debt getting too much trust deed help

samcro_2

Hi everyone, newbie here my name is Jamie & from Scotland, i earn around 1150 per month after tax.

over the past few years i have been very irresponsible with spending and have nothing to show for it, clothes , gadgets , partying , cars and gambling. I have hit all this in the head and trying to get debt free but i feel its too much for me and struggling to make ends meet, I have just recently became a dad for the first time and don't want this to effect my family, if the misses knew the mess i was in she would freak out and probably do a runner!
The current unsecured debt i have is around £28,000
loans - £18,000
ccard - £4500
Od - £4000
catlog - £1500
this is coming to around 700-750 per month with the od and cc not going down at all, i find myself using the cc near the end of the month to get by for food ect

I seen an advert on tv for trust deed Scotland and was going to give them a call, any advice ,help would be much appreciated folks.
Quite new to it all so don't really know much about any of this and if i would be excepted and if it would put my joint mortgage an jeopardy

thanks

Happytogetdebtfree

Hi and welcome, it would be helpful to post a statement of affairs so that people can try and reduce it. There is a sticky at the top of the page . Well done for taking the first step and acknowledging your debts

cookson

I agree with Happytogetdebtfree, we need a full SOA to see where you could possibly cut back.

It would be handy to know what the interest rates are on the various debts too, so we can help you figure out which ones to target to clear first.

samcro_2

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2
Number of children in household......... 1
Number of cars owned.................... 1

Monthly Income Details
Monthly income after tax................ 1150
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1150

Monthly Expense Details
Mortgage................................ 360
Secured/HP loan repayments.............. 0
Rent.................................... 180
Management charge (leasehold property).. 10
Council tax............................. 65
Electricity............................. 25
Gas..................................... 25
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 13
Mobile phone............................ 25
TV Licence.............................. 12
Satellite/Cable TV...................... 25
Internet Services....................... 15
Groceries etc. ......................... 100
Clothing................................ 40
Petrol/diesel........................... 60
Road tax................................ 8
Car Insurance........................... 35
Car maintenance (including MOT)......... 10
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 5
Pet insurance/vet bills................. 0
Buildings insurance..................... 15
Contents insurance...................... 10
Life assurance ......................... 10
Other insurance......................... 0
Presents (birthday, christmas etc)...... 20
Haircuts................................ 8
Entertainment........................... 100
Holiday................................. 50
Emergency fund.......................... 20
Total monthly expenses.................. 1246


Assets
Cash.................................... 0
House value (Gross)..................... 137000
Shares and bonds........................ 0
Car(s).................................. 1000
Other assets............................ 0
Total Assets............................ 138000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 130000...(360)......0
Total secured & HP debts...... 130000....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
nationwide loan 1..............10000.....200.4.....7.5
nationwide loan 2..............1500......40.6......21
hbos loan 1....................7000......130.5.....12.4
family loan....................1200......50........0
halifax overdraft..............4000......91........27.38
very...........................900.......50........39.7
capital one....................500.......13........26.5
halifax cc.....................4000......113.......21.95
Total unsecured debts..........29100.....688.5.....-


Monthly Budget Summary
Total monthly income.................... 1,150
Expenses (including HP & secured debts). 1,246
Available for debt repayments........... -96
Monthly UNsecured debt repayments....... 688.5
Amount short for making debt repayments. -784.5

Personal Balance Sheet Summary
Total assets (things you own)........... 138,000
Total HP & Secured debt................. -130,000
Total Unsecured debt.................... -29,100
Net Assets.............................. -21,100

samcro_2

i dont know if have done this properly, i was basically just trying to put what i pay out each month excluding my partner , as she is unaware of the debts i have. i think i may have made a mistake with the rent and its a mortgage i have which we split the 360 and pay 180 each per month
thanks

lizzy23

i think you need to talk to one of the debt charities, am not sure which ones operate in Scotland, but looking at that you don't have enough income to service your priority payments let alone your unsecured debt

Anondebtadvisor

If you were to enter a trust deed you would be required to release equity from your property, or extend the trust deed until you have paid the level of equity due.

I know some companies say you can pay £500 to protect the equity - before you believe this you should do some research as it causes people a lot of problems when they realise they still need to release equity!

You may find a Debt Arrangement Scheme (DAS) suitable, it is a legally binding debt payment plan when fees and interest will be frozen and no legal action taken against you and none of your assets are taken into account

Miss_Poohs

Hi Samcro - well done on taking the bull by the horns.

There's lots of good advice here, so I'm sure someone will be able to offer you some pointers.

From my personal experience where my husband ran up alot of debts behind my back - apart from being upset, angry and disappointed about his enormous debt I was hurt that he didn't feel able to share his dilemma with me. Sure she's not going to be best pleased but I'd hedge my bets your partner already has suspicions something's not right.

My husband ended up with a debt payment plan under DAS -
http://www.dasscotland.gov.uk/

This way he paying back all his debt, but at a more affordable rate and all interest and charges are on hold.

If protecting your home is a priority - DAS is a good option.

Good luck

Miss P