how to calculate disposable income

start_new

Hi all

I have a loan from my bank around £11 000 sadly now it’s in a stage of debt recovery agent called RMA.

I offered them £80 monthly payment plan as that’s only I can afford but they say I must pay minimum of 3% of the loan which is £300 and that’s even higher than the original loan installment.

Now they want me to say in writing why I can’t pay. I am thinking to show them my income and expenses but just want to be clear before I send any details what sort of expenses can I include for example can I show them my SKY and exam fees/ books of my unmarried but living together student partner.

Thank you

BeautyandtheBeast_3

No idea but welcome and bumping you as someone far more knowledgeable will be along soon!

talana

I would say show them a full SOA anyway, be as complete as possible.

However..... things like SKY are luxuries rather than essentials. And arguing that you can't afford to pay £x because of the little luxuries in your life (Sky, 2 holidays a year, expensive nights out or whatever they may be) probably won't get you very far.

Argue your case based on your essential monthly expenses. Exam fees/books would seem a reasonable expense to include here.

start_new

Thx Talana Sky is the only luxury I have in my list that also for £32.50. I have to keep it otherwise I ll be on debt to them as well

Dinah93

Saw your other thread about the debts you don't know what is happening with them, have you considered running a credit check to find out what state things are actually at? I would also look at posting a thread on here to ask peoples advice since you seem to have a lot more money owing than you can keep up with, and running away and hoping these other debts don't catch up with you is a bad, bad plan.

bank_of_slate

Does the sky deal include internet connection which is essential for studies?
...Linda xx

start_new

yes bank of slate

bank_of_slate

start_new wrote: »

yes bank of slate

Then don't list it as sky, list it just as Internet connection and explain it's essential for studies/ research purposes.
...Linda xx

bank_of_slate

To show your income and expenses complete the SOA (Statement of accounts) form here > http://www.makesenseofcards.com/soacalc.html

It'll help you so you don't miss anything out.
...Linda xx

TMoose

And don't forget to add £10pw for dry-cleaning!

Back when I did my first SOA (2005ish) I was told that I could have an "allowance" for dry-cleaning. Which as a student I didn't actually need... this was always a convenient place to put something that I could then use as a buffer.

Not that I recommend lying on your SOA - but remember to present your finances to show that your offer is what you can afford - any more they WILL demand.

start_new

Thank you very much Bank of slate