Up the creek without a paddle

kv11x

Long story short we are in a lot of debt. Partner is around £18k on credit cards, one card is £5k with 25% interest and same on car finance and me total £4.5 but on 0% one will end this year. anyway I have this idea that due to us having to keep asking to borrow £100 or £200 a month due to me being paid 4 weekly I have suggested we save all we can per month like £100 then after 8 months we should have £800 saved and that almost my wages but most importantly enough not to keep borrowing then paying back the £100 or 2.

The only answer my partner could come up with is 'what does martin always say' yes I know its pay debt but my hope is that my partner may learn that saving money and not spending is fun and just maybe we could pay more off after we saved that £800. I know im rambling but im fed up with long hours hardly any time off per month and seeing it all spend out of the account.

we were recently given a really rubbish re mortgage offer the other day and the bank advised us we needed to lose £8k of my partners debt. either in to my name with a loan that's much cheaper or under someone else's name


Then we have my mental health that's already not coping well and all this debt just nearly makes me top it all as worth more not here.

IM NOT ABOUT TO TOP MYSELF ill just fight another day of long shifts and no day off in 2 weeks

SnowTiger

kv11x wrote: »

Long story short we are in a lot of debt. Partner is around £18k on credit cards, one card is £5k with 25% interest and same on car finance and me total £4.5 but on 0% one will end this year. anyway I have this idea that due to us having to keep asking to borrow £100 or £200 a month due to me being paid 4 weekly I have suggested we save all we can per month like £100 then after 8 months we should have £800 saved and that almost my wages but most importantly enough not to keep borrowing then paying back the £100 or 2.

The only answer my partner could come up with is 'what does martin always say' yes I know its pay debt but my hope is that my partner may learn that saving money and not spending is fun...

I think your partner has a point. You'll be paying 25% interest on the £100 a month you're not throwing at your debts and, perhaps, earning about 3% on it.

But I understand your point about trying to change you partner's spending habits and attitude.

If I were you I'd do a SOA to give myself an overview of what money is going where.

Most people can save here and there by changing energy supplier, insurer, broadband provider, switching mobile phone tariff, etc. That's something to look in to.

I'd also keep a spending diary of discretionary spending. The cost of those cappuccinos, sandwiches and magazines can add up to a hefty sum every month.

You have quite a lot of debt and it appears you're always playing catch up. Have you considered having a chat with one of the debt charities or free organisations?

eskbanker

I was going to suggest posting on the debt-free wannabe board and putting up a SOA there for people to comment on, but see that you posted there a few months ago and didn't follow through with that request, so you may wish to consider doing so this time round.

Ultimately there are only really four ways of addressing debt though:

1. Refinance it onto cheaper or no interest deals
2. Earn more
3. Spend less
4. The nuclear options of bankruptcy, etc (very much a last resort)

kv11x

SnowTiger I wish we spent my money on coffees and that but we don't. all big items like you said have been either changed supplier or down graded to save cash. fortunately we only have sim only deals so no big monthly bills.

My partner has tried one debt company before and was put off as they couldn't help us because we haven't defaulted. We do have a spending budget but unfortunately my partner likes to spend and hasn't been kept to.

eskbanker the SOA im in middle of doing but when i look at it stuff there is budgeted but not saved. I will put it up soon.

SnowTiger

kv11x wrote: »

My partner has tried one debt company before and was put off as they couldn't help us because we haven't defaulted. We do have a spending budget but unfortunately my partner likes to spend and hasn't been kept to.

Unfortunately it's often the case that you can't get help until things have got pretty dire.

It sounds like your partner talked to a fee charging debt management company. They should be avoided.

Have you looked at the guide here?

It's probably going to be difficult to get a grip on things until your partner has their light bulb moment and gets on board.

Post the details and your SOA (when you've finished it) to The Debt-Free Wannabe Board.