where to start, s.o.a. included

Nomes23x

Hi, please be gentle with me, I'm new here and have just had my light bulb moment! I have a lot of debt but not a lot of disposable income.
I have buried my head in the sand far too long and now I need to do something about what I owe my creditors, any advice gratefully received.
Here is my s.o.a. for you to see which I will add notes to .
Statement of Affairs and Personal Balance Sheet

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

Monthly Income Details
Monthly income after tax................ 497
Partners monthly income after tax....... 160 (CSA)
Benefits................................ 1137.6 (universal credit)
Other income............................ 0
Total monthly income.................... 1794.6

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 469
Management charge (leasehold property).. 0
Council tax............................. 90
Electricity............................. 40
Gas..................................... 40
Oil..................................... 0
Water rates............................. 30
Telephone (land line)................... 0
Mobile phone............................ 70 (22 months left to pay for 2 phones)
TV Licence.............................. 12.12
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 200
Clothing................................ 10
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 28
Childcare/nursery....................... 240
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)...... 10 (nothing in this pot yet, starting this month)
Haircuts................................ 10
Entertainment........................... 30
Holiday................................. 0
Emergency fund.......................... 20
Gym..................................... 22 (until March)
Total monthly expenses.................. 1371.12


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
friend.........................120.......40........0
holiday........................200.......50........0
sister.........................8000......80........0
brighthouse....................2700......0.........0
council tax arrears............370.97....0.........0
JBW - council tax..............743.97....0.........0
Westcot - paypal...............965.......0.........0
moorcroft - satsuma............166.......0.........0
J&P - spark energy.............1026.53...0.........0
cabot - C.card.................329.74....0.........0
Jacobs - Ctax..................293.09....0.........0
Morses.........................620.......0.........0
nursery fees...................425.......0.........0
Jacobs - Ctax..................431.42....0.........0
Lowell - avon..................65.54.....0.........0
Lowell-shopdirect ccj..........453.23....0.........0
Lowell - sky...................136.98....0.........0
Lowell - Eon...................255.79....0.........0
Lowell - Three.................478.99....0.........0
Lowell - Three.................227.93....0.........0
Lowell - British gas...........146.59....0.........0
Lowell - Three.................541.53....0.........0
Lowell - Vodafone..............237.85....0.........0
Lowell - shop direct...........241.77....0.........0
Vanquis........................336.......0.........0
Credit union...................250.......42........0
brother........................5000......170.......0
Total unsecured debts..........24763.92..382.......-


Monthly Budget Summary
Total monthly income.................... 1,794.6
Expenses (including HP & secured debts). 1,371.12
Available for debt repayments........... 423.48
Monthly UNsecured debt repayments....... 382
Amount left after debt repayments....... 41.48

Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -24,763.92
Net Assets.............................. -24,763.92


AS you can see, there is a lot of creditors that I don't pay, they have been passed on to debt collection companies and I have never spoke to these people about the individual debts. There is a couple of here that I have no recollection of so will start with a prove it letter for those.

So I'm thinking, I would like to do my own DMP if possible but do you think bankruptcy would be a better option for me?

System

Nomes23x wrote: »

Monthly Income Details
Monthly income after tax................ 497
Partners monthly income after tax....... 160 (CSA)
Benefits................................ 1137.6 (universal credit)
Other income............................ 0
Total monthly income.................... 1794.6

Unsecured Debts
Description....................Debt......Monthly...APR
friend.........................120.......40........0
holiday........................200.......50........0
sister.........................8000......80........0
brighthouse....................2700......0.........0
council tax arrears............370.97....0.........0
JBW - council tax..............743.97....0.........0
Westcot - paypal...............965.......0.........0
moorcroft - satsuma............166.......0.........0
J&P - spark energy.............1026.53...0.........0
cabot - C.card.................329.74....0.........0
Jacobs - Ctax..................293.09....0.........0
Morses.........................620.......0.........0
nursery fees...................425.......0.........0
Jacobs - Ctax..................431.42....0.........0
Lowell - avon..................65.54.....0.........0
Lowell-shopdirect ccj..........453.23....0.........0
Lowell - sky...................136.98....0.........0
Lowell - Eon...................255.79....0.........0
Lowell - Three.................478.99....0.........0
Lowell - Three.................227.93....0.........0
Lowell - British gas...........146.59....0.........0
Lowell - Three.................541.53....0.........0
Lowell - Vodafone..............237.85....0.........0
Lowell - shop direct...........241.77....0.........0
Vanquis........................336.......0.........0
Credit union...................250.......42........0
brother........................5000......170.......0
Total unsecured debts..........24763.92..382.......-

You have a big problem. You are on Universal Credit and you have more creditors than I've ever seen. You are spending money you don't have. Brighthouse...owed £2700 - I'm guessing for furniture you can't afford, TV etc. Why have you got four mobile phone bills? When did you last change your phone? Shop direct/avon - this spending is out of control.

