In Debt & Determined to get out!

bsbloke

Hi anna_1997,

• Mobile Phones - Me and the wife have a phone each and they are both on contract for at least another year. Once we can renew we will both go sim only and get a massively reduced tariff.
• Groceries - Since we live with my parents I pay them rent of 1000 to pay the bills and also 500 for food for the house.
• Clothing for daughter - We have overspent here and she more than likely has more clothes than she needs. This needs to be addressed.
• Car Insurance - Up until a couple of years ago I've never needed to drive so the best deal I can get insurance wise is £88 a month even on a KIA picanto! I've tried gocompare and confused.com last time my renewal was up and that was the cheapest deal. I've only been driving for 2 years though so I'm assuming this will go down again next year.
• Haircuts - I shave my own head with clippers so I don't pay for the barber. My wife has her hair done maybe twice a year by a friend. It costs her £20 a time. My daughter's only 2 and so far has had her hair cut once by the wife's friend £10.
• Entertainment - I cannot remember the last time we had a day out to somewhere that wasn't free. Free stuff is great and all but honestly we rarely spend money unless we have to. We have a television in our room which was ours in our old house and my daughter has toys and books. We do the best we can with the resources we have.

Here is a better breakdown of the debt as well:

• Barclays Partner Finance - £1,306.31
• Lowell - £457.59
• Moorcroft Debt Recovery - £9,412.12
• Moorcroft Debt Recovery - £1,230.58
• Moorcroft Debt Recovery - £20,095.93
• Moorcroft Debt Recovery - £601.78
• NCO Resolve (Shop Direct Accoutns) - £638.37
• Westcot Credit Services LTD - £1,747.90
• Westcot Credit Services LTD - £2,290.19
• Westcot Credit Services LTD - £346.73
• Moorcroft Debt Recovery - £5,022.30

Thanks

Jon_B_2

I apologise in advance for this suggestion, but.

Am I reading right that you are paying £1,500/month to live under the roof of your parents?

IMO, that is extortionate and far from helping you out, it looks as though your parents are profiteering out of your plight.

Put it this way, when my wife, 2 year old daughter and I moved in with the in-laws whilst our house was being built we paid £400/month and that was just for our share of groceries.

Sounds like you are trying to do the best for your kids, but it doesn't sound like you are getting the same treatment.

MallyGirl

if your DMP was fee free, which it will be when you switch to someone like Stepchange, paying just £130 is going to take you nearly 28 years to pay it off.
Surely you need to pay your parents less and your creditors more or you will be still living with your parents when you are nearly a pensioner.

bsbloke

Jon B,

I agree. It's a hell of a lot and me and the wife are trying to save up a deposit to move into somewhere cheap like a little two bed flat.

My mum would let us stay for free but my dad isn't that way inclined.

It's where we're at and we've got a long way to go.

tlc678910

Hi,
£1500 a month rent, bills and groceries is putting you in the position that your outgoings are higher than renting somewhere small.

Although awkward I think you need to have that conversation with your parents. Perhaps show them the type of flat you are saving a deposit for (on right move etc), your estimated bills and point out that at the moment you need to move to somewhere more affordable than living with them. Unless your parents are struggling with their own financial problems that is madness.

Your wife seems to be bringing in £600 while you have childcare costs of £250. Can your wife get a job with hours that fit around yours so that you don't need to pay childcare - evenings, weekends, nights? Retail, leisure and care all have lots of jobs with antisocial hours and the potential for lots of overtime for someone on a part time contract to help you get that deposit together quickly.

Tlc

purplepaws

Hello BSBloke,
I wish you lots of luck and congratulate you for facing up to reality whilst your daughter is still young. I do hope you can get your stuff in order and be on a steadier footing for the future.
I'm a Mum of 16 & 18 yr old boys and married to a great man for over 20 years who has become ill and will have to stop working very soon.
Not moaning and being 'woe is me' about it but we're in a 'wealth trap', having being used to Hubby earning high and spending hard for most of our married life. Nice house, nice cars, private schools, etc.
Due to his work, we always thought he was going to be financially secure for life and we did not plan for this type of crisis. Health insurance plans, that have been paid into for 23 years, will not pay out because of tiny small print and we are not entitled to any benefits. We are now up sh%t creek with no paddles.
Nobodies fault but our own.
Our sons have learnt a valuable lesson from our mistakes, this is a good thing and they are very money savvy teenagers.
So all the best with your debt free journey but try to live 'in the now', your daughter will soon be all grown up and you'll wonder where the time went!

MrsTinks

I have no issue with you and your partner paying your way at your parents, but I would ask if it isn't possible to talk about a decent rent and either buy your own food or maybe not pay for everyones!

£500 for 3 is really quite high. I get that your parents shouldn't be out of pocket for helping you but £1000??? Wow!
I live in pricey Bucks/Oxon and for £1000 per month I could get a 2 bed and have money for the utilities on top...

Maybe have a chat with your dad in a reasonable manner and explain that the rent and contributions are really very high for what market rate would be... and you're trying very hard to fix the mess you have ended up in. You're happy to pay them, but can it be re-negotiated? What's the worst he can say? No?

Ironically if he turfed you out you would be better off as having been made homeless you would qualify for emergency housing (not ideal) and then be top of a priority list for housing...

FBaby

How many rooms are you renting at your parents' house? How much rent did you pay before? Surely you can't be paying all their bills/mortgage, so even if they expected you to contribute half, does their mortgage and bills comes to £3000+?

enthusiasticsaver

I can't believe your parents are charging you £1000 per month to stay with them. That is no favour believe me. I would also say you need to talk to them and tell them you can't afford that. Ditch 123 without delay and concentrate on getting living costs down by moving into small flat. The groceries figure is high for 2 adults and I small toddler and if you are already paying £1000 rent then you should not be paying £500 to groceries as well. The mobile phones, car insurance and road tax is expensive. £60 per month? You will be on a dmp forever if you do not make some changes but I feel very sorry for you if your parents are really taking advantage of you unless the £1000 is som sort of repayment for money borrowed from them. Are they retired or on low income and using you to keep up costs on a large house? Move without delay.

MrsSave

When you say you're trying to save a deposit, do you mean to buy somewhere? IMO you would be paying far less by renting somewhere else other than staying with your parents. £1500 per month is huge. I'd have a chat with them. Do they know your financial situation? Could you even pay for your own food and they pay for their own?

If you can't get your car insurance down due to the fact you haven't been driving long, at least make sure you use cashback sites such as topcashback or quidco to get something back.

Well done for facing up to things. It's a big step to make.