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Original poster

Dh out of work and we can't pay our bills - don't know what to do

52 replies

Cantpaymybills · 15/01/2009 15:39

I'm a regular name changer. I don't want people knowing how much trouble we're in

My dh is self-employed in the building trade and as most will be aware, the work in the construction industry is drying up fast. As of the week before Christmas, dh has no work.

Nothing is coming up despite dh's best efforts and we are basically up shit creek.

We have never been in this position and don't know what to do first.

We have contacted the mortgage co who said that they can't help until we go into arrears (which we will this month). I pay utility bill but have been paying for food etc so am now over my overdraft and have knocked up over £100 in charges so far

Bills are coming in and we have no means to pay them.

What do we do?

If I cancel direct debits can they switch off our gas/electricity/water?

We have recently purchased a new car via car finance? Can we give the car back?

I'm terrified of losing everything

OP posts:
Buda · 15/01/2009 15:41

I don't have much advise except to check out Moneysavingexpert.com.

There will be loads of people along with good practical advice for you.

sb6699 · 15/01/2009 16:17

Go to CAB - they're fantastic.

Have you spoken to the bank - they could extend your overdraft in the short term to save racking up more charges.

They will help you when you get into arrears with the mortgage (they can arrange a "payment holiday).

You have to check your agreement with regards to the car - I have done this before (not for the same reasons) but I had to have paid half of the total amount due. They then send an inspector to make sure the car is worth what it should be and then we had to drop it at the auctioneers. Pretty easy really and it doesn't go against you for future credit.

Legally, water companies are not allowed to disconnect you. I'm not sure about gas/electricity but think its policy they won't do anything if you have young children in the house.

It always helps to be up front with your creditors - most will try and help.

Fwiw, dh's uncle is a builder and has always had a good income. We saw him at the weekend and he says he's totally broke. He carded the local area and has managed to get a couple of small jobs out of it, maybe your dh could do something similar.

Lilyloo · 15/01/2009 16:21

I am sorry things are so tough at the moment.

I would advise to contact each company and advise of the situation. Maybe you could pay them a token amount. Don't just cancel your dd's.

Contact the car company and see what they say , explain you can't make repayments.

Can your dh do any small jobs word of mouth ?

Def contact cab.

OrmIrian · 15/01/2009 16:21

Gaggh! I sympathise. DH was in the building trade until recently. He got out while the getting was good, but there are plenty of his friends who are in a similar boat to you .

I agree that CAB and your bank are the first port of call.

Good luck.

frogwatcher · 15/01/2009 16:28

Have a friend in a similar position - they are just taking any job they can get between them from doing a caring post (!)(thought you had to be qualified to do that but I suppose if its general care and not nursing its up to the person paying), cleaning, small building jobs (chimney knock outs etc). To be honest she is probably bringing in the bulk of the money through her cleaning - £10 per hour cash in hand while he stays home with the kids. She is intending to go back to her old profession which isnt well paid but will keep them fed and bills paid, until things pick up.

frogwatcher · 15/01/2009 16:29

Forgot to say - you have my true sympathies. I think we will be in that position soon. Thank God I kept a few hours of work going so I can go back to my career if needs be.

Indiechick · 15/01/2009 16:48

You both need to look for alternative employment. What do you do? Is there anyway you could increase your hours or if you're a SAHM get something part-time? Hubby must have other skills, could he bar work in the evenings or something? It's not great, but needs must and all that.

dilemma456 · 15/01/2009 17:35

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blueshoes · 15/01/2009 18:35

As a stop-gap measure, can your dh put flyers in mailboxes offering his services as a handyman, installer of flatpack furniture?

Also, if possible, consider taking in a lodger?

Really sorry, cantpay.

whinegums · 15/01/2009 18:47

Sorry to hear about your situation cantpay, and remember there is absolutely no shame in the situation you're in (but totally understand why you've namechanged).

Do you work? Have you checked to see if there's any benefits you're entitled to? MSE is a great resource, as is debthelpuk forum if you have questions. Ignore all the advertising and stuff at the beginning of the site and go straight to the forum tho.

Good luck, you will find a way through this.

