Debt free wannabe

HBRAD123

This is my soa. My mortgage is currently on svr 3.5% With Halifax (int only) (no rep vehicle in place) and my cc are on 0% usually just do a bal transfer if can't pay off in 0% period... personal loan is 218 os bal 7500 is paid off in 36mths and won't have to pay childcare as of sept next year.. (but what we have or don't have that causes me concern)!!

(Thankfully my husband is a technician so don't need to pay for maintenance of the cars..

The thing that worries me the most is that were not paying any capital off our mortgage due to having no money left over at the end of the month.. (int rates are only gonna go up).. so need to get my finances in order or we will end up loosing our house...

At the moment I am working all the overtime I possibly can and selling unwanted things on ebay..

Any advice would be appreciated..

Thankyou.


[tt]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................ 1200
Partners monthly income after tax....... 1600
Benefits................................ 138.5
Other income............................ 0
Total monthly income.................... 2938.5

Monthly Expense Details
Mortgage................................ 577
Secured/HP loan repayments.............. 218
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 185
Electricity............................. 51
Gas..................................... 51
Oil..................................... 0
Water rates............................. 29
Telephone (land line)................... 13
Mobile phone............................ 45
TV Licence.............................. 13
Satellite/Cable TV...................... 33
Internet Services....................... 0
Groceries etc. ......................... 300
Clothing................................ 20
Petrol/diesel........................... 250
Road tax................................ 40
Car Insurance........................... 60
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 300
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 20
Contents insurance...................... 0
Life assurance ......................... 33.57
Other insurance......................... 0
Presents (birthday, christmas etc)...... 30
Haircuts................................ 10
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 2255


Assets
Cash.................................... 0
House value (Gross)..................... 240000
Shares and bonds........................ 0
Car(s).................................. 4000
Other assets............................ 0
Total Assets............................ 244000


Secured & HP Debts
Description....................Debt......Monthly.. .APR
Mortgage...................... 193000...(577.16)......3.5
Secured Debt.................. 7500.....(218.51)......6.5
Total secured & HP debts...... 200500....-.........-

Unsecured Debts
Description....................Debt......Monthly.. .APR
TESCO CC.......................2100......63........0
BARCLAYS CC....................2400......72........0
Total unsecured debts..........4500......135.......-


Monthly Budget Summary
Total monthly income.................... 2,938.5
Expenses (including HP & secured debts). 2,255
Available for debt repayments........... 683.5
Monthly UNsecured debt repayments....... 135
Amount left after debt repayments....... 548.5

Personal Balance Sheet Summary
Total assets (things you own)........... 244,000
Total HP & Secured debt................. -200,500
Total Unsecured debt.................... -4,500
Net Assets.............................. 39,000

dancingfairy

According to your SOA you should have 548 pounds a month spare after debt repayment - clearly you're not seeing that. There are therefore 2 main reasons for this:
1) you're spending more than you have budgeted for in your SOA - some areas particularly groceries are where people don't normally realise how much they actually spend, entertainment? school trips? other things you've probably missed out that crop up from time to time.
2) Some of the money is being lost into a mysterious black hole on nothing in particular - common culprits of this include - fizzy drinks, coffee at work/on the way to work, work lunches, meals out, drinks after work/evening drinks, the 'odd' cd/dvd, cinema trip, cigarettes, make-up, the 'odd' magazine, etc etc. It's pretty scary when you work it out - well you're 548 a month out which is pretty scary :eek::eek:

Some of this expenditure will be totally neccessary but if you can just start to keep hold of some of this then it will make a massive difference to you. Start a spending diary and find out where your money is really going. Once you have some 'spare' I would start by getting rid of the credit cards, then save up an emergency fund and then start to tackle the mortgage.
df

CH27

Do you have the £548 left at the end of the month?

Keep a spending diary for a month & see if you can see where you are frittering money away.

Good luck:)