FabSwingers.com forum: Debt Advice

By (user no longer on site) OP
42 weeks ago

Hey Folks,

Like us all I’ve a bit of debt hanging over me. It’s manageable but annoying.

I work in public sector and get a decent employer contribution. Should I reduce their contribution and receive the money instead to work hard on my debt?

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By *oquars19458Man
42 weeks ago

sheffield

No, your pension is more important than you could ever imagine

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By *iasubTV/TS
42 weeks ago

Ilkeston

It’s probably worth speaking to somewhere like citizens advice

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By (user no longer on site) OP
42 weeks ago

"No, your pension is more important than you could ever imagine"

Maybe so. I’ll just keep plugging away!

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By *ymAndIcedCoffeeWoman
42 weeks ago

Worcester

Pensions are the one of the most important savings you can do because of the compounding interest.

Pick up a second job or side hustle and pay down your debt. Sell everything you don’t need on Vinted and eBay. Eat value food for a few months instead of branded stuff. Don’t get takeaways. That kind of thing.

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By *hrimper36Couple
42 weeks ago

Central France dept 36

As a person with no pension I’d strongly advise you keep going with it for your retirement.

I say no pension but I got a letter the other day saying I’m going to get 8€ a month when I retire from the French government wahoo.

Think to the future.

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By (user no longer on site) OP
42 weeks ago

"Pensions are the one of the most important savings you can do because of the compounding interest.

Yes I do agree. I need to sort my outgoings 1st and I will try and pick up some work on the side.

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By (user no longer on site) OP
42 weeks ago

"As a person with no pension I’d strongly advise you keep going with it for your retirement.

I say no pension but I got a letter the other day saying I’m going to get 8€ a month when I retire from the French government wahoo.

Think to the future.

Thanks for your input! Is the French pension poor?

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By *heGateKeeperMan
42 weeks ago

Stratford

Do get advice but like most people id advise against it, especially as you get tax relief on it and you wouldn’t see the whole amount you pay out back in your pay packet

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By (user no longer on site) OP
42 weeks ago

"Do get advice but like most people id advise against it, especially as you get tax relief on it and you wouldn’t see the whole amount you pay out back in your pay packet

Yes that’s my initial thought also. This is why it’s good to use here as a sounding board!

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By *ong-leggedblondWoman
42 weeks ago

Next Door

OP, why not try to consolidated the debt( interest free) usually cam end up paying a lower amount monthly over a longer term but more affordable.

Maybe withdraw a weekly/monthly amount to do your food shopping/spend and try not to use your cards.

Don't lower your pension.

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By *nigma321Man
42 weeks ago

Manchester

A few years ago when I was struggling I went to stepchange.org. They are brilliant and they won’t judge you either. You’re probably feeling bad about it anyway and they will make you feel a whole lot better because they get it. It worked for

Me. Good luck mate.

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By (user no longer on site) OP
42 weeks ago

"OP, why not try to consolidated the debt( interest free) usually cam end up paying a lower amount monthly over a longer term but more affordable.

Maybe withdraw a weekly/monthly amount to do your food shopping/spend and try not to use your cards.

Don't lower your pension."

I think I just need to tighten my belt a wee bit and get some debt gone! Honestly I’m not in a bad bad shape but it could be better!

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By (user no longer on site) OP
42 weeks ago

"A few years ago when I was struggling I went to stepchange.org. They are brilliant and they won’t judge you either. You’re probably feeling bad about it anyway and they will make you feel a whole lot better because they get it. It worked for

Me. Good luck mate. "

Thanks I’ll defo look into that

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By (user no longer on site)
42 weeks ago

Great advice above.... could you consider renting a room out in your house? That would bring you an extra £200 a month perhaps?

Also beans on toast is both nutritious and cheap... And if you buy a yellow stickered sliced loaf, you can keep it in the freezer and just toast a couple of pieces as needed. Super cheap!

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By *TG3Man
42 weeks ago

Dorchester

"Great advice above.... could you consider renting a room out in your house? That would bring you an extra £200 a month perhaps?

