Please help me - Don't know where else to go?

Pixie983

In_Search_Of_Me wrote: »

Firstly hugs for you and welcome back! If its any consolation I managed to get my cc down to 1700 and though oh great shopping....now about 8000 and dont know about you but I felt really angry with myself and frustrated!! Move on from it and start again...whats done is done just learn from it!
Re consolodating I would avoid it if you can - from personal experience you dont learn and it just lulls you into a false sence of security and you dont change your spending...I finally had my lbm at 37000 in debt after northern rock said no to a consolidation loan!! Plus the credit will run out eventually so better to tackle things now than later when youre even more in debt!!! Much better to sit down, work out whats what, post your soa and come up with a cunning plan! If you can get credit why not see if you can get a life of balance transfer and do it that way...meanwhile flog what you can, think of ways to get extra dosh (quidco, babysitting, cleaning, bar work, making things...) and enjoy a new way of life. Hand on heart I can say that I dont regret my new way of life and this is from someone who SOOO understood the shopaholic book to the point of laughing out loud!! 250 on chanel facial stuff was peanuts in the old days...I look back with absolute horror!!

Thank you this has made me smile at least and feel a little better. I am angry with everything at the moment but myself in particular for putting myself in this mess, wish I could turn back the clock and never have had that first credit card, not possible though unfortunately!

I could try applying for one of the fixed low rate cards, capital one are offering 6.9% until 2012 with no transfer fee, however I have no idea what credit limit they will give me - I would think it would start at £5,000 or less - again less than half of what's on the MBNA card, and also most CC companies minimum repayments are a percentage of the balance, 3.00% etc that's why I had the MBNA card and took the Virgin one from the same family, their minimum is £25.00. 3.00% on 10,000 or even 5 works out at more than I can afford. That's why I keep thinking about the loan, the repayments will work out cheaper. Maybe I could try for the cap 1 fixed low rate and transfer some to that and the rest on a personal loan? Although that's not going to look good on my credit report? Plus it's multiple payments each month again and IF one of them turned me down I'm unlikely to get the other then. Arrrggghhh I just feel I am in a no win situation. A big fat hole that I am falling further and further down by the second.

Merlinexcalibur

Hi, Pixie. Not read through the whole thread but I know where you are coming from in your last post. Please don't give up. I keep picking myself up now it's like putting on a new set of clothing. Don't know why, cos feel like chucking the towel in probably every five minutes of every day ... but I think you know what I am saying. Don't give up.

Fire_Fox

Welcome back! Have you cut up those cards now? Did you manage to quit smoking? Can you post up a new Statement of Affairs (using the proper SoA format if poss)?
http://www.makesenseofcards.com/soacalc.html

Pixie983

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household.........
Number of cars owned.................... 2
Monthly Income Details
Monthly income after tax................ 1636.72
Partners monthly income after tax....... 1700
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 3336.72
Monthly Expense Details
Mortgage................................ 924.74
Secured loan repayments................. 255.64
Hire Purchase (HP) repayments........... 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 110
Electricity............................. 55
Gas..................................... 55
Oil..................................... 0
Water rates............................. 34.3
Telephone (land line)................... 14.98
Mobile phone............................ 45
TV Licence.............................. 11.95
Satellite/Cable TV...................... 57.48
Internet Services....................... 0
Groceries etc. ......................... 200
Clothing................................ 30
Petrol/diesel........................... 100
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 10
Buildings insurance..................... 33.61
Contents insurance...................... 0
Life assurance ......................... 19.23
Other insurance......................... 0
Presents (birthday, christmas etc)...... 10
Haircuts................................ 30
Entertainment........................... 4
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 2000.93

Assets
Cash.................................... 0
House value (Gross)..................... 150000
Shares and bonds........................ 2000
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 152000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 146000...(924.74)...6.9
Secured Debt.................. 17000....(255.64)...12.4
Total secured & HP debts...... 163000....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
MBNA card......................11000.....25........15.9
Virgin card....................3400......25........0
Total unsecured debts..........14400.....50........-

Monthly Budget Summary
Total monthly income.................... 3,336.72
Expenses (including HP & secured debts). 2,000.93
Available for debt repayments........... 1,335.79
Monthly UNsecured debt repayments....... 50
Amount left after debt repayments....... 1,285.79
Personal Balance Sheet Summary
Total assets (things you own)........... 152,000
Total HP & Secured debt................. -163,000
Total Unsecured debt.................... -14,400
Net Assets.............................. -25,400
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission.

