My current money situation

illmonkey

Ok, so im in a bit of debt, basically £15k from a lot of problems over the past 16 months, mostly my familys business going under. And £5k for my car.

I currently take home a month £1368 (£22k a year before tax)

I have a car, rent food etc. I currently pay £1086 in bills a month. I've figured out once i sort my self out, sell the car etc i can get it down to £750.

My debt alone is costing close to £500 a month, including my car. The rest is rent, food, petrol etc.

I have most of the debt on a Egg loan, £12k at 7.9% over 7 years, the rest is £1000 overdraft and some on CC's.

I will *Hopfully* be getting £4500 from my brother (company owner) in payback from money i lent him for the company. Which i will clear my overdraft, CC's and a bit of my car with.

I've tried taking out a loan for the CC's and overdraft, but no one will lend me money.

Im only 19, but wish to get moving on the property ladder etc, but obviously im in a tricky place. I hope to have the debt paid off in 2 years, paying a massive ammount of my salery towards it!

Just thought i would share this, and see if theres any wisdom out there!

thanks for reading!

Skint_Catt

Hi Sam,

Can you list all your expenditure seperatly? Rent £400, Food £80, CC £200, Loan £300 etc - that will give us an insight into where you can juggle.

We're all here to help and I'm sure we will!

Also find out what exact interest rate you are being charged on your overdraft and credit cards. Don't guess - you could be more than 10% out!

I'll be back to have a look if you can do this!

Thanks S_C

illmonkey

Skint_Catt wrote:

Hi Sam,

Can you list all your expenditure seperatly? Rent £400, Food £80, CC £200, Loan £300 etc - that will give us an insight into where you can juggle.

We're all here to help and I'm sure we will!

Also find out what exact interest rate you are being charged on your overdraft and credit cards. Don't guess - you could be more than 10% out!

I'll be back to have a look if you can do this!

Thanks S_C

Hi,

i know my loan is 7.9%. Credit cards actually only have £300, over estimated.

Car loan is 6.9%

Rent: £200 soon to be £100
Car loan: £260, trying to sell it (anyone want a new clio!?)
CC: £35
loan: 187.50
New CC: 0% - not had a minimum payment yet, but it'll proberly be £75ish
petrol: £125ish
food shopping: £150
Sky: £35 (newish contract)
internet: £22

I intend on selling the car, using my "free" car i just got given a week ago. I then drive to the train station and use the train. Its only £80 a month for the train and proberly £40 a month for parkking, this will also lower the ammount of petrol and i wont be paying anything for the car! but i will still be paying £120 to get to work!

Skint_Catt

Hi, that's great.

First thing I see is the food shopping. Can you get this down any? How many people does this cover?

What's the thing with the 'free' car? Would it be cheaper to pay petrol all the way instead of petrol, parking and train? (Maybe not this week but if the price of petrol comes down any!)

Internet? You can get broadband or dialup for a lot cheaper than £22. Have you thought of changing ISP and shopping around? If you don't use it often maybe go payasyougo dialup?

Also are you paying minumum payments on your loans/cards?

S_C

illmonkey

Skint_Catt wrote:

Hi, that's great.

First thing I see is the food shopping. Can you get this down any? How many people does this cover?

What's the thing with the 'free' car? Would it be cheaper to pay petrol all the way instead of petrol, parking and train? (Maybe not this week but if the price of petrol comes down any!)

Internet? You can get broadband or dialup for a lot cheaper than £22. Have you thought of changing ISP and shopping around? If you don't use it often maybe go payasyougo dialup?

Also are you paying minumum payments on your loans/cards?

S_C

OK!

Food shopping was just for me and my girlfriend, but it involved looking after a 2 bedroom flat, catering for friends a bit and beer (this one being key )

I am moving into her parents house soon, and wont have to buy silly things like toliet roll etc, but anything "extra" i want or dont want anyone in the family to eat i have to buy, so like cheese (i like mature, they buy plastic) etc.

Free car, basically i was GIVEN a car, but its needs to be tested before it can be changed to my name, this cant happen due to time waiting, which is 6 weeks. But i only found out today, i can get it insured in my name, even though im not the registered keeper! great news.

Internet, again, im moving in to g/f's house, and they have broadband. So i can cancel that.

I pay minimum payments on my cards and loan, and i also have the over draft to contend with.

skintchick

How much on food and petrol?!?!?!?!?!?!?!?
I spend £80 on food for me (and the cat). £150 is outrageous if it's just for you.

GET RID OF SKY! And internet. You don't NEED either. Yes, I know you want them, but you have debts to pay off. I want wine, but I can't have that either.

Are those all your outgoings? What do you spend down the pub, etc?

You have a decent wage and virtually invisible rent and apparently no bills. (I asume you live with parents?)

You should be able to find lots of cash to throw at these debts.

Skint_Catt

Basically I think you will cut a lot of this once you've moved into your girlf's parents house, sold the car and got the money back from your brother (keep nagging him!!!!)

Pay your highest rate loan off first - which looks like the 7.9 (but depends on your overdraft charges if these are higher pay back this first).

Have a look through Martins info on best buy loans and cards - if you can get anything that is lower than what you've got it's always good.

Be a cash person when you move with your girlf. You'll find you have a lot of money in your bank all of a sudden, but don't go wild! I take out all my outgoings in cash when I get paid (petrol/rent/shopping/social) and then that's it for the month - I cannot go back to the cashpoint. When you see it physically disappearing you will be a lot more careful!

S_C

illmonkey

well hes getting the money from selling his house. So once that goes through i hope i get it!

The money i get (£4500 hopfully) will cover my over draft and pay off thr CC's. The car will pay for its self, the it should just be the big loan. which i can handle on standerd monthly payment.

The one thing that is annoying is having 5+ DD's comming out just for debt!

roversbabe

samgoffe wrote:

The one thing that is annoying is having 5+ DD's comming out just for debt!

I know that one only too well - Once one of the debts is clear though, it is extremely satisfying cancelling that 1 direct debit, then you can snowball and clear another.

I've now cleared 3 DDs for debt, 3 down, 2 to go.

Good luck

illmonkey

Update:

Right, i was hoping for £4500 from my brother to help towards the debt left by his company, but it appears as though im only getting £2000! which obviously is a kick in the teeth for me!

Anyway, i tried the train out today, see what it was like time/effort wise and it was great!

at the moment i pay £261 a month for my car and about £100 in petrol a month. Not to mention running the damn thing! So i figure i will try the train out.

Drove to train station (5-7 miles) paid my car park ticket (£3.50 a day) and my train ticket (£5.60 a day) thats £9.10 a day, but no use of my car really. If i was to buy it monthly it would cost £6.80 a day. or £136 a month. Plus say, a tank of petrol, £35. so all in at £170. (this is being with selling my £5000 car and getting a £500 car!)

So in all the train could save me upto £200 a month, and it was great. just sitting peacfully without getting my usal mornings road rage! Took the same time too!

Penny-Pincher!!

Hey

You seem like you know ehere you need to cut back etc. All I can suggest is mealplan and budget. Dont pay full price for anything-barter..lol. If you are moving in with GF family-this should save you quite abit of money as the loo rolls etc etc all add up.

Good luck

PP
xx