Help - heard something scarey...

epmu

I have been talking to my cc providers about my debt issues and how I can start sorting it all out with their help.... one has agreed that I can pay £50 per month with reduce interest etc etc and another has sugessted a consolidation loan as they stated that if i wanted to do an agreed payment that would be a payment plan and it could effect my credit rating for up to 16 yearss so can effect my mortgage etc etc I have nothing in my monthly budget for

I earn £1420 per month I pay out in priority bills, plus work travel, groocersies, utilities, mortgage insurance, CT, loan phone bill £1251 leaving me £169 per month to pay off 3 credit cards and an overdraft if i do £50 per month on all 3 that leaves me with £19 to socialise, buy a book etc (ouch)- I owe £16k. I have agreed to do a post payment with one cc and also organised with one other this £50 per month until my situation changes... one told me my interest rate has gone up to 34% which freaked me out along with the credit rating being effected up to 16 years.

Please help I really dont know which way to turn and I need to go and See Abbey about my mortgage as it is coming up in March.

What should I do get a loan for all my debt so have one payment or do payment plans??? I am 32 and gone through a divorce.

E :-)

~Beanie~

Hi and welcome to the boards :wave:

The best thing you can do to start is fill in an SOA, then we can see if there are any areas where you can cut down or free up some money to pay your debts. The calculator can be found here: http://www.makesenseofcards.com/soacalc.html

Also, your credit file should only be affected for 6 years, not 16!

Jesthar

Hi, epmu, and welcome!

First off, don't panic and breath easier - you just landed in the right place for help with all this!

Secondly, take a deep breath and head over to the Statement of Affairs calculator here:

http://www.makesenseofcards.com/soacalc.html

Put in all your finance details, and it will summarise them into an easy to understand format for you. If you use the 'MSE' button in the 'Format results for discussion board' bit near the bottom, you'll be able to copy and paste the results straight into a new post in this thread for the lovely people here to have a look at and give you advice.

*hugs*

~Jes

**Amy**

hi

Definitely do the SOA, that should help you and us see if we can help you cut down any expenditure.

As for the consolidation loan, please do not do it. You generally end up paying more back at a higher rate of interest, it really isnt worth doing.

Is there any way you can get a 0% deal for a credit card? If there is (i.e. your credit report is good etc.) then that may be a way to ease the interest.

But your best bet is to fill out the SOA.

You might also want to look at the CCCS' website (www.cccs.co.uk). they are a debt charity and have a helpful tool that can tell you what they suggest is your best course of action.

Hope this helps.

xxx

Numpty_Monkey

:hello:Hi epmu

As the previous posters have suggested an SOA is a very good thing for you to do
use the links they have posted,
It will help the good and clever people see where you could make some savings

And well done on paying your priority bills first:T

Anything on your credit record can only stay on for 6 years
not the 16 years you have been told

Have you called one of the debt charities?
Non-profit Debt Counsellors' List

The CCCS link has a thing called "Debt remedy" on it:A

welcome to the boards :A

sarahs999

I have nothing much to add except well done for tackling your debt, and don't worry, you will find a way out.

epmu

Monthly income after tax................ 1425.98
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1425.98

Monthly Expense Details
Mortgage................................ 479.38
Secured loan repayments................. 0
Rent.................................... 0
Management charge (leasehold property).. 20
Council tax............................. 101
Electricity............................. 7
Gas..................................... 8
Oil..................................... 0
Water rates............................. 29.58
Telephone (land line)................... 0
Mobile phone............................ 45
TV Licence.............................. 11.99
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 180
Clothing................................ 0
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 120
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 7.5
Pet insurance/vet bills................. 0
Buildings insurance..................... 28
Contents insurance...................... 0
Life assurance ......................... 30.53
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1067.98

Assets
Cash.................................... 0
House value (Gross)..................... 135000
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 135000

Secured Debts
Description....................Debt......Monthly...APR
Mortgage...................... 112994...(479.38)...0
Total secured debts........... 112994....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Abbey Creditcard...............5334......104.......0
MBNA Creditcard ...............3906......100.......34
Barclays CC....................4729......50........27
Personal Loan..................7200......218.......6.9
Total unsecured debts..........21169.....472.......-

Monthly Budget Summary
Total monthly income.................... 1,425.98
Expenses (including secured debts)....... 1,067.98
Available for debt repayments........... 358
Monthly UNsecured debt repayments....... 472
Surplus(deficit if negative)............ -114

Personal Balance Sheet Summary
Total assets (things you own)........... 135,000
Total Secured debt...................... -112,994
Total Unsecured debt.................... -21,169
Net Assets.............................. 837

~Beanie~

epmu wrote: »

Monthly income after tax................ 1425.98
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1425.98

Monthly Expense Details
Mortgage................................ 479.38
Secured loan repayments................. 0
Rent.................................... 0
Management charge (leasehold property).. 20
Council tax............................. 101 - Is it just you?
Electricity............................. 7 - Is this right? It seem VERY low!!
Gas..................................... 8 - As above
Oil..................................... 0
Water rates............................. 29.58
Telephone (land line)................... 0
Mobile phone............................ 45 - Can you reduce your tariff or go PAYG?
TV Licence.............................. 11.99
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 180 - This seems high
Clothing................................ 0
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 120
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 7.5
Pet insurance/vet bills................. 0
Buildings insurance..................... 28
Contents insurance...................... 0
Life assurance ......................... 30.53
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1067.98

