Hi, newbie (ish) SOA

Kazonline

Hi Everyone,
I'm kinda new to this board, though I have been using the OS board for a while to try and cut back my spending.
I'm a single mum of three, and due to a divorce about 3 years ago am up to the eyes in debt. I made the mistake of carrying on in work - but it sadly turns out that I was worse off in work than on IS and as a result racked up nearly £15k in debt. It's my own fault - I shouldn't have burried my head in the sand.

It looks as though this month I have finally reached the point where juggling is no longer possible without putting more on my cards - and I don't want to go there so I need to get it sorted - so here goes with my SOA.

Income

• CSA £158.09 monthly
• Child Tax 108.67 weekly
• ISupport £39.43 weekly
• CHB £163.40 4 weekly

This works out at £976.24 monthly

Outgoings (monthly unless otherwise stated)

• Groceries (food cleaning etc) £125 pw
• Petrol £35pw
• Mobile £28
• kitchen appliance ins £12
• Mortgage £110 (interest is paid by IS)
• Elec £52.50
• Gas £61
• BT £13
• Water £28
• TV £32.87 (quarter)
• Life ins £22.21
• Talk Talk £28
• Car tax £140pa
• Car insurance £300 pa
• Internet £18
• House ins £25
• AA £100 (not sure of exact figure) annual.

I've not included clothes, entertainment, christmas, car maintenance etc as I'm clueless as to what to put at the moment - it's allways as little as possible.

The above works out at £1,122 monthly.

As you can see, I'm allready in a pickle before adding in my debts - let alone finding anything to clothe my lot or have Christmas:o

Next comes the debts.....
I will get back with the interest %, but if I wait until then to post I know I'll keep putting it off.

Halifax £2145 payments £44pm
Egg £5030 payments £104pm
HSBC £1285 Payment £38pm
AOL £4620 Payment £50
Virgin £70 Payment £5
Overdraft £1570

The totals for these are £14,720 debt and £241 monthly payments.

I have contacted payplan who called back today. The result was that they will send me a pack so I can write to my creditors asking to freeze interest and reduce payments, other than that it seems I'm on my own

I'm not sure whether anyone can give me some idea as to where I can go from here. I really don't want to move as we've been through so much, and heaven knows where we'd go.
In addition to the debt we're also in a position where there's lots I feel I really need to spend on, school uniforms being the least.
okay, I'm not going to post anymore for now - heaven knows this is a long enough post to wade through.
Please do ask any questions and I'll do my best to answer, and any advice etc would be very much appreciated.
Thanks,
Kaz x

Smashing

First and foremost - you need to keep a spending diary. There is no way you can control your finances unless you know where every last penny is going.

Casual

What is the reason for having BT, Talk Talk and Internet as three different payments?

It's £59 for all three - surely you can get a better combined deal? Look at the Phones Board for more help......

**purpleprincess**

Hullo Kaz!! :wave: well done on posting chick!! I agree with Smashing that a spending diary is the best thing to start. I wonder if you're able to cut down your shopping at all?? I know you've been over on the OS board...... Could you try a storecupbaord challenge? What about contacting CCCS???

tyllwyd

Are you really spending £35 per week on petrol? That seems a huge amount.

On your figures, you can't afford a mobile phone. Can you get rid of it?

What is kitchen appliance insurance? Couldn't you ditch this, and just replace the appliances when needed? At £144 per year, it would only take a couple of years to save up for most things and pay cash.

Can't you reduce your AA package, or shop around with the other providers?

I think you've put house insurance in twice.

tootles_2

Kazonline wrote:

Hi Everyone,

• CSA £158.09 monthly
• Child Tax 108.67 weekly
• ISupport £39.43 weekly
• CHB £163.40 weekly

This works out at £976.24 monthly

Outgoings (monthly unless otherwise stated)

• Groceries (food cleaning etc) £125 pw
• Petrol £35pw
• Mobile £28 change to pay as you go
• kitchen appliance ins £12
• Mortgage £110 (interest is paid by IS)
• House ins £25
• Elec £52.50 High are you paying arrears
• Gas £61
• BT £13
• Water £28
• TV £32.87 (quarter)
• Life ins £22.21
• Talk Talk £28
• Car tax £140pa
• Car insurance £300 pa
• Internet £18
• House ins £25
• AA £100 (not sure of exact figure) annual.

