Could really use some advice

Toadstool

Hi all... first time poster so be kind please!
My situation ; 35, paramedic, waiting for major surgery. Off work sick - on half pay (950 per month). Hoping to be back to work in December.Live with my partner (house is just in her name - I have no savings or assets).
Debts - £9 k in a horrible loan (Apr 20.8%) and 1k overdrawn. Credit rating is 'good'.

I sought advice from step change- they suggested a remporary token payment plan. Spoke to my partner about this - she went nuts saying it would screw up ny credit rating.
Payments are £345.42 per month. Budget sheet tells me in £76 in deficit at the end of each month.

Can anyone advise?

Pixie5740

Toadstool wrote: »

Hi all... first time poster so be kind please!
My situation ; 35, paramedic, waiting for major surgery. Off work sick - on half pay (950 per month). Hoping to be back to work in December.Live with my partner (house is just in her name - I have no savings or assets).
Debts - £9 k in a horrible loan (Apr 20.8%) and 1k overdrawn. Credit rating is 'good'.

I sought advice from step change- they suggested a remporary token payment plan. Spoke to my partner about this - she went nuts saying it would screw up ny credit rating.
Payments are £345.42 per month. Budget sheet tells me in £76 in deficit at the end of each month.

Can anyone advise?

Can you post a statement of affairs so that we can see where you are financially? The bottom line is that you can't get blood out a stone and unsecured debts are not priority bills.

http://www.stoozing.com/calculator/soa.php

Your credit history is only important if you plan on borrowing more money and to be honest if 20.8% APR was the best rate available to you then lenders probably don't view you as a great prospect already.

If your partner doesn't want you to enter into a DMP then what solution does she propose? Is she willing to pay more towards the household bills or cut back on areas of expenditure?

System

Toadstool wrote: »

Hi all... first time poster so be kind please!
My situation ; 35, paramedic, waiting for major surgery. Off work sick - on half pay (950 per month). Hoping to be back to work in December.Live with my partner (house is just in her name - I have no savings or assets).
Debts - £9 k in a horrible loan (Apr 20.8%) and 1k overdrawn. Credit rating is 'good'.

I sought advice from step change- they suggested a remporary token payment plan. Spoke to my partner about this - she went nuts saying it would screw up ny credit rating.
Payments are £345.42 per month. Budget sheet tells me in £76 in deficit at the end of each month.

Can anyone advise?

Do you and your partner share bills etc? Can you post a SOA with both your earnings on so we can see how you can survive this?

Toadstool

Sure.... statement of affairs? Is there a template here?

Oakdene

Toadstool wrote: »

Sure.... statement of affairs? Is there a template here?

There is indeed, Pixie provided in their post above but here it is again


http://www.stoozing.com/calculator/soa.php

Toadstool

Household Information[/b]
Number of adults in household........... 2
Number of children in household......... 2
Number of cars owned.................... 1

Monthly Income Details
Monthly income after tax................ 900
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 900

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 500
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 0
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 40
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 350
Clothing................................ 10
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 30
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 25
Pet insurance/vet bills................. 18
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 16
Other insurance......................... 0
Presents (birthday, christmas etc)...... 10
Haircuts................................ 5
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 20
Total monthly expenses.................. 1024


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
Loan...........................10000.....260.......0
Overdraft......................1000......0.........0
Total unsecured debts..........11000.....260.......-


Monthly Budget Summary
Total monthly income.................... 900
Expenses (including HP & secured debts). 1,024
Available for debt repayments........... -124
Monthly UNsecured debt repayments....... 260
Amount short for making debt repayments. -384

Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -11,000
Net Assets.............................. -11,000

Oakdene

Do you pay all of the rent or is this your share? Same question with the Groceries...

If these costs are the total for the family, then you should include your partners income.

Toadstool

The mortgage is in her name only.... i pay 500 towards rent/ratea/bills.... i also put all the grocery shopping on my account.

Oakdene

Ok, I think you can knock a good chunk off the groceries by switching supermarkets & brands if possible. I'm unsure of the age of the children in the house but I spend around £120 a month on groceries for me & my teenage daughter, who has the same appetite as me. Even if you get it down to £250 that will be £100 savings.

Is your mobile coming towards the end of its contract? Could you move to PAYG?

If you partner is so adverse to you moving to a DMP, could you perhaps pay a little less to her for the rent/rate/bills to divert funds towards your debt?

Pixie5740

Is your partner willing to let you reduce the amount of "rent" you pay? If not how does she expect you to contribute £500 plus pay for all the groceries and everything else on just £900?

If you have no joint accounts then your credit file will make not one jot of difference to her or is the plan that at some point in the future you jointly apply for a mortgage together?

Toadstool

So the idea is that when the kids have left home we buy a house together.
They are 13 & 15.... so it wont be for a long time yet...