revised SOA

The_fog_has_lifted

Household Information[/b]
Number of adults in household........... 2
Number of children in household......... 6
Number of cars owned.................... 2
Monthly Income Details
Monthly income after tax................ 1363.01
Partners monthly income after tax....... 0
Benefits................................ 1574
Other income............................ 0
Total monthly income.................... 2937.01
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 390.52
Management charge (leasehold property).. 0
Council tax............................. 0 (arrears below)
Electricity............................. 80(prepayment unable to get bills at our house as meters already there when we moved in)
Gas..................................... 80 (as above)
Oil..................................... 0
Water rates............................. 51(on a meter- just applied for watersure)
Telephone (land line)................... 0 (included in internet package but never used)
Mobile phone............................ 15( unlimited calls/texts, currently in contract)
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 34.75(looking to reduce in may when contract ends as landline not used, with virgin)
Groceries etc. ......................... 580 (as cheap as I can get at themoment as 3 of my children are dairy/soya free and myself and son are coeliac diet)
Clothing................................ 20 (just shoes for the kids as I have lots of clothes/hand me downs, anything extra given as gifts etc)
Petrol/diesel........................... 200
Road tax................................ 40
Car Insurance........................... 74.71
Car maintenance (including MOT)......... 90
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 180.56(1 full day per week paid, will look to reduce in sep when daughter starts school)
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 10
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 12.5
Life assurance ......................... 0 (need to get this to cover funeral expenses/ support for kids etc if the worst happened)
Other insurance......................... 0
Presents (birthday, christmas etc)...... 45
Haircuts................................ 0
Entertainment........................... 65 (could maybe reduce this, includes kids pocket money and money I give hubby as he doesn't have a job)
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1949.04

Assets
Cash.................................... 500 (emergency fund, in ISA)
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 1500 (500 my ford ka, 1000 hubbys Vauxhall corsa)
Other assets............................ 0
Total Assets............................ 2000

Monthly Budget Summary[/b]
Total monthly income.................... 2,937.01
Expenses (including HP & secured debts). 1,949.04
Available for debt repayments........... 967.97
Monthly UNsecured debt repayments....... 0
Amount left for debt repayments....... 967.97

debts.
MK REcoveries: £6,315.40
Nursery Bill: £1,869.07
Tax credits: £1,234.90
Mackenzie Hall: £1,157.98
Vodaphone: £718.54
Uni Loan: £600
SWW: £521.23
DCH: £409.08
Council Tax: £174.84
NHS overpayment: £34.06

at the moment interest is frozen and I plan to give £10 per month to each of the creditors and snowball from the bottom up. by end of this month the debts in red will be gone except for SWW which will be partially gone

Tixy

So debt free in just over a year then? That will be great.

Are tax credits happy with just £10 a month for a few months? are they currently deducting anything from your benefits or happy for you to make payment to them?

The 2 debt collector debts may be willing to accept a reduced figure in full & final settlement of the debt, so you might want to consider that and slightly adjusting the repayment order.

Regarding the life insurance - whilst its definitely a good idea to look in to this also check whether your employer offers any death in service benefit so that you don't pay for more cover than you need.

jessie4109

When I moved into my property in September 2012 I had prepayment meters installed. I just rang up my provider and they changed then to normal billed meters by the end of October 2012.

Your creditors may not accept your offer considering the amount of money you have left at the end of the month as they like to know the income vs expenditure

National_Debtline

Hello there,

The financial statement looks fine to me. Do consider clearing the council tax. It is a priority debt, as such local authorities have a wide range of tools that they can use to recover their money - including bailiffs. As of Sunday, the fees that can be implied by council tax bailiffs will be increasing significantly. In addition, the local authority will often charge you for the court order they obatin - this is known as a liability order.

To avoid all of this please do consider getting that one cleared.

Best wishes,

David @ NDL.

P.s. here's our council tax fact sheet: https://www.nationaldebtline.org/EW/factsheets/Pages/02%20EW%20Council%20tax%20recovery/Default.aspx

The_fog_has_lifted

National_Debtline wrote: »

Hello there,

The financial statement looks fine to me. Do consider clearing the council tax. It is a priority debt, as such local authorities have a wide range of tools that they can use to recover their money - including bailiffs. As of Sunday, the fees that can be implied by council tax bailiffs will be increasing significantly. In addition, the local authority will often charge you for the court order they obatin - this is known as a liability order.

To avoid all of this please do consider getting that one cleared.

Best wishes,

David @ NDL.

As I said above, the debts in red will be gone by the end of the month, that includes the council tax. Im not going to risk this one as where I live they are notorious for sending the baliffs straight away.
then I will tackle the rest of SWW and the uni loan, the following month, vodaphone and so on till they are all gone.

The_fog_has_lifted

jessie4109 wrote: »

When I moved into my property in September 2012 I had prepayment meters installed. I just rang up my provider and they changed then to normal billed meters by the end of October 2012.

Your creditors may not accept your offer considering the amount of money you have left at the end of the month as they like to know the income vs expenditure

I called them yesterday to try and switch to billed meters and they said I couldn't until we have had them for 12 months after registering on the electoral role, which I only just did in January :-(

The_fog_has_lifted

Tixy wrote: »

So debt free in just over a year then? That will be great.

Are tax credits happy with just £10 a month for a few months? are they currently deducting anything from your benefits or happy for you to make payment to them?

The 2 debt collector debts may be willing to accept a reduced figure in full & final settlement of the debt, so you might want to consider that and slightly adjusting the repayment order.

Regarding the life insurance - whilst its definitely a good idea to look in to this also check whether your employer offers any death in service benefit so that you don't pay for more cover than you need.

I called and offered them £10 until I get my 'financial situation sorted' with a view to clear the balance as soon as I have the money. They were happy with this and agreed.
I was thinking about f&f settlements and was wondering if this was morally ok, after all I borrowed the money know full well I would have to pay it back, but I just want it gone so I will be willing to negotiate to clear it faster.

National_Debtline

The_fog_has_lifted wrote: »

As I said above, the debts in red will be gone by the end of the month, that includes the council tax. Im not going to risk this one as where I live they are notorious for sending the baliffs straight away.
then I will tackle the rest of SWW and the uni loan, the following month, vodaphone and so on till they are all gone.

Aha, I've got you.

I can't see the red text. That's either because my computer monitor isn't great - or that I'm colourblind. Or both!

Best wishes,

David.

[Deleted User]

The_fog_has_lifted wrote: »

Emergency fund............. 0

You really should have an Emergency Fund.

Tixy

The_fog_has_lifted wrote: »

I was thinking about f&f settlements and was wondering if this was morally ok, after all I borrowed the money know full well I would have to pay it back, but I just want it gone so I will be willing to negotiate to clear it faster.

Well of course morals are things that are individual to all of us.

But you won't be paying back the people you borrowed from. You will be paying a debt collector who will be making a profit from the debt collection. Whatever they agree to settle for will be several times more than what they paid for debt.

The_fog_has_lifted

Bedsit_Bob wrote: »

You really should have an Emergency Fund.

Thanks Bob, I already have £500 savings that is my emergency fund.