another 4 years part time. so in 4 years time I am likely to be earning around 22k or something. if I went fulltime i would be completed in 2 years and earning that ammount. so mixed emotions. Uni would only take 2 years as I would skip a year (already said by Uni) due to previous experience and qualifications!

Kevicho

What line of work are you in just out of interest?

madduck

Your pc finance is with Dell isn't it? I've been on a DMP with CCCS for about 2 and a half years and I was in the same position. Dell finance became part of my DMP. PC wasn't taken off me. Pay Dell along with my other creditors.

Kevicho

Just thinking over what you have put, you really do seem to have limited options especially with the travel situation.

Ok lets see if we can think of something, and some people may find this controversial but here goes.

1. Stick to part time uni, that way youll get training and experience, most employers these days prefer experience, but if you mix that with uni degree, then you are more likely to be a better candidate for jobs/promotions etc.

In this 4 years, as a student you should learn to live below your means, i think 17k of debt could be IVA or bankruptcy level, and after 6 years these drop off your record, so after 2 years of finishing uni, you could be better off and also thiswill be cleared (then save up 17k and donate to charity, to clear your karma).

Not very moral, but its a possibility you may consider.

You should check this with the company you work for if they wont continue your employment or training if you do this, then you will be scuppered.

Also you should check with student financing, this may effect any money you can get from them although its doubtful you'd get much.

Keep this as a last resort, and make sure you cover every possible aspect before doing this, as one thing could leave you high and dry.

Also re football matches, have you considered stewarding?

bulldoglove

MW84 wrote:

Following on from the previous thread...I think the only option I have is to contact payplan and trying to set up some sort of monthly plan say £100 a week with people who I owe money to. I am 21, live at home, have around £17000 worth of debt and have a income of 12k

here is the previous thread

I have so many questions which need answering prior to contacting payplan to help me sleep tonight as I see tomorrow being the first step in trying to sort this crisis.

Questions which I need answering.

1. Other than my loans and credit card. I have a phone on a monthly contract with Orange, Car Insurance (monthly) as well as Dell payments (which run out in Nov). What I am wondering is whether or not I will be able to keep these as I really need them for work? Obviousally if phone was cancelled that would be the end of phone, but am I likely to have car insurance finished meaning I won't be able to drive and also will PC be taken off me or just kept and some financial package worked out between them and payplan?

2. Here is a list of income / expenses; is there anything on here payplan may say no to or anything I have clearly missed off which I have forgotten about, or what seems too high or low??

Income

Roughly about 12k a year which after tax and expenses means around £800 to £900

Expenditure


Loans and Credit Cards

Loan Balance 1 - 9356.13
Rate - 6.7
Paying - £148.51 per month

Loan Balance 2 - 4650.88
Rate - 9.7
Paying - £81.18 per month

Credit Card Bill £700 (approx)
Paying £12 per month

Also at limit of £1170 overdraft

Other

Car Insurance - £51.88 per month

Mobile Phone Bill - £50 (approx) per month (12 month contract expires in June 07)

Direct Debit 1 for PC - £27.99 per month (payments stop by November 07)

So basically I wanted to keep the bottom 3!

Monthly Requirements

Board 160
Petrol 250
Smoking 120
Food/Drink 150
Living 50
Car Parking 50
Car Running Costs 15


3. *Also I understand I may to change bank accounts? is this true?

4. I have a car worth roughly 3k; full paid for...will this be taken from me? as it is required for work! and if I got a car cheaper the likelyhood is that I would spend more money fixing it!


**I look forward to hearing people who have had similar experiences with payplan**

Hello,

I think your car insurance very expensive.Try to find better deal .I was soo glad I change mine.(I got M&S car insurance and I am paying £27 a month for Mercedes Benz A160 full cover included RAC breakdown cover and insurance and breakdown cover in Europe.
Also get pay as you go mobile phone (it works much cheaper for me than the contract.)

Good Luck!