Just looking for some advice

[Deleted User]

Hi Guys,

This is my first post on the forum but i do not really know how this place works. Over the past year i have accumulated a lot of debt. This is due to having a gambling addiction. I am 22 years old and have been gambling for around 4 years but only this year has it really spiralled out of control. In August i had 10,000 in savings and was debt free with everything looking great for me. Now it is November and i am -22,000 almost in debt and i do not even know how much money i have wasted besides that. I have been gambling all the way up to yesterday where i just decided i have had enough. Today is a new day and i never want to gamble again. They say you have to reach rockbottom before you can work your way to the top and i am firmly at rock bottom. Lost 1600 yesterday and now have no money for 2 weeks. So any advice on what i can do on that front would be great...

Anyway sorry for waffling on. Like i said i am 22 i earn 2250 pounds a month after tax. I spend 800 on rent and that then leaves me with 1450 "Spare". What is the best plan of attack for my debts? I have avoided paying any of them for the last few couple of months and need to face them head on Monday morning. I have included a list of the debts below and the interest rates etc. If you need any more info please let me know and i will try my best to provide.

Nationwide loan 1 7,802- 56 months remain- 3.6 % APR
Nationwide loan 2 5,376- 34 months remain- 4.5% APR
Nationwide Overdraft 500
Nationwide Credit Card 1575- 18.9% APR - 25 minimum payment
Mr Lender 750
Lending Stream 524
Wonga 300
Wage day advance 150
Krevis 110
Pay Pal 1020
Nan 2400
Dad 600
247 money box 85
Total 21,192

enthusiasticsaver

I think you need to contact gamblers anonymous regarding your addiction. I know you say you are at rock bottom and will never gamble again but this is because you have no money to gamble with. Once your pay comes in you may be tempted again which is the worst thing you can do. Take any card details off gambling websites or block yourself from the sites.

you don't have £1450 spare as you have 2 loans an overdraft and credit card to service plus food, travel and other living expenses. Posting an soa would be a good start and you can find the link for this in the sticky at the top of the forum.

From looking at your debts I think the payday loans would be the most expensive. Once you post an soa we can see how much actual money you have spare. Good luck.

middleclassbutpoor

You need to complete one of these

http://www.stoozing.com/calculator/soa.php - select the MSE option so it's formatted for this forum.

The standard process to helping people is to do the SOA first - this helps understand what disposable income you have for getting out of debt. There will likely be suggestions of where you are also overspending too.

Depending on these figures, you will either be advised to seek professional debt management via one of the free charities or to consider snowballing your debt with the disposable income.

You should seek assistance for your gambling and you should look to start self excluding from your bookies to avoid going back when tempted.

[Deleted User]

Hi,

Thanks for your reply. I have been attending GA meetings once a week for the past few months, i have handed over my finances to my Dad now, installed gambling blocking software on my computer and phone which only my Dad knows the password and also have informed my employer i have a problem so they can monitor my browser history at work etc.

Sorry i didn't mean to make out like that was spare money in the literal sense. I was just trying to inform the thread of what i had available to live on month by month. Will fill out the SOA and post now.

enthusiasticsaver wrote: »

I think you need to contact gamblers anonymous regarding your addiction. I know you say you are at rock bottom and will never gamble again but this is because you have no money to gamble with. Once your pay comes in you may be tempted again which is the worst thing you can do. Take any card details off gambling websites or block yourself from the sites.

you don't have £1450 spare as you have 2 loans an overdraft and credit card to service plus food, travel and other living expenses. Posting an soa would be a good start and you can find the link for this in the sticky at the top of the forum.

From looking at your debts I think the payday loans would be the most expensive. Once you post an soa we can see how much actual money you have spare. Good luck.

enthusiasticsaver

Good start and well done for taking control

enthusiasticsaver

Two big things in your favour. You are young and you have a good salary.

[Deleted User]

Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 2250
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 110
Total monthly income.................... 2360

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 800
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 0
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 55
TV Licence.............................. 0
Satellite/Cable TV...................... 25
Internet Services....................... 25
Groceries etc. ......................... 200
Clothing................................ 0
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 25
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1130


Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 0

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
Nationwide Credit .............1575......25........18.9
Nationwide Loan................7802......149.......3.6
Nationwide Loan................5376......163.......4.5
247 money box..................85........0.........0
Krevis.........................110.......0.........0
Lending Stream.................524.......0.........0
Wage day advance...............150.......0.........0
Wonga..........................300.......0.........0
Mr Lender......................750.......0.........0
Nationwide Overdraft...........500.......10........0
Total unsecured debts..........17172.....347.......-


Monthly Budget Summary
Total monthly income.................... 2,360
Expenses (including HP & secured debts). 1,130
Available for debt repayments........... 1,230
Monthly UNsecured debt repayments....... 347
Amount left after debt repayments....... 883

Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -17,172
Net Assets.............................. -17,172



Here is my SOA hope i have done it right? The reason i do not pay any bills such as water, gas, electric and council tax is because i live with a friend and it is all included in the rent. I dont buy new clothes or go out ever because i was too immersed in gambling none of those things ever seemed appealing to me. I listed all my pay day loans but i do not know the minimum payment on these, also i removed the debts to family members as i imagine that is something i will have to sort personally with them.

middleclassbutpoor

Sounds like you have taken some proactive steps so far so well done.

