Need Some Advice On Sisters Debt?

Penny-Pincher!!

Hi Guys

Need a little help if thats ok

My sister has just confessed to having more debt than I orignally knew about. I recently was successful in getting a great full and final payment offer from what I thought was her last debt:mad:

Basically she owes 13-14k:eek: :eek: :eek: ....her only income is benefits, she is single and her son is disabled, so she cant work.

I have suggested it would be a good idea to pay off a little this month, even if its just a token payment etc and to let them know she is having financial problems and that she is seeking advice. The debts are on 2 credit cards and has already missed 2 payments.

I am trying to sort an expenditure monthly list with her but am unsure what to average for food, clothes, utilities, travel etc etc. Is there any chart that has rough figures that I can base this on so that she will be able to offer a monthly payment that she will stick too, cover all expenses so she cant say that she hasnt added this or that IYSWIM Would it be best to over estimate the outgoings?

Hope Ive explained this well enough...probably not:rotfl:

She is 2 years younger than me and always seemed to be OK with money. Not sure where all these funds have gone, but she has been close to a couple of guys that have used and abused her and looks like she is still picking up the pieces. Not passing blame as its her fault at the end of the day...just so annoying!! Really dont need this ATM and I am not bailing her out again...although I will do my best to help her get through it....family:p

Thanks in advance.

PP
xx

loobyloo1980

I would suggest that you get her to pass on her SOA and from that it might be clear as to whether or not she will manage to repay her debt on her income and in her circumstances. Paying off a large debt like that on benefits alone will not be easy, and it may be worth looking into bankruptcy??? Just a thought. At least she has a good role model in you, as I notice you are almost debt free yourself, and it is good that she has opened up about her situation.

There is a good budget sheet on the national debtline site (link above) which gives some approximations of what you can allow for clothes, food etc per person, and I would think that would be a good place to start.

Good luck xxxx