linco22
Posts: 1278
Joined: Tue Jun 14, 2005 6:16 am

Debt Problems

Tue Oct 10, 2006 5:04 pm

Ok, I wasn't sure wether or not to post such a personal issue on an internet forum. But sometimes I know its good to get advice from 'strangers'. Ok so here is my situation. Currently 75% or my earnings go straight back out my wage at the start of every month. I'm not a home owner. I have a car which takes up 35% altogether. 2 credit cards, 1 loan and a few other direct debits occupy the rest of my outgoings. Socially i'm quite active and this month is due to be busy with birthdays and such coming up. Now this might sound like i'm just unlukcy or silly that I have so much but its really getting me down at times. I try to pay of as much as I can on my cards. Incidently I took the first card to buy my 350D but I ended up racking up the debt and then transferred the balance to a card with 0% for 12 months. Then i've managed to put over £1000 on my original card as well.

So what i'm asking, or hoping to find out is, has anyone else been in the same situation? Or currently is? My other problem is I want more camera gear but keep having to fight myself not to buy them on my cards.

I hope you can understand the nature of my problem.

Regards
Colin  Sad
 
skidmarks
Posts: 6614
Joined: Fri Dec 10, 2004 7:51 pm

RE: Debt Problems

Tue Oct 10, 2006 5:10 pm

Colin,

Many people, including myself continually have similar problems. Despite every good intention you nearly always end up overcooking your cards and theres always bloody something needs buying/repairing/paying.

I currently have a monumental credit card bill which I have to pay off. And my salary is completely taken up with my mortgage. This will last another 4 years until the loan we took out is paid. If it wasn't for my air force pension I would have no money whatsoever. And my wifes money (which isn't great)

So, put your camera plans on hold, try and budget properly, cool the piss-ups and see how it goes. Big grin

Andy  old 
Growing old is compulsory, growing up is optional
 
linco22
Posts: 1278
Joined: Tue Jun 14, 2005 6:16 am

RE: Debt Problems

Tue Oct 10, 2006 5:18 pm

Morning Andy,

Cheers for that. Chilly over there this morning? I always think to myself, well if I buy this I can just pay off £20 a month on this card. But I guess thats the nature of the beast! I will be cooling the piss-ups. Hangovers ruin my weekends more and more each time.

And as for buying a home, don't want to go there. Its absolutely crazy at the minute for house prices here.
 
RichardPrice
Posts: 4474
Joined: Sat Apr 23, 2005 5:12 am

RE: Debt Problems

Tue Oct 10, 2006 5:29 pm

Been there, in 2001 I owed nearly £10,000 on unsecured credit. At one point in that year my outgoings were 150% my incomings, so you can see I was in the sh*t big time. I was doing what you have done - switch cards and then rack up the old card again.

It was the charges that screw you - miss a payment, you get charged, get a payment bounced by the bank, you get charged directly from your account and your available goes down. It was a lose/lose situation.

So I sat down one day, rang up all my creditors and said 'Look, this isnt working, if we dont do anything then the only way out is bankruptcy, lets make a deal k?' and they did. They wanted their money, but they were willing to take less just to get some.

Only one was a pain - HFC (they actually said I shouldnt pay anyone before them...)

5 years later, my out goings on credit payments are less than £150 a month, my credit report is healthy again and Im good to go.

There are ways out, I just got caught before the current upswing in official help - get in contact with your local Citizens Advice who will put you into contact with a couple of Government backed debt groups that will help you deal with your creditors and get something sorted. This is a reaction to all those debt agencies that didnt actually do anything (Bainst and Earnst comes to mind, no official capacity and they didnt actually promise anything for their monthly fee) and its definitely a positive step.
 
SInGAPORE_AIR
Posts: 11619
Joined: Mon Nov 13, 2000 4:06 am

RE: Debt Problems

Tue Oct 10, 2006 5:30 pm

Obviously reduce your social expenses. I delay birthday presents by as much as seven months (although this is due to not being able to choose which present to buy rather than financial circumstance). Try reducing your alcohol intake.

Be a rate tart. Fool.co.uk can help you find one. Nowadays the stupid companies make you pay a handling fee of around 2.5%. Remember that while it's 2.5% that you have to pay, you are getting 0.0% interest free on balance transfers for x months (try for 12 or more). All the time you just have to pay in monthly at least £5.

