My sorry looking SOA

Pippilongstocking

Sorry hugs to you and well done, not meant to sound like a mini lecture!!

Goodluck, stick with this its awesome - I foudn myself looking really hard at all of our spending and for the first few months in a long time I am within my budget (a hairs breath) but not over my overdrafts etc

pepe2008

I'm no help on the personal side, just ask my OH!!

But, if you decide on a repayment plan, you already have money with which to pay your debts within your current budget and you are doing something about it..well done:T

Assuming your boyf knows your situation, book a pre-appointed phone call with CCCS ( e.g) and have the phone on loudspeaker, this may be a good way of him becoming more involved...I had to do that because I was hiding my debts from OH and she insisted that everything was transparent.
Crikey, that almost sounds like good advice must have a lie down.

mbs1

butterfly_01 wrote: »

Monthly Income Details
Monthly income after tax................ 1066
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 320
Total monthly income.................... 1386

Monthly Expense Details
Mortgage................................ 0
Secured loan repayments................. 0
Rent.................................... 575
Management charge (leasehold property).. 0
Council tax............................. 115
Electricity............................. 40 This is high, have you tried switching?
Gas..................................... 40 Same as Above
Oil..................................... 0
Water rates............................. 10
Telephone (land line)................... 0
Mobile phone............................ 30
TV Licence.............................. 0 No TV?
Satellite/Cable TV...................... 0
Internet Services....................... 0 Ditto?
Groceries etc. ......................... 200 this is high for just 2 people, have a look at the old style board. for ideas
Clothing................................ 0 No clothes at all?
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 65
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0 Shouldnt there be something here?
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 10
Haircuts................................ 0
Entertainment........................... 0 Do you not go out?
Holiday................................. 0
Emergency fund.......................... 0
pc world agreement for pc............... 25
Total monthly expenses.................. 1110

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

No Secured Debt

Unsecured Debts
Description....................Debt......Monthly...APR
credit cards...................10600.....268.......0
loan...........................7500......122.......0
overdrafts.....................4000......0.........0
Total unsecured debts..........22100.....390.......-

Monthly Budget Summary
Total monthly income.................... 1,386
Expenses (including secured debts)....... 1,100
Available for debt repayments........... 286
Monthly UNsecured debt repayments....... 390
Surplus(deficit if negative)............ -104

Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total Secured debt...................... -0
Total Unsecured debt.................... -22,100
Net Assets.............................. -22,100

Just a few things to look at, but well done for posting up, you've taken the first step.

RAS

Butterfly

I can see where you are coming from and plainly uoi would be in even deeper doo doo if he went, but the stark fact is that you can only afford to live in the flat if you can get enough income to afford your bills.

Which would be OK if you did not have the debts as well.

But you do, so you need to cut your expenditure or up your income until you can afford to repay the debts and then some to pay off the principle as well.

Do you have anything you can sell on amazon, e-bay or at a car-boot sale? Can you take a second job?

Have a good look at the Money Saving Old Style forum - there is a terrifying thread where one poster is trying to feed a family of 4 on the contents of the cupboards and freezer plus £20 spending money, for a month.

Also read boost your income tab above.

Dithering_Dad

What did you spend the £22k on? Is there anything you bought that you could put on ebay to raise money?

You have a disposible income of £276 and net assets of -22,100, which means that even if all of your disposible income went onto debt repayment, it'd take you 7 years to pay it all back. It might be better to go bankrupt or go onto an IVA and be rid of the problem in 6 or 5 years respectively.

While you're at it, I'd get rid of your boyfriend. He doesn't sound like a very good catch does he?

pepe2008

Lets not too judgemental here shall we?

How the debt was amassed is not the problem, how it is to be adressed IS.

The boyf needs to get involved and face his own fears and misconceptions about Debt Repayment Charities....terrible thing that, misconception.

7 years to repay is not unreasonable, I'm sure that there are many, like me, out there who have got plans which will take longer to complete.

IVA/ Bankruptcy? Do you, really, honestly think so??? Didnt think so.

Dithering_Dad

pepe2008 wrote: »

Lets not too judgemental here shall we?

How the debt was amassed is not the problem, how it is to be adressed IS.

The boyf needs to get involved and face his own fears and misconceptions about Debt Repayment Charities....terrible thing that, misconception.

7 years to repay is not unreasonable, I'm sure that there are many, like me, out there who have got plans which will take longer to complete.

IVA/ Bankruptcy? Do you, really, honestly think so??? Didnt think so.

Actually it will be far more than 7 years because I didn't add on the interest that will accrue over that period, plus any charges. It's also unreasonable to expect the OP to use up all of her disposible income for debt repayment.

A conservative estimate would be for it to take 11 or more years to clear such a large debt. If the OP went bankrupt she would be rid of it within a year and will be able to start rebuilding her credit rating within 3.

An IVA is the alternative because it freezes the debt interest but to be honest unless the OP has a career that would be put at risk by bankruptcy (such as a lawyer or financial practitioner) then I'd stil look at bankruptcy.

I would be interested in knowing what prompted your "IVA,/,Bankruptcy? Do, you, really, honestly, think, so??? Didnt think so" comments. Can you please explain why you think either of these is a bad suggestion in the OP's case?

Will you, honestly, really, answer, this??? I, hope, so.

Seaxwyn

You are being a little harsh Dithering Dad. Yes the boyfriend is being unrealistic and irresponsible - but we've all been like that at times and I'm sure he has the capacity to change.

IVA & Bankruptcy are last resorts, and there's lots butterfly and her boyfriend can do to turn the situation round in less than 7 years - by increasing their earnings, cutting expenditure, selling stuff etc etc. Stick around butterfly and whilst DD is right that you need to accept the seriousness of the situation, please don't be discouraged.

Dithering_Dad

Seaxwyn wrote: »

You are being a little harsh Dithering Dad. Yes the boyfriend is being unrealistic and irresponsible - but we've all been like that at times and I'm sure he has the capacity to change.

IVA & Bankruptcy are last resorts, and there's lots butterfly and her boyfriend can do to turn the situation round in less than 7 years - by increasing their earnings, cutting expenditure, selling stuff etc etc. Stick around butterfly and whilst DD is right that you need to accept the seriousness of the situation, please don't be discouraged.

Sorry seaxwyn, but I guess I'm too much of a realist at heart. I'd love to be able to pat the OP on the hand and tell her that buying supermarket own label products, cutting out a few coupons, getting a Saturday job and having her boyfriend do the same will mean that in a few short years everything will be rosy, but I don't think it will.

I really don't see why the OP or anyone should have to spend the next 7 years (realistically more) in penury when she could be rid of the debt in 1 year and getting on with her life.

Why do so many people on the DFW site think it's noble to scrimp along for years and years in poverty to pay back debts, most of which consists of interest and charges?

Seaxwyn

Dithering_Dad wrote: »

Why do so many people on the DFW site think it's noble to scrimp along for years and years in poverty to pay back debts

You'd be surprised how much satisfaction we get from doing just that!