Who's eating my money?

DVardysShadow

You are in for a long haul. Probably 5 years to get on top of it.

You really need to add the APRs to you SoA, to begin to plan how to pay them down,. A big well done for applying the payment to another debt once you paid off a loan. This is the basis of snowballing and there is a useful online calculator http://makesenseofcards.com/snowcalc.html to help you decide how to pay loans down.

I would pick on the 3 overdrafts as something to deal with. I suggest that you pick on one account hopefully in a different bank to the others and you bring that account to stay in the black. Do all your banking in that as far as you can, which will minimize the costs arising on the other 2. Keeping an account in the black is a useful financial discipline - provided you don't delude yourself by playing games like increasing the overdraft on the other accounts.

bravobeastie

How come the car insurance is so high? If you are selling the third car, cancel the policy. For the other 2 can you not have a multicar policy? I pay £68 a month for 2 cars (pug 106 diesel & pug 306 tdi)

It seems you are paying an awful lot out in car insurance alone!

natlie

MummyDrusilla wrote: »

Hi,

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 21?
Number of children in household......... 1
Number of cars owned.................... 3

Monthly Income Details
Monthly income after tax................ 1230.56
Partners monthly income after tax....... 2063.27
Benefits................................ 81.2
Other income............................ 0
Total monthly income.................... 3375.03

Monthly Expense Details
Mortgage................................ 578.9 can you downsize?
Secured/HP loan repayments.............. 398.9
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 133
Electricity............................. 101
Gas..................................... 0
Oil..................................... 0
Water rates............................. 21 very cheap mines £40 a month
Telephone (land line)................... 28.57 can you combine the sat/broadband/phone BT are doing £18 a month for all
Mobile phone............................ 42.82
TV Licence.............................. 12.12
Satellite/Cable TV...................... 26.62
Internet Services....................... 0
Groceries etc. ......................... 200 are you sure? add all receipts keep spend diary - lots of mse'rs try to achieve this - could be where some of the £500 is going
Clothing................................ 0
Petrol/diesel........................... 300really expensive
Road tax................................ 20.42
Car Insurance........................... 218.36 cheap for the cars you have
Car maintenance (including MOT)......... 10
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 30 cheap mines £33 a day
Other child related expenses............ 9.5
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 26.26
Buildings insurance..................... 10
Contents insurance...................... 8.82
Life assurance ......................... 108.09 are you sure mines £11 a month
Other insurance......................... 0
Presents (birthday, christmas etc)...... 5
Haircuts................................ 25
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Professional Fees....................... 0
Total monthly expenses.................. 2314.38


Assets
Cash.................................... 0
House value (Gross)..................... 225000
Shares and bonds........................ 0
Car(s).................................. 27000 ouch!
Other assets............................ 2000
Total Assets............................ 254000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 277886...(578.9)....2.5<
PCP............................21803....(398.9)....0
Total secured & HP debts...... 299689....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
GOLD MC........................1104.92...25.03.....0 an extra £80.34 goes on this every month after another loan ended a couple of months ago - we decided to continue to pay this out to clear the debt quicker
BLUE MC........................2848.39...64.15.....0
BARCLAYCARD....................4307.87...96.92.....0
OVERDRAFT 3....................1585.91...0.........0
OVERDRAFT 2....................2234.04...0.........0
OVERDRAFT 1....................1906.46...0.........0
2ND PROF LOAN..................3198.48...111.7.....0
BANK OF SCOTLAND CC............3701.3....37.01.....0
PROFESSIONAL LOAN..............1084.51...43.04.....0
HOUSE LOAN.....................9654.93...153.1.....0
Total unsecured debts..........31626.81..530.95....-


Monthly Budget Summary
Total monthly income.................... 3,375.03
Expenses (including HP & secured debts). 2,314.38
Available for debt repayments........... 1,060.65
Monthly UNsecured debt repayments....... 530.95
Amount left after debt repayments....... 529.7

Personal Balance Sheet Summary
Total assets (things you own)........... 254,000
Total HP & Secured debt................. -299,689
Total Unsecured debt.................... -31,626.81
Net Assets.............................. -77,315.81

sandraroffey

havent read through all this thread, so this may have already been said....but can the car you have for sale, be parked somewhere off road and be declared off road?? no insurance then.

