SOA and debt details

SparciaM

Ok, I'm looking to make 2007 a great year for halving my debt or at least putting a big dent in it.

Here goes:

Income: £1050

Outgoings:

Rent: £300
Gas & Electric: £30
BT: £35 - Down from £40
Orange: £35 - Down from £70
Halifax CC: £50
FD CC: £60
Smile Loan: £120.01
HSBC Loan: £160.00
Food: £100
Social: £150 - Down from £400

So Incoming: £1050
Outgoing: £1040

Now there is no way of getting my outgoing down or incoming up at the mo. So I need a financial plan. One was to use my £500 OD at 9.9% with smile to clear my CC bill and then add the £50 from that to FD to make £110pm month. As smile OD is less interest than Halifax at 15.9% - what do people think?!?

- Was thinking - I could open an A&L account for the 0% OD and put into a savings account for 1 year to gain extra money for Dec 2007. I could def get a £500 OD min from them.

Kazonline

Have you tried using the Snowball calculator? By using that it'll show you where to make all the various repayments to clear your debt the quickest. I'm not going to give any other advice as I'm in a pickle myself - I don't want to send you that way too! I wish I'd found the Snowball calculator years ago though.
Well done on cutting some of your expenses though - pretty impressive cuts!
Kaz x (PM me if you want me to send a link to the snowball calculator if you haven't got it)

CLAPTON

your budget looks a little light and perhaps unrealistic.
the budget is not just for this particular month but has to be viable for the next year...so maybe you will spend something over the next 12 months on some of the following...travel, clothes, presents, haircuts, work lunches/coffees, hobbies, holidays, xmas expenses, dental/optical/medical, newspapers/magazines, takeaways
do you have to pay any council tax, water rates?

wifeforlife

SparciaM wrote:

- Was thinking - I could open an A&L account for the 0% OD and put into a savings account for 1 year to gain extra money for Dec 2007. I could def get a £500 OD min from them.

Theres no point in having a savings account unless its a higher rate of interest than the debt's rate. Transferring your high interest rate debts to a lower one or to the 0% ovrdraft is a good idea.
What about changing your mobile contract or bt one? Is both necessary? Theres always cheaper mobile/homephone/internet deals.

HTH and Best of Luck, more knowledgeable will be along

Cath

gallygirl

SparciaM wrote:

Now there is no way of getting my outgoing down or incoming up at the mo.

Oh really....... sounds like a challenge to me.... (although I agree your SOA has missing items).

Social - £150. OK, well done on getting it down from £400. But you CAN make savings here. What does it go on - 1 big blow out, lots of meals/snacks out etc? Give us a clue and we'll see what we can do!

Income - sign up with all the on-line survey sites, mystery shopping, pigsback and quidco. Can soon pick up a little extra (which all helps....), and get vouchers from pigsback towards meals, or Boots vouchers which sell for near cash value on ebay.

Second job - even stacking shelves 2 nights a week. Or in a bar - social life for free!

Change your job???? You are poorly paid?????

Good luck!!!

SparciaM

Ok, I have no travel expenses as have no car and walk everywhere.

Ctax and Water are in rent.

2006 I saved £5pm for Xmas - I don't buy bdays, just Xmas.
I have my own clippers so cut my own hair
Last time bought clothes was a year ago.
My food budget inc the odd 75p sandwich at work.
My hobbies don't cost anything, as I get loads of DVDs at Xmas and Bday to keep me going and last time I paid for a holiday away was 2005. I won a trip to NYC this year from the paper, so no spending there.
I don't have any health costs and don't even have a doctor yet, as only just recently moved.
No subscriptions either.

BT has 5 months left to go, then can reduce to £20pm
Orange has 17 months so can't reduce. Orange contract is the cheapest and best contract I've ever had, considering what my bills are like. I get 2550 mins anytime any network and 3000 texts and unlimited calls to 1 number and can add another 2 over the course all for £35. I maybe able to knock another £5 off this in 9 months or so, but at the moment, I'm really impressed with the contract at £35.

Social COULD be cut down, but going from £400 to £150 ended up me having 1 night a week out to see friends - I have to travel to friends as they don't live near so that is included in social and at the moment I'm not willing to try and reduce further for the sake of an extra £20 or so pounds. I worked out if I did one week a month staying in and seeing no-one I'd save £15, which is not a lot really.

