Help with budgeting!

cappuccinotruffle

Hello!

This is my first post to the forum - but I am having really bad budgeting problems.
I stupidly took out a Vanquis card a few years ago and used it all when short of money. I am a student so I am finding this impossible to pay back although I do pay monthly payments of 100 pound, it doesn't actually take anything off the balance - just interest.
I have a part time job but otherwise relying on my student loan, which with travel etc doesn't leave me too much.
I just do not really know what to do - but I really need to try and STOP spending which is impossible when I pass so many shops everyday.

Thank you

ripepear81

Hello, the best thing you can do is transfer your vanquis balance to a 0% card, which means every penny you pay repways your debt. The best deals are flagged on the this site. Depends on eligibility. Draw up a budget that includes a monthly treat so you don't feel deprived ;-)

Roseanne1

As a former student, I sympathise, I really do. I was very lucky in that I lived at home and had the support of my mum and dad. Not just financial, I mostly relied on my grant with my student loan saved to fund my postgrad, but just being able to go home and have a moan when I had a tough day or whatever. I paid something towards my keep but wasn't asked for too much and it meant I didn't have the strain of holding down a job along with the stresses of study.

I am not sure if your University is near your home or if you had to move out. If it is close enough and you are living in a halls, going home may cut some of your expenses.

You mention travelling. I am assuming you can't afford to run a car so use train/bus. Where I'm from, our local bus company does something called a Uni rider offering cheap travel for students. You can get season tickets for trains, which would help save the cost of having to pay for travel every day. Alternatively, do you know someone who can give you a lift, even if you offer to contribute something to the petrol?

Do you have a debt adviser at your University? Even if you got into trouble before you were a student, I'm sure they would be able to help. I'd also contact Vanquis. You say you are paying £100 a month. It is admirable that you are doing your best but you clearly aren't getting very far and it is adding to your financial burden. Phone them and explain your situation and see if you can agree with them a more manageable payment plan.

Temptation is a big killer. One of my vices is popping into the shop next door to my work and getting a packet of crisps. It is cheap enough in itself but it adds up if you keep doing it.

This site has a lot of tools that can help you. One, called the demotivator, allows you to put in details of things like the morning cup of coffee you can't do without, what it costs per cup, what it costs over a year and how much of your income you are spending on it. It is a real eyeopener. If you are still tempted, you can put a pot somewhere at home and put any money in you save by resisting temptation and seeing that build up may give you the incentive to continue doing so.

There is also a very good budgeting tool on here. It allows you to record absolutely everything you spend whether it be weekly, monthly, daily or whatever. It converts all non-monthly spends to monthly figures so you should be able to see whether you have a monthly surplus or deficit. If, as is likely in your case, you have a deficit, there is a lot of advice on here on how you can make savings. I'd encourage you, if you haven't already, to sign up to Martin's weekly email, it has some great tips in there and I have managed to bag free sausage roll, free cup of tea and two free bottles of coke.

Best of luck, it sounds like you really are doing all you can to try and dig yourself out of the situation you are in. I hope everything works out for you.

Roseanne1

ripepear81 wrote: »

Hello, the best thing you can do is transfer your vanquis balance to a 0% card, which means every penny you pay repways your debt. The best deals are flagged on the this site. Depends on eligibility. Draw up a budget that includes a monthly treat so you don't feel deprived ;-)

I was going to suggest the 0% card but will he be viewed too much of a credit risk? My thinking was it would have hurt his score the fact that he has this outstanding debt that he can't pay and, if one of these card companies do a search, they may knock him back.

To the OP, if you try to go down this route, make sure you register for Quidco and Top Cash Back and check out the finance and banking category because you can get cash back just for being accepted for a credit card. A nice bonus for you, with which you can supplement your other income.

grumbler

cappuccinotruffle wrote: »

... I really need to try and STOP spending which is impossible when I pass so many shops everyday.

Change your route and leave your cards at home.

DCFC79

You need self control, don't take the credit card out with you.

Are you working OP ?

cappuccinotruffle

Thank you all very much for your replies - sorry I have taken so long to get back.
I am working, but originally I did have two jobs - but because this was making an impact on my studies I cut down to one. I did have 30+ hours at this job, but as I am on a 0 hour contract this has been cut to about 5 hours a week and there is nothing I can do about it.
I have arranged a meeting with the bank to see my options about 0% cards etc which they suggested, but unfortunately I just don't know why or how I have managed to get myself into such a mess.
How do I get my credit rating back up after repaying it all?
I've made myself a budget and a debt payment plan and it looks like I shall be free of it all next year - but this is depending on nothing else changing which worries me.

Thank you all so much.