New Debt free wanna be question

Heathersmum14

Hi everyone,

I am new to the MSE forums and I want to say hi and thank you for such a brilliant place,to get advice,and share experiences.

I am currently ona DMP with SC. After I became very ill I had to give up work ,that was when I got myself into debt as I couldn't afford the minimum payments on my debts.

I owe a total of £1200 of debt. My question is this,after Christmas I start a new job where I will be able to increase my payment to SC from £20 a month to £100 a month.

Should I carry on paying the £20 a month and save the remaining £80 ,or pay the full £100??

Not sure what I should do, any advice please would be great. I know that if I just carry on with £20 each month the accounts will get defaulted quicker,am I right n saying that ?

Thanks.

teekay_tk

I am also on DMP. In your shoes I think I would save some money for rainy day or a "full and Final settlement".

dreamywings1

Keep the repayments the same and get an emergency fund in place, as I found that the minute I came off ESA I got slapped with a council tax bill x

Bobarella

Hi there
I think build a small emergency fund to cushion you from future blows. Then clear the debt as soon as you can.
Good luck with it all.
Bob

Heathersmum14

Thank you so much for your reply .I have decided to do just what you have said and save the extra £80 n a pot,and then pay the balance in a lump when I am able to.

I hope that as my outstanding debts aren't huge ,my creditors will just let them tick over.

Thank you .

crazy_cat_lady

Good luck with it... You're doing exactly the right thing - try not to be hard on yourself. We've all been there. And best of luck with the new job.