Not sure if I have done this right? The house related bills inc groceries are all covered by £850 that we each pay into our joint account when we get paid each month. So minus that from my take home salary is what I have left to repay my debts - the secured loan and c.cards, plus what I have to live on for the month. My partner has no idea I am in such a mess, knows I got the secured loan a couple of years ago but doesn't know about the cards, I'm not sure I can tell as the reason I had the secured loan was to consolidate other debts and is not in a position to help me anyway. Also my car is a company car so I don't have to pay insurance, road tax etc however I do have to pay for diesel. Yes I did manage to quit smoking - nearly 6 months off them now!!

TurnaroundSue

Hi Pixie and welcome back. Congratulations on giving up smoking for 6 months; imagine how things would have been had you still been smoking!!! From your SOA it looks like you have cut down on all your beauty therapies (or is that at the expense of more credit?).

I seriously, seriously would not get another consolidation loan. You have done that already when you got the FD secured loan, and you have still continued to rack up more debt. No, you need to change your way of spending and your attitude to monies. A consolidation doesn't help you face up to your spending habits, it only helps in the short term and before you know it you are back where you started but in a worse position.

Try a spending diary. Write everything down, and I mean everything, from a bar of chocolate to that expensive face cream, to your nails being done. That will help you to see exactly where all your money is going and will help you focus on where you need to make cutbacks. It really is enlightening and is quite a shock on the system how much you spend on stuff you only really WANT and not NEED. Use Martin's mantra of asking yourself BEFORE you part with your cash "Do I want it, do I need it, can I afford it?". Just by doing this will help you and before you know it you will be putting things back on the shelf rather than putting your hand in your purse.

I am sorry if I have come across as harsh, that is not my intention, but you really do need to get your spending under control and focus on reducing what you spend.

Try doing the snowball calculator also - this will show you which debt you need to pay off first and will also give you a debt free date. This will give you something to work towards and will help you to remain focused.

But the most important thing I would say is to keep posting, keep posting, keep posting. There are some really knowledgeable peeps on this site and with the support and advice you will get from them, it will really help you get your financial life back in order and help you get to your DFD.

ps did you get the PPI monies back?

In_Search_Of_Me

Pixie983 wrote: »

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household.........
Number of cars owned.................... 2
Monthly Income Details
Monthly income after tax................ 1636.72
Partners monthly income after tax....... 1700
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 3336.72
Monthly Expense Details
Mortgage................................ 924.74
Secured loan repayments................. 255.64
Hire Purchase (HP) repayments........... 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 110 can you do over 12m?
Electricity............................. 55 try and cut down...
Gas..................................... 55
Oil..................................... 0
Water rates............................. 34.3
Telephone (land line)................... 14.98
Mobile phone............................ 45 :eek:
TV Licence.............................. 11.95
Satellite/Cable TV...................... 57.48 :eek:
Internet Services....................... 0
Groceries etc. ......................... 200
Clothing................................ 30
Petrol/diesel........................... 100
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 10
Buildings insurance..................... 33.61 :eek:
Contents insurance...................... 0
Life assurance ......................... 19.23
Other insurance......................... 0
Presents (birthday, christmas etc)...... 10
Haircuts................................ 30 :eek:
Entertainment........................... 4
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 2000.93

Assets
Cash.................................... 0
House value (Gross)..................... 150000
Shares and bonds........................ 2000 could you cash in to pay debt?
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 152000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 146000...(924.74)...6.9
Secured Debt.................. 17000....(255.64)...12.4
Total secured & HP debts...... 163000....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
MBNA card......................11000.....25........15.9
Virgin card....................3400......25........0
Total unsecured debts..........14400.....50........-

Monthly Budget Summary
Total monthly income.................... 3,336.72
Expenses (including HP & secured debts). 2,000.93
Available for debt repayments........... 1,335.79
Monthly UNsecured debt repayments....... 50
Amount left after debt repayments....... 1,285.79
Personal Balance Sheet Summary
Total assets (things you own)........... 152,000
Total HP & Secured debt................. -163,000
Total Unsecured debt.................... -14,400
Net Assets.............................. -25,400
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission.

well done for giving up smoking! Am now officially a non smoker after giving up last Jan! Feels great esp when you see fags at 5+ a pack!
Ok to soa...some are a bit :eek: which is good cos it gives you some wriggle room to pay more off when you reduce them. But I think the main thing is that you need to tell your oh about this...I know it will be hard but you really need to. Once the initial shock has worn off then I'm sure he'll be supportive. If it as me and someone kept this from me I'd be furious while supportive if I knew...there is lots of room for manoevre and opportunity to reduce. Have a look at old style for meal planning, keep a spending diary and most of all fess up! hugs for you...and I stick to what I said -no more loans...its not going to help - didnt when you took out a secured loan and wont now...

