Money advice....Please

[Tonytank]

Wow, i dont know what to say, im staggered by the kind words and advice, i really am.

First thing i will do is make an appointment to see my local CAB, and my bank too, explain my situation inside and out and take it from there, i will also follow up some of those websites and even look at the iva thing, if im applicable.

I think one of the single most important things i have to do is find better paid work, as i mentioned, i graduated from UNI with a first in games art and design (speciallising in concept design and storyboarding) so i have to push ahead with that, its just whilst working flatout the last thing i want to do when i get in is sit and sketch, but it has to be done, i have to move foward.

http://uk.youtube.com/watch?v=x0iLk7tRRfU&feature=related

http://uk.youtube.com/watch?v=CGXfQlKCJSE&feature=related

http://pilchardworks.wordpress.com/

Some examples of my work for those interested, always nice to get some feedback.
Again, thanks for all your advice and help.

Tank out

 

[knip]

Please ring up the CCCS, I cannot tell you how much they have helped me.

I would also avoid the IVA route if at all possible, because it ruins your credit rating for years and years to come.

 

[Chiz]

Ach.. as long as you can make the repayments i wouldn't stress too much over this.

i was in debt double this but i easily make the repayments, and live my life as i would without debt. It's just something you deal with so you just have to do what you have to do and pay it. Enjoy your life.

Now, if you can't afford the repayments, then... follow the advice throughout this thread.

 

[EffBee]

First off I think you need to put together a detailed budget of your spending and earnings.

You need to make sure over the course of a year you bring in more than you spend.

After your first attempt at a budget you may be quite shocked. Inevitably you will have to trim some excesses from your lifestyle. No point clearing debts if the bad behaviour and lack of financial control that led to those debts is not corrected.

It is an awful time to suggest it given we're in a recession now and jobs aren't so easy to come by, but a few hours extra work per week can bring in a fair bit of money over a year or three- and your debt isn't actually that big.

Can you sell anything? Any other way to raise money?

GET RID OF ALL YOUR CREDIT CARDS FOR EVER!!

Debt consolidation may or may not be the best thing to go for. High interest loans like credit cards mean each monthly (minimum) payment pays little off the outstanding balance as much of it is the loan shark's interest, so if these can be replaced by cheaper borrowing then that's good. On the other hand you don't really want to tie yourself up to a huge consolidation loan for many years to come.

So the solution is strict budget, actively manage your money, possibly renegotiate the loans for a lower interest rate, a bit of extra work to pay off the debt, and ditch the credit cards and overdraft forever.

Obviously without much to go on: - Total Debt 4500, assume take home pay for extra work £5 per hour, you need to work 900 extra hours to clear things up. Do a Saturday every week for about 2 years and its gone. (Do about 2.5 hours every day for a year and it's gone as well )Assuming the overdraft is at a fair rate of interest, I would concentrate on the credit cards. 3 cards with only 1500 across them should be easy to get rid of.

There is a financial advisor who regulalry advises on Radio 2 - can't remember his name - but his site is linked from the RADIO 2 web site and its loaded with good advice.

 

[iraiguana]

Knip has said the best things here so far.

Go talk to CAB and see if they can help you out.

Good luck!

 

[chaparral]

Is it not possible for you to get an evening or sunday part time job to bring more money in ????

 

[Kitchster_uk]

Nah. Mine was £45/month for £3500 over 5 years @ 20% or thereabouts.

Unlikely. I did a loan a while back for soeone in this situation at 12 over base and that is £80 for under £3500.

CAB isnt the best choice, random volunteers that half of the time dont know anythig, run up and down to their managers who look through some law books to advice you.

Best bet would be to speak some one who deal with debt's.

Depends. My old fella is a CAB volunteer and is extremely good on debt matters. They also have professional money advice workers. Is there any basis to this blanket arguement?

If you mean the father's credit rating will effect the childrens credit rating later in life them I'm pretty sure you're wrong.

You are right. Firstly, your credit file doesn't list your father. It can't because of the Data Protection Act stating third party info cannot be stored. Second, my old fella lives at a different address, how would that be traced back??? Finally, I suspect rollingskies then failed that module. I suspect my banking exams and also industry experience are more relevant here...

 

[Dolph]

Give the CCCS a call, and start looking at your spending. Consider giving up drinking and smoking (if you do either of those), stop fritting money away on pointless tat and you'll be amazed at how quickly things change.

I do agree with the others though, £4500 is not a large debt in the grand scheme of things, certainly not enough to consider bankruptcy or an IVA over.

 

[VTR]

Nah. Mine was £45/month for £3500 over 5 years @ 20% or thereabouts.

Ummm £45 a month for 5 years is only £2700?

For £4500 over 5 years you'd be looking at atleast £80 a month, and that would only be charging £300 for the loan. Your looking at closer to £100/month.