I Feel So Low Help Me

Masklin

Hi Guys

I feel so low its unbeleivable, but I think you guys can help.

I have debts upto £5k. I know its little compared to some of the debts I have seen on here but to me its one massive mountain, I am scared and I dont know what to do.

Here is a break down of my debts

Current account, I am overdrawn £1400 and my overdraught limit is £1000.

CC is £3700.

I have a monthly income of £900 and would like to know what to do? At the moment I am paying £200 off my CC and not addressing my overdraught at all. So when my wage goes in I pay £200 off and then like an @rse (sorry I am) a use the rest to live on, beer and nights out to be honest which I must say I have to stop NOW!

So do I adjust my CC payments to start paying off my overdraught? If so whats the best way? Putting aside the money then putting it in as one large sum?

I pay the following each month also

£150 Rent
£100 On Living, Food etc
£80 Car

I live with my girlfriend and she doesnt know about this, I am gutted and dont know wether to tell her as Im scared of her reaction.

Please help me. If you need to know some more info that wil help let me know.

Thanks very much

Mark

spendaholic

Hello Mark - welcome. And please don't worry that your debt isn't "big enough". Anything that overwhelms us is, well, overwhelming.

You've made a start by coming on here and you've given us some idea of where your money goes. But have a bash at Martin's budget spreadsheet (ask if you can't find it), which will give you a much better idea of where you can cut back. I think I'd start with the nights out - not cut them out, but have a look at them.

Good luck and do keep us posted.

debtbuster2K5

Hi Mark,

First thing.. Dont Panic. Your situation is completely recoverable with a bit of effort on your part.

It would be really helpful if you could post on here what interest rates you are paying on all your credit cards and overdrafts, as that will help in making the right decisions about where your priorities lie.

It may also be helpful to post more details about your budget or what your outgoings are to the penny so that we can see if there is any opportunity to snowball the debts and get them paid off quicker.

The good news is that you are in the right place so keep posting and all the very best of luck.

Regards

DB2K5

Malestrom

As you are over your overdraft limit you will be paying extra charges for unarranged borrowing as well as the usual overdraft fee. I would talk to your bank and ask if they can increase your overdraft to £1500 for 3 months. Then make a really concerted effort at getting that under control. Once the overdraft is back under £1000 then I would probably pay off the highest interest item first, whichever it is out of the OD and the CC.

Queenie

:hello: Welcome Mark

Don't be afraid to discuss this with your g/friend - you may choose to do so when you have a few more answers/ideas from here .. but, ultimately, she is your partner and if you do not put your trust in *her*, she may well feel that the relationship is somewhat ... shallow? Please do not be offended!!! I can understand and even empathise with being wary about doing it. Before you approach it, garner as much info as you possibly can from here; but ultimately, she is the one you must put your faith and trust into - she'll feel devastated if you don't

By living together, you have made a commitment which carry's responsibilities and you both have to have a degree of honesty to make it worthwhile. How else is *trust* built up?

I have every faith that you will make this right - after all, you have made the biggest step of all and opened up about it and sought advise!!

Good luck, Matey!

Fran

Masklin wrote:

I live with my girlfriend and she doesnt know about this, I am gutted and dont know wether to tell her as Im scared of her reaction.

I would think that telling her would ease some of the pressure for you, she might have some useful suggestions too. It doesn't matter that you see it as a relatively small amount compared to others. You're doing the best thing by facing up to it and there's plenty of people willing to advise on this site.

mountainofdebt

When we have money worries, it doesn't matter how 'small' the amount is, it is still a worry.

No-one on here is judgemental, everyone is here to offer practical advice to other debt free wanabees!

First things first.

You have had excellent advice so far and I can't really add anything to it - do post your budget it will be amazing what people can cut it down to!

Secondly

Unless you are behind with payments and/or are on some stupidly highly APR why are you paying so much into your credit card? I know I don't know all the facts such as APRS etc but it seems to me the piority is to get that overdraft either increased or more preferably reduced so that it is under your limit.

My hubby had a £3000 overdraft limit which he was consistantly going over until I took the matter in hand and that in itself has reduced our charges (did you know eg natwest charge nearly 30% for going over the O/d limit???)

Also I've started using a cashflow sheet that I've pinched from work ....now I can tell if a dd has not gone out of my account and if it hasn't then I know that the money isn't really there for me to spend - whatever the bank tells me!

gravitytolls

Well done for doing something about it NOW, before it spirals.

You may not htink it's much, but the fact that you're here and feeling miserable means that your desire to get to grips with it will see you the winner.

Ditto everybody else's advice. Also, what about speakin gto your creditors, and ask if interest can be frozen, and make a reasonable offer of payment until the sums are clear.

Also, write down all your income and expenditure, you'll soon see where your money goes, and where you can make savings.

For instance, the car. I presume £80. is repayment. But if it's running costs, maybe you could consider living without it? If you live in town, you could proabably manage with public transport, or a bike - they're both easier to park anyway. On the odd occasion I go into town, I figure I may as well have walked, as parking is so far away anyway.

Anyhoo, good luck, and let us know how you go.

Masklin

Thanks for all the kind words and encouragement.

Firstly I shall have a good look at my APR's etc and post them onto here, Get intouch with the bank about increasing my OD for 2 month which would give me a breather from the charges, which have done me in this month.

Secondly I havent told my girlfriend as I didnt want to worry her, she is good with money and I jsut feel I have let her down, but after the good words on here I shall let her know. I know she will be dissapointed in me but thats it, we have a good relationship.

I am paying a lot off my CC as I thought that was the best thing, but I shall post some more info on here.

My car £80 p/m is for the running etc. Its cheaper than public transport as I do a lot of travelling and unfortunatley work wont pay atm as they are paying my Uni fees also. But if I use my car they pay a certain amount to that.

Thanks again, I shall post here later.

Fran

Masklin wrote:

Secondly I havent told my girlfriend as I didnt want to worry her, she is good with money

That's another reason for telling her.... "she's good with money"! She could help you through this, especially as you say you have a good relationship too.

mountainofdebt

You say your girl friend is good with money so why not ask her how she learnt to manage her money?

We aren't born with the knowledge of how to manage our money and it is hard to resist that one extra credit card but if you can pick up tips a)from this web site and b) from your girl friend then you will be well on the way to sorting out your problem in no time at all!