Feel incredibly ashamed and embarassed

lincs1205

Hi All,
Well i'm back and i am thoroughly ashamed to say it but we are in an even bigger hole than we were last year. I really want to change the name of my diary as i'm certainly not smug and we certainly won't be out of debt by the time i'm 40 which is just over 12 months away. Last year we got a new fence and we renewed our contract for a new car and i'm ashamed to say it we slipped back into our bad habits, i spent silly money on nail wraps, pt sessions, etc. Fast forward to this year and i felt really postive that i was going to get a hold firmly on our finances again and the company i worked for decided that they were going to change our rotas, "ok i thought they'll probably be the same as they were last time but no they came out significantly different with no full time options anyway i decided that i wanted to get back into clinical nursing and i am now waiting to start a new job which i am really looking forward. However it is going to lead to a significant drop in salary "ok we though we can cope with that". We then discover that the house needs a new roof (we have had three different roofers round and they have all been up on the roof and had a look and yes we definately need a new roof). We then decided that the only way we can finance it is to re-mortgage, we said originally that we do not want to pay the mortgage for more than 15 years ok no it's now gone to 23 years hubby will be 66 and i will be 62 neither of us are very happy about this but there is nothing else we can do and they know it, we have been going through this process since the 20th march and it is still ongoing and we are getting fed up with it. I think we have both definately had our lightbulb moment finally mainly because when we were going through the affordability questions hubby finally realised how much we have on credit and it is horrific :eek::eek::eek:

Helvetica_Van_Buren

lincs1205 wrote: »

Hi All,
Well i'm back and i am thoroughly ashamed to say it but we are in an even bigger hole than we were last year. I really want to change the name of my diary as i'm certainly not smug and we certainly won't be out of debt by the time i'm 40 which is just over 12 months away.

Last year we got a new fence and we renewed our contract for a new car and i'm ashamed to say it we slipped back into our bad habits, i spent silly money on nail wraps, pt sessions, etc.

Fast forward to this year and i felt really postive that i was going to get a hold firmly on our finances again and the company i worked for decided that they were going to change our rotas, "ok i thought they'll probably be the same as they were last time but no they came out significantly different with no full time options anyway i decided that i wanted to get back into clinical nursing and i am now waiting to start a new job which i am really looking forward.

However it is going to lead to a significant drop in salary "ok we though we can cope with that". We then discover that the house needs a new roof (we have had three different roofers round and they have all been up on the roof and had a look and yes we definately need a new roof). We then decided that the only way we can finance it is to re-mortgage, we said originally that we do not want to pay the mortgage for more than 15 years ok no it's now gone to 23 years hubby will be 66 and i will be 62 neither of us are very happy about this but there is nothing else we can do and they know it, we have been going through this process since the 20th march and it is still ongoing and we are getting fed up with it.

I think we have both definately had our lightbulb moment finally mainly because when we were going through the affordability questions hubby finally realised how much we have on credit and it is horrific :eek::eek::eek:

Well you know you're in the right place. Are you after any specific advice?

lincs1205

Hi Helvetica, at the moment it's more about me getting it out of my head and onto paper so to speak but i will be posting more figures and how we intend to get out of this hole that we've dug ourselves into. To be honest any advice is welcome. Thankyou for posting

enthusiasticsaver

Most people would advise you post an soa but in your OP I think you make it clear you already know why you are in debt. There is only one way to get out of it and that is to stop using credit (credit cards, loans and overdrafts) and spend less than you earn.

You are now approaching a perfect storm - emergency roof repair and drop in income. Your only options now are to budget very tightly and drop the wasteful spending, pay down the existing debt then overpay the mortgage unless you want to be working way into your 60s.

I would suggest you keep a spending diary and post an soa on here.

lincs1205

Right well i'm back i've updated my signature and made myself feel quite nauseous in the process, however i have also started to make small steps into making sure things don't get any worse than what they are at the moment which is slightly difficult as the re-mortgage has'nt completed yet. However DH has finally agreed that we can get rid of sky so as soon as our contract finishes in may he will cancel everything except broadband and we will be using N*W Tv and A7a8n instead. I have also become quite prolific at surveys and have already earned a £10 voucher, as well as this i am putting away £5 notes to use for our taxi fair when we go away in june. This holiday was already booked before all this kicked off with the job and the roof but it will be our last one abroad for a few years at least.
On saturday i read dave ramsays money makeover workshop and a lot of what he says has really resonated with me i know some may not agree but i am going to start with the smallest debt and keep chipping away, eventually we want to start overpaying our mortgage but in the words of dave ramsay baby steps.

enthusiasticsaver

You need to tackle that Argos card first or move it to a 0% card if you can. 29% is shocking. How much can you pay monthly to reduce the debt?

I would advise you also save an emergency fund and cut up the cards. Save for the holiday.