How have we managed this?

boobear898_2

Hi all :hello:
just wanted to say hi, new to all this and have been sat this morning working out debts when my lightbulb moment hit. I sign up to MSE a few mounths ago but didn't think I'd need to use it!!!! Then suddenly debt, debt and just for good measure yep you guessed it more debt. Well have decided to do something about it now so here I am any tips and advice would be very welcome.

Thanks Becky

cantcope

Hi boobear. I'm sure someone will ask you to post a SOA. That way people can help with suggestions on where you can cut down and what debts to pay first etc.
These boards were priceless to me when i first started paying my debts.
Good luck and well done for posting x

Crown

Welcome aboard Becky!

Its not a easy or pleasent journey but the destination is the most beautiful and peaceful place known. Its important you remember that when/if things start getting a little tough

As already mentioned please post up your SOA (details can be found on how and whats needed in the first timers post at the top of the forum)

Wish you all the best and look forward to seeing you around the forums

penguin83

Welcome Becky.

Good Luck with your journey, you will soon be as addicted to DFW as the rest of us.

x

Dumbledore55

Hi boobear - post on here as soon as you can the real amount of debt you are in - the sooner you see it in writing the sooner your lightbulb moment is truly reinforced!

Then, if you post your SOA you'll get some invaluable advice. This board changed my life - I will be debt free in December, the first time in my adult life I won't owe anything but a mortgage. I couldn't have done it without the help, support and tips from the good people on here.

mrsspendalot

yep - its very addictive! i find that I only stay on track when i spend most of my free time logging on here!

boobear898_2

ok here it goes let me know if I've done this wrong please!!

Monthly Income

Salary £2500
Benefits £160

TOTAL £2660


Monthly Outgoings

Mortgage £904
Council Tax £120
Gas £25
Electric £25
TV License £11
Sky £46
Internet/mobiles £150
Car Insurance £110
Petrol £70
Other Insurances £240

TOTAL £1700


right then the debt:o

Car loan £6700 over 60 months 24.4% started 3/07
Bank loan £10000 over 60 months 7.9% started 10/06
Overdraft £3000 15.9%
Tesco credit £3750 12.9%
Asda credit £900 14.9%
Halifax credit £800 12.9%
Toys r us £440 19.9% (start paying 3/08)
Littlewoods £800 0% (start paying 2/08)

Grand total of mess =£26390:doh:

Wannabesaver_4

Hi boobear!

Welldone for making the first step to being debt free - i think it always helps to remember that there are so many people out there for havent even taken this step yet so welldone!

IN your SOA you havent included food, prescriptions and bits like that so have a think about that. Also how much are your debts costing you a month each?

Savings that could be had from a inital view i woudl say are your internet, Sky and mobiles.

I have sky and pay £20 a month plus £11 to BT. That includes all my calls, a really good TV package and broadband (which as part of the package costs a measly £5 a month)

Perhaps try to reduce your insurances by using a comparison website - same with car insurance.

Have you thought how you want to deal with this, ie. by yourself or getting help through a debt charirty like CCCS or payplan.

I went through the CCCS and its the best desicon i ever made. They are wonderful people and when i started with them last Oct i had £30,000 of debt, today i have £16K. Still not great but a vast improvement. This was done through selling house and using equity as well as getting the CCCS to freeze interest which makes your payments actually target your debt rather than the interest. i will now be debt free in less than 2 years - a fab feeling!

Sorry - i know there is a lot to take in but good luck!!!!! !

evab_2

HI, just a few things!

*You haven't mentioned how much you spend on food and how many you feed.
*Nor any money for going out, present (birthday and Christmas)
*Car tax and repairs

Best wishes Eva x

climbgirl

You need to do a FULL budget - food, birthday presents, spending money - every last penny you spend. This is a major reason why most budgets fail - they don't account for everything. If you're not sure where your money goes each month, start a spending diary.

A few things from the expenses you've listed so far - Sky has to go. You simply can't afford it when you have this level of debt. Consider a freeview box instead.
Your mobiles and internet is extremely high! :eek: How many mobiles you you have? You need to cut down to the cheapest possible package, or even better, pay as you go. This is far too much money to be spending each month on phone calls....

Your car insurance seems high, have you made sure you're getting the best deal? What does "other insurances" cover? Again, shop around and make sure you're with the cheapest provider.