Going wrong?

obay

I don't feel like I'm struggling but I am working on paying everything off over the next year or so (bar mortgage and car). I've never missed a payment and this is as accurate as I can get it.

I'm slowly working my through the boiler, it was a ten-year loan that I have reduced to less than 2 years. I don't feel that I'm overally in debt but just want to become a bit cleaner.

Also hopefully just before November our mortgage drops to £570 per month (remortgage).

My WIFE has only just started working, otherwise she has no debt and I have assumed more debt than her.

The AIP is going through and have been hard checked, valuation / legals are working now so it's only a matter of time when my mortgage drops to £570 meaning I will have an additional £205 for debt repayment (it can't come quick enough!) Can any one advice where I can cut back or pay back faster?


Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2
Number of children in household......... 1
Number of cars owned.................... 1

Monthly Income Details
Monthly income after tax................ 1500
Partners monthly income after tax....... 600
Benefits................................ 82.5
Other income............................ 0
Total monthly income.................... 2182.5

Monthly Expense Details
Mortgage................................ 775.1
Secured/HP loan repayments.............. 192
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 113
Electricity............................. 50
Gas..................................... 50
Oil..................................... 0
Water rates............................. 42
Telephone (land line)................... 25
Mobile phone............................ 10
TV Licence.............................. 12.13
Satellite/Cable TV...................... 0
Internet Services....................... 25
Groceries etc. ......................... 200
Clothing................................ 20
Petrol/diesel........................... 50
Road tax................................ 0
Car Insurance........................... 50
Car maintenance (including MOT)......... 30
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..................... 4.44
Contents insurance...................... 4.44
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 30
Haircuts................................ 25
Entertainment........................... 80
Holiday................................. 0
Emergency fund.......................... 1000
Total monthly expenses.................. 2788.11


Assets
Cash.................................... 0
House value (Gross)..................... 210000
Shares and bonds........................ 1000
Car(s).................................. 10000
Other assets............................ 0
Total Assets............................ 221000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 142196...(775.1)....4.84
Hire Purchase (HP) debt ...... 8100.....(192)......5.99
Total secured & HP debts...... 150296....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
barclays boiler................459.......47........14.9
secure trust bank..............1502......36........14.9
hiatchi capital................10000.....183.......14.9
Total unsecured debts..........11961.....266.......-


Monthly Budget Summary
Total monthly income.................... 2,182.5
Expenses (including HP & secured debts). 2,788.11
Available for debt repayments........... -605.61
Monthly UNsecured debt repayments....... 266
Amount short for making debt repayments. -871.61

Personal Balance Sheet Summary
Total assets (things you own)........... 221,000
Total HP & Secured debt................. -150,296
Total Unsecured debt.................... -11,961
Net Assets.............................. 58,743

Created using the SOA calculator at https://www.stoozing.com.
Reproduced on Moneysavingexpert with permission, using other browser.

Willing2Learn

Are you sure your SOA figures are correct? You are saying you are struggling but have never missed a payment. How can that be correct with such a large shortfall available to pay your debts?

Edit: Are you really putting £1,000 aside each month toward your emergency fund? That would explain the shortfall...

tallyhoh

Have you got life insurance with your job? You need some I think with a child.
Are you really putting £1000 a month away for emergency or is it a typo?

LiveLifeFull

Surely your not putting £1000.00 away for your EF every month? Is that incorrect?

National_Debtline

Hi obay,


I think there is an error on your SOA with the emergency fund as well. Whilst you should save something £1000 is disproportional to your situation to save each month - I suspect this is a typo. So, if this was £100 per month, that would mean you would have £2182.50 coming in (however, please be aware that child benefit for one child is £89.70 per calendar month - so that also needs a small tweak), and your expenses would be £1888.11 meaning that you would have a surplus of approximately £295 per month.

