Help, please...my head is reeling!

Eshka_2

Ok, so I had my lightbulb moment and in theory things should be great in a while once I get the ball rolling on this challenging my debt stuff....but for now, I'm in big trouble and I need advice.

I'm on benefits, single mum, about to move house into Housing Executive accommodation (mind you this hasn't been confirmed yet), money is currently *extremely* tight, to the point where I have about 30 quid left to live off the rest of the month and I can't afford the bills due in the next few weeks.

So I'm bricking it, putting it politely. I don't know what I'm going to do. I have no other income until Feb 29th and that's already gone on bills. Things have just snowballed so badly and I don't know where to turn now. I've signed up to some paid survey sites but the fear is really taking hold, old habits are creeping in and at one point I was thinking 'Loan, loan, loan' but it's not an option anyway - I'm unemployed and my credit rating is shot due to current difficulties and defaulting on payments.

Can anyone help me out here? I'll give whatever info is necessary, I need some sort of straight thinking on this before I'll be able to sleep.

Thanks.

lynzpower

Ok first things first have you done an SOA yet?

Its entirely natural once your LB comes on that you simply dont have enough money. Thats because you are used to spending money you dont have, so when you pay it back you will be short.

ok, so 30 quid till end of the month.

What do you NEED to buy.

turn out your cupbaords and try to menu plan
do you need petrol? Can you walk some journeys?
what do you ABSOLUTELY NEED to get you through... make a list and lets see what we can come up with?

Any chance of doing a car boot sale? is there any near you this time of year?

MrsTinks

Deep breath - you're with friends now!
Can you post a SOA (see the post at the top of the forum for newbies ) so we can see if there is anywhere we can help you?
How soon will you know about the housing?
Also have you checked on the entitlement checker to see if you are getting everything you are entitled to?
I think at the moment a DMP might be the way forward - after all some things take priority like feeding you and your children and keeping a roof over your heads

Eshka_2

Hi, thanks for replying. Ok, I'll outline my situation as it stands below...I warn you, it ain't pretty.

My Income:
Money for kids from ex - £220 per month
Child Tax Credit - £316 per month
Child Benefit - £120 per month
Income Support - £94 per month
Housing Benefit - £310 per month

Total Monthly Income - £1060

My Outgoings (eeeeek!)
Rent - £420 per month
Car Finance - £115 - (I need my car, I live in the sticks and its my only form of transporting my youngest child to physio appts)
Car Insurance - £45 per month
Bank Loan - £88 per month
Student O'draft - £50 per month
Mobile Phone - £30 per month
Sky TV - £40 per month (cancelling tomorrow though)
TV License - £10 per month
Landline - £80 (going on first bill, switched to TalkTalk and got huge bill!)
Electricity - £50 per month
Oil Heating - £50 per month
Petrol - £50 per month
Groceries - £200 per month (actually its whatever I have to spend, and my parents have recently been buying my necessities for me)
Argos Store Card - £30 per month (or min payment if smaller)
Credit Card - £30 per month (or min payment if smaller)

Total outgoings: £1288

My Debt:
Car Finance - £1000, due to end Dec 08
Bank Loan - £2400
Credit Card - £450
Argos Card - £900
Student O'draft (combined with credit card from student days) - £2000

I also now have an electricity bill for £175 and my mobile bill of £30 is not yet paid. My car tax of £60 is due end of month and my MOT is also due mid March, which costs £30 to book. I have no money for frivolities, my mum has been buying my kids new clothes when they need it and my boyfriend pays for any entertainment at the weekend.

So...thoughts anyone? I've been thinking about maybe having a go at reclaiming bank charges with A&L, been with them 7 years and have a lot of charges racked up there. I'm also looking around my house to see what I can maybe Ebay, too, including lots of baby stuff - toys, clothes, steriliser etc etc.

Any help most welcome!!!

lynzpower

1) check with talk talk that your bill is actually correct. If theres a spare tenner there then all the better.

2) are you still using your cards?

3) is BF living with you? Or not?

4) definately worth looking at bank charges.

5) what are the APRS on your debt, and can you move the argos card onto lower APR as I expect its rather an expensive one?
What is the situation right now? When do you get paid? What do you need to find before payday

Do you absolutely have to pay off your student overdraft? I mean do you have an agreement to do so? What is the APR on this?

Spendaholic_Chick

HAve a look at a comparison site to see if you're on the cheapest gas and electric tariffs for you, and if it's advised to switch, go via quidco for cashback. Can you cancel your mobile,or switch to a cheaper taariff? Check ourt the Old Style board for ways to cut down on your shopping bill. NOt massive things, but a start. Good luck!

MrsTinks

Eshka wrote: »

My Income:
Money for kids from ex - £220 per month
Child Tax Credit - £316 per month
Child Benefit - £120 per month
Income Support - £94 per month
Housing Benefit - £310 per month

