My SOA need help

RAS

malkie wrote: »

The Lloyds TSB CC used to be at 15k so that is coming down alot.
Mal

Which will not be helping you clear your debt.

Pay off the MBNA card fiorst as that has the highest APR. Go over to the snowvball on www.whatsthecost.com and see what a difference it makes.

patman99

Have you had a recent (last 2 months) interest rate hike on your credit cards?. If so, and you can make do without one/both, write and reject the hike. This will of course mean that they will cancel the card but at least they can't up the interest. This would give you a fighting chance to clear the balance.

As your soa shows you have a surplus of £1,525 each month, try over-paying the MBNA card buy £50 p/m, your LTSB card by £25 p/m and your mortgage by £47 p/m (this comes off the core amount so after a couple of months you will notice you are paying £1 or £2 less. By adding this to the over-payment you will be working your mortgage payments down towards the £900 p/m mark).

[Deleted User]

Number of adults in household........... 1
Number of cars owned.................... 1

Monthly Income Details
Monthly income after tax................ 4000
Other income............................ 0 Get your friend who has moved in to contribute something here - even if just enough to cover half the utility bills
Total monthly income.................... 4000

Monthly Expense Details
Mortgage................................ 953
Council tax............................. 188
Electricity............................. 58
Oil..................................... 72
Water rates............................. 0 (Don't you pay water - ignore if you are in Scotland as it's not relevant)
Telephone (land line)................... 25
Mobile phone............................ 10
TV Licence.............................. 12
Satellite/Cable TV...................... 22 (Drop channels you don't watch)
Internet Services....................... 25 (See if you can get a better deal by combining internet, home phone and satellite/cable tv - compare different companies Sky, Talk Talk, Virgin etc)
Groceries etc. ......................... 25 This doesn't seem realistic at all
Clothing................................ 0 Never?
Petrol/diesel........................... 200
Road tax................................ 35
Car Insurance........................... 50
Car maintenance (including MOT)......... 50
Buildings insurance..................... 16
Contents insurance...................... 9
Presents (birthday, christmas etc)...... 0 Never?
Haircuts................................ 0 Never?
Entertainment........................... 0 Nothing?
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1750

Assets
House value (Gross)..................... 350000
Car(s).................................. 5000
Total Assets............................ 355000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 20000....(953)......2
Total secured & HP debts...... 20000.....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR Pay the minimum towards all debts and put the surplus you have in your SOA towards Debt 1, as this is the one that's costing you the most in interest every month, once this one is gone, move on to overpayment of debt 2 (including previous minimum payment from debt 1, minimum payment from debt 2 and SOA surplus), when paid off move on to your last debt (but make sure you can make penalty free overpayments to the loan). By "snowballing" this way will minimise the amount of interest you pay back, and allow you to pay quicker)

Debt 1: MBNA CC........................8000......250.......25.9
Debt 2: Lloyds TSB CC..................6000......170.......15.9
Debt 3: Lloyds TSB Loan................5000......305.......12
Total unsecured debts..........19000.....725.......-

Monthly Budget Summary
Total monthly income.................... 4,000
Expenses (including HP & secured debts). 1,750
Available for debt repayments........... 2,250
Monthly UNsecured debt repayments....... 725
Amount left after debt repayments....... 1,525 (You have a huge surplus at the end of the month - overpay on the MBNA card) If you don't have this at the end of the month, keep a sending diary to see where it all goes.

Personal Balance Sheet Summary
Total assets (things you own)........... 355,000
Total HP & Secured debt................. -20,000
Total Unsecured debt.................... -19,000
Net Assets.............................. 316,000

Hi,

I have made some comments above, hope some of them will be of use to you. Hope that helps,

D9