What to do?

Jules2054

Hi,
so im wondering if it would be better for me to just overpay the mortgages ive got or get a lower rate over a shorter period of time, then pay the whole remainder off in 6yrs time when i get my works pension, so i can save on the interest? .....

Soa
#4 23rd Jan 20, 6:18 PM
Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 1
Number of children in household......... 0
Number of cars owned.................... 1

Monthly Income Details
Monthly income after tax................ 0
Partners monthly income after tax....... 0
Benefits................................ 1042
Other income............................ 0
Total monthly income.................... 1042

Monthly Expense Details
Mortgage................................ 317
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 8
Electricity............................. 91
Gas..................................... 0
Oil..................................... 0
Water rates............................. 2.94
Telephone (land line)................... 0
Mobile phone............................ 6
TV Licence.............................. 13.2
Satellite/Cable TV...................... 0
Internet Services....................... 43.99
Groceries etc. ......................... 200
Clothing................................ 0
Petrol/diesel........................... 30
Road tax................................ 20.56
Car Insurance........................... 25
Car maintenance (including MOT)......... 15
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..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 12.5
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
window cleaner.......................... 2.5
bank fee................................ 1
Total monthly expenses.................. 788.69


Assets
Cash.................................... 500
House value (Gross)..................... 120000
Shares and bonds........................ 0
Car(s).................................. 500
Other assets............................ 0
Total Assets............................ 121000


Secured & HP Debts
Description....................Debt......Monthly.. .APR
Mortgage...................... 19287....(317)......2.68
Total secured & HP debts...... 19287.....-.........-

Unsecured Debts
Description....................Debt......Monthly.. .APR
wescot.........................1411......5........ .0
amazon.........................67.6......33.8..... .0
cls............................10712.....10....... .0
pavillion......................709.......5........ .0
Total unsecured debts..........12899.6...53.8......-


Monthly Budget Summary
Total monthly income.................... 1,042
Expenses (including HP & secured debts). 788.69
Available for debt repayments........... 253.31
Monthly UNsecured debt repayments....... 53.8
Amount left after debt repayments....... 199.51

Personal Balance Sheet Summary
Total assets (things you own)........... 121,000
Total HP & Secured debt................. -19,287
Total Unsecured debt.................... -12,899.6
Net Assets.............................. 88,813.4

MovingForwards

£15 a month won't cover repair bills, general maintenance and an MOT for your car.

You have nothing as an emergency fund, as a homeowner you need something.

Nothing for clothes, even £1 a month will buy you smalls each year, a new pair of boots every 3 years or a coat.

Nothing for medical / dental / glasses. Do you never buy other the counter meds? Plasters?

Nor do you have anything for building and contents insurance, this is your home, if anything happens you will owe the mortgage company their loan and be left potentially rebuilding a home and replacing everything.

I would look into adding some money to your pension as you get some 'free', make a small overpayment and get saving (upto £5500 or whatever the lowest figure is with the benefit cap and your claim)

So, potentially £50 pension, £50 O/P, £50 on the missing items and the rest into savings.