No idea what to do anymore... sinking deeper into debt.

Hi all,

So I am 25, my husband is 28 and we have two children, live in a privately rented house and the only asset we could say we have is a car that is on HP, my father in law is the guarantor for this, the payments go from his account and so we pay the monthly amount into his account to cover payments. Apart from that we have nothing of value, no savings, pension, investments, mortgage or anything!

My husband works full time and at the moment I am awaiting my youngest to start school in Sept so I can go to full time work! I am currently a housewife. Which is not helping.

A little about the debt situation... all in all it's roughly £5000 - £6000 worth of debt, this isn't including our car on HP and we have a loan of £3000 but again my father in law is guarantor so that gets paid no matter what as we can't let him down and ruin his credit.

Most of our debts are overdrafts from an old bank, credit cards, catalogues and payday loans. A couple of old phone contracts and they are our main debtors. It's absolutely crippling us. We simply cannot make any payments to any of these 15 companies because we barely live or survive let alone have extra money! It is incredibly hard, depressing and heart breaking that we are in such an awful situation and cannot do anything. We are paying the lowest amount on our Sky tv service, neither of us have mobile phone contracts anymore we are on pay as you go, we don't have any hobbies, extras or go out. Neither of us smoke or drink and apart from the car on HP, we shopped around and get the cheapest deal on electric and gas, water and have tried to look at any possible way we can bring our bills down but we can't budge on anything else which is rubbish as it means we are stuck.

We can't do a DRO or bankruptcy so we looked into an IVA a little but we're not sure where we stand with that as neither of us feel comfy going into a 5 year contract with something we are not sure we could maintain, it terrifies us. I just don't know where to turn. We want a mortgage but can't save. After bills are paid, fuel in car we barely have enough for £60 a week to shop for a family of four.

I am so fed up, I suffered badly with depression before and it's got to the stage I am terrified it's coming back and I am scared for my husbands life he is so down also. It breaks my heart that I can't help. I'd do anything to get us out of this situation. I know there are many people in these situations currently but it's so easy to feel like your the only one.

Thanks for any help or advice guys!!!

Mrs Morgan :(


  • Hi Morgan

    I didn't want to read and run. Take a deep breath and try and calm yourself.

    I know this must be heartbreaking and incredibly worrying but after all it is only money. You have a roof over your head and two young children. Your health and theirs is so much more important that numbers in an account.

    I think the first thing to do is post an SOA you con find this here

    This isn't just for our benefit but will also help you to look at where your money is going. People here will see where you can cut back. I know you think you have economised everywhere but the guys on here are fab!

    There is light at the end of the tunnel. September is 7 months away. Can you ebay things to tide you over. This will be a really hard 7 months as you are living a hand to mouth existence at the moment it seems but it will get better. There is no money problem that cannot be sorted. Try and put the idea of a mortgage out of your head for a while, it isn't going to help you to fixate on something that isn't within your reach for a while.

    Best of luck.
  • Didn't want to read and run. This is the 'diary' area of the Debt Free Wannabe section. Come out into the section itself and repost there. People will see it then and be able to help.
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