Facing up... A call with step change tomorrow

Iwill86

Hi all, I am new to this site and hoping you can offer some support/advice.

After leaving my ex husband in August 2014 I am not ready to face up to the mess of debt I have gotten myself in. I am not proud and made some silky mistakes but want to get on the right foot and get sorted.

I have a call with step change tomorrow and wondered if anyone could offer any advice.. I have around £9,000 of debt from various sources and not sure what my options are to pay back. There seems to be so many different ways, I mentioned a debt management plan and they advisor mentioned that it might not be the best solution, what other solutions are there?

I work full time and have 2 children, I am currently in private rented accommodation- not sure if any of this helps but just so you had background.

Hoping someone can advise.

Also after sorting all this debt how can I rebuild my credits rating?

Many thanks in advance.

kendall17

Congrats on taking the first steps!

Your advice session tomorrow will answer all the questions you have.

The other options are all dependant on your situation and surplus/deficit in your budget and there are quite a few - all in the link attached. http://www.stepchange.org/Debtinformationandadvice/Debtsolutions.aspx
Have a read through the solutions and see what you think will be best for you.

On_my_way

Hi and welcome,

Firstly, you are in the right place and £9k is small change compared to what many people owe and have owed so you will be able to sort it out quite easily with some changes.

Study this forum for lots of tips on how to save money and deal with things.

Stepchange will be good to talk to and won't judge you so don't worry- just be honest about everything and it will be fine.

Welcome and good luck with your new life

January2015

Hi iwill

Welcome and well done on contacting StepChange. They are fantastic people, extremely supportive, totally non-judgemental and you will be amazed at the sense of relief you feel just for telling someone about it and knowing they can help you with road to clear the debts.

I know On my Way said £9k is small change compared to what some people on here owe - myself included (our debts are ten times yours) but it doesn't matter how great the debt, the burden you clearly feel is probabaly no less than ours. Also don't worry about how long it takes to repay - just work with StepChange, stick to whatever plan they come up with - if you find it too tight with money, don't hesitate to go back to them and they will work with you to adjust the plan.

We are only just starting our DMP with StepChange (first payment goes on 1st March) but I've already spoken to them and adjusted the monthly direct debit they collect by approximately £50 per month. I explained why I felt we would struggle on one particular section of our budget and they agreed it was a legitimate reason and were happy to increase that section to a higher than usual allocation and were confident our creditors would not have an issue with it.

Take care - keep positive. I won't wish you luck - you don't need luck now you are taking control of your finances

On_my_way

I totally agree January2015 - I didn't mean that it wasn't worth getting upset about, what I meant (and probably didn't articulate well!) was that people have cleared a lot more so it is perfectly possibly.

Christopherrobin

I'm in a very similar situation and just wanted to empathise. I've also just split from my long term partner and am living in private rented accommodation. I owe £9500 across four credit cards and have a call back with Step Change on Saturday.

After burying my head in the sand for so long it feels good to be finally dealing with it. But I am also apprehensive of the call. Hope it goes ok for you.

Sazzie23

Well done Iwill and ChristopherRobin, you've had life changing circumstances and are facing up to fixing it. Creditors will respect you for making the best efforts you can to repay, don't stress over what is the 'right' amount, it's the amount that someone in YOUR circumstances can fairly repay.

There's no point trying to pay more than you can afford, if it's not sustainable long term, you'll just default the payment plan and that's best avoided if you can.

So top tip, make your budget liveable, if you spend more that the suggested amount on the SC budget, tell them why (you have a long commute/long term health condition/5 dogs/look after aged mother etc etc).

Good luck and well,done again.

kendall17

Perfectly put Sazzie!