On the edge of a right mess! Payday loans mainly - Any advice greatly appreciated

BigTone

mum2one wrote: »

I noticed you dont seem to have any mention to the payday loans, I really think that your going have to seek some proper help with these loans, if it was one then fair enough but there is more.

There are Payplan and CCCS - I know you want a mortgage but the payday loans will hinder things for the moment unless you live rent free is the only way your get square asap. x

They are detailed on there, just not as individual loans as only one is on my credit report, I will redo this soa today, I have done the above on a mobile phone, which isn't the easiest lol

Thanks

vics1928

I'm in the same boat + think most people on here would love a moregage but the reality is until they paid off and rating starts to improve - am I correct in assuming that's its 6 years from the date it's paid off??

[Deleted User]

BigTone wrote: »

If I contact them with aview to entering into a repayment plan, how would this affect my chances to be looking at a mortgage in three years time?

Defaulting will affect your credit file for six years, and maybe a few months longer.

What of my other question?

Are you only paying the minimum payments, on your other debts?

BigTone

Bedsit_Bob wrote: »

Defaulting will affect your credit file for six years, and maybe a few months longer.

What of my other question?

Are you only paying the minimum payments, on your other debts?

Thanks, In answer to your question, yes, I have been over the last 18 months, but with the amount of disposable income I have, I would be ploughing £500pcm into debt repayment, starting with the highest interest rate cards first to get shut of it all.

That's the plan anyway

[Deleted User]

My advice would be, cut all payments (bar the PDLs) to the minimums, and put every spare penny toward clearing the PDLs.

Once the PDLs are cleared, throw all available cash at the card with the highest APR, which I believe is the M&S Card, because, at your current rate of payment, it will take 12 years to clear, and cost you over £5,000 in interest.

As a comparison, if (and I appreciate you aren't - this is just by way of a demonstration) you were in a position to add your "spare" £586 today, it would be cleared in 4 months, for just £50 in interest.

BigTone

Bedsit_Bob wrote: »

My advice would be, cut all payments (bar the PDLs) to the minimums, and put every spare penny toward clearing the PDLs.

Once the PDLs are cleared, throw all available cash at the card with the highest APR, which I believe is the M&S Card, because, at your current rate of payment, it will take 12 years to clear, and cost you over £5,000 in interest.

As a comparison, if (and I appreciate you aren't - this is just by way of a demonstration) you were in a position to add your "spare" £586 today, it would be cleared in 4 months, for just £50 in interest.

Top man, thankyou for the advice, I was leaning towards this resolve myself, but thought best to ask people with experience as I'm weary of any debt management company.

The bottom line is, I got myself into this mess, I need to get myself out of it......but in the most effective way!

Onwards & upwards I say, this will ensure I stay off the smokes, drink & wasting money as I am on a fine line at the moment.
I will still update my SOA to be more accurate and re-post, if you could revisit when I have done so, that would be much appreciated.

Thanks again

BigTone

Revised SOA;

Statement of Affairs and Personal Balance Sheet
Monthly Income Details
Monthly income after tax................ 2196
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 2196
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 550
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 0
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 30
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 5
Groceries etc. ......................... 160
Clothing................................ 25
Petrol/diesel........................... 350
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0 - Healthcare with work,OTC items within groceries
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 25
Haircuts................................ 0 - DIY
Entertainment........................... 50
Holiday................................. 0
Emergency fund.......................... 50
Total monthly expenses.................. 1245

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 2000 - own car due toreluctantly sell as I have a company car
Other assets............................ 0
Total Assets............................ 2000

No Secured nor Hire Purchase Debts
Unsecured Debts
Description....................Debt......Monthly...APR
Capital One Card 1.............460.......5.........19.9
Capital One Card 2.............998.......20........23.7
M&S Cars.......................1952......49........30
Barclaycard....................3470......78........30
Co-Op Loan.....................1275......109.......20
Sainsburys Loan................2784......70........23
Santander Loan.................214.......109.......19
Total unsecured debts..........11153.....440.......-
+ Payday Loans @ £2,800 outstanding
Monthly Budget Summary
Total monthly income.................... 2,196
Expenses (including HP & secured debts). 1,245
Available for debt repayments........... 951 + Excluding PDL's as stated above
Monthly UNsecured debt repayments....... 440
Amount left after debt repayments....... 511 + Excluding PDL's as stated above
Personal Balance Sheet Summary
Total assets (things you own)........... 2,000
Total HP & Secured debt................. -0
Total Unsecured debt.................... -11,153
Net Assets.............................. -9,153
Created using the SOA calculator at www.stoozing.com.
Reproduced on Moneysavingexpert with permission, using IE browser.

Hope this is a little more comprehensive.

Thanks again

[Deleted User]

Any chance you could knock the clothes and entertainment on the head, until the PDLs are cleared?

I know not having any entertainment is a downer, but it'd only be for a few months, and that £75pm would certainly help with clearing the PDLs.

Likewise, could you cut back on food spending (say to £100), for a few months?

Lilly11a

I might have misunderstood, but if you are about to sell your car for around £2000, put against the pdls and this will clear the bulk of them.

BigTone

Bedsit_Bob wrote: »

Any chance you could knock the clothes and entertainment on the head, until the PDLs are cleared?

I know not having any entertainment is a downer, but it'd only be for a few months, and that £75pm would certainly help with clearing the PDLs.

Likewise, could you cut back on food spending (say to £100), for a few months?

That is my intention, I only really populated this in response to the comments received on my initial SOA if I'm honest.

Don't plan on "treating myself" until this is sorted.