Had my light bulb moment

Tino_2

Thanks for that Choc! That's good to know, because the O/D is currently my second most expensive debt!

I want to get a plan of action for the whole lot before doing anything, so that would be the O/D taken care of, leaving me with £4262.79 of bank debt that I feel needs reorganised into a loan, and the £3262.77 that I'm happy paying off as it is (0% RBS Card and 5% IF Card).

Choc, I just noticed your debt has reduced by over £24000 in little over a year, well done! Have you a thread of your own that I can read how you've managed that?

Tino_2

Sorry, I'm a bit confused, I thought consolidating debt, or at least debt with a higher rate of interest than a loan, was the sensible choice?

chocaholic110

Yup, I do have my own thread. It's long and fairly boring though but it does show in detail how I got my debt down.

http://forums.moneysavingexpert.com/showthread.html?t=265959

findingmyownway

Hello and welcome. You asked earlier how much outgoings detail to post. The answer is ALL OF THEM. The more information you give, the more people can help and understand.

Am i right in thinking your business is web design? And you have no business plan/cash flow predictions/idea of the amount of work coming in over the next few months? Currently making a loss (and thats why you only take £400pm i guess)

If so, then i really think you need a bit a reality check. I don't mean to be harsh, but that life is not sustainable. Even including the rent from your brother you only just have enough money to pay the mortgage - no bills,food,debt payments,anything! Thats why you are getting deeper and deeper into debt every month.

Obviously reducing the outgoing will limit the level of debt you are accruing and is certainly worth doing, but the debt is still going to go up not down (until you run our of credit options and the balifs come knocking)

In short, i strongly advise you get a proper job and continue building websites in your spare time. Once the business is strong enough to support a full time employee (on a proper wage) then you can afford to go back to it full time.

Good luck

spendthrift66

Hi Tino

Hope the lovely MSErs will be able to sort you out. Can I just ask how you're surviving? If you earn 800 and pay out 1600++ then I don't see how consolidtating/borrowing is going to work for you? I
I don't mean to sound harsh but I would have thought that a job is essential? How old are you? What sort of money could you earn? It seems to me that you need to start chucking money at those debts and the quickest way is to get regular income?

spendthrift66

Hi Tino

Hope the lovely MSErs will be able to sort you out. Can I just ask how you're surviving? If you earn 800 and pay out 1600++ then I don't see how consolidtating/borrowing is going to work for you? I
I don't mean to sound harsh but I would have thought that a job is essential? How old are you? What sort of money could you earn? It seems to me that you need to start chucking money at those debts and the quickest way is to get regular income?

poppy10_2

Hi, with your level of income not even covering your mortgage, let alone other debt servicing and living costs, you are heading towards bankruptcy fast. Concentrate on repaying your friends and family, the loan and credit companies can pick over the carcass once you are repossessed.

Enjoy your fun and frolics.

spendthrift66

Harsh ... but true.

Tino_2

poppy10 wrote: »

...the loan and credit companies can pick over the carcass once you are repossessed.

Yeah, thanks for that. I should just give up then should I?

To everyone else, before I started my business I tried for over a year to get into an IT career (having just left uni with a computing degree) with no luck what so ever, which was what gave me the determination to start up my own business.

Now admittidley, things haven't gone to plan, and I agree I need to have a proper look at things, which is what I'm going to do.

Cheers for all the helpful comments.

chelseablue

How much could you get for your house?

Id seriously consider selling it if I was you.

x