First Steps to Solvency

mamamu

alt80 said:

If I can stick to the budget there’s about £500/m over but this is if I can stick to £650 groceries (including coffees out / alcohol Etc) And £250 entertainment Month in month out- don’t think that’s likely tbh. No holidays etc. No birthday/ Christmas presents accounted for (this year n/a as my wife is the Christmas fairy and has already gone mad for Christmas), no clothing budget (I’ve used entertainment for that but not going to get much for £250/m including actual entertainment).

Yes if there ends up being £500 over it should go on the cards to pay them down but I’m not sure I can face living like this to pay cards and do nothing else with my life for 3 years. This would be having no 3rd car either just the RR and the BMW.

How long 0% is for? Are you sure you will get 0% rate when time is up? 

Also come next year you will have to pay car insurance again - as you not budgeted for it it will either will come out of you credit card or will be paid on monthly basis paying interest on it. 

I think if budget very honestly you do not have surplus, if you account for emergencies, birthdays, christmas, holidays, dental and health, clothes, shoes. Etc,

When your next years car insurance comes up - you don’t have stuff to sell anymore to pay for it. 

Also all you sell is not income is loss as I am sure you paid more for it then you are selling it for. 

If you want to get debt free you have to be honest with yourself  fIrst.

alt80

@enthusiasticsaver honest answer because I saw the potential £15k from selling stuff, could put the additional £6k on a card and added the bmw payment to the £500/m and saw I could buy the AM to make up for the f-type. 

Most of my tenants probably have more disposable than I do tbh with this current mess.

All I could do to really change this mess quickly would be lose the Range Rover put the deficit for that on credit or directors loan, lose the school, get a different car through the business and keep the BMW. I’ve wanted this spec of RR since this shape come out in 2013 and only just got it so I really don’t want to lose it too.

TheAble

It's fascinating stuff but i'm not convinced you're in the right frame of mind for help at this time. First and foremost you have to want to help yourself. As long as you're talking about 0-60 times and RR specs I don't think there's much we can do for now.

enthusiasticsaver

alt80 said:

@enthusiasticsaver honest answer because I saw the potential £15k from selling stuff, could put the additional £6k on a card and added the bmw payment to the £500/m and saw I could buy the AM to make up for the f-type. 

Most of my tenants probably have more disposable than I do tbh with this current mess.

All I could do to really change this mess quickly would be lose the Range Rover put the deficit for that on credit or directors loan, lose the school, get a different car through the business and keep the BMW. I’ve wanted this spec of RR since this shape come out in 2013 and only just got it so I really don’t want to lose it too.

Goodness money really does fall through your fingers doesn't it?  I would hazard you have not even got the money yet from selling the stuff and yet you are perusing car websites for your next toy. Yet you know you are in a mess.  You are not stupid so you know how to fix it. 

You are hardly living on the breadline with £650 groceries and £250 entertainment.  That is an insult to people who have to manage on far less. 

alt80

@clairebeth £500/m does not cover holiday / clothes etc etc etc 

The groceries and entertainment accounts for everything like a bit of eating out / coffees / alcohol / clothes / shoes and whatever else so not just food on the table.

I like buying quality clothes that last. Not going to deny some of the stuff is a bit old before your time but plenty isn’t - lots of brands in JL. Not going to be shopping at Primark not being a snob about this - the quality is not there. Can’t even believe the JL thing is an issue lol I went once on Saturday for a walk around town and yesterday for a genuine work expense. I probably won’t even go to the shops for another month.

TBH holiday in the Netherlands sounds good.

Wife would probably not be pleased tbf.

@mamamu I have a good credit record believe it or not and plenty of surplus on the cards - no reason I shouldn’t get another 0%. I did account for insurances actually. Positive I paid more for the stuff I’m selling than what I bought it for wouldn’t be selling it under normal circumstances.

@TheAble I need to pay the card debt. I do want to help myself. Yes I suppose I want a bit of help for someone to show me how I can get the card debt down and live a life worth living as I can’t make the figures stack. 

