Help with debt problems

jon200

Hi guys,

I need some advice with some my debt problems, i just can't find a way out.

I currently have a mortgage with my other half which is over £1000 a month, she already pays the lions share of this and our bills as she is on more money than me, but she is struggling herself.

Basically, my bills come to more than my salary does every month, and i've already cut down on everything that can be cut down on.

I owe £4000 for my car which i have to pay £100 towards every month.

I have an £1320 limit on my overdraft which i have now exceeded, its currently at £1370 so i will expect the bank charges to start soon.

I was thinking of getting a £6000 loan to pay off the car and the overdraft, but i will only end up with the same situation, as my bills will be the same and the repayments for the loan will be more than the £100 a month i am already paying for the car.

Any advice will be greatly appreciated. My relationship with my girlfriend is getting worse because i'm constantly worried about money and how i'm gonna pay my bills.

immoral_angeluk

First of all you and your wife need to write down EVERYTHING that goes in and out of your bank plus regular expenses etc. This is called an SOA (See the thread called first time posters on the board) and it'll help you see exactly what situation you are in and where you can make cut backs. Also if you post it on here We can pick through and see what could be twigged to make things a bit easier for you.
Consolidation is a very risky business especially if you'll end up with repayments more than your original amount as you'll soon end up in a consolidate-more debt-consolidate-more debt cycle which is very hard to break.
the CCCS and Payplan are 2 charities which offer excellent advice for those with debt problems and are well worth a call. Alternatively the CAB can also help.
You CAN sort this out. It's just about finding out how and having the realisation that you have just had which means you can't carry on like this.

jon200

I'll make a list of everything that goes in/out of our joint account every month when i get home tonight and post it on here, but basically we put enough in every month to cover our bills and there isn't any left after that.

We both have our own accounts which our salaries get paid into every month before we transfer some over to the joint account for the bills.

i don't spend anything else at all, i never go out, never buy myself anything.

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Is the car the big problem here? Could you sell it and use public transport, which would not only allow you to pay off the loan but would also mean no more car tax, insurance, petrol, or maintenance costs. If you need a car to get to work could you get a cheaper model?