Our SOA - embarassing amount of debt

consnmattsmom

My salary - £630
Partners salary - £1597
Child benefit - £120
Child tax credit -£40

Total - £2,387

Monthly Outgoings:

Mortgage/Rent - £571
Council Tax - £97
Electric - £71.
TV License - £12
Sky £80 (cant do without sports channels as only thing my hubby watches)
Phone - £15
mobile phone £40 (hubby on 18 month contract 16 months left)
mobile phone £25 - (my contract ends november 07 and gonna go payg)
Food - £200
Car Insurance - £35.48
Petrol - £100
Life Insurance £31
water - £27.23
buildings and contents ins -£21.36

Total: £1,326.07

Debts:

Barclaycard - Limit £3100 - Balance £3000, min payment 2% approx £62 0% til may 08

Catalogue - Balance £644 - Payment £85 interest free over 20 weeks

HSBC loan - APR 14.9% balance o/s £2900 monthly payment £85

HSBC mastercard - APR 19.9% pay approx £50 per month balance £1750

Virgin loan -balance o/s 3300 payment 124.96 per month 14.9% apr

Capital one c card - limit £1000 - monthly payment approx £30 apr 19.9%

car loan - balance o/s approx £8000 payment 234.83 ends 2011 apr 11.9%

bike loan - balance £3000 approx apr 11.9% payment £88 per month

Total debts per month 759.59

Total income 2387
total expense 2085

leaving 302 for keeping boys in clothing, car maintenance and tax,

Dont feel quite so bad now. Have done my snowball and seem to have light at end of tunnel.

What do you think of this?

rayday2

Why can't you lower your sky to basic plus sports surely that is not £80 a month.

It is still very tight you have not budgetted for childrens birthdays, maintenance of vehicles, Christmas, dentist, hair cuts you know the little things we nip on credit cards and which you cannot afford to do when trying to get rid of them.

But well done on writing it all down and lets watch the figures fall!

Bestthingsinlifearefree

consnmattsmom wrote: »

My salary - £630


Sky £80 (cant do without sports channels as only thing my hubby watches)


Hi Welcome to MSE,

What's more important keeping a roof over your families head, feeding your children or spending a £1000 pounds a year watching sky?

There is loads of sport on BBC / ITV etc

Not being funny but your husband need sto wake up and realise his families financial security is more important than watching sport on the telly.

First step you and your OH need to distinguish between what you need and what you want.

e.g Need = food, shelter, electricity Want = sky, mobiles, holidays, beer etc.

Keep a spending diary to find out where the money goes, you have a decent income so it seems you have been overspending.

Good Luck !

Best,

Bestthingsinlifearefree

car loan - balance o/s approx £8000 payment 234.83 ends 2011 apr 11.9%

bike loan - balance £3000 approx apr 11.9% payment £88 per month


Could you sell the car or the bike or both? Or are these essential like Sky Sports?;) :rolleyes:

Best,

floss2

consnmattsmom wrote: »

My salary - £630
Partners salary - £1597
Child benefit - £120
Child tax credit -£40 free dental / opticians / prescriptions

Total - £2,387

Monthly Outgoings:

Mortgage/Rent - £571
Council Tax - £97
Electric - £71. no gas?
TV License - £12
Sky £80 (cant do without sports channels as only thing my hubby watches)
Phone - £15 broadband?
mobile phone £40 (hubby on 18 month contract 16 months left)
mobile phone £25 - (my contract ends november 07 and gonna go payg)
Food - £200 look on OS board for help to reduce this
Car Insurance - £35.48
Petrol - £100 does this include any business miles? do you get expenses?
Life Insurance £31
water - £27.23
buildings and contents ins -£21.36

Total: £1,326.07

Debts:

Barclaycard - Limit £3100 - Balance £3000, min payment 2% approx £62 0% til may 08

Catalogue - Balance £644 - Payment £85 interest free over 20 weeks

HSBC loan - APR 14.9% balance o/s £2900 monthly payment £85

HSBC mastercard - APR 19.9% pay approx £50 per month balance £1750

Virgin loan -balance o/s 3300 payment 124.96 per month 14.9% apr

Capital one c card - limit £1000 - monthly payment approx £30 apr 19.9%

car loan - balance o/s approx £8000 payment 234.83 ends 2011 apr 11.9%

bike loan - balance £3000 approx apr 11.9% payment £88 per month

Total debts per month 759.59

Total income 2387
total expense 2085

leaving 302 for keeping boys in clothing, car maintenance and tax, including birthdays / Christmas? Could do with budgetting figures for these into your calculations so you save that money until it's needed, and you may have a bit more "spare" for debt repayment

Dont feel quite so bad now. Have done my snowball and seem to have light at end of tunnel.

What do you think of this?

Have a look at my suggestions....

immoral_angeluk

My salary - £630 any chance of over time/pay rise?
Partners salary - £1597
Child benefit - £120
Child tax credit -£40 have you checked entitledto.co.uk to see if you're getting everything you're eligable for?

