Newbie - My initial thoughts :)

daysieblue

Hello All

A couple of days ago my husband brought home the "Money Diet" book, although neither of us really thought it could help. We had our collective lightbulb moment a couple of years ago and plunged straight in with a debt management plan, helped along by National Debtline. Two year, several letters and many, many phone calls later we both felt that we were dealing with it as best as we could and Martin's book could do no more than just confirm to us that we were doing the right thing!

Firstly, I'm glad to say that in a way it does say that. But we could improve things slightly still, and we have both taken fresh impetus from this and created our spending diaries. I have managed to spend just £3.82 this week, which I am delighted with! The other good thing to come from the book was me finding this website - it's amazing!

Our collective debts are around £52k, and with us earning a joint income of nearly £60k, we are both astonished at just how little money we have at the end of each month. We are paying for a history of consolidation and ostrich like behaviour. I know that for me, growing up with little money meant that when I did have some, I went a bit mad. This has led to credit card debts and loan debts. Fortunately we have managed to see the light before our house became endangered. Although there is always the risk of a charge on the house if any of our creditors become less supportive. SO far we have managed to get all our credit cards on an interest stopped repayment scheme, so at leats the money we pay is reducing our balance.

It's been so long since I last did a proper tally that I'm not exactly sure what all our balances are now. I will do that tonight I think, try and get it straight in my head, for myslef, if not for all of you reading this. Then I will also be able to post the budget and all that sort of stuff.

Sorry if this seems to be going off in various directions. I'm sure I don't need to tell you what a relief it is to be able to talk about this. When we first had problems, my husband didn't even know that I had a £10k loan that I was finding it increasingly difficult to repay. When we finally sat down and talked about it, through the tears and tantrums I think we have become stronger. I know that this sort of thing can lead to couples splitting up, and the strength I have found in my marriage is one of the good things to come out of this debt crisis

Anyway, thanks for listening Hopefully I'll get to know you all well soon.

heather x

medman

daysieblue

nice one it sounds like you're on the right track.

Look forward to hearing more

Best wishes

MM+

poorbutrich

Welcome! If you post a Statement of Affairs (SOA), as per this link,
http://forums.moneysavingexpert.com/showthread.html?t=107280 then the folks on here will be able to help you make more savings. Spending £3.82 in one week is a blinding start though!!

chevalier

Welcome to MSE. It is a great community here. Well done on attacking your debts. When you have tallied them up you may be pleasantly surprised. I do hope so.

One of the things I have learned from this site, is to not assume my providers have got my best interest at heart. So now I regularly (yearly) check that my house and contents insurance, car insurance, utility providers, are all the cheapest. Because whilst company A may be cheapest this year, company B might be next year. This has saved me £120 on my car insurance alone this year!!:D

So while you are taking stock this might be a way of cutting some more outgoings.

If you post a Statement of Affairs (see southernscousers sticky at the top of this forum), then there may be things we can point out to you as potential savings.

best of luck
chev

Beth86

You're doing really well.
:T

beanielou

Hi & welcome to MSE!

Madcatgirl

Hi and welcome. Fingers crossed that your debts have reduced, and that you pick up even more tips by visiting the forum

daysieblue

Well, here goes

Income:
3435.00 per month approx, me & OH

Expenditure:
Mortgage - 1214.30
Debt repayment - 256.00
Diesel - 60.00
Car /insurance - 23.00
Buildings/Contents Insurance - 38.31
Gym membership - 49.00
Life Insurance - 30.12
Football Season Ticket - 52.97
Gas/Electric (inc arrears) - 97.50
Sky (inc Sky+ & broadband) - 58.50
Phones (BT & 2x mobiles) - 50.00
TV License - 11.37
Water - 55.62
Coucil Tax (2006) - 114.00
Children's misc - 50.00
Groceries - 550.00

TOTAL - 2560.69

Now, I know I must have missed something, because that comes to almost quite a lot per month spare (well, 724.31), and I know we don't have that. So where does it all go?

At the moment we are desperately trying to save some money so I can buy an annual travel season ticket in June when my current one runs out (2340.00), plus we're going away in August, and need to find £1500.00 for that. At the moment we just don't seem to be doing it.

Reason for not changing suppliers at the moment - Having been in a DMP for nearly two years, we think (but have not tested this) that it would be difficult for us to change suppliers (especially for gas and electric) and still get a DD plan, instead of pre pay. Same with mobiles, and BT. Our credit rating can't look too pretty at the mo.

If anyone can offer any light or suggestions, I would be grateful

heather x