Budgeting...can I do anymore....?

lacoste1985_2

Hi guys

I have about £3k worth of debt that I am looking to shift in the next 4 months...I have been trying to pay it back bit by bit for as long as I can remember but no matter how much I try and cut back, theres always something else that needs to be sorted or purchased that month...which I never have any spare cash for as its always goes towards paying off my credit cards in lump sums every time i get paid! Consequently im in a viscious circle of never ending debt as more spending is put on the credit card that month....

My total income is about £1250...of this my outgoings are as follows:

Rent: £250
Contacts lens DD: £13
Mobile phone DD: £35
Cineworld unlimited monthly cinema pass (which my fiance and I use every week): £15
Mobile phone insurance: £1.50
Social spending for month £150
Hair: £30
Train fare: £10
Petrol: £50
Credit card payments: £700

Does anyone have a better way of going about paying back credit card debts/how I can cut back further on social spending?

IMO £150 a month isnt a lot and in this day n age doesnt go very far...

Ideas and suggestions welcome.

Thanks : )

HappyMJ

Social spending is hard to cut back without not ever actually going out. You have a cineworld unlimited card. When you go to the cinema do you buy snacks and drinks there or do you bring your own? What do you spend the £150 on? I always try and take advantage of free things and my friends know me for it. I'll go on the national trust free open days. Go to museums. I'll visit local villages and just walk around them and usually stop off for a pint in the local village pub. I'll spend a few hours making a really nice dinner sometimes and invite friends around for a backyard bbq with byo booze.

lacoste1985_2

yes we always take our own drinks and snacks from asda etc...the most we pay is £2 for parking...the rest of my social allowance goes on perhaps a couple of meals out, bowling with friends, drinks, parking costs, munchies, hair products...i dont actually know where it all goes!

opinions4u

lacoste1985 wrote: »

My total income is about £1250...of this my outgoings are as follows:

Rent: £250
Contacts lens DD: £13
Mobile phone DD: £35 can you get a deal on this? or go sim only?
Cineworld unlimited monthly cinema pass (which my fiance and I use every week): £15
Mobile phone insurance: £1.50
Social spending for month £150 half it for now. If it's your round don't get yourself a drink too!
Hair: £30 shave it all off! Go to every other month?
Train fare: £10
Petrol: £50
Credit card payments: £700

Good luck!

GreenSaints

Maybe you should start a spending diary for all the money that's not accounted for. I've only started it this month and its a real eye opener!

The next month you can see what you can cut out. I spend way too much money on takeaways and snacks, so I'm trying to cut back from now on, not only to save £s, but also lbs!

lacoste1985_2

I'm due an upgrade on my current phone tariff next month, going to see if they can knock it down to £20 but still with same benefits as ive been with them for years...

Hairdresser I go to every other month anyway, I just put away £30 a month to cover the cost of when I do go..suppose I could alternate having a trim to every 4 mths stead of 2....

Gonna see if I can go cold turkey and take on board some of the ideas you suggested insead of going out for food all the time...meals at home are sooo much nicer anyway and cosier

Thanks for your suggestions xxx

tagq2

lacoste1985 wrote: »

yes we always take our own drinks and snacks from asda etc...the most we pay is £2 for parking...the rest of my social allowance goes on perhaps a couple of meals out, bowling with friends, drinks, parking costs, munchies, hair products...i dont actually know where it all goes!

Declare to your friends in advance that you're in debt, you need to cut back and you're not spending any more than - say - £15 a week on leisure. You may not want them to offer to pay anything for you (especially because they may be equally in debt but not so open about it), so this may mean simply refusing a particular outing. Friends will understand this :-). There is obvious social pressure to spend money but you can resist it.

And remember that walking and talking, which is what socialising comes down to, are free.

Cat2011

Whilst you're working on the spending diary can you transfer that £700 for your credit cards into a seperate account (no debit card) so that it's not easily spent. Set up a minimum payment on your credit cards from this account, so you don't default. Then if you feel the need to spend the money that should go towards the debt, you actually have to transfer it back into your account. If there is anything left in the seperate account at the end of the month, then use that to pay off the debt further. That way you shouldn't have to ever use the credit cards.

opinions4u

Forgot to add, take a look at www.makesenseofcards.co.uk and complete an even more thorough SOA.

It could be eye opening for you!

The spending diary will make a difference.

Boring eating and drinking water for a month in every three can make a massive difference.

Gromitt

So are you paying much interest on your CC if you are not paying it off each month? If so, it may be worthwhile getting a 0% BT/Purchase card ?

Yorkie1

It's definitely good advice to write down everything you spend on a daily basis - I had a little document on which you noted literally each purchase and how you spent the money (cash, CC, cheque etc).

Do this rigorously for a few weeks and you will probably be very surprised how much is going on things you'd never noticed before.

This will help you fill in the SOA on the site previously mentioned.