Our situation, any advice?

Libbyd

We have run up alot of debt since moving here 7 yrs ago, and I am feeling do low. I became depressed and admit to spending alot more than I normally would, my husband was made redundant from a very good job and we lived off credit cards, hence the amount we owe:(

I have done the statement of affairs, but the problem is we are up to eyes on our overdraft that we can't get at the spare cash we owe every month, if you see what I mean, so we never seem to have any spare cash so getting rid of the overdraft is what we need to do to start anywhere I guess.
We also have petrol at £160 per month which I forgot to add.
Not sure if I have done this correct.

Household Information[/b]
Number of adults in household........... 2
Number of children in household......... 3
Number of cars owned.................... 2
Monthly Income Details
Monthly income after tax................ 2600
Partners monthly income after tax....... 0
Benefits................................ 225
Other income............................ 0
Total monthly income.................... 2825
Monthly Expense Details
Mortgage................................ 653
Secured/HP loan repayments.............. 443
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 130
Electricity............................. 70
Gas..................................... 60
Oil..................................... 0
Water rates............................. 53
Telephone (land line)................... 35
Mobile phone............................ 50
TV Licence.............................. 11
Satellite/Cable TV...................... 23
Internet Services....................... 7.5
Groceries etc. ......................... 400
Clothing................................ 0
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 90
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 35
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 17
Contents insurance...................... 0
Life assurance ......................... 15
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 15
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 2107.5

Assets
Cash.................................... 0
House value (Gross)..................... 240000
Shares and bonds........................ 0
Car(s).................................. 8000
Other assets............................ 0
Total Assets............................ 248000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 150000...(653)......0
Secured Debt.................. 30000....(240)......0
Hire Purchase (HP) debt ...... 8000.....(203)......0
Total secured & HP debts...... 188000....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
credit card....................6500......159.......0
credit card....................2700......70........0
credit card....................2500......70........0
catalogue......................350.......50........0
Catalogue......................2000......120.......0
Over draft.....................3300......0.........0
credit card....................2000......65........0
Total unsecured debts..........19350.....534.......-

Monthly Budget Summary
Total monthly income.................... 2,825
Expenses (including HP & secured debts). 2,107.5
Available for debt repayments........... 717.5
Monthly UNsecured debt repayments....... 534
Amount left after debt repayments....... 183.5
Personal Balance Sheet Summary
Total assets (things you own)........... 248,000
Total HP & Secured debt................. -188,000
Total Unsecured debt.................... -19,350
Net Assets.............................. 40,650
[

di3004

Hi there

I'm sure someone will be along soon to go through this with you and to give some help and advice on where to go from here.

Good luck, and it will all sort out.:)

Libbyd

Thank you x

Numpty_Monkey

Libbyd wrote: »

We have run up alot of debt since moving here 7 yrs ago, and I am feeling do low. I became depressed and admit to spending alot more than I normally would, my husband was made redundant from a very good job and we lived off credit cards, hence the amount we owe:(

I have done the statement of affairs, but the problem is we are up to eyes on our overdraft that we can't get at the spare cash we owe every month, if you see what I mean, so we never seem to have any spare cash so getting rid of the overdraft is what we need to do to start anywhere I guess.
We also have petrol at £160 per month which I forgot to add.
Not sure if I have done this correct.

Household Information[/b]
Number of adults in household........... 2
Number of children in household......... 3
Number of cars owned.................... 2
Monthly Income Details
Monthly income after tax................ 2600
Partners monthly income after tax....... 0
Benefits................................ 225 check http://www.turn2us.org.uk/benefits_search.aspx
Other income............................ 0
Total monthly income.................... 2825
Monthly Expense Details
Mortgage................................ 653
Secured/HP loan repayments.............. 443
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 130 ask to go onto 12 months
Electricity............................. 70 check you are on the best deal
Gas..................................... 60 as above
Oil..................................... 0
Water rates............................. 53
Telephone (land line)................... 35 you can get phone internet pakage for £20
Mobile phone............................ 50 is this £10 each, payg or contracts
TV Licence.............................. 11
Satellite/Cable TV...................... 23
Internet Services....................... 7.5 as above
Groceries etc. ......................... 400
Clothing................................ 0 you need to budget £20 here
Petrol/diesel........................... 0 £160
Road tax................................ 0 ??????
Car Insurance........................... 90 no other motor costs?
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 35
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 17 any insurance use comparrison and cashback sites
Contents insurance...................... 0
Life assurance ......................... 15
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 15
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 2107.5

