first step to be debt free

DEBTFREEWANNABE_6

hi everybody i am new to this hope you will forgive me if i do something wrong. i need everyones help to get me debt free. i will post my soa next time

thanks

SSB

Hi
Welcome to the forum, we are here to support you and there is no need to worry about mistakes. Post your SOA and share your worries, you will find that you are not alone, we are always willing to give encouragement and support:j
Good luck with your SOA.

webitha

hiya and welcome
post your SOA and dont feel embassed to ask for help as weve all been there and got the t shirt some more than others
dont panic your amongst friends here and well done you on your first step to recovery

DEBTFREEWANNABE_6

here's my SOA

Monthly Income

Me - 1750
Partner - 1050
Child Benefit - 116.60
Child Tax Credits - 40.20

Monthly Outcome

HSBC Mortgage @ 6% = 716.99
Mortgage Critical ins = 48.69
Food = 275
Car 1 Insurence = 44.17
Car 2 Insurence = 11.47
Life Insurence Me = 46.86
Life Insurence Partner = 49.93
Broadband = 15.99
Phone = 36
Current Account fees Me = 15
Current Account Partner fees = 11.5
Sky = 10
Tv Licence = 11.41
Council Tax = 99
Union = 14.37
Mobile = 25
Petrol = 60
Gas = 45
Electric = 40
Mid Kent Water = 36
Southern Water = 32
Children's Music Tution = 43

Debts

HALIFAX card 4408 0% !!07/07}
RBS Loan @ 7.9% = 309.68
HSBC card me 100 @ 13.9%
HSBC card partner 250 @ 13.9%


hope you can help
many thanks

webitha

sorry cant give too much advise somone with more knowledge will be along soon
the only thing i pick up is why are you paying fees for an account can you not get another without
hugs to you both as im feeling all lovey today as DD2 gave me a full nights sleep yippee

CLAPTON

could you add the following (use the EDIT button)

give a total for income

give a total for spending

correct the debt line for the hailfax card (it doesn't seem to make sense)
also add the minimum monthly payments on each debt

a debt total and a total for mon thly debt repayments would be useful

DEBTFREEWANNABE_6

here's my SOA

Monthly Income

Me - 1750
Partner - 1050
Child Benefit - 116.60
Child Tax Credits - 40.20

TOTAL 2900

Monthly Outcome

HSBC Mortgage @ 6% = 716.99
RBS Loan @ 7.9% = 309.68
Mortgage Critical ins = 48.69
Food = 275
Car 1 Insurence = 44.17
Car 2 Insurence = 11.47
Life Insurence Me = 46.86
Life Insurence Partner = 49.93
Broadband = 15.99
Phone = 36
Current Account fees Me = 15
Current Account Partner fees = 11.5
Sky = 10
Tv Licence = 11.41
Council Tax = 99
Union = 14.37
Mobile = 25
Petrol = 60
Gas = 45
Electric = 40
Mid Kent Water = 36
Southern Water = 32
Children's Music Tution = 43
Other = 27.94

Total = 2050

Debts

HALIFAX card 4408 0% until 07/07 100
RBS Loan @ 7.9% 309.68
HSBC card me 100 @ 13.9% 50
HSBC card partner 250 @ 13.9% 75


hope you can help
many thanks

CLAPTON

sorry still just to be clear; is the RBS loan 309.68 or is the monthly payment 309.68 and if the latter how many payments left.

DEBTFREEWANNABE_6

Sorry The Monthly Payment Is 309.63 The Loan Is £10000 Statred In July 2006 End 2009 July

emzig123

A few comments for you to ponder, well done on posting!

DEBTFREEWANNABE wrote:

here's my SOA

Monthly Income

Me - 1750
Partner - 1050
Child Benefit - 116.60
Child Tax Credits - 40.20

Monthly Outcome

HSBC Mortgage @ 6% = 716.99
Mortgage Critical ins = 48.69
Food = 275
Car 1 Insurence = 44.17This is quite high, is there a reason or can you get a cheaper quote?
Car 2 Insurence = 11.47
Life Insurence Me = 46.86
Life Insurence Partner = 49.93Can either of these policies be combined withthe mortgage protection? You may find both policies are covering he same thing
Broadband = 15.99
Phone = 36This can be reduced. Try and use it as little as possible and evening as much as poss cos it's cheaper
Current Account fees Me = 15
Current Account Partner fees = 11.5you can easily get free bank accounts. often the money you are paying for 'extras' is wasted as they are never used. be ruthless, do you use them or are they just useful to have!?
Sky = 10is this really necesssary?
Tv Licence = 11.41
Council Tax = 99
Union = 14.37
Mobile = 25is this payg or contract? use it only for emergencies and be really strict with yourself!
Petrol = 60
Gas = 45
Electric = 40
Mid Kent Water = 36
Southern Water = 32why two waters?
Children's Music Tution = 43I know it's horrible, but is this really necessary? Can th lessons be stopped/cut down for a while.

Debts

HALIFAX card 4408 0% !!07/07}
RBS Loan @ 7.9% = 309.68
HSBC card me 100 @ 13.9%
HSBC card partner 250 @ 13.9%


hope you can help
many thanks

CLAPTON

it looks quite good

so
income is 2900
spending 1741 (excluding all debt payments except the mortgage)

so there is 1160 each month to pay off the debts ? i guess you dont really have that much .. that would be 13,000 annum which would almost wipe out your debts in a year.

so start a spending diary to work out where everything goes..also look at all the annual, occasional, one off spends ..with these work out what you expect to spend over the next 12 months and divide by 12 and add them to your monthly budget...

so you have two cars..what about car tax, MOT, servicing, RAC/AA, repair provision, clothes, xmas, presents, holidays. kids outtings
also haircuts, any work lunches, socialising, takeaways, newspaper/magazine hobbies etc.
be very realistic about where everything goes.

on the spending

you spend 140 on life/critical illness... this seems a lot...have you looked at exactly what it does for you, do you have any cover from your jobs and if on reflection you need it then can you get it cheaper (just think over a 20 year mortgage thats going to cost you £33,600 a lot if you dont really need it or can get it cheaper.

what do the current a/c fees do for you ..another 25 that could go to the debts