Not sure what to do?

rising_from_the_ashes

Just a couple of comments from me:

The sky/cable needs to go - you can buy a freesat card for a one-off payment of £20 and you can get a landline/broadband package for much cheaper than that.

Re the kids - (not sure how old they are) and I know this may sound harsh but if they want mobiles then they will need to contribute towards them (through their pocket money or by having a paper-round etc).

You really must get some contents insurance in place - I realise this may seem like a "non-essential" but it's a real must. If something happened you really need to have the security of insurance in place.

Gas/Elec - both high if no arrears included in this.

Groceries - as others have suggested, this should be fairly easy to reduce a fair bit.

Clothing - too high, pass clothing down the line, shop at charity shops/ebay etc.

Presents - again, too high.

Good luck - I'm sorry if the above seems very harsh but unfortunately you just don't have the spare cash for any non-essentials at the moment. Is there any way you or DH could find some work to up your income (I know jobs are hard to come by at the minute).

eyeopener2

Hi

I do wonder if Bankruptcy may be the best option. Paying token payments will just delay things and being on a DMP for nine years and on benefits (for however long that may be) would be no fun at all.

Maybe post on the Bankruptcy board as well as this one to get a their view.

E2

fatbelly

Why not 2 x Debt Relief Orders?

[Deleted User]

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2
Number of children in household......... 4

Monthly Income Details
Monthly income after tax................ 0 Is this likely to change? By this I mean are you both able to work - if you are able to work, then your current situation may change for the better in the future, presumably when back at work your income will increase, allowing you to pay more to a DMP, and pay it quicker, if that was the route you decided to choose
Partners monthly income after tax....... 0 as above
Benefits................................ 1851 Is this likely to change? Are you recieving all that you are entitled to?
Other income............................ 0
Total monthly income.................... 1851

Monthly Expense Details
Rent.................................... 550
Electricity............................. 65 we are on a meter for both Both seem a little on the high side, is this normal with a meter? Can you change provider if you are on a meter (if so, would this work out as cheaper?), Also, are you paying any arrears through the meter, if so when will they be paid back
Gas..................................... 65
Water rates............................. 83 includes £50 to pay debts
Telephone (land line)................... 0
Mobile phone............................ 48 thats for 3 mobiles Do you need three phoes? If stuck in contract drop to basic package, if out of contract go PAYG, and look at SIM only £10 pm deals (I believe tesco mobile have some good offers at the moment, but do check)
TV Licence.............................. 12
Satellite/Cable TV...................... 100 You need to cut this right back, look at freesat or freeview
Internet Services....................... 0 I presume that this is included above - you shoulld be able to get home phone and broadband for between £20 and £25 pm
Groceries etc. ......................... 520 You should be able to cut this back, batch cook, meal plan, cook from scratch, drop brands, try cheaper supermarkets (Lidl/Aldi), stick to aa list, buy only what you know you will use etc - take a look at the old style board on here - they're very good at shopping on a budget
Clothing................................ 150 I imagine with growing children, hard to cut out, but I think you could cut this back to essentials only - also spending this much monthly, you must have masses of clothes, have a good clear out and e-bay everything that doesn't fit/you don't wear
Other travel............................ 44 we dont drive but need to be able to get to appoints we walk most places
Other child related expenses............ 44 what does this cover? can it be cut down? Got cheaper elsewhere?
Contents insurance...................... 0 might want to consider this
Presents (birthday, christmas etc)...... 60 perhapse you could cut this back a bit - try and cover presents by saving up vouchers from survey sites
Haircuts................................ 30 Any way to cut down? Do you have a local college where you could get trainee cuts for cheap/free?
Entertainment........................... 0 really?
Emergency fund.......................... 30
Total monthly expenses.................. 1801


Assets
Cash.................................... 0 Where does this £30 emergency savings go? If you realistically don't manage to save this, then reduce to a smaller amount, or remove from SOA
Total Assets............................ 0

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR What are the APR's? Are you still being charged interest?apex...........................5000......110.......0
mbna...........................2000......24........0
argos..........................1000......30........0
sky............................5000......0.........0 we havent contacted them yet
baraclys.......................6000......0.........0 this is a guess they havent found us How old is this debt?
cat............................500.......22........0
Total unsecured debts..........19500.....186.......-


Monthly Budget Summary
Total monthly income.................... 1,851
Expenses (including HP & secured debts). 1,801
Available for debt repayments........... 50
Monthly UNsecured debt repayments....... 186
Amount short for making debt repayments. -136 I think that you can balance this by reducing/cutting Pay for TV, reducing clothes shopping, cutting down food shop.

Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -19,500
Net Assets.............................. -19,500

Made some comments above,

HTH

D9

lost_mum

Thank you again for all the different views I may go and post over on the bankruptcy board just so that I can get their help too.

The gas and electric I regularly check u-switch and its never any cheaper, I hate paying so much towards them, I always try and keep usuage to a minimum if we are cold the kids are told to put a jumper on or use a blanket.

The emergency fund would be starting from this month.

The mobiles are on a fixed term so cant go down but when they end will look into payg/sim only

Aldi and Lidl are 1/2 bus journeys away so would put the price of transport up

We dont do anything for entertainment apart from watch t.v and books from the library.

I will have a look in the charity shops tomorrow can have a look then without children but am not holding out much hope for being cheap going buy some of their prices in the window.