To be fed up of having no money?

(54 Posts)
financiallyembaressed Thu 07-Nov-13 17:41:29

Regular on a name change. We literally are living off credit cards from day 10 after payday. We are up to our limit on our cards apart from one that will be soon. I don't know what we are going to do. Tips appreciated.

Dh works ft. I am a sahm looking for work but with 4dcs it's tough. I also have health problems and depression.

Feels like we are stuck.

SleepyFish Thu 07-Nov-13 18:31:14

I second getting rid of the cards. I haven't used any form of credit for over 7 years, best thing I ever did. Just to add, have you tried appealing to your bank with regards the charges? I once got a years worth of charges refunded when I explained my financial difficulties to them. It's worth a try.

Hi OP,

Your story sounds very familiar and we were in your position 18 months ago after 3 redundancies in 4 years. I know exactly where you are coming from you go through all your savings and then your lines of credit just trying to keep your head above water. Whilst you can cut back on some things others you just can't as you have to pay for a car etc just to get you to work. You also use up all your available cash servicing the credit cards so when you run out you have to use more credit just to survive, you can't shop cheaper at markets or aldi etc because you only have credit to use and they don't take credit cards. If you need cash for school trips, children in need or the myriad of other £2 or£3 odds and ends you have to get a cash advance on your credit card and get charged every time thus losing more money.

It took me a while to do it but one day I bit the bullet and called Payplan who do the same job as CAP and will do it for free. They talked me through income and expenditure, decided what I could afford to pay to creditors and dealt with them all, we now have a debt management plan (which is not an Iva) and are steadily paying our debt off at an affordable rate which leaves you with some cash every month also they persuade most creditors to freeze interest and charges. I wish I had done it a lot sooner but pride and hoping something would come along got in the way. We can't save much so I still dread a big bill but at least we have something spare and our debt is coming down not going up. We also don't have any letters or phone calls from creditors as paypal deal with it all crucial for anyone with mental health issues.

Do give pay plan or cap a call, you can always decide against their advice if you decide not to go ahead but T least you can talk to someone in rl about it

Also if you have a local credit union, you can do the same thing with them and they will often lend you the cash to pay off more expensive credit at a much cheaper rate as they are community not for profit organisations

financiallyembaressed Thu 07-Nov-13 18:47:56

Sorry making dinner. No the house loan probably not a good idea but we were renting a dump and didn't cost much less.

financiallyembaressed Thu 07-Nov-13 18:55:01

Borrowed it off pil who took a loan out

Badvoc Thu 07-Nov-13 19:02:11

Ok.
So...you know what you need to do.
Call cap or pay plan and get his sorted.
Ask your pil if you can delay/stop payments for a while. Obv depending in your relationship this may not be possible.
Can you go IO on your mortgage? It take a payment holiday?

Badvoc Thu 07-Nov-13 19:04:42

Let's face it, no debt is a good idea but at times needs must...like when our boiler packed up in the coldest January since 1963. Or when our conservatory roof fell in.
not bitter
We on,y have some cc debt ( see above) and it's on a 0% cc so we aren't paying to service the debt.
We hope to pay as much as we can off before the rate ends and then move it again (this is called being a card tart smile)

ImperialBlether Thu 07-Nov-13 19:09:40

A friend of mine was charged £85 one month by her bank and she rang them to say she hadn't enough money for the month and they refunded it. They said they will do it once a year maximum - that was Lloyds, not sure what other banks do.

YesterdayI Thu 07-Nov-13 19:17:03

I would visit MONEY SAVING EXPERT. There are lots of helpful people and lots of people in the same situation. You can post a statement of affairs and get advice about what things you can make savings on.

Try to see managing your finances as your new 'job' , set aside time to analyse exactly what your ingoings and outgoings are. Read and reread the info given on Money Saving Expert.

Every single pound that you save makes a difference.

Good luck.

Mylovelyboy Thu 07-Nov-13 19:46:50

Blimey nightmare. Can you please post incomings and outgoings. Im sure between all of us on here we can try and help you out. Please dont be embarassed either. No one is judging. Ive been up shite creek before and its good to have outside imput.