The car you can't help.
Anyone can fly, only the best Soar.
 
skidmarks
Posts: 6614
Joined: Fri Dec 10, 2004 7:51 pm

RE: Debt Problems

Tue Oct 10, 2006 5:32 pm

Yeah, the house prices are one reason I'll not move back across! That and the tax laws here. Big grin

Fine and sunny this morning, lovely picture weather. Took some shots of the harbour on the way into work. Big grin

Never think "I can just pay £20" 5 of them and you are paying £100! It doesn't take long.

Good luck Big grin

Andy  old 
Growing old is compulsory, growing up is optional
 
linco22
Posts: 1278
Joined: Tue Jun 14, 2005 6:16 am

RE: Debt Problems

Tue Oct 10, 2006 5:36 pm

Quoting Singapore_Air (Reply 4):
The car you can't help

Thanks guys, really appreciate the response. The car I can't help. Its on hire purchase. I have 16 months left for that. I tried to get rid of the car and go to two wheels which insurance wise and overall was much cheaper. But my contract with Ford wouldn't let me out without paying a large fee.

I am actually pretty good at keeping an eye on my money. I know what comes in and what goes out and what i'll be left with each month.
 
VHVXB
Posts: 5309
Joined: Tue Apr 25, 2006 7:54 pm

RE: Debt Problems

Tue Oct 10, 2006 5:47 pm

Quoting Skidmarks (Reply 5):
That and the tax laws here.

ohh do you have favourable tax rates in the Isle of Man?

Quoting Linco22 (Thread starter):

Cancel one of the Ccards that will reduce some of your problems. Try to use public transport if it is a cheaper option and try to distribute your money accordingly
 
skidmarks
Posts: 6614
Joined: Fri Dec 10, 2004 7:51 pm

RE: Debt Problems

Tue Oct 10, 2006 5:56 pm

Quoting VHVXB (Reply 7):
ohh do you have favourable tax rates in the Isle of Man?

Oh yes Big grin

10% basic rate, rising to 18%. Generous allowances and mortgage/loan tax relief. Unfortunately, unless you are rich (which I am most definately not!), the cost of living is much higher than on the mainland. So, swings and roundabouts really.

Now, when I win the lottery.................... Big grin

Andy  old 
Growing old is compulsory, growing up is optional
 
RobertNL070
Posts: 4159
Joined: Mon Sep 22, 2003 4:29 am

RE: Debt Problems

Tue Oct 10, 2006 6:05 pm

Quoting Linco22 (Thread starter):
Now this might sound like i'm just unlukcy or silly

A little spendthrift maybe. Young people like you want to go places, see things, meet people, buy nice stuff, and this all costs a lot of money. Because public transport in the UK isn't too good, you also need a car to most of these things (not the piss-ups I hope!)

Then the credit card companies/finance companies make it all so temptingly easy with their promises of 0% this and easy payments that. Buy now, pay in 2008. And once you're hooked, they turn the thumbscrews. Bastards. How much is APR at the moment? Here in NL companies are limited to a maximum, IIRC 16%.

My opinion, it is your own fault Linco, but, and its a very big but, how these credit companies act is totally irresponsible, bordering on the criminal in my mind.

But my opinion won't help you. Can you not go to a Citizens Advice Bureau and maybe with their help secure a cheaper personal loan from one of the more reputable banks? Then you can pay off your debts with the one loan, pay that off bit by bit and still have some 'pocket money' for piss-up now and then.

Luckily I have never fallen into this trap, but I know plenty who have, including my sister. Anyway good luck Linco. Keep us posted from time to time.

Robert  bouncy 
Youth is a gift of nature. Age is a work of art.
 
VHVXB
Posts: 5309
Joined: Tue Apr 25, 2006 7:54 pm

RE: Debt Problems

Tue Oct 10, 2006 6:06 pm

Quoting Skidmarks (Reply 8):
Oh yes

10% basic rate, rising to 18

ohh a flat tax rate kind of sucks. If you live on Norfolk Island down here there is not tax whatsoever though there is not much of a living you can make off the Island apart from tourism. Though you can find loopholes in the tax system here without getting into trouble

Quoting Skidmarks (Reply 8):
Generous allowances and mortgage/loan tax relief.

