I want to stop drowning

BabyStepper

I've tried to use credit as an emergency fund in the past and in my experience it just doesn't work. You're making the right decision to keep your savings. Well done.

[Deleted User]

I agree with all of the above. I tried using a cc as emergency fund and it just made me spend unnecessary money on it, so I'm saving up an actual EF instead - and because it's my own actual money, I'm much more protective of it than the virtual "not really mine" cc.

debtaghh

Hi,

I've taken all your advice and am not using my cc as I was also worried about not monitoring my expenses.

My dad has lent me a few thousand but I have to pay him back monthly £350 but it will be cleared in under a year. I've paid a large chunk off the Tesco and current cc debt is just under £51k. I have also been given more hours at work meaning approx £150 extra a month and I have taken on quite a bit of overtime over the summer. I am really on a mission this year to reduce as much debt as possible!

[Deleted User]

Hi debtaghh,

good news on the increased hours and overtime!

I hope you feel a bit relieved about the reduction in cc debt.

I would be careful of increasing debt with family due to your concerns about not being able to include it in a potential DMP. If you shift more and more debt from cc to family, it might make a DMP even less possible for you which could essentially block your exit out of the situation.

I hope the £150 extra a month are what tip you over the edge in terms of affordability of debts. Good luck!

debtaghh

Hi,

I know what you mean but I'm really going to try and clear this debt without doing a dmp etc. I'm trying to work as much as I can and my dh has taken on overtime.

wishingthemortgaheaway

I'm pleased you've decided not to use the cc, I think that's the best solution.

By paying a large chunk off the Tesco cc with the money from your dad, have you reduced the minimum payment to that card by the £350 you now need to pay your dad each month?

The extra monthly money is going to help, with your increase in guaranteed money, does your Soa now balance without yours or hubby's overtime? (I can't remember if it did before or not - sorry)
My thinking is, if your soa balances without overtime money, all the extras could be split between savings and debt overpayments.

debtaghh

Hi,

We have a shortfall now due to my dad's £350 but that doesn't account for overtime and worst case I'll not save £200 per month. I also will have two months without council tax and have worked out due to overtime etc that I have August and September's payments sorted and by October I'm hoping my minimums will be a little reduced.

MrsSave

How are you getting on? Especially with the school holidays? It’s definitely an expensive time of year!!

debtaghh

Hi,

Ok at the minute , I had allocated money for the holidays and at the minute it is ok. I've been offered another job one day a week meaning I would work 6 days a week , I'm thinking of doing it for a few months to help clear more debt... what do people think? It would be 37 hours in total that I will be working but over 6 days and some if that is term time so wouldn't be 6 days all year. I'm thinking of trying?

motivated

Hi debtaghh glad to hear your doing ok and still upbeat and positive

Good on you for allocating spends for the holidays. I remember the school holidays and how much you end up spending if you're not careful.

As for the job I think there's no harm in trying. At least you are taking positive steps to becoming debt free.

Every little helps eh
M