Also beans on toast is both nutritious and cheap... And if you buy a yellow stickered sliced loaf, you can keep it in the freezer and just toast a couple of pieces as needed. Super cheap! "
in Devon you could rent a room for £500 a month

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By *icecouple561Couple
Forum Mod
42 weeks ago

East Sussex

As many have said, don't touch your pension. It's the only piece of financial advice I can confidently give.

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By (user no longer on site)
42 weeks ago

"Great advice above.... could you consider renting a room out in your house? That would bring you an extra £200 a month perhaps?

Wowee

*seriously considers clearing out the junk room!! *

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By *alandNitaCouple
42 weeks ago

Scunthorpe

"Hey Folks,

Like us all I’ve a bit of debt hanging over me. It’s manageable but annoying.

I work in public sector and get a decent employer contribution. Should I reduce their contribution and receive the money instead to work hard on my debt?

I'm not sure there is any way that you could receive that money instead of it going into your pension, and if you could, it would become liable for tax & national insurance... so reducing its value considerably.

Cal

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By *rHotNottsMan
42 weeks ago

Dubai & Nottingham

"Hey Folks,

Like us all I’ve a bit of debt hanging over me. It’s manageable but annoying.

I work in public sector and get a decent employer contribution. Should I reduce their contribution and receive the money instead to work hard on my debt?

Depends on the interest rates on your debts , currently it still pays to be in mortgage debt for most people as long as you can trust yourself to save.

It’s unlikely other debts are below 5% APR.if it’s isn’t 1/ clear your debts 2/ save for pensions 3/ save for other stuff

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By *icecouple561Couple
Forum Mod
42 weeks ago

East Sussex

One thing I do know is that once you're retired you'll never regret any money you put in to a pension.

The state pension is not enough to live on even in frugal comfort

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By *oquars19458Man
42 weeks ago

sheffield

Have a search for interest free credit cards, do a balance transfer

Cut the other card up, dont use the new one for purchases

If you cant buy outright, dont buy at all

As Martin lewis said, ask your self two questions

Can i afford it

Do i really need it

I get my state pension next month, a magnificent £712/ month, if it wasnt for my works pension I’d be in the shit

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By *resesse_MelioremCouple
42 weeks ago

Border of London

"Hey Folks,

Like us all I’ve a bit of debt hanging over me. It’s manageable but annoying.

I work in public sector and get a decent employer contribution. Should I reduce their contribution and receive the money instead to work hard on my debt?

Almost certainly no.

Each pound you put in gets you free money from your employer and also does not attract tax. Depending on your deal, you might find that if you sacrifice £10, the employer puts in £25 and had you taken that £10, you would see only £6-8 after tax.

So your choice might be between £8 cash now or £30+interest/earnings in the future. (Which may be subject to tax, but almost certainly less than you're currently paying, if done correctly)

Those numbers could change depending on your specific matching criteria and tax bracket, but government pensions are extremely generous and the numbers are probably in the right ballpark.

Now, if you have no choice but to pay 30% interest on that debt because you have no other recourse to a cheaper consolidation loan/0% credit card, then you should pay off the debt. Same goes if a loan shark is about to break your legs. However, if there's any way you can service that debt cheaply, keep the pension. You can oven negotiate interest just by calling up. Lenders would rather accept a tiny amount and freeze interest if they believe that the alternative is not getting paid. There's also the IVA (think twice before doing this) and bankruptcy - Which is a great option if you have (a) almost no assets, (B) no way to ever pay of the debt and (c) it will not affect your job or employability (i.e. probably not for you).

Without knowing details, it's hard to give meaningful advice, but reducing the pension contribution leaves a heap of free money on the table, which is a crying shame and should be avoided at all costs.

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By *allySlinkyWoman
38 weeks ago

Leeds

I think I just need to tighten my belt a wee bit and get some debt gone! "

Maybe don't book an all inclusive family holiday to Turkey ?

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By (user no longer on site) OP
38 weeks ago

I think I just need to tighten my belt a wee bit and get some debt gone!

Maybe don't book an all inclusive family holiday to Turkey ?"