GeorgeUK

Monthly income - 1636.72
Expenditure - £850
Debts - 305.94

Remaining - £480.78

Can i just confirm the MBNA card is 15.9% but the minimum is only £25? This is usually a promotional rate.

I agree that the spending diary would be useful for you. Once you see where you are spending your money over the course of a month, you will be able to see how much you can throw at the debts without too much impact on your social life.

When do the cards end their promotional period?
14,400 @ 3% = £432
Depending on what the minimum payments are after the promotional rate ends, you will need to be careful as the payments may be close to the amount of funds you have available.

Pixie983

In_Search_Of_Me wrote: »

well done for giving up smoking! Am now officially a non smoker after giving up last Jan! Feels great esp when you see fags at 5+ a pack!
Ok to soa...some are a bit :eek: which is good cos it gives you some wriggle room to pay more off when you reduce them. But I think the main thing is that you need to tell your oh about this...I know it will be hard but you really need to. Once the initial shock has worn off then I'm sure he'll be supportive. If it as me and someone kept this from me I'd be furious while supportive if I knew...there is lots of room for manoevre and opportunity to reduce. Have a look at old style for meal planning, keep a spending diary and most of all fess up! hugs for you...and I stick to what I said -no more loans...its not going to help - didnt when you took out a secured loan and wont now...

Yes I know, no smoking is great! Re my SOA, the satellite TV is with SKY & covers the package for TV/Internet and my landline although I do still pay rental to BT - I'm going to change this to SKY though too, it's cheaper. The buildings insirance covers both Buildings AND Contents. The council tax is £110 per month, Gas and Electricity we have just switched in last few months - it is cheapest we could get. I know my phone bill is quite big but I am locked into a contract with Orange at the moment :mad: .

Pixie983

GeorgeUK wrote: »

Monthly income - 1636.72
Expenditure - £850
Debts - 305.94

Remaining - £480.78

Can i just confirm the MBNA card is 15.9% but the minimum is only £25? This is usually a promotional rate.

I agree that the spending diary would be useful for you. Once you see where you are spending your money over the course of a month, you will be able to see how much you can throw at the debts without too much impact on your social life.

When do the cards end their promotional period?
14,400 @ 3% = £432
Depending on what the minimum payments are after the promotional rate ends, you will need to be careful as the payments may be close to the amount of funds you have available.

Sorry no, the minimum was £25 but the 0% promotion has just ended this month and it's gone to 15.9% so next months payment due is £279 as I have £11000 on the card and the interest charged for this month is £262
I have a Virgin card which I have just taken on a 0% deal for 16 months to pay off my o/draft catalogue bills, there is £3000 on that minimum payment is £25 a month.
I also have a barclaycard which is clear and I believe has a promotion of a 6.9% rate for life for existing customers (I'm going to call them to check in a minute) With my credit limit I should be able to BT about £4,000 to this.

Obviously I need to try & get the money OFF the MBNA card at 15.9%. I know everyone on here is saying don't consolidate but I'm never going to be able to meet the payments on the MBNA card at 15.9% apr with the interest charged each month. My current thoughts are to call Barclaycard and see if the rate is available to me - transfer whatever I can from my MBNA at 15.9% to the BC hopefully 6.9% rate for life. Then get a personal loan for the remaining amount to pay off the rest of the MBNA card? I think this is the only way? Meanwhile my claim for mis-sold PPI is currently with FOS and I am due a decision in 6 weeks. IF i get anything back I can clear some of the b/card with that?

GeorgeUK

I think the Barclaycard call is a good idea. Phone them and ask what the current interest rate is for the card (so you have a reference point to judge against others if anything happens(, then ask if they have any balance transfer offers on right now. Hopefully you will be able to transfer. This won't reduce the minumum payments probably but at least you won't be getting as much interest.

The remaining 7k - this is a borderline amount for a loan. Usually the higher the amount, the lower the interest. I'm not sure you will be able to get a good rate for this. I would look at the possibility of getting another 0% card and transferring the money to that.

You can have about 3 credit searches in a 6 month period before your credit score is affected.

The Virgin card may have had a fairly low limit as this is also an MBNA card. It may be possible to get a similar limit on another card.

I would try to clear the MBNA card as soon as possible. Not only would you then be paying less interest but once the card is clear you may be able to transfer again with a 0% or low LOB rate.