Hi All Another In Debt

Bio_3

Ok hi all new to the forum and in a bit of bebt don’t know how to start with this but I am feeling a bit down lately due to all this but I fell I am moving forward with me recognising I have an issue but its how I get out of it and yes I am the one to blame for the situation I am in.

The main things I have is the two credit card payment which are not on 0% so any help on what I can do with these would be a big help.

I have applied for my credit rating so I am waiting for that to come.

In the last 4 weeks I have gone for two personal loans to help pay off my cards but got turned down but they said it was not due to my credit rating I then went for a re mortgage with my current lender they turned me down not due to my rating they said.

I then went to the Yorkshire bank been with them 18 years turned me down on a loan then knocked me back on a re mortgage and this is when a bomb it me due to the wife’s outstanding debts they said due to the morgage being in joint names which I did not know anything about and she wont tell me how much she’s run up on a credit card.

She only gets £600 a month pay and they wont give her a loan to pay it off unless I go guarantor? On the loan at which point I feel I will find out the amount which will make me even feel lower than i currently am.

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household......... 3
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 2100
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 2100
Monthly Expense Details
Mortgage................................ 545
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 100
Electricity............................. 80
Gas..................................... 80
Oil..................................... 0
Water rates............................. 25
Telephone (land line)................... 15
Mobile phone............................ 35
TV Licence.............................. 15
Satellite/Cable TV...................... 40
Internet Services....................... 0
Groceries etc. ......................... 450
Clothing................................ 55
Petrol/diesel........................... 60
Road tax................................ 15
Car Insurance........................... 30
Car maintenance (including MOT)......... 30
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..................... 25
Contents insurance...................... 5
Life assurance ......................... 25
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1630

Assets
Cash.................................... 0
House value (Gross)..................... 14000
Shares and bonds........................ 0
Car(s).................................. 9000
Other assets............................ 0
Total Assets............................ 23000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 66806.6..(545)......4.59
Total secured & HP debts...... 66806.6...-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
visa Virgin....................13647.4...260.......22
Visa Barclay...................7364.23...165.......22
Loan Royal Bank................7806.53...195.6.....0
Loan Aliance...................3585.54...452.9.....0
Total unsecured debts..........32403.7...1073.5....-

Monthly Budget Summary
Total monthly income.................... 2,100
Expenses (including HP & secured debts). 1,630
Available for debt repayments........... 470
Monthly UNsecured debt repayments....... 1,073.5
Amount short for making debt repayments. -603.5
Personal Balance Sheet Summary
Total assets (things you own)........... 23,000
Total HP & Secured debt................. -66,806.6
Total Unsecured debt.................... -32,403.7
Net Assets.............................. -76,210.3

angelicmary85

Morning Bio and welcome to MSE. You've taken the 1st positive step towards helping yourself but I have to say that your wife isn't helping much by not telling you how much she owes. I would also like to say that's it's probably wise to stop applying for loans etc as I believe this amy affect your credit rating.

Damita

Is your wife working? You said she earns £600 a month?

Bio_3

She does work but part time when we try to talk about her problem she breaks down and this is then effecting the relationship in a way i do want to know but i then feel when i do it will push me over the edge and i will flip i am on a good wage and in a way can just afford my debt but for the bank to let her run up a debt more than her income is not on ?

angelicmary85

Bio wrote: »

She does work but part time when we try to talk about her problem she breaks down and this is then effecting the relationship in a way i do want to know but i then feel when i do it will push me over the edge and i will flip i am on a good wage and in a way can just afford my debt but for the bank to let her run up a debt more than her income is not on ?

Although, in a way you're right about the bank letting her run up debt, it's not all the banks fault. I think maybe you need to get firm with her. Your wife may be embaressed or ashamed to tell you the full extent of the debt but until you know how are you supposed to help her sort it?

Bio_3

If i can get my outgoings undercontrol then i can help her.

RAS

Hi

if you make more than 3 applications for credit in say 6 months, then it starts to affect your credit rating. So it essential that you stop applying for more credit.

