Starting Over

yorkshiremum13

Hi, new here and ready to clear my debts!

I've gone from being in £12,000 of debt down to £5500 which has taken me 4 years this month. The reasons for it taking so long is 4 months after the debt began I fell pregnant, lost my job and had to move to a smaller home and save to get my new family into a bigger home. We've now been in our home just less than 2 years and in a more relaxed position to budget.

Now my biggest problem is my bank, I took out a credit card to buy carpets in my home as when we moved my daughter was crawling. I am still paying this off (have made 1 or 2 indulging spends on this since) but only have to pay off another £320 to clear it. Anyone know of any decent 0% credit cards with balance transfers to help me pay it off quicker?

I also have a bank account with a £600 overdraft. Now I've not been out of this for 2.5 years... I need to pay it off and get rid of it, but income just doesn't cover it enough... I do have a spending problem. If the money is in the account I will buy things, I don't throw it away but I do buy stuff for the house which I suppose I don't need another bookcase/ lamp (baring in mind I don't have expensive taste I love ikea)

Anyone got any tips on how I can stop spending?

My last idea was placing all cards in an envelope on the fridge, another envelope for petrol money and another for banking. Banking was done by putting cash in the envelopes they give you, this way I had no card on me but maybe £5 in change for emergencies.

Help!

yorkshiremum13

Well it's now July and I now have hit rock bottom. child tax credit has been cut. And HMRC cannot say why, I have to wait 5 weeks for it to be investigated. We have officially ran out of money. I now have 7 tins of soup, 4 tins of beans and 2 tins of chopped tomatoes to last us until the 16th. I'm starting to panic. I've not been able to pay off any debts this month. And OH has decided he wants a new job. Which I'm dreading. I don't know how to get out of this hole.

Bobarella

Have you posted this on the main boards? You need proper advice and less people will see it here. My own first thought was have you got a food bank near you?

AnxiousHomemaker

Hi, so sorry to hear you are having a rough time at the moment, not sure what to say about tax credits, I claim them too and know how much of a nightmare they can be, I can't even tell you how many times they have changed the amount that I receive and i've only been claiming them for 2 years!

I'm new too but from what I can gather you could probably get more specific advice on the main boards. also could you post a statement of affairs on the main board to as people may be able to offer advice on where to save money.

xxx

beanielou

Can you go to your nearest CAB?
They can advise you on your debt, issue a food bank voucher if you need one & can get in touch with HMRC on your behalf.

yorkshiremum13

Latest. Child tax credit up and running again. Just hard 4 weeks between payments. Got one debt paid off, credit card paid off and debts down to £4600.

Latest bump in the road; I'm pregnant. Wanted but was told I'm infertile so a bit of a shock.

EssexHebridean

yorkshiremum13 wrote: »

Latest. Child tax credit up and running again. Just hard 4 weeks between payments. Got one debt paid off, credit card paid off and debts down to £4600.

Latest bump in the road; I'm pregnant. Wanted but was told I'm infertile so a bit of a shock.

Well congratulations! Not surprised you're a bit shocked though!

Can I suggest you sort yourself out a SOA (Statement of Affairs) and get it posted in here. You'll find the link in the "sticky" thread at the top of the main DFW board. People will then be able to cast an eye over your income and outgoings and see where you might be able to make savings.

Bobarella

Congratulations to you!

yorkshiremum13

Thank you essex I have tried to find it but keep losing where I am!

Latest update: now 32 weeks pregnant. Done really well saving so much getting things ready for baby. Bought most things second hand, and anything new and expensive has had money put towards it from family members.
My debt is now down to £3970 which feels so much better but payments have slowed down in the past 6 months.

Worried that we won't have a good income once I start maternity leave in 4 weeks but hubby has got himself a small pay rise. It's not much at all but it's something!

Income will be dropping from £2400 pcm to £1800 pcm

Bobarella

Congratulations on getting your debt down so much. With all the dramas you have still done very well.

Glad your pregnancy has gone well and you feel prepared on that front at least.

yorkshiremum13

Thank you Bobarella, it's been hard and we've struggled a lot, spent a lot of nights crying but just keep thinking every month we're getting into a better position.

We've also had a great email about a court case regarding a car accident I was in has been won. And I'm expecting payment of £3000 which will get one payment paid off and I'm treating myself to a computer so I can start my business in 2018 (been training to be a freelance bookkeeper) -- feels a bit of a joke to me that I'm in debt and wanting to work in finance... so once this cheque comes in my debts will be down to £1700. Which I plan to pay off over 18 months as I want minimum payments to go out whilst on maternity leave.

Feels so good writing this!