Now this is good  thumbsup  Increase a person chances of owning their own home
 
linco22
Posts: 1278
Joined: Tue Jun 14, 2005 6:16 am

RE: Debt Problems

Tue Oct 10, 2006 6:20 pm

Quoting RobertNL070 (Reply 9):
My opinion, it is your own fault Linco

Couldn't agree more. I know its my fault. But to be honest, if I didn't get myself into debt i wouldn't have a car, and all my luxuries. I'd probably have wasted it on something else. Which is probably my problem.

My current APR on one card is 22.3% (up from around 15% and don't ask why this has happened. I got a letter to say it was going up blah blah blah) and 16.9% on the other card. Total balance at the minute is around £3200
 
RobertNL070
Posts: 4159
Joined: Mon Sep 22, 2003 4:29 am

RE: Debt Problems

Tue Oct 10, 2006 6:32 pm

Quoting Linco22 (Reply 11):

So you are paying something in the region of £60 a month in interest alone  eyepopping 

Wouldn't one big single loan approximately halve that?

Robert  bouncy 
Youth is a gift of nature. Age is a work of art.
 
linco22
Posts: 1278
Joined: Tue Jun 14, 2005 6:16 am

RE: Debt Problems

Tue Oct 10, 2006 6:37 pm

Quoting RobertNL070 (Reply 12):
Wouldn't one big single loan approximately halve that?

Well last month I paid about £14 in total purchase interest. But one card is £23 next month and the other will probably be about £10/15. I'm sure it will rise every month even if I buy nothing.

I applied for a loan about 5/6 months ago and it didnt go through. My credit rating is good though.
 
VHVXB
Posts: 5309
Joined: Tue Apr 25, 2006 7:54 pm

RE: Debt Problems

Tue Oct 10, 2006 6:42 pm

Quoting Linco22 (Reply 13):
Well last month I paid about £14 in total purchase interest. But one card is £23 next month and the other will probably be about £10/15. I'm sure it will rise every month even if I buy nothing.

Are you only meeting the minimum repayments for each month?
 
linco22
Posts: 1278
Joined: Tue Jun 14, 2005 6:16 am

RE: Debt Problems

Tue Oct 10, 2006 6:45 pm

Quoting VHVXB (Reply 14):
Are you only meeting the minimum repayments for each month?

I used to. Sometimes I had no choice. But I try to pay a bit more than the minimum. With one card its only slightly more and with the other its twice the minimum or more. I'm hoping to increase that. I spent almost 2 years going overdrawn in my bank account but now i'm out of that only last month. So hopefully i'll be able to throw more money towards to the cards
 
oly720man
Posts: 5740
Joined: Fri May 21, 2004 7:13 am

RE: Debt Problems

Tue Oct 10, 2006 6:56 pm

Quoting Linco22 (Reply 11):
My current APR on one card is 22.3% (up from around 15% and don't ask why this has happened

All the card companies have recently racked up their APRs because they have been forced to stop charging the £25 for not paying the minimum each month. It's now "only" £12.

I'm in a similar situation to yours, but that's because my wife stopped work to have kids so the family income effectively halved... and too poor to be rich, but too rich for all the benefits that some other people seem to get. We've been informed that the child tax credits have been overpaid so we're getting nothing next year. B@st@rds.

And so, no holidays for over 3 years.... no "toys", no going out.... etc... etc.. and buying as little as possible on the plastic. Amazing the amount of money that goes on nappies, wipes, creams, baby milk, etc and has been since March '03 when baby #1 appeared.

To save money....

If you have payment protection on your cards then it's probably a good idea to cancel it. Expert opinion says it's next to useless and there are cheaper ways of doing it, allegedly.

A(nother) loan may reduce the repayments, even though you may be forced to have their payment protection. Loans at the moment are around 7%APR whereas the cards APR are more than double that.

But, basically, if you can't afford it, don't buy it. Beware the party season. No point digging deeper holes for yourself just because.
wheat and dairy can screw up your brain
 
VHVXB
Posts: 5309
Joined: Tue Apr 25, 2006 7:54 pm

RE: Debt Problems

Tue Oct 10, 2006 7:03 pm

Quoting Linco22 (Reply 15):
I used to. Sometimes I had no choice. But I try to pay a bit more than the minimum. With one card its only slightly more and with the other its twice the minimum or more. I'm hoping to increase that. I spent almost 2 years going overdrawn in my bank account but now i'm out of that only last month.

