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  • FIRST POST
    • martigem
    • By martigem 13th Jan 18, 12:04 PM
    • 10Posts
    • 3Thanks
    martigem
    £10 k debt
    • #1
    • 13th Jan 18, 12:04 PM
    £10 k debt 13th Jan 18 at 12:04 PM
    I have 3 credit cards which total £8,200 and our overdraft which is just over £1,000 any suggestion on the best way to reduce them down, we are just keeping up with the minimum payments and go over the arranged over draft somtimes, we dont have spare cash to pay more off. any suggestions.
Page 1
    • horseygirl2014
    • By horseygirl2014 13th Jan 18, 1:39 PM
    • 88 Posts
    • 451 Thanks
    horseygirl2014
    • #2
    • 13th Jan 18, 1:39 PM
    • #2
    • 13th Jan 18, 1:39 PM
    Knowing where your money is really going will really help.

    If you could do a statement of affairs that would really help give us some idea of where you can make savings.

    http://www.stoozing.com/calculator/soa.php

    is a calculator - please 'format for mse'
    Missing my money saving mojo.

    39.13/100/month - January 2018 make £10/day
    • Ilona
    • By Ilona 13th Jan 18, 8:56 PM
    • 2,002 Posts
    • 6,892 Thanks
    Ilona
    • #3
    • 13th Jan 18, 8:56 PM
    • #3
    • 13th Jan 18, 8:56 PM
    Hi. If you don't have any spare cash you need to find some, by either earning more, or spending less. If you fill out a Statement of Affairs as suggested, we can make suggestions where you might cut your spending so you have more to throw at the debt. Can you get a part time job? weekends, nights? No one can advise unless we see the full picture with your SOA.

    Ilona
    I love skip diving
    • martigem
    • By martigem 14th Jan 18, 6:54 AM
    • 10 Posts
    • 3 Thanks
    martigem
    • #4
    • 14th Jan 18, 6:54 AM
    martigem
    • #4
    • 14th Jan 18, 6:54 AM
    i will get all the details done over the weekend, thank you
    • martigem
    • By martigem 17th Jan 18, 11:25 AM
    • 10 Posts
    • 3 Thanks
    martigem
    • #5
    • 17th Jan 18, 11:25 AM
    soa as requested
    • #5
    • 17th Jan 18, 11:25 AM
    Statement of Affairs and Personal Balance Sheet

    Household Information

    Number of adults in household........... 3
    Number of children in household......... 4
    Number of cars owned.................... 1

    Monthly Income Details

    Monthly income after tax................ 1240
    Partners monthly income after tax....... 0
    Benefits................................ 555.32
    Other income............................ 0
    Total monthly income.................... 1795.32


    Monthly Expense Details

    Mortgage................................ 0
    Secured/HP loan repayments.............. 0
    Rent.................................... 440
    Management charge (leasehold property).. 0
    Council tax............................. 150
    Electricity............................. 151
    Gas..................................... 0
    Oil..................................... 0
    Water rates............................. 56
    Telephone (land line)................... 0
    Mobile phone............................ 65
    TV Licence.............................. 12.37
    Satellite/Cable TV...................... 0
    Internet Services....................... 0
    Groceries etc. ......................... 400
    Clothing................................ 30
    Petrol/diesel........................... 120
    Road tax................................ 26
    Car Insurance........................... 24
    Car maintenance (including MOT)......... 30
    Car parking............................. 0
    Other travel............................ 0
    Childcare/nursery....................... 0
    Other child related expenses............ 0
    Medical (prescriptions, dentist etc).... 0
    Pet insurance/vet bills................. 0
    Buildings insurance..................... 0
    Contents insurance...................... 5.26
    Life assurance ......................... 0
    Other insurance......................... 0
    Presents (birthday, christmas etc)...... 75
    Haircuts................................ 20
    Entertainment........................... 20
    Holiday................................. 88
    Emergency fund.......................... 0
    pets.................................... 10
    tv, broadband, phone.................... 31.98
    school trips etc........................ 10
    Total monthly expenses.................. 1764.61



    Assets

    Cash.................................... 0
    House value (Gross)..................... 0
    Shares and bonds........................ 0
    Car(s).................................. 0
    Other assets............................ 0
    Total Assets............................ 0


    No Secured nor Hire Purchase Debts


    Unsecured Debts
    Description....................Debt......Monthly.. .APR
    Natwest........................1077.68...26.4..... .17.43
    Barclay Card...................5734.24...131.9.....15.7
    Tesco..........................1310.23...26....... .19.94
    bank over draft................1450......0.........0
    ace............................269.77....15....... .0
    Very...........................380.25....26.62.... .47.9
    Littlewoods....................572.05....73.68.... .0
    Total unsecured debts..........10794.22..299.6.....-



    Monthly Budget Summary

    Total monthly income.................... 1,795.32
    Expenses (including HP & secured debts). 1,764.61
    Available for debt repayments........... 30.71
    Monthly UNsecured debt repayments....... 299.6
    Amount short for making debt repayments. -268.89


