Charliesdaddy's second SOA

charliesdaddy

Well, things didn't work out ideally. I lost my job in February, with an impending wedding in April to save for! So debt spiralled - though thankfully I had an amazing holiday and wedding and have now a new job which seems to be going well. Just need to wake up and smell the coffee re: debt!!!


Statement of Affairs and Personal Balance Sheet

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

Monthly Income Details
Monthly income after tax................ 1300
Partners monthly income after tax....... 1150
Benefits................................ 1000
Other income............................ 0
Total monthly income.................... 3450

Monthly Expense Details
Mortgage................................ 885.9
Secured/HP loan repayments.............. 306.30000000000007
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 90
Electricity............................. 37
Gas..................................... 19
Oil..................................... 0
Water rates............................. 35.83
Telephone (land line)................... 15
Mobile phone............................ 70
TV Licence.............................. 12
Satellite/Cable TV...................... 20
Internet Services....................... 0
Groceries etc. ......................... 300
Clothing................................ 30
Petrol/diesel........................... 80
Road tax................................ 40
Car Insurance........................... 85
Car maintenance (including MOT)......... 20
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 1000
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 35
Life assurance ......................... 13
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 10
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 3104.03


Assets
Cash.................................... 0
House value (Gross)..................... 140000
Shares and bonds........................ 0
Car(s).................................. 6000
Other assets............................ 3000
Total Assets............................ 149000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 138000...(885.9)....6.9
Secured Debt.................. 12439.9..(306.3)....0
Total secured & HP debts...... 150439.9..-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Halifax CC.....................13680.2...167.......20.9
ASDA CC........................2079.35...63........16.5
Barclaycard CC.................789.......17.75.....6.8
Natwest CC.....................882.......18........8
Total unsecured debts..........17430.55..265.75....-


Monthly Budget Summary
Total monthly income.................... 3,450
Expenses (including HP & secured debts). 3,104.03
Available for debt repayments........... 345.97
Monthly UNsecured debt repayments....... 265.75
Amount left after debt repayments....... 80.22

Personal Balance Sheet Summary
Total assets (things you own)........... 149,000
Total HP & Secured debt................. -150,439.9
Total Unsecured debt.................... -17,430.55
Net Assets.............................. -18,870.45

DVardysShadow

Good grief. Partner earns £1150 and you spend £1000 on child care. So what does £150/month work out to as an hourly rate?

There must be ways of making more than £150 without needing child care. And what about the expense of getting to work? You could get rid of a vehicle and save £100 - and how much are you paying in HP for that vehicle ?????

fedupnow

I don't pass by this neck of the woods very often and am no expert. I pop in occassionally to gather a few tips.

They get £1000 in benefits which covers the childcare. As the children get older that bill will reduce.

Only £80 a month on fuel suggests that there is not a lot of travelling going on so maybe one car could go. Sometimes the odd taxi fare now and again works out cheaper than running a car.

charliesdaddy

fedupnow wrote: »

I don't pass by this neck of the woods very often and am no expert. I pop in occassionally to gather a few tips.

They get £1000 in benefits which covers the childcare. As the children get older that bill will reduce.

Only £80 a month on fuel suggests that there is not a lot of travelling going on so maybe one car could go. Sometimes the odd taxi fare now and again works out cheaper than running a car.

Got it in one re: childcare - benefits etc.

It's 1000 per month - though tax credit at the moment covers 80% of that cost. The rest of the benefits are child benefit, as I have 2 under 3s and DLA - as my son, who is 2, has diabetes.

I've done the snowball which suggests I could be debt free by 2016 at worst case - though I am looking at ways of saving money and also raising funds where possible!

downnotout

I would loose the satalite tv, 70 on a mobile phone is far too much and look at loosing a car for now.

charliesdaddy

Mobile phones are x 2 - though I agree it could be looked at. Mine's an iphone so don't think I could get a lower tarriff, but maybe my other half could?

As for cars, not a possibility - we definitely need 2 cars because of where we live - for childminder delivery etc!!!

Thanks though so far for the options. Also, my salary is based on me having a bad month (I'm a recruitment consultant) so any extra will 80% go towards the debt and 20% be saved / spent depending on the needs for that month.

downnotout

I don't think saving is much of an option at the moment without being harsh. You have £80 left on your monthly balance, I would forget trying to save and use the snowball calculator to see how quickly you can lower your debt repayments. On paper you are walking a tight rope financially at the moment, it would not take much to tip you over the scales. I would defiantly look at doing without things on a short term basis to prevent a situation where you will have to do without for a long time.

Fang_3

Sky - get rid of it.
Mobiles - reduce as much as possible and sell your iPhone and get a cheap bog standard phone until you can afford them.
Clothing - charity shops.
Sell one of your cars and downsize the other.
Groceries - you can cut this down by at least £100 without much hardship.

You really do need to throw as much as you can at the Halifax CC first.

charliesdaddy

Have done the excellent snowball calculator. It suggests I'll be debt free in 2016 - and I pretty much knew how to pay the debts off, but it's definitely helped with how much to pay etc! I am aiming to sell everything possible - collections etc, to raise funds for paying off the debt early - so wish me luck!

clang_uk

Can you move your asda cc balance onto natwest or even better a 0%, this will reduce your interest - flog the phone no one really needs an iphone! Reduce the shopping by £50 and you really need to find a way of managing with one car (or a bike/moped/rollerskates!!!) this would save you a couple of hundred per month!!

Hope these are some good ideas. Keep plugging away with the debt and it'll soon go.

Tixy

Hi - a few comments, not sure if any will help but may be worth considering.:)

Mortgage................................ 885.9 is this a fixed rate? how long for?

Mobile phone............................ 70 do try reducing this, never hurts to phone up and ask even with an iphone.

Groceries etc. ......................... 300 can you work on reducing this? £250 would be an improvement, £200 should be possible. If you have children in nappies etc then try out cheaper discount brands for wipes/nappies etc or I think there is a thread on one of the boards for people to post which shops have offer on which brands of nappies. (People say lidl and wilkinsons are good for own brand products)

Car Insurance........................... 85 have you shopped around? read the article on MSE for tips such as seeing if you save by being named drivers on each others policies etc
Car maintenance (including MOT)......... 20 is this enough for 2cars, servicing, mot, tyres, repairs etc?

Childcare/nursery....................... 1000 the 20% not covered by benefits - can you get this via childcare vouchers from work which are more tax efficent? (although I think they may be stopping soon?)
Contents insurance...................... 35 quite high for B&C based on the value of your house, shop around at renewal.
Presents (birthday, christmas etc)...... 0 do you not need to budget for this?
Entertainment........................... 0 and a little for this?

Assets
Other assets............................ 3000 what are these, can they be sold to pay some off the debts?

Halifax CC.....................13680.2...167.......20.9
ASDA CC........................2079.35...63........16.5
Barclaycard CC.................789.......17.75.....6.8
Natwest CC.....................882.......18........8 what are the limits on these? any scope to bt the debt around to get it cheaper?