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Jeeves1983 · 17 November 2007 at 1:26AM

Hi all,

This is the first time i have posted here even though i have read through the posts a few times. I do need help sorting out our finances. I feel like i am one of those who spend beyond my means though. Here is my SOA

Monthly income after Tax: £950
(Im in the army so my rent and income tax is taken before i get paid)

Wifes Income after Tax: £182 pw

Child Tax Credit: £25 after paying childminder (they owe us)

Child Benefit: £120 every 4 weeks

HSBC Managed Loan £155 @ £11000 owed
Virgin CC £50 @ £1979 owed - Just got it below its limit
Vanquis CC £20 @ £550 owed
Capital 1 CC £20 @ £200 owed
Provident £12 pw @ £398 owed - Home collection

Fuel £90

Car Insurance £56

Personal Insurance £18

Wifes Driving Lessons £40 pw(2 hour lessons)Food £200

Gas/Elec £50 pm each - Costs more due to thier mistake so have to pay quaterly and seperately so no dual fuel savings im afraid
TV £12

Broadband £15

Phone £45

Road Tax £65 per year

MOT £45 per year

Mum Loan £30 @ £1000 owed

Friends £20 @ £500 owed

Fags £70

Christmas so far - £60

Thats all i can think of at the mo. Just to let you know, we own a 1.4 Seat Ibiza and i have 2 kids. We also have our brother living with us and he pays £100pm for rent and also buys all our Milk and Bread for the month. Any help would be greatly appreciated. We find that i pay all the bills with my wages at the beginning of the month and live off of my wifes. still very tight.

Merlot · 17 November 2007 at 1:50AM

Hi all,

This is the first time i have posted here even though i have read through the posts a few times. I do need help sorting out our finances. I feel like i am one of those who spend beyond my means though. Here is my SOA

Monthly income after Tax: £950
(Im in the army so my rent and income tax is taken before i get paid) - I am assume you mean council tax?

Wifes Income after Tax: £182 pw =£ 728 per month

Child Tax Credit: £25 after paying childminder (they owe us) - how much do they owe you?

Child Benefit: £120 every 4 weeks

Total = £1823 - This is a very good income.

HSBC Managed Loan £155 @ £11000 owed - do you have PPI (insurance on this loan, if you do its probably useless, look at martins advice on that one and cancel it).
Virgin CC £50 @ £1979 owed - Just got it below its limit
Vanquis CC £20 @ £550 owed
Capital 1 CC £20 @ £200 owed
Provident £12 pw @ £398 owed - Home collection

Fuel £90

Wifes Driving Lessons £40 pw(2 hour lessons) -

Food £200

Gas/Elec £50 pm each - Costs more due to thier mistake so have to pay quaterly and seperately so no dual fuel savings im afraid
TV £12

Broadband £15 - this is too high

Phone £45 - this is very high, again take alook at martins advice

Mum Loan £30 @ £1000 owed

Friends £20 @ £500 owed

Thats all i can think of at the mo. Just to let you know, we own a 1.4 Seat Ibiza and i have 2 kids. We also have our brother living with us and he pays £100pm for rent and also buys all our Milk and Bread for the month. Any help would be greatly appreciated. We find that i pay all the bills with my wages at the beginning of the month and live off of my wifes. still very tight.

Hi and welcome to the board, let me see if this is right, your income is £1823 per month and your outgoings are £ 892.50, and you say you are struggling, you must start a spending diary today and find out what the £1000 a month is being spend on.

Your telephone and Internet charges can be reduce, the Post office offer free weekend and evening calls for the price of line rental £9.99 a month, and some broadband providers start as little as £9.99 also.

If my calculations are correct, re: your income and outgoings, you could pay off the Vanquis card next month and still have enough money left for the reminder of the month.

Also I don't see Car tax, car servicing etc, is your car paid for or is it financed by one of the above?

I can really really see light at the end of the tunnel on this one, you are in a much better situation than most, you must start a spending diary and see where you are spending £1000 per month.

