Finally Faced up to Issue

Angyles

Hi

I've finally faced up to my debt issue over the weekend and admitted I have an issue to my mum today.

I am 32 years old and according to the CCCS Debt Remedy I have just completed I am in debt to just under £15,000. I am going to give CCCS a call tomorrow to start the ball rolling but I understand I will need a new bank account as I owe my current bank on a credit card and overdraft. Is anyone able to recommend a bank account that I can set up quickly as ideally I'd like it set up before pay day and I need to advise my work of the new bank account to pay my wages into.

Thanks for any advice you can give me.

AnnieG

Hiya
I think the co-op and Barclays both do basic bank accounts and are happy to help people with debt problems.
Can you post an SOA? If so, we'll have a look and see what we can do to help.
Annie

Angyles

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 1
Number of children in household......... 0
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 1150
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1150
Monthly Expense Details
Mortgage................................ 372
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 69.67 (Includes Ground Rent)
Council tax............................. 60
Electricity............................. 26
Gas..................................... 44
Oil..................................... 0
Water rates............................. 0 (Included in Management Charge)
Telephone (land line)................... 12.79
Mobile phone............................ 10
TV Licence.............................. 12.18
Satellite/Cable TV...................... 19
Internet Services....................... 5
Groceries etc. ......................... 140
Clothing................................ 10
Petrol/diesel........................... 120
Road tax................................ 10.42
Car Insurance........................... 35.52
Car maintenance (including MOT)......... 10
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..................... 8.85
Contents insurance...................... 12.13
Life assurance ......................... 45.57
Other insurance......................... 0
Presents (birthday, christmas etc)...... 10
Haircuts................................ 0
Entertainment........................... 10
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1043.13

Assets
Cash.................................... 0
House value (Gross)..................... 68000
Shares and bonds........................ 0
Car(s).................................. 4500
Other assets............................ 0
Total Assets............................ 72500

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 65000....(372)......0
Total secured & HP debts...... 65000.....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
Halifax Credit Card............2000......30........0
Halifax Loan...................9000......152.......0
Virgin Credit Card.............1800......31........0
Store Card.....................650.......30........0
Total unsecured debts..........13450.....243.......-

Monthly Budget Summary
Total monthly income.................... 1,150
Expenses (including HP & secured debts). 1,043.13
Available for debt repayments........... 106.87
Monthly UNsecured debt repayments....... 243
Amount short for making debt repayments. -136.13
Personal Balance Sheet Summary
Total assets (things you own)........... 72,500
Total HP & Secured debt................. -65,000
Total Unsecured debt.................... -13,450
Net Assets.............................. -5,950
Created using the SOA calculator at makesenseofcardsdotcom
Reproduced on Moneysavingexpert with permission, using IE browser.

Happytogetdebtfree

Hi ang, not much to say re soa, maybe the Internet if your with sky you can get free Internet depending on usage. We have free Internet. Maybe cut food more have a basic few months. It seems very minimum at the moment. Can you get a second job, or can you sell on eBay or do a carboot? Well done for joining us good luck with the dfw journey :-) x

mum2one

Angyles wrote: »

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 1
Number of children in household......... 0
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 1150
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1150
Monthly Expense Details
Mortgage................................ 372
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 69.67 (Includes Ground Rent)
Council tax............................. 60 - if its just you have you got single person discount,
Electricity............................. 26 - ok, but could always be trimmed, turn lights off, don't leave things on standby
Gas..................................... 44 - seems high are you prepay meter, do u send in your readings - accurate bills
Oil..................................... 0
Water rates............................. 0 (Included in Management Charge)
Telephone (land line)................... 12.79
Mobile phone............................ 10
TV Licence.............................. 12.18
Satellite/Cable TV...................... 19 - would say that is a luxury, guessings its the basic package, but consider freeview
Internet Services....................... 5
Groceries etc. ......................... 140 - could trim, old style board for ideas,
Clothing................................ 10
Petrol/diesel........................... 120 - massive chunk of your wages, can you reduce mileage any way
Road tax................................ 10.42
Car Insurance........................... 35.52 - would say thats high, at renewal shop around, cash back sites etc
Car maintenance (including MOT)......... 10
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..................... 8.85 - good prices, but theres always an extra squeeze at renewal
Contents insurance...................... 12.13 - ditto
Life assurance ......................... 45.57 - if that a whole of life policy or just in line with the mortgage term, may be worth shopping around
Other insurance......................... 0
Presents (birthday, christmas etc)...... 10
Haircuts................................ 0
Entertainment........................... 10
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1043.13

Assets
Cash.................................... 0
House value (Gross)..................... 68000
Shares and bonds........................ 0
Car(s).................................. 4500
Other assets............................ 0
Total Assets............................ 72500

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 65000....(372)......0
Total secured & HP debts...... 65000.....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
Halifax Credit Card............2000......30........0
Halifax Loan...................9000......152.......0
Virgin Credit Card.............1800......31........0
Store Card.....................650.......30........0
Total unsecured debts..........13450.....243.......-

Monthly Budget Summary
Total monthly income.................... 1,150
Expenses (including HP & secured debts). 1,043.13
Available for debt repayments........... 106.87
Monthly UNsecured debt repayments....... 243
Amount short for making debt repayments. -136.13
Personal Balance Sheet Summary
Total assets (things you own)........... 72,500
Total HP & Secured debt................. -65,000
Total Unsecured debt.................... -13,450
Net Assets.............................. -5,950
Created using the SOA calculator at makesenseofcardsdotcom
Reproduced on Moneysavingexpert with permission, using IE browser.

