My SOA - please can someone help

ClaireF27

My husband and I are in loads of debt, unfortunately have been living off it but now something has to give.

My SOA is below.
It was suggested to reduce petrol costs but unfortunately to get to and from work we have to spend a min of £50 per month. I am looking at reducing the Sky bill and that is my next step.

With all our minimum payments there is not much else i can do and am really worried. It is causing em lots of stress and grieve esp as we have an 18 month old baby too.

Any advice? Would a debt management plan work and how much would you usually pay per month between you?

Our biggest cost is £500 to his ex which if we didnt have to pay would help and we could probably get by.

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household......... 1
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 1060
Partners monthly income after tax....... 2970
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 4030
Monthly Expense Details
Mortgage................................ 855
Secured/HP loan repayments.............. 206
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 135
Electricity............................. 45
Gas..................................... 50
Oil..................................... 0
Water rates............................. 50
Telephone (land line)................... 15
Mobile phone............................ 20
TV Licence.............................. 37
Satellite/Cable TV...................... 35
Internet Services....................... 20
Groceries etc. ......................... 230
Clothing................................ 30
Petrol/diesel........................... 250
Road tax................................ 16
Car Insurance........................... 45
Car maintenance (including MOT)......... 30
Car parking............................. 0
Other travel............................ 10
Childcare/nursery....................... 500
Other child related expenses............ 20
Medical (prescriptions, dentist etc).... 10
Pet insurance/vet bills................. 8
Buildings insurance..................... 6.54
Contents insurance...................... 6.54
Life assurance ......................... 85
Other insurance......................... 0
Presents (birthday, christmas etc)...... 30
Haircuts................................ 5
Entertainment........................... 10
Holiday................................. 20
Emergency fund.......................... 0
Maintanance following divorce........... 500
Total monthly expenses.................. 3280.08

Assets
Cash.................................... 0
House value (Gross)..................... 175000
Shares and bonds........................ 0
Car(s).................................. 1500
Other assets............................ 0
Total Assets............................ 176500

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 165000...(855)......0
Secured Debt.................. 30000....(206)......0
Total secured & HP debts...... 195000....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
capital one....................7800......240.......25.88
Halifax........................10780.....210.......21.95
First Direct...................6300......185.......16.9
Next...........................900.......80........0
Citi...........................3000......100.......0
Citi...........................12619.....317.......0
Virgin.........................6100......45........34.9
Mint...........................2700......61........17.5
Marbels........................4650......115.......31.9
Egg............................8300......260.......21.9
Total unsecured debts..........63149.....1613......-

Monthly Budget Summary
Total monthly income.................... 4,030
Expenses (including HP & secured debts). 3,280.08
Available for debt repayments........... 749.92
Monthly UNsecured debt repayments....... 1,613
Amount short for making debt repayments. -863.08
Personal Balance Sheet Summary
Total assets (things you own)........... 176,500
Total HP & Secured debt................. -195,000
Total Unsecured debt.................... -63,149
Net Assets.............................. -81,649
Created using the SOA calculator at .
Reproduced on Moneysavingexpert with permission, using IE browser.

Deep_In_Debt

Hi & welcome

I can't offer much advice but your electricity and gas seem high. Do you switch every thing off at the mains and switch lights off when you are not in the room? My ex had a really annoying habit of leaving lights on in every room so the house was like Blackpool Illuminations! In fact, I think I was paying for them too!

Water - have you thought about a meter? Give your water authority a call and they will tell you if you will save money. I've saved over £20.00 a month with mine and it makes you more careful with what you use.

TV licence is normally about £11-£12pm - are you paying arrears?

Deep_In_Debt

Me again!

Your internet is expensive too. Can you look into getting a package? There are some good deals around at the moment.

Sky - you can get Freeview through your box - can you cancel Sky?

ClaireF27

We are already on a water meter and our bill stays the same btu the costs go up.

We are on the cheapest gas/electricity and we turn everything off.

Sky i am going to get freeview - going to ring up this weekend.

Broadband i am on aol and its the cheapest and most reliable i can find as i do some work from home.

Deep_In_Debt

A dmp could work for you. Worth giving CCCS, Payplan or CAB a ring and they will advise. Your payments would depend on how much you can afford to pay - basically your surplus after essentials. Some people on here pay £100 pm, some (myself included) pay £500pm into a dmp. It just depends on your surplus.

CCCS have a debt remedy on-line (am rubbish with links) worth doing that and see what it suggests?

Treadmill

Looking at those figures I it seems that you are so far underwater you should consider bankruptcy.

Numpty_Monkey

ClaireF27 wrote: »

My husband and I are in loads of debt, unfortunately have been living off it but now something has to give.

My SOA is below.
It was suggested to reduce petrol costs but unfortunately to get to and from work we have to spend a min of £50 per month. I am looking at reducing the Sky bill and that is my next step.

With all our minimum payments there is not much else i can do and am really worried. It is causing em lots of stress and grieve esp as we have an 18 month old baby too.

Any advice? Would a debt management plan work and how much would you usually pay per month between you?