MummyDrusilla

Thanks everyone

The cars: In the last 4 months we have changed 2 audi a3's (1 1.6L petrol and 1 2.0L TDI) to a volvo v60 (brand new as was cheaper than buying used) and a nissan note (my little run around). Various reasons for this, the main being the MPG. We part ex'd the TDI audi for the volvo which is on PCP. We then bought the nissan outright and we're going to pay FIL back using the money from selling my audi. It is currently sat in the garage so we're insured TPFT. We aren't keen to SORN as we're not sure of the implications of this on the HPI check and how expensive/easy it is to de-SORN. We used to have a multi-car policy with admiral but moved when I managed to cut the renewal notice by £500 with direct line. The reason insurance is so high is because DH has had 4 accidents in the last 5 years. This will drop to 3 next year I believe. It cripples us but he's learnt his lesson (i think).

We're unable to downsize the house. We're in -ve equity. We bought for £276,995 in 2007. The same house design a few doors along is being sold right now for £225,000 .

Childcare is cheap as we do childcare vouchers. Here I've declared the excess we have to pay with real money per month.


Well I'm off to the PO today to post one of the pairs of shoes I sold on ebay. I've got 7 more pairs on there plus a book but no-one's bitten yet. 5 days left tho so hopefully someone will look at them esp now paydays are looming. Last time I sell baby stuff on ebay tho. Have found a couple of fb groups I can sell through which would be better to eliminate fees.

Today's task is to look at pet insurance

MummyDrusilla

Not sure where 21 adults has come from in the SoA. Shall edit OP. Perhaps that's where the money's going? :rotfl:

jumperjohn

How is buying a new Volvo V60 cheaper than keeping your old cars, the mpg 'saving' is nil as you'll never recoup the cost to change. Plus you'll notice real mpg is less than advertised. Why such big car too? I feel that this may have been an ill advised purchase.

MummyDrusilla

The mpg saving means that we're paying out less on fuel mile per mile which is a big thing for us. We knew it was less than advertised when we bought it and it is doing considerably more than the old audi was. The big car is essential for us unfortunately. We spent a lot of time thinking about it (18 months) and we did our homework. DH isn't naive with cars and he really put the hours in choosing that one.

We are happy with that purchase and don't regret it at all.

MummyDrusilla

Well I'm flabberghasted! I've just been shopping around for pet insurance and I can't believe how much more we've been paying than we need to. I feel very stupid now. Oh well. Will get on the phone to petplan tomorrow to cancel the policy with them and switch to the new policy. Have found we can go with more than, pay £78 annually and get £60.60 cashback for 1 cat and then £39 annually for the other cat with £20 cashback. Which makes it £18.50 avg annually per cat. Not bad at all considering I'm currently paying £13.13 per month per cat!

And it says nowhere in the petplan T&Cs that it'll cost us to cancel halfway through.

MonkeyMad

MummyDrusilla wrote: »

The mpg saving means that we're paying out less on fuel mile per mile which is a big thing for us. We knew it was less than advertised when we bought it and it is doing considerably more than the old audi was. The big car is essential for us unfortunately. We spent a lot of time thinking about it (18 months) and we did our homework. DH isn't naive with cars and he really put the hours in choosing that one.

We are happy with that purchase and don't regret it at all.

But are you really saving? If we were to be very generous and say that you now get an extra 50% mpg on average across both cars compared to before you are 'saving' £150p/m compared to your old cars. If it cost you £4000 total to swap you will need to keep the new ones for more than two years just to break even. That's not even accounting the massive depreciation on a new car.