Need help urgently!

DeepintheRed

New to this site but as I'm in the same boat as many others, I need to get some help from people in the know. I know I've made some really bad errors of judgement when it comes to money and loans/credit cards etc. and it's now just about too late. Things were going great in September '07 when I started working with a friend as a training company but after the first good contract offered to us by my friend's "friend" with the promise of similar to follow, things haven't turned out that well. So having got carried away with the promise of a pot of gold, it's all turned sour.

I've put together my SOA and it makes pretty bad reading :
Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 1633
Partners monthly income after tax....... 580
Benefits................................ 116
Other income............................ 0
Total monthly income.................... 2329

Monthly Expense Details
Mortgage................................ 932
Secured loan repayments................. 601
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 145
Electricity............................. 50
Gas..................................... 50
Oil..................................... 0
Water rates............................. 51
Telephone (land line)................... 28
Mobile phone............................ 30
TV Licence.............................. 20
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 300
Clothing................................ 50
Petrol/diesel........................... 50
Road tax................................ 20
Car Insurance........................... 20
Car maintenance (including MOT)......... 20
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 5
Pet insurance/vet bills................. 0
Buildings insurance..................... 25
Contents insurance...................... 0
Life assurance ......................... 28
Other insurance......................... 0
Presents (birthday, christmas etc)...... 5
Haircuts................................ 5
Entertainment........................... 10
Holiday................................. 10
Emergency fund.......................... 0
Total monthly expenses.................. 2455

Assets
Cash.................................... 0
House value (Gross)..................... 193500
Shares and bonds........................ 0
Car(s).................................. 5000
Other assets............................ 0
Total Assets............................ 198500

Secured Debts
Description....................Debt......Monthly...APR
Mortgage...................... 134000...(932)......5.49
Secured Debt.................. 74790....(601)......8.51
Total secured debts........... 208790....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Credit cards (Egg).............6750......165.......16.9
Credit card (NatWest)..........3476......67........15.9
Credit card (Cap One)..........7476......225.......14.88
Personal loan (Egg)............13068.....315.......9.51
Personal loan (NatWes..........28403.....364.......7.9
Credit card (Sky)..............860.......25........16.9
Total unsecured debts..........60033.....1161......-

Monthly Budget Summary
Total monthly income.................... 2,329
Expenses (including secured debts)....... 2,455
Available for debt repayments........... -126
Monthly UNsecured debt repayments....... 1,161
Surplus(deficit if negative)............ -1,287

Personal Balance Sheet Summary
Total assets (things you own)........... 198,500
Total Secured debt...................... -208,790
Total Unsecured debt.................... -60,033
Net Assets.............................. -70,323

Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission.

The secured loan is with Picture and although we've paid them over 18K in 3 years, they tell me a redemption figure is still almost 75K with all their charges added on. Do other members have a similar story?

We're selling the house and the car to try to salvage something, but in these times, it's a case of if rather than when for the house.

Any help would be appreciated - is there no alternative but bankruptcy? Debt management through a non-fee organisation has been refused.

RAS

Hi

Which non-fee organisation?

Gemmzie

I think you really need to speak to CCCS or Payplan

You're in a serious negative equity situation. Would bankruptcy affect your job?

RAS

DeepintheRed wrote: »

New to this site but as I'm in the same boat as many others, I need to get some help from people in the know. I know I've made some really bad errors of judgement when it comes to money and loans/credit cards etc. and it's now just about too late. Things were going great in September '07 when I started working with a friend as a training company but after the first good contract offered to us by my friend's "friend" with the promise of similar to follow, things haven't turned out that well. So having got carried away with the promise of a pot of gold, it's all turned sour.

I've put together my SOA and it makes pretty bad reading :
Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 1633
Partners monthly income after tax....... 580
Benefits................................ 116
Other income............................ 0
Total monthly income.................... 2329

Monthly Expense Details
Mortgage................................ 932
Secured loan repayments................. 601
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 145
Electricity............................. 50
Gas..................................... 50
Oil..................................... 0
Water rates............................. 51
Telephone (land line)................... 28
Mobile phone............................ 30
TV Licence.............................. 20
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 300
Clothing................................ 50 - stop psending on this
Petrol/diesel........................... 50
Road tax................................ 20
Car Insurance........................... 20
Car maintenance (including MOT)......... 20
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 5
Pet insurance/vet bills................. 0
Buildings insurance..................... 25
Contents insurance...................... 0
Life assurance ......................... 28
Other insurance......................... 0
Presents (birthday, christmas etc)...... 5
Haircuts................................ 5
Entertainment........................... 10
Holiday................................. 10
Emergency fund.......................... 0
Total monthly expenses.................. 2455