Our biggest cost is £500 to his ex which if we didnt have to pay would help and we could probably get by.

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household......... 1
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 1060
Partners monthly income after tax....... 2970
Benefits................................ 0 You should get child benefit
Other income............................ 0
Total monthly income.................... 4030
Monthly Expense Details
Mortgage................................ 855 ask about going intrest only for a short time
Secured/HP loan repayments.............. 206
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 135 ask to pay over 12 months
Electricity............................. 45 Turn things off at the wall, turn lights off , check you are on the best tarrif
Gas..................................... 50 turn the heating down, check the tarrif, use Martins article about utilities
Oil..................................... 0
Water rates............................. 50
Telephone (land line)................... 15
Mobile phone............................ 20
TV Licence.............................. 37 should be £12
Satellite/Cable TV...................... 35 cancel and use freeview
Internet Services....................... 20 look at lanline and broadband packages
Groceries etc. ......................... 230Can be reduced check out the Old Style board
Clothing................................ 30 wear what you have and use charrity shops
Petrol/diesel........................... 250
Road tax................................ 16
Car Insurance........................... 45 Any insurance use comparison sites and cashback sites
Car maintenance (including MOT)......... 30
Car parking............................. 0
Other travel............................ 10
Childcare/nursery....................... 500 anyway to reduce this, family or friends
Other child related expenses............ 20
Medical (prescriptions, dentist etc).... 10
Pet insurance/vet bills................. 8
Buildings insurance..................... 6.54
Contents insurance...................... 6.54
Life assurance ......................... 85:eek: you can get cheaper
Other insurance......................... 0
Presents (birthday, christmas etc)...... 30 this needs to be cut
Haircuts................................ 5
Entertainment........................... 10
Holiday................................. 20 if not allready booked you can't afford it
Emergency fund.......................... 0
Maintanance following divorce........... 500
Total monthly expenses.................. 3280.08

Assets
Cash.................................... 0
House value (Gross)..................... 175000
Shares and bonds........................ 0
Car(s).................................. 1500
Other assets............................ 0
Total Assets............................ 176500

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 165000...(855)......0
Secured Debt.................. 30000....(206)......0
Total secured & HP debts...... 195000....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
capital one....................7800......240.......25.88
Halifax........................10780.....210.......21.95
First Direct...................6300......185.......16.9
Next...........................900.......80........0
Citi...........................3000......100.......0
Citi...........................12619.....317.......0
Virgin.........................6100......45........34.9
Mint...........................2700......61........17.5
Marbels........................4650......115.......31.9
Egg............................8300......260.......21.9
Total unsecured debts..........63149.....1613......-

Monthly Budget Summary
Total monthly income.................... 4,030
Expenses (including HP & secured debts). 3,280.08
Available for debt repayments........... 749.92
Monthly UNsecured debt repayments....... 1,613
Amount short for making debt repayments. -863.08
Personal Balance Sheet Summary
Total assets (things you own)........... 176,500
Total HP & Secured debt................. -195,000
Total Unsecured debt.................... -63,149
Net Assets.............................. -81,649
Created using the SOA calculator at .
Reproduced on Moneysavingexpert with permission, using IE browser.

:hello:Hi Claire
If we take out your current debt repayments you have about £800 a month a bit of trimming maybe £900/£1000 top ay your debts
I think you need to talk to one of these Non-profit Debt Counsellors' List
for me a DMP does sound a good idea

HTH:A

Link to CCCS Debt Remedy
https://www.cccs.co.uk/debtremedy/(S(cvfcnw45dg4vynyxlc4cy1qm))/start.aspx?hp=7

Tixy

Hi Claire

Your TV licence seems much to high -its usually £12 per month except in the first 6months when its £25ish.

Your media is costing £75 in total for telephone, broadband and satellite - you should be able to get much cheaper if you get all from the same provider, or consider ditching satellite.

Groceries are not particularly high but most people can shave 10% off without noticing a huge difference, try the drop a brand challenge or meal planning, or try bulk cooking at the weekend or taking packed lunches to work if you normally on the go.

Your childcare cost is a large proprtion of your income. Is there any way this can be reduced at all? How long until your child is at school and this stops or reduces?

Life assurance seems very high unless one of you has a specific illness/health problem. Shop around as you may be able to get much cheaper - if it was bought with your mortgage you can often halve it by shopping around.

Is the maintenance a formal or informal figure? Was it part of the divorce or a CSA figure? (not saying it should be reduced necessarily but just asking in case).

What is the £30k secured debt? Is this a second charge on the house from previous debt consolidation?

Without sounding rude how did you run up £63k of unsecured debt - was it just overspending for years? Is it down to one of you not workin for a while or losing your job? To do with the divorce? The reason I ask is because it can make a differnce to what solution is likely to work best for you.

From your numbers a DMP looks like it would work, the combined amount you would be expected to pay is usually the figure shown as left for debt repayments on your SoA, so the £750 in your case. They do expect you to use all available money on a DMP, although the charity you use may tell you to show a slightly increased cost in some areas to give you a little space, so it may come out as £650 to £700 in the end.

