In debt and need advice. [SOA]

lexusuk3

Hi all,

I am 27, in debt and looking for a way out. I live alone at the moment but am really struggling to make the monthly payments without having to rely on payday loans every month to make it to the end of the month. I'm definitely in a debt spiral due to the high repayments each month. See below my SOA:

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 1


Monthly Income Details
Monthly income after tax................ 1323
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1323

Monthly Expense Details
Rent.................................... 500
Council tax............................. 74 (This includes single person discount)
Electricity............................. 81 (Paying a previous bill spread over 6 months)
Gas..................................... 82 (Paying a previous bill spread over 6 months)
Water rates............................. 26.66 (Paying spread over 6 months)
Mobile phone............................ 30 (Contracted to this payment)
TV Licence.............................. 12.37
Internet Services....................... 21.5 (Contracted to this payment)
Groceries etc. ......................... 100

Total monthly expenses.................. 927.53


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

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
Barclaycard....................4236.62...103.3.....0
Capital One....................636.05....25........0 (Currently 0% due to xfer)
Capital One....................381.8.....20........0 (Currently 0% due to xfer)
Natwest Mastercard.............689.58....25........18.9
Natwest Overdraft..............2000......25.........0 (Student/Graduate Overdraft)
Total unsecured debts..........7944.05...198.3....-

I also have a Wonga loan at £800. Repayment next month is £997.


Monthly Budget Summary
Total monthly income.................... 1,323
Expenses (including HP & secured debts). 927.53
Available for debt repayments........... 395.47
Monthly UNsecured debt repayments....... 198.3

Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -7,944.05
Net Assets.............................. -7,944.05

---

Earning just over £1300 a month but with overall outgoings (inc. cc's and overdraft) being 1125.83 leaving me with just under £200/m expendable is too little when taking in to account travel to work, food at work, socialising etc.

I am planning to move house and house share with a friend as soon as possible but I think i'm going to go under before I get that far. Not to mention the expense of moving. My parents have agreed to assist me with this however.

What is my best course of action? Is there anyway I can consolidate my debt in to one payment. Personal loans are an option to reduce my monthly spend on debt repayments however I suspect that I will be rejected.

Any help is appreciated.

Tixy

Hi and welcome

lexusuk3 wrote: »

Hi all,

I am 27, in debt and looking for a way out. I live alone at the moment but am really struggling to make the monthly payments without having to rely on payday loans every month to make it to the end of the month. I'm definitely in a debt spiral due to the high repayments each month. See below my SOA:

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 1


Monthly Income Details
Monthly income after tax................ 1323
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1323

Monthly Expense Details
Rent.................................... 500
Council tax............................. 74 (This includes single person discount)
Electricity............................. 81 (Paying a previous bill spread over 6 months)
Gas..................................... 82 (Paying a previous bill spread over 6 months)
Water rates............................. 26.66 (Paying spread over 6 months)
Mobile phone............................ 30 (Contracted to this payment)
TV Licence.............................. 12.37
Internet Services....................... 21.5 (Contracted to this payment)
Groceries etc. ......................... 100
You need to budget for all your monthly outgoings, travel, entertainment, clothes, haircuts, presents etc

Total monthly expenses.................. 927.53


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

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
Barclaycard....................4236.62...103.3.....0 is this 0%? how long for?
Capital One....................636.05....25........0 (Currently 0% due to xfer)
Capital One....................381.8.....20........0 (Currently 0% due to xfer)
Natwest Mastercard.............689.58....25........18.9
Natwest Overdraft..............2000......25.........0 (Student/Graduate Overdraft)
Total unsecured debts..........7944.05...198.3....-

I also have a Wonga loan at £800. Repayment next month is £997. You need to include this on your list of debts - this is obviously the biggest problem in the short term. What are your plans in relation to this? have you got any items you could sell to raise some money? what was the loan used for? Would your employer consider a short term loan to help you with this?

What are the limits on all your cards? and your overdraft limit? do you have sufficent spare capacity on any of these that you can pay for your monthly outgoings on these to leave enough money to pay your payday loan off?

Would parents assist you with this instead of the move as its higher priority right now.


Monthly Budget Summary
Total monthly income.................... 1,323
Expenses (including HP & secured debts). 927.53
Available for debt repayments........... 395.47
Monthly UNsecured debt repayments....... 198.3

Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -7,944.05
Net Assets.............................. -7,944.05

---

Earning just over £1300 a month but with overall outgoings (inc. cc's and overdraft) being 1125.83 leaving me with just under £200/m expendable is too little when taking in to account travel to work, food at work, socialising etc. I'd suggest you work out and put these costs into your budget, thats the only way you'll get a true picture of your situation and decide on how far short you are a month.

I am planning to move house and house share with a friend as soon as possible but I think i'm going to go under before I get that far. Not to mention the expense of moving. My parents have agreed to assist me with this however. when is your lease due to expire on the current place? how soon are you hoping to move in with your friend?

What is my best course of action? Is there anyway I can consolidate my debt in to one payment. Personal loans are an option to reduce my monthly spend on debt repayments however I suspect that I will be rejected.
Any help is appreciated.

Given your income & level of debt I would think it would probably be unlikely you'll get an personal loan at the moment.
Another option would be to consider defaulting on your repayments, but if you can find a way to meet your wonga repayment and can soon reduce your outgoings by house sharing then this would be better than messing up your credit file for years to come.