hi, i'm new here and I've got debt problems :(

sometimesdrunk

After my girlfriend left me (over a year ago) I have been left with a house to run on my own with no support from her at all, after a payrise at the end of last year I reapplied for the mortgage and was declined now I'm being forced to sell the house as my ex cannot get a council house while on this mortgage.

After struggling for all this time to keep the house running and not fall into too much debt i'm in a situation where my outgoings are more then my incomings - oh dear!

I've kept up payments on the mortgage, council tax and utility bills, its credit cards, loans and overdrafts that are getting on top of me.

I have contacted PayPlan regarding this and they are setting up a debt management plan for me, is this is best way to go?

Here's my situation in numbers --


Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 1
Number of children in household......... 0
Number of cars owned.................... 0
Monthly Income Details
Monthly income after tax................ 1250
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1250
Monthly Expense Details
Mortgage................................ 545
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 90
Electricity............................. 27
Gas..................................... 27
Oil..................................... 0
Water rates............................. 50
Telephone (land line)................... 20
Mobile phone............................ 25
TV Licence.............................. 15
Satellite/Cable TV...................... 0
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............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 20
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 919

Assets
Cash.................................... 0
House value (Gross)..................... 95000
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 95000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 95000....(545)......5.47
Total secured & HP debts...... 95000.....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
Credit cards...................8620......280.......20.9
Personal loan..................780.......90........9.99
Over drafts....................1300......50........9.99
Total unsecured debts..........10700.....420.......-

Monthly Budget Summary
Total monthly income.................... 1,250
Expenses (including HP & secured debts). 919
Available for debt repayments........... 331
Monthly UNsecured debt repayments....... 420
Amount short for making debt repayments. -89
Personal Balance Sheet Summary
Total assets (things you own)........... 95,000
Total HP & Secured debt................. -95,000
Total Unsecured debt.................... -10,700
Net Assets.............................. -10,700
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.

Any help or advice would be magic -- thanks

becky_rtw

Hiya and welcome!

The experts will be along soon - but my first though was you deficit is only £90 a month, but your budget is pretty tight as it is so that leaves you with options of a dmp or trying to up your income...there's a make £10 a day thread around somewhere...or you could you get a second job (the income you're earning is quite small)??

Good to hear you're up to date on the priority debts though - although why isnt the ex paying her half of the mortage??

Anyway more help will be along shortly I am sure...

Josie12

Hiya, I've just noticed something on your SOA, just a little one, but your water rates seems mega high. There are two adults and two small children in my house and i only pay £25.00. Might want to have a little look into that?
Just a little suggestion....

Jo x

Merlinexcalibur

Water rates............................. 50

As someone else said, that's doesn't look right.

VanillaDelia

If your water is based over 8 months of something like that you could save a bit each month by seeing if you can spread it over 11 or 12 months or see if you could get on a water meter where its just based on your usage.

We would have pay around £43 a month and have spread ours over 11 months for around £31.

McKneff

you would pay less than half of this water bill if you have a meter installed.
Are you getting your 25% reduction in your council tax
Ask your OH if she can contribute to the mortgage till the house is sold.
If not, when you do sell, deduct half of all mortgage payments from her half of the profit on the sale.

sometimesdrunk

becky_rtw wrote: »

Hiya and welcome!

The experts will be along soon - but my first though was you deficit is only £90 a month, but your budget is pretty tight as it is so that leaves you with options of a dmp or trying to up your income...there's a make £10 a day thread around somewhere...or you could you get a second job (the income you're earning is quite small)??

Good to hear you're up to date on the priority debts though - although why isnt the ex paying her half of the mortage??

Anyway more help will be along shortly I am sure...

Thanks 4 the quick reply!

hmmm may try the £10 a day thing...

i've been looking for bar work etc but i've not found anything

the ex quickly got herself pregnant after she left me and is no longer working due to that and is on benifits, I've seen a solicitor and he said as i'm earning and she's not its my problem

I've put the house on the market but the solicitor advised me if it sells the mortgage company wil come after me for the money

oh well, gotta keep smiling

sometimesdrunk

ha har the water rates, another storey....

Haslam Homes in there wisdom decided to inform the water board that some1 else had moved in! we were receiving bills from them for some other people, eventually I got sick of the letters and opened 1, it was a red letter so I rang them and sorted it, a few months later they sent me a monster bill which I have been catching up with since then. I rang them yesterday and they advised that am upto date and to cancel the direct debit (which I have done) and wait for the next bill and start again

rosered1963

Hi there.

have you thouht about getting a lodger under the rent a room scheme? Take a look at http://www.direct.gov.uk/en/MoneyTaxAndBenefits/Taxes/TaxOnPropertyAndRentalIncome/DG_4017804

Obviously, take care and get character and employment references from people who apply for the room. It could work well for you and help with your bills. Good luck.

Merlinexcalibur

Who is Haslam Holmes? Can't find them online anywhere.

Oops, oh yes I can but why it wouldn't find it before ...

keepmoathomes

McKneff

sometimesdrunk wrote: »

ha har the water rates, another storey....

Haslam Holmes in there wisdom decided to inform the water board that some1 else had moved in! we were receiving bills from them for some other people, eventually I got sick of the letters and opened 1, it was a red letter so I rang them and sorted it, a few months later they sent me a monster bill which I have been catching up with since then. I rang them yesterday and they advised that am upto date and to cancel the direct debit (which I have done) and wait for the next bill and start again

Write to the water board to confirm what was said to you about cancelling the direct debit. They can just as easily play dumb and say that they didnt.
If your clear with this debt now is the time to get the water meter in.