If you are thinking of going down a DMP route always use one of the free charity organisations (never use a paid for DMP service =costs money and a worse service, debts take longer to pay).

Here is a list of free debt advice services -http://www.moneysavingexpert.com/loans/debt-help-plan#help

Whatever solution you choose it presumably took you a long time to get in this much debt and will take time to get out of it. (Eg even if all creditors stopped interest and charges immediatley you would be looking at the best part of 9years unless you can increase your income or decrease outgoings).

Hope you get loads of useful advice on here and if you do choose a DMP and have any questions loads of people on here will have been through the same issues in the past.

Good luck

bigmommamuppet

Hi There,

We were about the same as you with a defict of £850 p/m and decided a DMP was the only sensible thing that we could do. I filled in the CCCS debt remedy thing online and everything was up and running within 6 weeks. We pay £1200 into our plan (but do have large debts) so unless you can up your income or reduce your outgoings but still have a reasonable standard of living then I think a DMP would be your best bet.

Becks

tyllwyd

You have £63 unsecured debts and you are in another £20K of negative equity. That's £83K of debt on top of your mortgage which is also high at £165K. Do you realistically think you can pay all of that off? To me, in your situation a DMP sounds like a life sentence. I'm no expert, but in your situation at least bankruptcy would put an end date on the misery - otherwise the danger is that you try to go into a DMP, a few years down the line you realise that you are making no headway and you decide to go bankrupt anyway.

Mimi_Arc_en_ciel

ClaireF27 wrote: »

My husband and I are in loads of debt, unfortunately have been living off it but now something has to give.

My SOA is below.
It was suggested to reduce petrol costs but unfortunately to get to and from work we have to spend a min of £50 per month. I am looking at reducing the Sky bill and that is my next step.

With all our minimum payments there is not much else i can do and am really worried. It is causing em lots of stress and grieve esp as we have an 18 month old baby too.

Any advice? Would a debt management plan work and how much would you usually pay per month between you?

Our biggest cost is £500 to his ex which if we didnt have to pay would help and we could probably get by.

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household......... 1
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 1060
Partners monthly income after tax....... 2970
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 4030
Monthly Expense Details
Mortgage................................ 855
Secured/HP loan repayments.............. 206
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 135 Can this be changed to pay over 12 months instead of 10
Electricity............................. 45
Gas..................................... 50 Can this be reduced?
Oil..................................... 0
Water rates............................. 50 This is ridiculously high - mines £17 a month - have a word with the water board.
Telephone (land line)................... 15
Mobile phone............................ 20
TV Licence.............................. 37 is this right? mines only £11?
Satellite/Cable TV...................... 35 Cancel and use freeview
Internet Services....................... 20 Can this be reduced
Groceries etc. ......................... 230 try cutting this down - even with a baby it is possible - try the old style board for cooking ideas
Clothing................................ 30 Can you reduce this? Ebay is great for kids clothes cheaply
Petrol/diesel........................... 250
Road tax................................ 16
Car Insurance........................... 45 Can you check this is up to date - may be cheaper elsewhere
Car maintenance (including MOT)......... 30
Car parking............................. 0
Other travel............................ 10
Childcare/nursery....................... 500 Can this be reduced by changing nurseries? Get busybees ?
Other child related expenses............ 20 What is this?
Medical (prescriptions, dentist etc).... 10
Pet insurance/vet bills................. 8
Buildings insurance..................... 6.54
Contents insurance...................... 6.54
Life assurance ......................... 85 Very high - try and compare prices
Other insurance......................... 0
Presents (birthday, christmas etc)...... 30
Haircuts................................ 5
Entertainment........................... 10
Holiday................................. 20 You can not afford a holiday fund - if not already booked then dont plan one
Emergency fund.......................... 0
Maintanance following divorce........... 500
Total monthly expenses.................. 3280.08

Assets
Cash.................................... 0
House value (Gross)..................... 175000
Shares and bonds........................ 0
Car(s).................................. 1500
Other assets............................ 0
Total Assets............................ 176500

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 165000...(855)......0
Secured Debt.................. 30000....(206)......0
Total secured & HP debts...... 195000....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
capital one....................7800......240.......25.88
Halifax........................10780.....210.......21.95
First Direct...................6300......185.......16.9
Next...........................900.......80........0
Citi...........................3000......100.......0
Citi...........................12619.....317.......0
Virgin.........................6100......45........34.9
Mint...........................2700......61........17.5
Marbels........................4650......115.......31.9
Egg............................8300......260.......21.9
Total unsecured debts..........63149.....1613......-

Monthly Budget Summary
Total monthly income.................... 4,030
Expenses (including HP & secured debts). 3,280.08
Available for debt repayments........... 749.92
Monthly UNsecured debt repayments....... 1,613
Amount short for making debt repayments. -863.08
Personal Balance Sheet Summary
Total assets (things you own)........... 176,500
Total HP & Secured debt................. -195,000
Total Unsecured debt.................... -63,149
Net Assets.............................. -81,649
Created using the SOA calculator at .
Reproduced on Moneysavingexpert with permission, using IE browser.

Hi - my comments are in red - Hope these help x