My SOA, I feel sick now, any help would be appreciated, thanks.

Numpty_Monkey

salesaddict wrote: »

Hello all,

it has only taken me 3 months since joining mse to pluck up the courage to firstly face up to my debts, and secondly to post on here. I feel sick, ashamed and terrified but I would be most grateful if you would give me any advice.
Thankyou,



Number of adults in household........... 2
Number of children in household......... 2
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 1964
Partners monthly income after tax....... 0
Benefits................................ 173.8 Check you are getting everything use entitledto .co.uk
Other income............................ 0
Total monthly income.................... 2137.8
Monthly Expense Details
Mortgage................................ 572 (we have just finished a years payment holiday and this is now our interest only payment)
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 151 ask to pay over 12 months, reduces the monthly payments, but no free months
Electricity............................. 135:eek::eek: are you paying off arears, or is this typo
Gas..................................... 120:eek::eek: are you paying off arears, or is this typo
Oil..................................... 0
Water rates............................. 35
Telephone (land line)................... 0
Mobile phone............................ 20
TV Licence.............................. 8 Should be £12
Satellite/Cable TV...................... 77 This needs to be reduced, Look at bundle packages, and canceling the stuff you can't afford
Internet Services....................... 0
Groceries etc. ......................... 450 The Old Style peeps will halve that at least
Clothing................................ 100 Need to reduce, wear what you have, use cheap shops, charity shops
Petrol/diesel........................... 120
Road tax................................ 16
Car Insurance........................... 24.5 use comparrison sites and cash back sites
Car maintenance (including MOT)......... 40
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 20
Pet insurance/vet bills................. 0
Buildings insurance..................... 19.66 as car
Contents insurance...................... 0
Life assurance ......................... 49 as car
Other insurance......................... 9
Presents (birthday, christmas etc)...... 100 :eek: needs to reduce £10 max, It's the thought that counts more than the cost
Haircuts................................ 55 Use collages, salloons on traing days, (usually fully suppervised)
Entertainment........................... 40
Holiday................................. 40
Emergency fund.......................... 0
newspaper &mag.......................... 6.8
overdraft interest...................... 19 should be in debts
charities............................... 25 Stop. Charity begins at home
Total monthly expenses.................. 2251.96
Assets
Cash.................................... 0
House value (Gross)..................... 285000
Shares and bonds........................ 0
Car(s).................................. 500
Other assets............................ 0
Total Assets............................ 285500
Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 140420...(572)......4.89
Total secured & HP debts...... 140420....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
AA loan........................11500..... 207.1.....7
m&s............................ 5077......126.......0
Barclaycard....................3113......68........15.9
citi........................... 1980......44........15.7
sainsburys..................... 375.......8.........8.94
tesco......................... .2350......47........0
santander......................2851.6....64.16.....0
natwest...................... ..4946......113.......0
virgin....................... ..5813......25........0
Total unsecured debts..........38005.6...702.26....-
Monthly Budget Summary
Total monthly income.................... 2,137.8
Expenses (including HP & secured debts). 2,251.96
Available for debt repayments........... -114.16
Monthly UNsecured debt repayments....... 702.26
Amount short for making debt repayments. -816.42
Personal Balance Sheet Summary
Total assets (things you own)........... 285,500
Total HP & Secured debt................. -140,420
Total Unsecured debt.................... -38,005.6
Net Assets.............................. 107,074.4

I've left a few comments hope you don't think they are hard :A
You have a shortfall of -£816 , as is
Debt repayment £703


My best suggestion is to use this CCCS Debt Remedy
contact one of these Non-profit Debt Counsellors' List

Don't worry :A

mum2one

salesaddict wrote: »

Hello all,

it has only taken me 3 months since joining mse to pluck up the courage to firstly face up to my debts, and secondly to post on here. I feel sick, ashamed and terrified but I would be most grateful if you would give me any advice.
Thankyou,



