Please help someone

Tixy

Hi

Will try to make some suggestions, although it does look quite tight already

miserablemum wrote: »

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 1
Number of children in household......... 1
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 830 could you do anymore hours without needing more childcare (or losing benefits?)
Partners monthly income after tax....... 0
Benefits................................ 580
Other income............................ 280
Total monthly income.................... 1690
Monthly Expense Details
Mortgage................................ 387
Secured/HP loan repayments.............. 257
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 82 assume this is after you claim the 25% single discount? do you pay over 10months? some councils will let you pay over 12 which would reduce it by 10 or so.
Electricity............................. 21
Gas..................................... 21
Oil..................................... 0
Water rates............................. 20
Telephone (land line)................... 20 have you looked if you can combine landline & internet together? some providers only charge just over 20 for both, possibly you could switch if you are not in contract?
Mobile phone............................ 25 is this in contract? its not high but you could still see if there is a slightly better deal anywhere.
TV Licence.............................. 12
Satellite/Cable TV...................... 0
Internet Services....................... 15
Groceries etc. ......................... 200 is this where you have been making up your shortfall of £112? have you only been spending £90 or so for the 2 of you? If so do pop over to old style for tips on making your money go as far as you can but even aside from that you can't manage on that long term, its hard but its better to prioritise this over debts.
Clothing................................ 0
Petrol/diesel........................... 70 do you always look for the cheapest station to fill up at? there are some tips on driving efficently which can save 10% or so (all helps)
Road tax................................ 12.5
Car Insurance........................... 28
Car maintenance (including MOT)......... 10
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 160 is this paid by benefits? assume there are no cheaper alternatives?
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 6.25
Contents insurance...................... 5.65
Life assurance ......................... 6
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 12.99
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1371.39

Assets
Cash.................................... 0
House value (Gross)..................... 125000
Shares and bonds........................ 0
Car(s).................................. 2500
Other assets............................ 0
Total Assets............................ 127500

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 68000....(387)......5.99 is this a fixed rate? for how long?
Secured Debt.................. 25000....(257)......11.04
Total secured & HP debts...... 93000.....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
Credit Card....................12000.....233.9.....16
Credit Card....................4200......103.......16
Next...........................540.......54........18
DFS............................400.......40........0
Total unsecured debts..........17140.....430.9.....-

Monthly Budget Summary
Total monthly income.................... 1,690
Expenses (including HP & secured debts). 1,371.39
Available for debt repayments........... 318.61
Monthly UNsecured debt repayments....... 430.9
Amount short for making debt repayments. -112.29
Personal Balance Sheet Summary
Total assets (things you own)........... 127,500
Total HP & Secured debt................. -93,000
Total Unsecured debt.................... -17,140
Net Assets.............................. 17,360

Reproduced on Moneysavingexpert with permission, using IE browser.[/i]

Hi

There isn't really many areas I can see where you can improve things, I made a few minor comments though I accept they are fairly minor.
I would also suggest you take a look at the up your income board to see if you can sign up for some of the review sites/survey sites etc which will earn you a little in money or vouchers (which can then be used either for presents or some can be used in supermarkets for food). There might be other tips on ways you can get a little more income into the house.

This might be totally a no go but would there be any possibilty of having a lodger to help you out?

I think you might need to re consider a DMP, certainly saving £150 a month would make a big difference to where you are at the moment.

Hope others can think of a few more ideas.:)

barbiedoll

Hi miserablemum.

Just wanted to say, please, please, please don't feel embarassed by your debt problem, most of us on here are or have been in your situation. The unsecured debt repayments can be bought down, if you haven't got the money, they can't have it, it's as simple as that. (Despite what they may tell you on the phone :mad:) You have done really well to ask for help, it's the first step to sorting out your problem. You will get lots of helpful advice on here, you are not alone. So have a good cry and let it all out, then start tomorrow as the first day of the rest of your life. Your daughter needs you much more than she needs expensive presents or fancy clothes so don't ever feel guilty because you can't buy things. As long as she is fed, watered, loved and cared for, she will be fine. As a first step, you need to begin to claim back the PPI that you were almost certainly missold, have a look at the PPI reclaiming board and get your head round that first. Next, we can look to see if any of your credit agreements are unenforceable. If so, you may have a way out of the high repayments you are incurring.