Assets
Cash.................................... 0
House value (Gross)..................... 193500
Shares and bonds........................ 0
Car(s).................................. 5000
Other assets............................ 0
Total Assets............................ 198500

Secured Debts
Description....................Debt......Monthly...APR
Mortgage...................... 134000...(932)......5.49
Secured Debt.................. 74790....(601)......8.51
Total secured debts........... 208790....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Credit cards (Egg).............6750......165.......16.9
Credit card (NatWest)..........3476......67........15.9
Credit card (Cap One)..........7476......225.......14.88
Personal loan (Egg)............13068.....315.......9.51
Personal loan (NatWes..........28403.....364.......7.9
Credit card (Sky)..............860.......25........16.9
Total unsecured debts..........60033.....1161......-

Monthly Budget Summary
Total monthly income.................... 2,329
Expenses (including secured debts)....... 2,455
Available for debt repayments........... -126
Monthly UNsecured debt repayments....... 1,161
Surplus(deficit if negative)............ -1,287

Personal Balance Sheet Summary
Total assets (things you own)........... 198,500
Total Secured debt...................... -208,790
Total Unsecured debt.................... -60,033
Net Assets.............................. -70,323

Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission.

The secured loan is with Picture and although we've paid them over 18K in 3 years, they tell me a redemption figure is still almost 75K with all their charges added on. Do other members have a similar story?

We're selling the house and the car to try to salvage something, but in these times, it's a case of if rather than when for the house.

Any help would be appreciated - is there no alternative but bankruptcy? Debt management through a non-fee organisation has been refused.

Have you spoken to any of the debt charities? CCCS, NDL or CAB?

You can do the CCCS debt remedy on-line if that helps.

tenaj_2

DeepintheRed wrote: »

New to this site but as I'm in the same boat as many others, I need to get some help from people in the know. I know I've made some really bad errors of judgement when it comes to money and loans/credit cards etc. and it's now just about too late. Things were going great in September '07 when I started working with a friend as a training company but after the first good contract offered to us by my friend's "friend" with the promise of similar to follow, things haven't turned out that well. So having got carried away with the promise of a pot of gold, it's all turned sour.

I've put together my SOA and it makes pretty bad reading :
Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 1633
Partners monthly income after tax....... 580
Benefits................................ 116
Other income............................ 0
Total monthly income.................... 2329

Monthly Expense Details
Mortgage................................ 932
Secured loan repayments................. 601
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 145
Electricity............................. 50
Gas..................................... 50
Oil..................................... 0
Water rates............................. 51
Telephone (land line)................... 28
Mobile phone............................ 30
TV Licence.............................. 20
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 300
Clothing................................ 50
Petrol/diesel........................... 50
Road tax................................ 20
Car Insurance........................... 20
Car maintenance (including MOT)......... 20
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 5
Pet insurance/vet bills................. 0
Buildings insurance..................... 25
Contents insurance...................... 0
Life assurance ......................... 28
Other insurance......................... 0
Presents (birthday, christmas etc)...... 5
Haircuts................................ 5
Entertainment........................... 10
Holiday................................. 10
Emergency fund.......................... 0
Total monthly expenses.................. 2455

Assets
Cash.................................... 0
House value (Gross)..................... 193500
Shares and bonds........................ 0
Car(s).................................. 5000
Other assets............................ 0
Total Assets............................ 198500

Secured Debts
Description....................Debt......Monthly...APR
Mortgage...................... 134000...(932)......5.49
Secured Debt.................. 74790....(601)......8.51
Total secured debts........... 208790....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Credit cards (Egg).............6750......165.......16.9
Credit card (NatWest)..........3476......67........15.9
Credit card (Cap One)..........7476......225.......14.88
Personal loan (Egg)............13068.....315.......9.51
Personal loan (NatWes..........28403.....364.......7.9
Credit card (Sky)..............860.......25........16.9
Total unsecured debts..........60033.....1161......-

Monthly Budget Summary
Total monthly income.................... 2,329
Expenses (including secured debts)....... 2,455
Available for debt repayments........... -126
Monthly UNsecured debt repayments....... 1,161
Surplus(deficit if negative)............ -1,287

Personal Balance Sheet Summary
Total assets (things you own)........... 198,500
Total Secured debt...................... -208,790
Total Unsecured debt.................... -60,033
Net Assets.............................. -70,323

Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission.

