Debt Help - New to site

jecn100

Hi
I'm looking for some help as I really do not know what to do with my debts.
I currently owe about 20k to four creditors.

I have one large loan 14k and 3 small loans, I have not heard from the large loan company for 3years, I have only have about £30 per month left and I have also tried a repayment scheme but this did not work.

Should I try and pay off my smaller loans hoping that my large loan will not come looking for the debt or should I consider going bankrupt (I do not own any property).

Any help would be great....

gettingbetter

jecn100
welcome to the board
post your soa and the experts will be hee soon
kas

fatbelly

Hi

An Soa would be useful.
In the meantime, have a look at this factsheet and see if you can identify a reason NOT to go bankrupt.

jecn100

Sorry here is my SOA.

Thanks



Monthly Income Details
Monthly income after tax £1,267
Partners monthly income after tax £0
Benefits £0
Other income £0
Total monthly income 1267

Monthly Expense Details
Council tax £156
Electricity £20
Water rates £9.95
Telephone (land line) £25
Mobile phone £15
TV Licence £11
Satellite/Cable TV £10 Includes Internet
Groceries etc £150
Clothing £23
Petrol/diesel £56
Road tax £11
Car Hire Purchase £224
Car Insurance £41.26
Car maintenance (including MOT) £25
Car parking £5
Other travel £10
Childcare/nursery £291.67
Presents (birthday, christmas etc) £14.5
Haircuts £4
Entertainment £30
Holiday £11
Hobbies £20
Books,magazines,CD's etc £6
Household and personal hygiene£14
Takeways,eating out, snacks £50
Total monthly expenses £1233.38

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

Unsecured Debts
Bank Of Scotland Loan £
Bank Of Scotland Overdraft £1812.34
Capital One Credit Card £1875.01
Barclaycard £602.07
Total unsecured debts £15,289.42

Monthly Budget Summary
Total monthly income £1267
Expenses £1233.38
Available for debt repayments £33.62

Net Assets £0

~Beanie~

jecn100 wrote: »

Sorry here is my SOA.

Thanks



Monthly Income Details
Monthly income after tax £1,267
Partners monthly income after tax £0
Benefits £0
Other income £0
Total monthly income 1267

Monthly Expense Details
Council tax £156 - That is big, do you have arrears?
Electricity £20
Water rates £9.95
Telephone (land line) £25
Mobile phone £15
TV Licence £11
Satellite/Cable TV £10 Includes Internet
Groceries etc £150 - For how many? If just yourself, you can cut this
Clothing £23 - this can be cut
Petrol/diesel £56
Road tax £11
Car Hire Purchase £224
Car Insurance £41.26
Car maintenance (including MOT) £25
Car parking £5
Other travel £10 - What is this?
Childcare/nursery £291.67
Presents (birthday, christmas etc) £14.5
Haircuts £4
Entertainment £30
Holiday £11 - You can't afford a holiday
Hobbies £20 - what is this for?
Books,magazines,CD's etc £6
Household and personal hygiene£14
Takeways,eating out, snacks £50 - You can get rid of this
Total monthly expenses £1233.38

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

Unsecured Debts
Bank Of Scotland Loan £
Bank Of Scotland Overdraft £1812.34
Capital One Credit Card £1875.01
Barclaycard £602.07
Total unsecured debts £15,289.42

Monthly Budget Summary
Total monthly income £1267
Expenses £1233.38
Available for debt repayments £33.62

Net Assets £0

I don't see anything for rent or mortgage? What are the monthly payments on your debts?

jecn100

Thanks for the reply

I currently live with my partner and son, so my partner currently pays the rent and that is why the groceries is also high and also have council tax arrears. As for the rest I should get rid of them apart from the cloths, I might not have any money but I think I should at least wear some cloths lol.

But if I took these items off the list this would leave me £124.62 left over and it would still take me about 10 years to pay off my debts. Any suggestions ???

Horace

Do you have clothes that you no longer wear? If so sell them on ebay.

The grocery bill can be cut down dramatically if you shop in value shops like Lidl (their food is just as good as Tesco or any of the other big 5). Look at Moneysaving Oldstyle board for tips on meal planning and grocery challenges - cut out the takeaways, making your own food is much nicer, tastier and cheaper.

Keep a spending diary so that you can see where you are frittering away money. Take packed lunches to work instead of buying them when you are there.

If you have a child, why are you not getting any benefits for it? The childcare element seems to be rather high when it would appear that your partner doesn't work.

Cut down your entertainment bill too - go to freebies board to find meal offers and cinema tickets.

jecn100

Sold all my old cloth's on ebay already to pay other bills, my partner does work and we do not get any benefits as we both earn over the threshold.

fatbelly

We're not getting the whole picture here. Could you re-visit this on a 'household' basis? Showing all the money coming in and all the money going out. Ta.

jecn100

My partner currently splits the house hold bills and the ones below are the bills I pay for from my wage, she also has her own debts which she is currently paying them of slowly. We are not married and the money she earns is classed as her own.

Hope this answers your question

Ta

masterkay

Snacks and Takeaways must go, you cannot afford that, it is not essential and you'll be healthier without them.
Holidays are a big no no, if you are in debt a holiday really should be off limits until you have got things under control.
With respect to clothing, we don't want you walking around naked but surely you have some existing clothes and can wear these, mend them, make them last a bit longer, shop in thrift stores etc to cut this down.
What are you hobbys? Can you cut back on this?
Landline seems a bit high, can you get a landline combined with TV and internet together? Virgin do 3 for £30 (£5 cheaper than what you are paying) and you may well get better than that.
Entertainment? What is this? Again sounds like a luxury that you can cut down on.
Next time your car insurance is up use comparison sites and quidco to get the best deals.

I think you would benefit from a spending diary to see where money is really going. You would be surprised how it all adds up.

Good job on posting and good luck.

Hygiene stuff try buying own brand on in bulk if on offer as that stuff does not have a use-by date.