Number of adults in household........... 2
Number of children in household......... 2
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 1964
Partners monthly income after tax....... 0
Benefits................................ 173.8
Other income............................ 0
Total monthly income.................... 2137.8
Monthly Expense Details
Mortgage................................ 572 (we have just finished a years payment holiday and this is now our interest only payment)
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 151 - not money saving, technically, but the two free months use them towards adebt as extra payment
Electricity............................. 135 - way to high, are you in arrears
Gas..................................... 120 - ditto (try to get under £100 both)
Oil..................................... 0
Water rates............................. 35
Telephone (land line)................... 0
Mobile phone............................ 20
TV Licence.............................. 8
Satellite/Cable TV...................... 77 -is that phone, + internet included- way to high, need to look at reducing the package
Internet Services....................... 0
Groceries etc. ......................... 450 - could knock £50 off without even making a real noticeable difference, downgrade brand, meal planning,
Clothing................................ 100 - luxury downgrade brands do an as and when shop
Petrol/diesel........................... 120
Road tax................................ 16
Car Insurance........................... 24.5
Car maintenance (including MOT)......... 40
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 20
Pet insurance/vet bills................. 0
Buildings insurance..................... 19.66 - not bad price, but can you shop around at renewal - cash back sites
Contents insurance...................... 0 - you really need contents ins
Life assurance ......................... 49
Other insurance......................... 9
Presents (birthday, christmas etc)...... 100 - got to be cut back, pop over to the xmas threads, theres 2 I use- thrifty gifty money making, and santas challenge - reduce that to at least £50
Haircuts................................ 55 - that has to be reduced even consider trying a local college -students cut, but supervised by tutors (allow £20)
Entertainment........................... 40 - ok but half for now
Holiday................................. 40 - we all need a hol, but could you look for somewhere cheaper - take £10 off for now
Emergency fund.......................... 0
newspaper &mag.......................... 6.8
overdraft interest...................... 19
charities............................... 25 - I'm so sorry but that has to stop
Total monthly expenses.................. 2251.96
Assets
Cash.................................... 0
House value (Gross)..................... 285000
Shares and bonds........................ 0
Car(s).................................. 500
Other assets............................ 0
Total Assets............................ 285500
Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 140420...(572)......4.89
Total secured & HP debts...... 140420....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
AA loan........................11500..... 207.1.....7
m&s............................ 5077......126.......0
Barclaycard....................3113......68........15.9
citi........................... 1980......44........15.7
sainsburys..................... 375.......8.........8.94
tesco......................... .2350......47........0
santander......................2851.6....64.16.....0
natwest...................... ..4946......113.......0
virgin....................... ..5813......25........0
Total unsecured debts..........38005.6...702.26....-
Monthly Budget Summary
Total monthly income.................... 2,137.8
Expenses (including HP & secured debts). 2,251.96
Available for debt repayments........... -114.16
Monthly UNsecured debt repayments....... 702.26
Amount short for making debt repayments. -816.42
Personal Balance Sheet Summary
Total assets (things you own)........... 285,500
Total HP & Secured debt................. -140,420
Total Unsecured debt.................... -38,005.6
Net Assets.............................. 107,074.4

You've taken the first and most important step, I know its not the easiest of things to do, but you need to take a deep breath, you've done it.

I've put some comments on, the gas and elec are really high, simple things like turning lights off, not leaving things on standby, when charging mobile phones, laptops, etc do them in a daytime, that way your be there to turn them off.

Meals - consider downgrading a brand, do a couple at a time, meal planning, bulking out mince, eg
batch mince - shepherds pie, lasagne, chilli,

The old style board is amazing.

Presents, - really need to cut them down, I buy in sales, get freebies, make up hampers, and have saved a fortune

http://forums.moneysavingexpert.com/showthread.html?t=2160839&goto=newpost

thats a link to Santas challenge

http://forums.moneysavingexpert.com/showthread.html?t=2155855&goto=newpost

thats the link to money neutral, everything is explained on Post one for both of them, they may really help,on both threads everyone is there to help everyone out, no one judges, like last yr I was looking a wii for dd for xmas, and had no idea what to get, but everyone was great if there was a special offer, someone would post it, another would come out with what equipment needed.

From the bits I've picked up on, cut gas and elec to £100, lose £55 for haircuts, halve prezzie budget, etc... thats £250 worth of cuts without to much pain.

Sorry to ask notice you have 2 children and a stay at home parent, could you do a quick check up, (www.entitledto.co.uk) or .com but brings you to the same site, this sees whether you have everything you are entitled to.

Could the stay at home parent look at working part time, even if its a few hrs in evening at Supermarket, look at cash back sites for money back offers.