Happy to give all up but the RR said that before.

enthusiasticsaver

You can easily get the card debt down.  
£15k from selling the unwanted stuff and it is down to £25k
Explore a good state primary for your son who is only 6 so it is not like he has been at his school for years.  If he is a confident child he will adjust.  £1200 extra to the cards  on top of the £985 and within a year the cards are paid off.  

clairebeth

alt80 said:

@enthusiasticsaver honest answer because I saw the potential £15k from selling stuff, could put the additional £6k on a card and added the bmw payment to the £500/m and saw I could buy the AM to make up for the f-type. 

Most of my tenants probably have more disposable than I do tbh with this current mess.

All I could do to really change this mess quickly would be lose the Range Rover put the deficit for that on credit or directors loan, lose the school, get a different car through the business and keep the BMW. I’ve wanted this spec of RR since this shape come out in 2013 and only just got it so I really don’t want to lose it too.

You might not want to lose it, but you probably need to, unless you value the car over the ability to progress your business, spend time with your family and the security of your own home. 

Don't think about the money you've already spent on it, think about the money that you still have to spend on it to keep it, it's insane. It's like a gambler throwing all his money on a bet to win back what he's lost. 

I DO actually understand about liking cars, I'm Australian after all.  But I'd never met someone who'd bought a car new until I came to the UK! When i was a teenager it was all about used Holden Calais and Commodores, and a few Kingswoods and old veedub beetles! My first car was a 1985 Mitsubishi Sigma that I paid the equivalent of £1k for, but what I really wanted was a 1990 Nissan Silvia - with a spoiler! But that was more like £2.5k and I couldn't afford it! Our cars were our pride and joy, but as much as we liked drag racing each other at the traffic lights, I would never have dreamed of sullying that enjoyment by going into debt to buy the car. Why make something you enjoy into a ball and chain? 

There are SO many options out there for used cars, far cooler than a RR, I think you have completely shot yourself in the foot with the Range Rover. 

clairebeth

alt80 said:

@clairebeth £500/m does not cover holiday / clothes etc etc etc 

Are you serious? That's £6k a year. You've spent MORE than £36k since your son was born on holidays and clothes for him?

And just because you think you can't make it work you're not going to try to budget with the 'surplus' and !!!!!! it up the wall instead? 

alt80

@enthusiasticsaver I can’t stop spending. I try to. I force myself to stay at home or go for a drive and not get out the car, set the sat nav so it goes mad if I make a turn to go into town. There’s been a lot of talk of happiness on here - how can that make you happy / fulfilled or whatever? I’ve started the counselling it’s doing nothing for me. I like spending time with my family but it’s not the same as buying a car. It hurts to admit that but I don’t get the same buzz going for a walk with wife and son as I do when I’m buying stuff. I’ve been a rubbish dad and husband - not been there working yes but I encourage wife to go to her parents’ who adore their grandchildren regularly on Saturdays so I can go and spend money most weekends. Not all on myself.

I did not even plan for my son to go to the school. I half anticipated it would happen at 11 but not for primary. My wife enrolled him at the nursery and he stayed I couldn’t tell her it was going to be difficult financially and I had nearly six figures owing on cards at the time. He’s her world and I’d spent nearly six figures on stuff. Yes my wife spends money some of it on luxuries but my appetite for spending far outweighs hers. Suppose its easier to say her beauty etc spends are the problem than admit a serious issue with spending way beyond your means because it’s the only thing you enjoy in life?

enthusiasticsaver

alt80 said:

@mamamu I have a good credit record believe it or not and plenty of surplus on the cards - no reason I shouldn’t get another 0%. 

We are officially in a recession with the first two quarters of 2020 showing a massive contraction in GDP. If we end up with a no deal Brexit and unemployment rises once the furlough scheme finishes the 0% deals will disappear. They always do when times are hard even for borrowers with good credit records. You would be sensible not to rely on being able to get deals.