YesterdayI Thu 07-Nov-13 20:00:04

HERE is the link to the Money Saving Experts budget planner.

financiallyembaressed Thu 07-Nov-13 20:28:34

Thank you all.., really helping just talking.thanks I have just filled in an app for a job working as and when, evenings and weekends. Will ring the bank re charges. Can't face going through income and outgoings tonite but will try tomm, my mental health is suffering.

My dh has spoken to pil who have very kindly offered to take over loan debt. smile

I want to retrain, been putting off until ds starts nursery when gets free place, will look into wether can do it sooner.

financiallyembaressed Thu 07-Nov-13 20:31:41

I would seriously consider some sort of debt plan but dh works in a job where a negative credit score would see him out of a job.

mumofweeboys Thu 07-Nov-13 20:32:44

Check out www.moneysavingexpert.com they have amazing forums who will talk you through your debt ect

katiemarnie Thu 07-Nov-13 21:52:02

STEP change used be Consumer Credit Counselling Service is free and a recognised charity - offers over the phone advice, based in Leeds. Do not pay for advice.

MrsOakenshield Thu 07-Nov-13 22:02:48

is there absolutely no way you could look for full time work? I appreciate it may well not be what you want, but for a couple of years it could get you back on track? Or why does your work have to be evenings and weekends only - do you have a newbie? Just right now, financially speaking only, it sounds like you being a sahm (or fitting work around being a sahm) may be an indulgence you really can't afford. Also, would working help with your depression?

CocacolaMum Thu 07-Nov-13 22:11:47

do you have any hidden talents you could tap into to earn money from home? we were in this position 8yrs ago and I started making and selling things - I am still doing it and make a fair wage without any childcare fees!!

financiallyembaressed Thu 07-Nov-13 22:12:38

Mrs is snap an employers hand off if I was offered a job that paid enough for child are,

financiallyembaressed Thu 07-Nov-13 22:13:27

I'd

financiallyembaressed Fri 08-Nov-13 11:08:40

Morning. thanks for all the support and advice. I feeling a wee bit brighter today. Off to hand in an application form. Also going to try and start bank charges claim.

financiallyembaressed Fri 08-Nov-13 11:09:52

coca I'm going to advertise myself as a babysitter.

YesterdayI Fri 08-Nov-13 11:30:57

You wil probably feel better when you have analysed your finances properly. Once you properly understand the situation you may feel a bit more relaxed, even if the situation is a bit grim.
You should be prepared that it may take several hours to do your financial analysis. It depends how organized you are. smile
That great that you are already handing in CVs

financiallyembaressed Fri 08-Nov-13 12:48:04

yesterday I know I'm sure I will. Plan to do that next, off to hand application in and go through income/outcome. I have finished my letter to the bank re charges.

ItsAliveItsElectric Fri 08-Nov-13 13:13:12

OP, I second Step Change (formerly CCCS). A few years ago me and dh had got into such a spiral of debt it seemed we would never get out. It was from student days, overspending, never thinking that one day it would all have to be paid back. It came to a head one day when I realised we had one large loan, 6 credit cards and 2 overdrafts between us and after we had covered the minimum payments on everything and essential bills we had barely enough to live. I sat and cried. We had £23, 000 of debt between us. I found the number online and called them straight away. You need your income and expenditure ready but they take literally everything into account, even haircuts, bus passes, newspapers, pet costs. ... After agreeing a comfortable figure they write to the creditors and tell them how much your offer is and include a copy of your budget. All of them without exception agreed it. They do recognise people struggle and are usually glad people want to pay them back so will freeze the interest too. Six years later we are debt free and I can honestly say I will never get another credit card or loan again. Good luck x

Babyroobs Fri 08-Nov-13 14:28:23

Try to find a job which fits around your partners ( assuming he works regular hours), so weekends / evenings/ nights. As others have suggested care work/ supermarket etc. Can you transfer any of the cards to a 0% deal thus giving you a little breathing space?

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