Help I dont want to go any further into debt

davie1986

Hi all I new here so any help is much appreciated.

Im in debt and i dont know how to get out i always feel like im at a brick wall.

Firstly a few years ago i bought a car on finance with GE money it was great at the time then i got bored of the car so i changed it and went and bought another car for 5 k extra on top of what was already owed. Leaving me with a total of 8k to pay back to Ge Money. Now since i was young i was full of the best ideas ever i had always wanted a Sunday car. So i took a loan form Halifax for 7.5k over 7 years i could pay this all no problem. Then my job circumstances changed and i went into a lower paid job therefore leaving my money situation tight. By this time myself and my girl friend had moved it together she was paying the rent and keeping the house going. After i bought my sunday car the engine blew up about 3 weeks after leaving me with a big bill to rerpair it which i couldnt afford . It lay at the side of my house as i couldnt sell it with out an engine. I eventually sold it but what i got back wasnt even worth paying it off the loan plus i had other outstanding bills that needed paid. Not long after that i fell in to difficulty again over spending money everyday i then went to halifax to see if the would lend me and my girl friend 3.5k over 4 years to try and consolidate my debts. They gave me the money but i wasted it as usual ( Money burn a hole in my pocket) With overtime in work i could afford the payments but just before xmas both mine and my girlfriends overtime was stopped. After xmas Halifax debt management contacted me and offered to consolidate my loans in to one. My total consolidation loan was 11k over 4 years with an apr of 6.3%. But they wouldnt take my over draft in to the loan and i was 1500 in to it with paying for family xmas pressies etc. Since then i cant seem to get out of my o/d and i really want to be debt free asap.

Can anyone offer any advise on this matter?

Below is my SOA
Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2
Number of children in household.........
Number of cars owned....................

Monthly Income Details
Monthly income after tax................ 900
Partners monthly income after tax....... 940
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1840

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 165
Rent.................................... 550
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 60
Gas..................................... 0
Oil..................................... 50
Water rates............................. 0
Telephone (land line)................... 35
Mobile phone............................ 50
TV Licence.............................. 13
Satellite/Cable TV...................... 38
Internet Services....................... 0
Groceries etc. ......................... 80
Clothing................................ 0
Petrol/diesel........................... 100
Road tax................................ 11
Car Insurance........................... 55
Car maintenance (including MOT)......... 20
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 20
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1247


Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 1000
Other assets............................ 0
Total Assets............................ 1000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 0........(0)........0
Hire Purchase (HP) debt ...... 3000.....(165)......16.8
Total secured & HP debts...... 3000......-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Personnal Loan.................11000.....280.......6
Total unsecured debts..........11000.....280.......-


Monthly Budget Summary
Total monthly income.................... 1,840
Expenses (including HP & secured debts). 1,247
Available for debt repayments........... 593
Monthly UNsecured debt repayments....... 280
Amount left after debt repayments....... 313

Personal Balance Sheet Summary
Total assets (things you own)........... 1,000
Total HP & Secured debt................. -3,000
Total Unsecured debt.................... -11,000
Net Assets.............................. -13,000


Reproduced on Moneysavingexpert with permission, using Firefox browser.

I have a surplus of 300+ each month but i dont know where its going to each month..

David

RAS

So you need to start keepign a spending diary so you know where the money goes. Until you know that, you cannot sort this out.

davie1986

by that i take it you mean write everything down each day?

mad_bad_spender

davie1986 wrote: »

Hi all I new here so any help is much appreciated.

Im in debt and i dont know how to get out i always feel like im at a brick wall.

Firstly a few years ago i bought a car on finance with GE money it was great at the time then i got bored of the car so i changed it and went and bought another car for 5 k extra on top of what was already owed. Leaving me with a total of 8k to pay back to Ge Money. Now since i was young i was full of the best ideas ever i had always wanted a Sunday car. So i took a loan form Halifax for 7.5k over 7 years i could pay this all no problem. Then my job circumstances changed and i went into a lower paid job therefore leaving my money situation tight. By this time myself and my girl friend had moved it together she was paying the rent and keeping the house going. After i bought my sunday car the engine blew up about 3 weeks after leaving me with a big bill to rerpair it which i couldnt afford . It lay at the side of my house as i couldnt sell it with out an engine. I eventually sold it but what i got back wasnt even worth paying it off the loan plus i had other outstanding bills that needed paid. Not long after that i fell in to difficulty again over spending money everyday i then went to halifax to see if the would lend me and my girl friend 3.5k over 4 years to try and consolidate my debts. They gave me the money but i wasted it as usual ( Money burn a hole in my pocket) With overtime in work i could afford the payments but just before xmas both mine and my girlfriends overtime was stopped. After xmas Halifax debt management contacted me and offered to consolidate my loans in to one. My total consolidation loan was 11k over 4 years with an apr of 6.3%. But they wouldnt take my over draft in to the loan and i was 1500 in to it with paying for family xmas pressies etc. Since then i cant seem to get out of my o/d and i really want to be debt free asap.

Can anyone offer any advise on this matter?

Below is my SOA
Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2
Number of children in household.........
Number of cars owned....................

Monthly Income Details
Monthly income after tax................ 900
Partners monthly income after tax....... 940
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1840

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 165
Rent.................................... 550
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 60
Gas..................................... 0
Oil..................................... 50
Water rates............................. 0
Telephone (land line)................... 35
Mobile phone............................ 50 Can you reduce this or change to pay as you go?
TV Licence.............................. 13
Satellite/Cable TV...................... 38 Reduce to basic channels or get freeview
Internet Services....................... 0
Groceries etc. ......................... 80 Really this low?
Clothing................................ 0
Petrol/diesel........................... 100
Road tax................................ 11
Car Insurance........................... 55 This is quite high. maybe see if you can get this cheaper
Car maintenance (including MOT)......... 20
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0 You should at least have contents insurance, i would recommend getting this
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 20
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1247


Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 1000
Other assets............................ 0
Total Assets............................ 1000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 0........(0)........0
Hire Purchase (HP) debt ...... 3000.....(165)......16.8
Total secured & HP debts...... 3000......-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Personnal Loan.................11000.....280.......6
Total unsecured debts..........11000.....280.......-


Monthly Budget Summary
Total monthly income.................... 1,840
Expenses (including HP & secured debts). 1,247
Available for debt repayments........... 593
Monthly UNsecured debt repayments....... 280
Amount left after debt repayments....... 313

Personal Balance Sheet Summary
Total assets (things you own)........... 1,000
Total HP & Secured debt................. -3,000
Total Unsecured debt.................... -11,000
Net Assets.............................. -13,000


Reproduced on Moneysavingexpert with permission, using Firefox browser.

I have a surplus of 300+ each month but i dont know where its going to each month..

David

You really need to do a spending diary and find out where the extra is going, would help massively to clear those debts

davie1986

Well as from today i will start doing a spending diary i want to start and try and pay my loans and hpi of early rather than have them dragging me down

KPR11

I have been using http://www.spendingdiary.com/ for the past month to help me keep track of where I am spending my money and it really has helped me.

Hope things work out for you.

KPR

MyLastFiver

OK I know you're feeling trapped by your debts but this isn't looking too bad.

If you could use £135 of your monthly surplus to overpay your HP then that's £300 a month you're paying to them. You could have the capital paid off in 10 months; 12 months max including interest at 16.8%. And you still have enough for a night out on a weekend.