Grow up

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By *rHotNottsMan
38 weeks ago

Dubai & Nottingham

"One thing I do know is that once you're retired you'll never regret any money you put in to a pension.

The state pension is not enough to live on even in frugal comfort "

I was taking with friends about this and about the book Die With Zero.

Our view is most people we know save too much and die with loads, property , business assets, cash etc passed onto family, at the cost of…… Valuable time with their loved ones doing the things that are truly their passions. Save so you are not a burden to you family and the state, beyond that live for now.

You do your kids no favours missing out on them now so they can have some extra cash when you are dead

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By *weetsmellingtreatsWoman
38 weeks ago

Gloucester

"Have a search for interest free credit cards, do a balance transfer

Cut the other card up, dont use the new one for purchases

If you cant buy outright, dont buy at all

As Martin lewis said, ask your self two questions

Can i afford it

Do i really need it

I get my state pension next month, a magnificent £712/ month, if it wasnt for my works pension I’d be in the shit

Yet profile claims uou are 52

Wish I could get my pension from state in my 50s (I.e now)

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By *obilebottomMan
38 weeks ago

All over

"Have a search for interest free credit cards, do a balance transfer

Cut the other card up, dont use the new one for purchases

If you cant buy outright, dont buy at all

As Martin lewis said, ask your self two questions

Can i afford it

Do i really need it

I get my state pension next month, a magnificent £712/ month, if it wasnt for my works pension I’d be in the shit

Yet profile claims uou are 52

Wish I could get my pension from state in my 50s (I.e now)"

Oh, don't be so pedantic. It's only roughly 15 years difference.

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By (user no longer on site)
38 weeks ago

"No, your pension is more important than you could ever imagine"

Seconded

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By *arla SwingerWoman
38 weeks ago

Somewhere

"Have a search for interest free credit cards, do a balance transfer

Cut the other card up, dont use the new one for purchases

If you cant buy outright, dont buy at all

As Martin lewis said, ask your self two questions

Can i afford it

Do i really need it

I get my state pension next month, a magnificent £712/ month, if it wasnt for my works pension I’d be in the shit

Yet profile claims uou are 52

Wish I could get my pension from state in my 50s (I.e now)"

It wouldn't be anything like £712pmth if you did

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By *alandNitaCouple
38 weeks ago

Scunthorpe

I think I just need to tighten my belt a wee bit and get some debt gone!

Maybe don't book an all inclusive family holiday to Turkey ?

Grow up "

It's a fair point really! If you're in debt, asking for debt advice & considering opting out of your pension, is a holiday the best use of the money that you "do" have? Really choosing not to spend money you can't afford on something you don't need (and nobody "NEEDS" a holiday) is the more "grown up" option.

Cal

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By *weetsmellingtreatsWoman
38 weeks ago

Gloucester

"Have a search for interest free credit cards, do a balance transfer

Cut the other card up, dont use the new one for purchases

If you cant buy outright, dont buy at all

As Martin lewis said, ask your self two questions

Can i afford it

Do i really need it

I get my state pension next month, a magnificent £712/ month, if it wasnt for my works pension I’d be in the shit

Yet profile claims uou are 52

Wish I could get my pension from state in my 50s (I.e now)

Oh, don't be so pedantic. It's only roughly 15 years difference.

Yeah maybe I’ll edit my profile and claim to be 40 now lol

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By *ymAndIcedCoffeeWoman
38 weeks ago

Worcester

"Have a search for interest free credit cards, do a balance transfer

Cut the other card up, dont use the new one for purchases

If you cant buy outright, dont buy at all

As Martin lewis said, ask your self two questions

Can i afford it

Do i really need it

I get my state pension next month, a magnificent £712/ month, if it wasnt for my works pension I’d be in the shit

Yet profile claims uou are 52

Wish I could get my pension from state in my 50s (I.e now)

Oh, don't be so pedantic. It's only roughly 15 years difference.

Yeah maybe I’ll edit my profile and claim to be 40 now lol

How fabulous. I’m 23 again! That means my ankle isn’t fucked my joints don’t creak when I get up from a chair!