Assets
Cash.................................... 0
House value (Gross)..................... 135000
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 135000

Secured Debts
Description....................Debt......Monthly...APR
Mortgage...................... 112994...(479.38)...0
Total secured debts........... 112994....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Abbey Creditcard...............5334......104.......0
MBNA Creditcard ...............3906......100.......34
Barclays CC....................4729......50........27
Personal Loan..................7200......218.......6.9
Total unsecured debts..........21169.....472.......-

Monthly Budget Summary
Total monthly income.................... 1,425.98
Expenses (including secured debts)....... 1,067.98
Available for debt repayments........... 358
Monthly UNsecured debt repayments....... 472
Surplus(deficit if negative)............ -114

Personal Balance Sheet Summary
Total assets (things you own)........... 135,000
Total Secured debt...................... -112,994
Total Unsecured debt.................... -21,169
Net Assets.............................. 837

Hi

How many of you are there? If it is just yourself now, are you claiming your 25% single person discount from your Council Tax? Again, if it is just for you then you can halve the grocery budget probably.

Are your gas and electricity correct? I pay more than that a week!

Can you up your income in any way? Get a second job, sell stuff on Ebay, do mystery shopping?

Numpty_Monkey

epmu wrote: »

Monthly income after tax................ 1425.98
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1425.98

Monthly Expense Details
Mortgage................................ 479.38
Secured loan repayments................. 0
Rent.................................... 0
Management charge (leasehold property).. 20
Council tax............................. 101can you get this over 12 months?
Electricity............................. 7 ?? is this per week, thats what i pay a week
Gas..................................... 8?? is this per week, thats what i pay a week
Oil..................................... 0
Water rates............................. 29.58 If you are on your own have you looked at a water meter?
Telephone (land line)................... 0 ??
Mobile phone............................ 45 Expensive, is this where your Landline/internet is bundled into
TV Licence.............................. 11.99
Satellite/Cable TV...................... 0
Internet Services....................... 0 ??
Groceries etc. ......................... 180 a quick trip to the OS board will help get that down:A
Clothing................................ 0 ??
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 120
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 7.5
Pet insurance/vet bills................. 0
Buildings insurance..................... 28 have a check that you are getting the best deal, and go through a cashback site
Contents insurance...................... 0 is this in with building insurance ?
Life assurance ......................... 30.53 seems expensive! same as buildings
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0 ??
Haircuts................................ 0 ??
Entertainment........................... 0 ??
Holiday................................. 0 ??
Emergency fund.......................... 0 ??
Total monthly expenses.................. 1067.98

Assets
Cash.................................... 0
House value (Gross)..................... 135000
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 135000

Secured Debts
Description....................Debt......Monthly...APR
Mortgage...................... 112994...(479.38)...0
Total secured debts........... 112994....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Abbey Creditcard...............5334......104.......0
MBNA Creditcard ...............3906......100.......34
Barclays CC....................4729......50........27
Personal Loan..................7200......218.......6.9
Total unsecured debts..........21169.....472.......-

Monthly Budget Summary
Total monthly income.................... 1,425.98
Expenses (including secured debts)....... 1,067.98
Available for debt repayments........... 358
Monthly UNsecured debt repayments....... 472
Surplus(deficit if negative)............ -114

Personal Balance Sheet Summary
Total assets (things you own)........... 135,000
Total Secured debt...................... -112,994
Total Unsecured debt.................... -21,169
Net Assets.............................. 837

Well done on posting your SOA:T
I've put some comments in a lovely shade of blue
The thing with SOA's they raise as many questions as they give answers
You need to budget for things like clothes,haircuts,and yes you are allowed some enternment:eek:

The groceries can be cut down have a look at the MoneySaving Old Style
some great ideas and wonderful people on there

Don't worry you are with the most wonderfullest group of people:A

epmu

Hey all,

thank you so much for this...

I have my house in Hastings which I live in on the weekends and stay at a friends in the week hence why my elec/gas is so low also the fact that I hardly use it but it will go up due to the winter.

Def need to look at my mobile bill and Life ins as this also covers my critical illness for my mortgage.

Council tax - I have called them and now just written to them regarding what I am paying as they think there maybe a mistake - so thank you

Groceries this is my monthly groceries plus monthly lunch for work etc - need to split this out more as maybe some of this covers entertainment. I do buy food for my friend I stay with as that is part of the deal till I sort myself out

My boyfriend has been paying for dates and holidays for the last year as he is trying to help me too hence why no holiday fund.

I def need to look at a second job. I am a make up artist so maybe look at that more to.

I feel so exhausted from the stress I feel I have no energy to do anything, but I so wanna get my self sorted. In my head I feel I should just have one payment to deal with all, but also I am worried about these payment plans I an discussing with my cc companies due to how it will effect my new mortgage which will be higher than it is now as I am only on interest only and I need to be on a fixed so I can start paying that off and get some equity.

Thanks all really appreciate your time x

sarahs999

Also you have no budget for birthday presents etc, which can add up over the year.