help 11,000 debt dont know what to do

lucysian

I know it doesnt sound like a lot bt when that is a years wages its mega!! Have defaulted from halfax loan and want to pay them off owe them 3000 but cant get anywhere to gve me that because Iam always defaulting!! Already have a loan with another bamk which I can cope with and one from welcome stealing finance!!! Where else can I get one to pay them off? HELP!!!

**Amy**

:hello:

Welcome to DFW.

WHat i would say first of all is to post your SOA (Statement of Affairs). Its basically a list of your income and all of your outgoings (gas/elec, rent/mortgage etc.) and your debts (how much you owe, the APR and how much you pay a month).

http://www.makesenseofcards.com/soacalc.html

This will really help you and us see how much you are spending out and maybe to offer some advice.

Secondly I think it would be highly unlikely that you would be able to get another loan/ credit card if you have been defaulting.

Have you got a copy of your credit report? May be worth getting a copy and having a look at what is on there.

Definitely do the SOA and we should be able to help you from there.

x

bank_of_slate

Hi Lucy and welcome too the site,
do a full SOA as Amy has already rightly said, then we can look at exactly how much you have free per month to offer your creditors.
Another loan should not be your first option, try not to panic, the good news is you have started the process of wanting to be debt free at a young age which is a good lesson to learn!

Feel free to post your SOA here so that we can help you, don't worry, no judgement here!
...Linda xx

lucysian

Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 1000
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1000

Monthly Expense Details
Mortgage................................ 0
Secured loan repayments................. 0
Rent.................................... 100
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 0
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 50
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 0
Clothing................................ 50
Petrol/diesel........................... 150
Road tax................................ 10
Car Insurance........................... 50
Car maintenance (including MOT)......... 50
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...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 50
Haircuts................................ 10
Entertainment........................... 200
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 720

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 3000
Other assets............................ 0
Total Assets............................ 3000

No Secured Debt

Unsecured Debts
Description....................Debt......Monthly...APR
bank...........................3000......257.......0
bank...........................5000......160.......0
welcome........................3000......177.......0
Total unsecured debts..........11000.....594.......-

Monthly Budget Summary
Total monthly income.................... 1,000
Expenses (including secured debts)....... 720
Available for debt repayments........... 280
Monthly UNsecured debt repayments....... 594
Surplus(deficit if negative)............ -314

Personal Balance Sheet Summary
Total assets (things you own)........... 3,000
Total Secured debt...................... -0
Total Unsecured debt.................... -11,000
Net Assets.............................. -8,000

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

======== Enter any other useful information below ========

e.g. the number of adults & children in the household, the number

of cars included in the SOA or anything else that may be useful.

lucysian

I havent paid one bank loan for 3 months and am default which is 800 pounds I needto pay today and i CANT!!! How shll I deal with this dont want parents to find out I live with them and things are tough
x

**Amy**

I think you need to contact CCCS (www.cccs.co.uk) or National Debt Line. These are FREE charity organisatons, and they should be able to help you sort out whats what.

The only things i can see are entertainment seem very high and possibly the birthdays, but even then that doesnt meet your payments.

Deffo contact the above people.

x

Hestia

£200 a month on entertainment - that's 20% of your income!!! and can surely be reduced to help eat into your repayments?

RAS

Some of this may seem a bit harsh, but you have got to start prioritising your debt - rent first, debts second and what is over can be allocated to other things.

Until your expenditure is less than your income,. you are going to be in trouble.

As a starter, do you really, really need a car?

lucysian wrote: »

Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 1000
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1000

Monthly Expense Details
Mortgage................................ 0
Secured loan repayments................. 0
Rent.................................... 100 Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 0
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 50 - this is massive - reduce the package and go PAYG ASAP
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 0
Clothing................................ 50 - in the short t-term, cut this out completely. Do clothes swaps with friends and explore freecycle.
Petrol/diesel........................... 150 - do you really need to do this much mileage, cut back, car share and walk short distnaces
Road tax................................ 10
Car Insurance........................... 50 - check the comparison sites and use quidco to swap
Car maintenance (including MOT)......... 50 - this looks a lot?
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...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 50 - reduce this by at least half - if you cannt aford you debts, you cannot afford presents
Haircuts................................ 10
Entertainment........................... 200 - cut this right back as you cannot afford it until you are on track with your debts
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 720

Your essential expenditure is half this, so you have laods to sort out your debts

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 3000
Other assets............................ 0
Total Assets............................ 3000

No Secured Debt

Unsecured Debts
Description....................Debt......Monthly...APR
bank...........................3000......257.......0
bank...........................5000......160.......0
welcome........................3000......177.......0
Total unsecured debts..........11000.....594.......-

You need to know the APRs and to indicate which debt you have not paid off.

