NEED to sort this...

Anxioustwentysomething1

Hi everyone,

New here and you guys all seem great and supportive. I've got to the point where I've realised I need to sort my debt out as it's giving me anxiety and panic attacks.

My debts currently stand at:

Overdraft 1 - £2,500

Overdraft 2 - £2,000

Credit card - £750

I currently take home £1400 a month and after rent and all bills am left with about 500 pounds. I know there'a a way but it feels overwhelming.

I've also gone into an unauthorised overdraft this month and am terrified about what this'll mean... Am not paid for another two weeks.

I'm only 25 and feel I have nowhere to turn with this.

Anyway, plan to start a diary and share my journey...

Xx

andyfromotley

Hi ATS

dont be overwhelmed. There is no debt problem that cannot be resolved.

Start by filling this in and we can start to help.

http://www.stoozing.com/calculator/soa.php

sourcrates

Anxioustwentysomething1 wrote: »

I'm only 25 and feel I have nowhere to turn with this.

Anyway, plan to start a diary and share my journey...

Xx

Hi,

There are people on this forum with 60/70k plus of debt, your debts are fairly minor in the grand scale of things, and you have a healthy income to boot.

You could if you chose to, walk away from these debts tomorrow, and only have a 10% chance of ever been taken to court for them, so let's keep a realistic sense of perspective here.

With that amount of spare income, you can crack this in a year or less.
SOA first port of call !!!

Anxioustwentysomething1

Thank you both, I'm well aware my mind makes things worse than they really are - had images of bailiffs and court, gotta love anxiety.

You're right - I really could be debt free in 2017. Going to try and get a good night's sleep now (honestly, even you just reminding me of perspective has done wonders) and will post a SOA tomorrow.

Thank you again xxx

KirstyO

Hi,


Didn't want to read and run. Your situation sounds exactly like mine was when I started my debt journey, similar age, similar debt totals, but I think you've caught yourself earlier than I did. My light bulb moment didn't come until someone forced me to sit down and open a load of ignored letters, so well done on getting started now!


Follow the advice on here, it really is very good (and you know it's genuine people talking from experience). Start with the SOA, and see what people suggest, then if you'd like to you could talk to Stepchange or National Debtline who may make further suggestions.


The differences in our situations is income. At the time of my debts, I had just £44 a month left over to go to over 4k of debt. This meant that I needed a debt management plan in order to keep my creditors at arms length while I paid it all off.


It depends what your 500 left over has to pay for, but if it is food and 'nice things' there is no reason that you couldn't be really strict with yourself and have your debt halved by Christmas.


I hope you got a good nights sleep. The impact of being in debt has left me with anxiety, but I am managing it. I don't have panic attacks any more and I used to get nightmares but these have stopped too. It's the usual things that bother me, answering the phone, unexpected knocks at the door, but that was because I was at the stage of being harassed by people who wanted their money back. If you aren't at this point yet there is nothing to worry about.


I don't think at the moment you are in 'financial difficulty' as this board knows it (at its worst), your biggest challenge I guess will be shrinking the debt rather than making it bigger. your priority is to get this unauthorised overdraft paid back and this will stop further interest and fees.


Take care, and let us know how you're feeling

MandM90

Post an SOA and I'm sure other members would be willing to help!

Some things to think about:

Budgeting software

A spending fast

A couple nights a week pulling pints in your local

A huge declutter, sell everything you don't need (good for the soul, and hopefully a small chunk of debt)

During the declutter take out every piece of paper you own. Make sure you know exactly what's going on. Face your fears and take control!

blu3sky

Hi there,

Your situation sounds almost identical to mine- same age, similar debt, similar wage, similar bills! I started paying off my debt this time last year and have now paid off £1600 of my debt and saved £1200 in a Help to Buy ISA. (Normally it's best pay off any expensive debts before saving but my overdraft is 0% interest until Sept 2017 so makes sense to take advantage of the Help to Buy ISA interest/bonus ).

The game-changer for me was keeping track of exactly what I was spending- I used YNAB (budgeting software, loads of info on here about it!) but lots of people on here use spreadsheets or a paper diary. Once you know exactly where your money is going then £500 feels like a lot more money!

Lots of good advice here already but would second the advice to think about another part-time job (bar work, tutoring, life modelling, dog walking- whatever floats your boat!)

Well done for starting your debt free mission! Stay focused and you'll have it paid off before you know it :T

Anxioustwentysomething1

I can't thank you all enough. I feel so different just in the space of 24 hrs! Last night I felt I couldn't breathe and saw no way out - now I'm writing lists and getting this sorted!

So far today I've cancelled my Netflix account and have music magpied everything I can find that I don't need!

After work tonight I'm going to get Ebaying, as well as updating my CV so I can get second job hunting!

I made a complaint to O2 last week about the delivery of my upgrade and it just so happened today they got back to me - no bill for me next month! So that's a nice little start to the day.

You're all inspirational (and kind), thank you xx

KirstyO

Keep it up and keep posting on here, it helps you see your achievements when it feels like nothing has gone right for a few days, and also its inspiration for other people too