to wonder what the fuck to do now? (Immediate financial problem)

[Margaritte]

We are on a very tight budget for the next couple of months. We know this, and have got advice from StepChange & I posted a thread on here for recipe /shopping advice.

However, today our card declined trying to pay for £22 or so worth of shopping. We were not expecting that, and now I am very worried and starting to panic

We have some food in for dinners. No packed lunch food though, for ds1 & 2 and dh. We have no milk (well, enough for a bottle tonight for dd) and are down to 3 nappies.

Payday isn't until end of next week, so have to do something until then.

Margaritte, the first thing to do in tackling debt is to write down your monthly budget- current bills, rent/mortgage, fuel, food, travel, nappies etc and all the other stuff, insurances etc. Include everything, even the stuff you only pay once a year. Only if there is some spare can you pay the old debt. I'm assuming you have already done this? You can then show your creditors what you can afford (including the priority creditors) and ask them to accept it, suspend interest and charges/ action etc. Basically if your budget is reasonable they have to accept your offer, so long as you are prioritising things like fuel and council tax over credit cards etc.

There is loads of info on CAB site and Money Advice Service website including sample letters.

Have you checked to see if there are any benefits/ tax credits you could get?

It may be better dealing with your priority creditors by letter-if you send them a letter with a copy of your budget and a fair and reasonable offer they will have to accept it, whereas the job of the person on the phone is to get as much out of you as possible. Good luck!

OK, I have rung Payplan with the extra information they asked for. Someone will call me back in next 24 hours or Monday evening at the latest - they said they are working until 6pm today, and over Sunday. They just close the incoming lines at 3pm (or something similar)

DH has made me a coffee, and I'm going to look at the link sadwidow posted for PPI, whilst I have my drink.

Crossed posts with sadwidow & missymayhemsmum. So I will drink coffee / look at PPI link, then follow your list sadwidow.

missymayhemsmum We don't have any spare, & I'm trying to cut everything down, though we still end up short I've completely cut out after school club -DS2 goes on a Friday, as we don't have outside space & it means he can play outside with friends - he loves it, and benefits massively. DS1 has had all pocket money cut. I've stopped the odd driving lesson I have. DD goes to a 'ballet' class 7 I've stopped that (gets both me & her out - was recommended to try and get to a class in my counselling for PND, as I started to feel better) We really stopped any extra at all.

Margaritte,

• post in Debt Free Wannabe in Moneysavingexpert.com and make a Statement of Affairs (SOA) and people can advise on how to pare down your expenses.
• i highly recommend zero based budgeting and envelope system.

It's no way to live. Please get onto a debt counselling charity and a debt management plan and let people here explore how you two can boost your income. Once you don't have to pay so much on debts, your life will be so much more manageable.

Link for DebtFreeWannabee forum in Money Savings Expert - as suggested by Tummyrumbled : forums.moneysavingexpert.com/forumdisplay.php?f=76

What a fantastic thread OP, I'm so glad you were brave enough to post.

Does your dp work 9-5? I work a 2nd evenings and weekends 3 days a week and even on minimum wage I get around £120 a week. Possibly something to look into? Bar work, cleaning offices etc can be quite flexible. Or ironing? Put a card in the local shop/fb selling pages?

So I have completed the first 2 on the list, and DH is doing no. 3 (I have to stay, as waiting for that call back from Payplan)

Tummyrumbled Can I ask what zero based budgeting is please?

expat I've spoken to both stepchange (cccs?) & payplan. I agree, think the boost our income idea is exactly what we need.

SouthernComforts & LotusLight We live in the southeast. DH works 'normal' hours, yes.

Just want to give you reassurance that there is light at the end of the tunnel - if you take drastic steps to address the problem.

My BiL ended up with an IVA about eight years ago, having tried to avoid it (and therefore also avoided the phone etc etc) for a good 18 months. He had a second job cleaning (5am starts 6 days a week) for a while too.

They are now debt free and, partly as a result of what they learned and therefore careful budgeting, much more secure and comfortable. They spent last Christmas on holiday in New York - and paid up front, not on credit.

I hope you get good advice about what to do to resolve the situation from one of the debt charities to go alongside the practical, day to day tips here.