Monthly Budget Summary
Total monthly income.................... 1,000
Expenses (including secured debts)....... 720
Available for debt repayments........... 280
Monthly UNsecured debt repayments....... 594
Surplus(deficit if negative)............ -314

Personal Balance Sheet Summary
Total assets (things you own)........... 3,000
Total Secured debt...................... -0
Total Unsecured debt.................... -11,000
Net Assets.............................. -8,000

First thoughts.

Things are not so much tough as you need to revise your priorities. Stop making telephone calls, stop driving other than essential journeys, stop buying clothes and presents and going out for the rest of the month and you should be able to make a payment to your creditor this month and pay a bit off the debt.

Can you sell anything on e-bay, amazon or at a car boot sale?

Can you take an extra job?

stabilo_3

Hi, I'm new to this site (hopefully I've posted a thread in the correct area) Basically I owe on 6 credits cards, a halifax loan, one store card (Argos) and have two over drafts! My total debt is in excess of £33,000 and I'm starting to struggle paying everything back as Ive just gone self employed. The reason for a large part of this debt is because I invested money into a property renovation (in my partners name) which hasnt proved successful due to the current market place.I own a property (which is in my name) however the mortgage is £170,000 and the current value is £170,000 so I have no equity.My credit rating is currently very good as I've never missed a payment nor had any defaults etc but this isnt going to last much longer, infact I cant pay my credit card bills this month (I pay the minimum only) and unfortunately my partners salary is so low he cant assist (plus he has debts of his own)I'm seriously thinking of an IVA and have read Martins advice however I'm still unsure what to do.....any suggestions would be great....thankyou

bank_of_slate

lucysian wrote: »

Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 1000
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1000

Monthly Expense Details
Mortgage................................ 0
Secured loan repayments................. 0
Rent.................................... 100
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 0
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 50 this is very high! swap provider or renegotiate
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 0
Clothing................................ 50 probably need to knock this down
Petrol/diesel........................... 150
Road tax................................ 10
Car Insurance........................... 50 I presume this is high because you're a young driver but look for a cheaper provider
Car maintenance (including MOT)......... 50 per month? does it need a lot of maintenance?
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...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 50 re-think this amount, cut down and be more creative with present ideas
Haircuts................................ 10
Entertainment........................... 200 again, cut this down - can you get your friends round for a home made curry & a dvd instead of going out - they bring the booze
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 720

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 3000
Other assets............................ 0
Total Assets............................ 3000

No Secured Debt

Unsecured Debts
Description....................Debt......Monthly...APR
bank...........................3000......257.......0
bank...........................5000......160.......0
welcome........................3000......177.......0
Total unsecured debts..........11000.....594.......-

Monthly Budget Summary
Total monthly income.................... 1,000
Expenses (including secured debts)....... 720
Available for debt repayments........... 280
Monthly UNsecured debt repayments....... 594
Surplus(deficit if negative)............ -314

Personal Balance Sheet Summary
Total assets (things you own)........... 3,000
Total Secured debt...................... -0
Total Unsecured debt.................... -11,000
Net Assets.............................. -8,000

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

======== Enter any other useful information below ========

e.g. the number of adults & children in the household, the number

of cars included in the SOA or anything else that may be useful.

Join https://www.seefilmfirst.com for free cinema tickets! and look out for ticket codes on the freebie no spend required board on this site.
...Linda xx

bank_of_slate

stabilo wrote: »

Hi, I'm new to this site (hopefully I've posted a thread in the correct area) Basically I owe on 6 credits cards, a halifax loan, one store card (Argos) and have two over drafts! My total debt is in excess of £33,000 and I'm starting to struggle paying everything back as Ive just gone self employed. The reason for a large part of this debt is because I invested money into a property renovation (in my partners name) which hasnt proved successful due to the current market place.I own a property (which is in my name) however the mortgage is £170,000 and the current value is £170,000 so I have no equity.My credit rating is currently very good as I've never missed a payment nor had any defaults etc but this isnt going to last much longer, infact I cant pay my credit card bills this month (I pay the minimum only) and unfortunately my partners salary is so low he cant assist (plus he has debts of his own)I'm seriously thinking of an IVA and have read Martins advice however I'm still unsure what to do.....any suggestions would be great....thankyou

Hi stabilo, you'll get more of a response if you start your own thread.
...Linda xx