Wedding and honeymoon debt

Storm89

I'm hoping to start a diary after lurking for some time, I've been pretty embarrassed about our mess so not wanted to post but having seen how much it helps others I'm giving it a go.

I know exactly how we got into this mess- with a big wedding and big honeymoon with the kids back in 2015. Since then we haven't worried about it as much as we should have but now I'm thinking about how much I hate it hanging over us. I hate how little money we have left each month & am determined to clear our debts. The thing I hate most is how it's affected the kids, and how they're being punished by our mistakes.

In total we owe £18,579.17 all on credit cards.
Credit Card 1- £4,112.49
Credit Card 2- £3,351 (0% interest for the next 6 months)
Credit Card 3- £5,058.68 (0% interest until November 2018)
Credit Card 4- £2400 (0% interest for another 12 months)
Credit Card 5- £3,656.09

I've looked at our finances and realised where we can make cuts and our outgoings and income look like this

OH Income - £2000
My Income- £0
Child Benefit- £136
Tax Credits - £15 per week so £60 in a 4 week month
Total- £2196 (in a 4 week month)

Outgoings
Mortgage - £447.18
Gas/Elec- £51
Mobiles - £45
landline/broadband- £60
British Gas cover - £26
Car Insurance- £35
Petrol - £200
Food- £300
Home Insurance- £28.36
Swimming lessons- £17.50
Council Tax- £123
Netflix- £7.49
Water- £36
Disney Life- £4.99
Union- £19.71
Sofa - £23.68
Total - £1424.91

I've cut out loads including our weekly take-away which the kids aren't happy about but that starts this weekend. I aren't actually able to start properly with this budget until April as we've already spent some of March's money with DH getting paid in Feb. I'll do what I can with this month but currently in our account we have £1300. I've put some things on ebay this morning and going to try really really hard and then get properly stuck in next month. So from next month we should have a surplus of £770.58... what do I do with this? I've read about snowballing so letting the minimum go onto other debts apart from the smallest/lowest debt. But do I throw it all at the debt or do I save some ? do people tend to put money aside for birthdays/christmasses? Obviously I want to pay off debt asap so any advice welcome.
I've also been looking at getting a job but it's so disheartening with the cost of childcare! I don't think full time would work unless it was nights when DH is home so I've applied for full time night jobs and also part time shop work that wouldn't cost too much in childcare.
I'm just so incredibly motivated to change things for us .

Storm89

Yesterday was a NSD as my daughter was off sick so we stayed indoors and I cleaned up while she slept on the sofa. I put 5 things on ebay so I'm hoping they manage to sell. Getting the kids to go through their toys at the weekend and what they don't want we will sell. We had a gas leak so called the emergency number and they sorted it temporarily until I can get British Gas out (cos thats who my cover is with). So I was only able to use the oven - we had nuggets chips and beans (super nutritional haha). I have to pay £6.50 for something at DS's school so will do that today. He came home with a voucher from sea life centre as they went on a school trip there. It's 50% off entry but I aren't sure if we should use it or save money by not going at all. We used to have merlin passes but can't afford now. At some point the kids will need spring/summer clothes and I don't know where to go. In the past they had Next and John Lewis clothes (I hardly ever spend on myself, just them) but I need to change that. I don't know if primark or supermarket is better? Can't decide between the 2. I also don't have the money this month anyway. If I can just end the month on 0 and manage to pay the minimum on debts I will be happy. And then next month can start overpaying.

System

Welcome Storm 89 !

I am fairly new on here, but I set aside money in a different act for Xmas/birthdays then you aren't ever caught out. Also an emergency fund I think it was suggested £1000 in this .

I have grandchildren and I buy some of their clothes from Asda , Tesco and Primark especially clothes they wear to Nursery . Next is for special occasions. I know lots of good stuff can be found on eBay as well.

Storm89

Thank you cumbria lass sounds like a good plan putting money aside for birthdays and christmas. I was reading some people have 'fun' money too so they don't splurge . Hopefully we have enough money to do this and I can get into a good routine.
I quite like Sainsbury's clothes and they often do 25% off plus you can earn nectar points. Only thing is I wonder if primark is cheaper. It just seems like such a long haul ! My aim is to have paid off credit card 5 by Christmas cos they sent us a letter saying "we noticed you are only making the minimum payments" so would like to get them off our backs and then move onto another card.

System

Primark stuff is ok , but I think supermarkets are just as good , forgot about Sainsbury's .

Other users will come along with advice about credit card payments and snowballing .

Yes I also have an account for spends / fun money .

Have subscribed to your diary .

Robin9

Keep the £1300 as an emergency fund.

On face value you have £700 a month to throw at this - in reality it won't be. Keep a £ by £ spending diary and see where is all goes.

It is good to involve the whole family.

Why not put this challenge on the fridge (in magnets) £18580

Target 1st June £17000 - that's £400 a month.

When you achieve that give the kids a treat.

Repeat

suki1964

Get over to the oldstyle board as well. A really friendly bunch of people who will help you manage your grocery spends and show you how to have days and trips out for free and teach you how to fakeaway

There's a huge wealth of practical knowledge on how to make a pound stretch

Good luck

Storm89

Thanks everyone. How do I find the other board?
Thanks robin9 my target then is for the debt to be £17000 by June and I WILL do it. I don't want to give myself a long term target of when to pay it all off cos I will be so disappointed if we don't make it. I like the idea of little targets along the way
I do want to live at the same time , we bought a tent at Christmas in the hope of saving money on holidays by taking camping trips in the UK but now I realise we still need to buy camping equipment! We had a lot of birthdays in feb which all came out of the current account whereas if I had saved money specifically for birthdays we wouldn't have that. One of the jobs I applied for said I would hear by the end of this week so I am considering calling them at the beginning of next week if I don't hear anything, just so I can know either way. I would only come out with about £260 a month after childcare but it's an extra £260 we didn't have before.

Robin9

I too like the idea of little targets that you thank may be just out of reach but when you think about it you realise it can be done.

Hope all goes well.

Come back in June and tell us what your family treat was.

suki1964

http://forums.moneysavingexpert.com/forumdisplay.php?f=33

Loads of threads there to get stuck into

swimminginaseaofdebt

Storm89 wrote: »

At some point the kids will need spring/summer clothes and I don't know where to go. In the past they had Next and John Lewis clothes (I hardly ever spend on myself, just them) but I need to change that. I don't know if primark or supermarket is better? Can't decide between the 2.

Hi Storm89,

I tend to buy my little one's clothes from the supermarkets. I find they wash well and I've heard Primarks sometimes shrink in the wash. I've never bought from there so don't know if that's true.