My new and improved SOA!

tiny_courageous

littlepinkstars44 wrote: »

Yes, because i have missed quite a few payments on things, and got £12 charges added.

In that case, you NEED to set up direct debits for the minimum amount for each card. Set up the DDs to go out the day after you get paid. That way they're done and dusted, and no more late charges. Then, the more you can overpay throughout the month, the more the debt goes down.

TotallyBroke

I agree with others you need a more realistic soa. Have a look through your bank statements for the last 12 months and see where your money has gone. If you can't work out what any cash withdrawals were for then you need a spending diary. This is so you can write down when you withdraw cash and what you then spend it on.

Have I got this correct, your mum ordered on your behalf 2 xbox elites, one for you and one for your brother? Why did you buy yourself such an expensive gift? How much are these things if you are paying £150 per month?

The £20 you have in your soa for clothes needs to be put to paying off for the clothes you have already bought. Only once your store cards have been paid off and cut up can you affford to buy new clothes of any sort.

If it is your birthday in Jan you could ask your Mum to reduce the payment amount for January as your gift. So if she would normally spend £20 on you then you've saved £20.

Tixy

Hi LPS

I think its all very well doing a statement of affairs but its clear that in the past you have struggled to keep to your plans. Therefore the SOA is in itself meaningless.

What I think will help you is that if you do the SOA and then also keep a really detailed spending diary. Then at the end of each month compare what you intended to spend to what you have actually spent in each and every category. Write the actual figures in a new column alongside the budgeted SOA.

Maybe this will help you see where you have gone wrong in the past and where you can improve things going forward.

rictus123

All i can really suggest is trying to increase your income. Do you have any hobbies that you could use to help generate you a bit more cash? What are you good at?

littlepinkstars44

tiny_courageous wrote: »

In that case, you NEED to set up direct debits for the minimum amount for each card. Set up the DDs to go out the day after you get paid. That way they're done and dusted, and no more late charges. Then, the more you can overpay throughout the month, the more the debt goes down.

I get paid on a different day every month, so thats why i don't really want to set up any DD's, incase i don't have any money in the bank

littlepinkstars44

TotallyBroke wrote: »

I agree with others you need a more realistic soa. Have a look through your bank statements for the last 12 months and see where your money has gone. If you can't work out what any cash withdrawals were for then you need a spending diary. This is so you can write down when you withdraw cash and what you then spend it on.

Have I got this correct, your mum ordered on your behalf 2 xbox elites, one for you and one for your brother? Why did you buy yourself such an expensive gift? How much are these things if you are paying £150 per month?

The £20 you have in your soa for clothes needs to be put to paying off for the clothes you have already bought. Only once your store cards have been paid off and cut up can you affford to buy new clothes of any sort.

If it is your birthday in Jan you could ask your Mum to reduce the payment amount for January as your gift. So if she would normally spend £20 on you then you've saved £20.

I don't keep my bank statements, i don't really look at them, i just bin them.

No my mum bought 2 Xbox's for me and my brother as our christmas pressents. But she ordered them from my catalogue, as she doesn't have one. So she is paying that back at £50 per month for the two of them.
I don't know what you mean about £150?? I usually give her £150 rent every month, but she has told me just to give her £100 of it, and use the other £50 towards the Xbox's...so she is paying them off not me.

I don't understand what you mean about the £20?

littlepinkstars44

rictus123 wrote: »

All i can really suggest is trying to increase your income. Do you have any hobbies that you could use to help generate you a bit more cash? What are you good at?

Urm no, not really. I don't really do much outside of work and uni, other than watch tv, read, and go out to gigs and nights out.

Tixy

littlepinkstars44 wrote: »

I don't keep my bank statements, i don't really look at them, i just bin them.

No my mum bought 2 Xbox's for me and my brother as our christmas pressents. But she ordered them from my catalogue, as she doesn't have one. So she is paying that back at £50 per month for the two of them.
I don't know what you mean about £150?? I usually give her £150 rent every month, but she has told me just to give her £100 of it, and use the other £50 towards the Xbox's...so she is paying them off not me.

