Just done the SOA - determined to get rid of this debt!

[Deleted User]

garmcqui wrote: »

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household......... 0
Number of cars owned.................... 2
Monthly Income Details
Monthly income after tax................ 2156.43
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 2156.43
Monthly Expense Details
Mortgage................................ 0
Secured/HP Car Lease.................... 239.9
Rent.................................... 400
Council tax............................. 96.5
Electricity............................. 15
Gas..................................... 15
Water rates............................. 13.77
Mobile phone............................ 40 - As previously mentioned, cancel when possible. In the meantime, see if you can change to a cheaper tariff.
TV Licence.............................. 12.13
Satellite/Cable TV...................... 16
Internet/Landline....................... 21 - £42pm is a little on the high side. Check U-Switch to see if you can get it a bit cheaper.
Groceries etc. ......................... 100 - £200pm for 2 is a bit high. You should be able to get it down to about £160, ie. £80 for you.
Clothing................................ 50 - You spend £600pa, on clothes? That's rather high. Try £25 (£300pa)
Petrol/diesel........................... 150
Car Insurance........................... 34.51 - Not bad, but do you always check comparison sites at renewal?
Contents insurance...................... 2.63
Presents (birthday, christmas etc)...... 10
Haircuts................................ 12
Entertainment........................... 100 - That's £1200pa. Halve it and use for Emergency fund.
Emergency fund.......................... 0 - you need something in here.
CreditExpert............................ 2.99
Season Ticket........................... 60
Trade Union Membership Fee.............. 13.95
Current Account Fee..................... 15 - Are you getting £180 worth of benefits per year?

Total monthly expenses.................. 1420.38

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

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 0........(0)........0
Hire Purchase (HP) debt ...... 5039.79..(239.9)....0 - Is this really 0%?

Total secured & HP debts...... 5039.79...-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
BarclayLoan....................8637.88...266.6.....13.9
Nationwide CreditCard..........1828......45.24.....19.9 - Hit this with everything you can spare.
Natwest Platinum Card..........2283......51.38.....16.95 - Hit this once the Nationwide card is cleared.
Oak Furniture Land.............817.03....74.26.....0
Total unsecured debts..........13565.91..437.48....-

Monthly Budget Summary
Total monthly income.................... 2,156.43
Expenses (including HP & secured debts). 1,420.38
Available for debt repayments........... 736.05
Monthly UNsecured debt repayments....... 437.48
Amount left after debt repayments....... 298.57
Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -5,039.79
Total Unsecured debt.................... -13,565.91
Net Assets.............................. -18,605.7
Created using the SOA calculator at stoozing.com.
Reproduced on Moneysavingexpert with permission, using other browser.

Any chance of getting a 0% card to BT some of the Nationwide debt to?

breakingbad

Thanks again Bob,

Regarding the Current Account - I get mobile phone insurance (which has already come in useful once), Car breakdown insurance with home start and Annual Travel Insurance, so I believe it is worthwhile.

You're right, £600 per annum on clothes is quite high, so will reduce that.

Car payments - I've put 0% as there is no APR as it's a simple rental (lease) agreement, not a loan.

Regarding a balance transfer, I'd like to avoid applying for another card, but the Nationwide card is running a promotion where I could transfer the balance from the Natwest card onto it at 0% for 12 months. Obviously this wouldn't cut down the Nationwide interest, but would save on the Natwest interest whilst I'm paying off the nationwide balance. Not sure if this is worth doing or not?

Gary

[Deleted User]

Assuming no BT fee, and continuing to pay at £51.38, you would reduce the payment period, for the Natwest debt, by 11 months, and save £564 in interest.

To clear it completely, without paying any interest, you would need to increase your monthly payments to £190-25, but that wouldn't make sense, as you would be taking money away from the 20% card.

getmore4less

Mobiles look at OVIVO

If the OH gives you £600 stick it in the income section and the full amount of the things it pays for.

breakingbad

Bedsit_Bob wrote: »

Assuming no BT fee, and continuing to pay at £51.38, you would reduce the payment period, for the Natwest debt, by 11 months, and save £564 in interest.

To clear it completely, without paying any interest, you would need to increase your monthly payments to £190-25, but that wouldn't make sense, as you would be taking money away from the 20% card.

BT fee is 2.4%, so transferring the £2283 over would cost £54. Based on the amount you said I'd save, still seems worth it, no?

Thanks getmoreforless, will take a look over on Ovivo.

Gary

tiny_courageous

I wouldn't be paying credit expert for anything, and have you applied for a tax rebate for your union fees?

FBaby

The question is, how did you get to accrue all that debt? What did you spend the money on that you can be absolutely certain you don't need to spent it on. Was it bad habits, being out of work for some time, bad management, expensive holidays etc...

getmore4less

If you are keeping yourselves seperate and each stick 600 into a pot for joint bills maybe a mini SOA for the £1200 and what it pays for(no debts)

Then your SOA JUST for your stuff(with 600 going to the other pot/SOA) it will be smaller and much more focused.

do you need two cars on your SOA?

I also see a car and season ticket(but no parking) do you realy need two cars between you if you are using public transport.

lindsaygalaxy

Just a quick note re being a teacher and increase in salary - I am also a teacher and there is no guarantee! You don't move up the scale due to experience, you have to show strong results. Check out your schools pay policy, the point system has changed and the increase can be very little if any now and that's with outstanding lessons and all children making above average levels. There is also no pay increase with inflation, we haven't had one in years fro the government.


I would say pay it off as much as you can as quickly as you can.


£30 a month for electric and gas seems very low - are you giving regular readings and making sure this amount covers it? do you have no heating on in the winter? I would expect it to be more than this.

getmore4less

lindsaygalaxy wrote: »

£30 a month for electric and gas seems very low - are you giving regular readings and making sure this amount covers it? do you have no heating on in the winter? I would expect it to be more than this.

Some things on the SOA are just 1/2, the OH paye the other half.