20 and very much in debt =(

Johnrock

Hi guys,

I have been in debt literally since the day after I was 18, I took out a £10,000 loan while stood in the NatWest bank queue after being asked if there is anything else I can do for you, and I replied "10k would be nice" (Jokingly) and thats where it all started.

I was accepted for the loan, and bought myself an audi TT and to cut a long story short, the 10k loan has now been increased to 13k over the years, with about £14,500 left to pay off if I leave it for the full term, but about 11k I think if I pay it off now.

This is not all my debt, I bought a subaru impreza and the upkeep on that was ridiculous and I got two credit cards, one is at £2,500 the other is at £170.

I now have a BMW M3 which I really need to sell but cannot afford to prep it ready/advertise it. My Debt -

MY STATEMENT OF AFFAIRS

£2450 Natwest Overdraft Account 1
£1950 Natwest Overdraft Account 2
£1500 (Roughly) HFC Bank Retail Purchase
£2394.55 Limit £2400 - MBNA CC
£182.32 Limit £200 - Capital One CC
£13647.84 - NatWest Loan
= £22124.71 - Oh dear me at 20 years old...

Monthly Incoming -
Changes every month due to commision, but a minimum is £1000.

Monthly Outgoings -
Sky TV - £42
iPhone Contract - £36.98
HFC Account Payment - £31.69 APR is around 29.9%, I will check when they are open, I have no idea how much I owe, but I have had it for 1 year, and its over 4 years.
Car Insurance - £206.34
NatWest Loan - £280.58, outstanding is £13647.84, if I was to settle today its £11013.20
Capital One CC (Outstanding Balance is £182.32) - £8.90 APR 15.9%
MBNA CC (Outstanding Balance is £2,394.55 - limit = £2400) - No set amount, but minimum payment is £55.40 due on 16th march 15.9% APR
NatWest Overdraft - Have no set amount for these, but I get charged £28 interest per month and £40 charge on BOTH accounts. APR is 18% if i stay above limit, 26% if i go below.
I have no idea how to even start paying these things off, the credit card interest is like £50 a month, i get charged/interest added to my overdraft of a combined total to like £120 aswell, I have no idea what to do!!




Please somebody help me =( I should of listend to everyone when they were telling me not to get into debt, but I thought I knew best and I really dont. I feel so sick everynight knowing I am in so much debt. I still live at home and I am scared that I have ruined my chances of getting a house in the near future!!!

I dont know what to do =(

Mozette

Post your statement of affairs, and you'll get loads of help. This is the link http://forums.moneysavingexpert.com/showthread.html?t=107280
At least you've realised you have a problem at a young age, so you'll still be young when you get it all sorted.
Good luck!

IWantToBeFree_2

Cancel or reduce the Sky. I imagine you won't have much luck in cancelling the iPhone or reducing the tariff.

Can you give the tele & playstation back?

Might be able to give more help if you post up a full statement of affairs which lists all your incomings and outgoings, and also the APRs etc of all the cards, loans and overdrafts you have.

KylieFan24

Hi,

I think u have come to the right place for advice as it seems there are a lot of people here that really know what they are talking about!

I am at the same point as you in just realising that I have really got to do something about my debts NOW

My probs started the same way as you by the bank offering me a loan and credit card when I was about 19 and when I had no need for it and its all gone downhill from there :mad:

Lovella

I really feel for you - you sound exactly like I used to be! Cut back on everything that you can now - things aren't hopeless, you've had your 'light bulb moment' and you'll get lots of support here from people who have gone through the same as you or are still going through it now. You're lucky that you're still living at home so you should be able to make some massive savings if you put your mind to it and can throw all your money at your debts. You've taken a step in the right direction already by finding your way here.

crawley_girl

Lovella wrote: »

I really feel for you - you sound exactly like I used to be! Cut back on everything that you can now - things aren't hopeless, you've had your 'light bulb moment' and you'll get lots of support here from people who have gone through the same as you or are still going through it now. You're lucky that you're still living at home so you should be able to make some massive savings if you put your mind to it and can throw all your money at your debts. You've taken a step in the right direction already by finding your way here.

Ditto. Welcome to the wonderful world of DFW!