I've just signed up to quidco, but will look at the rest.
Can't do a 2nd job as I work 9 hours a day and work wouldn't allow me to work elsewhere, plus I'd have to pay more tax so wouldn't come out with much in the end. How do you get Boots Vouchers?!? I thought you just got points on a card!!

My job is £15900 PA, which is v good for where I live. I'm looking at other possibilities and have 2 interviews in 1st week of Jan so will see. I'm trying to do an eBay challenge for 2007 and put things I never use on there.

moozie_2

Hello there and welcome

Here's what I think....

SparciaM wrote:

Ok, I'm looking to make 2007 a great year for halving my debt or at least putting a big dent in it.

Here goes:

Income: £1050 This is low. Can you get additional work/change work? Also, mystery shopping/quidco/ebay/amazon all help as long as you invest the time!

Outgoings:

Rent: £300
Gas & Electric: £30
BT: £35 - Down from £40
Orange: £35 - Down from £70
Halifax CC: £50
FD CC: £60
Smile Loan: £120.01
HSBC Loan: £160.00
Food: £100 Is this for one? It can still be lowered.Social: £150 - Down from £400 This is better than before but can be improved further.

So Incoming: £1050
Outgoing: £1040
What about other usual bills/costs? Council Tax/Water/haircuts/dental/insurance personal and home etc etc?

Now there is no way of getting my outgoing down or incoming up at the mo. So I need a financial plan. One was to use my £500 OD at 9.9% with smile to clear my CC bill and then add the £50 from that to FD to make £110pm month. As smile OD is less interest than Halifax at 15.9% - what do people think?!?

- Was thinking - I could open an A&L account for the 0% OD and put into a savings account for 1 year to gain extra money for Dec 2007. I could def get a £500 OD min from them.

I think you should aim to increase your incoming at the first instance and then lowering even further your outgoings - it can be done!

What are your CC balances and would a 0% card be a possible solution? What's your credit like? I am not sure a savings account is the right approach

Good luck!

moozie_2

SparciaM wrote:

My job is £15900 PA, which is v good for where I live. I'm looking at other possibilities and have 2 interviews in 1st week of Jan so will see. I'm trying to do an eBay challenge for 2007 and put things I never use on there.

Thanks for ansering all my questions and more - I think I was typing when you were only I am much slower

I hope the interviews go well and your income increases!

I do mystery shopping with GrassRoots - worth looking into as each shop gets me £10+

All the best!

david_hellier

Hi. According to my calculations you have £68.07 per week to spend on food, clothes going out and anything else. To prevent overspend, I suggest you write this amount in a little note book on a Monday and keep a note of what you spend by subtraction. If you have any over at the end of the week then put it towards your most expensive debts first. Stop using credit cards for any more purchases. If you need more money, I can only suggest you take an extra job to give you a bit more spare cash.

Good luck, the figures are as follows:

Weekly Monthly
Income 0.00 1050.00
rent/mortgage 300.00
council tax 0.00
secured loans 0.00
fines 0.00
electricity 15.00
gas 15.00
water 0.00
tv licence 0.00
orange 35.00
halifax cc 50.00
fd cc 60.00
smile 120.01
hsbc 160.00















Start £68.07

SparciaM

I'd love to know how someone can lower a food budget of £100pm.

That £100 is £25pw for food and the odd sandwich at work.

I doubt there is any way you can live a healthy breakfast,lunch,dinner lifestyle on less than £25pw.

You think 4 pieces of chicken alone cost nearly £4/£5, then you have potatoes, vegetables etc - granted the chicken will last 4 days and if you make a lasagne or shepherds pie that would last a few days, but surviving on less than £25pw on food, I'd love for someone to show me how.

bobbie78

SparciaM if you look on the old style money board they have loads of good food ideas. There is a thread at the moment for 2 meals for 50p, a lot of people have slow cookers and bread makers (get through freecycle ) which means they do lots of cooking and freeze it so it is like having home made ready meals when you need them.

Good luck with sorting your debts out, I'm in the same kinda situation myself.