Help!! Check my SOA

stevezero

Lots of useful tips here - thanks everyone. Thank you Andyfromotley - I am going to contact National Debt Helpline. I work with stepchange and CAB as part of my job, so would prefer to go to another support

stevezero

Andyfromotley, I was in a relationship with an ex GF who went through a very messy divorce - supported her, got into debt, she got paid out £150k and had an affair!!! New GF knows im in debt but not the extent. I will let her know the details once ive got expert advice. Thanks again for your tips

theoretica

Are you alone in the house or does GF live with you? If you could rent a room or two out to a lodger that would be a useful extra income.

If you are the only person living in the house are you getting the single person council tax discount?

splishsplash

I used to like a canadian tv show Till Debt Us Do Part which was my first introduction to concepts of building budgets etc many years ago.
She (Gail Vaz-Oxlade) used a Life Pie which I found very helpful and still use as a guide.

According to that, you're way off in areas like housing, transportation and debt repayment, and you don't have enough elsewhere to claw it back.

Your housing and car costs alone total over 80% of your income. That tells you immediately that you cannot afford where you live, short and simple. Even if you had no debt, you still can't afford it. You need to move, pronto, to somewhere that costs no more than 35% of your income or £440 (and this must include council tax, gas, electric and water as well as rent). Ideally your new place should be within walking distance of your work so you can ditch the car.

Your debt repayment is currently running at 50% of your income. It should ideally be running at 15% or £190 pm. Even if your housing and transportation costs were what they should be, and if you diverted potential savings to debt repayments for now, you'd still be short.

As it is, your housing, car and debts total 130% of your net income. That's before you feed yourself or your pet, watch anything on tv or use internet or put clothes on your back.

You need to get professional help.
ETA: :eek:With the financial situation - I'm sure you're fine

JES_F1

stevezero wrote: »

Round trip to work is 50 miles and use it as part of my job. I get about £25/mnth towards fuel. I was in a higher paid job last year with higher allowances. Im a Local Government officer and had to take another job following restructuring.

I work in local government too and experienced several restructures over recent years so can empathise with you.

Can you use a work pool car rather than your own?

Vikipollard

stevezero wrote: »

Ive tried to get a 0% card but was refused even though my credit score is good.
Assets include private number plates on retention at £3k

Your gas is extremely high (with electric it's over £100/month). Can you swap to a smaller property to see if that will reduce your rent? Or rent out spare bedrooms - if you are allowed to do that, that is.


And the quote above - right now, private plates are a luxury you can't afford. Sell them and use the money towards your debt.

datlex

I think you need to sit down again and re do your SOA. Plenty of things you are missing. You apparently don't have your hair cut, enjoy any entertainment, but any Christmas/birthday presents or going on holiday of any description.

enthusiasticsaver

You are essentially working full time for £1000 per month once you take off your travelling costs which is unsustainable long term. Also more than half your income goes on utilities, rent and council tax. Are you in arrears with your utilities as they are quite high. Do you have a house or a flat? If in a house can you rent out a spare room or get your girlfriend in to help share the costs?


The debt is very high considering you have no assets except the car and get rid of the private number plate but is it really worth £3000 or did you just pay that for it? You need to build in money for food, entertainment and sort out reduced payments for your loan and credit card urgently by contacting them direct as you do not want to use stepchange. Ideally you need a better paid job nearer to home so if that is possible that is something you could look at.


Also, please do not consolidate or take on more cards (unless 0%) as this compounds the problem. I assume this is why you have the £43k debt because of spending more than you are earning? This is urgent so please do something quickly.

chesky

You're living alone in a three-bedroom council house? How come you haven't been clobbered by the bedroom tax?

andyfromotley

Because he works full time. The bedroom tax only applies to people in receipt of housing benefit.