First post on my debt - please help.

jojogirly

Ok so its time for us to face up to things, We were struggling before but over the last few months hubby (since hubby was laid off from a higher paying job) we are really struggling. We have never really lived on a budget and I really dont know how to cope with what we have got ourselves into.

Our siuation is we have a 7 and 6 year old.

Monthly income:-

Hubbys :- 1950.00
Mine :- 120.00
Family allowance :- 116.00

---

Total :- 2186


Out goings

Morgage - 1046 (now 2542 in arrears)
Car loan - 347 (now 1037 in arrears) To much oweing to sell would end up without a car which hubby needs for work
Council tax - 110 (1300 in arrears - the whole of this years oweing)
Electric - 32 (just had 67 bill)
Gas - 40 (99 bill outstanding)
Water - Bill of 558 outstanding
Sky - 31
house phone with internet - 95 (173 outstanding)
Hubbys mobile - 100 (needs for work)
Credit cards - 120 (total balance 5500)
Loan repayments - 120 (21 months left)
Provident loans - 120 (balance 1235) stupid I know !
Tv licence - 11
car maintence plan - 26.24
life insurance - 24.53
car insurance - 39.98
house insurance - 22.40
Food including school meals - 450
Dvd rental - 18 (will be cancelling today)
Diesel - Hubby gets through work so we dont pay for any.
Apart from this we spend another £50 - 60 a week on I have no clue what, Hubby does smoke, pressies for kids bday parties, school trips, the odd happy meal etc.

Catalogues gone to collection - £1200
Credit card gone to collection 1200 outstanding

Its easy to see we are living way beyond means with nearly £3000 a month going out and no extra coming in. I am scared we will lose the house and I am ignoring phone calls from people I know I cant pay. Everything is maxed and this is the end of the road.

I dont know where to start. Hubby is away with his job most of the week so it means I cant get a full time job, We have no relatives to babysit kids whilst I work.

There thats it - Its said - all of it - for the first time ever.

rayday2

You need to get in contact with either CCCS, Payplan or the national debt helpline now!

They will go through the options mention to them you need to keep the car for work - is it part of his contract that you have a newish car and they pay the fuel?

There are answers but I am afraid ignoring the phone makes things worse start tackling things and you will feel much better.

DO you not get tax credits try www.entitledto.co.uk I think thats the link and see.

floss2

Hello & welcome :wave:

First of all, you've taken the first step - lots of poeple on here will be able to suggest ways to help & improve things. It won't be easy, but we're here to support you.

I would suggest that you start a spending diary, to see where that £50-60 is actually going, then if you can read Southern Scouser's thread for first-time posters, and post a full SOA (statement of affairs) with APR's, credit limits etc, then people can take a look & offer assistance.

Oh, and grab a cup of tea - you may need it!

fuschia_2

jojo well done on making your first post and of course well done on actually wanting to do something about your debts. I agree with the above contact paypal/cccs and they can help you with a debt management plan for free.

rayday2

I honestly think you have so many priority debts in arrears you need professional advice now. There is hope but the sooner you get it the better. There is so much money you are short on a month that cutting back advice you can do later today now you need to get a professional on the phone!

benbenandme

Well done for posting ... others will be along soon who can help you more than I can, but I think your priorities have to be your mortgage and the council tax.
Your food bill seems very high, have a look at the oldstyle board, would it be worth giving the kids packed lunches instead of school dinners? Also if your husband works away does he get food provided? This could be ut quite drastically;)
The house phone seems quite high too, I pay about £30 a month for phone and broadband with Talktalk, all calls are included (except mobiles).
I understand your work situation as I am a single parent with little childcare around here too but don't rule out the possibility of finding something, I have got a job as a teaching assistant, its not great money but it is school hours and term-time only so is convienient.
Like I say, others will be along soon but you've taken the first step, have a look at the "bit on the side" thread (think its on this board or the mortgage free board) for other ideas, possibly mystery shopping or ebaying for some extra cash??
Good luck and keep posting!! x

chevalier

jojogirly wrote: »

Ok so its time for us to face up to things, We were struggling before but over the last few months hubby (since hubby was laid off from a higher paying job) we are really struggling. We have never really lived on a budget and I really dont know how to cope with what we have got ourselves into.

Our siuation is we have a 7 and 6 year old.

Monthly income:-

Hubbys :- 1950.00
Mine :- 120.00
Family allowance :- 116.00
You should be able to get working families tax credits at this amount of income. Check out on www.entitledto.co.uk to see what you can get.

