Newbie from Scotland in need of Help

Over_the_Edge_2

Hi All,

I have been reading this website for many years now and have tried so hard to avoid this day but it is here.

Have a meeting next week about getting a Trust Deed and need help.

I have done a SOA see below...

What can I put on it?

The car is only worth £600 and they have already said that as it is under £1,000 it will not come in to it.

All the unsecured debt is in my name that is why my wifes income is not in it, we have 2 children and the child allowance is in my wifes name.

A long time ago my wife was added to a Credit Card as a second user as at the time I would go away on courses for a few weeks at a time, she only used it once or twice. Does this mean that she will have to be included in the Trust Deed too?

What questions should I be asking?

How long does it take?

Should I make token payments until then? ~ Due from end of next week!

Have already been told to change my bank as I have a credit card with them and was told that they would take my pay and leave me with nothing to pay all the other bills, can a bank do that?

Anyone from Scotland gone through recently?

Any guides out there?

Short timelines I know. We were getting support (last 7 months) on a 5 year plan (8 months to go). With the house prices in free fall and interest rates going up the support is gone, with 2 weeks notice. Plan was to get to June 2009, remortgage and clear 90%+ of the unsecured debts and although the mortgage would be high it would have been manageable for another 5 year stint.

Thanks for your help when it comes.

The name says it all.

Over the Edge.

Statement of Affairs & Personal Balance Sheet
Summary
..............................................................Monthly...........Total........APR(%)
Monthly Budget Summary
..............................................................Amount(£)
Total monthly income.................................£3,560.00
Monthly expenses (incl. secured loans)........-£2,980.00
Available for debt repayments........................£580.00
Unsecured debt repayments........................£1,825.80
Surplus..................................................-£1,245.80

Personal Balance Sheet Summary
.............................................................Amount(£)
Total Assets (things you own).........................................£186,000.00
Total Secured Debt......................................................-£185,600.00
Total Unsecured Debt.....................................................-£83,735.81
Net Assets...................................................................-£83,335.81

Income, Expense, Debt & Asset DetailsIncome
...............................................................Amount(£)
Monthly income after tax............................. £3,560.00
Partners monthly income.................................. £0.00
Benefits.......................................................... £0.00
Other income................................................... £0.00
Total monthly income.................................. £3,560.00

Expenses
...............................................................Amount(£)
Mortgage..................................................... £802.00
Secured loan payments.................................. £848.00
Rent................................................................ £0.00
Management charge (leasehold property)............. £0.00
Council tax.................................................... £180.00
Electricity........................................................ £90.00
Gas................................................................ £80.00
Oil................................................................... £0.00
Water Rates...................................................... £0.00
Telephone (land line)........................................ £35.00
Mobile phone..................................................... £0.00
TV Licence....................................................... £12.00
Satellite/Cable TV............................................. £20.00
Internet services.............................................. £20.00
Groceries etc.................................................. £600.00
Clothing.......................................................... £60.00
Petrol/diesel.................................................... £75.00
Road tax......................................................... £20.00
Car Insurance.................................................. £30.00
Car maintenenance (including MOT).................... £25.00
Car Parking....................................................... £0.00
Other travel...................................................... £0.00
Childcare/nursery.............................................. £0.00
Other child related expenses............................... £0.00
Medical (prescriptions, dentists, opticians etc.)..... £10.00
Pet Insurance/Vet bills....................................... £0.00
Buildings Insurance.......................................... £14.00
Contents Insurance.......................................... £14.00
Life Assurance.................................................. £0.00
Other Insurance................................................ £0.00
Presents (birthday, christmas etc.)..................... £10.00
Haircuts.......................................................... £10.00
Entertainment................................................... £0.00
Holiday........................................................... £25.00
Emergency Fund................................................ £0.00
Total monthly expenses............................... -£2,980.00

Secured Debt Description
..................................................................Monthly(£).....Debt(£).....APR(%)
Mortgage...................................................... -£802.00..... £97,415.00.....8.00%
Secured Debt................................................ -£848.00..... £88,185.00.....11.50%
Secured Debt totals......................................... -……………….. £185,600.00

Unsecured Debt Description............................Monthly(£)…..Debt(£)……...APR(%)
C2…………………………………………………………………………… £232.50…..£10,047.80…..26.90%
C4…………………………………………………………………………… £127.50……£6,814.44…....26.80%
C5………………………………………………………………………….. £143.00…..£7,105.26…....22.25%
C3………………………………………………………………………….. £311.40…..£10,382.30…….22.22%
C1………………………………………………………………………….. £257.70…..£14,491.60…...21.95%
C6………………………………………………………………………….. £107.20……£5,255.38…....21.90%
C10………………………………………………………………………… £290.40…..£13,851.90…….21.50%
C9………………………………………………………………………….. £203.00……£9,056.19……..20.00%
C8……………………………………………………………………………. £47.00……£1,531.95………15.00%
C7………………………………………………………………………….. £106.10……£5,198.99..……10.90%
Unsecured Debt totals……………………………………… -£1,825.80…..£83,735.81

Asset Description Value (£)
Cash…………………………………………………………………………………………… £0.00
House Value (Gross)…………………………………………………………………. £186,000.00
Shares and bonds…………………………………………………………………….. £0.00
Car(s)……………………………………………………………………………………….. £0.00
Other assets (e.g. endowments, jewellery etc)…………………… .. £0.00
Total Assets…………………………………………………………………………….. £186,000.00

Sorry but when the website says format for MSE then you should press that button before you clear everything!!!!

chelseabun_3

Hi and welcome!
I haven't had time to read your SOA, but just wanted to put your mind at ease about your wife re the credit card. Just because she was a second card user does not make her liable for the debt, as the card is in your name. You can't have a "joint" credit card. If the account was in your name, then the debt is yours alone. (Congratulations!;))

Also, yes a bank really can take whatever is in your account to pay part of your debt to them. You have been advised well - move away from that bank as quickly as possible and certainly before they find out about your BR. Co-op are good - not sure if you have them in Scotland or not, sorry!:o

I'm sure someone will be along soon who can advise about the particular Scottish issues re Trust deeds etc.

All the best, keep us informed! CBx

coolcait

Hiya OTE

I've contributed to a couple of recent threads on Trust Deeds. I'm not a great fan of them - as you'll see as you read the threads . However, I have to remind myself that thousands of people sign one every year, so presumably it works for them.

Here are the threads:

http://forums.moneysavingexpert.com/showthread.html?p=15016663#post15016663

http://forums.moneysavingexpert.com/showthread.html?t=1221681

http://forums.moneysavingexpert.com/showthread.html?t=1143171

Have you had any advice from CAB or your local authority money adviser? If so, did they mention the Debt Arrangement Scheme? (You'll see it mentioned more than once in the links!).

From the info you've posted, some money advisers might not take you on for DAS, because your payment programme would last for more than 10 years (from the figures you've posted, it would be about 12 years). However, if you were interested in DAS, it would still be worth a try at 12 years. And, if you still hoped to re-mortgage after a year or so, that might help it be accepted.

I hope there's some useful stuff for you in those links.

Good luck!

Over_the_Edge_2

Thanks for comments they help.

We have got meeting this week with the Trust Deed people, don't know who is good and who is not It was just a case of who look good on the internet and near the top of the search.

Here is hoping.

Thanks

We really are "Over the Edge"

tigerfeet2006

Please don't go for someone off the internet. Do as Coolcait has suggested and get in touch with the CAB or your local authority money advisor. Also ring National Debt Line and ask to speak to some one who is aware of Scottish law. Have a look at their site as well.

http://www.nationaldebtline.co.uk/scotland/debt_advice.php