Nomes23x

Hi Andy, most of these debts are from back in 2014 which my ex partner left me with he has no intention to helping me pay it off! But he was clever and put everything in my name and I was naive enough to let him as I was only 19! I’m off to citizen advice tomorrow to see my best options.

nicnacnoo

andydownes123 wrote: »

You have a big problem. You are on Universal Credit and you have more creditors than I've ever seen. You are spending money you don't have. Brighthouse...owed £2700 - I'm guessing for furniture you can't afford, TV etc. Why have you got four mobile phone bills? When did you last change your phone? Shop direct/avon - this spending is out of control.

I'm sure the o.p. is well aware of how much debt is there and the 4 different phones were passed onto debt collectors so I guess they have had their head buried in the sand for a long time!


nomes23 - well done on finally having your lightbulb moment, everyone on this site has been at their own version of rock bottom. Time to start dealing with this now and hopefully some one will be along to help out with some constructive advice :T

NeverendingDMP

I just wanted to say good luck for citizens advice. Do you know which debts are current and which are old. Eg council tax and nursery might be more of a current priority for you. If you take that list with a rough idea on how recent they are CAB will help you look at options and explain who if any needs to get the money back first.
Also are you being charged interest onsome them or do you not know with only just feeling brave enough to look at it.
Stay posting. I think a formal debt solution might work best for you but if you do decide on a dmp lowell will settle some of these for less as would most other collectors if you could offer a percentage. Also i know your are struggling for money but you need to set aside more for clothing presents etc.
I dont know how bankruptcy works when you owe people you presumably still want to repay ie brother/sister.
Start writing down these and any questions you might have for CAB as it may be easy to get muddled when you speak to them with.

Nomes23x

thankyou never ending! I’m sure I can boss this and get back to being debt free, and giving my children the happiness they deserve

NeverendingDMP

Thats the spirit x

System

Nomes23x wrote: »

Hi Andy, most of these debts are from back in 2014 which my ex partner left me with he has no intention to helping me pay it off! But he was clever and put everything in my name and I was naive enough to let him as I was only 19! I’m off to citizen advice tomorrow to see my best options.

Ouch! Then this is learning experience for you as well. Perhaps this will be the making of you into a savvy Money Saving Expert in future?

EssexHebridean

First off well done for facing things head on - at least you now have a handle on everything and can tackle things! Responses below in green as you've already made notes in Red. I will say right now that it is probably going to be brutal as with the combination of proportionately high debt and small income, that's often the only way to get things sorted.

Statement of Affairs and Personal Balance Sheet

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

Monthly Income Details
Monthly income after tax................ 497
Partners monthly income after tax....... 160 (CSA) Is this what it should be? It sounds quite low for 2 children?
Benefits................................ 1137.6 (universal credit) You have checked this is everything you are entitled to?
Other income............................ 0
Total monthly income.................... 1794.6

