What would you do

code4

So i have wanting to move out of my parents place for some time now, but my spending habbits are stopping me from doing so, i want to wipe the slate clean before i make any commitment to rent and other household bills, i have completed a soa form and like i said im still at my parents place so there are alot of blanks. im just interested in what you would do in my situation. many thanks

Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 1210
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1210

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 250
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 0
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 45
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 19.99
Groceries etc. ......................... 40
Clothing................................ 0
Petrol/diesel........................... 160
Road tax................................ 11
Car Insurance........................... 36.52
Car maintenance (including MOT)......... 15
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 7
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 10
Entertainment........................... 50
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 644.51


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

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
credit card bc.................524.......13........24.9%
credit card al.................3538......117.......2.5292% a month
overdraft......................750.......5.........0
Total unsecured debts..........4812......135.......-


Monthly Budget Summary
Total monthly income.................... 1,210
Expenses (including HP & secured debts). 644.51
Available for debt repayments........... 565.49
Monthly UNsecured debt repayments....... 135
Amount left after debt repayments....... 430.49

Personal Balance Sheet Summary
Total assets (things you own)........... 1,500
Total HP & Secured debt................. -0
Total Unsecured debt.................... -4,812
Net Assets.............................. -3,312

RAS

Hi

We really need to know the Aprs on those cards/accounts, and their limits.

plus, do you really, really NEED the car?

code4

Description....................Debt......Monthly...APR
credit card bc.................524.......13........0 24.9%
credit card al.................3538......117.......0 Not sure of apr works out about £83 a month i will try to find out though.
overdraft......................750.......5.........0
Total unsecured debts..........4812......135.......-

Yes i do need the car i live out in the countryside, but during the light months i do cycle to work.

code4

yes i realize that, that is why i come on here for ideas on what to do. i do have a partner but i would to be able to know i could cope on my own.

i usually manage to pay over the minimum on my al card but still only makes a very small dent every month.

RAS

You need to be overpaying the BC card, not Al, as it looks like the APR is higher, but check that fact.

What have you got that you can sell on e-bay, amazon or at a car boot? if you can knock a bit of the most expensive card, it will start to snowball.

code4

I have had a clear out of things and they will be on ebay shortly, I cant find on the statment the apr on the al one..

code4

overdraft is £5 a month
card limit on bc is £600
card limit on al is £3700 and apr is 2.5292% a month

code4

the overdraft limit is £750 and is 50p per day but caps a £5 a month, i will set up a dd onthe bc this week then, i have also downsized cars and i still need to get rid of the old one its not worth much but still be an extra couple of hundred quid off the debt,
plus i will be £50 better off a month starting in july due to slight pay increase.

Any other ideas of what i could do?

beanielou

Start a spending diary & see where all the surplus income you have in your SOA goes.

kaz0705

The £45 for a mobile seems a lot. If you're happy with your phone and due an upgrade, get a sim only tarriff (mines with 02 and i get 700mins 1400texts and unlimited internet use). If you're still tied into the contract, call them and negotiate!

Again, internet services seem a lot; are you paying solely for this? If your parents pay the phone line, there's no WAY you should be paying this- check out Martin's tips for broadbands (think there was a £4 a month one in the last newsletter). Again, I'm with 02 and, as im a phone customer with them, pay £7.50 and they've been great.

Are the groceries in addition to stuff that you eat at home (ie are you allowed to eat what your parents buy and you just top up with what you fancy?). If so, then £40 could come down. (if its a contribution they ask for, maybe you can show them this site and they can bring the cost down overall :-)

Finally, as per usual, check you're getting the best rate for insurance and petrol. As i live in London, i dont drive now but, again, i think on here there's a 'where to buy petrol' thing so you're getting your monies worth.

Set up a cashback site (i use topcashback.co.uk) and then do searches as comparethe market etc can offer up to £2 just for getting a quote.

I think the main thing to sort out is your savviness. Really spend time on these pages, look up all Martin's money makeover pages. There is absolutely no point in money out until you really understand about the 'real cost of things' (oh god, i sound like my dad!).

With £430 left over after paying for your (min?) payments, you can easily start making headway to clearing your cards. Go to whatsthecost.com and workout your snowball calculator; put in an amount you think you can commit to paying off each month (inc. the min. payments) and you'll see how quickly it can be done.

Good luck!

code4

my overdraft limit is £750 and im usually at the £750 mark come payday.

I suffer from deppression and when i feel low i go out and spent what i have left, makes me feel good for a bit a then i think to myself "i have done it again" then im skint again.

but i know i need to sort myself out before this gets out of hand.