Please Help to whittle debt down futher.

Miss_G

Hi all,

I have had my LBM as I have totaled up my debt and it now stands at over £4k. A quick Background on myself, I am 26, Live my amazing OH and am full time employed. But if you where to know me even a year ago life would have a different story. You see I am recovering Gambler and have not had a bet in over 12 months, this time last year I was up to my eyeballs in Payday loans, CC, OD charges and bounced Checks Totaling over £9500. I wasn't even able to afford to pay any rent, Food or anything to the household so my OH had to bear the burden. I have managed to whittle the debt down to 2 CC and 1 loan, I have no OD and no Payday loans ( I will never ever touch them again). Here is My SOA, It is just mine as me and OH have an arrangement were He pays the rent in Full (£475) and I Pay the Bills plus some to the rent :-

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 1
Number of children in household.........
Number of cars owned....................

Monthly Income Details
Monthly income after tax................ 1022
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1022

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 150
Management charge (leasehold property).. 0
Council tax............................. 87
Electricity............................. 42
Gas..................................... 42
Oil..................................... 0
Water rates............................. 21
Telephone (land line)................... 0
Mobile phone............................ 25
TV License.............................. 12
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 115
Clothing................................ 15
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 40
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 8
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, Christmas etc)...... 10
Haircuts................................ 0
Entertainment........................... 50
Holiday................................. 0
Emergency fund.......................... 25
Total monthly expenses.................. 642


Assets
Cash.................................... 100
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 100

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
HSBC Loan......................3508......66........26.9
Capital One....................577.33....21........34
Barclay Card...................741.33....18........24.9
Total unsecured debts..........4826.66...105.......-


Monthly Budget Summary
Total monthly income.................... 1,022
Expenses (including HP & secured debts). 642
Available for debt repayments........... 380
Monthly Unsecured debt repayments....... 105
Amount left after debt repayments....... 275

Personal Balance Sheet Summary
Total assets (things you own)........... 100
Total HP & Secured debt................. -0
Total Unsecured debt.................... -4,826.66
Net Assets.............................. -4,726.66


Here are my questions, I have accepted for a 0% CC, but I was thinking of using the snowballing method to get rid of the CC as this would be quicker rather than transferring both balances, Do you think this is a good Idea. Also if I was to over pay on my Loan ( I am happy to let this run at £66 a month at the moment as I get the 2 CC cleared) would I be over paying on the amount that I borrowed (£2500) Or the whole amount that is outstanding?

Any help to clear these down would be gratefully appreciated.

Wee_Jo

Hi Miss_G

Just heading into a meeting at the moment but didn't want to read and run. Just wanted to say well done on how far you've come so far! :T

Everyone else will be along soon with comments on your SOA and their advice on how to get the debt down.

Jo

Miss_G

Thank you Jo, it is a strange feeling to me to be able to support my self as well as get better.

Miss_G

Hi,

Sorry to bump but i was wondering if anyone could please advise me if Snowballing is the best way to go?

Cheers

Gx

1stdayofmylife

Unsecured Debts
Description....................Debt......Monthly...APR
HSBC Loan......................3508......66........26.9
Capital One....................577.33....21........34
Barclay Card...................741.33....18........24.9
Total unsecured debts..........4826.66...105.......-



There are a couple of things needed before you can make a decision.
How much is the limit on the 0% card. If it is enough to put everything together i.e both cards and the loan then, that is the best things to do. But you will have to keep a close eye on when the 0% runs out.

If not put as much of the outstanding balances on the 0% card and then throw any additional money you have at the remaining balance.

Hope this helps and makes sense.

Miss_G

Thank you 1stday, The limit is £1600 so i am able to put both the CC on there and then Start paying off the loan, but i was wondering if i over pay will the money just go on the intrest or would i be better off saving it up and asking to pay a lump sum.