Total - £2,387

Monthly Outgoings:

Mortgage/Rent - £571 Have you considered downsizing? Is this a mortgage? If so have you checked you're getting the best deal?
Council Tax - £97
Electric - £71. This seems high.. have you checked if there are any cheaper suppliers? Do you not have gas?
TV License - £12
Sky £80 (cant do without sports channels as only thing my hubby watches) Go freeview and get setanta sports. Freeview is free and setanta sports shows tonnes of sports for only £9.99 a month! £80 IS A RIDICULOUS amount of money!
Phone - £15 Does this include your line rental,calls and internet?
mobile phone £40 Can he reduce the package or just stop using it as much?
mobile phone £25 - As above
Food - £200 for how many people?
Car Insurance - £35.48 have you got the best deal? At renewal go through quidco.co.uk and get cashback...what level of cover have you got? If it's fully comp would it be worth reducing it to TPFT?
Petrol - £100 Would public transport be cheaper?
Life Insurance £31 Do you need this right now? If so have you got the best deal?
water - £27.23 IF you pay this over a set number of months (10 for example) ask them to spread it over 12 months and it'll cut down your monthly payment. Same for council tax.
buildings and contents ins -£21.36 Check out if there are any cheaper deals around....

Total: £1,326.07

Debts:

Barclaycard - Limit £3100 - Balance £3000, min payment 2% approx £62 0% til may 08

Catalogue - Balance £644 - Payment £85 interest free over 20 weeks

HSBC loan - APR 14.9% balance o/s £2900 monthly payment £85

HSBC mastercard - APR 19.9% pay approx £50 per month balance £1750

Virgin loan -balance o/s 3300 payment 124.96 per month 14.9% apr

Capital one c card - limit £1000 - monthly payment approx £30 apr 19.9%

car loan - balance o/s approx £8000 payment 234.83 ends 2011 apr 11.9%

bike loan - balance £3000 approx apr 11.9% payment £88 per month

Have a look into martin's 'credit card shuffle' and see if moving your debt around your existing cards could save you some money.... have you acknowledged the reason why you have so much debt? Is your DH on board or is he still in the 'earn it spend it' cycle?


leaving 302 for keeping boys in clothing, car maintenance and tax Break these down. and see if you can make any more savings.

MORPH3US

Got to agree here, £80 a month for Sky? I would imagine that includes Sky HD and Sky+ for that amount?!?!?

For £85 a month, Virgin do:

• Sky Sports and Movies*
• TV Size: XL
• V+ HD set-top box
• Additional V set-top box
• Broadband Size: XL
• Phone Size: XL
• Talk International
• Talk Mobile

So that is basically all the tv channels PLUS V+ PLUS multi-room PLUS Phone, PLUS Broadband

Not that i'm suggesting you get that, but i'm certain you can save money here!!

M

HairyHandofDartmoor

I'm afraid I must add to the chorus of disapproval! £80 on Sky is TOO MUCH. That money could go towards your debt. It is hard to give up things but it is the only way to clear your debts. We have all made (and continue to make) hard decisions, but it is only temporary remember, once the debts are paid then you will have more disposable income (although we plan to save ours once the debts are paid, money saving is addictive once you get into it!)

sammiboo

immoral_angeluk wrote: »

Car Insurance -If it's fully comp would it be worth reducing it to TPFT?

I would seriously disagree with this unless your car isnt worth much.

A couple of years ago i was made redundandant and my insurance renewal was up. I had a sports car and the insurance was very high, so thought TPFT would be better than nothing until i got another job.

Not long after I had a serious accident. A part to my car had either been incorrectly fitted or there was something wrong with the part and the car went off the road and rolled down a ditch. I was off work months without pay. The car was a total write off. And now most of debt is due to this.

Almost two years on and I am still paying for it, I am thousands out of pocket and I am still paying for an investigation of what caused the accident. If I was fully comp the insurance would be paying it. Lesson Learnt.

I would say only go TPFT if your car is only worth a few hundred quid.

angeleyes

rayday2 wrote: »

Why can't you lower your sky to basic plus sports surely that is not £80 a month.

It is still very tight you have not budgetted for childrens birthdays, maintenance of vehicles, Christmas, dentist, hair cuts you know the little things we nip on credit cards and which you cannot afford to do when trying to get rid of them.

But well done on writing it all down and lets watch the figures fall!

after yet another sky increase to £45pm:eek: i phoned up to query getting it cheaper we have sky+ and did have movies and sport anyway phoned them up tookoff the movies and sport and got it down to £15pm - (still have true moveies and flim 4 etc) so even if we decide to put the sport on again will only be an extra £10pm - phone them up and see what they can do

consnmattsmom

Thanks for all of your suggestions. I agree about sky and will call them to see what we can do. We are in a contract with them until next March for sky + etc. That figure also includes broadband as well.

Christmas is taken care of as I get commission on sales at work paid in vouchers so have been saving those. Due to childcare I cant do any overtime not that there is ever much available.

We have no gas so thats one less.

I agree with the car insurance (getting good deals went thru the comparison sites and house ins) as its worth quite a bit wouldnt go TPFT. Its on finance and as it isnt worth what we still owe wouldnt be able to sell and hubby needs bike for work. We bought that instead of a second car as only £15 year tax and £6 every 2 weeks for petrol.

Gonna ring sky to see if we can reduce without losing sports and once contract up will go to freeview if we can get setanta on it.

Thanks for advice so far will let you know how we go.