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 469
Management charge (leasehold property).. 0
Council tax............................. 90 Single person discount applied and paid over 12 months rather than the standard 10?
Electricity............................. 40 Can you get this down at all? Are you on the cheapest deal you can get?
Gas..................................... 40Can you get this down at all? Are you on the cheapest deal you can get?
Oil..................................... 0
Water rates............................. 30 Is this metered? If so can you cut useage at all?
Telephone (land line)................... 0
Mobile phone............................ 70 (22 months left to pay for 2 phones) Can you get rid of either of the phones? can you sell one and use the money to pay down the remaining contract?
TV Licence.............................. 12.12 Check this is current - the pennies look wrong
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 200 You can cut this a fair bit - cook everything from scratch, no convenience foods or takeaways. shop around and make use of Aldi & Lidl super 6 & pick of the week offers. Eat veggie more than meat based meals, paying attention to the balance of nutrients carefully to make sure you're getting enough protein
Clothing................................ 10
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 28 can this be reduced at all?
Childcare/nursery....................... 240 Are you getting everything you should be in relation to free hours of childcare?
Other child related expenses............ 50 What's this for? Can it be reduced/cut altogether?
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0 Sort this out - it's a total false economy not having it, and you can get cover for well under £10 a month!
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 10 (nothing in this pot yet, starting this month)
Haircuts................................ 10 Can you grow yours and cut the kids yourself? Boys are easy with a pair of basic clippers
Entertainment........................... 30
Holiday................................. 0
Emergency fund.......................... 20
Gym..................................... 22 (until March) Bluntly, this needs to go. I'd be inclined to contact them, say your circumstances have changed and you can't afford it, and see what they say. Take the kids with you, preferably looing a bit on the scruffy side, and if they agree get them to note it in writing then confirm that back to them IN WRITING - hard copy NOT email - afterwards. Ask that they acknowledge receipt of the letter and chase them up if that doesn't happen.
Total monthly expenses.................. 1371.12


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
friend.........................120.......40........0
holiday........................200.......50........0 OK - this is where it gets blunt - you can't afford this.
sister.........................8000......80........0
brighthouse....................2700......0.........0 Anything non essential that you can relinquish back to them and they will stop payments on? In the future try freecycle or freegle to get things for nothing that others have finished with.
council tax arrears............370.97....0.........0 Are the council happy that you're paying nothing to this?
JBW - council tax..............743.97....0.........0
Westcot - paypal...............965.......0.........0 This is the reaosn I bloody HATE paypal pushing their flipping credit onto people without the vaguest consideration of whether it's sensible to do so, or not.
moorcroft - satsuma............166.......0.........0
J&P - spark energy.............1026.53...0.........0
cabot - C.card.................329.74....0.........0
Jacobs - Ctax..................293.09....0.........0
Morses.........................620.......0.........0
nursery fees...................425.......0.........0
Jacobs - Ctax..................431.42....0.........0
Lowell - avon..................65.54.....0.........0
Lowell-shopdirect ccj..........453.23....0.........0
Lowell - sky...................136.98....0.........0
Lowell - Eon...................255.79....0.........0
Lowell - Three.................478.99....0.........0
Lowell - Three.................227.93....0.........0
Lowell - British gas...........146.59....0.........0
Lowell - Three.................541.53....0.........0
Lowell - Vodafone..............237.85....0.........0
Lowell - shop direct...........241.77....0.........0
Vanquis........................336.......0.........0
Credit union...................250.......42........0
brother........................5000......170.......0
Total unsecured debts..........24763.92..382.......-


Monthly Budget Summary
Total monthly income.................... 1,794.6
Expenses (including HP & secured debts). 1,371.12
Available for debt repayments........... 423.48
Monthly UNsecured debt repayments....... 382
Amount left after debt repayments....... 41.48

Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -24,763.92
Net Assets.............................. -24,763.92


AS you can see, there is a lot of creditors that I don't pay, they have been passed on to debt collection companies and I have never spoke to these people about the individual debts. There is a couple of here that I have no recollection of so will start with a prove it letter for those.

So I'm thinking, I would like to do my own DMP if possible but do you think bankruptcy would be a better option for me?[/QUOTE]

I have to say, looking through the creditors and the total amount there, I'm wondering why you're not just looking straight at going bankrupt? In most circumstances I'd be fully behind you trying to get it paid back, but the problem is there are SO many creditors, and if as you say you were stitched up with them by your ex, that puts a slightly different complexion on things.

MovingForwards

With that income and normal expenditure, not including the debts, I would be reworking outgoings to reduce any spare money down to minimal and go straight for bankruptcy, means you can pick yourself back up quicker. Assuming you are not working in utilities, finance, law etc.

Otherwise a DMP could end up going on for years.

EssexHebridean

MovingForwards wrote: »

With that income and normal expenditure, not including the debts, I would be reworking outgoings to reduce any spare money down to minimal and go straight for bankruptcy, means you can pick yourself back up quicker. Assuming you are not working in utilities, finance, law etc.

Otherwise a DMP could end up going on for years.

Good point, well made.