You should prepare yourself for some hassle by post and phone from your creditors, again, you will receive lots of help on here, we've all been there! Don't speak to anyone (apart from CCCS) on the phone without taking advice first, we can help you with that when it happens. I promise you, your debt is not unsurmountable, it's certainly not worth feeling suicidal for. When it all gets a bit much, come on here and have a rant, it's a lifesaver sometimes and at the very least, you will get a sympathetic ear. Good luck and keep us posted, we'll do what we can to help you.

RAS

miserablemum wrote: »

Hi Ras,

cc are the current debt but I am not paying any off the amounts, it is just interest and PPI which I did not realise.

This may be important. You need to read the terms and conditions of your PPI arrangements and work out if they would pay out if you lost your job today.

If they would pay you a lot, it might be worth holding on to them.

If not, since you were self-employed, you certainly should not have been paying it at that stage.

It may well be that you can reclaim ALL the money that you have paid toward the PPI plus 8% interest.

That could reduce your monthly payments as well.

How long before the DFS loan is paid off?

*madcat*

Hi miserablemum

First of all I would like to congratulate you on managing to stay out of debt on such a low income :T

You are also managing to bring up a little girl on your own which is no mean feat :T

You also have a house of your own and are running a car :T

These are just a few things to remind yourself about when we are feeling down - I know it's not much help when you are feeling lonely and hungry though, so let me just say you are not alone, most of us if not all have felt desparate at times but by taking one small step at a time we have got there in the end or are at least making progress.

Are you a working mum? if not have you thought about looking after your little one yourself? This could save you that £160pm and if you went along to mother and toddler groups she would still be able to play with others and you could make new friends to.

Have you thought about doing a bit of work from home? There is a thread on here
https://forums.moneysavingexpert.com/discussion/comment/27625799#Comment_27625799
which might help you a little

Don't despair hun it's always darkest before the dawn :grouphug:

whitewing

miserablemum wrote: »

Will have a look for old Style Boards thank you, I have not eaten myself today, if I showed you a photo of the contents of my fridge, freezer and cupboards at the moment social services will prob be called, I have fed my daughter though. x

No need to be a cannibal just yet!

You could do a post on old style of what you do have in your cupboards - they may be able to suggest some simple meals to eek it out a bit for now. That'll give you some little ideas and goals to get your motivation up and make you feel you can do something. You'll get there.

dancingfairy

Hi MM - sorry to hear you are having such a rough time. As people have said your priorities are to feed and clothe yourself and your daughter and keep a roof over your heads. The credit cards and other unsecured debts come further down the pile - they might not like it but it's tough - they can't have what you haven't got - no matter how much they shout and scream and throw their toys about.
Right let me have a look at your SOA:
Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 1
Number of children in household......... 1
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 830
Partners monthly income after tax....... 0
Benefits................................ 580
Other income............................ 280
Total monthly income.................... 1690
Monthly Expense Details
Mortgage................................ 387
Secured/HP loan repayments.............. 257
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 82
Electricity............................. 21
Gas..................................... 21 would probably increase this a little on your budget to make sure you can get through winter and in case of price rises - any extra you can save will be for unexpected expenses or for offering full and final settlements.
Oil..................................... 0
Water rates............................. 20
Telephone (land line)................... 20
Mobile phone............................ 25
TV Licence.............................. 12
Satellite/Cable TV...................... 0
Internet Services....................... 15
Groceries etc. ......................... 200 230? any spare can go towards unexpected expenses etc
Clothing................................ 0 you need to put something here - the creditors won't expect you not to buy new clothes ever - 30?
Petrol/diesel........................... 70
Road tax................................ 12.5
Car Insurance........................... 28
Car maintenance (including MOT)......... 10
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 160
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0 5?
Pet insurance/vet bills................. 0
Buildings insurance..................... 6.25
Contents insurance...................... 5.65
Life assurance ......................... 6
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 12.99
Holiday................................. 0
Emergency fund.......................... 20 ? some creditors might question this but I would include it anyway.
Total monthly expenses.................. 1371.39

Assets
Cash.................................... 0
House value (Gross)..................... 125000
Shares and bonds........................ 0
Car(s).................................. 2500
Other assets............................ 0
Total Assets............................ 127500