That sounds alrite. At least your making effort to get rid of this debt as quickly as you can and I hope you can get out of it very soon.  Smile
 
Banco
Posts: 14343
Joined: Mon Oct 29, 2001 11:56 pm

RE: Debt Problems

Tue Oct 10, 2006 7:04 pm

Debt consolidation can be a good idea, if you know what it is you're doing. The truth is that you it's going to cost you more in the long run if you do it, but if you are aware of that, and accept it, it can still be beneficial to get your finances on an even keel. Where it is a real problem are all the debt restructuring companies who advertise on the telly and then charge you an interest rate of 20%+, which doesn't help at all.

If you can talk to your bank and get a reasonable rate loan to pay off what you have, that might work for you. The thing you need to do is to ensure you first pay off the necessities of life, such as your rent and essential direct debits, and then clear the money you owe on the highest rate of interest first, because you're just throwing money away right now. Credit card debt is outrageously expensive because it's such a high interest rate. If you can get them down first, that will save you an awful lot of money each and every month.

As far as the things you want to buy, you simply can't have them. You are making things worse for yourself because you are spending money you don't have - and worse than that, the interest charges mean that you are spending lots of money and absolutely nothing.

Unless you get to the situation where the interest charges alone are more than you have coming in (that's when you need desperately to talk to the creditors) you have just a single choice: Stop spending money on inessentials and get the debt down. It's not fun, it's not pleasant, but you must do it. You aren't spending your own money, you're spending someone else's.

Cut the credit cards up so you aren't tempted, and when you've paid one off, cancel the card. Then concentrate on the other.

There are no magic cures, I'm afraid.
She's as nervous as a very small nun at a penguin shoot.
 
linco22
Posts: 1278
Joined: Tue Jun 14, 2005 6:16 am

RE: Debt Problems

Tue Oct 10, 2006 7:06 pm

Quoting VHVXB (Reply 17):
That sounds alrite. At least your making effort to get rid of this debt as quickly as you can and I hope you can get out of it very soon.

Thanks. Just have to stay sensible now for the next couple of years. I hope to have both cards cleared by then.

Quoting Oly720man (Reply 16):
But, basically, if you can't afford it, don't buy it. Beware the party season. No point digging deeper holes for yourself just because.

Thanks for the reply Olyman720. I'm gonna have to get on first name terms here in non-av  Smile

Thanks again
Colin
 
linco22
Posts: 1278
Joined: Tue Jun 14, 2005 6:16 am

RE: Debt Problems

Tue Oct 10, 2006 7:10 pm

Quoting Banco (Reply 18):
As far as the things you want to buy, you simply can't have them

Banco, you sound like my mother!  Smile But honestly thanks for your reply too. I kept putting off cutting them up. I'll do it tonight when I get home...
 
Banco
Posts: 14343
Joined: Mon Oct 29, 2001 11:56 pm

RE: Debt Problems

Tue Oct 10, 2006 7:13 pm

Quoting Linco22 (Reply 20):
Banco, you sound like my mother! But honestly thanks for your reply too. I kept putting off cutting them up. I'll do it tonight when I get home...

I'm sure. Big grin

I've been there, mate. It's not something you want to hear, but I promise you, it's the thing you must do if you want to get out of it. That's why I say there are no magic solutions, unless "stop spending money" counts as that.
She's as nervous as a very small nun at a penguin shoot.
 
RobertNL070
Posts: 4159
Joined: Mon Sep 22, 2003 4:29 am

RE: Debt Problems

Tue Oct 10, 2006 7:15 pm

Quoting Banco (Reply 18):
The truth is that you it's going to cost you more in the long run if you do it

How come? Surely if you have one larger single loan, say at Oly720man's 7% APR then you would be better off (?)

The last loan I took out was two years ago to help finance my current, then brand-new car. I borrowed €6000, about £4300, at 5.6% APR with a so called flexible credit - a sort of never-never. I paid it off in 13 months !!  biggrin 
Youth is a gift of nature. Age is a work of art.
 
linco22
Posts: 1278
Joined: Tue Jun 14, 2005 6:16 am

RE: Debt Problems

Tue Oct 10, 2006 7:18 pm

Quoting Banco (Reply 21):
I'm sure.

