Unsecured Debt Woes

inalotofbother

Hi,


I have today finally looked at and detailed my debts and where I am financially. All advice welcome and a SOA is below.


Household Information[/b]
Number of adults in household........... 2
Number of children in household......... 3
Number of cars owned.................... 2
Monthly Income Details
Monthly income after tax................ 2100
Partners monthly income after tax....... 0
Benefits................................ 240
Other income............................ 0
Total monthly income.................... 2340
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 124.9
Rent.................................... 800
Management charge (leasehold property).. 0
Council tax............................. 102
Electricity............................. 62
Gas..................................... 47
Oil..................................... 0
Water rates............................. 45.54
Telephone (land line)................... 0
Mobile phone............................ 0
TV Licence.............................. 0
Satellite/Cable TV...................... 97
Internet Services....................... 0
Groceries etc. ......................... 400
Clothing................................ 0
Petrol/diesel........................... 200
Road tax................................ 41.11
Car Insurance........................... 84.89
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 50
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 18.86
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 20
Entertainment........................... 60
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 2153.3

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 2000
Other assets............................ 0
Total Assets............................ 2000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 0........(0)........0
Hire Purchase (HP) debt ...... 4621.1...(124.9)....0
Total secured & HP debts...... 4621.1....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
Barclaycard....................12658.7...207.3.....0
RBS ...........................3096.2....80.6......17
Virgin.........................8703.67...241.9.....17
M&S Loan.......................5000......136.9.....16
Halifax Loan...................22924.7...524.7.....9
Co-Op Loan.....................3834.72...239.6.....0
Total unsecured debts..........56217.99..1431......-

Monthly Budget Summary
Total monthly income.................... 2,340
Expenses (including HP & secured debts). 2,153.3
Available for debt repayments........... 186.7
Monthly UNsecured debt repayments....... 1,431
Amount short for making debt repayments. -1,244.3
Personal Balance Sheet Summary
Total assets (things you own)........... 2,000
Total HP & Secured debt................. -4,621.1
Total Unsecured debt.................... -56,217.99
Net Assets.............................. -58,839.09

inalotofbother

It is also worth nothing that I work in a sales role and most months I earn commission. Last month for example I earned £4,300 before tax etc...
An average each month though is around £1.200

crazy_cat_lady

Just wondering a couple of things.
1. Why isn't the other adult earning?
2. Is this a truly accurate SOA? You say you get commission but are you managing to service your debts?
People wiser than me will come along and give good advice.

BeingDebtFreeStartsHere

Hi there,

I haven't got as much experience as a lot of people on here so hopefully someone will come along and give you some expert advice.

We did the online financial review on the StepChange website after our light bulb moment just over a year ago. We realized that we couldn't continue adding more debt onto credit cards or overdrafts, or consolidating debts into bigger loans, as we were needing to do this every month as our wages did not cover the total outgoings including daily living expenses.

SC recommneded a Debt Management Plan and advised on an amount they thought we could repay to the creditors every month based on our financial situation. They will offer advice on the best route for you if you complete their online review.

You have taken the first step by actually admitting to the amount of debt you have and realizing you need some support to turn things around. Is is difficult at times not being able to access any credit due to our DMP and now poor credit rating but we now only spend what we have and it is nice knowing that what we buy we can actually afford to out of our actual earnings. Even when we have paid off our debts we are NEVER using credit again!!

Good luck

BDFSH x

McKneff

Satellite, cable tv, cut this down to half.....


Threaten to leave, they will bend over backwards to keep you.


Tell your other half to get a job.....

freshcotton

Hi there,

It's really positive that you have decided to face up to your debts. it will take some time but you can certainly get them sorted.

whats the situation with you making the debt payments? Are you in default or in a debt management program?

sourcrates

56K of unsecured debt, you don't own a property, and I guess there are no restrictions regarding insolvency, were your job is concerned ?


I would take a serious look at Bankruptcy if I were you, may sound a little extreme to you now, but you could be discharged within 12 months, and able to start again, with a clean slate, worth a look in my opinion.