Debt advice please

System

You need to point the phone company in the direction of your ex if you can...

National_Debtline

Hello again,

doodle55 wrote: »

Hi, thanks for the advice. Please see below my 2nd attempt lol


Hi, thanks for the advice. Please see below my 2nd attempt lol

Monthly Income Details[/b]
Monthly income after tax................ 1230
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 200
Total monthly income.................... 1430

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 85
Rent.................................... 80
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 20
Gas..................................... 20
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 110 – I agree that one of these needs to be cancelled and the other reduced when you can.
TV Licence.............................. 12.12
Satellite/Cable TV...................... 0
Internet Services....................... 38.99
Groceries etc. ......................... 100
Clothing................................ 100 – try and reduce
Petrol/diesel........................... 50
Road tax................................ 17.2
Car Insurance........................... 84
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 40
Other child related expenses............ 50
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 100 – try and reduce
Haircuts................................ 10
Entertainment........................... 50
Holiday................................. 0
Emergency fund.......................... 0 – try and allow for something, even if it is just £20per month
Total monthly expenses.................. 967.31


Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 3000
Other assets............................ 0
Total Assets............................ 0


Secured & HP Debts
Description....................Debt......Monthly.. .APR
Mortgage...................... 0........(0)........0
Secured Debt.................. 3675.....(85).......22
Total secured & HP debts...... 3675......-.........-

Unsecured Debts
Description....................Debt......Monthly.. .APR
Loan...........................2223.46...130.2.... .9.9
Loan...........................1076.75...52.03.... .28.7
Loan...........................3550......120...... .12
CC.............................1211.88...45....... .19.9
CC.............................500.......50....... .0
Overdrafts and the charges per month?
Total unsecured debts..........8562.09...397.23....-


Monthly Budget Summary
Total monthly income.................... 1,430
Expenses (including HP & secured debts). 967.31
Available for debt repayments........... 462.69
Monthly UNsecured debt repayments....... 397.23
Amount left after debt repayments....... 65.46

Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -3,675
Total Unsecured debt.................... -8,562.09
Net Assets.............................. -12,237.09

I have added some suggestions above, which largely echo what the other posters have said but please don't worry. The SOA at this stage is just a first draft and the best thing to do is try and live to it for one month and keep a spending diary, then you will know more clearly what changes can be made. With regard to your ex's phone, explain that they either need to give you the money for this each month, or you will cancel it. The remainder of the contract will be payable, but if you can't pay that in a lump sum, it will become a non priority debt like the cards, loans and overdrafts. You will need more advice about how to negotiate with this debt, so make sure you post more details/ contact one of the free debt charities.


At this stage the key issue is that the debts appear largely affordable. In fact you may be able to overpay them and clear them quicker. If you don't feel like that is the case and normally end up using the cards/ overdrafts again, then unfortunately, that would suggest something is missing off your budget.


Changing banks is an important step to help you budget, even if you end up maintaining/ overpaying the debts; so that is worth doing initially. Don't commit to any long term options like an IVA or bankruptcy at this stage, as they are not necessary. Instead, focus on getting your budget as accurate as you can, and try not to worry.


Laura
@natdebtline

Chandelier.

Monthly Income Details
Monthly income after tax................ 1230
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 200
Total monthly income.................... 1430

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 85
Rent.................................... 80
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 20
Gas..................................... 20
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 110. Definately look at cutting back here as its extortionate, something has to give.
TV Licence.............................. 12.12
Satellite/Cable TV...................... 0
Internet Services....................... 38.99 Shop around for broadband deals. We pay £19.99 a month with one of the main supplies.
Groceries etc. ......................... 100
Clothing................................ 100 You can cut back on this by half, even more. Only buy necessities and mix and match what you already have. Try having a month where you buy no clothes at all unless needed.
Petrol/diesel........................... 50
Road tax................................ 17.2
Car Insurance........................... 84. This seems high, shop around using comparison sites but also try independent insurance companies as they may come out cheaper. Also check out cashback websites.

Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 40
Other child related expenses............ 50
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 100Do you really need to spend £1200 a year on presents? This can easily be reduced by half, even less. Let others around you know you're not buying or spending as much this year. Save whatever else into a side account to plan for these.
Haircuts................................ 10
Entertainment........................... 50
Holiday................................. 0
Emergency fund.......................... 0 You need something here just in case anything happens, even if its £25 a month its better then nothing.
Total monthly expenses.................. 967.31


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


Secured & HP Debts
Description....................Debt......Monthly.. .APR
Mortgage...................... 0........(0)........0
Secured Debt.................. 3675.....(85).......22
Total secured & HP debts...... 3675......-.........-!

Unsecured Debts
Description....................Debt......Monthly.. .APR
Loan...........................2223.46...130.2.... .9.9
Loan...........................1076.75...52.03.... .28.7
Loan...........................3550......120...... .12
CC.............................1211.88...45....... .19.9
CC.............................500.......50....... .0
Total unsecured debts..........8562.09...397.23....-!


Monthly Budget Summary
Total monthly income.................... 1,430
Expenses (including HP & secured debts). 967.31
Available for debt repayments........... 462.69
Monthly UNsecured debt repayments....... 397.23
Amount left after debt repayments....... 65.46

Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -3,675
Total Unsecured debt.................... -8,562.09
Net Assets.............................. -12,237.09

I've posted a few comments, I reckon you could make at least £100-150 saving per month by cutting back in places and shopping around.

Set yourself targets and try to meet them each month or even try and beat them.

Set a realistic budget and stick to it, note down every spend and you will see where your money is going.

Plan ahead for things such as Christmas/Birthdays. Kids arent bothered how much you spend on them, they also dont need the latest things/gadgets. It's the small things and memories made that count. If you buy for adults let them know you're cutting back this year and wont be buying for others. I'm sure they'll understand. Also it may work out cheaper than making some items, more the personal ones that you can give to family I.e. photo in a frame or a calender etc. Theres plenty of offers online.

Definately shop around for your insurances, dont let them autorenew as you will pay more in the long run.

Start to build up an emergency fund for just in case events. You never know what expenses may hit you.

By making a few changes you will soon be reaping the benefits and on your way to debt busting. You have a surplus each month and should be able to increase this with a few changes.