---

Total :- 2186


Out goings

Morgage - 1046 (now 2542 in arrears)
Car loan - 347 (now 1037 in arrears) To much oweing to sell would end up without a car which hubby needs for work
Council tax - 110 (1300 in arrears - the whole of this years oweing)
Electric - 32 (just had 67 bill)
Gas - 40 (99 bill outstanding)
Water - Bill of 558 outstanding
Sky - 31phone them up if you can't bear to cancel, and say you want to leave they sometimes do you a deal to keep you.
house phone with internet - 95 (173 outstanding)
Hubbys mobile - 100 (needs for work)If he needs this for work, then can work pay for it?
Credit cards - 120 (total balance 5500)
Loan repayments - 120 (21 months left)
Provident loans - 120 (balance 1235) stupid I know !
Tv licence - 11
car maintence plan - 26.24
life insurance - 24.53
car insurance - 39.98
house insurance - 22.40
Food including school meals - 450this is too much I feed 2 adults, 2 children and 2 cats on £275 a months, and that is eating well. You could make massive savings there.
Dvd rental - 18 (will be cancelling today)
Diesel - Hubby gets through work so we dont pay for any.
Apart from this we spend another £50 - 60 a week on I have no clue what, Hubby does smoke, pressies for kids bday parties, school trips, the odd happy meal etc.

The absolute FIRST PRIORITY is that you talk to your mortgage lender ref about the arrears on your mortgage. Can you take a mortgage holiday, or go interest only for a while. If you don't talk to them asap, they WILL start the reposession process.

Likewise, you need to sort out your council tax. This is one of the few things that you CAN go to prison for for non payment. Ask to pay over 12 months not 10 and explain about the period of unemployment.

Next please please phone CCCS or Payplan to get some help. You are in a precarious position right now, but not QUITE over the edge. But if you ignore this much longer then it will get much worse.

Could you get a job 10-14.30 in a shop or a bar? Some times they want someone to cover the other staffs meal breaks.

best of luck
chevquote]

hitback

Hi there.

Fairly new to the forum, but we contacted CCCS last Sept and are currently on a DMP. Please talk to them, they can really help you! After just one phone call, hubby and I shaved off over £250 of unnecessary household expenditure just by switching utility providers!

You are in the very best place for sound advice and support on this forum!

Good luck!;)

chevalier

Also what about mystery shopping, this could be fitted around school runs? There is a big thread on this at the top of the forum
chev

bargainbetty

Welcome honey. Take a deep breath and relax for a second. You have taken a huge first step and will take more soon. Here are a couple of ideas:

jojogirly wrote: »

Out goings

Morgage - 1046 (now 2542 in arrears)
Car loan - 347 (now 1037 in arrears) To much oweing to sell would end up without a car which hubby needs for work Can you sell it, pay off the debt and get a cheaper car.
Council tax - 110 (1300 in arrears - the whole of this years oweing)
Electric - 32 (just had 67 bill) Check on Uswitch.com to see ifyouhave the cheapest providers, and be energy efficient - turn off lights, turn down the immersion/boiler a degree or two (you won't notice that)
Gas - 40 (99 bill outstanding) Same as above
Water - Bill of 558 outstanding
Sky - 31 Cancel it, get a freeview box or:
house phone with internet - 95 (173 outstanding) This is outrageous- I get my internet, houseline and cable TV for £30 per month through Virgin Media. Get on the net and find out what deals your provider offers. Then call up and demand them. I call America for about 6 hours per week and my monthly bill was less than £65.
Hubbys mobile - 100 (needs for work) If he needs it for work, do work pay a contribution? Can he at least charge his calls to them? T-Mobile give me 500 minutes plus loads of texts for £35 per month - lots of other providers do good deals too - check them out and get his contract down to the minimum.
Credit cards - 120 (total balance 5500) See if you can transfer onto a 0% deal, or at least ask the CC company to reduce the interest rates to the lowest deal they are offering in the press.
Loan repayments - 120 (21 months left)
Provident loans - 120 (balance 1235) stupid I know !
Tv licence - 11
car maintence plan - 26.24
life insurance - 24.53 Use the boards here to check you have the best deal.
car insurance - 39.98 - as above.
house insurance - 22.40 As above
Food including school meals - 450 You can halve this with meal planning and packed lunches. Look at the Old Style board for hints.
Dvd rental - 18 (will be cancelling today)
Diesel - Hubby gets through work so we dont pay for any.
Apart from this we spend another £50 - 60 a week on I have no clue what, Hubby does smoke, pressies for kids bday parties, school trips, the odd happy meal etc. Start a spending diary to see, and you'll see the waste soon enough. BTW, smoking has to stop - ask your doctor to prescribe the patches and hubby'll get a month's worth for one fee.

Catalogues gone to collection - £1200
Credit card gone to collection 1200 outstanding

I dont know where to start. Hubby is away with his job most of the week so it means I cant get a full time job, We have no relatives to babysit kids whilst I work. Start joining survey sites and finding what you do purchase via Quidco.com - you'll find that pennies do start adding up.

There are template letters on here to send to creditors which should help get them off your back - I can't find the link, but I am sure that some clever person here will and post it for you.

Take care and keep posting - the people here are amazing and supportive!

BB

You'll feel so much better just by knowing you are making a difference,

jo1972

Hi and welcome :wave:

Well done for posting, it can all seem so overwhelming can't it. You are in the right place and will now get tons of advice to help you sort everything out. You will have to be very strict with yourselves!

Definately give CCCS/Payplan/National Debtline a ring today, as the mortgage, council tax arrears are a worry and something that could turn out very nasty if you don't get these sorted now. All the other ones can be dealt with next and then work at ways of shaving bits off of what you're paying out at the moment.

Good luck and look forward to hearing your progress

Jo.x