Thanks!!

copier_guy

Hi Everyone,

Although i have been reading this forum for a while i thought i would join and begin to post.

Firstly thanks to everyone who has posted, its given us some strength!!!

We are thinking of going BR? We have unsecured debts of around £12,000 and a house that is probably in negative equity now!! We have been in debt for a long time and in all honesty could do with a clean start.

Whats the best thing to do, post a SOA so people can have a look at it and give there opinions?


Thanks for reading

So_Sad_Angel

Welcome Copier_Guy

Neg equity does`nt automatically mean BR...if you can afford the basic mtge & living costs then you may be able to consider DMP/IVA as alternative.

Please post SOA...that will help....also have you spoken to the debt charities yet??

copier_guy

Thanks Angel,

Not spoke to anybody yet but have spent a load of time on here reading posts and experiences. just looking up my SOA now

So_Sad_Angel

Try the CCCS online debt remedy as well....it takes 30 mins or so to go through but gives you an indication outcome which is very useful.

Knowledge is power is my best advice & also don`t seek advice from anywhere where there is a cost involved.

copier_guy

Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 1275
Partners monthly income after tax....... 0
Benefits................................ 500
Other income............................ 0
Total monthly income.................... 1775

Monthly Expense Details
Mortgage................................ 620
Secured loan repayments................. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 80
Electricity............................. 60
Gas..................................... 60
Oil..................................... 0
Water rates............................. 36
Telephone (land line)................... 25
Mobile phone............................ 50
TV Licence.............................. 13
Satellite/Cable TV...................... 45
Internet Services....................... 13
Groceries etc. ......................... 400
Clothing................................ 0
Petrol/diesel........................... 100
Road tax................................ 20
Car Insurance........................... 30
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 20
Contents insurance...................... 15
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 500
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 2087


Assets
Cash.................................... 0
House value (Gross)..................... 85000
Shares and bonds........................ 0
Car(s).................................. 2000
Other assets............................ 0
Total Assets............................ 87000


Secured Debts
Description....................Debt......Monthly...APR
Mortgage...................... 80000....(620)......7
Total secured debts........... 80000.....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Capital 1......................1800......80........30
Capital 1......................200.......10........30
natwest Mastercard.............2100......50........18
Barclaycard....................1200......30........18
HP (computer)..................1500......45........15
car loan.......................1800......75........20
barclays loan..................6000......127.......25
Total unsecured debts..........14600.....417.......-


Monthly Budget Summary
Total monthly income.................... 1,775
Expenses (including secured debts)...... 2,087
Available for debt repayments........... -312
Monthly UNsecured debt repayments....... 417
Surplus(deficit if negative)............ -729

Personal Balance Sheet Summary
Total assets (things you own)........... 87,000
Total Secured debt...................... -80,000
Total Unsecured debt.................... -14,600
Net Assets.............................. -7,600

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

So_Sad_Angel

....Presents ??? £500 a month!!!! is that an error???

copier_guy

Yeah that's an error. £500 a year is roughly it including Christmas & Birthdays etc. There is;nt that much info in there regarding groceries as we have been tending to pay all the bills and then work out whats left for food. Not the best way to do it.

deedee_3

Is this just for 2 adults or do you have children?

copier_guy wrote: »

Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 1275
Partners monthly income after tax....... 0
Benefits................................ 500
Other income............................ 0
Total monthly income.................... 1775

Monthly Expense Details
Mortgage................................ 620
Secured loan repayments................. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 80
Electricity............................. 60
Gas..................................... 60
Oil..................................... 0
Water rates............................. 36
Telephone (land line)................... 25
Mobile phone............................ 50 Is this 2 mobiles?
TV Licence.............................. 13 £12
Satellite/Cable TV...................... 45 Not allowed on your SOA, this will have to come out of your surplus.
Internet Services....................... 13 Ditto, unless needed for work or study.
Groceries etc. ......................... 400 How many is this for?
Clothing................................ 0 £50 can be upped if you have children.
Petrol/diesel........................... 100
Road tax................................ 20
Car Insurance........................... 30
Car maintenance (including MOT)......... 0 You need something here.
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0 £20
Pet insurance/vet bills................. 0 Do you have pets?
Buildings insurance..................... 20
Contents insurance...................... 15
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 500 You could try for £20 but some OR's allow and some don't
Haircuts................................ 0 £10 per adult £5 per child
Entertainment........................... 0
Holiday................................. 0 £30/40
Emergency fund.......................... 0
Total monthly expenses.................. 2087


Assets
Cash.................................... 0
House value (Gross)..................... 85000
Shares and bonds........................ 0
Car(s).................................. 2000
Other assets............................ 0
Total Assets............................ 87000


Secured Debts
Description....................Debt......Monthly...APR
Mortgage...................... 80000....(620)......7
Total secured debts........... 80000.....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Capital 1......................1800......80........30
Capital 1......................200.......10........30
natwest Mastercard.............2100......50........18
Barclaycard....................1200......30........18
HP (computer)..................1500......45........15
car loan.......................1800......75........20
barclays loan..................1150......30........21
Total unsecured debts..........9750......320.......-


Monthly Budget Summary
Total monthly income.................... 1,775
Expenses (including secured debts)...... 2,087
Available for debt repayments........... -312
Monthly UNsecured debt repayments....... 320
Surplus(deficit if negative)............ -632

Personal Balance Sheet Summary
Total assets (things you own)........... 87,000
Total Secured debt...................... -80,000
Total Unsecured debt.................... -9,750
Net Assets.............................. -2,750


Of this a a quick SOA, the figures are reasonably accurate, i will check the APR's.

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

That is a rough idea for you as to how an OR may look at your SOA.

Have you got breakdown cover? Is your car insurance fully comp? Does your contents insurance include accidental damage?

copier_guy

Thanks Deedee,

The £50 is for 2 mobiles, the £400 for food is for 2 adults and three kids ( 2 teenagers and 1 ten year old)

not thought about putting car maintenance in here.

deedee_3

In that case you can up the housekeeping to at least £500. Which I think just about covers your income.

That is as an OR would probably look at it.

Are you both going bankrupt?

copier_guy

The mortgage is in joint names so us both going BR is probably best. How do you work out how much you have to pay back to the OR? is it called IP?

Sorry still trying to get used to the terms.