At breaking point....

Bleakhouse

I do not actually know where to start;
£11.000 overdraft
credit card debt of approx £50.000
Store card £1500
Tax bill £17000

Self employed, income halfed in last 12 months.....what can i do? Seek IVA or remortgage (already got one of £145000) Everything has snowballed...

James240

Afriad i cant help, but bear with us mate there will be some one along who will be able to help. To help them out i would advise you to Post your SOA so that they can see where they can help you cut down and advise on what u should do

Emmzi

Bleakhouse,

what is your income?

Is being employed again an option?

What are your assets worth? (House, car etc)

Bleakhouse

At present about £3.500 to £4.500 per month, house is worth about £200.000 car is on lease. I'm looking desperately for employment at the moment instead of continuing as self employed.

lynzpower

Bleakhouse - a big welceme from me too :wave:

Have a look at southern scousers first time posters and lets see what we can do to find you some savings in the meantime

BIg hug
Lynz
x

Emmzi

Ok.. so you have a pretty good income, and there is about 50K equity in house? Don't panic.. there will be options.

Selling to rent is one option, maybe not your first choice, but *a* choice. This could clear tax bill and a whack off the other debts. So not *so* bleak, there will be a way out!

I would suggest reading the 'sticky' first time posters thread, and doing a SOA for us. Also, if you have cc breakdown with APRs and minumum repayments, same for o/d and loans, that would be useful.

xx

Mirtos

Hi.Just wanted to say that there'll be lots of people who can help as soon as you post your SOA, (State of Affairs) as detailed in Southern Scousers "first time posters" post at the top of the debt free wannabe forum. Take a bit of time to get your figures as accurate as possible, including APRs, and then the money saving geniuses (sp?) on the forum will go to work. Well done on posting - now you're here, it'll all start to feel more controllable - that's certainly my experience. xxx

Bleakhouse

I will, think it will take a bit of time though...in the meantime, what does anyone think of IVA's, individual voluntary.....?

CLAPTON

need an SoA to comment

Bleakhouse

Monthly Incomings:

My salary approx £3,500 - £4,500
Benefits - £120 (family allowance)

Total – approx £3,620 - £4,620

Monthly Outgoings:

Mortgage/Rent - £1090
Council Tax - £134
Gas - £50
Electric - £65
TV License - £10.99
Sky £45.99
Phone - £50.00
Food - £300
Car Insurance - £42.00
Petrol - £100
Life Insurance £40.00
DEBT:
egg card £13,000 – min £250
RBS platinum £10,000 - £225,00 interest per month 1.456%
Morgan Stanley cc £9,546.53 - £300 interest 1.597%
RBS cc £281.61 min £6.00 1.385%
Store card £2,364.81 min £118.00 monthly interest 1.211% APR 15.5%
Tesco cc £6,587.09 min £200 monthly interest 1.313%
Accountant bill for £900
Taxman £17,000
Overdraft £11,000

gallygirl

Bleakhouse wrote:

Monthly Incomings:

My salary approx £3,500 - £4,500
Benefits - £120 (family allowance)

Total – approx £3,620 - £4,620

Monthly Outgoings:

Mortgage/Rent - £1090
Council Tax - £134
Gas - £50 This and electric are way too high - why? Am assuming you have large property, but even so? Have you tried uswitch to check best deal? And change via a cashback site such as quidco.com
Electric - £65
TV License - £10.99
Sky £45.99 Got to go, sorry, at very least reduce to basic package.
Phone - £50.00 Again, way too high. Is this landline + internet - much better deals, try on other boards on this site.
Food - £300 How many for? Try moneysaving old style board. There are people on here who manage on £25 a week for 2 adults, but still eat well. Packed lunches, cooking from scratch etc.
Car Insurance - £42.00
Petrol - £100
Life Insurance £40.00
DEBT:
egg card £13,000 – min £250 APR????
RBS platinum £10,000 - £225,00 interest per month 1.456%
Morgan Stanley cc £9,546.53 - £300 interest 1.597%
RBS cc £281.61 min £6.00 1.385%
Store card £2,364.81 min £118.00 monthly interest 1.211% APR 15.5%
Tesco cc £6,587.09 min £200 monthly interest 1.313%
Accountant bill for £900
Taxman £17,000
Overdraft £11,000

No mention of car lease??????

http://www.whatsthecost.com/snowball.aspx bung your debts in here, it will prioritise them for you.

You appear to have plenty left over each month, even on lowest income, so should be able to chuck at highest debt 1st - this looks like Morgan Stanley, at least you'd make inroads into capital. However, you seem to be struggling - are you sure you've included all outgoings? Also, you need to keep a spending diary, write down EVERYTHING you spend, look for savings that way.

Good luck