There doesn't seem to be anything that you need to reduce on your main expenses, in fact, you need to make sure that the budget is realistic and sustainable. And if the CMI's are £266, and you are in the process of savings another £205 per month on your mortgage you should be able to overpay the debts to drive the balances down quicker as well. Best of luck,


Laura
@natdebtline

obay

Hi! I thought that meant what is in my savings fund! Sorry I have £1000 in my fund, NOT £1000 per month! Sorry!

I'll redo and post. Thanks everyone

obay

This is near correct I suppose, I made a mistake sorry. As said I am not struggling one bit, I'm just wanting to pay my debt off a bit sooner.

Life cover is covered by work and I do not pay for this.

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2
Number of children in household......... 1
Number of cars owned.................... 1

Monthly Income Details
Monthly income after tax................ 1500
Partners monthly income after tax....... 600
Benefits................................ 89.7
Other income............................ 0
Total monthly income.................... 2189.7

Monthly Expense Details
Mortgage................................ 775.1
Secured/HP loan repayments.............. 192
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 113
Electricity............................. 50
Gas..................................... 50
Oil..................................... 0
Water rates............................. 42
Telephone (land line)................... 25
Mobile phone............................ 10
TV Licence.............................. 12.13
Satellite/Cable TV...................... 0
Internet Services....................... 25
Groceries etc. ......................... 200
Clothing................................ 20
Petrol/diesel........................... 50
Road tax................................ 0
Car Insurance........................... 50
Car maintenance (including MOT)......... 30
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..................... 4.44
Contents insurance...................... 4.44
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 30
Haircuts................................ 25
Entertainment........................... 80
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1788.11


Assets
Cash.................................... 1000
House value (Gross)..................... 21000
Shares and bonds........................ 1000
Car(s).................................. 10000
Other assets............................ 0
Total Assets............................ 33000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 142196...(775.1)....4.84
Secured Debt.................. 8100.....(192)......5.99
Total secured & HP debts...... 150296....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
barclays boiler................459.......47........14.9
secure trust bank..............1502......36........14.9
hiatchi capital................10000.....183.......14.9
Total unsecured debts..........11961.....266.......-


Monthly Budget Summary
Total monthly income.................... 2,189.7
Expenses (including HP & secured debts). 1,788.11
Available for debt repayments........... 401.59
Monthly UNsecured debt repayments....... 266
Amount left after debt repayments....... 135.59

Personal Balance Sheet Summary
Total assets (things you own)........... 33,000
Total HP & Secured debt................. -150,296
Total Unsecured debt.................... -11,961
Net Assets.............................. -129,257

Created using the SOA calculator at https://www.stoozing.com.
Reproduced on Moneysavingexpert with permission, using other browser.



After all the bills have come out on the 1st of the month, we are left with approx £300 (before shopping).. The barclays boiler is slowly reducing with £25 per week going on it extra.. (at the start I was paying £250 per week). This one has been the bain of my life it's just been annoying.

Willing2Learn

When the Barclays boiler is paid up you can put the extra money toward the Hitachi debt with the horrible APR. Even without the extra being diverted from the boiler, you can still afford to overpay the Hitachi debt each month...

obay

Apart of my application with my mortgage, they have just phoned me to tell me that I have to pay 2 of my agreements off the boiler and the secure trust bank or what not.. i'll be doing that now as I want the new mortgage

obay

They're paid off... I suppose it's a plus anyways... be better off in the long term, the boiler was doing my head in as it was taking so long to pay off.. anyways that's 2 agreements off my file when it comes to it anyways...

ratrace

obay wrote: »

They're paid off... I suppose it's a plus anyways... be better off in the long term, the boiler was doing my head in as it was taking so long to pay off.. anyways that's 2 agreements off my file when it comes to it anyways...

Good job mate, just for the future if anything needs replacing try to go down the second hand route first before buying new such as the boiler etc...

our washing machine has just started rumble and needs the drum replacing, am i going to buy a new drum for £120 am i hell, just bidding on the same washing machine from flee bay and just goint to swap parts over

same with a freezer i just bought used for only £30 i always go down the used route first before buying new you get to save a lot of money first

all the best with your goals