No, honest....  yes 
 
Banco
Posts: 14343
Joined: Mon Oct 29, 2001 11:56 pm

RE: Debt Problems

Tue Oct 10, 2006 7:22 pm

Quoting RobertNL070 (Reply 22):
How come? Surely if you have one larger single loan, say at Oly720man's 7% APR then you would be better off (?)

It depends what you mean by "better off". You will have more disposable income, certainly, but generally speaking the term lengths of the loan are longer, in order to make the debt manageable. In absolute terms, you are likely to be paying off a higher total figure.

As I say, this can be a good idea, but you do have to be aware that it can be an expensive solution.

One way of managing unsecured debt is to see if you can get someone daft enough to accept your balance transfer on to a new credit card offering 0% finance on that balance transfer. But you must be strong enough to not use that card - to cut it up as soon as you have it - which will buy you some time to clear other, more expensive debts. If you can then keep moving that debt around to new card suppliers you actually make money, because the debt then declines in real terms. But you do still have to pay it off at some point, and you simply mustn't add to it elsewhere because you have a higher disposable income.
She's as nervous as a very small nun at a penguin shoot.
 
oly720man
Posts: 5740
Joined: Fri May 21, 2004 7:13 am

RE: Debt Problems

Tue Oct 10, 2006 7:25 pm

Get out of / reduce debt hints and info.

http://www.fool.co.uk/get-out-of-debt/get-out-of-debt.htm

The loans tab has 3 companies with loans less than 6% APR (typical... which probably means for £10k or above. Smaller loans have higher APR.)

Quoting Banco (Reply 18):
Where it is a real problem are all the debt restructuring companies who advertise on the telly and then charge you an interest rate of 20%+, which doesn't help at all.

They're almost the loan sharks of the finance world. They charge high rates because their clients would struggle to get a loan from a conventional source, because they are more risky.
wheat and dairy can screw up your brain
 
Banco
Posts: 14343
Joined: Mon Oct 29, 2001 11:56 pm

RE: Debt Problems

Tue Oct 10, 2006 7:27 pm

Quoting Linco22 (Reply 23):
No, honest....

Yes, I am quite sure I do! But she's right, you know.
She's as nervous as a very small nun at a penguin shoot.
 
RobertNL070
Posts: 4159
Joined: Mon Sep 22, 2003 4:29 am

RE: Debt Problems

Tue Oct 10, 2006 7:27 pm

Quoting Banco (Reply 24):
you are likely to be paying off a higher total figure.

Because of fixed monthly payments? And you are not allowed to make extra payments should you get a bonus? Sorry, but I'm not very well up on how this sort of thing works in the UK - it's a good thing too  biggrin 
Youth is a gift of nature. Age is a work of art.
 
skidmarks
Posts: 6614
Joined: Fri Dec 10, 2004 7:51 pm

RE: Debt Problems

Tue Oct 10, 2006 7:28 pm

Quoting Linco22 (Reply 20):
Banco, you sound like my mother!

See him on Saturday night with Cornish down by the Staines reservoir and he COULD be your Mother Big grin

Seriously, debt is so easy to get into these days and if you are the slightest bit weak (like me) it's a problem that never goes away.

You just have to develope a mindset that refuses to bow down to peer pressure and desires and simply get into a position where you eventually CAN afford your little luxuries. You are young enough to get into that mindset Colin, whereas this old fraud isn't. I guess I'll be in debt until I die - then let the buggers try and get the interest!! Big grin

Andy  old 
Growing old is compulsory, growing up is optional
 
Banco
Posts: 14343
Joined: Mon Oct 29, 2001 11:56 pm

RE: Debt Problems

Tue Oct 10, 2006 7:32 pm

Quoting RobertNL070 (Reply 27):
Because of fixed monthly payments? And you are not allowed to make extra payments should you get a bonus?