I hope that I have not offended, that is my last intention, just have a habit of babbling on. xx

salesaddict

Hello all,

thankyou so much. I wish I had had the courage to post months ago. There has not been one comment to dent my fragile self esteem. There is so much information here all of it good. It will take me a while to work through it and reply. Thankyou again this means so much to me and will really help me change my dire spending habits and previously non existent budgeting skills

lynzpower

Oh sales addict Im so pleased you are happy with the replies. Ive been thinking about you all day

sanctuary

salesaddict wrote: »

Hello all,

thankyou so much. I wish I had had the courage to post months ago. There has not been one comment to dent my fragile self esteem. There is so much information here all of it good. It will take me a while to work through it and reply. Thankyou again this means so much to me and will really help me change my dire spending habits and previously non existent budgeting skills

I feel the same as you do! Hang in there. I posted my SOA nearly two weeks ago and with the advice and support given to me I have not looked back since - now I am looking forward, re-educating myself about budgeting and spending, reducing my outgoings and I am confident of paying off my £18000 of CC debts in three years.

My advice: go through all your direct debits and question *everything*. Keep a spending diary. Sell whatever you can on ebay. If after reducing your outgoings and increasing your incoming you find you are still unable to make ends meet, then contact one of the debt charities.

Good luck and well done for taking courage and posting. :T

EssexHebridean

Well done to you SA - not easy by any stretch of the imagination but you've done it, give yourself a mega pat on the back! :T

Jo_R_2

Looking at your SOA, there is plenty of scope for improvement - you have certainly made a hugely positive step in working through that SOA.

There's been plenty of constructive comments so I won't repeat what's alreday been said. However from the perspective of someone who has kiddies, I know the challenges of things such as reining in grocery spending, and spending on clothes - I'm currently negotiating DD1 seeming to get through an inordinate amount of school wear and eating me out of house and home - and she's only 5!:D

I found that baby steps helped me, I still tend to take things one at a time as I have found that works best for me even now - my concentration is terrible:o Make lists of 'to do' things when you have an amount of tasks facing you, like at the start of your DFW quest - it helps me through the day to tackle one thing at a time and reduces the pressure of feeling like you have to get everything done all in one chunk as I can come back to the list when I have time.

Good luck x

mum2one

Just another thought, if you have the 2 free council tax months, use that money off your sainsburys - £300, cut haircuts out 1 month even at the £55, and knock £20 off presents, thats one debt gone with pain free efforts.

Ok it would be nice if all debts would go that quick, but it wouldn't make us realise were on the debt free journey.

One of my mottos - when you've hit rock bottom, theres only one way to go up..... and from where I'm looking, u hit rock bottom, and in the nicest of ways that gave you the nudge you needed to get your SOA on and ask for help, so your already on step 1 of the ladder!!

Plz take care, don't worry, we're all do everything we can for you xx

moggylover

Just popped in to see if it was all going ok, and it looks as if you are getting exactly the sort of very sensible advice that I expected you would.

I think there are mega-savings you can make on the SOA, but it is going to take a sort of mind-warp really into "what can I not spend", not "what can I spend".

If you find that spending makes you "feel better" in the short term then perhaps you need to find something else that makes you "feel better" whether that be a long hot bath, a good book from the library, or a brisk walk (away from the shops) in your lunch period (because the endorphins that exercise releases lifts moods/depression).

If you also manage to eBay or otherwise sell some stuff from the house and really listen to the people on debt free then I think you will find quite a remarkable improvement in your finances and that then you will start to see the light at the end of the tunnel and find yourself running towards it:D

Good luck, and well done for having the courage to make the start! That is always the hardest and heaviest step and it all gets easier from there in - especially with the help of the clever folks from MSE:D

penniesonly

Honey, well done for facing up to it! Give yourself a big pat on the back, take a deep breath and have a cuppa on stand by.
1st step, please check your elec/gas suppliers. It does sound high to me.
2nd, stop the charity donations. Right now, you need it in your pocket.
3rd, do your shopping at a different time. Go late evening and you'll be amazed how much you can pick up at a reduced price. (trust me, its my job!) stock up on cheap basics, like baked beans for less than 20p a can. cut out buying ready meals too, as they are not as cheap as you think. you can make a whole pot of stew and dumplings for 8 people for the same price as buying 3 ready made ones!