Head is being removed from the sand

[Imanidiot]

Hi all,

Ive spent a few days reading lots of information and stories on these forums which has really helped me realise I'm not alone.

I've decided to remove my head from the large pile of sand it was buried in and face my responsibilities.

So, off I go to the General Debt forum to share my story.

[Bill-K]

Re: Head is being removed from the sand

Hi and welcome to you, Imanidiot. You're certainly not alone here !!!

[Guest]

Re: Head is being removed from the sand

Good for you.
Hardest thing to do is get that piece of paper out right down all your incoming and outgoings.

Once you have done that you are over half way there.

Next thing prioritization,
What do you actually need to live on,rent gas/electricity. food
Then Priority debts mortgage secured loans, rates.
Last unsecured loans

Chances are that the last priority here is taking up far to much of your income.

D

[Imanidiot]

Re: Head is being removed from the sand

Thanks folks.

Davy, at the moment unsecured debt is currently taking up £0 of my income! I simply haven't paid them at all. I tried to keep on top of things but when I started to sink I simply stopped paying anything that wasn't a priority. This I know was stupid. I just hid from it.

However, I was sensible in that I managed to keep on top of everything that was a priority. My mortgage gage has never been behind and my gas, electric and water has always been kept up to date. The council tax has always been more or less sorted although there was one small, err, incident with bailiffs but that's all in the past.

Im incredibly lucky. I've read so many stories of people losing their houses or going into serious arrears and things and it makes me feel fortunate. I feel so bad for those in a worse position than I because it's been stressfu.

The worst thing is wondering where the next meal will come from but somehow I've always managed to feed the kids.

Now my circumstances are about to change I'll have some extra money and this is going towards my unsecured debts. I've done a spreadsheet for myself and more or less based it on my current circumstances so I know when my outgoings go down in 6 weeks that is more or less what I've got to play with. Yes, I could do with some extra money for taking the kids out etc but I figure the more I can pump into debts the quicker ill be debt free and will be ale to spoil the kids to death.

[Guest]

Re: Head is being removed from the sand

Sounds like you have the right idea.
Now i suppose you will prioritize your unsecured borrowing.

Forgive me if i am teaching my grandma to suck eggs, but dont forget the statute of limitations , if any of your debts are approaching the 6 year mark and have not been acknowledged, they should take a very low priority.

D

[Imanidiot]

Re: Head is being removed from the sand

I was just going to pay each one a proportionate sum each month with the aim of clearing the debt within 24 or 36 months depending on whether I want to continue being really prudent with money for another 2 years or whether I want to still be in debt for an extra year but to have a bit of money each month to take the kids to the cinema and treat them every now and then.

Thing is, only one of them is a true priority. The last one to default in 2008 was the first (and only one so far) to go to court where judgement was awarded against me by default. It went to court in late 2009 and enforcement is imminent so I need to sort it but I'm not really sure of the best way to deal with it.

All the others have between 12 - 18 months left before the defaults are 6 years old. I don't think I've ever acknowledged them since then (unless taking a letter from the letterbox and throwing it on the fire is classed as acknowledgement lol). Thing is though, not sure I want to risk more ccj's. My current CRA file is a mess but there are things like mortgage, bank account and car payments that have been paid religiously and look quite good on there and my file will be in good shape when the defaults and ccj drop off. Not that I'm planning on getting into debt again but it's nice to have a clean record. Who knows what potential employer might want to search if I wanted to change jobs.

As a side note, I've not long made the final payment on the car - I have no idea how I managed to keep up with them but couldn't afford to lose the car and would've been left with a load of debt as a result anyway! If I'd defaulted and they'd repo'd the car I still would have been liable for any shortfall. I really can't wait to be free of all these crooks!