Assets
Cash.................................... 0
House value (Gross)..................... 240000
Shares and bonds........................ 0
Car(s).................................. 8000
Other assets............................ 0
Total Assets............................ 248000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 150000...(653)......0
Secured Debt.................. 30000....(240)......0
Hire Purchase (HP) debt ...... 8000.....(203)......0
Total secured & HP debts...... 188000....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
credit card....................6500......159.......0 The apr's will help
credit card....................2700......70........0
credit card....................2500......70........0
catalogue......................350.......50........0
Catalogue......................2000......120.......0
Over draft.....................3300......0.........0
credit card....................2000......65........0
Total unsecured debts..........19350.....534.......-

Monthly Budget Summary
Total monthly income.................... 2,825
Expenses (including HP & secured debts). 2,107.5
Available for debt repayments........... 717.5
Monthly UNsecured debt repayments....... 534
Amount left after debt repayments....... 183.5
Personal Balance Sheet Summary
Total assets (things you own)........... 248,000
Total HP & Secured debt................. -188,000
Total Unsecured debt.................... -19,350
Net Assets.............................. 40,650
[

No worries if done correct the lovely peeps here will spot other things
I've left a few coments:cool:

Welcome to DFW :j

bouncydog1

Libby

Try and find out the interest rates on all the credit cards and overdrafts as this will help people to provide additional information for you.

Libbyd

I shall try to find out the APR's. Sorry about that.

Going on 12mth council tax? how will that help?

We tend just to pay outright every 12 months £125 each for car tax, we don't save all year, we just pay it out on that month.

Libbyd

Sorry pressed enter too soon.

We pay £50 for both phones, on contract.

Thanks for all your help.

Want2BMoneySavvy

I'm not great at the nitty-gritty money bit, in terms of CCs etc, but your grocery bill could be cut down I'm sure. Do you meal plan? Make use of all your leftovers? Send OH in with packed lunches, etc? All these could cut it down quite significantly. I think you could stand to drop at least 75 quid a month from your grocery shopping, if you were really careful.

You need to start budgeting for birthday presents etc, so that the extra money you have doesn't get eaten up unexpectedly by the odd gift.

You should have some extra money kicking about each month, so I suggest you start a spend diary, and write down every penny you spend. Once yousee whereit's going, you can work out if you can claw back some of it. Any extra money you have needs to be fired into your CCs, starting with the highest APR first.

Good luck, the first satep is the hardest and you've already done it by facing up to your debt. Everyone on here is full of nifty tricks and helpful advice, so you are in safe hands

CompletelyLost

Libbyd wrote: »

I shall try to find out the APR's. Sorry about that.

Going on 12mth council tax? how will that help?

We tend just to pay outright every 12 months £125 each for car tax, we don't save all year, we just pay it out on that month.

I *think* it's so that your payment is spread across the year (rather than one big chunk that might leave you short for a month), so you can use any excess to pay for other things (i.e. creditors).

Want2BMoneySavvy

CompletelyLost wrote: »

I *think* it's so that your payment per month is spread across the year (rather than one big chunk that might leave you short for a month), so you can use any excess to pay for other things (i.e. creditors).

It's also easier to budget if a certain amount is coming out every month, rather than only ten months. It will mean the amount coming out each month is slightly less, freeing up slightly more money to fire at the debt each month. The OP is paying high interest rates on her CCs, so if she can pay them off faster she'll save a bit more money. No interest on Council Tax, so won't make any difference if is gets paid over ten months or twelve.

bubbles0169

you will have to start budgeting month to month(even day to day) to afford to pay out all your bills rather than get shocks each time a big one comes, this include paying your CT over 12 months instead of the 'usual' 10
do you not pay road tax with that car?
i think you need to go onto a Debt Management Plan(DMP) at least, phone cccs to see if this is possible for you to manage it, they will also advise further free of charge
go and have a look around at the other boards for spending next to nothing on your grocerys heres one to start
http://forums.moneysavingexpert.com/forumdisplay.php?f=33
hope that helps xx