Newbie - Done an SOA - Now what?? Help!

montana1

Bumping this - can someone please give me some clever ideas on how to get rid of these terrible rated credit cards??:o

SteveyLomas

Not sure about the debts, but the spending is the root cause and that is what you have to go through, line by line.

All your bills (insurances, utilities) should be checked that they are the cheapest using some online comparison sites (uswitch.com, moneysupermarket.com) - that can easily shave £30 - £40 without any lifestyle changes.

Also, your grocery bill of £140 - that is pretty extravagant for one person (if the bill is halved). A bit of meal planning could soon see that tumbling down.

After that, you need to consider real lifestyle changes. I understand you really want to keep your horse, but sacrifices must be made elsewhere for you to do that.

The areas to consider for this are your entertainment budget, your holiday fund and running your car. You have to think carefully about which is most important to you and what can be cut back, as there will have to be some give if you really want to pay these debts off. A 0% interest card delays the problem, but the spending side is what is created the problem and this needs to be addressed. If between groceries and bills you can save £100, you should be able to save another £100 from the others. That's a surplus of £140 to throw at the debts. Which means you are on the road to recovery.

What do you think?