Newbie here... looking for advice

bench187

Hi Guys,

Ok well I'm new to this site and after having a read through the forums and threads I've decided to post my debt on here and where I stand financially (see below). I'm a bit low after getting myself into this mess and although I have paid some of the money off over the past 24 months I'm still finding it difficult at times to move forward and really clear a chunk of this debt. I originally took the loan to reconcile everything but then last year I was stupid, went on holiday and took out another credit card (Tesco) racking up another 2k! Anyway any advice, tips or help would be greatly appreciated, or money saving ideas!! As I say I'm a complete novice in here so please be gentle!

Egg card: £690.48 (700 limit)
Egg Loan: £7,451.15 (Originally 18k with interest) Paying 490 pcm
Tesco credit card 1980 (2k limit) Paying minimum payments
Nationwide o/draft £150
HSBC o/draft £1500

John_K_6

Hi Bench, The first thing to do is to put together a Statement of Affairs (basically a detailed account of your debts, interest rates, incomings and outgoings) so that the wonderful people here on Debt Free Wannabe can see how you can start cutting down that debt!

But welcome to the forum, realising your problems is the first step- since I joined the forum 6 months ago I have turned my situation around almost 180 degrees! Just by doing small steps and having a bit of discipline it is possible to really start to make a change....

Good luck, and my advice is to read the MSE website every week, and see what you can follow to improve your own situation!

bench187

Hi John,

Ok I will put everything together this week and post on here a more detailed list of current expenditures and my income etc... Hopefully with the help of you guys and my own hard work I'll cut this horrid debt out of my life. I think being honest, I'm just not great at times with money, which is hard to admit!!! Anyway thanks again and I'll be sure to get the info asap.

tealady

Hi Don't worry about being hopeless with money, I think that what got a few of us on here!
The thing to do is stand and face your demons and we will give you a few weapons to help you slay them.

doodledo_2

Morning Bench and welcome to the forum you have definately come to the right place

Here is a link to a statement of affairs calculator http://www.makesenseofcards.com/soacalc.html if you fill in all your details on here and then you can copy and paste this onto the forum.

Good luck with your journey. Stick around and post lots as this is a brilliant place for support and advice.

skintandscared_2

Don't be too hard on yourself. 83% of people who take out consolidation loans go on to rack up their cards again. The banks know it. I took out a consolidation loan with Lombard and they actually sent me their credit card too!!!!

bench187

Morning all!!

Ok so I have used the money calculator (as suggested below from doodledo thank you!) and put all the information as req. If there is anything you think I've missed or you want to ask me any questions then please do. Please note that I am not using the Egg card anymore and my statement shows interest on it of 2.008% but the apr says 26% which is confusing?

Anyway here goes
Thanks again

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 4
Number of children in household.........
Number of cars owned....................

Monthly Income Details
Monthly income after tax................ 1292
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1292

Monthly Expense Details
Mortgage................................ 0
Secured loan repayments................. 0
Hire Purchase (HP) repayments........... 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 0
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 60
TV Licence.............................. 0
Satellite/Cable TV...................... 6.99
Internet Services....................... 0
Groceries etc. ......................... 100
Clothing................................ 0
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 292
Childcare/nursery....................... 0
Other child related expenses............ 87
Medical (prescriptions, dentist etc).... 22
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 8.3
Haircuts................................ 10
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 586.29


Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 500
Total Assets............................ 500

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
Egg Card.......................690.48....50........26.9
Egg Loan.......................7451.15...497.6.....7.9
Tesco Card.....................2000......60........16.9
Nationwide.....................150.......50........0
Total unsecured debts..........10291.63..657.6.....-


Monthly Budget Summary
Total monthly income.................... 1,292
Expenses (including HP & secured debts). 586.29
Available for debt repayments........... 705.71
Monthly UNsecured debt repayments....... 657.6
Amount left after debt repayments....... 48.11

Personal Balance Sheet Summary
Total assets (things you own)........... 500
Total HP & Secured debt................. -0
Total Unsecured debt.................... -10,291.63
Net Assets.............................. -9,791.63

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

bench187

Sorry I've forgot to say as well. The outgoing of almost 90.00 is gym membership (I was tied into a contract). I have now cancelled this but they require 3 months notice. I cancelled this at the begining of january. I have also cancelled my mobile phone contract and will be put on pay as you go... but they have offered me a contract of £12.48 per month + VAT, for the same deal I am getting now - would this be better than pay as you go? Considering i'd have to sign another 12 month contract!

doodledo_2

Well done for completing your SOA. I assume from the figures you are living with your parents? hence no rent etc?

If so then you are in a really good position to get this debt shifted.

Well done on cancelling the gym membership £90 a month is crazy, get yourself out running lol just think that payment will clear your Nationwide card in two months.

The mobile phone works out around £15 a month doesn't it which seems quite a good deal to me. Depends how much you use it though, if you don't use it much then PAYG may be better.

TotallyBroke

bench187 wrote: »

Sorry I've forgot to say as well. The outgoing of almost 90.00 is gym membership (I was tied into a contract). I have now cancelled this but they require 3 months notice. I cancelled this at the begining of january. I have also cancelled my mobile phone contract and will be put on pay as you go... but they have offered me a contract of £12.48 per month + VAT, for the same deal I am getting now - would this be better than pay as you go? Considering i'd have to sign another 12 month contract!

Have a look at your last bill that came through. That should show you how many minutes, texts and other you used. You should also be able to see online what a payg deal charges for minutes, texts and other. (They are usually dearer) If it would cost more than the £15 for the new contract based on what you called last month then you have your answer. Plus while you are on a contract you can get free upgrades. You can then sell the new phone and make some spare money.
Well done on the gym. Check out your doctors and ask if they are connected to any gyms. A doctors in my neighbouring area has a gym next door. It's not flashy but has all the equipment needed. They charge a monthly membership of £15 or £3 everytime you go. Plus if you need to use it for health or medical reasons you can join for free with a referal from the doctor.

bench187

Yes I've moved back home just to help me clear this mess up and get myself straight again! One last thing I forgot to add is that I have an overdraft which I tend to stay in, it's 1500.00 I am in this pretty much all of the time and sometimes pay a penalty fee if I go over the agreed o/draft! I am not going to do this again (well I'll try my upmost not to).

So, the question is I suppose, where do I go from here??? :think: