Trying to pay off debts with credit union loan?

louisebee_2

Hi,

I'm hoping someone can give me a bit of advise here as you seem to know what you are talking about.

I have roughly £4200 in debt which I would like to pay off. This includes 3 over drafts, 1 credit card and an argos card. This is not including couch repayments (interest free) which I will be repaying until next year. I also have a car on finance and my husbnd has a loan with halifax which is being paid off at £92 per month.

It's getting to be quite a struggle not just day to day (we have a child, renting etc) but its also the thought that I am only paying off minimum amounts most of the time and the overdraft isnt being touched its only bank charges which can be £60 per month! I will be in debt forever as I cant seem to afford to pay any extra to pay off the debt!:(

I wanted to get a loan of around £5000 to pay off some debt so I am going to apply to the credit union, however I do think they will reject this due to stricter regulations they have.

I have a monthly budget which I have used for around 2 years now and if I had used this when I first started working I would be fine!

Here is a copy of it-

Wage11172Wage21228.5CTC812481.5

Outgoings
Rent 400
Car 129
Insurance 60
Argos 25
Credit Card 55
Very 6
Bank Charges 110
Loan 92
Couch 62
phone 132
phone 232
Childcare 130
Petrol 100
Food 185
Elec/Gas 160
Bus Ticket 60
TV 13
Sky 24
Work Money 90
Council Tax 117
Misc 100
Credit Union 20
Unite 12.7
Total - 2014.7

Whatever is left over is always used up for other necesseties (clothes, car, more food, nappies etc)

We don't splash the cash and obviously dont have luxuries.

Do you think a loan from somewhere would be a good idea to pay off my debts? I would be paying back £160 pm for 3 years instead of around £190 per month just now which doesn't even make repayments!!
Or do you think there is another option I could explore?

Thanks for your help in advance

~Beanie~

louisebee wrote: »

Hi,

Here is a copy of it-

Wage11172Wage21228.5CTC812481.5 - I don' really understand this?

Outgoings
Rent 400
Car 129
Insurance 60
Argos 25
Credit Card 55
Very 6
Bank Charges 110
Loan 92
Couch 62
phone 132 - What on earth are these two? Have you made a typo?
phone 232
Childcare 130
Petrol 100
Food 185
Elec/Gas 160
Bus Ticket 60
TV 13
Sky 24
Work Money 90 - What is this?
Council Tax 117
Misc 100 - What is this?
Credit Union 20
Unite 12.7
Total - 2014.7

Is the figure for phones correct? £364 per month:eek:

Can you put your SOA into an easier to read format, you can find it here: http://www.stoozing.com/calculator/soa.php

A loan probably isn't the best idea, even if you could get one. Its a good idea to try and find savings elsewhere first so that you can overpay your debts.

beecher2

phone 132
phone 232

Are these typos?

Elec/Gas 160

do you have arrears?

I'd post a proper statement of affairs on here, and not attempt to consolidate your debt. You need to sort out your finances rather than just move your debt around. You'll get loads of help on here on how to cut your food bills, and how to focus on the debts with highest APR first.

VitaK

What stands out is the two phone bills of £132 p/m and £232 p/m. Could these be reduced and the savings used for debt repayments.

sharp82

Think the phones should be

Phone 1 - £32
Phone 2 - £32

VitaK

That make sense for the phones and wages.

louisebee_2

Sorry!! - meant to say phone 1 (mine) 32 phone 2 (husbands) 32

Cycrow

louisebee wrote: »

Whatever is left over is always used up for other necesseties (clothes, car, more food, nappies etc)

We don't splash the cash and obviously dont have luxuries.

many would consider a car to be a luxury, not a necessity


also, what do you mean by More food, why not include all food the same?

louisebee_2

Incomings total are 2481.50. I tried to copy and paste sorry about the typos it happens.

Food bills are as low as can be i go to aldi and farmfoods. Gas and electric we pay about 60 each fortnight for these sometimes 80 so i budget for this. It works out this high because we overpay so that we will always have money in them if we cant afford to put any in one week.
Work money is money for lunch and whatever else is needed for work - thought that was self explanatory
Misc is cigarette money and a drink in the house for both of us at the weekend.

As far as for sorting my finances out that is what I am trying to do with the above spreadsheet, budgeting for food, always looking for bargains.
I don't really know what else to do bar stopping having a wee drink at the weekend and telling my husband to quit smoking ( he doesn't exactly have many other vices!)

louisebee_2

Cycrow wrote: »

many would consider a car to be a luxury, not a necessity


also, what do you mean by More food, why not include all food the same?

Can you not just trust when I tell you what I need it is not really for you to tell me as you don't know my life and I dont have to justify why I need a car I just do. Of course I could live without one but so could we all.

Because I didnt, sometimes you just need to pop to the shop for a bit extra, no one ever do that?

sharp82

Start making your lunch at home for work. I do mine, it me costs £4/5 a week

If your husband cant/wont quit smoking, can he use a cheaper brand? Or roll his own if hes already not?