Busting debt with a boy plus twins

Danidebtfree

So it's been one of those months which has been a complete whirlwind with a seven year old and twin two year olds. Everything got so busy and then, all of a sudden, we were broke. I kept enough money in the account for the car payment, but had no choice but to use credit card to cover food. It was the rock bottom and I don't want to live like this anymore. 

Between me and my OH, we have a fair bit of debt. 

23k on a personal loan
3.3k on credit card 
1.2k on car one 
13k on car two
.2k Overdraft 1 
2k overdraft 2 

It stops now. 

Long story short, we tried for baby 2 just before COVID and ended up with twins. Wouldn't change them for the world, but they are expensive .

I retrained as a teacher, which has seen my wage increase 9k from my previous job, but our childcare works out to my wage some months. 

With this month being the summer holidays with no child care to cover, what I get that I haven't budgeted being for core expenses is going in my "float" account. This will mean we will be able to cover the childcare between now and December.

From January, the twins will be eligible for 30 hours childcare which will see our childcare bill reduce by more than half. 

I am then going to use this money to snowball our debt. 

I am also due an inheritance soon, and although it won't cover everything, it will really help and then we can aim to be debt free for the first time in a long time. 

SaverRate

If you do an Statement of Affairs we can see if theres anything you can cut down on/save yourself money on to go towards your debt 

https://www.stoozing.com/soa.php

You will need to select format to MSE 

Danidebtfree

Thanks for the above, I'll check it out! 

In the first step of making things more comfortable for us to pay our debts I've actually just taken a Saturday job with an estate agents, which I start tomorrow. So that will give us an extra £350 post tax per month. Hugely helpful! 

enthusiasticsaver

Goodness twins as well as a seven year old.  That sounds hard work and expensive so it will be massively helpful when the free hours kick in.  Good that you are a teacher so school holidays mostly covered too. 

I would tackle those overdrafts first.  They tend to be the most expensive type of borrowing. 

Danidebtfree

Thank you, this was my thought too. It'll be lovely when the account doesn't show as negative as soon as the mortgage goes out! 

NeverendingDMP

Mum of three children here, all a few years older than yours now. I have a Singleton then three year gap till twins. The childcare costs hit you full on don't they. We are only just recovering. It will definitely ease when you get the three year funding and you might feel you then earn something whilst at work   good luck with it all and excellent news on having a term time job it will save you a fortune in holiday clubs as they get older!

beanielou

Another vote to get rid of the OD's first.