Secured & HP Debts
Description....................Debt......Monthly.. .APR
Mortgage...................... 68000....(387)......5.99
Secured Debt.................. 25000....(257)......11.04
Total secured & HP debts...... 93000.....-.........-
Unsecured Debts
Description....................Debt......Monthly.. .APR
Credit Card....................12000.....233.9.....16
Credit Card....................4200......103.......16
Next...........................540.......54....... .18
DFS............................400.......40....... .0
Total unsecured debts..........17140.....430.9.....-

Monthly Budget Summary
Total monthly income.................... 1,690
Expenses (including HP & secured debts). 1,371.39
Available for debt repayments........... 318.61
Monthly UNsecured debt repayments....... 430.9
Amount short for making debt repayments. -112.29
Personal Balance Sheet Summary
Total assets (things you own)........... 127,500
Total HP & Secured debt................. -93,000
Total Unsecured debt.................... -17,140
Net Assets.............................. 17,360

O.k my suggestions would leave you with less to offer your creditors but they will still get a share of several hundred pounds. I think a dmp might be the best way forward. I know I have increased some of your items to allow a little leeway but your actual amounts seem pretty good.
Your daughter will not be small forever so nursery expenses will cease in a couple of years and your salary may go up in time which would see you be able to offer your creditors more money.
Bankruptcy is a posibility although you may then have to give up your house which is why I think a dmp might be the way forward.
Good Luck with it all.
df

miserablemum

Hi All, thank you for all your support and kind words.

My council tax is with the discount, the phone contract is new, it was £40 per month so I have just switched over it was the cheapest I could find.

I work full time and I am on commision only, I have updated my CV today and uploaded it to Monster Jobs and I am going to cold call on companies but I have always worked in the public sector and the money seems really bad.

I am abit confused by my mortgage and need to look into it, I have in affect 2 mortgages with the Halifax, one I bought over from my old property, I took this out in 2003 for a fixed rate of five years so it must have expired ? The second part in June 2007 for five years ?

I spoke to Mint today about the PPI and she got really stroppy on the phone and gave me a number to phone and said "I suppose you are claiming mis sold" I phoned the number and it was not recognised.

I don't have much time left on the DFS, I think about 10 months and it is interest only?

I will def look at the internet and phone, they are both by BT and it seems high for basic phone and internet ?

The difficulty with petrol is I actually spend alot more than that and have to claim it back through expenses so the £70 is a guess of my own usage.

What does credit arrangements unenforceable mean?

I actually don't feel like eating, I tried to eat some bread and just gagged I think the stress has been building up for so long at has all come out today. It didn't help at the school gate this morning, the parents are doing a collection for the class teacher and I have not been able to contribute as they are putting £10 each in and as I walked past they were signing a card and the collector said rather loudly, it is only to be signed by those who have contributed

I cannot believe I am in such a state, my poor daughter has just bought me some water and a tissue as I have cried from the drive this morning until now. She also said I look all red and funny

Thank you for the cannibal comment, first time I have smiled today.

I will look at the work from home thread, maybe I could do some in the evening.

miserablemum

dancingfairy wrote: »

Hi MM - sorry to hear you are having such a rough time. As people have said your priorities are to feed and clothe yourself and your daughter and keep a roof over your heads. The credit cards and other unsecured debts come further down the pile - they might not like it but it's tough - they can't have what you haven't got - no matter how much they shout and scream and throw their toys about.
Right let me have a look at your SOA:
Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 1
Number of children in household......... 1
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 830
Partners monthly income after tax....... 0
Benefits................................ 580
Other income............................ 280
Total monthly income.................... 1690
Monthly Expense Details
Mortgage................................ 387
Secured/HP loan repayments.............. 257
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 82
Electricity............................. 21
Gas..................................... 21 would probably increase this a little on your budget to make sure you can get through winter and in case of price rises - any extra you can save will be for unexpected expenses or for offering full and final settlements.
Oil..................................... 0
Water rates............................. 20
Telephone (land line)................... 20
Mobile phone............................ 25
TV Licence.............................. 12
Satellite/Cable TV...................... 0
Internet Services....................... 15
Groceries etc. ......................... 200 230? any spare can go towards unexpected expenses etc
Clothing................................ 0 you need to put something here - the creditors won't expect you not to buy new clothes ever - 30?
Petrol/diesel........................... 70
Road tax................................ 12.5
Car Insurance........................... 28
Car maintenance (including MOT)......... 10
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 160
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0 5?
Pet insurance/vet bills................. 0
Buildings insurance..................... 6.25
Contents insurance...................... 5.65
Life assurance ......................... 6
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 12.99
Holiday................................. 0
Emergency fund.......................... 20 ? some creditors might question this but I would include it anyway.
Total monthly expenses.................. 1371.39