Just put a few thoughts in, just a couple of extra thoughts-
Your cards you've listed them as 0%APR, is that accurate
Your halifax loan, how long have you got left on that.

By my quick look over you have a surplus of £107, thou it may not be the same.

I would suggest keeping a spending diary, even if its a notebook, and see how quick the money goes, whether its £3 on a magazine, or 50p for a bar of chocolate.

I know you have contacted CCCS, but can you manage as you are for a bit longer, you seem to be in a positive position, guessing you don't have arrears,

It may be worth looking for the snowball link, basically you put in each credit card, and the apr, the min payment, usually 3%, and you have 2 options, either clear the lowest card, (takes longer), or the highest apr which is the quicker way, it works it all out for you.

I don't know your circumstances, but if you can put cccs on hold for 6 months and try a new budget planner and the snowball for your debts, may make a massive difference, xx

Angyles

mum2one wrote: »

Just put a few thoughts in, just a couple of extra thoughts-
Your cards you've listed them as 0%APR, is that accurate
Your halifax loan, how long have you got left on that.

By my quick look over you have a surplus of £107, thou it may not be the same.

I would suggest keeping a spending diary, even if its a notebook, and see how quick the money goes, whether its £3 on a magazine, or 50p for a bar of chocolate.

I know you have contacted CCCS, but can you manage as you are for a bit longer, you seem to be in a positive position, guessing you don't have arrears,

It may be worth looking for the snowball link, basically you put in each credit card, and the apr, the min payment, usually 3%, and you have 2 options, either clear the lowest card, (takes longer), or the highest apr which is the quicker way, it works it all out for you.

I don't know your circumstances, but if you can put cccs on hold for 6 months and try a new budget planner and the snowball for your debts, may make a massive difference, xx

Thanks for you email, I missed out the APR's as I didn't have the data to hand.

I've made a start today and spoke to my insurance company and managed to reduce my Mortgage Protection (Accident, Illness, Redundancy) by just over £16 a month. Just a small start but it's something.

Have also started the process of a DMP with CCCS, I don't feel I would manage to clear my debts without this help.

The spending diary is a great idea, I'm sure I have a notebook lying around somewhere.

toile

Hi there

Just wanted to say hi and well done on speaking to your mum about your debt. i have recently told my DH about my debt and I hope that like me it will spur you on to finally get sorted out.

You have made a great start by posting your SOA.....(I havn't done mine yet....work in progress!) as you have already seen there are some wonderfully helpful people on here who will help you.

Good luck

Toile

TUS

Fuel and groceries are the big areas.

I spend £200 per month for a family of 4 - a single person should be able to do it for around £80 (£20 per week) in my opinion. Plan meals for the week ahead, get some money saving recipes, take lunches to work instead of buying. Cut out booze and fags if you buy them.

Petrol - why the high amount? Do you work a long way from home? Is Public Transport cheaper? Maybe change your car to something more economical.

Scrap the TV and use Freeview.

Try and get that life assurance reduced.

izzybusy23

TUS wrote: »

Try and get that life assurance reduced.

Hi OP; noticed you did an SOA with just one person in your household, so why do you need life assurance?? I thought life assurance was to help pay the mortgage if you leave a partner or children behind etc.. or have I got that wrong?

Wee_Jo

Welcome to the boards Angyle! :hello:

You've taken a great big step forward in dealing with your debts by posting on here and talking to your Mum - it is always easier if you are not feeling alone with your worries.


Having had a look at your SOA, I think the main areas are:

• Switch to Freeview if possible
• Reduce your grocery bill
• Check out costs of car sharing / public transport, as your petrol bill seems v high
• Start a spending diary (it is great as a spending detterent because you know you have to write everything down!)

Hope you are feeling a bit brighter - there are always people here on the boards to chat to - perhaps you could look at some of the challenges to motivate you and cut spending, like the Save on Lunches challenges and the No Spend Day challenges:

https://forums.moneysavingexpert.com/discussion/2503615
https://forums.moneysavingexpert.com/discussion/2502737

Jo

Angyles

izzybusy23 wrote: »

Hi OP; noticed you did an SOA with just one person in your household, so why do you need life assurance?? I thought life assurance was to help pay the mortgage if you leave a partner or children behind etc.. or have I got that wrong?

I think I may have selected the wrong option on the SOA, this payment is Mortgage protection insurance.