Correct. And usually the term length. Because people in debt want to "get their life back" to an extent, they often choose something like a five year repayment period. Because you pay back the interest before the capital, you keep incurring higher interest levels, and so even on a 7% loan on £10,000, the amount you end up paying back is likely to be something like £14,000 (can't be bothered to work it out, I'm just doing it from memory) overall. Someone else can do the maths.  Wink

That's why it's always best to choose the shortest term length you can manage.
She's as nervous as a very small nun at a penguin shoot.
 
linco22
Posts: 1278
Joined: Tue Jun 14, 2005 6:16 am

RE: Debt Problems

Tue Oct 10, 2006 7:33 pm

Quoting Skidmarks (Reply 28):
then let the buggers try and get the interest!!

I like you're attitude Andy, not bad for an ole git  Wink But you're right, its been 'easy' for me to get into this situation. If I can survive over the next few months and see a positive improvement it'll make me put nearly every penny towards paying it off

I'm worried about Banco, he seemed like a nice chap....

Quoting Skidmarks (Reply 28):
See him on Saturday night with Cornish down by the Staines reservoir and he COULD be your Mother
 
RobertNL070
Posts: 4159
Joined: Mon Sep 22, 2003 4:29 am

RE: Debt Problems

Tue Oct 10, 2006 7:33 pm

Quoting Skidmarks (Reply 28):
I guess I'll be in debt until I die

You could economise by not renewing your A.net First Class Membership (could I get banned for writing that?) Then at least you could treat yourself to a new pair of slippers.

Robert  bouncy 
Youth is a gift of nature. Age is a work of art.
 
Banco
Posts: 14343
Joined: Mon Oct 29, 2001 11:56 pm

RE: Debt Problems

Tue Oct 10, 2006 7:39 pm

Quoting Linco22 (Reply 30):
I'm worried about Banco, he seemed like a nice chap....

I have NEVER been to Staines and never will.  snooty  Andy's all bitter because Cornish turned him down as being most probably infested with distemper, and ever since, he just lashes out at everyone else. It's rather sad really...

Quoting Skidmarks (Reply 28):
then let the buggers try and get the interest!!



Quoting Skidmarks (Reply 28):
this old fraud

Self-incrimination really won't help you at the county court, you know.
She's as nervous as a very small nun at a penguin shoot.
 
cornish
Posts: 7651
Joined: Fri Feb 18, 2005 8:05 pm

RE: Debt Problems

Tue Oct 10, 2006 8:02 pm

Quoting Banco (Reply 32):
I have NEVER been to Staines and never will.

Thats St.Aines  snooty .

Quoting Banco (Reply 32):
Andy's all bitter because Cornish turned him down as being most probably infested with distemper,

I've heard about all those biological expriments the military did years back on those islands in the north and the mutations that resulted. I'm taking no chances.

Quoting Banco (Reply 32):
he just lashes out at everyone else. It's rather sad really...

Typical  grumpy   old  git.

Quoting Skidmarks (Reply 28):
See him on Saturday night with Cornish down by the Staines reservoir and he COULD be your Mother

Don't be silly Andy, Saturday night is Banco's cabaret night down at the Jolly Sailor in Brighton  Wink

This weekend he's going to dedicate Hey Big Spender to Linco22  Wink

(sorry couldn't resist Linco!)
Just when I thought I could see light at the end of the tunnel, it was some B*****d with a torch bringing me more work
 
linco22
Posts: 1278
Joined: Tue Jun 14, 2005 6:16 am

RE: Debt Problems

Tue Oct 10, 2006 8:12 pm

Quoting Cornish (Reply 33):
(sorry couldn't resist Linco!)

 rotfl 
 
skidmarks
Posts: 6614
Joined: Fri Dec 10, 2004 7:51 pm

RE: Debt Problems

Tue Oct 10, 2006 8:18 pm

You know, I might just take up fishing - it seems to work fine on here!  devil   stirthepot 

Andy  old 
Growing old is compulsory, growing up is optional
 
cornish
Posts: 7651
Joined: Fri Feb 18, 2005 8:05 pm

RE: Debt Problems

Tue Oct 10, 2006 8:24 pm

Quoting Skidmarks (Reply 35):
You know, I might just take up fishing - it seems to work fine on here!

I wouldn't Andy. Far too exciting for you in your advanced years. Better stick to bowls Big grin
Just when I thought I could see light at the end of the tunnel, it was some B*****d with a torch bringing me more work
 
cornish
Posts: 7651
Joined: Fri Feb 18, 2005 8:05 pm

RE: Debt Problems

Tue Oct 10, 2006 8:34 pm

More seriously Banco is right - cut up the credit cards ASAP. Only way to stop temptation.

