34 - Financially Struggling

snowycatgirl

A recent change of circumstances means my income has drastically changed. I need some help to sort out things. Would be much appreciated if someone could look over things. I'm single living alone in a rented 2-bed flat.

My Monthly Breakdown

Wages: £14,450 PA (40 hours a week)
Rent: £560 per month
Council Tax: £83 (currently got two free months)
Electric/Gas £90 (lowest deal)
Water: £27 (meter)
House Insurance: £26
Car Insurance: £48
Breakdown Cover: £6
Petrol: £60
Pet Insurance £27 (older pet with existing health issues)
Pet Food: £20

Personal Loan £189 (7 months left to pay)
Food & Household: £50
Virgin Media: £24 (excellent deal with phone and TV)
Sky TV: £22 (TV only cannot cancel until July)
Credit Card: £223 (0%)

I can't take on another job as I'm also caring for a relative. Can't ditch my car as public transport not reliable and again car needed for caring for relative.

Get free prescriptions as I have pre-paid and this does not run out till July.

Hoping to get a better job soon, was made redundant and wages dropped from £24,000 PA.

[Deleted User]

Hey,

Sorry to hear about your current financial situation.

Lots of lovely DFW will be along in no time to help I am sure.

Can you move your personal loan onto a CC at a 0%?

That's what I would try to do, might not be the best thing but just a suggestion for you.

Dxxx

EimearF

Your car and Home insurances are very high - particularly as a renter - can you look at reducing those?

Exodi

Hi Snowycatgirl,

Where do you live and what are the arrangements?

I'm somewhat confused as you say you pay £83 in council tax which suggests to me you're splitting it with someone but you pay £560 a month in rent which indicates you either split an expensive property or you're paying the rent solo?

£90 for gas and electric a month is outrageous if you're living alone. If you're not then I'm not sure why this isn't being split.

Why do you have home insurance when you're tight for cash and you're renting? Cancel when possible.

I don't want to sound rude, but I don't know of a fluffier way of asking:- why do you have Virgin TV AND Sky TV?

The £223 you have listed for credit card, is this the full balance as it reads as everything else is monthly?

£50 a month seems low for food, are you sure this is accurate?

Lastly, yeah naturally it would be easier to get a better job but even with a better job I'd address some of the above.

enthusiasticsaver

Are you entitled to any benefits for caring for the relative like a carers allowance? Do they claim attendance and can they give you some towards the cost of running the car as you need it mainly for them?

The TV situation I am confused about as it looks like you are covered by both Virgin Media and Sky and given the option I would get rid of both and just keep internet and a mobile. House insurance is way too high for presumably just contents on a 2 bed flat. Just go to a basic contents insurance and use a comparison site. What is the situation with the debt? Is the £223 the balance on the credit card or the monthly payment? Whichever it is it looks like this and the loan could be a massive problem for you as together they add up to over £400 a month which on a relatively low income is unsustainable. If your credit record is ok can you move the loan to a 0% card? Is the £223 a minimum payment?

Karonher

Carers allowance will not be an option due to working hours and salary.

snowycatgirl

Exodi wrote: »

Hi Snowycatgirl,

Where do you live and what are the arrangements?

I live in a deprived rough high crime area of the North West! I am single and am responsible for paying the rent and council tax of which I get a 25% discount.

I'm somewhat confused as you say you pay £83 in council tax which suggests to me you're splitting it with someone but you pay £560 a month in rent which indicates you either split an expensive property or you're paying the rent solo?

£90 for gas and electric a month is outrageous if you're living alone. If you're not then I'm not sure why this isn't being split.

Why do you have home insurance when you're tight for cash and you're renting? Cancel when possible.

I don't want to sound rude, but I don't know of a fluffier way of asking:- why do you have Virgin TV AND Sky TV?

The £223 you have listed for credit card, is this the full balance as it reads as everything else is monthly?

£50 a month seems low for food, are you sure this is accurate?

Lastly, yeah naturally it would be easier to get a better job but even with a better job I'd address some of the above.

My council tax is £830 a year with 25% off. I rent privately in an older property which was refurbished in 2010, it is still a BAND A for council tax.

I have E7 for heating hence the high electric costs. I only have a gas hob. Again being a renter I can't change this.

My home insurance is for contents only. I feel cancelling my home insurance would be disastrous as the area I live in is prone to theft. Had to make a claim for a break-in in 2013.

I took Sky for TV when I was with BT for internet and phone. I had lived without any TV box for 5 years and was keen to try Sky Q. I then ditched BT when out of contract to move to Virgin for fibre and phone, they literally gave me the TV box for free with the opening offer.

The balance on the CC is £223 with 0% for another 12 months. I currently use it to buy petrol or shopping if things are a little tight.

£50 a month is correct for my food. I get to eat free at work so this saves me some money. Being a carer for a relative who I see daily I cook and eat with them 7 days a week, more at the weekend!

Struggling also to reduce car insurance as I'm a new driver less than 3 years. Again higher costs because of area I live in.

snowycatgirl

enthusiasticsaver wrote: »

Are you entitled to any benefits for caring for the relative like a carers allowance? Do they claim attendance and can they give you some towards the cost of running the car as you need it mainly for them?

The TV situation I am confused about as it looks like you are covered by both Virgin Media and Sky and given the option I would get rid of both and just keep internet and a mobile. House insurance is way too high for presumably just contents on a 2 bed flat. Just go to a basic contents insurance and use a comparison site. What is the situation with the debt? Is the £223 the balance on the credit card or the monthly payment? Whichever it is it looks like this and the loan could be a massive problem for you as together they add up to over £400 a month which on a relatively low income is unsustainable. If your credit record is ok can you move the loan to a 0% card? Is the £223 a minimum payment?

Can't claim carers allowance because of hours worked.

£223 is the balance on the CC, I barely use it.

They have been helping out in recent months with petrol costs and also been paying my £15 a month mobile phone bill for me. I also eat at their home Monday to Friday once a day and all weekend!

Someone else mentioned moving the loan to a 0% card, my current card company keeps offering me a 0% balance transfer but I assumed it was for CC to CC, will look into this.

snowycatgirl

EimearF wrote: »

Your car and Home insurances are very high - particularly as a renter - can you look at reducing those?

Car insurance was cheapest back in November, I've only been driving 3 years so my costs seem high but compared to original quotes they have come down a lot! I've even got my dad added to my policy which brought it down from £34 a month!

House insurance is due for renewal next month, so will be shopping around for a better deal. I'm guessing it's high because of the area I live in and I've had a claim for a break-in some years back.

Willing2Learn

snowycatgirl wrote: »

Someone else mentioned moving the loan to a 0% card, my current card company keeps offering me a 0% balance transfer but I assumed it was for CC to CC, will look into this.

You are correct. A Balance Transfer card is only CC to CC. You would require a Money Transfer card to transfer funds into your current account and from there to your loan. You could ring up your card provider and ask them if they will do a Money Transfer promotion instead of a BT.

enthusiasticsaver

snowycatgirl wrote: »

Can't claim carers allowance because of hours worked.

£223 is the balance on the CC, I barely use it.

They have been helping out in recent months with petrol costs and also been paying my £15 a month mobile phone bill for me. I also eat at their home Monday to Friday once a day and all weekend!

Someone else mentioned moving the loan to a 0% card, my current card company keeps offering me a 0% balance transfer but I assumed it was for CC to CC, will look into this.

Ok well if £223 is the balance then that is good. Does your salary cover all your outgoings and the issue is that there is not much left or are you going overdrawn?

Doing a money transfer card (not a balance transfer) to move the loan will give you a bit more flexibility in repaying the rest of the loan off.