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jesus we are in a mess help!

incomings
my income - 0
partners income - 700
child benefit - 132.00
Child tax - 416.00
working tax - 301.00

total : 1549.00

outgoings

rent - 400
council tax - 110*estimates as moving house
elec -40*estimates as moving house
gas -40*estimates as moving house
water - 40*estimates as moving house
mobile contract (business) - 75
tv license - 34 per quarter
internet -15
groceries - 260
clothing - 50
petrol - 120
car tax - 22
car ins - 45
maintanance - 40
nursery 30
building/contents ins - 15
presents -50
haircuts -20
entertainment -50

total :1456.00
difference = 93.00

debts:
npower - 400
blackhorse - 3000
hfc - 866
orange - 160
natwest -2,700
natwest - 25,000
natwest -1,500
barclaycard -600
oriel -380
eon -900
water - 600
next - 600
ace - 180

equals - 36,866

no payment are made on any debts and havent done for upto a year because we just cant afford to - we have 2 adults and 2 children under 3yrs in the household.

any advice at all

i know its probably bankruptcy but i dont even have the means to save for it! - and no one will lend us it???
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Comments

  • frugallass
    frugallass Posts: 2,320 Forumite
    1,000 Posts Combo Breaker
    Hiya

    Hope you don't mind me making some comments.....


    at a first glance is it really necessary to put away £120 a month for presents, haircuts and entertainment?

    have you tried getting cheaper quotes for the car insurance?

    when does the mobile contract come to an end - £75 is a massive layout
  • Ames
    Ames Posts: 18,459 Forumite
    Clothing at £50 a month is really high, can you and your partner just wear what you have for a while, and look for clothes on ebay or freecycle for the kids?
    Unless I say otherwise 'you' means the general you not you specifically.
  • Food bill for two of you is far too high - £160 could be acheived easily with a bit of planning - that can include wine and treats!
  • Pee
    Pee Posts: 3,826 Forumite
    See, there is hope!

    Facing up to your problems is the first step. Are you claiming all the benefits that you are entitled to and would it be possible for you to work a few hours whilst your partner was able to look after the children?
  • Mr_Matey
    Mr_Matey Posts: 608 Forumite
    A few thoughts to start off...

    1) Put all expenses as monthly, e.g. TV licence is quarterly so not comparable.

    2) Why do you pay for a nursery if you're not working?

    3) Presents/haircuts/entertainment could all be cut down.

    4) Mobile seems high too

    5) Try to cut grocery bill where possible

    - you may be able to get £200-£300pm which could pay off your debts -

    6) Work out debt interest rates so you know which to pay off first.

    7) Check out the Up your Income board. The best option would probably be you getting a job.

    I'd try to avoid bankruptcy if possible.
  • talana
    talana Posts: 1,077 Forumite
    f*cked wrote: »
    incomings
    my income - 0 any chance of a second income, however modest?
    partners income - 700
    child benefit - 132.00
    Child tax - 416.00
    working tax - 301.00

    total : 1549.00

    outgoings

    rent - 400
    council tax - 110*estimates as moving house
    elec -40*estimates as moving house
    gas -40*estimates as moving house
    water - 40*estimates as moving house
    mobile contract (business) - 75
    tv license - 11.33 per month for the purpose of this
    internet -15
    groceries - 260 cut to £200 to begin with
    clothing - 50 wear what you have for the time being
    petrol - 120
    car tax - 22
    car ins - 45
    maintanance - 40
    nursery 30
    building/contents ins - 15
    presents -50 cut out for the time being and put it toward the debt
    haircuts -20
    entertainment -50 could cut out temporarily

    total :1456.00
    difference = 115.67 where is this going?

    debts:
    npower - 400
    blackhorse - 3000
    hfc - 866
    orange - 160
    natwest -2,700
    natwest - 25,000
    natwest -1,500
    barclaycard -600
    oriel -380
    eon -900
    water - 600
    next - 600
    ace - 180

    equals - 36,866

    no payment are made on any debts and havent done for upto a year because we just cant afford to - we have 2 adults and 2 children under 3yrs in the household.

    any advice at all

    i know its probably bankruptcy but i dont even have the means to save for it! - and no one will lend us it???

    You have a monthly surplus of £115 according to the above, plus you could add another £200 to that by making a few savings.

    You CAN afford to pay £315 a month toward the debt in that case.
    You could clear one debt a month for the next few months (orange, ace, oriel, npower) which would be a great start.
  • f*cked
    f*cked Posts: 10 Forumite
    hmm ....

    well i put that clothin amount down but its prob 10 not 50 i did this because some months its more etc..... so that can be knocked down to 10

    we prob take kids out once every 2wks so for the monh its 50 - just coz we are in debt i dont want them to suffer or feel neglected

    hair is more like 20 every 6wk not month

    and presents iv worked out is prob 250 per yr - due to christmas - but put that becuase sometimes there is more than one birthday a month to be honest im so cnfused by all the numbersa i hate money wish it never existed most of its my hubbys that iv been roped into and stuck with - its such a miserable life hence why i dont want my kids to feel it

    car ins is for a business vehicle - a van i think thats why its so much its 450 per year is that high?? as well as the business mobile contracts it is alot its for 2 mobiles - again my hubbys fault he got suckered into this one a month ago only - i didnt have a say in the matter! - weird that its orange that gave him the contract when you can see we owe them money too!?

    well sorry if im snappy im having a bad debt letter day n its got me really down ! thans for replyin -
  • f*cked
    f*cked Posts: 10 Forumite
    wow fast replys!
    nursery - its a preschool my daughter goes to i have to pay until she is 3
    im looking into some work from home at the moment but i am currently pregnant with twins at the moment! - not mine lol
  • f*cked
    f*cked Posts: 10 Forumite
    edited 17 July 2009 at 2:07PM
    talana - your tips are evry helpful think i need a debt management company but seriously i dont think we can pay natwest off!
    they said they can reduce the debt to 6000 if we can pay in a lump sum!
  • RoxieW
    RoxieW Posts: 3,016 Forumite
    ?? you're pregnant with twins that aren't yours ??
    MANAGED TO CLEAR A 3K OVERDRAFT IN ONE FRUGAL, SUPER CHARGED MONEY EARNING MONTH!:j
    £10 a day challenge Aug £408.50, Sept £90
    Weekly.
    155/200
    "It's not always rainbows and butterflies, It's compromise that moves us along."
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