Assets
Cash.................................... 0
House value (Gross)..................... 125000
Shares and bonds........................ 0
Car(s).................................. 2500
Other assets............................ 0
Total Assets............................ 127500

Secured & HP Debts
Description....................Debt......Monthly.. .APR
Mortgage...................... 68000....(387)......5.99
Secured Debt.................. 25000....(257)......11.04
Total secured & HP debts...... 93000.....-.........-
Unsecured Debts
Description....................Debt......Monthly.. .APR
Credit Card....................12000.....233.9.....16
Credit Card....................4200......103.......16
Next...........................540.......54....... .18
DFS............................400.......40....... .0
Total unsecured debts..........17140.....430.9.....-

Monthly Budget Summary
Total monthly income.................... 1,690
Expenses (including HP & secured debts). 1,371.39
Available for debt repayments........... 318.61
Monthly UNsecured debt repayments....... 430.9
Amount short for making debt repayments. -112.29
Personal Balance Sheet Summary
Total assets (things you own)........... 127,500
Total HP & Secured debt................. -93,000
Total Unsecured debt.................... -17,140
Net Assets.............................. 17,360

O.k my suggestions would leave you with less to offer your creditors but they will still get a share of several hundred pounds. I think a dmp might be the best way forward. I know I have increased some of your items to allow a little leeway but your actual amounts seem pretty good.
Your daughter will not be small forever so nursery expenses will cease in a couple of years and your salary may go up in time which would see you be able to offer your creditors more money.
Bankruptcy is a posibility although you may then have to give up your house which is why I think a dmp might be the way forward.
Good Luck with it all.
df

Do they allow that (emergency and clothing) , it is my daughters birthday on the 16th, I have sold some things on Ebay and used the money in paypal to buy her a second hand gifts and some clothes, I feel disgusted with myself for having to do this, can't believe I am risking everything, my daughter only has me and my parents and the house is her only security and it is all being risked.

dancingfairy

What's done is done. I'm sure you didn't take all the credit with the intention of not paying it back. You've got in a bit of a pickle - that's all. Everyone makes mistakes - it's how you pick yourself up and go forward that matters.
With regards to the house - loosing it is far in the future and highly highly unlikely (unless you stop paying your mortgage or something) . The creditors woud have to get a judgement against you, get a forthwith judgement (which you could get set at an amount you can afford), they'd have to ask for an interim charing order then to make it final (which again you can contest), they'd then have to apply for a forced sale (which is extremely rare) (which you can contest) etc. It is a very long drawn out process and they are not going to take your house. Generally the amount you owe to your creditors is relatively low in the scheme of things - yes it's a lot to you and is causing you distress but to the banks it barely registers.
Those people at the school gate sound really insensitive as well - try and ignore their ignorant comments.
I would perhaps in your case investigate the enforceability of the debt - not so you can not pay it but so that if they decided to you to court and you had asked for their paperwork and found it not legally compliant you would be safe in the knowledge that they would have to accept your offer as without the correct paperwork there is little they can do (apart form whinge!).

The only things you really need to worry about is paying the mortgage and secured loans and council tax and essential bills etc
YES they allow you to buy clothing because they know (or should know) that people do need some clothes every so often and that if people have an unrealistic budget it is more likely to fail.
Emergencys - it depends on the creditors really but I would put it in (if you think they are going to be difficult you could always allow more for say clothes or something and use any savings you make as your emergency fund).
df

fatbelly

I agree with the flavour of what's already been said. I can see you on a dmp at around £200 per month.

Then hit all the expenditure items to see if you can reduce them in practice. My guess is that, using the hints and tips and support on the different boards on this site that there would be some savings to be made.

Dancingfairy put this very well: any extra you can save will be for unexpected expenses or for offering full and final settlements.