HELP needed ,not sure what to do !!!!!!!!!

Nargleblast

The only way getting a consolidation loan ( or getting your bank to extend your personal loan) will work out is if you cut up all your credit cards and not take out any new ones. I paid off credit card borrowings by extending my bank loan twice and by borrowing from other cards at special low rates, but I just couldn't get the scissors out - silly me. I am sure others will tell you a similar tale about their own situations. Anyway, I think that however you repay your borrowings you would be wise to cut up the cards anyway and never get anything on credit again. Drastic, I know, but I have learnt the hard way, and it is so easy to tell yourself "I'll just put it on the card and pay it all off when the statement comes in." We all say that and we never do - something else comes along and demands our money. Good luck.

ohnno

Thanks for all the advice,I've probably mis-calculated on a few things eg Gas,Elec. The £156 is a personal loan and the "Other" is life insurance.

I think the Egg card MUST be the first to try to get rid of,then the Capitol One ?

Not sure what to do about the personal loan ?

Thanks xx

lilian1977

I echo what the other poster has written - you have nothing in rent or mortgage. What's the deal here?

ohnno

My mortgage is paid for by my family. I can't afford to pay it so they all help me. xx

Storm

Your SoA makes it look like you're a single parent, and with an income of £1000 per month you should be entitled to tax credits - here's a link to see if you're eligible & you can apply online:

http://www.taxcredits.inlandrevenue.gov.uk/HomeNew.aspx

pania

Hey there Ohno how are you? firstly congratulations for getting all this down and paper and coming on the boards, £7000 may not seem a lot to some but if it is causing you burden then it certainly is as important as a much larger debt. Lets see if we can help anywhere.

OK, so the personal loan has been recorded under "secured" can you clarify if it IS secured and also the rate you are currently paying. It would appear that you own your property mortgage free.

IF and that is a big RED IF the loan is already secured then look around for available mortgage deals as you will find that could be at a MUCH lower rate than a secured loan. and ONLY (there go those big red words again) for the loan amount and ONLY over the term you curently have the loan for.

If the loan is infact Unsecured, ie no second charge on your house then ignore this. don't ever turn unsecured into secured is the mantra here;)

lets have a little look squizz at the SOA

ohnno wrote: »

Here is my SOA,

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 1
Number of children in household......... 2
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 1000
Partners monthly income after tax....... 0
Benefits................................ 0 as a single mum/dad to 2 children you should be receiving child benefit at the very least.working family tax credit is applicable to families with a joint income below a specified barrier and with take home pay of £1000 yours I suspect will be below this. You appear to have no mortgage at the moment which stands you in great stead financially.
Other income............................ 30
Total monthly income.................... 1030
Monthly Expense Details
Mortgage................................ 0
Secured loan repayments................. 156 clarification re above would be fab
Hire Purchase (HP) repayments........... 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 100
Electricity............................. 10 both this and the gas are unrealistically low for a household of your value. Unless you have built up credit in preceeding years. look at the real figure here not a guess as this could be where you are leaking some money.
Gas..................................... 10
Oil..................................... 0
Water rates............................. 35
Telephone (land line)................... 10
Mobile phone............................ 15
TV Licence.............................. 12
Satellite/Cable TV...................... 46 Looks like you already have integrated landline/tv/internet. welldone. now, is there anywhere cheaper you can get it?

Internet Services....................... 0
Groceries etc. ......................... 260 This can definately be lowered. look at the old style board, menu plan, bulk cooking, I reckon you could get this down by £100 per month with some focus and determination!
Clothing................................ 20
Petrol/diesel........................... 50
Road tax................................ 10
Car Insurance........................... 10 Are you sure??? If you pay it all in one per year then budget for it each month accurately.
Car maintenance (including MOT)......... 10
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..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 20 i would never ever advocate cancelling insurance policies, BUT!!!! even for people in their late 40's i have seen insurance for £10 for £90k worth of cover. how much do you realistically need?
Presents (birthday, christmas etc)...... 20
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 794

Assets
Cash.................................... 0
House value (Gross)..................... 220000
Shares and bonds........................ 0
Car(s).................................. 1000
Other assets............................ 0
Total Assets............................ 221000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 0........(0)........0
Secured Debt.................. 4000.....(156)......11
Total secured & HP debts...... 4000......-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
Tesco..........................2000......50........0
Egg............................500.......40........26
Capitol One...................500.......30........16
Total unsecured debts..........3000......120.......-

Monthly Budget Summary
Total monthly income.................... 1,030
Expenses (including HP & secured debts). 794
Available for debt repayments........... 236
Monthly UNsecured debt repayments....... 120
Amount left after debt repayments....... 116
Personal Balance Sheet Summary
Total assets (things you own)........... 221,000
Total HP & Secured debt................. -4,000
Total Unsecured debt.................... -3,000
Net Assets.............................. 214,000
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission.

Thanks xxx

hope that helps and good luck!! you can do it....:D

ohnno

SORRY,The personal loan is UN-Secured. Thanks xx