To ask for help with paying off debt?

[IcyPlumCrab]

I have a credit card with a £2,300 limit and have about £30 left on it. I have got it up to a couple of hundred but the interest rates are high and I've found myself needing to dip into it due to cost of living.

Other than that I don't have much, I have a £400 overdraft but I'm not worried about that, and a credit card with a £200 limit but it's 0.
However the first credit card keeps me awake at night. I know people have much worse but it honestly makes me feel ashamed and fret. Currently have no savings as I recently bought a flat, so anything I did have went into that.

I've cancelled my pension contributions and waiting on a refund (civil service), but it's just taking forever to hear anything. However when I get that back it'll be around £1000 which will really help.
Without my pension I take home around £2060 net per month and I'm currently looking for a second job.

My mortgage is £440 a month.
Just cancelled my tv licence and gym membership which in total will save me £60.
Electricity is only about £35 a month.
Gas £35 a month atm.
Water haven't been billed yet but hopefully no more than £25 a month.
Council tax is £189 a month until March :(
Internet £24 a month.
Phone including handset £34 a month.
Pet insurance and monthly vet health care plan £32 (i have a cat)
As of March will be paying £120 service charge/ground rent a month.

There always seems to be something coming up like the dentist, household things etc. I think it's the credit card that's killing me, even if I pay £100, £50 is charged in interest.
I have a holiday planned to see a relative this month and in total that's set me back around £400, but that's not something I do very often.
Everything left good on food, transport (public transport, don't have a car), pet food, toiletries etc.
All my clothes and shoes are second hand.

Do not leave your pension. Council tax, mortgage and pension are the three major "pay firsts" - most other things can be adjusted.

The £120pcm service charge and ground rent - what is it currently?

You may not need phone and Internet. How much included GB do you have with the mobile contract, perhaps that can be enough for what you need?
Try to use Olio app for food ? Make sure you're buying very low cost food such as bags of lentils, tins of beans etc and make bulk stews and freeze.
If you need more furniture then look at Gumtree or other places where people give away for free rather than buying new.
Ask friends if they have stuff to give away. I've furnished flats in the past with hand me downs
Have you got the single person discount on council tax?

I ran up £25000 worth of credit card debt - that was irresponsible and worrying. Your debt is manageable - you will clear it. My top tips are;

• Don’t sacrifice your pension - that will cause you problems down the line
• If you haven’t already, cut the card up. If you think to yourself that you might need it again for a genuine emergency, freeze it on your app and hide it somewhere.
• You were probably refused credit because your mortgage has just gone through. Get yourself signed up to the free Experian service. As soon as that tells you that you are eligible for a 0% card, transfer the debt.
• Try and overpay the card - even just £1 a month will make a difference. Some months, I just paid whatever the pence on the interest was. So for example, if the interest was £237.82, I would pay an extra 82p over the minimum. It helps psychologically.
• Start saving. Even if it is £5 a month, start saving. Some people will tell you to clear the card first, but you need to break the cycle of needing the card. If you can, try and get a regular saver savings account. That will pay you the best interest rate and stop you squandering the money because you can’t access it for 12 months. Some of these you can open with a £25 a month minimum payment. If you can afford it, please open one of these.
• There are loads of fantastic debt clearance accounts on Instagram with top tips. I recommend Claire Seal as a starting point.
• Vinted or similar sites for clearing anything unnecessary you have in the house. Pop the money you make, on the card. Similarly, just stop buying new things. If you need something, get it second hand and put the money you would have spent towards paying off your card.
• Finally, get as much free money as you can. Top Cashback, Airtime Rewards - they all help you build a little pot that you can then use to overpay your credit card again.

Debt is lonely and scary. We are taught to be ashamed of it but facing into it is the best thing to do. You will manage to clear this, so keep going.

It's always expensive first moving in somewhere but it eases with time.

Contact Citizens Advice to see if you can get the interest on your credit card frozen. Then pay off what you can each month. Restart your pension. You will eventually be free of debt.

I agree about a personal loan to pay off the expensive debt and give you a fixed sum to pay every month at a lower rate, also over pay if possible. I would really consider cutting right back on spending. Look at where everything is going, a ban on buying new clothes and accessories, no takeout coffees or food, cheaper basic meals, switch to budget supermarket. Only go out once a month if that. That kind of thing! To get rid of the debt you just have to get on with it I'm afraid if it's causing you so much stress. After it's gone you need to promise yourself you won't use it for anything other than an emergency. Ideally this will allow you to build your savings up and that can cover emergencies.

Congrats on your new flat :)

OP, do you understand why people are telling you not to leave the civil service pension?

Say you pay £200 a month towards your pension. Your employer will match this, and put another £200 in to your pot.

This £400 is given to a pensions company, who will invest it for you over years, tax free as it is a pension. Say they invest it and get a 5% return, then in the first year this is now worth £420
then your £420 earns another 5% the next year, so that's £21 now, so now you have £441. It carries on like this until you retire and cash it in for a monthly income. So your £200 becomes £1000+ over 25 years, along with all the other £200s every month. This will give you money to live on aged 65, so you don't have to work anymore. It is literally free money invested for you so you can stop work one day.

You could easily spend the £200 you have 'saved' on fripperies, takeaway coffee, extra top up shop, going out for drinks. You will have nothing to show for it but feeling a little bit richer, and when you hit 65 you will have the state pension (169.50 a week currently, so less then £800 a month) to live off, and nothing else.

email today and get back onto your pension!!!

Thanks for your replies!
Some positive steps this afternoon:
It turns out I was automatically reinstated into the alpha pension upon changing roles, so there ill stay.
I've got a job interview for a part time weekend role.
Managed to change council tax payment dates to get next month off.
I've applied for a personal loan with lower interest.

That’s all really great, OP, but please take the advice about proper budgeting so you are never in this situation again.

That’s brilliant OP.