One other thing:

Quoting Linco22 (Thread starter):
Socially i'm quite active and this month is due to be busy with birthdays and such coming up.

Ah the old social problem. I know this well from my days of starting up in hyper-expensive London after University with no cash and tonnes of debt and a wage that didn't really cover it.

Sad to say the socialising will have to be limited. Or failing that, done in different ways. I don't know how often you go out a week and how much you spend but for the time being you have to limit it where possible. And friends can be understanding. If you would normally go and watch the rugby or football down the pub with mates, see if you can get them all to come round yours and get beer from the supermarket. Far cheaper. If oyu normally go out on Friday and Saturday nights then only go out on one.

It may sound a bit silly, but its all the extra things that add up. Yes definitely stil lhave fun, but if you need to cut back then do it. Its the discipline thing that is really hard, but it will payoff here and there. One night you don't go out and that could be a months repayment on one of your debts sorted.
Just when I thought I could see light at the end of the tunnel, it was some B*****d with a torch bringing me more work
 
sebolino
Posts: 3495
Joined: Tue May 29, 2001 11:26 pm

RE: Debt Problems

Tue Oct 10, 2006 8:41 pm

I don't really understand how people can fall in this situation.
If you follow a conduct line which is "never pay back more then 30 or 40% of your income every month", nobody should have problems, except in serious cases like unemployement.
 
linco22
Posts: 1278
Joined: Tue Jun 14, 2005 6:16 am

RE: Debt Problems

Tue Oct 10, 2006 8:43 pm

Cornish,

Your spot on. I've already decided that I'll drive to one of the events, an engagement party. Obviously I wont be drinking and i'll maybe save £20/30 by doing that.

Don't do the Friday/Saturday thing anymore. Hangovers used to cure by about 10am, not anymore.... Plus I play football on Saturdays, and its a competitive league so I couldnt carry a hangover lol
 
Banco
Posts: 14343
Joined: Mon Oct 29, 2001 11:56 pm

RE: Debt Problems

Tue Oct 10, 2006 8:46 pm

Quoting Linco22 (Reply 39):
Plus I play football on Saturdays

There's another cost-saving: Don't get booked or sent off - it's bloody expensive!  Wink
She's as nervous as a very small nun at a penguin shoot.
 
cornish
Posts: 7651
Joined: Fri Feb 18, 2005 8:05 pm

RE: Debt Problems

Tue Oct 10, 2006 8:48 pm

Quoting Linco22 (Reply 39):
Your spot on. I've already decided that I'll drive to one of the events, an engagement party. Obviously I wont be drinking and i'll maybe save £20/30 by doing that.

Even if you cut the socialising for a a few months, you'll notice the difference. And it doesn't mean becoming a hermit at all, just a bit of thought into how you go about it.

Quoting Linco22 (Reply 39):
Hangovers used to cure by about 10am, not anymore....

mmm and it doesn't get any easier the older you get mate.
Just when I thought I could see light at the end of the tunnel, it was some B*****d with a torch bringing me more work
 
cornish
Posts: 7651
Joined: Fri Feb 18, 2005 8:05 pm

RE: Debt Problems

Tue Oct 10, 2006 8:49 pm

Quoting Banco (Reply 40):
Don't get booked or sent off - it's bloody expensive!

Or flash your arse at the opposing supporters  Wink
Just when I thought I could see light at the end of the tunnel, it was some B*****d with a torch bringing me more work
 
Banco
Posts: 14343
Joined: Mon Oct 29, 2001 11:56 pm

RE: Debt Problems

Tue Oct 10, 2006 8:50 pm

Quoting Sebolino (Reply 38):
I don't really understand how people can fall in this situation.
If you follow a conduct line which is "never pay back more then 30 or 40% of your income every month", nobody should have problems, except in serious cases like unemployement.

Because not everyone manages their finances perfectly, that's why. It's a bit smug to just say you don't understand how people do it; they do, because humans have human frailties. Spending just a little more than you should earn every month can very quickly become an oppressive level of debt. You might as well say you don't understand how people become alcoholics, or slaves to nicotine. Getting credit is ridiculously easy - at least in the UK - and not everyone can handle that as well as you clearly can.
She's as nervous as a very small nun at a penguin shoot.
 
