Sick to my stomach and so worried

TTMCMschine

From your SOA you have a massive overspend, so your debt is just increasing every month. That means you need to make some big decisions, & none of them are going to be pleasant.

Unfortunately you just cant just get rid of the debts without an IVA/DMP/Bankruptcy or similar, & even then it looks like you just can't afford to keep the pets. I know you say "it isn't an option" but unfortunately it is a necessity - & your creditors are unlikely to accept writing off debt or lower payments while you have (what they will see as) unnecessary luxuries. It would save you £200 a month if you didn't have the pets.

Even without the pets you're spending £1600 per month, which doesn't leave much for debt payments. If you carry on as you are you're going to end up losing the lot.

I would also work on getting the overdraft sorted out ASAP. If the bank decide that they want their money back they might well just retain your wage to offset the balance & demand the rest as well - then you'll have no money to pay any bills & will be well & truly up the creek.

May I ask how you ended up with the debts - is it a spending habit that you've addressed?

Squirrel29

Do you have any equity in your house after the remortgages? If so, would it be worth selling the house and paying off debts with the equity and then renting? I know that if I had to chose between losing my house or my pets, the house would go (runs away and hides :silenced:)

I know it is not ideal and it could take a long time to step back onto the property ladder. It can be a bit more difficult to rent when you have a couple of dogs but I have got friends who rent and they have pets, they had to pay a slightly higher deposit to cover possible damage.

I definately think one of the cars must go, the cost of 2 x tax, mot etc is too much on one income.

Re the pony, I know you can't loan him but how about sticking an ad up in the tack shop to see if someone would share the cost.. a horsy loving youngster would probably snap your hand off if they could have the chance to spend time around a pony. Also, can you club together with other horse owners to buy the wormer in bulk online. I used to do do that, you get a good discount if you buy in bulk and much cheaper online anyway. Same with dog wormers, flea treatment etc. The insurance for the horse seems quite high, I paid £25 per month two years ago with NFU and that was also included cross country cover which bumped it up. If you can get it cheaper, try to go through Quidco or another cashback site.

Get on the phone to CCCS today and let us know what they say.

wydsiwyrg

Hiya,

I could go through the SOA, as I normally would, and suggest areas to cut back in. However I feel that's not a huge amount of use. You need to look at selling your house. Your minimum payments on your debt is £1000 per month; your mortgage is £742; council tax is £55 that's £1795. Unless you plan on living in the dark with no water, and eating nothing, there's no way you can afford to keep the house. If you have equity in the house, you need to sell up, in my opinion.

Are you paying interest only mortgage or repayment? If interest only what provision have you got for the final balance?

HTH,
tim

blondiebonbon

I'm shaking like a leaf reading these recent posts. I'll try and calm down, re read and then call CCCS.

lemontart

I have had a quick read of your statement and noticed you are paying £35 pm water -have you got a water meter if not get one, and look at what plan you are one I pay 1/2 that on the low usage plan with a meter and there are two of us in the house - I know it is only a few pound reduction but it is a start.

Also use the car and house insurance comparison sites listed on this site to see if you can reduce your monthly spending on those too.

This will also give you feeling of doing something positve as well as good feeling of reducing a bill .

Liz

Squirrel29

My friend had to give up a house she loved when her ex went bankrupt. She was so upset but now much happier in rented as it not her problem if anything goes wrong i.e boiler. She allowed to decorate and do garden how she likes it.

It seems scary now but would ease this pressure off you. Big hugs though xx

blondiebonbon

Just a quick update from this morning....

I've spoken with my mortgage company and they said I can take a payment holiday next month no worries because I have a good track record. This will at least means I can be 100% paid up with the CCs after a messy christmas. They've also said I can switch to interest only for 5 years if I do and IVA and they are happy with that and approved it no probs. I don't want to do that forever of course but it frees up quite a chunk.

On top of this I realised I've over estimated my pony costs after speaking with the lady who shares the field with me. I've been overpaying for hay/feed and counted it twice in my budget as I looked at my last cheque I wrote for it and took the fig from that...I forgot that was for ALL of the feed not just for my horse...duh!

In addition I've also been on to the dog food company and can cut my special doggy food bill by nearly half by going to another supplier instead of the vets.

My 2nd car is up for sale and I've placed an ad this morning in the adtrader, so thats half the running costs gone, and I've also been quoted about £6K to sell some jewelry that I was left but (and I know it sounds horrid to say), don't care for much but very pleased to sell it and get the cash. I need to find out what to do with this sum lump when I speak to the CCCS later.

Oh and I'm also getting a pay rise! Not much but with this and my rebudget and interest only mortgage its giving me about £300/m extra whic I hope will help my case for an IVA as I'll be able to pay.

I'll need to do another SOA when I have all the figs confirmed to see where I'm at.

I know I'm still in the wood big style at the moment but I'm amazed what can be done in a morning!!

Posting on here is really keeping me going so thank you!! xx

mummytofour

Hi hunni,
Well done for posting.
I would suggest that you call the CCCS they really are amazing. If you change the mortgage over to interest only and get all your credit cards and loans onto a DMP then that could well help you. Everybody needs somewhere to live so I dont think sell you house really is the best option, if it can be avoided at all.
Can you get a lodger?
I hope you can find some way to keep your pets as I understand they mean the world to you.
Take care.

catlover1_2

Hi,

The Pony Insurance would it be possbile to reduce this...

Could you have a look at changing the policy to not include "loss of Use" as this really adds to the policy cost.

Mine for a showjumper who competes at over 1.25 metres is only 11 per month and includes £5000 vets fees per incidence ( but not loss of use) loss from death / theft etc...... £42.00 per month seems really really high.

xx

blondiebonbon

Thanks mummytofour. I love my little home and with yesterdays efforts showing me what can be done I'm sure I can keep it is I can get an DMP or IVA.

Catlover1 - I'm looking at the pony insurance now. Its with NFU. Who is your horse insured with may I ask?