How to stop my home being repossessed * avoid bankruptcy * mortgage arrears * earn extra income * how to stop a home being repossessed * make more money
If you have mortgage arrears and are wondering how to stop your home being repossessed; you are trying to avoid bankruptcy; looking for ways to earn an extra income or simply want to make more money then the links further down this page will be of great comfort.
How to get out of debt
How to pay off debts fast
How to avoid bankruptcy
Losing your home can have a devastating affect on all your family and you should try to avoid having your home repossessed at all costs. This may require remortgaging, taking out a debt consolidation loan, applying for an individual voluntary arrangement, taking on part time additional work or looking for additional sources of income.
Debt consolidation loan
Individual voluntary arrangement
Reduce your utility bills
Earn extra income by helping your friends to do the same
The first step is to get yourself on an even financial footing by reducing the outgoings on your borrowings. Use the links above to explore every avenue. You may have been refused a further loan by your bank but this does not mean you cannot raise finance through other major lending sources.
The second step is to take a serious look at your spending habits and patterns. Use the above links to reduce the cost of your utility bills. How much do you spend on food, how much do you waste, how much is junk food and takeaways and how healthy is your diet anyway?
When I went under, my wife and I had to budget £28.00 per week to feed a family of 2 adults and 3 young children. Admittedly it was more than a decade ago, but I believe that food hasn't gone up that much and many food items are even cheaper today than they were then. We didn't starve; we didn't buy crisps or fizzy drinks, biscuits were a treat, fresh vegetables were a necessity and meat had to cover two or three meals. We also had to plan every meal for the week to ensure nothing went to waste.
The outcome was, my wife and I lost weight, my children didn't grow fat, in fact they were the fittest, healthiest kids in the school. We couldn't afford central heating so would just wrap up warm, yet my children whilst they were growing up rarely got colds or other ailments and have grown up to be strong athletic specimens, far taller and stronger than any of their peers. The diet and lack of central heating, has had the same result on my wife and I. Even in our fifties, we seem to be fitter and healthier than most people almost half our ages, rarely needing any form of medical attention. In fact I had to see a doctor three months ago for the first time in 14 years and this was only because I had to have a compulsory medical examination.
I would imagine that most families could cut their monthly food bills by 3-4 hundred pound per month and feel far better physically and mentally. Turn your central heating down, it is a breeding ground for germs, even now, despite the fact we are very comfortably off, we don't have central heating; preferring wood burners to heat certain rooms. If I go into a centrally heated house, I find it impossible to breath properly. Using the above link and turning your heating down by 2-3 points will save you £500-£1000 per annum.
The third step is to look for ways of earning extra income. If you have been sensible enough to use the above link to reduce the cost of your utility bills, use the link below to earn extra income by introducing your friends so that they can also save money. You will be earning money every time they switch on a light or turn on their oven or make a telephone call.
When we lost our home, we also lost our businesses and every form of income we had. Social services would have put us in bed and breakfast accommodation or even split us up and so I took my family abroad to where we had at least a leaking roof over our heads. I had £700 to my name, a sum most people wouldn't consider going on holiday with. Unable to speak the language, we did any menial job that came our way in order to feed our children. If you think you've got it hard, try doing what I did.
There are jobs to be had everywhere, whether they are cleaning or gardening jobs, washing up or cleaning cars, it doesn't matter so long as they pay a regular guaranteed income. My wife and I did anything and everything to bring money in whilst we started our new business. It was only once the business was established and bringing in a living wage that we stopped working for other people to concentrate on developing the business. She would go out to work whilst I concentrated on the business and when she came home, she would man the phones whilst I went out to work. Long hard hours, many sacrifices but it paid off big time.
The fourth step , and this is not so easy, is putting yourself in a position where you owe no one a penny and never have to borrow any money ever again. You have to start by severely cutting your outgoings and bringing in additional income from anywhere and everywhere. Pay off any loans as quickly as possible as it is the interest that really hurts your pocket. Cut up credit cards and store cards, there is very little you will really need that cannot wait. If you can cut your outgoings by £500 per month or more and you and your wife can generate a further £500 per month between you, you will be a £1000 to the better every month. Use most of this to pay off your debts and put 25% away in a savings account. You have to be disciplined. The savings account is for emergencies only and to avoid having to borrow money or pay the tax man. This is not impossible, I did it and so can you.
Most UK residents and not just people with debt problems are forking out as much as 40% of their net income on interest repayments. That is 40% of their money going down the drain every month because they borrowed because they couldn't pay cash. If you go and buy a television for £600 and buy it on finance over three years it will most likely cost you £900. If you are prepared to wait and pay cash, the likelihood is that you can get it for £450. So someone who has money and can afford to pay cash actually gets everything for 50% cheaper than people who can't afford the items.
Proper planning and patience can ensure that almost every penny you earn actually goes to your benefit and not someone else. It can be done, you can get yourself into a very
strong financial position, you can become extremely well off in a relatively short space of time and you can
stop your bank from repossessing your home.