New to all this and desperate for help

ellesbellesxxx

This is very tight... Well done for sharing!
You need to get straight onto price comparison sites and could even sign up to a cash back site to give you extra...
The areas where you can easily save money:
Mobile phones... Ditch the contracts and sign up with giffgaff. Are you in contract? If so,ring them up and ask to go down a tariff
Landline... SSE and plus net have great deals, go via cash back (I use quidco)
Pet/car/home insurance seems high
You can cut down on groceries, go to old style board
Presents are a lot too! even if you cut this back to 40 it will help!
Good luck

andyfromotley

Shine69 wrote: »

I have done my SOA and here are the results.
[tt]Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2
Number of children in household......... 2
Number of cars owned.................... 2

Monthly Income Details
Monthly income after tax................ 1782
Partners monthly income after tax....... 480
Benefits................................ 134
Other income............................ 0
Total monthly income.................... 2396

Monthly Expense Details
Mortgage................................ 983.7
Secured/HP loan repayments.............. 170
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 133 You can pay this over 12 months rather than the usual 10. No savings overall but reduces it on a monthly basis.
Electricity............................. 51 Have you changed lately? Change at least once a year to get the lowest prices.
Gas..................................... 0
Oil..................................... 45
Water rates............................. 0
Telephone (land line)................... 41 This is high - assuming that it includes internet you can get this for less than £10. Check out the MSE best buys.
Mobile phone............................ 40 How many is this for? Obviously too much if for 1. Aim for £10 per month.
TV Licence.............................. 12.12
Satellite/Cable TV...................... 30 This is a luxury and can be cut
Internet Services....................... 0
Groceries etc. ......................... 300
Clothing................................ 10
Petrol/diesel........................... 200
Road tax................................ 22.5
Car Insurance........................... 46 (quite high?)
Car maintenance (including MOT)......... 25
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 10
Pet insurance/vet bills................. 33
Buildings insurance..................... 21 £36 for house and contents insurance seem a lot. I pay £11pm for a 4 bed house.
Contents insurance...................... 15.4
Life assurance ......................... 33.9 Run it through a comparison site.
Other insurance......................... 0
Presents (birthday, christmas etc)...... 66 What?? Nearly £800 per year?? too much.
Haircuts................................ 6
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 2294.62


Assets
Cash.................................... 67
House value (Gross)..................... 240000
Shares and bonds........................ 40
Car(s).................................. 3000
Other assets............................ 2000
Total Assets............................ 245107


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 175300...(983.7)....2.95
Hire Purchase (HP) debt ...... 7000.....(170)......0
Total secured & HP debts...... 182300....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Sofa...........................940.......40........0
Halifax Credit card............6530......69.75.....0
Nationwide Credit car..........1950.97...44.67.....15.9
Outstanding Gas bill...........293.......10........0

Hi Shine.

If i have read your SOA right, Bad news. You are insolvent. Your outgoings are more than your income. This is a debt spiral which will get worse and worse each month until you drown in debt. THIS IS A FINANCIAL EMERGENCY!!!!

Good news, this situation is easily resolved. I have listed savings on your SOA which will put you back in the black. I haven't addressed your motoring and fuel costs which are enormous. Only you know how much you can cur back on these. Drive less. A lot less, loads of motoring is actually discretionary. Car share, walk cycle etc etc.

Increasing your income will help you sentry this debt much quicker. Get promoted, find a better paying job, work overtime, get a second job, even a third. Income income income!! You will have this licked in no time.

Don't worry your situation is not too bad, you have a great attitude and will get this sorted.

One last thing, you Must have an emergency fund. About £1000 should be plenty. This stops the everyday problems of life adding to your debt crisis. Save this before you make any additional debt payments. You may be able to sell things you already own in order to fund this. An emergency fund brings huge peace of mind and security to any situation, and forms a great basis for tackling this.

Good luck

Andy.

Shine69

Found a new 2 year fixed mortgage that saves £50 a month.
And have a second interview for a better paid job on Wednesday....:j

Lets hope I get it as this will give me 4-6K more per annum to beat this thing faster.