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Finances/Schools - Please let me know what you think

3 replies

notsurewhattochoose · 17/04/2012 00:05

What a dilemma...

Do we pay off our debts quickly and move from a great area or stay put and accept that we may take AGES to pay off what we owe.

We live in a great area with great schools. We're renting here but the cost of living her and commuting to work has caused us to get into debt over the last year or so. We owe a lot of money which we really don't want to.

DD starts primary school in September and all the schools here are great. She has lots of friends and we're very much part of the community.

Hubby thinks we should move in with my parents for a while so that we can pay off the debt quickly BUT the schools are awful, its a deprived area and the people are just not the sort of aspirational people that we are currently surrounded by.

If we move in with my parents, then we would spend nothing on rent, council tax, utility bills etc for about 6 months and therefore pay off everything we owe - THEN we can save for a mortgage.... If we stay here, then we will pay off only minimum payments until September when DD starts school. After that, it may take us longer but we would be able to pay off the debt..

Unfortunately several situations lead to use having to borrow a lot of money on credit (20% interest!). It was a family emergency and this was the only solution at the time.

What would you do? move back in with the parents to save/pay off debt or stick it out for a couple of months longer.

Moving somewhere in between is not an option as we really need a support network around us to enable us to commute to work. Work is london, so living there is also not an option ($$££)

Has anyone been in this situation? What did you do? Are you pleased with your choice?

Thank you in advance

OP posts:
bumperella · 17/04/2012 08:58

How will your parents afford the extra costs of you living with them unless you contibute? Do they need/want to save for their own future? Are you sure that they would be prepared to have you and your family move in with them and not contrbute to bills etc? IMO it's a bit cheeky of your DH to assume that you can move in with them and live there for free.

Have you looked at drawing up a proper household budget, seeing where you can spend less and figuring out how dire your situation is (or isn't!) from that? Is a terrible idea to try to keep up with the "aspirational liestyles" of people around you if you simply can't afford it.

If yr budget showed that you couldn't live where you are within your means than I'd be looking to move somewhere more affordable either in the same area or somewhere else - not sure what you mean by yr support network enabling you to commute: does that mean you depend on others for free/ shared child-minding?.

scummymummy · 17/04/2012 09:12

definitely stick it out. moving in with parents is to be avoided unless there are no other options imo. living with parents is always always stressful for one party or another. you would be totally obligated to them if you were living in their house rent free so they would call the shots and you would have to suck it up. hard even with the loveliest parents who refuse to rub your nose in it. plus it doesn't sound like you are very enamoured of their area at all! re debt, pay it off. doesn't matter how slowly as long as you are taking control and it is going down not up, imo.

Lovemygirls · 17/04/2012 12:41

Can you get another loan on a lower interest rate. How long will it take to pay debts off if you stay put?

Can you earn more where you are if you stay?

Can you cut your expenses right down to a minimum to pay your debts off faster?

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