Why are you paying BT and talk talk, cancel talk talk and use 1899 for calls, you have got the house insurance down twice. Look for a cheaper quote for breakdown insurance. Look at an alternative provider for your internet, you can get packages at around £15, not a big saving but it adds uo.

Are you still working? is your car essential? that could save you a shed load.

Have you considered going brankrupt, I am not sure what the implications of your housing situation would be in this case..........



]

bommer

You can get car breakdown cover from Auto Aid for £32.00 per annum. Cover is the same only difference is you pay for the repairs (should anything happen) and claim the money back.

Mobile phone could be reduced.

Have you tried one of the pre dial numbers e.g. 1899.com for cheap calls from your home number.

Have a look at some of the other options for your telephone & internet. Telewest are doing £20.00 for home phone and broadband at the moment.

£125.00 on food for 4 per week seems excessive have you tried shopping at Lidl/Aldi/Asda and menu planning your meals. Use up your cupboards etc. I spend roughly £60 per week which I think is high for some people posting.

You've listed £25.00 for home insurance twice.

Gas and electric seem high have you checked the comparision site?

Penelope_Penguin

Kaz, I'll take a closer look at you figures and get back to you.

Do you have an idea of what your house is worth, and how much is outstanding on your mortgage?

Can you take another look at the figure you've put in for child ben? Doesn't look right as a weekly figure.

Penny. x

snoozer

Hi Kazonline,

Just thought I'd say well done for posting - people on here are very helpful.

I would agree with the other posters about AA, gas and leccie and phones.

Kazonline

Hi everyone, and thanks for all your replies.
I pay both BT and talk talk as I have to pay BT for my landline, and was talked into the talk talk package when I got my phone. I'm not sure it's the best for me now so that seems a good place to look for a start.
As for the net - I use AOL and allways have done. I'm not very good techie wise so would be very aprehensive about losing it.
Re the mobile - again, stupidly talked into keeping the old contract. I hang onto having a mobile 'cause I also do party plan - I've not included that in my figures as in all honesty it only pays for itself - but it is a free way of socialising.
As for the car - I chose a school that was out of area when we moved here and not wise to change now. Bus routes are impossible -as is walking. It's only a few miles, but not a good journey. On top of that my car is my lifeline. Through the worst of my depression it's the only way I can go out. When I can't even face crossing the road to a neighbours house I can still get in my car, IYKWIM.
I think I could probably get the shopping down lower and possbily the petrol. I think that it has been under that lately, but I seem to use it on other odds and ends - which comes back to the need for a spending diary, so I think that's a must.

msmicawber

Hi Kaz,

In addition to stuff that others have mentioned:

Your utilities seem very high to me - have a look at reducing costs through Uswitch (register with Quidco first and ensure you get cashback if you do switch).

Water is OK, but could you change to a meter (perhaps for an introductory period to check if savings can be made)?

Why do you have kitchen appliance insurance? Are you likely to pay out more than £144 pa in breakdown costs?

AA and RAC are quite expensive. Have a look at Gem Motoring - I pay £75 per year and if I had a credit card could get it cheaper (you pay at the time on credit card and they reimburse, so it keeps their costs down and they pass the savings to you.)

Petrol is also very high. I see you're in S. Wales - are you somewhere remote and hilly? Could you reduce the amount of petrol you use by combining trips to the shops with trips to the doctor, or something?

You can get your BT line rental for £12 per month if you pay by monthly direct debit.

I'm sure you could get your weekly shopping down a lot by menu planning, savvy shopping, etc. Have a look at the old style board as it has loads of tips.

Don't want to worry you, but are you sure you're entitled to Child Tax Credit if you're on Income Support? I don't know about this, but just don't want you to get into the position where you have to pay it back, adding to your burdens.