RobertNL070
Posts: 4159
Joined: Mon Sep 22, 2003 4:29 am

RE: Debt Problems

Tue Oct 10, 2006 8:51 pm

Quoting Cornish (Reply 41):
mmm and it doesn't get any easier the older you get mate.

Ask Skidmarks  biggrin 

But joking aside, since I stopped smoking many moons ago, my hangovers are practically non-existant.

I presume you don't smoke Colin.

Robert  bouncy 
Youth is a gift of nature. Age is a work of art.
 
Banco
Posts: 14343
Joined: Mon Oct 29, 2001 11:56 pm

RE: Debt Problems

Tue Oct 10, 2006 8:54 pm

Quoting Cornish (Reply 42):
Or flash your arse at the opposing supporters

Well, that was ridiculous. That section of the crowd spent 90 minutes chanting about his brother, who's in gaol for murder, and when he reacts pretty harmlessly to some pretty despicable behaviour, HE gets charged.  Yeah sure
She's as nervous as a very small nun at a penguin shoot.
 
sebolino
Posts: 3495
Joined: Tue May 29, 2001 11:26 pm

RE: Debt Problems

Tue Oct 10, 2006 8:57 pm

Quoting Banco (Reply 43):
Because not everyone manages their finances perfectly, that's why. It's a bit smug to just say you don't understand how people do it; they do, because humans have human frailties. Spending just a little more than you should earn every month can very quickly become an oppressive level of debt. You might as well say you don't understand how people become alcoholics, or slaves to nicotine. Getting credit is ridiculously easy - at least in the UK - and not everyone can handle that as well as you clearly can.

I understand what you mean. But when somebody is becoming alcoholic, he dosen't believe it can hapen to him, or at the minimum he dosen't imagine the hell he will live.
But when you take a credit, even if it's to buy things you really want, you can mathematically know exactly if you will be or not in troubles to pay back.
The problem seems to be that some people can't fight the desire to buy, at the point they know they will be in deep shit, but they buy anyway. And it's this point that I can't understand.
 
cornish
Posts: 7651
Joined: Fri Feb 18, 2005 8:05 pm

RE: Debt Problems

Tue Oct 10, 2006 9:00 pm

Quoting Banco (Reply 45):
Well, that was ridiculous. That section of the crowd spent 90 minutes chanting about his brother, who's in gaol for murder, and when he reacts pretty harmlessly to some pretty despicable behaviour, HE gets charged.

As Plymouth's quotable manger Ian Holloway put it:


'If anybody's offended by seeing a backside, get real. Maybe they're just jealous that he's got a real nice tight one, with no cellulite or anything. I thought his bum cheeks looked very pert. If anybody's offended by that they ought to go and see the doctor' Big grin
Just when I thought I could see light at the end of the tunnel, it was some B*****d with a torch bringing me more work
 
cornish
Posts: 7651
Joined: Fri Feb 18, 2005 8:05 pm

RE: Debt Problems

Tue Oct 10, 2006 9:04 pm

Quoting Sebolino (Reply 46):
The problem seems to be that some people can't fight the desire to buy, at the point they know they will be in deep shit, but they buy anyway. And it's this point that I can't understand.

Ah but for some (and i'm not talking Linco here, but much much more extreme cases) buying and spending is as much an addiction as drinking or smoking. It may seem very different, but the habit is just as hard to quit. People woh get addicted to shopping channels for example, buying any old tat. People who buy excessive amounts of clothes, that often only get worn once. Its still an addiction, even if it appears a different sort of one. and it often requires just as much will power to break.
Just when I thought I could see light at the end of the tunnel, it was some B*****d with a torch bringing me more work
 
oly720man
Posts: 5740
Joined: Fri May 21, 2004 7:13 am

RE: Debt Problems

Tue Oct 10, 2006 9:08 pm

Quoting Cornish (Reply 48):
and it often requires just as much will power to break.

or a tv program....

http://www.bbc.co.uk/entertainment/b...fmumanddad/latest_programme6.shtml

amongst others
wheat and dairy can screw up your brain

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