We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
22 years old. Struggling with Debt. Need advice!

alexdavies05
Posts: 3 Newbie

I’m 22 years old and due to a lack of intelligence and maturity from 18-22 I have fallen into £4000 worth of debt. My mental health is taking a massive beating and I just want a clean slate now. I make £1000 a month but after bills I probably have £600/700 left. Can someone please offer advice. I have nothing to my name, letters are arriving. I just want to enjoy life again.
0
Comments
-
If you have £600/£700 disposable income then this all looks very doable in the next 6months.What are the debts?
Total Debt May 21 £20,490.44 DEBT FREE DATE 29/7/22
Mortgage balance May 21 £177,096.19. Now £146,747.17
Mortgage free date. At start of sole mortgage = July 2042
2024 SAVINGS FOCUS - get rid of the car finance. Savings balance/outstanding balance = £11,857.56/£12,706.25
2025 Savings Focus - 33.3/33.3/33.3 split; savings for house renovations (bathrooms/garden/kitchen; whichever collapses first), save for a family holiday (probably our last one!) and paydown/offset the mortgage1 -
I have £2000 overdraft. £1000 credit card. £200 loan. £300 loan. £500 loan.On paper it always looks so doable to me but I just don’t know where to start.0
-
Start by writing it down with your APRs.
pay off the highest APR first and make sure you keep up the payments on everything else.
The overdraft is likely to be the worst but it also can be the hardest as there tend to be a lot of self restraint needed. If you speak to your bank they will be able to reduce your overdraft limit each month until it is eliminated.
If you can eliminate the overdraft in 3 months that is a huge achievement and then keep rolling
Total Debt May 21 £20,490.44 DEBT FREE DATE 29/7/22
Mortgage balance May 21 £177,096.19. Now £146,747.17
Mortgage free date. At start of sole mortgage = July 2042
2024 SAVINGS FOCUS - get rid of the car finance. Savings balance/outstanding balance = £11,857.56/£12,706.25
2025 Savings Focus - 33.3/33.3/33.3 split; savings for house renovations (bathrooms/garden/kitchen; whichever collapses first), save for a family holiday (probably our last one!) and paydown/offset the mortgage0 -
Tiredbutdetermined said:Start by writing it down with your APRs.
pay off the highest APR first and make sure you keep up the payments on everything else.
The overdraft is likely to be the worst but it also can be the hardest as there tend to be a lot of self restraint needed. If you speak to your bank they will be able to reduce your overdraft limit each month until it is eliminated.
If you can eliminate the overdraft in 3 months that is a huge achievement and then keep rolling
0 -
Hi Alex,
Welcome to the forum!
When I was 18 I had a credit card of £1000 and I really felt under pressure by the banks. But I cleared it with the help of a family member as the stress was bonkers. Now I understand money, it really wasn’t that bad.
check when your overdraft interest free amount finishes ( call the bank for the date if it’s not online). Then you can budget better.
I agree with the above poster look at the APRs if you are not sure again ask the bank and check if and when the apr increases or the 0% deal ends.
Lastly set up an excel spread sheet showing the debts and the dates they need to be paid off by. I used to spread the money over say 12 months on an interest free deal and the debit was paid off interest free. This can also help with APRs that are higher, look to pay the higher apr first.If you need extra money surveys may pay you £10-£25 a month and you can always sell stuff you no longer need.Just remember to put this money towards the debit and you debit will be gone in no time.0
Confirm your email address to Create Threads and Reply

Categories
- All Categories
- 350.1K Banking & Borrowing
- 252.8K Reduce Debt & Boost Income
- 453.1K Spending & Discounts
- 243K Work, Benefits & Business
- 597.4K Mortgages, Homes & Bills
- 176.5K Life & Family
- 256K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.6K Read-Only Boards