Back to square 1 again...

iamashoppingaddict

.....however not as much this time.

I've been a member of this forum for a while, however have avoided this particular board like the plague because if I did post here I'd have to admit whats gone wrong.

I was approx £15,000 in debt years ago and by working two jobs and living with my parents I paid the vast majority off.

However since that time its built up again. So much so its two weeks until I get paid and I've got about £20 until my overdraft is at its limit. Again. I now owe approx £3,500. £1,000 is my overdraft which I'm in immediatly in on payday.

Things have come to a head over the past week and I admitted to my OH last night the situation. He was so ok with things and thats a big relief. He wanted to go on holiday in September and I had to admit that I couldn't afford it. But I cannot help but think that I let him down again.

Anyways, just wanted to say I'm back! And this evening, I'm going to spend some time on an SOA and post up for you guys to pick over and hopefully get some good advice about what to do next.

Thanks for reading.

TeamNicholson

Hello and welcome back

tallyhoh

its not an enormous amount, anything you can sell on ebay or the like?
It is just general overspending?

iamashoppingaddict

I'm selling stuff on eBay after having a clear out, but it's not items that are generating a huge amount of money. Last months eBay fees are £30 which is due to leave my account soon, hopefully what I'll sell this week will cover it.

Yeah, just general overspending and taking my eye off the ball.

tallyhoh

I keep a little book with my ebay stuff in, not that I sell a lot. How much I sold each item for minus postage. Tot them up when the ebay invoice arrives & deduct the fees. Its surprising how much you have made.
You running the debts up on credit cards? sure you know the answer to that.

iamashoppingaddict

Basically I ran up the overdraft, transferred it to a 0% to pay it off. Only made minimum payments, ran the overdraft up again transfered that over also. Transferred some of that to another 0% card and ran the O/D up again.

Need to pay the O/D off and bloody cancel it this time!!!!!!

iamashoppingaddict

I don't spend on the CC cards... never have done. Cut them up when they arrived. Not that that makes it any better obviously.

wobblylemon

Your situation sounds similar to mine, run up the overdraft then use a 0% balance transfer to cover it...aaaand repeat....

I have set up a spreadsheet and check the balance of my credit cards and current accounts every day. This has helped me to see where my money is going and what is making the figures go up and down. Have you got something similar set up?

iamashoppingaddict

wobblylemon wrote: »

Your situation sounds similar to mine, run up the overdraft then use a 0% balance transfer to cover it...aaaand repeat....

I have set up a spreadsheet and check the balance of my credit cards and current accounts every day. This has helped me to see where my money is going and what is making the figures go up and down. Have you got something similar set up?

Yes, I've got a spreadsheet which I input those details. It's not up to date however, which is tonight's job....

iamashoppingaddict

Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 1476.47
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1476.47

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 480
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 0
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 12.5
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 80
Clothing................................ 0
Petrol/diesel........................... 80
Road tax................................ 10
Car Insurance........................... 48.92
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 100
Gym..................................... 29.95
Total monthly expenses.................. 841.37


Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 9000
Other assets............................ 0
Total Assets............................ 9000

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
Car............................8673.57...189.4.....0
Computer.......................546.97....40.73.....0
Barclays CC....................2466.7....70........0
Overdraft......................1000......0.........14.8
Total unsecured debts..........12687.24..300.13....-


Monthly Budget Summary
Total monthly income.................... 1,476.47
Expenses (including HP & secured debts). 841.37
Available for debt repayments........... 635.1
Monthly UNsecured debt repayments....... 300.13
Amount left after debt repayments....... 334.97

Personal Balance Sheet Summary
Total assets (things you own)........... 9,000
Total HP & Secured debt................. -0
Total Unsecured debt.................... -12,687.24
Net Assets.............................. -3,687.24

Created using the SOA calculator at https://www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using other browser.

iamashoppingaddict

Right, well thats it. Not too bad, I have excess at the end of each month if the minimum payments are met. My downfall is the fact that I'm in my overdraft again immediately on payday as my rent and car payments come out on the same day as my wages go in and I'm normally at my overdraft limit of £1,000.

Just to explain myself and OH keep our finances separate but we have a joint account which all our bills come out of, hence £480 covers my half of the bills, gas electric rent etc etc.

I've received a letter from Virgin saying that I can transfer a balance to the card interest free for a year. Do you think this is worth doing so that my account is 'back in the black' and then get my bank to take away the overdraft so I cannot go back into it? Or should I just continue chipping away at it?

The barclay card is currently interest free until April 2013.

The amount left of £335 leaves £83 a week. I won't spend £83 a week, so I'm thinking about just drawing out £40 a week and leave the other £43 in the account and not touch it. That leaves £172 towards paying the overdraft off a month. That would get it paid off in 5/6 months.

What do you guys think?