Mass of debt

leelondon2

Just joined up and don't know where to turn. Have unsecured desbts of around 25-30k, now starting to miss payments and creditors starting to chase me, I am struggling to make the min payments now.I should have realised earlier, but thought I could catch up with any late payments, but even this month I'm finding theres not any money left after the rent/council tax ect.

Over the last few months I have cut bills - internet/phone/sky etc and cant see a way out and worried sick now.Please anyone, can you offer any advice?

bouncydog1

Post up your statement of affairs - sticky at top of page - and let people take a look where you can save. If you really want to beat this you have to be prepared to give things up rather that just cut back though. Good luck.

leelondon2

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household......... 0
Number of cars owned.................... 0
Monthly Income Details
Monthly income after tax................ 1500
Partners monthly income after tax....... 259
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1759
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 736
Management charge (leasehold property).. 0
Council tax............................. 188
Electricity............................. 25
Gas..................................... 25
Oil..................................... 0
Water rates............................. 20
Telephone (land line)................... 11
Mobile phone............................ 16
TV Licence.............................. 28
Satellite/Cable TV...................... 39
Internet Services....................... 6
Groceries etc. ......................... 200
Clothing................................ 100
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 80
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 20
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 17
Life assurance ......................... 4
Other insurance......................... 0
Presents (birthday, christmas etc)...... 10
Haircuts................................ 10
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 15
Total monthly expenses.................. 1550

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

No Secured nor Hire Purchase Debts
Unsecured Debts
Description....................Debt......Monthly...APR
next...........................3200......250.......0
capital one....................500.......30........39
barclaycard....................430.......30........14
natwest loan...................6000......190.......0
littlewoods....................4500......250.......0
bank of scotalnd...............3000......200.......
flybe card.....................7500......250.......
Total unsecured debts..........25130.....1200.....

Monthly Budget Summary
Total monthly income.................... 1,759
Expenses (including HP & secured debts). 1,550
Available for debt repayments........... 209
Monthly UNsecured debt repayments....... 1,200
Amount short for making debt repayments. -991
Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -25,130
Net Assets.............................. -25,130

TheLostSheep

Hi, I am in a very similar position to yourself. Just done my own SOA. 2 things that jump out to me:

Your Sky/Cable Tv at £40 p/m that is almost £500 a year towards this. I like my football and lots of the usual tv shows, but through Freesat and Freeview you can get most of the stuff you want for a one of payment of say £80 max.

Also your rent - could you look to save on that by even a hundred pound? Again over a year that would be £1200.

leelondon2

Yes I am going to have to kick Sky into touch as thats a lot. With the rent, thats for London, we have been looking around for cheaper but struggle to find. Also I worry that as my credit rating will go bad, we will struggle to get a tenancy (as you are credit checked).

Also I put too much in for monthly clothing alowance.

podperson

Council tax is quite high, if you're not doing already look at spreading over 12 months not 10. Sky/cable is much too expensive, if you really can't rid of look at cutting right back and trying to get a package deal with your internet and landline. Groceries are not bad but could probably come down a little, me and OH spend about £150 a month for the two of us and I know we could cut that down more if we really tried. Clothing definately needs to be drastically cut, with the debts you have should be essentials only I'm afraid

Would advise maybe calling one of the debt charities such as CCCS or Payplan to see what they advise, off your soa would say you would need to be looking at a dmp or maybe even an iva since you are a lot short for the minimum payments and yes do look at the cutbacks but is unlikely they will provide an extra £900 a month so will need to be sorting out lower repayments to your debts.
Good luck with it.

Numpty_Monkey

leelondon2 wrote: »

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household......... 0
Number of cars owned.................... 0
Monthly Income Details
Monthly income after tax................ 1500
Partners monthly income after tax....... 259
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1759
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 736
Management charge (leasehold property).. 0
Council tax............................. 188 ask to pay over 12 months
Electricity............................. 25 use comparrison and cashback sites turn things off not standby
Gas..................................... 25 use comparrison and cashback sites turn heating and water thermostat down a few degrees

Oil..................................... 0
Water rates............................. 20
Telephone (land line)................... 11
Mobile phone............................ 16
TV Licence.............................. 28 should be £12
Satellite/Cable TV...................... 39 reduce package or go freeview/freeesat
Internet Services....................... 6
Groceries etc. ......................... 200 look on the Old style board, they'll reduce this
Clothing................................ 100 I'm glad I read earlier you got this wrong;) £10 a month
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 80
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 20
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 17 use comparrison and cashback sites
Life assurance ......................... 4
Other insurance......................... 0
Presents (birthday, christmas etc)...... 10
Haircuts................................ 10
Entertainment........................... 0 really????
Holiday................................. 0
Emergency fund.......................... 15you are in an emergancy
Total monthly expenses.................. 1550

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

No Secured nor Hire Purchase Debts
Unsecured Debts
Description....................Debt......Monthly...APR
next...........................3200......250.......0 ?
capital one....................500.......30........39
barclaycard....................430.......30........14
natwest loan...................6000......190.......0 ?
littlewoods....................4500......250.......0 ?
bank of scotalnd...............3000......200....... ?
flybe card.....................7500......250....... ?
Total unsecured debts..........25130.....1200.....

Monthly Budget Summary
Total monthly income.................... 1,759
Expenses (including HP & secured debts). 1,550
Available for debt repayments........... 209
Monthly UNsecured debt repayments....... 1,200
Amount short for making debt repayments. -991
Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -25,130
Net Assets.............................. -25,130

Well done for posting and welcome along:T
glad to see you are paying the priority bills first

I've left a few suggestions,
I don't think we can get an extra £800 a month out of that unless your other can get another job
or full time job (iget the feeling they are a student)

I would recomend you contact one of these Non-profit Debt Counsellors' List
have a look at the CCCS debt remedy https://debtremedy.cccs.co.uk/

HTH:A

NorthernLas

This link gives nationaldebtline's options for paying off debt http://www.nationaldebtline.co.uk/england_wales/page.php?page=35_options_for_paying_back_your_debts
Unfortunately, most will affect your credit rating, but with such a hugs shortfall it is difficult to see how you are maintaining the situation. Have a read then talk to one or more of the charities and see what they suggest.

Could your OH increase their income?

vaporate

Bankrupt more likely.

leelondon2

thanks for that - I did not pay my council tax in April and May so for the rest of the year it has to be £188 per month.

I work full time over six days a week and my partner has just had her hours slashed.

To be honest, I have looked at the gas and electricity and will half that amont as I have just changed suppliers and thats the amount they suggestered per month.

As for food shopping, very good info over on the other board.

As for entertainment, well recently we have re-discovered for free(parks and museums etc)

I have cashed in a ISA I had earlier in the year and used to pay some debts off.

I want to avoid bankruptcy and IVA, wanted to move home this year but cos of the mess I'm in, worried that we will not get another flat because of my credit rating decline.

Numpty_Monkey

Probably not vaporate
Bancruptcy is an option that is open to the OP
my guess is more likely a DMP