The secured loan is with Picture and although we've paid them over 18K in 3 years, they tell me a redemption figure is still almost 75K with all their charges added on. Do other members have a similar story?

We're selling the house and the car to try to salvage something, but in these times, it's a case of if rather than when for the house.

Any help would be appreciated - is there no alternative but bankruptcy? Debt management through a chas been refused.

I am to some extent in a similar position, a single parent (divorced with a dependant teen) I have dealt with the Citizens Advice Bureau who did give me a contact for a non fee company who when they worked out my figures left me with no leeway for emergencies, enjoyment or survival. I went back to the CAB and they worked out statement of what I could afford this was accepted by all the companies I listed, currently coming up for re-discussion unfortunately theres no improvement in my finances in fact they are worst but Iam trying to keep my home together.
I noticed you have no contents insurance listed - your petrol/diesel is also I believe under calculated. If you approach an advisory such as the CAB they will give you a clearer idea, most card companies will accept a reduced payment often with 'suspended' interest - same with loans - on the face things usually feel worst than they are, be prepared for some companies to 'sell on' your debts others will stop interest charges and penalties being charged.
Whatever action you take good luck, with our companies current payrise decision - worth 21p per hour dont reckon i will be breaking any records I need my house for the next 5 years....you have a choice is it to be or :j good luck either way

sparky0107

Hi deepinthered,
Does the loan with picture include PPI, if so try the loans discussion thread, and see about cancelling PPI and also reclaiming it.

Good Luck

DeepintheRed

Thank you all for your comments so far.
RAS - This was Debt Advice Bureau. I tried CCCS on-line but with the negative figures they said the same as DAB. Note your comment about clothing - we don't need to spend anything like that amount.
Tenaj - Buildings & Contents insured together, maybe petrol/diesel should be higher but selling one car might help (we live in a village and need a car - public transport is very limited).
Sparky - The loan does include PPI - in September/October we're supposed to be getting a 25% rebate (about £3250) so I'll look at the loans thread.
Gemmzie - Waiting for Payplan, haven't spoken to Citizens Advice. I'm looking for a new job and although I've had one offer it's a similar wage but with more travelling that needs a car.

Thank you all for your suggestions so far.

Fin1_2

we were in a similar position a year ago although just went straight for the house sale as we thought all of our problems would be over once we sold it (small amount of equity) - we didn't do any real budgeting though and at the beginning of this year were struggling to keep up with all of the unsecured debt we still had - paid off some of it with the equity but didn't have too much left once the mortgage, secured debt, tax and family debt was paid off.

Like you I was in a business with others and when the money came in it came rolling in - when it didn't we were up a gum tree and the gum tree times became much more frequent than the rolling in times! Am now working in full-time employment and although not as lucrative, I am guaranteed a monthly salary which is bliss and much easier to budget on.

We are now on a DMP and I don't think we would have been able to if we still had the mortgage, secured debt and tax bill.

After sticking our head in the sand for years, it is amazing that now we are on the programme and are looking at every penny closely, you see how badly the banks etc rip you off. We are about to claim our bank charges and I reckon that even a part payment will pay off the 10,000 overdraft. We had a loan that we were only paying interest on and over the past 11 years have paid off over 4000 more than the loan was worth in interest alone! Have asked for the cca and am hoping they do not come up with the goods!

Its incredible how easy it is to let the whole thing spiral out of control and how much money we have just let financial institutions take from us over the years in charges and interest and its only being in this position that we have started to take responsibility and really looked at what has been happening.

Stick with it and it will get sorted one way or another. Has your house been sold yet?

DeepintheRed

We have only just sat down to consider our financial position so we're not actually behind with any payments - although we may be at the end of this month! We haven't put the house up for sale yet but have 5 estate agents coming to value it (The £193000 on the SOA is the highest valuation so far) and we will be doing it shortly.
Even if we do sell quickly - or long-term given the present climate - we'll still have outstanding debt thanks to Picture!

peachyprice

Hi DITR,

Before you forge ahead with a sale you need to speak to Picture, due to your negative equity they can stop you from selling. This is something you need to discuss with them before you get yourself landed with solicitors costs etc.,

lynzpower

have you actually been saving for holidays at 50pcm? If so please pull this money out of the bank and pay off your highest APR card NOW!

I dont think holidays should be on your horizon for a little while....

But I do agree you need to seriously speak to picture asap to find out if you are able to sell or not?