HELP!! In a complete financial mess!

[CustardCreammm]

DH and I have been hit with a few unexpected expenses this month and I now have no idea how to make ends meet until the end of the month. Can anyone offer some suggestions?

I’ve listed our account balances for current accounts and savings accounts below:

joint current account - £3400
DH current account - £100
my current account £100
lifetime isa - £22000
Stocks and shares isa - £1000
my personal pension - £5000

Debts below:

credit card - £6100
we have also borrowed some cash from the kids accounts (money that we previously put in and will top back up - £1300

we are also owed £1000 as a rebate for something, but we won’t get that until July.

The problem is, we usually clear the full credit card balance each month (which will mean we won’t pay interest), so in a few days time we should be paying £3927 towards the credit card, but that is more than what we have in our current account.

i am so stressed about this and can’t figure out what to do. Should I just reduce the payment on the credit card and incur the high interest? Should I wipe the money from my pension account?

this is causing me a lot of stress so I’d be very appreciative of any guidance.

thanks :)

Be careful about running up overdrafts to pay off credit cards. Most overdraft interest is charged at 40% whereas credit cards are usually half that.

It's complicated by the CC interest free period in that, if you don't pay the card off in full, you might pay interest on the whole amount with backdating to when the purchases went on the account so for the first time, it might not be a straight comparison. But once you're into carrying a CC balance, you can compare the interest rates directly.

But if you can get a 0% deal, that might be worth it to ease your cash flow a little.

Reduce your CC payment for this monthand cut down to basic spends until things improve
Don't touch long term investments, even the easy access ones
I get that it's unplanned so different from usual, but you're not in a complete financial mess, you're panicking which is understandable.

Just pay what you can and know you'll have to pay some interest. Hardly a complete financial mess.