Back on the wagon!

LolStevo

Well after having a few years out of work having children I have just spent my 6th month in work and finally want to sort my finances out!


I am currently paying £600 a month in rent which is half of my monthly wage and don't want to do that much longer so looking into saving for a mortgage.


I have just got my credit report and have 3 defaults:


Gothia Ltd- £145 defaulted 11/12/11
Lowell- £533 defaulted 25/12/09
Halifax £2282 defaulted 23/04/12


I have written to Gothia for f&f today.


I also have a ccj of £4098, I have just rang Northampton county court who confirmed it was for tuition fee loan. (basically Student finance were funding me then found out I was repeating the year for the 3rd time as id changed courses and withdrew the funding, I didn't know until end of the year and I buried my head and moved house then found this lovely thing on my report!)
The original debt was £3225 with interest of £668.63. The lady from the court said the interest cant be right as that's extremely high for the amount?


So my questions are:


Where do I start/what do I pay off first?
How do I dispute the interest?
How do I start paying off the CCJ?


I will do my SOA now too so you can see what I have left etc


Any help eternally grateful!!!

LolStevo

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 1
Number of children in household......... 3
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 1294.28
Partners monthly income after tax....... 0
Benefits................................ 1416
Other income............................ 0
Total monthly income.................... 2710.28
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 166
Rent.................................... 595
Management charge (leasehold property).. 0
Council tax............................. 100
Electricity............................. 80
Gas..................................... 40
Oil..................................... 0
Water rates............................. 65
Telephone (land line)................... 0
Mobile phone............................ 35
TV Licence.............................. 12
Satellite/Cable TV...................... 60
Internet Services....................... 0
Groceries etc. ......................... 200
Clothing................................ 100
Petrol/diesel........................... 100
Road tax................................ 17
Car Insurance........................... 56
Car maintenance (including MOT)......... 10
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 537
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 20
Haircuts................................ 20
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 2213

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 ...... 2000.....(166)......13
Total secured & HP debts...... 2000......-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
Credit Union Loans.............0.........203.......0
Lowell.........................533.......0.........0
CCJ............................4098......0.........0
Halifax........................2282......0.........0
Gothia.........................145.......0.........0
Total unsecured debts..........7058......203.......-

Monthly Budget Summary
Total monthly income.................... 2,710.28
Expenses (including HP & secured debts). 2,213
Available for debt repayments........... 497.28
Monthly UNsecured debt repayments....... 203
Amount left after debt repayments....... 294.28
Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -2,000
Total Unsecured debt.................... -7,058
Net Assets.............................. -9,058
Created using the SOA calculator at www.stoozing.com.
Reproduced on Moneysavingexpert with permission, using other browser.

sourcrates

LolStevo wrote: »

The original debt was £3225 with interest of £668.63. The lady from the court said the interest cant be right as that's extremely high for the amount?

Hi,
You will need to challenge the original lender about this, I suggest you write and ask for a complete breakdown of fees, charges etc.

heartbreak_star

Do you actually have that surplus left?

You need to start building an emergency fund too.

HBS x

LolStevo

heartbreak_star wrote: »

Do you actually have that surplus left?

You need to start building an emergency fund too.

HBS x

Not normally! Iv just got off phone to council tax and that's now £132 a month so need to change that, I think maybe I have been a bit shy with the groceries and should up that to about £80 a week with nappies and wipes etc!

LolStevo

sourcrates wrote: »

Hi,
You will need to challenge the original lender about this, I suggest you write and ask for a complete breakdown of fees, charges etc.

Is it too late to challenge this though as court as sided with them? x

Tixy

LolStevo wrote: »

Is it too late to challenge this though as court as sided with them? x

As you never replied to court papers (I assume) the creditor got the judgment by default not based on any evidence they had of the debt.

Do you mean too late to challenge the debt at all, or the amount they claimed was owed?

Are the court sending you a copy of the judgement?

How much the interest might have built up to would depend on how long since the debt arose, so it seems a slightly unusual thing for the lady from the court to have said to you.

LolStevo

No she just gave me the phone number for the solicitor who is dealing with it! She said at 8% per day it seemed a lot?

I wish I would have challenged the whole thing when it came as I should never had owed it!

Guess il just have to phone them Monday x

jodles16

Just wanted to say good luck!

longtermplanner

8% per day would indeed be a lot

However 8% per annum is "statutory interest" so if this is what is being chanrged you probably can't challenge it.

Secured/HP loan repayments.............. 166 - what is this for, a car? when does it end?
Satellite/Cable TV...................... 60 - you can't afford to pay £720 a year for extra TV channels - cancel this and sign up to cheap broadband
Groceries etc. ......................... 200 - really very unlikely for a family of 1 adult and 3 kids. You will be doing well to manage on £250 and £300 is more likely. It has to include all toiletries and cleaning stuff as well as food.
Car maintenance (including MOT)......... 10 - pretty low, unless your car is very new £30 would be safer
Childcare/nursery....................... 537 - is this likely to reduce a lot in the next couple of years?
Other child related expenses............ 0 - what none? you never buy books or toys or take them swimming? Perhaps they are too young to need much but quite soon this will be £50+ a month
Medical (prescriptions, dentist etc).... 0
Emergency fund.......................... 0 You should be putting a bit aside every month for the unexpected. Say £25
I would be surprised if a realistic SoA shows you have more than £50 surplus a month.

How large are your credit union loans? when will they be cleared?