reduce monthly outgoings any which way I can

monday_blues

hi everyone,

as times are hard, and all we hear day in day out, is the recession looming, I am panicking a bit, as over'committed, and wouldnt take much for it all to topple.

have been thinking how best i can reduce monthly outgoings and have still to post my soa (will do it later i promise)

One question I have, is, my mortage is split into different rates and over different lengths, all with the same lender though, but when one of my fixed rates was up in may i took out a new fixed on that part of the mortgage for 5 years. i also, in my wisdom, thought it would be best to reduce the term of my mortgage, by a few years. However, in this current climate, should i have kept the mortgage over a long period and the extra payment (about 50 pound a month more) I could overpay to some of my unsecured debt? Then once, i am debt free (which will be a while) then I can re-concentrate on reducing the term of my mortgage?

Any help would be most appreciated.

thanks,

rubydoiwannabee

Well it is certainly something to consider, as part of your overall picture. Why not keep it up your sleeve and see what other savings can be made? Without seeing your SOA it is difficult to comment, but if you found for example yourself with a deficit each month, the mortgage could be a quick and easy option to gain yourself £50.

Keep posting, you will get help from this site, it is just brilliant for support and encouragement.

monday_blues

Thanks for advice, sorry for delay in posting but was on holiday (I know, shouldnt have been on holiday but booked before LBM). Anyway, done the dreaded SOA now, here it is, any comments greatly appreciated.

Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 900
Partners monthly income after tax....... 1500
Benefits................................ 200
Other income............................ 0
Total monthly income.................... 2600

Monthly Expense Details
Mortgage................................ 674
Secured loan repayments................. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 177
Electricity............................. 32
Gas..................................... 60
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 59.5
Mobile phone............................ 30
TV Licence.............................. 11.37
Satellite/Cable TV...................... 29
Internet Services....................... 0
Groceries etc. ......................... 200
Clothing................................ 0
Petrol/diesel........................... 120
Road tax................................ 12.5
Car Insurance........................... 0
Car maintenance (including MOT)......... 4.16
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 15
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 29.92
Contents insurance...................... 0
Life assurance ......................... 84.33
Other insurance......................... 0
Presents (birthday, christmas etc)...... 40
Haircuts................................ 16.25
Entertainment........................... 70
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1665.03

Assets
Cash.................................... 200
House value (Gross)..................... 200000
Shares and bonds........................ 400
Car(s).................................. 2500
Other assets............................ 0
Total Assets............................ 203100

Secured Debts
Description....................Debt......Monthly...APR
Mortgage...................... 125000...(674)......5.79
Total secured debts........... 125000....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
abbey loan.....................19000.....320.3.....6
m&s loan.......................9000......135.9.....7
IF cc (life of bal)............3517.82...70.35.....10
Vertbaudet.....................64.38.....5.........17
Morgan Stanley.................3491.87...70........17

(Land_of)_Maz

it might be worth posting the mortgage question on the mortgage board as a seperate thing...

DFW's will be along to pick at your SOA and save you money... if your thread gets onto page 2-3 there's no harm in posting and giving it a wee bump again...

Also worth considering the up your income board, if you want to add to the pot, assuming you have capacity.....

Good luck! and keep posting....