Serious Debt problem

[Janos]

OK, It's largely of my own making but also due to circumstance as I became a single parent recently.

Basically I owe huge amounts of money....am waiting on tax credits/housing benefit coming through, which is taking AGES and not likely to happen before Christmas.

I am working part time and hoping to increase my hours but because I've been off sick long term with PND my employer is dragging their heels..I know they are just covering their own backs but I really, really need the money.

Childcare and rent costing a fortune...please, please anyone who has been in this situation..any advice or help? Thanks.

see a debt counsellor at the CAB they will help you prioritise your debt and help you write to the debtors to arrange payments, halt interest etc They will also go through your budget/income and advise you on any benefits you should be getting. Some debt counsellors are better than others but the good ones can be very good.
Whatever you do pay your council tax as the council is very quick to hand over arrears to bailiffs and or take legal action

You can get loads of help and advice on www.moneysavingexpert.com the chat section has lots of people who are in debt or have managed to get out of debt and they are great!

Contact Paypal. They are very helpful, and they are free. All of the money you pay to them is divided and handed over to your debt (i.e. they do not take a cut for themselves).

www.payplan.com/

Janos sorry to hear about your recent misfortunes. I would try the Fool website (www. fool.co.uk) discussion boards on dealing with debt. The people on there are brilliant at making suggestions and there are loads of others in your situation, which will make you feel a little less alone.

Thank you everyone for your suggestions - I'm going to give them a try. All of them!