urgent advice needed

RAS

Hi

You have to pay the mortgage, council tax, secured loans, utulties and food first. They are priority debts.

It is the unseecured debt that you may not be able to pay, not the other way round.

Priorities first.

savingmummy

Your hubby will have to help out by not spending money, £500 is alot to spend on nothing you know of!
You are married and should work together yes it is your debt BUT its his house and bank account too which will affect him if it isn`t cleared/sorted out.
You clearly can`t manage paying bills and debts alone so he will need to help!x

I have no advise regarding your unpaid bills contact them and explain.......you must pay the mortgage first along with council tax.
Do you have anything you can sell? Has hubby got Any savings?

CLAPTON

You must tell your husband so you can act as a team to reolve the problem
on paper it looks like you have enough income to resolve things if you both work together

you can't ring fence his 500 ... it's not a question of 'fault' anymore its a matter of not losing the house etc.
once the problem is resolved he can have his 500 spending money back

once you have spoken to him you need to work out a new budget and post up the SOA when you have done that.

- you must give priority to paying the important bills
e.g. mortgage (otherwise you may lose the house), council tax (you will be prosecuted, utility bills

-open a new bank a/c with someone where you have no debts

-if you need the car for work, then your next most important bill is the HP otherwise you may lose the car

- start to keep a spending diary (and OH) to see where all the money is going

- if there is still a shortfall then you will have to default on the un-secured loans but whatever you do you must pay those priority debts

regret70

Quote:
Originally Posted by regret70
heres my SOA

Household Information[/b]
Number of adults in household........... 2
Number of children in household......... 0
Number of cars owned.................... 2 do you need 2 cars?? yes we both work in the community and need cars, without we cant do our jobs
Monthly Income Details
Monthly income after tax................ 1800
Partners monthly income after tax....... 1200
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 3000
Monthly Expense Details
Mortgage................................ 720
Secured/HP loan repayments.............. 145
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 84
Electricity............................. 50 you could shop about to see if you can find cheaper on elec/gas
Gas..................................... 30
Oil..................................... 0
Water rates............................. 20
Telephone (land line)................... 20
Mobile phone............................ 40 can you cancel contract and go payg? or if its payg cut down to £10 a mthi cant cancel my contract until june but will go on PAYG then
TV Licence.............................. 12
Satellite/Cable TV...................... 25 get rid or reduce for now!!
Internet Services....................... 0
Groceries etc. ......................... 200 this is high for just 2!! meal plan, stick to a strict shopping list. BOGOF`s and go late in day for bargains i have been trying to do it on £120
Clothing................................ 50 you can`t afford this!! use what you have for now
Petrol/diesel........................... 100
Road tax................................ 20
Car Insurance........................... 70 again shop around for cheaper quotes this is the best i could find, only being 25 doesnt help!
Car maintenance (including MOT)......... 20
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 10
Pet insurance/vet bills................. 0
Buildings insurance..................... 35
Contents insurance...................... 0
Life assurance ......................... 10
Other insurance......................... 0
Presents (birthday, christmas etc)...... 20 reduce this or stop, just for now buy on budget say £10 pp. limit who you buy for!im going to make things!
Haircuts................................ 0
Entertainment........................... 100 can this be reduced?
Holiday................................. 20 is this booked?? no were saving to go to new york for hubbys 30th in 2012!going to a family caravan for a break this year, nice and free!
Emergency fund.......................... 20 USE THIS EMERGENCY FUND!
Total monthly expenses.................. 1821

Assets
Cash.................................... 0
House value (Gross)..................... 100000
Shares and bonds........................ 0
Car(s).................................. 6000
Other assets............................ 0
Total Assets............................ 106000

Secured & HP Debts
Description....................Debt......Monthly.. .APR
Mortgage...................... 85000....(720)......0
Hire Purchase (HP) debt ...... 4000.....(145)......22
Total secured & HP debts...... 89000.....-.........-
Unsecured Debts
Description....................Debt......Monthly.. .APR
alliance and leiceste..........2500......81........0
tesco..........................2000......95....... .0
sainsburys.....................3000......100...... .0
barclaycard....................1400......50....... .27.9
aqua card......................450.......50........29.9
barclay overdraft..............3400......100.......0
barclay loan...................4000......150.......0
natwest overdraft..............4000......0.........200
Total unsecured debts..........20750.....626.......-

