Time to stop burrying my head in the sand and grow up

DanDan18

Hiya All,
I've been in alot of bother for the past year. I am 18 years of age and am now in a huge amount of debt which seems as though there is no way out. Payday is approaching and the payday loan companies are now attempting for their payments which have been coming out for what seems like a lifetime. I've made huge mistakes in my life and i know i've been a fool so please try not to judge me. This has been ruining my life / job / family and friendships to the point that has made me want to take my own life.

This morning i woke up, payday loans have taken money from my bank so no money to get to work meant i've had to jump the train. I've had to take out another payday loan just to get me to work. It's a never ending cycle and shouldn't be allowed to happen , especially at my age.

Anyway, the plan so far is as follows. Along with the situation

[NOT ALLOWED TO ADD IMAGE]

Early Payday - 250
Wonga - 700
Wageday Advance - 252
Payday Express - 900
Lending Stream - 650
One Month Loan - 250
capital One - 200
Lloyds - 1400

I have arranged to make monthly payments on the larger debts and then pay off the smaller ones in one hit. I cannot attatch an image to show this however.

Take Home Pay - £2200


I've finally decided to face the fact that i'm pretty screwed, and put it all into a spreadsheet. Money from family is not an option anymore and i'm pretty much alone. The best thing i could do would be to consolidate my debts into one loan, but due to my credit history being completely destroyed, this will not be possible.

I'm desperate for some advice, is bankruptcy an option? What on earth do i do. I appreciate your help in advance.


Dan

DominicJ_2

You need to post a statement of affairs explaining where your £2200 a month is going.

DanDan18

DominicJ wrote: »

You need to post a statement of affairs explaining where your £2200 a month is going.

I have only just started this job.

DanDan18

this is without taking into account not being able to make payments this month. I also owe my family 1,000 pounds. Have to pay for my travel to work , food , rent.

heartbreak_star

See if you can call them and make much smaller repayments, Wonga took £25 a month from me till I called and said I could pay the rest. Stay in contact though - CashGenie took £1200 from me for a £150 loan because I kept trying to hide

Good luck!!

HBS x

DominicJ_2

A SOA includes everything, groceries, travel, entertainments ect.
No ones going to be able to help unless you can provide that.
Saying you have to pay for work, food and rent doesnt really help anyone help you.
We need to know if you drive a new M3 to work, eat steak and lobster everynight and live in a small palace, or walk to work, eat rice and live in a bedsit, guess what the advice will be if the first three are near true....

It looks like your only course of action is take out yet another to get you to work, pay them off as you plan to and chalk it up to experience. Making sure you work out exactly how much interest you paid, imagining all the wonderful things you could have done with that money, and making sure you never ever do it again.
But its impossible to say without the SoA

The good news is £2200 a month take home pay is a fair bit of money, so in July and August and September, you can afford to repay your F&F and give them a generous amount of interest and this time next year, it'll all be a memory.

DanDan18

DominicJ wrote: »

A SOA includes everything, groceries, travel, entertainments ect.
No ones going to be able to help unless you can provide that.
Saying you have to pay for work, food and rent doesnt really help anyone help you.
We need to know if you drive a new M3 to work, eat steak and lobster everynight and live in a small palace, or walk to work, eat rice and live in a bedsit, guess what the advice will be if the first three are near true....

It looks like your only course of action is take out yet another to get you to work, pay them off as you plan to and chalk it up to experience. Making sure you work out exactly how much interest you paid, imagining all the wonderful things you could have done with that money, and making sure you never ever do it again.
But its impossible to say without the SoA

The good news is £2200 a month take home pay is a fair bit of money, so in July and August and September, you can afford to repay your F&F and give them a generous amount of interest and this time next year, it'll all be a memory.

I'm currently at work so cannot write too much. My outgoings ar eonly for my rent and travel , food aswell , topping £700 a month.

I can put up an SOA later, however i just need some advice.

Yesterday i applied for some assistance from Debt Free Advice, they advised me on a monthly repayment plan, i looked up reviews and it all seemed great. Re-paying £450 a month and getting everything sorted, however, their terms seem a bit shakey and i'm not sure what to do. They wait 2 months before contacting the creditors , which will surely cause huge problems and maybe even debt collectors coming to my door!!

In a right pickle!

pepe2008

Whatever you do,

DO NOT PAY ANYONE FOR ADVICE .....anyone!

It doesn't matter if they have the word 'FREE' in their Title. Advice can be free, the SOLUTION won't be.

Use someone like Consumer Credit Counselling Services or your local Citizens Advice Bureau. They can both contact your Creditors and bring them to heel. By using them, your story will carry some credibility, otherwise you are just another number and another sob story.

CCCS are good because you can deal with them by phone at a time to suit you.

Main thing is......do something.

Good luck.

DanDan18

Thankyou, i've contacted CSSS and expect further information with 24 hours. I will contact Debt Free and cancel the agreement with them asap.

The plan of action from here

- Change bank accounts
- Do not pay another penny to these companies
- Keep the 9 creditors informed that i am entering a debt management plan
- Await further advice on a debt management plan from the CSSS

Does that seem like a good idea?

Thanks for your help.

DanDan18

I am now looking to enter a debt management plan with CCCS who seem very helpful. Paying back £650 a month aiming to be debt free within 9-12 months. Unfortunately i still have 3 outstanding companies to pay interest to.

I informed wonga i am seeking debt advice and they hung the phone up on me, i am not too sure where to go from here regarding the £50 i owe wageday advance and the £100 i owe one month loan.


I have the morning off work tomorrow and will complete my paperwork for the dmp and also go and open a new bank account to stop these payday companies rinsing my bank!

CatherineS

Dear Dan,

Although I'm not a MSE newbie, I am definitely a DebtFreeWannabe newbie and I too have decided to stop burying my head in the sand and grow up!

But I have been burying my head in the sand for over 30 years!

I can't offer you any specific advice about getting out of debt (there are others here who should be able to help us both), but I am a big believer in positive thinking and one of my stock phrases is "out of every negative comes a positive".

Yes, you are deeply in debt - but you probably don't realise how lucky you are to be going through this at your age. Because you WILL get out of it - and you probably will be so careful in the future and not make all the mistakes that so many people of my generation have done. I have always lived on credit cards and overdrafts, and now at the age of 51 after 25 years of owning a property I find myself with £22,000 of CC debts and loans, PLUS a mortgage of £220,000 on a house that is only worth £290,000. How did that happen? How am I ever going to pay it back before I retire?

I wish the Money Saving Expert had shaken me up when I was 18 because I would not be in the poo that I am now! I am going to make sure both my children study Martin's "Teen Cash Class" (http://www.moneysavingexpert.com/family/Teenagers-cash-class) so hopefully they will be more savvy.

I wish you lots of luck Dan - but you have taken the first step and be strong and before you know it you will be a much happier person!
;-)