In need of advice (am I allowed to do this)

GST20

Hi guys

Recently graduated from university with a good degree in (ironically Accounting and Finance), two credit cards and the usual student loan etc. In need of some advice

I recently started reading from the website and found lots of useful information but now my mind is in meltdown. So to try and make sense of it all I am asking anyone to give me some advice on the following.

At the moment I am unemployed with no money to my name. I start a new job on 7th November and will be getting paid a month in a arrears. My salary is going to be 10k before tax which I have worked out to be about 750 a month.

Right then, in the past couple of months I havent had an income and therefore have missed two payments on both credit cards. The one has a credit limit of £500 but stands at £696.66 and the other has a limit of £600 but stands at £660.15. I'm getting charged £12 a month for not making a payment on each of them and £12 a month due to them being over their limit.

I got in contact with both lenders today and was told that I need to make payments asap. The problem is a) I'm going to be getting paid a month in arrears, b) my credit is not good due to the missed payments, and c) I havent actually started work yet so other lenders won't give me a persoal loan.

Can anyone give me some advice? I know the debts are not massive and that in 3 to 5 months they could be under control but I'm worried about missing another payment on them and completely ruining my score.

Would it be worth applying to one of them websites that give you your pay check in advance? or can anyone think of anything else?

I know the debts are not as big as other peoples' on this site, but I would really appreciate any advice I can get.

Thanks in advance

duchy

Did you try offering to make token payments til you get paid ?

GST20

sorry mate not sure what u mean by token payments. The fact is I havent got any money to my name until I get my first months income. I mean i am in trouble anyway because it means I will have to borrow to cover the cost of travel expenses

floss2

Contact your new employer, and ask for an advance, but remember it will come out of your first month's wages. They should be OK with this if you explain it's your first job. Then at least you can get to work to earn your dosh!

delboypass

Hi Mate, only got a few comments

1/ Have an accoutancy degree, you should be pushing for a lot better jobs than 10k...as a graduate i would have been expecting you to start on 18-20k...even my friend who had no degree started as an acount assistant on 16k...

2/ Just speak to your credit card companies. Ask them to freeze the interest.
Can you get a loan from family or friends to cover you? its only a grand at the end of the day so nothing serious. Freezing the interest should help you significantly

3/ How about selling something on ebay? I sold of loads of things on Ebay and made a small fortune and would cover most your payments.

4/ Try not to pay just the interest..try to pay down the capital if possible

5/ If you want to stay in accountancy profession, try not to fall into arrears as considered quite harmful to your occupation..

Goodluck though

caeler

delboypass wrote: »

Hi Mate, only got a few comments

1/ Have an accoutancy degree, you should be pushing for a lot better jobs than 10k...as a graduate i would have been expecting you to start on 18-20k...even my friend who had no degree started as an acount assistant on 16k...

I have to admit I agree, you are worth so much more. Those rates are paid even outside places like London, Bristol, Birmingham, etc

Kevicho

Could you not scrounge from your parents or family for a couplke of hundred to get you back within these two limits?

As you said it will take 3 or so months to clear, so they should know they will get the money back.

Also have you applied for a graduate account? Up to 2 K interest free in the first year, this may give you that buffer you need.

Jada

Hi, I'm really sorry that I can't give you any great advice to resolve the situation you're in, but I would steer clear of 'pay in advance' operators.

I think you'd get yourself into a vicious circle as the company will take a significant amount as payment for its service, and if you're not the best with finances, you may come to rely on doing this every month just to make ends meet.

I know you're worried about your credit score, but I think if I were you, I'd speak to my credit card issuers again to explain the circumstances further. In fact, I'd probably write a letter/email so it's documented evidence that you do have the intention to pay back your debt. That'd at least buy a little bit of time if the companies remain disinterested.

Could you borrow an extra £10 from the person who is loaning you transport costs? Then you could give £5 to each card as a token payment,which is definately better than nothing. I understand it may be embarassing to ask, but unfortunately when you're in a position like this, in my opinion, you do have to put pride aside.

The worst case scenario is that your credit file does get negatively affected (although I'd think it probably already has due to you being two months in arrears and over your limits) but you'd have to simply take it on the chin becuase you overspent. Then just concentrate on paying back the debt once you're in your new job and show that what happened was a one-off during difficult circumstances and prove that you will be a responsible borrower in the future. Once you've done that, although it'll take time, eventually your credit file wil become more positive. These things happen and credit companies won't hold it against you forever.

All the best,

:staradmin Jada :staradmin

GST20

First off I would like to say thank you to everyone who has replied to my first post on the forum.

Its frustrating to think that in effect only time will sort out my finances. Also to those who said I should ask my employer for an advance, I have only been offered a probation period so it may be that they tell me to leave before I have completed a month, also I dont think it would make a good impression.

Also, the other unfortunate thing is that my parents (lending me money to get to work) cant exectly give me more money as they themselves struggle financially, even though they shouldnt in my opinion.

Finally I appreciate the people who believe I am not getting a good enough salary. However there is not much I can do about it now, I have accepted the position. Hopefully some other accounting firm will offer me a better salary, only time will tell.

Determined

Hi I know it's not the best thing in the world but what about speaking to your bank and arranging an overdraft for a few months - tell them you have an offer of employment and it's just a stop gap - ask them to put a time limit on it too so you're not tempted to live in it like I did...

x

GST20

First of all I think I better list all of my debts first (should have done this from the beginning

Credit card 1: Limit 500 Balance 696.66
Credit card 2: Limit 600 Balance 660.15
Grad. Bank Account: Limit 1500 Balance 1518.30
Phone Bill Outstanding: 70
Outstanding Uni Bills (gas and electri) : 227
Online clothes account : 700

Worst thing is I got no money to my name and I start a new job on Wednesday. Do not think I can ask my parents for petrol money because they are struggling at the moment too.

Its frustrating, I rang the credit card guys today to tell them that I get paid on the 7th Decemnber and they keep saying that I need to make a payment this month. How many times do I have to tell them I havent got anything.

Its getting to the point where I am considering ignoring the credit cards this month (even though I've missed two payments for both cards already and will be passed on to a Debt collecton agency) just until I get paid.

If anyelse has any bright ideas, I am all ears.