In some serious need of advice..

tallyhoh

Gosh, you household expenses are large, do you live in London?

fatbelly

It looks like a debt management plan to me.

Do you not have any travel costs?

enthusiasticsaver

Your groceries bill is very high if this is just for you and with that much debt I would cut down on the entertainment. Stop using payday loans particularly if you are using them to pay down other debt. You may need to consider a DMP if you cannot reduce your outgoings any further. How do you manage to spend £280 on groceries for just you? There is also nothing down for presents, travel, insurance or emergency fund.

savingfortomorrow

could you consider a pay as you go or sim only deal for the mobile.

Sanctioned_Parts_List

First off, well done for posting on here - it takes a great deal of courage to ask for help, and I really hope that the rest of this post doesn't cause it to waver.

I'm really sorry but I'm going to be blunt, but I mean it out of kindness and not judgement. All the advice you've been given above is correct, but none of it will work in your present situation. If you ditched your phone, halved your food costs, never went out and grew your hair, you'd save £350/month, which does not cover your shortfall. In any case, you couldn't expect to live like that for long without support and not go crazy.

You need to talk to a debt advisor - StepChange is a very good place to start - and get the interest stopped and a reasonable payment plan in place.

Personally, I'd like to hope your next conversation is with your parents; partly because family is important and you'll need their support, and partly because one of the debts is in your mum's name, so if you don't pay it, she'll have to.

adz0rz

Thanks for the responses guys I can't seem to quote so I'll reply to the few points people mentioned;

Rent costs - not quite London but live in Brighton that's equally expensive.

Food costs. - This could be reduced, I've stated by preparing a pasta bake to take to work instead of buying lunch. If I continue to take food this way I estimate I can save £60 a month and will be looking at buying groceries more economicly.

DMO - I'm not too sure what this is but have taken steps to look at Stepchange. I completed the online form and they've suggested a DMO too.

I've tried looking into this a bit more but would love some more information on what this would actually mean to me. Clearly I have no interest in getting anymore credit so my credit rating isn't a worry.

However would this affect any future rental agreements as I know they run credit checks?
Do I pay Stepchange directly?
Think I will call them this evening

Apologies for typos written in my phone

user1168934

Well done on taking the first step, keep it up and you will get there.

Now for the blunt bits - apologies in advance

adz0rz wrote: »

Rent costs - not quite London but live in Brighton that's equally expensive.

I lived in london for years and it was still not as expensive as you have stated in your SOA. Of course it was not as nice as I would have wanted it to be but it was what I could afford at that time. Try to find a cheaper place to live, may not be ideal but it looks like you cannot afford you current lifestyle.

adz0rz wrote: »

Food costs. - This could be reduced, I've stated by preparing a pasta bake to take to work instead of buying lunch. If I continue to take food this way I estimate I can save £60 a month and will be looking at buying groceries more economicly.

This would still be too high for a single person mate. You should be looking at reducing it to £60 not reducing it by £60.

With this level of debt can you really afford to spend £150 on entertainment and £45 on mobile? :eek:

Try to get some part time work to up your income.

fatbelly

adz0rz wrote: »

DMO - I'm not too sure what this is but have taken steps to look at Stepchange. I completed the online form and they've suggested a DMO too.

I've tried looking into this a bit more but would love some more information on what this would actually mean to me. Clearly I have no interest in getting anymore credit so my credit rating isn't a worry.

However would this affect any future rental agreements as I know they run credit checks?
Do I pay Stepchange directly?
Think I will call them this evening

Apologies for typos written in my phone

It's DMP - debt management plan, as I suggested earlier.

Creditors are encouraged to freeze interest and charges and you pay them back what you can afford on a pro-rata basis. It is administered by a third party (like Stepchange or Payplan) so you make one payment per month and they distribute it. Only debts you are liable for can be included. Don't use any other company than those mentioned , as they will charge a fee.

You will need to make sure you are banking with a bank that you don't have other debts to. So in your case not Barclays.

You don't need to live in extreme poverty on a dmp but as others have said, £150 for entertainment and is not likely to be accepted. You need something for travel though. £150 for housekeeping and £75 for travel would probably be OK. That should give over £300 to put into the plan, which is plenty. OP - don't be put off by some of the comments here. Stepchange (if that's who you choose) will not require you to live on £60 food& housekeeping per month.The National Debtline site gives guide figures for a single person of £52-75 per week.

https://www.nationaldebtline.org/EW/steps/step2/Pages/Step_2_06c.aspx#

Now I think that's high, but it shows there's some room for negotiation.

With £10300 of eligible debt a £300 per month plan should clear it inside 3 years. Although that may seem daunting, it's light at the end of the tunnel and you don't have to live like a monk while you're getting there

On your other point, the dmp itself will not affect your credit report but markers the companies put on will. However, you are heading that way anyway, so the dmp will not do any further damage.

anna_1977

adz0rz wrote: »

Hi Guys

Hopefully i filled this in correctly and it comes out OK?

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 3
Number of children in household......... 0
Number of cars owned.................... 0

Monthly Income Details
Monthly income after tax................ 1360 any chance of increasing this all, how about a weekend job?
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1360

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 575 does seem high for a shared house
Management charge (leasehold property).. 0
Council tax............................. 50
Electricity............................. 25
Gas..................................... 25
Oil..................................... 0
Water rates............................. 8
Telephone (land line)................... 0
Mobile phone............................ 45 very high, are you tied into a contract?
TV Licence.............................. 0 no TV in the house?
Satellite/Cable TV...................... 0
Internet Services....................... 10 - if this is for one third of the internet it's also very high
Groceries etc. ......................... 280
Clothing................................ 0
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0 do you really have no insurance for your belongings?
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 15
Entertainment........................... 150 needs to be reduced to £20 per month ?
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1183


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

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
118 118 Money Loan.............2285.09...184.......71
Barclays CC....................1824......75........29.9
HSBC CC........................1000......100.......0
Mr Lender Payday Loan..........600.......337.......1000
Mother's CC....................1000......100.......0
Aqua...........................1024......56........35.9
Barclays Overdraft.............2000......48........30
Vanquis CC.....................750.......0.........0
Luma CC........................860.......25........31
Total unsecured debts..........11343.09..925.......-


Monthly Budget Summary
Total monthly income.................... 1,360
Expenses (including HP & secured debts). 1,183
Available for debt repayments........... 177
Monthly UNsecured debt repayments....... 925
Amount short for making debt repayments. -748

Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -11,343.09
Net Assets.............................. -11,343.09

Hi,
Well done on making the first step.
You will get some great advice on here. At times it may sound a little harsh advice but it is all sound and meant in the best possible way.

My comments are in red above. I totally agree with someone else saying food should be approx £60 per month for you. I fed 2 adults and a dog for a bit less than £150 and a lot will say that's expensive

Good luck

Kitten868

You've got yourself ensnared in a very vicious cycle. Those interest rates are hideous! I would seriously recommend contacting a debt charity. £11.5k is a lot of money but if you had the interest shaved off you could get it cleared. I can't believe how high your monthly repayments are! Once you've got yourself tooled up with stepchanges fab advice and break the cycle you will be golden then I would consider putting in a complaint about these loans as it's quite obvious they are recent and not affordable. See if you can reclaim some of all this interest you've already been charged.
Get your bum on eBay and flog some unwanted stuff to get yourself ahead you still need to be able to pay your mums one back
You can fix this but you can't keep living the way you do now as it's not working x