Exactly, Overtired. The first step is the hardest. You can do it, Marg.

OP, I haven't RTFT, but just want to say that if you have a PPI mis-selling complaint, do not use a third party claims firm. (Sorry for shouting )

It's so easy to do it yourself, CMCs do very little, then take 25% or more of any compensation. If you'd like any help or suggestions, message me. (I've adjudicated PPI complaints, and I'm happy to help if I can.)

So are we meal planning now?

I did suggest cottage pie for one lot of 250g mince you have left over.

It's okay for shouting GoringBit

I gave Margaritte a link to a FREE site with guidance and forms.

Okay so my additional plan of both get second jobs could work if you're in the South East as there is quite a demand for casual labour at present. Try notes through people's doors typed offering any kinds of services you could offer. In addition to all the ideas on the thread of course.

I don't know if your tenancy allows it but you might be able to rent a room to a lodger if the children move into your bedroom perhaps. Won't work if you're all rather cramped already though. Just some extra ideas.

We found for a stage it worked well if one of us had the children on Saturday whilst the other worked all day and then swapped on Sunday. Helps keep the income up.

I think TumbledRumbled means "zero-sum budgeting" which is a personal finance technique of budgeting every unit of income received, and then adjusting some part of that budget downward for every other part that needs to be adjusted upward.

It is a step beyond just 'cutting out the luxuries' because it might be that other parts of the budget e.g. travel costs, food costs can also be pruned to add to the electricity, gas and rent lines.

I think you have essentially done "zero-sum budgeting" since you first hit the rocks in December.

It also is an effective way of showing how much 'additional income' you need to generate to actually cover actual costs. That's why people are suggesting that additional job(s) may be the only way out of this.

Magritte please pm me if you'd like some more nappies, I've just potty trained DS and have a ton left over x

OvertiredandConfused Thank you- it really helps to hear about other people and how they managed to not only get out of this type of mess, but also turned it all around for themselves.

Yes, sadwidow am meal planning . I cooked off the rest of the mince, with onions, garlic, grated carrot & celery. Then added a stock cube, tomato puree, and chopped tomatoes. Its made quite a bit, and I wonder if I can divide it in 2, and freeze it that way? Once defrosted maybe lentils in then? With veg in for cottage pie? Kidney beans in for chilli? Maybe cheap herbs? (dried)

LotusLight We don't have room for a lodger, otherwise it would be perfect.

I'll answer your question about the cooked mince.... Yes, divide into TWO and then you can change it into bolognese (add mushrooms/peppers), or chilli (add kidney beans and/or baked beans) or cottage pie (add lentils and veg).

There you go - you are getting this under control!

A trick for thickening any soup or gravy casserole .... grate a small potato into it.

Let me know what is not completed from today's list and I'll write up Sunday's list for you.

I hope you feel like you are making headway!

Thank you sadwidow I spoke to Payplan, paid what was recommended toward priority arrears, DH took the DC out to the park & cooked our dinner. I cleared the bookcase off ready to upload on to FB, and I took photos and listed a couple more things. I've also cooked the 500g of mince (was originally 750g), divided in 2 and frozen.

I need to do the rest of that list, plus have a little blitz of the house (has been a little neglected this week, other than the basics)

Still thinking of you, OP.

I think you are doing very well, although it probably doesn't feel that way to you at the moment. I love the way you are open to all of the advice and ready to take it on if at all possible.

You are doing so much better than I did when I was in your situation. I was a mess, and I do not miss those days at all. You sound much more together.

Keep going day by day. You WILL get there.

I'm sorry I haven't read the whole thread but just to say the Foodbank probably have nappies / wipes if you still need them. I've had to use mine a lot recently and they specifically ask about nappies and what size etc.
The volunteers there are very kind indeed and you can get a voucher from the Sure Start centre, possibly the school and def the GP. If you Google your local one it might have a list of referring agencies online x

Have PM'd you

Thank you Topseyt

lagirafe Luckily, I am now ok with food & nappies for now I will remember what you say though, just in case.

I have just PM'd you. I hope! (I am a long time lurker but very rarely post, and have never used the PM function on here before!)