Monthly Budget Summary
Total monthly income.................... 3,000
Expenses (including HP & secured debts). 1,821
Available for debt repayments........... 1,179
Monthly UNsecured debt repayments....... 626
Amount left after debt repayments....... 553 YOU NEED TO KNOW WHERE THIS GOES!!!! It is obviously being used on other things apart from from bills and debt so this needs to be sorted out!
Start a spending diary.thanks will do!
Personal Balance Sheet Summary
Total assets (things you own)........... 106,000
Total HP & Secured debt................. -89,000
Total Unsecured debt.................... -20,750
Net Assets.............................. -3,750
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.[/font]

Lots of room for change here!! Which is fab!
Your surplus each month is AMAZING which is a very good thing, you just need to find out where it goes and then use it on your unpaid bills/debts!
Good luck with hubby, keep us updated x thanks, its just the bills this month that we cant pay as the account has a 0 balance and only got paid on wednesday last week!

maisbitt

You're in a better position than most to sort this out - £3000 take home and relatively low commitments (excluding the debts you ran up) aren't bad.

If your credit score isn't badly affected yet, have you considered taking out a new mortgage deal? £720 a month for an £85K mortgage seems a lot (on the assumption that it was taken out on a 25 year term) - i'm paying £700 a month for a £141,000 mortgage over 25 years (admittedly, £80K of it is on a tracker rate of 0.19% above base rate).

You should try and get yourself a hobby or a pet that'll take some of your time - I bet half of the temptation to gamble was through boredom - does your partner work different hours to you, leaving you a lot of "free" time?

Do you have a history of gambling, or is it something only recently developed? All my family gamble frequently for small stakes, but it's something i've never had an interest in.

StrawberryYogurt

Do you have a paypal and ebay account? Could you sell some things on ebay to withdraw into the 0 balance account? Do you have anything that you can bear to part with that may fetch a quick and high Buy It Now Price? You could be downloading money today.

I am guessing that you have used the surplus on gambling which is why you are at a 0 balance now? Oh hun, I totally feel for you and how scared you must feel. You are going to have to do one of the toughest things you can and that is for deff sit with Hubby tonight and explain everything. Show him this thread, let him see the SOA as its not all totaly scary, there is nothing there that cant be fixed, you are actually in a great position to rectify this but you need him on board, I bet you will actually feel a huge relief once you confess to him to. Keep posting here and update us as we will be thinking of you x

regret70

we got married august 2008 and i think it was the sudden change i couldnt cope with, i dont know why but i struggled with the sudden change of being married. it sounds stupid i know but i had to live in my parents home until the day i got married (how old fashioned!) and then the next day i had a new name, a new home and a new life i think it was all too much and i couldnt cope with the freedom and i got homesick and depressed. i love my husband so much too! i have recently joined a gym (£10 a month bargain!) and i go every night so the times i was gambling i have filled with running!

thanks for the mortgage advice, we took out our mortgage in 2007 just before the credit crunch, iour fixed rate ends in august so hopefully that will help? im not very good with mortgages!

Welshdebtor

Been touched on already,

I would reduce entertainment if poss.
Reduce emergency to a fiver
find out were that 500 odd pounds goes exactly
Tell the other half, yes you have this board for support, but sometimes you need someone who knows you , to get the hugs etc you need.

Concentrate on paying the priorities first. Not paying them results in a loss of something.

Well done for owning up to your addiction, good luck.

regret70

quote: Do you have a paypal and ebay account? Could you sell some things on ebay to withdraw into the 0 balance account? Do you have anything that you can bear to part with that may fetch a quick and high Buy It Now Price? You could be downloading money today.

i have already sold anything decent that i have, including my lovely classic beetle! i literally have nothing left.

i dont know why i am so scared of telling hubby, he never gets angry with me even whn i do stupid things, but im scared that this might be the final straw!

regret70

thank you all so much for your kind words and support, i really thought i would get messages calling me stupid and worse (still what i deserve)
but you have all been so kind and gentle with me and quick with the responses!

i am feeling a bit happier now than i was this morning, just need to ring all my creditors and see what i can arrange to miss a month!