Cannot afford to pay all our bills, what are the options?

Aphidgirl

If you ignore the minimum payments to creditors each month, you seem to have 50p left over each month for debt repayments.

I guess you could slash the grocery budget even more, so that before debt repayments you have a slightly larger amount remaining, maybe £20. This would show the creditors that you really can only afford £1 a month for now until things improve.

Mind you, even if your budget showed a deficit of -£200 each month, I think they would still have to accept a reduced payment plan, even more so maybe as your financial situation looks so bad.

Good luck with it! Send out the letters and get the ball rolling

Pollycat

Hi
I can't comment on the letter, hopefully someone will be along to say if it's OK.

Your figures are very, very tight.

However, you do have the following in your budget:
Clothing................................ 25
Entertainment........................... 10
Holiday................................. 20
Emergency fund.......................... 20

So, if you are not committed to paying for a holiday already booked and can manage without buying any clothes (may be difficult with a small baby?) you have a little bit more spare to go towards your debts.

I'm sure you will be able to shave at least £50 pm off your grocery budget.

Did you look at the Old-style board?
Can you cook?
Value pasta, value tinned tomatoes, value mushrooms, value herbs would be cheaper than buying Iceland ready meals.

Buy a value pack of mince and make your own bolognaise - bulk it out with lentils - and freeze what's left.

I use good quality mince for my bol, add mushrooms, onions, tinned tomatoes and reckon I can do a portion for 2 for about 50p - 60p per person.

Do you have a slo-cooker? Or can you aquire one free from someone?
You can do cheap meals using lesser-quality meat.

Good luck, I really like your attitude.

Tommelise

Regarding your car is it essential for your wife- or could you sell it and rely on public transport?

Make sure only to use the car when necessary to save on petrol.

Even with the revised amount for food you are still spending more than we are, and we are 5: 2 adults, 2 teens and 1 child of 7. Everything is homemade and we eat very well.

Plan your meals a week in advance: Homemade meals – vegetarian, soup or baked potatoes.

Shopping at Poundland/Iceland might not be the cheapest option, even if it could seem so at times. I agree with Polly – head over to the old style board, and get some inspiration.

You could start out by reading these treads:

https://forums.moneysavingexpert.com/discussion/4084527

https://forums.moneysavingexpert.com/discussion/4571337

https://forums.moneysavingexpert.com/discussion/5010839

https://forums.moneysavingexpert.com/discussion/3683757

https://forums.moneysavingexpert.com/discussion/5035510

https://forums.moneysavingexpert.com/discussion/23531

https://forums.moneysavingexpert.com/discussion/96553


Link to JackieO's miser's online cookbook - cheap recipes compiled by a very wise user of the old style board:
https://www.dropbox.com/s/4owxi9d3oa80f8x/My%20Miser.doc

glasgowsaver2011

lazer wrote: »

In terms of your flat - what age is your son? If you get a decent size one bed flat you could perhaps partition off a bit of the living room for either yourself or your son? Or give your son the bedroom and you and your wife use a sofabed in the living room or similar - you should be able to afford you rent on an income of almost £2,000 a month, but due to paying off debts etc - you can't, so it's time for changes!


Is there anything you could sell - the mobile phone contracts - you could the phones and get cheap £10 phones?
You have said you are paying for a TV (I think at £40 a month?) - could you sell it? Old style CRT TV's can be picked up for free lots of places and could tide you over.




Good luck

This

Sell the telly.

Sell the phones - buy cheap old style nokia put the sim card in.

If no telly no telly licence...

glasgowsaver2011

If you are not getting JSA - then get a job, evening work say, in a bar, or security.....

glasgowsaver2011

Protocol45 wrote: »

I was claiming that, but since I was full time carer, it was not practical to turn up every week, carrying my son and show them evidence of looking for a job. It was stressful enough when she was working part time. It got to the point where they were talking about me picking up litter and having to attend courses, all of which were impossible looking after my son. I have no one to look after him, except a friend who can only take him a few hours a week, if that.

You are not a full time carer, you are a dad.

And thats what happens when you have a kid, you have to arrange childcare

so arrange to work evenings or weekends or nightshifts.

Picking up litter? sounds fine.....

unless you are too good for that!:(

[Deleted User]

glasgowsaver2011 wrote: »

If you are not getting JSA - then get a job, evening work say, in a bar, or security.....

Security could be ideal, as night shifts can be worked around your OH's shifts.

Hours tend to be long (typically 12 hours) but, as a result, the salary can be pretty reasonable.

60 hours per week, even at minimum wage, is over £1,600pm before deductions, which will be over £1,000pm Nett.

Protocol45

glasgowsaver2011 wrote: »

And thats what happens when you have a kid, you have to arrange childcare

Yeah, because thats free. :think:

Picking up litter so I can earn my £xx a fortnight only to hand it over to a childminder (finding one that cheap will be tough enough) is a complete waste. No difference to staying at home and looking after him myself.

Apart from the above, thanks all for the very helpful and ensightful comments. I'm on the right track now, I've posted letter and started to take care of my affairs properly. The next few weeks/months will be crucial, I will no doubt report back with an update in the future or have any other queries about this. :beer:

hollibobs_2

I have to say, cancelling direct debits I find not that good advice...you just cancel them and then the letters start coming in telling you that default payments have been added to accounts...

And saying get rid of mobile phone contracts are not easy... You are tied into a contract and if you can't pay your way out of it then some of the carriers really don't give a monkeys...and some will not even reduce your monthly bill..

I'm not dissing this is just my opinion

glasgowsaver2011

Protocol45 wrote: »

Yeah, because thats free. :think:

Picking up litter so I can earn my £xx a fortnight only to hand it over to a childminder (finding one that cheap will be tough enough) is a complete waste. No difference to staying at home and looking after him myself.

Apart from the above, thanks all for the very helpful and ensightful comments. I'm on the right track now, I've posted letter and started to take care of my affairs properly. The next few weeks/months will be crucial, I will no doubt report back with an update in the future or have any other queries about this. :beer:

No, your childcare is not free.

currently your childcare is costing you what you would earn-so in a minum wage job, approx £1k every 4 weeks.

Or you could work shifts that mirror your partners

And dont forget you and your partner would share the cost of childcare......