    Personal Balance Sheet Summary
    Total assets (things you own)........... 0
    Total HP & Secured debt................. -0
    Total Unsecured debt.................... -10,794.22
    Net Assets.............................. -10,794.22



    i work 5 days a week (40 hours) and my days are not the same each week, but i will start doing extra hours during march to june during a busier time of year doing 6 days maybe 7 days a week.
    we have 5 children aged 3 week up to 18 years old.
    the 18 year old goes to university 1 day a week and works 4 days paid as part of the course.
    • lika_86
    • By lika_86 17th Jan 18, 11:30 AM
    • 1,222 Posts
    • 4,354 Thanks
    lika_86
    • #6
    • 17th Jan 18, 11:30 AM
    • #6
    • 17th Jan 18, 11:30 AM
    Do you take a contribution to household bills from the 18 year old?
    • Ebe Scrooge
    • By Ebe Scrooge 17th Jan 18, 11:42 AM
    • 4,040 Posts
    • 3,453 Thanks
    Ebe Scrooge
    • #7
    • 17th Jan 18, 11:42 AM
    • #7
    • 17th Jan 18, 11:42 AM
    Your electricity seems high. I'm assuming you're all-electric since you have nothing down for gas or oil ? But can this be reduced at all by being more careful with usage, and seeing if you can switch to a cheaper supplier or tariff ?


    Aside from that, the following look pretty high :


    Presents (birthday, christmas etc)...... 75
    Haircuts................................ 20
    Entertainment........................... 20
    Holiday................................. 88



    The presents in particular - that's an awful lot every month and can easily be cut dramatically. Holiday - if you really want to tackle the debt then holidays will have to be placed on the back burner for a while. As always, it comes down to what your priorities are - are you prepared to make some sacrifices in order to kill the debt more quickly ?


    Hope this helps.
    I may not know much about art, but I know what I like.
    • martigem
    • By martigem 17th Jan 18, 11:47 AM
    • 10 Posts
    • 3 Thanks
    martigem
    • #8
    • 17th Jan 18, 11:47 AM
    reply
    • #8
    • 17th Jan 18, 11:47 AM
    no we don't at the moment, we have been thinking of asking for rent but unsure of how much to ask for maybe £25 per week?? any suggestions
    • fatrab
    • By fatrab 17th Jan 18, 11:59 AM
    • 164 Posts
    • 305 Thanks
    fatrab
    • #9
    • 17th Jan 18, 11:59 AM
    • #9
    • 17th Jan 18, 11:59 AM
    How much does the 18yr old earn, I'd say 10% to you for rent and 10% into their savings.
    LBM Dec 2017 - Wannabe debt free by Dec 2022 - Wannalose 3st in the process - 10lbs lost so far
    10 x £2 coins (#32) - 10/12 NSD in January
    • martigem
    • By martigem 17th Jan 18, 11:59 AM
    • 10 Posts
    • 3 Thanks
    martigem
    electric bill
    the electric is cobined with the gas that is what we pay monthly for both, i have contacted them we are around £800 in credit, but we have to wait untill our next bill at the end of the month to get any refund.
    we are looking at all our outgoing to save as much as we can.
    • martigem
    • By martigem 17th Jan 18, 12:10 PM
    • 10 Posts
    • 3 Thanks
    martigem
    rent
    she earns around £800 to £1000 per month so yes the 10% would help and it is a great idea to get her to save 10% as well
    • copperclock
    • By copperclock 17th Jan 18, 12:11 PM
    • 258 Posts
    • 298 Thanks
    copperclock
    If you're £800 in credit then you should be able to drop your DD quite considerably.

    You don't need to put a title for the replies you make to the thread.
    • martigem
    • By martigem 17th Jan 18, 12:14 PM
    • 10 Posts
    • 3 Thanks
    martigem
    i would say after the next gas and electric bill we will have around £400 ish credit
    • copperclock
    • By copperclock 17th Jan 18, 12:18 PM
    • 258 Posts
    • 298 Thanks
    copperclock
    Are you getting all the benefits that you are entitled to?
    • DCFC79
    • By DCFC79 17th Jan 18, 12:19 PM
    • 30,645 Posts
    • 19,372 Thanks
    DCFC79
    Mobile phone is high at £65, can this be reduced ?
    What does it cover ?
    Can people stop loaning money/being a guarator to family/friends, it rarely ends well and you lose out as your money is gone or you get shafted with being a guarantor.
    • martigem
    • By martigem 17th Jan 18, 12:21 PM
    • 10 Posts
    • 3 Thanks
    martigem
    we are getting child benefit and tax credit, we are waiting to here back about maternity allowance for my wife.
    • fatrab
    • By fatrab 17th Jan 18, 12:23 PM
    • 164 Posts
    • 305 Thanks
    fatrab
    she earns around £800 to £1000 per month so yes the 10% would help and it is a great idea to get her to save 10% as well
    Originally posted by martigem
    Lack of financial education got a lot of us into the situations we're in today, would be good to teach her not to make the same mistakes
    LBM Dec 2017 - Wannabe debt free by Dec 2022 - Wannalose 3st in the process - 10lbs lost so far
    10 x £2 coins (#32) - 10/12 NSD in January
    • martigem
    • By martigem 17th Jan 18, 12:26 PM
    • 10 Posts
    • 3 Thanks
    martigem
    the mobile phone bill is for 4 phones free calls and text, so we don't need to use a landline, we are tied to the contracts until november.
    • andydownes123
    • By andydownes123 17th Jan 18, 12:30 PM
    • 140 Posts
    • 241 Thanks
    andydownes123
    Gas and Electric are high - should be a half-third of that really. Considering you have £400 credit and we're half way through winter I'd say that you are paying way too much. Your credit should be getting towards zero in the next few months, ready to be built up over the summer.
    • martigem
    • By martigem 17th Jan 18, 12:32 PM
    • 10 Posts
    • 3 Thanks
    martigem
    they need to teach this in schools
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