Tilly's Time to Tinker

nellis10

Hi, I'm posting my SOA from the Stoozing Calc, I've tried to be as accurate as possible.

I'm in an OK position, not in debt that I cannot afford, but I need to get rid of my two outstanding loans as soon as possible so I can look favourably at remortgaging my property within the year so as to be able to go repayment from IO and take my mum off the title deeds (she has no financial input into the house, just her name on it, so only 2 years left as she is pensionable, hence my need to remortgage in my own right and get a longer term as Repayment)

Statement of Affairs and Personal Balance Sheet

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

Monthly Income Details
Monthly income after tax................ 2100
Partners monthly income after tax....... 0
Benefits................................ 88
Other income............................ 0
Total monthly income.................... 2188

Monthly Expense Details
Mortgage................................ 248.5
Secured/HP loan repayments.............. 301.5999999999999
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 47.51
Electricity............................. 100
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 60
TV Licence.............................. 12.12
Satellite/Cable TV...................... 30.18
Internet Services....................... 0
Groceries etc. ......................... 400
Clothing................................ 0
Petrol/diesel........................... 100
Road tax................................ 15
Car Insurance........................... 48
Car maintenance (including MOT)......... 0
Car parking............................. 20
Other travel............................ 20
Childcare/nursery....................... 34
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 29
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 50
Haircuts................................ 30
Entertainment........................... 50
Holiday................................. 100
Emergency fund.......................... 100
Total monthly expenses.................. 1795.91


Assets
Cash.................................... 3000
House value (Gross)..................... 90000
Shares and bonds........................ 500
Car(s).................................. 6500
Other assets............................ 0
Total Assets............................ 100000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 73000....(248.5)....3.99
Hire Purchase (HP) debt ...... 7663.08..(155.9)....8.5<
Loan...........................4302.....(145.7)....7.5
Total secured & HP debts...... 84965.08..-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
CC.............................300.......25........16.9
Total unsecured debts..........300.......25........-


Monthly Budget Summary
Total monthly income.................... 2,188
Expenses (including HP & secured debts). 1,795.91
Available for debt repayments........... 392.09
Monthly UNsecured debt repayments....... 25
Amount left after debt repayments....... 367.09

Personal Balance Sheet Summary
Total assets (things you own)........... 100,000
Total HP & Secured debt................. -84,965.08
Total Unsecured debt.................... -300
Net Assets.............................. 14,734.92

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

Tixy

Hi

Thats all looking pretty healthy. Do you have the £367 surplus each month and have you been using that to repay your debts? if so hopefully you can clear the card debt this month and then move on to overpaying the loans.

Do both loans allow partial overpayments with no penalty?
is the cash your emergency fund? or are you building up to pay off one of the loans in full?

Looking at your SoA a couple of comments - its sensible to try to budget for things like clothes/car maintenance etc by tryng to work out a rough annual spend so that you don't get an unexpected bill.

Your groceries etc costs could be signficantly cut if you want to free up more to put towards your debts each month. It could probably be halved but definitely could be reduced by £100 a month - take a look here for ideas - http://www.moneysavingexpert.com/shopping/cheap-supermarket-shopping

nellis10

Tixy wrote: »

Hi

Thats all looking pretty healthy. Do you have the £367 surplus each month and have you been using that to repay your debts? if so hopefully you can clear the card debt this month and then move on to overpaying the loans.

Do both loans allow partial overpayments with no penalty?
is the cash your emergency fund? or are you building up to pay off one of the loans in full?

Looking at your SoA a couple of comments - its sensible to try to budget for things like clothes/car maintenance etc by tryng to work out a rough annual spend so that you don't get an unexpected bill.

Your groceries etc costs could be signficantly cut if you want to free up more to put towards your debts each month. It could probably be halved but definitely could be reduced by £100 a month - take a look here for ideas - http://www.moneysavingexpert.com/shopping/cheap-supermarket-shopping

Hi Tixy,
In theory it all looks healthy but I am overspending...not into the red, but more than I am comfortable with! ie I am NOT budgeting or at least I wasn't until this week.

I'm on a diet so I don't need to budget for clothes for myself, but yes, I should budget new clothes for DS as he is starting to spurt up!

I've set myself a weekly budget of £40 cash for food etc and what I have left over can go into my 2 purse system.

The Emergency fund I would only use as a last resort as that needs to be built eventually to 6,000+ should the worst happen.

What I really want to see is how quickly I can pay off my "Divorce Loan" - £4300 left of original £7500 +interest so I can start beating down my Car Loan - £7100 (including interest)

Then I start to add to my Emergency fund and eventually I start to OP my mortgage.

But with the new affordability rules in place for mortgages I want to show a healthy balance sheet because it will be going from a joint (silent partner - my mum) to a single - Me.

