Huge Overdraft

studentwales91

Hi, im in my first year at university and came with a £1500 overdraft. The problem now is im afraid i wont be able to get out of it and i will be stuck in debt for years. My student loan doesnt go far as i have other bills to pay e.g. phone, tv license etc. Im hoping to cut the bills down in the next couple of months by renewing a sim only contract which is cheaper. Its ruining university life for me because i cant go out and enjoy myself like a 1st year should. What makes it worse is i cant even get a job (i havent recieved any call backs) which would help take the strain off. Any advice anyone??

The_One_Who

You don't need a TV, so that would at least take care of the TV licence.

It'd probably be worth posting in the Debt-Free Wannabe (DFW) board for advice on really cutting down your outgoings. The Old-Style board can be good for really cheap recipes as well.

What sort of jobs are you applying for? Keep applying for everything, whether it be bar work, retail or cleaning, and it would be a good idea to register with a few agencies who should be able to sort you out with something.

MrsManda

You need to sit down and work out what your income and outgoings are and look at ways to cut down your outgoings so you are not dipping into your OD so often.

How are you jobhunting?
Have you registered with your student union's jobshop?
Are you asking in shops/bars/cafes/resturants/sports clubs/concert venues to see if they are looking for staff?
Do you follow up on your applications?

Your university's career service may be able to review your CV to ensure you're presenting yourself in the best light.

Overdrafts are there for backup so don't worry too much about dipping into them.
But it is a good idea to cut down on your outgoings and try to boost your income so that the OD remains a safety net rather than a source of funds.

Budgetting is one of the most valuable lessons I think I learned at university
HTH

Derivative

studentwales91 wrote: »

Its ruining university life for me because i cant go out and enjoy myself like a 1st year should.

This is the attitude that will get you, and keep you in the red.
By all means enjoy yourself, but there is no "should" about it - do what you can afford, not what you see everyone else doing.

Depending on the support you're getting from parents and/or the University, you may not need to get a job, it could just be a budgeting thing.

TV license frees up ~£130 a year. That's 7 or 8% of the overdraft gone in a year.

How much is your sim only contract? I pay £5 a month for pay as you go and have enough minutes etc to get by.

All those little things add up - £1500 in a year is only ~£30 a week.

bouncydog1

You definately need to learn to budget - go over to the debt free board and complete the statement of affairs so that you can see exactly where your money is going.

Also visit the old style board to see how to meal plan. Are you living in halls? Could you swap to a cheaper room? Are you catered? If so can you swap to non-catered etc? It's a lot cheaper to do your own cooking etc and you can live very cheaply.

Are you really applying for every job or being picky? Can you put cards up seeking work - cleaning etc. You can't afford to be fussy.

Are you also getting everything you are entitled to? Are there any grants etc available for your course. It's hard to help without knowing your full circumstances.

On a positive note, it's good that you recognise now that you need assistance to manage your money rather than waiting until it's a real problem. Why don't you post over on DFW with some more information and people will see how they can help you cut back and maximise income.

mr.brightside87

First year and £1500 in overdraft...

Wait until your second year where you HAVE to live in your overdraft (currently £1700 with a £100 interest charged normal overdraft albeit at a very low rate).

Sadly, if you have one, being in it is something you'll have to put up with. I have had one for years and it has helped me enourmously however, it is not free money so you need to have a plan B and learn to budget.

The worst thing I did was get a TV in halls. That was £130 that I couldn't really afford. Its not so bad this year as it is split between 3 of us so it works out at £10 a quarterish. Second year though, you will have to bring the reigns in as you have rent, bills and all other expenses coming out before you can even thin about spending money on yourself.

MusicalLawyer

studentwales91 wrote: »

Its ruining university life for me because i cant go out and enjoy myself like a 1st year should.

Your University experience is what you make it.
I am really enjoying University, and I rarely go out drinking and all of that malarky.

Have you visited your Careers Service in your University?
If not, you really should. They would be able to help you apply for jobs as well as sort out your CV if it needs it. They will also have ties with temporary local jobs which, aren't the best as they're temporary, however money is money. Just something you should consider.

You could also consider buying books second hand, rather than new. Or getting them from the library and photocopying relevant pages. (which can be a joke sometimes - book to student ratio is shocking!).

As said, ditch the TV licence if you have one.

Post up an SOA, and we will be able to see where else you can save
You can fill one out at https://www.makesenseofcards.co.uk

Morganarla

IMO, a first year student in university should be appreciative of getting further education, having access to student overdrafts, and should NOT be going out and getting rat!!!!!d and !!!!ing the student overdraft up the wall.

You are not ENTITLED to be partying as you seem to think, you are at UNI, not a 24/7/365 nightclub.

Work hard at your studies, and bust a ball attempting to get a job. Jeez.

MusicalLawyer

In certain career areas, your first year grades count just as much as your second and third year grades.

~Chameleon~

I thought students in halls didn't need to buy a licence as they're covered by the family TV licence?

MusicalLawyer

"College or university students living away from home must have a TV licence to watch or record programmes at the same time as they are shown on TV."

"This means that if you are watching or recording programmes via the BBC iPlayer at the same time as they are shown on TV, you need to be covered by a TV licence. If you are only watching or downloading programmes that have already been broadcast using the iPlayer or other internet 'catch-up' services, you don’t need a licence."

"A TV set powered by its own internal batteries, such as a pocket-sized TV or mobile phone, is covered by a licence at your parents’ address. However, it must not be plugged into the mains while being used to receive television."

http://www.direct.gov.uk/en/EducationAndLearning/UniversityAndHigherEducation/LifeAtUniversityOrCollege/DG_065788