Paranoid about debt

Slowdown

Don't be ashamed.

Debt is easy. Schools do not teach enough about financial management, getting into debt, banking and budgeting. The government does not legislate enough against unscrupulous quick fix loan companies charging extortionate rates. We live in a 'have it now' society that tells us we need everything and we need it now! In our heads we know it's wrong but find it difficult to step out of the bubble.

But there is a way out. In this case the 'less is more' idea is perfect. Less spending = more money in the bank.

Socrates said 'The secret of happiness, you see, is not found in seeking more, but in developing the capacity to enjoy less.' A wise man indeed.

bigd58

Thank you for all your comments. I really truly appreciate it.

parsniphead

Well done on taking the first steps.

Please don't feel ashamed, especially here. Most of us are here for the same reason. Keep coming back, you will get so much support.

Oh and a good cry never hurt anyone. Have a dodgy hug to go with it.:grouphug:

Shadow14uk

I totally feel you, but honestly, last few weeks Stepchange have been amazing to me and all my creditors too.


Now for the first time ever I'm learning to be a proper adult (at 38) and having to budget everything, saying No to things and meal plan etc.


Access to easy credit from age 18 did nothing good for me except bring me a selfish, spoilt feeling on entitlement.


What is it they say, when you spend on credit you are borrowing from your future self?


Hope you sleep soon x

DannyPearce90

You should look for a formal arrangement, such as an IVA. Debt management plans, although convenient are often not the right solution.

Seek professional help at your earliest opportunity!

enthusiasticsaver

DannyPearce90 wrote: »

You should look for a formal arrangement, such as an IVA. Debt management plans, although convenient are often not the right solution.

Seek professional help at your earliest opportunity!

They have already sought professional advice from stepchange as quoted in the OP and they recommended a DMP. You should really read the full threads before commenting with the same advice on each thread.

bigd58

I have spoke to StepChange in the phone lunchtime and gone through everything.

They have said that I should add all my wifes incomings and outgoings too because at the moment I pay for most things. This way it looks like we both make a contribution to everything.

I haven’t told her about the dmp yet as it is only my debt, but have said that we need to set and stick to a budget and if we want things we will have to plan and save.

I have managed to clear two of my debts today (one of which was a joint overdraft) with the help from a family member who has lent me the money and he doesn’t want it back even though I have said that I would pay every penny back.

Just out of curiosity with StepChange how do you budget for things like birthday and Christmas presents?

Thanks

NeverendingDMP

Put a bit in your budget for them and say its needed. If you dont like the figure they are suggesting then slighly increase the cost of your pet insurance, union fees, life insurance, food, house insurance petrol etc to cover the shortfall. When i finally learnt the error of my ways and stopped the budget being far too tight by doing this and spreading the load it suddenly became manageable. Just remember to save, with multiple mini bank accounts or a savings app if that helps.

bigd58

I have done the StepChange budget but also my own budget so I cover everything that I need.

Currently I only had my income and outgoings on my list but was told that the debtors would ask what my wife pays for. She doesn’t earn much so I cover most of things but if I put hers on at least it shows something.

I spoke to StepChange about leaving some debtors off the list due to the fact that I could cover them including the dmp but was told not to do that as they would see it as favouritism to one debtor so managed to clear two and not use the overdraft on the other account.

As I am only sorting out my debts in my name, and no joint accounts and therefore my wife has no debt on the schedule if she still has debt in her own name will that give me any issues?

Thank you

NeverendingDMP

Hubby had debts in his own name when i started. I just put contribution from partner down as an income and left it at that. 3 years on though the debts in his name had gone way up so i persuaded him to sign up to a joint dmp instead
Ha ha