How to get out of debt

[MissRhead]

Right now I am in so much debt with catalogs contracts etc. it's all my own fault I just keep getting more things, taking out more credit, I just can't stop, it's been the same for years, im talking thousands and thousands of pounds. It's got to the point now where I can't afford to live, I have another baby on the way, and Im struggling to pay my rent, I'm 3/4 months behind on my tv licence, all of my direct debits keep bouncing and then I'm being charged from both ends I'm stuck in a vicious cycle and its just devastating. I'm lucky in that my mum helps by buying us food and essentials, but I can't borrow money from my parents now as I still owe them hundreds of pounds with no way of paying it back. I can't get work, I worked through the summer which kept us afloat but now theirs nothing, I applied for so many Christmas jobs, I never even got an interview, not one! It's keeping me awake at night, I keep getting debt collection letters. How can I get out of this mess? Is their ever a light at the end of the tunnel? I just can't ever see one right now

 

[Natasha2605]

Have you been to CAB? They can sort you out with a debt repayment plan which should make things easier.

 

[MissRhead]

I haven't I will make an appointment to see someone their though thank you x

 

[Jaysmummy]

There will be a light at the end of the tunnel, it won't be forever, think like that.

Def see CAB, I saw a lovely lady a while ago about a debt I was struggling with and when I told her about OHs letters from Mobile Phone companies, she told me they can get them down to £1 a month so they are definitely worth seeing

 

[ellismum]

Whilst the CAB are good they are busy and it can take a while to get an appointment.

StepChange are a free to use and call debt charity, give them a call. Their website is stepchange.org

 

[special_kala]

Call payplan. They are fab and can set up a debt management plan so you them one set monthly sum which they then spread out to the people you owe.

 

[Yo_Yo]

I too have been in your shoes.

I think I was a shopping addict! Buying rubbish I didn't really need, because I could.

The above advice is good-take action and control of the situation and you will feel lots better.

Good luck

 

[Amber4]

I remember you saying in the grotto where you live and I have used the CAB there and they are fab. I would defo give them a go. xx

 

[MissRhead]

Thanks all. My friend has given me the number of a debt management company she is using so I'm going to ring their today once I've written everything down.
I will still make an appointment for the CAB office though. I think now I just need to stop buying things, I owe so much money and really I have nothing amazing to show for it, I could have bought a brand new car for the amount I owe! X

 

[Natasha2605]

Some of the debt management companies will try get you to pay them fees if they arrange a debt management plan for you... stay well clear of these. Like other's said, they are companies that will do them for free.

A guy I work with has been paying a company £150 a month to clear his debts, his first statement came in the other day... he's paid £750 to the company but only £151 has gone on debts or something like that! Crazy!

 

[MissRhead]

Oh wow that's scary this is the one she told me about https://www.stepchange.org/
Does this one look ok? X

 

[// arcadia]

Yes thats a completely free charity xxx

 

[Eliza_V]

My DH had this problem. What we did was got a consolidation loan from the credit union, and instead of paying £750-isha month (in interest, late fees, and attempting to pay tiny portions off) and wouldn't have been paid off for about years

In the end, scrimped for 3 months to save £20 a month into the local credit union (a request from them to prove we were serious about saving money) and then got a consolidation loan with a low interest rate, paid all his cards/overdrafts/catalogue accounts etc off, and repayment is £350 a month, and he'll be debt free in 3 years! What a difference X

 

[Rhi_Rhi1]

Ring the cats up and tell them you cannot afford the repayments anymore, and are seriously struggling every month!

They can set up a new payment plan (that you can afford) and can freeze the interest!

we were racking up a fortune in charges/interest every month but they have frozen it all now

 

[MissyMojo]

its worth calling all the companys you have store cards /catalougues with credit accounts with and asking them to freeze your accounts, explain your current situation and tell them what you can afford to pay each month,
CAB will also be able to help you
ive had a loan default and end up with APEX credit management and they have been fab, allow me to set my repayment amount with them,
when I was expecting no 2 I rang them and explained and they allowed me to lower it for a while to make my outgoings more manageable,
they stopped all interest accruing on it and I will be finished my plan with them end of jan,

 

[ellismum]

Oh wow that's scary this is the one she told me about https://www.stepchange.org/
Does this one look ok? X

That's the charity I recommended on the first page.

 

[babycrazy1706]

Good luck. Xx

 

[MrsBop]

If you are on benefits you'll be allowed to pay £1 per month to your creditors until your finances improve so try not to worry, it's really not worth it, they can't have what you haven't got chick. Pay your bills, rent and buy food and give your creditors what you can, even if it is just £1, I'm sure stepchange will help x

 

[MissRhead]

Thanks all step change have taken my details and are going to help me with a debt management plan when they call back on Thursday. Really hoping they can help me out. I'm never going to be so stupid again, but it's something I've built up since moving out of my parents at 18 and having LO. I'm really going to be money conscious now and make sure I'm never in this situation again. Thanks again xx

 

[babycrazy1706]

Glad you are getting some help. Xx