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By *ophieslutTV/TS
38 weeks ago

Central

"Have a search for interest free credit cards, do a balance transfer

Cut the other card up, dont use the new one for purchases

If you cant buy outright, dont buy at all

As Martin lewis said, ask your self two questions

Can i afford it

Do i really need it

I get my state pension next month, a magnificent £712/ month, if it wasnt for my works pension I’d be in the shit

Yet profile claims uou are 52

Wish I could get my pension from state in my 50s (I.e now)

Oh, don't be so pedantic. It's only roughly 15 years difference.

Yeah maybe I’ll edit my profile and claim to be 40 now lol

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By *unseeker63Man
38 weeks ago

Newent, Birmingham, Bristol, London & Watford

Here’s my take on this. Firstly, Citizens Advice provide debt advice via advisers, check out their website section Debt and Money.

There’s ways of reducing your debt and payments to make life easier.

Many creditors will do things such as payment plans, freeze interest charges, even some write off some of the debt depending on your personal circumstances.

All of them will want to see you prepare or present a budget of your income and outgoings.

If you don’t want to talk to a debt adviser, you can do it alone.

1. Make a list of all your regular outgoings, ideally on a spreadsheet

2. Prioritise them with essentials first, down to things you know you can live without.

Cancel subscriptions that aren’t necessary and as others have said look at cheaper ways of eating, batch cooking meals, home cooking vs takeaways and cheaper ‘treats’.

Shopping habits can make a significant difference to your spending.

Create meal plans, ingredient lists and a shopping list. NEVER go shopping when you’re hungry, you’ll always buy more food than you need.

Learn how to joint a whole chicken (YouTube) as it’s way cheaper to buy a whole one and joint it, rather than buy individual portions. You can freeze the joints until required.

Bread and bananas are two of the biggest food wastes. Freeze bread and slice and freeze bananas. Lots of money saving tips are out there re food.

Do what you can to reduce your outgoings and then look at how much disposable income you have.

3. Make a list of your debts, amounts, payments, interest charges and how much the APR is on each.

4. Prioritise them in a similar way to 2 above, but also consider debt amount and which debt payments are urgent and important to address.

5. Find the websites for each creditor and they should have a Help/Support/Payment issues page/section.

6. Submit an online form, call, email, or write to all those you owe money to, explain you’re finding it hard and need some help to reduce your debt/payments.

7. See what they come back with as proposals but check you fully understand the implications of some of these changes. The best thing you can do is reduce short term lending as fast as you can, they usually are higher interest, then longer term lending when you’re able to.

Good luck.

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By *enuine MikeMan
38 weeks ago

Guildford

Surely if it was just a "Bit" of debt, you would have sorted by now?

Sounds like there's more than meets the eye.

Get some financial advice or speak out to friends and or family. The longer you bottle it up, the harder it gets.

Good luck

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By *arkus1812Man
38 weeks ago

Lifes departure lounge NN9 Northamptonshire East not West MidlandsMidlands

"Have a search for interest free credit cards, do a balance transfer

Cut the other card up, dont use the new one for purchases

If you cant buy outright, dont buy at all

As Martin lewis said, ask your self two questions

Can i afford it

Do i really need it

I get my state pension next month, a magnificent £712/ month, if it wasnt for my works pension I’d be in the shit

Yet profile claims uou are 52

Wish I could get my pension from state in my 50s (I.e now)

Oh, don't be so pedantic. It's only roughly 15 years difference.

Yeah maybe I’ll edit my profile and claim to be 40 now lol

The earliest age you can apply for a state pension is 66 quite how you can get one at the age of 52 is a mystery.

State pensions are not paid monthly but every 4 weeks giving you 13 payments per annum,

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By *ark and Delicious 61Couple
38 weeks ago

Beyond the gates of Paradise

Keep that pension going x

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By *escourtesMan
38 weeks ago

hereford

No, keep up your pension contributions as you recieve tax allowance on them, and as others have said its important to keep them up anyway.

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Debt Advice - Pension