Total Monthly Income - £1060

My Outgoings (eeeeek!)
Rent - £420 per month
Car Finance - £115 - (I need my car, I live in the sticks and its my only form of transporting my youngest child to physio appts) Could you get a cheaper car? How often do you need to go to the physio appointments? Would it actually work out cheaper to get a taxi? Just a thought!
Car Insurance - £45 per month Check and see if you can get a better deal! Make sure you get cashback through quidco!
Bank Loan - £88 per month
Student O'draft - £50 per month
Mobile Phone - £30 per month Do you need this? Could you get a PAYG?
Sky TV - £40 per month (cancelling tomorrow though) Good!
TV License - £10 per month
Landline - £80 (going on first bill, switched to TalkTalk and got huge bill!) Check it's right... Talktalk are rubbish and personally I'd actually think you'd be better with BT but definitely scruitinise this! Worst case CUT DOWN ON CALLS
Electricity - £50 per month Check Uswitch to see if you can get cheaper.
Oil Heating - £50 per month Do you pay this monthly? We have oil and it's a BIG bill a couple of times a year...
Petrol - £50 per month Try to cut down on this
Groceries - £200 per month (actually its whatever I have to spend, and my parents have recently been buying my necessities for me) Can you order online? There are codes out there for free delivery with Tesco and Asda which means that you don't have to drive to the shops saving petrol and no impulse buys... £200 is actually a lot for groceries
Argos Store Card - £30 per month (or min payment if smaller)
Credit Card - £30 per month (or min payment if smaller)

Total outgoings: £1288

My Debt:
Car Finance - £1000, due to end Dec 08
Bank Loan - £2400
Credit Card - £450
Argos Card - £900
Student O'draft (combined with credit card from student days) - £2000

I've made some suggestions above

stapeley

As far as reclaim bank charges go , its a bit late . The banks are in court now ,so it could be a year till thats sorted . But it is worth looking at old statement and workout what you have been over charged . My OH has £1200 on hers . We wrote to them and asked for it back , template letters available . It has got the ball rolling so will be higher in queue when courts sort out a ruling .
In the short term put some of your old baby clothes etc on ebay if you can work it , i,m hopeless i cann,t work it out. Or shop windows . Could you ask you ex for a small advance ? Just till you get some money back from selling the goods ? good luck

chocolatechipcookies

My Income:
Money for kids from ex - £220 per month
Child Tax Credit - £316 per month
Child Benefit - £120 per month
Income Support - £94 per month
Housing Benefit - £310 per month

Total Monthly Income - £1060

My Outgoings (eeeeek!)
Rent - £420 per monthCheaper apartment/house?
Car Finance - £115 - (I need my car, I live in the sticks and its my only form of transporting my youngest child to physio appts)Have you considered moving somewhere with more public transport? I live in the city (I know not ideal for kids) and don't pay any money for cars. I'll get a taxi when I need to go long distances, or the bus. But this is not often at all.
Car Insurance - £45 per month
Bank Loan - £88 per month
Student O'draft - £50 per month
Mobile Phone - £30 per monthCheaper tariff? You can get a sim only package for £15 per month
Sky TV - £40 per month (cancelling tomorrow though) Good start. Stick with freeview until all your debts are clear.
TV License - £10 per month
Landline - £80 (going on first bill, switched to TalkTalk and got huge bill!)That is very high.
Electricity - £50 per month
Oil Heating - £50 per month
Petrol - £50 per month
Groceries - £200 per month (actually its whatever I have to spend, and my parents have recently been buying my necessities for me)Try to cut this in half? Buy more no frills brands.
Argos Store Card - £30 per month (or min payment if smaller)
Credit Card - £30 per month (or min payment if smaller)

Total outgoings: £1288

My Debt:
Car Finance - £1000, due to end Dec 08
Bank Loan - £2400
Credit Card - £450
Argos Card - £900
Student O'draft (combined with credit card from student days) - £2000

I also now have an electricity bill for £175 and my mobile bill of £30 is not yet paid. My car tax of £60 is due end of month and my MOT is also due mid March, which costs £30 to book. I have no money for frivolities, my mum has been buying my kids new clothes when they need it and my boyfriend pays for any entertainment at the weekend.Have your bf give you money for bills instead.


Is there any way you can combine the oil and electric bills? You could get some energy saving light bulbs, and make sure all lights are turned off in a room you aren't in.

rayday2

If your credit history is already damaged then personally I would speak with a debt charity and see about getting lower payments in a plan sorted out. If you tell them you need your car you should with such little time left on it be able to still pay that at full price.

Eshka_2

Cheers everyone, I still can't believe how helpful this site is - I've really had my eyes opened!

Feeling really optimistic today after getting it out in the open here last night. I've decided to do some ebaying, and I'm also gonna contact CCCS today for some advice on what to do with my debts. Even if I could get the interest frozen on some of them it'd be a huge help - the interest on my student one is absolutely hideous and I'll never realistically pay it off (HSBC, horrors to deal with - agreed payment terms years ago and barely anything has come off the balance).

I realised that what needs to be done is for me to pull EVERYTHING out of the woodwork and really look at each debt in detail - when asked what the APRs where, I thought 'Bloody hell, I don't know...'. Red flag or what.

Now, some stupidity came back to bite me this morning - I did panic and apply for a loan a while back and I got word this morning that they had accepted me, but I said no. Got my newfound courage from you lot:j so thanks for that too - just figured it'd be a ridiculous APR, and even with all the best intentions of consolidating something else would always come up and I'd be left with twice the debt. So to hell with it - it's the long hard slog for me!

Now, as for my SOA, I'm cancelling my Sky and I'll spend today shopping around for cheaper electricity etc, using Quidco of course for anything better. My car insurance is extremely hard to beat but I'll check that too. It's quite odd for me as I live in NI and we don't have the same providers of general things like electricity as those in England. But it's still worth exploring.

Thanks everyone - I'll now start a diary with my SOA at the top and start working my way through this mess, which I now see CAN and WILL be resolved!!!:p