Can I ask a personal question, do you have problems obtaining credit? I just wondered as you have borrowed money from Vanquis and Provident? The Provident will not be a good APR, you could pay that one off in your next months pay packet by my calculations - see your on your way to becoming debt free.

Let me know if you have missed something off the SOA, and I will look at it again.

Merlot

Jeeves1983 · 17 November 2007 at 2:37AM

Yes i do have problems obtaining credit. I was bunking at friends and was left of the last cencus plus i was never put on any electoral roll either so had no credit history. when i did get credit i messed up. I also meant council tax yes. I smoke so that doesn't help and the car is serviced at work when the work vehicles are done. tax and mot are payed for as and when. unsure wether i have ppi on the loan. maybe. i just removed that from my virgin card hence why it is now under the limit but it took a £120 payment to manage it.

Jeeves1983 · 17 November 2007 at 2:39AM

also £18 on life insurance. £56 on car ins.

Merlot · 17 November 2007 at 2:41AM

Jeeves1983 wrote: »

Yes i do have problems obtaining credit. I was bunking at friends and was left of the last cencus plus i was never put on any electoral roll either so had no credit history. when i did get credit i messed up. I also meant council tax yes. I smoke so that doesn't help and the car is serviced at work when the work vehicles are done. tax and mot are payed for as and when. unsure wether i have ppi on the loan. maybe. i just removed that from my virgin card hence why it is now under the limit but it took a £120 payment to manage it.

Are you on the electoral roll now, have you tried to obtain a lower APR card recently. Can you do a full SOA including Cigarettes, tax and mot, christmas etc, there was a sticky SOA but at this moment I can't find it. What do you mean it took £120 payment to manage it (do you mean to remove the PPI?)

Merlot · 17 November 2007 at 2:42AM

Jeeves1983 wrote: »

also £18 on life insurance. £56 on car ins.

You snuck in there whilst I was typing, can you put these figures in your original post - press the edit button on your first post, so its all together.

Merlot

Jeeves1983 · 17 November 2007 at 2:50AM

Put it in. I removed the PPi as it was costing me £14 per month on top of interest and charges. Then i asked how much id need to get it under the limit without incurring any charges and it came to £120. so i paid it, went from being £2110 to £1979 or something like that with a limit of £2000.

Merlot · 17 November 2007 at 2:58AM

Thanks jeeves for that, I thought you meant that your were charged £120 for asking for the PPI to be removed.

I have edited my first post, you still have almost £1000 per month after you have paid your bills out, you must start a spending diary. I wish I had that income, we live on £1400 per month and my mortgage is £580 per month, so that leaves us with £820 per month for all bills, etc, what I am trying to say is and I have a very good friend in the army based in Swindon just now, there is little chance he will be earning the same money once he leaves the army, cause if you take in account your rent and council tax, they are worth approx £600 per month, you need to curb your spending and re-pay your debts off as quickly as possible and then start saving before you leave the army.

Another thought, does the £200 a month food bill cover nappies etc. I am trying to help you realise where the money is going?

Jeeves1983 · 17 November 2007 at 3:03AM

i am thankful for your help. im trying to remember where it goes too. i think it does. ill have to sit down tomorrow and think about it. i will definately start a spending diary. ill have too. we both know we are terrible at popping into a shop for bread and coming out with bread and a choccy bar or a pudding. the provident loan is 65% i think. yes we borrowed £400 and have to pay back £660.

Merlot · 17 November 2007 at 3:08AM

Jeeves1983, there will be lots of people far more experienced than me on this board tomorrow, and they will advise you, do come back tomorrow and get their advice also. Try and think if there is anything else that needs to go onto the SOA, but you can think tomorrow morning, its far too late now, you have taken the first step to becoming debt free by posting tonight, sleep well.

Merlot

Provident loan 50%:eek: . Can you try and pay this off with Novembers pay, I know its almost christmas, and you have children, but this is an outrageous APR, will they let you pay off early and will they reduce your APR if you do.

Jeeves1983 · 17 November 2007 at 3:09AM

thanks mate. great help, just speaking to you has given me enthusiasm to start.

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