I don't understand what you mean about the £20?

:eek:You'll never get on track with your finances if you don't change this. You need to check your bank statements to check they are correct for starters (banks do make mistakes) and to help you see where you are overspending.

Totallybroke meant instead of your mum buying you a present why doesn't she just reduce your rent for the month by the amount she would spend on your present. So instead of you getting a gift you pay her a bit less rent and then pay that same amount off one of your debts.

littlepinkstars44

Tixy wrote: »

:eek:You'll never get on track with your finances if you don't change this. You need to check your bank statements to check they are correct for starters (banks do make mistakes) and to help you see where you are overspending.

Totallybroke meant instead of your mum buying you a present why doesn't she just reduce your rent for the month by the amount she would spend on your present. So instead of you getting a gift you pay her a bit less rent and then pay that same amount off one of your debts.

oh right, erm i think my mum has already got my my pressents. Cause i don't like the uggs i got for christmas, so shes gonna get me grey ones now. So thats way more than the £100 i give already.

I think i may start checking my statements then, i never thought they would make mistakes before!

TotallyBroke

littlepinkstars44 wrote: »

A new year, and a new start
So here is my new and improved SOA, if anyone has any tips or ideas please let me know!

Statement of Affairs and Personal Balance Sheet
Monthly Income Details
Monthly income after tax................ 270
Other income............................ 435
Total monthly income.................... 705
Monthly Expense Details
Rent.................................... 100 So this is to your Mum
Mobile phone............................ 20 You can get a decent contract for less than this
Satellite/Cable TV...................... 5
Groceries etc. ......................... 25
Clothing................................ 20
Other travel............................ 50
Medical (prescriptions, dentist etc).... 10
Presents (birthday, christmas etc)...... 10
Entertainment........................... 50
Total monthly expenses.................. 290

Assets
Total Assets............................ 0

No Secured nor Hire Purchase Debts
Unsecured Debts
Description....................Debt......Monthly...APR
Overdraft #1...................1400......0.........0
Overdraft #2...................1040......15........0
Overdraft #3...................200.......0.........0
Old Mobile Debt................90........10........0
Kays BNPL Feb 2011.............150.......0.........0
Very BNPL Feb 2011.............400.......50........0
Very BNPL Sept 2010............120.......0.........0
Very...........................99........15........38.9
New Look Card..................84........10........28.9
Dorothy Perkins Card...........251.......15........29.9
Topshop Card...................224.......15........29.9
Total unsecured debts..........4058......130.......-

Monthly Budget Summary
Total monthly income.................... 705
Expenses (including HP & secured debts). 290
Available for debt repayments........... 415
Monthly UNsecured debt repayments....... 130
Amount left after debt repayments....... 285
Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -4,058
Net Assets.............................. -4,058
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.

littlepinkstars44 wrote: »

I don't keep my bank statements, i don't really look at them, i just bin them.

Well you should do for atleast 6years, you cannot query any mistakes if you do not. If this is one lesson to stop you getting further into debt it is to look through each month and make sure that what is in your spending diary matches with what is gone from your account.

I hope you keep your payslips and your P60s please do not throw them out EVER

littlepinkstars44 wrote: »

No my mum bought 2 Xbox's for me and my brother as our christmas pressents. But she ordered them from my catalogue, as she doesn't have one. So she is paying that back at £50 per month for the two of them.
I don't know what you mean about £150?? I usually give her £150 rent every month, but she has told me just to give her £100 of it, and use the other £50 towards the Xbox's...so she is paying them off not me.

Sorry I had got confused, it makes sense now. Does the £50 she is paying you cover the monthly payment commitment and will she be paying any interest on top that you may incur. If not then she needs to up the payment to you

littlepinkstars44 wrote: »

I don't understand what you mean about the £20?

It was in relation to the above but now you have cleared that up it is not completely relevant. You say it is your birthday soon, so why not ask for money instead of a present. You can then use it to pay off a debt.

The other £20 I mentioned was what you have written down in the SOA under clothing. Use that to pay off your Dorothy Perkins card each month.