If you have £1k spare (as you probably do need to include things like money for clothes/birthdays/haircuts and emergencies etc, even if its like £100 per month) and your family are willing to be patient to be repaid then my suggestion would be as follows:

Use the snowball effect so, when you repay a debt off, you apply the money paid to that, to your next debt so the amount you have to repay to your debt increases overtime.

Get your payday loans repaid asap as a priority - they will be the highest interest bearing and pay minimum on the rest. Looks like a couple of months and they will be gone.

Next get your O/D sorted and your credit card - again another couple of months to do this and things will start to feel a lot better.

You seem to have missed PayPal off that list too - so is this family or missed?

I would then probably pay your family back at this point and then overpay your personal loans. I would do that because they are reasonable interest rates and whilst financially its not the best way to do it - but you need the support of your family too.

Within 6 months you should be in a far better place financially. Within 12 months you will be nearly debt free if you do this right.

As a single person, in your position, I would probably also look to find something else to fill your time in the evening to replace the time you spent gambling.

Why not get your dad on here too to look at what steps you are taking - it may help him help you with your finances.

Dobbibill

Hi tomgrogan - welcome to the forum.

You have done really well to start dealing with your gambling addiction. Admitting things to yourself and others is a good first step, the other things you have done are good too. Keep at it.

It sounds like your Dad really wants to support you. A support network is good and worth so much - you are very lucky.

You SOA doesn't look too bad, with a reasonable amount of disposable income.

Deleted_User wrote: »

Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 2250
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 110
Total monthly income.................... 2360

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 800
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 0
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 55 This is quite expensive, if you can reduce this it would help
TV Licence.............................. 0
Satellite/Cable TV...................... 25
Internet Services....................... 25
Groceries etc. ......................... 200
Clothing................................ 0
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 25
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0 you never buy anyone a birthday or Christmas card/gift?
Haircuts................................ 0 You never get your hair cut? Or do you cut it yourself?
Entertainment........................... 0 You may need to put something here - you need a hobby/distraction
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1130


Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 0

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
Nationwide Credit .............1575......25........18.9
Nationwide Loan................7802......149.......3.6
Nationwide Loan................5376......163.......4.5
247 money box..................85........0.........0 have all these frozen the interest? Are they really all 0%
Krevis.........................110.......0.........0
Lending Stream.................524.......0.........0
Wage day advance...............150.......0.........0
Wonga..........................300.......0.........0
Mr Lender......................750.......0.........0
Nationwide Overdraft...........500.......10........0 Is your overdraft definitely interest/fee free?
Total unsecured debts..........17172.....347.......-


Monthly Budget Summary
Total monthly income.................... 2,360
Expenses (including HP & secured debts). 1,130
Available for debt repayments........... 1,230
Monthly UNsecured debt repayments....... 347
Amount left after debt repayments....... 883

Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -17,172
Net Assets.............................. -17,172



Here is my SOA hope i have done it right? The reason i do not pay any bills such as water, gas, electric and council tax is because i live with a friend and it is all included in the rent. I dont buy new clothes or go out ever because i was too immersed in gambling none of those things ever seemed appealing to me. I listed all my pay day loans but i do not know the minimum payment on these, also i removed the debts to family members as i imagine that is something i will have to sort personally with them.

I haven't been majorly picky with the groceries etc but just highlighted a few that jump out at me.
I think an entertainment budget is needed so you don't fall off the GA wagon.

If you put your mind to it this can be do-able with a bit of focus.

Don't expect it to disappear overnight (that's not how it got there in the first place) but some determination will see the pay day lenders gone in a few months.

All the best with GA and the debt busting. Stay strong.

Mnd

On a personal note, does you user name reflect your real name. If you don't want this to become common knowledge then it may be worth changing

enjoyyourshoes

Congratulations for the first step of many.

You need to have a responsibility with your finances, I assume you haven't abdicated responsibility of managing your finances to your Dad and he is assisting you with advice on the 'problems'

Get accurate record of interest rates (and charges) for all of your debts (including your OD)

Rank them with highest first and pay them off in that order.

Do a cash flow and interest schedule on Excel to work out how much is attributed to which load and when plus a cumulative interest/charge per debt perf month. This will allow you to produce a plan for payment and a real life view of how your debts will change per month.

With you Dad produce :-

Cash flow with annual, 1/2 & 1/4 ly costs and do cash flow to see what you need to put aside to pay for these when they come due.

Produce a bank reconciliation every day including all of the debt repayments planned and the accrual (described above), this will start to mae you take responsibility for your daily spending, monthly spending and future spending plus the debt repayments. Accurately tracking account will avoid you going into OD (as this is expensive way of obtaining credit too)

Start to plan to make insurances a one off payment rather than monthly (as they charge interest on monthly plan), this may take a while to generate the necessary one off payment required, but you should start accruing for this once the debts are being eaten into.

Review a month before Bills are due, so was you can start investigating better deals and have time too switch etc.

The cash flow and excel docs sound dull but they will inch you into taking more responsibility and become your best friend (well thats a slight overstatement!)