Debt Support Group

Hello all! My name is Amy. I actually think I posted here before years ago. My living situation has changed, but I still have debt.

I have NO credit cards. NONE.

I have student loans that I have been working with and now have under control.

I have medical bills that I have a payment plan for, and that is under control.

I have all of your typical monthly bills (cable, rent, insurance, electric, cell phone).

I have 5 or 6 places that I owe anywhere between $125-$2000 dollars. THESE are the thorns in my side.

I got myself into trouble with payday loans. 4 to be exact. 3 I have consolidated with an online service (not sure if that was the right choice or not, but whats done is done). Most of the 5 or 6 bills basically are because of this. Also I have 2 banks that have closed my accounts because I was terrible and did a little check floating, and I owe them both. So, I have no checking accts right now.

Anyway, what I would LOVE is a coach, or someone who can really help me figure out a good, solid plan to get all of this under control. So I can develop good behavior and habits with my money, and get my credit in good standing. But, such a thing does not seem to exist... and I feel very lost as to how to do this by myself. You would think it would be easy enough... and certainly a woman of 36 years old should have this stuff figured out and not be needing this type of help at all. It's rather embarrassing for me, really. I seriously feel like I just need someone to hold my hand for a while. I want and NEED to get to a place where I have more than $3.00 and a week to go before payday.

I'm a single mom to 2 teenage boys, just a little tidbit for ya.

Any suggestions or advice? WHAT DO I DO? WHERE DO I START?

Help.

Amy

Welcome. You are making a wonderful first step by introducing yourself and telling us about you.

Can you break down your bills a little more for us? What is your monthly take home pay? It's hard to tell you where to cut back and save because I'm not sure where you are overspending. Where do YOU think you overspend? Eating out? Things for your kids? Do they work and provide for themselves a little or do you buy/provide all for them?

Hello, Welcome to the Board Amy.

I too am a Single mom(35) of two boys almost teenagers. 12 and 9. I do have a wonderful boy friend that is supportive. They all eat a lot don't they!

You have to focus on these pay day loans and get rid of them ASAP! They are worse than credit card debt because of the interest. Can you get a second job for awhile to get rid of them?

It sounds like you need a budget that works for you. This must include everything you spend in a year including gifts, car insurance etc(even things that are not montly) Start by writing down everything you spend for an entire month. Use cash for groceries, gas and spending money. Really think about what you need per month on those items and don't over spend. Be creative with the groceries. Cut out eating out. If the kids want something like that they are old enough to buy it out of their allowances.

You also need an emergency fund. Most people build one to $1000 dollars. This is so you don't ever have to charge or use pay day loans again. In your case I would pay the pay day loans off first then concentrate on building up your efund.

If you want to post some of your numbers (expenses and income) there are ladies on here that are great at telling you what to cut back on or what to change.

Good luck. You can do this! It is certainly not to late.

Rent- 695.00
Car ins.- 45.00
Cable/internet/phone- 150.00
Cell phone- 150.00
Utilities- 125.00
Student Loans- 45.00
Medical- 35.00
Debt Consolidation- 25.00
School lunch- 50.00

This is what I owe on other bills. These are all collectors.

Bill 1- 120.00
Bill 2- 150.00
Bill 3- 1735.94
Bill 4- 741.94
Bill 5- 610.00
Bill 6- 430.85

Take home pay is roughly 2200.00

I haven't really done any tracking as far as how much I might spend on gas
or groceries, I just buy it when I need it (sometimes resorting to food pantries). Neither of my boys has a job, so they get money from me
(when available). They understand it's not plentiful.

On paper it looks like I have plenty left over after the Standard Bills. But,
somehow I am always barely scraping by. I do have a social life, but I might
go out twice a month and spend 40-50 dollars (a month). I don't pamper myself with
manicures or pedicures, or new clothes (and even "new" clothes usually
come from the thrift shop).

I'd love to just get it all under control, know exactly how much I will
have left over every month, get on some kind of real plan. I'd love to
be saving something each month. This past month I had to ask my mom for help
because my car needed lots of work and I have NO savings.

Another goal is to save enough to fly out to my friends wedding in Napa
valley in June (I live in Wisconsin).

Thanks for your help and quick response! I feel less frazzled already.

Amy

I don't live in the US, so I don't pretend to know what any of the living costs are. My suggestion is that you track absolutely everything you spend for a month or two. If you do this, then you'll begin to see where the leaks are. I know for myself its really easy to have money left over on paper but have none left at the end of a pay period because I spend a few dollars here and a few dollars there.

In terms of groceries, try to plan your meals ahead so that you can make a list when you go to the store. In my experience when I pop to the store for something that I need, that's not all I come out with.