FireWyrm

I dont think your council tax is correct, it is half what I pay on a band A 3 bed terrace.

Groceries at £400 for 1 adult and 1 child is pretty high. I dont spend that for 2 adults and 3 children. You could certainly fix that somewhat and perhaps even halve it.

You have debts, but you are saving for a holiday? Do you think that is wise?

You have a mortgage and contents insurance but no buildings insurance...? Very unwise.

Do you truly spend £30 a month, every month on haircuts?

nellis10

Thanks for your post FireWyrm, I have made some replies. :beer:

I dont think your council tax is correct, it is half what I pay on a band A 3 bed terrace.
I live in Northern Ireland, we pay Rates and yes I live in a 3 Bed terrace

Groceries at £400 for 1 adult and 1 child is pretty high. I dont spend that for 2 adults and 3 children. You could certainly fix that somewhat and perhaps even halve it.
I'm cutting down to £40 per week plus £10 treats so that shoudl come down

You have debts, but you are saving for a holiday? Do you think that is wise?
I put that in there as a bucket for emergency spends.

You have a mortgage and contents insurance but no buildings insurance...? Very unwise.
I have joint Buildings and Contents, I put the total amount in Contents.

Do you truly spend £30 a month, every month on haircuts?
I get a cut and colour every 8-10 weeks (depending on how long I can stand to show the grey!!! It costs £65 each time)

FireWyrm

nellis10 wrote: »

Do you truly spend £30 a month, every month on haircuts?
I get a cut and colour every 8-10 weeks (depending on how long I can stand to show the grey!!! It costs £65 each time)

Is there a beauty school or college near to you? If you are prepared to let students do the work (under supervision) you can very often get what you are looking for at a fraction of the cost that a full salon would charge. I'm not totally up with current costs, but I should imagine you can get the same job done for sub-£30.

MallyGirl

£60 for a Mobile seems quite high - is that paying for a handset as well? Has it got long to go?
I understand having an emergency fund but for 10% of what you have in cash you could pay off that 16.9% CC - otherwise it is going to take you 15 months at £25 pcm to clear.

nellis10

MallyGirl wrote: »

£60 for a Mobile seems quite high - is that paying for a handset as well? Has it got long to go?
I understand having an emergency fund but for 10% of what you have in cash you could pay off that 16.9% CC - otherwise it is going to take you 15 months at £25 pcm to clear.

Yes, not too worried about the CC bill, I normally pay that off within 2 months of having added anything to it.

I'm actually looking to see if I can put the smaller loan onto the CC with 4% payment and paying it off within 11 months (which is how long the 0% period is left if I do it today)

I worked out I need to pay off £350 a month on the £3500 of the £4300 and then pay the £800 off the existing loan over 6 months from the regular payments left. If I don't have quite all of it paid off by next April, I will try and secure another 0% deal with another card, and finish it that way, plus I have a bonus in December which would help finalise the paying of it off.

Hence I need to budget to see if I have this spare cash available to make this move. I tend to overspend on silly things, and don't budget for one offs. So taking this month to see what I can save without killing myself, and dive into paying off the "Divorce Loan"

nellis10

FireWyrm wrote: »

Is there a beauty school or college near to you? If you are prepared to let students do the work (under supervision) you can very often get what you are looking for at a fraction of the cost that a full salon would charge. I'm not totally up with current costs, but I should imagine you can get the same job done for sub-£30.

It's my one luxury and to be honest I've gone 12 weeks now without a colour and I look 85 not *cough* 35

FireWyrm

nellis10 wrote: »

It's my one luxury and to be honest I've gone 12 weeks now without a colour and I look 85 not *cough* 35

Money savings is about living the way you want, without having to pay the premium for it. I believe students use the same materials as the commercial salons - so what is the difference? They need someone to practice on - there are only so many barbie heads you can shear. They pay you for your time by not charging you as much for it.

MallyGirl

nellis10 wrote: »

I'm actually looking to see if I can put the smaller loan onto the CC with 4% payment and paying it off within 11 months (which is how long the 0% period is left if I do it today)

I worked out I need to pay off £350 a month on the £3500 of the £4300 and then pay the £800 off the existing loan over 6 months from the regular payments left. If I don't have quite all of it paid off by next April, I will try and secure another 0% deal with another card, and finish it that way, plus I have a bonus in December which would help finalise the paying of it off.

sorry - a bit confused now. Do you have an additional 0% card or is the one you quoted at 16.9% actually on a 0% promo at the moment?
To pay off the loan with a CC you would need one that does money transfers - you can't balance transfer to a loan. Do you have one with a 0% deal on money transfers (for a 4% fee)?
If not then just stick absolutely everything you spend on the 0% and throw that money at the loan - the slow stooze method for migrating the loan onto the CC.