Your wife's card problem will not help but in the short-term your over application for credit makes you a no-no.

Since you have joint accounts, you really need a joint SOA.

But the basic fact is that you are not earning enought to cover your debts, regardless of the situation with the wife. Am going to skin your SOA, so you can start to see what needs doing to get back on track.

And you and the wife neeed to sit down and talk, apart from anything, if you are to balance your budget, she and the kids are going to have to learn to economise a lot.

fairydiamond

Sad to say, it isn't the bank's fault. Your wife is spending the money, not the bank. If she is blaming the bank, thats not good. She needs to realise she has to take responsibility for her spending.

Good on you for trying to sort your finances out, try showing the SOA to your wife and clamly go through it together.

angelicmary85

Bio wrote: »

If i can get my outgoings undercontrol then i can help her.

I understand that but how do you know you can help your wife if she won't tell you how much she owes?

Bio_3

Shes not blaming the bank i am but i dont think i can take knowing what debt she is in but i think she needs to try and transfer the debt on to something with lower interest rates.

RAS

Bio wrote: »

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household......... 3
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 2100
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 2100
Monthly Expense Details
Mortgage................................ 545 - interest only or repayment?
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 100
Electricity............................. 80 - high - check the readings and consider swapping. Also go round the house and turn everyhting other than the fridge and freezer off. after that anyone leaving stuff they are not using on pays a penalty.
Gas..................................... 80 ditto
Oil..................................... 0
Water rates............................. 25
Telephone (land line)................... 15
Mobile phone............................ 35 - you need to reduce your package, then go PAYG ASAP.
TV Licence.............................. 15
Satellite/Cable TV...................... 40 - reduce your package, then cancel ASAP and use freeview
Internet Services....................... 0
Groceries etc. ......................... 450 - this is massive. You can save £200 here easily.
Clothing................................ 55
Petrol/diesel........................... 60
Road tax................................ 15
Car Insurance........................... 30 - check if you can get a better deal and swap via www.quidco.com
Car maintenance (including MOT)......... 30
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..................... 25 -
quite high, look at the comparison sites and see if you can get joint cover for less and swap via www.quidco.com or other cashback sites. Check exactly how much is covered as well.
Contents insurance...................... 25
Life assurance ......................... 25 - make sure this is term only and you may save a fiver.
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1630

Assets
Cash.................................... 0
House value (Gross)..................... 14000
Shares and bonds........................ 0
Car(s).................................. 9000
Other assets............................ 0
Total Assets............................ 23000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 66806.6..(545)......4.59
Total secured & HP debts...... 66806.6...-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
visa Virgin....................13647.4...260.......22
Visa Barclay...................7364.23...165.......22
Loan Royal Bank................7806.53...195.6.....0
Loan Aliance...................3585.54...452.9.....0
Total unsecured debts..........32403.7...1073.5....-

Monthly Budget Summary
Total monthly income.................... 2,100
Expenses (including HP & secured debts). 1,630
Available for debt repayments........... 470
Monthly UNsecured debt repayments....... 1,073.5
Amount short for making debt repayments. -603.5
Personal Balance Sheet Summary
Total assets (things you own)........... 23,000
Total HP & Secured debt................. -66,806.6
Total Unsecured debt.................... -32,403.7
Net Assets.............................. -76,210.3

Where are the benefits and Oh's income? What does she pay out of those towards the household?

Do you absolutely need a car? if not get rid and use the money towards one of the higher cards.

You can skin about £325 out of the budget, before you think about the car and a payment holiday on the mortgage or interest only period.

You and the wife have got to talk firstly about your situation, because it is untenable.

Then you need to look at her spends so that you can see what savings can be made there.

You both need to see the debt charities for advice, together.

See here for the list of options http://www.moneysavingexpert.com/loans/debt-help-plan#help

Sounds harsh but the problem is not the wifes debt, it is that you both have debts that it appears you cannot afford to pay back.