Original poster
cantpaymybills · 16/01/2009 13:34

Thank you for your replies

Been to CAB - we are not entitled to anything because dh has been self-employed for the last 2 years and has only paid class 2 NI. No benefits at all. Devastated

We have to wait 13 wks and we may be eligible for housing allowance.

I work p-t and have asked at work for more hours. Its not looking good. My pay is paltry at best so not really anything to sing and dance about. Am looking around for bar work or such like.

Can't take in a lodger, there's barely enough room for us. Will definitly contact utility suppliers.

Dh is making flyers and is talking about maybe doing some window cleaning or something.

He's ringing round agencies to see if they have anything.

The situation is dire and doesn't look to be getting better anytime soon.

OP posts:
mumblechum · 16/01/2009 13:38

Where in the country are you? We always have lots of odd jobs which need doing.

Original poster
cantpaymybills · 16/01/2009 13:40

NW England

OP posts:
solo · 16/01/2009 13:48

Really sorry to hear of your situation cantpay. I hope things look up soon.
There are lots of ways you can cut back to save money IME. It's very hard to do in some ways, but it can be done. I'm managing ~ just! though it's tough on the Dc's. How old are your Dc's by the way?

sarah293 · 16/01/2009 13:50

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Lilyloo · 16/01/2009 13:55

cantpay sorry to hear what CAB have said.

Have you spoken to tax credits ?

Original poster
cantpaymybills · 16/01/2009 13:56

Solo - you need to have money to cut back though don't you. I get paid a pittance, doesn't even pay half of the mortgage never mind the other bills. Don't want to disclose ages of children, but I have 3 and they're all under 10.

Riven - nope, we aren't entitled to income support. That is what has gutted me most! We have paid tax and insurance for bloody years and yet because dh has been self-employed for the last two years we're entitled to nothing!

OP posts:
Original poster
cantpaymybills · 16/01/2009 13:59

We are entitled to child tax credits but because we delayed in filling the forms in last year, they said that we owed them money (even though we were perfectly entitled to the money - we were just lax in filling in the forms) so now, although we are entitled to it, they will reduce it because they reckon we already owe them.

It just seems to be going from bad to worse.

OP posts:
sarah293 · 16/01/2009 14:03

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Iklboo · 16/01/2009 14:03

Contact everyone as soon as possible and let them know your situation. Offer to pay an amount you know you can afford each month. A lot of places are pretty good with this - as long as they're getting something they're happy.

Your car may have a clause where you'll still have to pay for it even if you've handed it back (at least for a set period of time). Check the teeny print.

Unlikely to cut off utilities - they'll probably offer you pre-payment meters where they can claw back what (if anything you owe)

Final possibility is banruptcy, IVA (individual voluntary arrangement) or other credit agreement

Original poster
cantpaymybills · 16/01/2009 14:10

Riven - we have to fill in the forms anyway because that is the only way we will considered for housing allowance 13 weeks down the line, but we absolutely will not qualify for IS. It just seems ridiculous doesn't it?!

Iklboo - will make contact with creditors today.
Have spoken to finance co re car, I can't give it back without owing a couple of grand into the bargain. So stumped on that one. Can't afford to put petrol in the damn thing though.

Really want to avoid bankruptcy

OP posts:
ThePregnantHedgeWitch · 16/01/2009 14:11

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Original poster
cantpaymybills · 16/01/2009 14:17

Yes - mortgage co refuse to put anything into place before we go a month in arrears (which we will this month).

Furious about this because its almost as though they want you to get into trouble!

The only up-side to that is that CAB say arrears on the mortgage doesn't give you bad credit - only CCJ's on the mortgage.
If the mortgage co decide to be arsy and send a CCJ straight away there is a dedicated person at CAB to help with that.

OP posts:
revjustabouttodosomework · 16/01/2009 14:21

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Lilyloo · 16/01/2009 14:22

I am sorry don't know what else to suggest.

I may be near you though in NW so if i can offer any help , look after dc's for job interviews the like let me know!
You can CAT me!
I maybe could also spread word mouth for your dh if you not too far away ?

We are really strggling at the moment and your situation is giving me sleepless nights!!

Hope something goes your way soon!