Sinking Fast And Dont Know What To Do

blackclouds

After many years of reading these boards I have finally registered and need help or advice.

Basically I have been self employed for a number of years and things have been tough but over the last 6 months it has become unmanageable and I have built up loads of personal debt trying to save myself, unfortunately about 6 weeks ago it all went pear shaped and I can no longer fund the business or indeed anything else.

I have £13,500 of credit card debt £1,500 overdraft £400 business debt, a van on HP that is not worth what I still owe and an o/s mortgage of £64,000.

I have my house up for sale and theoretically it is worth £85,000 and if this happened I could just about pay everything off save about £1500 but I have no income, no savings and no way of making my bills or even buying my groceries. Until the house sells I have no way of surviving, I am applying for 10-15 jobs a day but getting nowhere (been 3 months of this and only 1 reply and that was a no, even many employment agencies will not put me on books due to the self employment period).

I am at my wits end and dont know where to turn, I have no idea about how to deal with my creditors, how to claim benefit until I can get employment or the like. Added to this my ex is threatening to deny me access to my child unless I continue to pay the rate of child support I have always paid.

I just need a couple of months respite to sell the house, market is so tough at the moment, but how do I survive until then.

Help !!!!!!!!!!!!!!!!

Oh yes havent done an SOA as I have no income at this time

marsupial_mama

I am newbie at this as well, but just wanted to say good luck with sorting problems out
I am sure seasoned members will be along to offer some advice and information. Hang in there!

Andreja

fudgecat

If I have understood the rights of parents correctly there should be no correlation between your rate of financial support and your access to your children. You need to seek advice urgently with Citizens Advice Bureau, who will also be able to advise you on ways to communicate with your creditors. You also need to consider a debt management plan - make sure you use one of the non profit making agencies. I hope that you find the help and advice that you need.

blackclouds

fudgecat wrote: »

If I have understood the rights of parents correctly there should be no correlation between your rate of financial support and your access to your children. You need to seek advice urgently with Citizens Advice Bureau, who will also be able to advise you on ways to communicate with your creditors. You also need to consider a debt management plan - make sure you use one of the non profit making agencies. I hope that you find the help and advice that you need.

Hi - yep off to Citizens Advice in morning so hopefully get a better understanding of my options.

Re the rights of parents this is correct however I have been trying to have ex agree on terms for 6 years and everytime we get close the goalposts get moved, Im out over £10k and worse off access wise than when it started. If I disagree with anything I get hit with a penalty, ie lost midweek access night a few years back because of disagreement over school shoes I was buying that were not the ones she wanted me to buy. If I drop the child support amount although I will be entitled to it getting reinstated try getting a lawyer to move at speed and seeing my wee one at the weekend is the only reason I carry on just now so I cant face weeks of fighting to get access reinstated, easier to play ball for the time being - I have no fight left in me ......

Horace

Ring up your local jobcentre and make an appointment to see them with a view to claiming JSA. You will need to take your passport, details of any bills eg. council tax (for your address), bank statements going back 3 months, details of all accounts that you hold.

Do food shopping in Lidl as your money will stretch further than if you shopped in Tesco - my last shop was £21.20 and I bought a huge box full of stuff (they don't do baskets only trollies and I couldnt be bothered to rummage for a pound).

Not many folks on here tonight - the other DFWs will be around later on this morning and they are more expert than me on such matters..

Sue-UU

Hi blackclouds and a warm welcome.

A bit of a mess indeed, but whatever you do, do NOT despair! It seems quite black at present, especially at the present time, but if you can get yourself sorted out with a Debt Management Plan then you'd obviously be far better off and put a halt to your worries. Try Citizens Advice Bureau as fudgecat advises, they're great for pointing you in the right direction.

I know you say you have no real income as such at present, but if you go to www.makesenseofcards.com and still fill in your expenditure there may well be things you're paying out for that we could possibly help you with. Give it a try... you have nothing to lose and may just gain a few tips! I always find this video a real help it helps you to remember that you're by no means alone with your finances, you'd be amazed at just how many of us are in the same, or similar, boat as you. So hang on and no doubt things will soon become more manageable for you with help from the right folk. You and your little one will soon be able to look ahead to a brighter future once you get those clouds lifted.

