Advice, asap, please!

enthusiasticsaver

We see a lot of threads from people in your position where it is said the debts are theirs and theirs alone and they want to deal with it alone. Was the debt incurred by you buying yourself clothes, gadgets, gambling etc or is it the result of reduced income while on maternity leave and you trying to maintain the same lifestyle? This is when shared finances help. Your partner should have been picking up the slack and helping you. Does he know you are considering an IVA? You need to tell him as the equity release will affect him too if the property is joint. 

Going into a debt solution is not easy so I think it is worth just taking your time to consider if this is the best way of dealing with it. Whilst I understand a DMP is unappealing due to the length of time you will be paying it circumstances change all the time and this will have no impact on your house at all. Surely when your child is 3 you will get 30 free hours childcare releasing more money to go towards the DMP? 

thenest23

Hi, yes it was to maintain a lifestyle, very silly idea really! 
I hadn't thought about when she gets funding. I have cancelled my appointment for the iva today, i felt pushed into it and having read some of the posts on here it would seem like not the best option. My employers have been very good and while they are closed they have kept me on my full time contract, so if i send in my pay slipss it will look like i have much more income. I dont really want to enter an iva as i looked at my debts and if i pay what they want I'll be clear by 2024, which is obviously sooner than and iva but not necessarily financially viable, i also wasnt aware of the fees attached, i worked out if i paid what they suggested i would only be paying their fees. 

Does anyone have any advice on alternatives? My total debt outgoings per month are 525, i contribute 575 to household bills and mortgage, 130 to food shopping, 30 for a phone and 15 for streaming services. I have a deficit of money but not as little as the debt company worked out. Can anyone suggest a way to continue without a plan or a plan that doesnt involve an iva. 
Thank you

fatbelly

If you have more surplus than Payplan worked out then consider a debt management plan - with payplan or stepchange

sourcrates

Or self mange a DMP, you can make overpayments to seperate creditors as and when you choose, if you want to clear a particular debt, as and when funds are available.

Writing to them and explaining your financial position should get interest stopped, or frozen, better still if you can get them all defaulted, then all interest and charges stop forever, that would mean non payment for a length of time though, this would require stamina on your part, as some people find this an uncomfortable proposition, however it is a means to an end, and once you start this debt busting journey, you must look out for yourself as no one else will.

LordSomebody

Does your partner have any sort of surplus? When we were in a pinch, I effectively lent my partner money by paying for more. I was able to slide the extra on 0%, when she wasn’t able to get credit, and then when the 0% ran out she could access 0% (having started work), so she ‘paid it back’ and we are ‘even’.

Louoffofsparkle

Is your partner aware of your debts?

Fatsdom

I think we need to see an honest SOA here. 

thenest23

My partner is aware of my debts, but they are mine, i dont expect him to have to pick it up when theyre not his. After speaking with payplan i went of and did my own budget. I earn 1500 and pay 575 to household bills, 525 to debts and then 30 on my phone, 20 on streaming services 130 to food shopping and 420 to child care, as you can probably work out i have a deficit of about 150ish. Anyone have tips on making ends meet ? Thanks 

kimwp

I think without a proper SOA, it's difficult to comment on where you could make savings other than generic comments (in which case the money makeover section of MSE is probably the best place to start).

For example, without a breakdown of the bills and mortgage, we can't spot if a bill is higher than average. There's also a possibility of spotting things that you haven't accounted for eg presents and holidays. I know you've replied to some questions with specifics, but without taking on the responsibility of gathering the information together, you are asking forumites to pick through all the comments to figure out what information they do and don't have so far.

When you say the debt is your responsibility, what does that mean in terms of bills and food? If it turns out that you need to cut back on your lifestyle for a bit, will he cut back too, or will he be eating filet mignon while you have rice and beans?

thenest23

kimwp said:

I think without a proper SOA, it's difficult to comment on where you could make savings other than generic comments (in which case the money makeover section of MSE is probably the best place to start).

For example, without a breakdown of the bills and mortgage, we can't spot if a bill is higher than average. There's also a possibility of spotting things that you haven't accounted for eg presents and holidays. I know you've replied to some questions with specifics, but without taking on the responsibility of gathering the information together, you are asking forumites to pick through all the comments to figure out what information they do and don't have so far.

When you say the debt is your responsibility, what does that mean in terms of bills and food? If it turns out that you need to cut back on your lifestyle for a bit, will he cut back too, or will he be eating filet mignon while you have rice and beans?

Oh ok i see! Well the debts are in my name. My responsibility. In terms of budget we go halves on anything to do with our daughter, the house and food shop. The firgures i have given are for bills etc bit more detail: 
Electric and gas:£90
Water:£40
Mortgage:£750
Life insurance:£28
Buildings and contents:£25
Tv licence: £13
Council tax:£151
Broadband:£35
Insurance for washing machine:£6
These are a rough guide, we then split these in half. 
We also both pay £130 for a shopping budget. 
Then my half of the child care is £420
My own bills are: 
Lendable loan: 68
Lendable loan 2: 153
Aaloan:118 
Lloyds loan:120
Credit card:50
Phone:30 
Streaming:20
Car per year:260
Is that clearer? Thanks!