Johnrock

I cannot understand how people can feel for me when I have bought it 100% on myself, it seems really nice here and I am glad I posted, Its the first time I have ever spoken about my debts freely. Thanks so much

MissEyre

MY STATEMENT OF AFFAIRS

£2450 Natwest Overdraft Account 1
£1950 Natwest Overdraft Account 2
£1500 (Roughly) HFC Bank Retail Purchase
£2394.55 Limit £2400 - MBNA CC
£182.32 Limit £200 - Capital One CC
£13647.84 - NatWest Loan
= £22124.71 - Oh dear me at 20 years old...Not ideal, but we've all been there, and at least you realised before it got any worse

Monthly Incoming -
Changes every month due to commision, but a minimum is £1000. Can you do any extra hours, get a second job, ebay stuff you don't need any more-like that car?

Monthly Outgoings -
Sky TV - £42 Cancel this-you could be paying this money off your debt
iPhone Contract - £36.98 Try to cancel, but I guess it's a pretty new contract?
HFC Account Payment - £31.69 APR is around 29.9%, I will check when they are open, I have no idea how much I owe, but I have had it for 1 year, and its over 4 years.
Car Insurance - £206.34 Is this really your monthly insurance payment? That's mental! It really needs to be reduced, so shop around again and see what you can find...starting on Quidco, where you will get cashback from them too
NatWest Loan - £280.58, outstanding is £13647.84, if I was to settle today its £11013.20
Capital One CC (Outstanding Balance is £182.32) - £8.90 APR 15.9%
MBNA CC (Outstanding Balance is £2,394.55 - limit = £2400) - No set amount, but minimum payment is £55.40 due on 16th march 15.9% APR
NatWest Overdraft - Have no set amount for these, but I get charged £28 interest per month and £40 charge on BOTH accounts. APR is 18% if i stay above limit, 26% if i go below.
I have no idea how to even start paying these things off, the credit card interest is like £50 a month, i get charged/interest added to my overdraft of a combined total to like £120 aswell, I have no idea what to do!!

Not trying to be difficult here, but can't see anything for petrol, food, rent to your parents, going out, clothes-what sort of figures do you have for these?


The best way of working out which ones to pay off first is to go to whatsthecost.com (think that's the right website!) where they have a payments calculator-if you put in all your debts and interest rates, it will work out the cheapest way of making the repayments and give you a debt free date. This is called snowballing-paying the highest interest rate first until it's clear, then moving down to the next one.

You can get this sorted out, but it will take a bit of effort-you'll get all the support you need here though

MissEyre

Johnrock wrote: »

I cannot understand how people can feel for me when I have bought it 100% on myself, it seems really nice here and I am glad I posted, Its the first time I have ever spoken about my debts freely. Thanks so much

That's what we're here for! Nice to have you on board x

findingmyownway

Johnrock wrote: »

I cannot understand how people can feel for me when I have bought it 100% on myself, it seems really nice here and I am glad I posted, Its the first time I have ever spoken about my debts freely. Thanks so much

Thats because we have all been there. Some debts are small, some are large but on a day-to-day basis we are all in the same boat.

It would be good to see the amount you pay to your parents. Does that include food etc? I can see you are a gadget fan - what about going out etc? A full picture of where the money goes each month would be helpful. Many people on here run a whole house on £1000/month so yours must be going somewhere!

Well done for posting, it is the first step to a debt free life.

What ever other advice you receive, please keep this in mind. The single (free) thing you can do to help yourself is to KEEP POSTING ON HERE. It really focusses your mind :beer:

sparky0107

Hi johnrock,
We've all been there, so no-one is going to judge you, just try to help you, can you poat any APR's against your outstanding CC's Loans & overdrafts etc. Welcome to the forum & Well Done for having your LBM!

HFC Account Payment - £31.69 APR is around 29.9%, I will check when they are open, I have no idea how much I owe, but I have had it for 1 year, and its over 4 years. This account can be payed off with overpayments, ring them on 0870 010 0453 and ask for a settlement figure & payment book, it's surprising what paying off a few quid over the odds makes to the overall debt, in interest alone

Good Luck