Please let us know how you're getting on.

Sue

blackclouds

Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 0
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 1 Had to put in 1 for this to work
Total monthly income.................... 1

Monthly Expense Details
Mortgage................................ 394
Secured loan repayments................. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 90
Electricity............................. 20
Gas..................................... 10
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 12
Mobile phone............................ 60 Only on month 10 of 24 month contract - business tarrif
TV Licence.............................. 12
Satellite/Cable TV...................... 0
Internet Services....................... 17 Know I can get cheaper but all CV's etc have the email addy for this ISP on them
Groceries etc. ......................... 65 Mmmmmm pasta
Clothing................................ 5 Nothing except odd essential
Petrol/diesel........................... 30
Road tax................................ 15
Car Insurance........................... 45
Car maintenance (including MOT)......... 15
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 175 Child Maintenance
Medical (prescriptions, dentist etc).... 6
Pet insurance/vet bills................. 0
Buildings insurance..................... 10
Contents insurance...................... 14
Life assurance ......................... 53
Other insurance......................... 0
Presents (birthday, christmas etc)...... 5 Just mindings for wee one, everyone else knows they get nothing
Haircuts................................ 6
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1059

Assets
Cash.................................... 0
House value (Gross)..................... 85000
Shares and bonds........................ 0
Car(s).................................. -2000
Other assets............................ 0
Total Assets............................ 83000

Secured Debts
Description....................Debt......Monthly...APR
Mortgage...................... 64000....(394)......6
Total secured debts........... 64000.....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
CC1............................6200......155.......0
CC2............................7300......175.......0
HP Agreement ..................9667......254.......0
Total unsecured debts..........23167.....584.......-

Monthly Budget Summary
Total monthly income.................... 1
Expenses (including secured debts)....... 1,059
Available for debt repayments........... -1,058
Monthly UNsecured debt repayments....... 584
Surplus(deficit if negative)............ -1,642

Personal Balance Sheet Summary
Total assets (things you own)........... 83,000
Total Secured debt...................... -64,000
Total Unsecured debt.................... -23,167
Net Assets.............................. -4,167

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

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

No interest rates added as too late to go raking for stuff

1 Van on HP, 1 person in household, 1 cat



Christ this looks worse than I thought lol, ah well at least its done now

Horace

Blackcloud - can you take in a lodger?

I am bumping this up too so that the day shift can see it.

dawnybabes

Have you look at www.entitledto.co.uk this might point you in the right direction to claim some benefits.

blackclouds

Horace wrote: »

Blackcloud - can you take in a lodger?

I am bumping this up too so that the day shift can see it.

Not possible as the property is 1 bedroom

Had a look at entitled to website, it all seems so helpless as I dont really understand the benefits system I need to get to Citizens Advice and get help but slept in again as again I couldnt get to sleep last night, coffee, shower and then get to CAB is the plan right now

Burp_2

Hi Blackcloud ...

I hope it goes well at the CAB this morning for you

We're sort of in a similar situation to you... OH is self employed ... and work has been dropping off since january/February until the last couple of months he has had virtually nothing

He has a reasonable amount of debt on a credit card (only making minimum payment) and he cant get a 0% to transfer it to as we bought our first house in March and we havent lived here long enough for him to apply for another credit card

He also has a lot of outgoings for his business ... payments on his van, insurance, liability insurance, gap insurance, mobile phone, petrol costs etc etc

He's been searching for jobs for the last 2 months ... sending his CV out at least 5 - 10 times a day ... he's had 2 very promising interviews but each time somebody older and with more experience has got the job over him he's gutted


He's in the same boat as you - everyones put off by the fact he's been self employed

It's worrying me at the moment as I have a good job but even my money will only just covers mortgages and bills not taking into account any of my outgoings or food etc or unexpected expenses

I'd be interested to hear the CABS advice for you?

Burp x