Debt Advice

Spurs70

Good afternoon,

I have been lurking around this forum now for the past week or so and decided  to ask for advice/help.
Me and my wife together have large amount of debt, through change off circumstances and stupidity so please dont judge.
I will post my soa, if anybody could help me  it would be much appreciated 
thank you.

[font=courier new][b]Statement of Affairs and Personal Balance Sheet[/b][b]

Household Information[/b]

Number of adults in household........... 1

Number of children in household......... 2

Number of cars owned.................... 1[b]

Monthly Income Details[/b]

Monthly income after tax................ 1050

Partners monthly income after tax....... 1550

Benefits................................ 149

Other income............................ 0[b]

Total monthly income.................... 2749[/b][b]

Monthly Expense Details[/b]

Mortgage................................ 1100

Secured/HP loan repayments.............. 250

Rent.................................... 0

Management charge (leasehold property).. 0

Council tax............................. 115

Electricity............................. 100

Gas..................................... 0

Oil..................................... 0

Water rates............................. 40

Telephone (land line)................... 0

Mobile phone............................ 60

TV Licence.............................. 13

Satellite/Cable TV...................... 60

Internet Services....................... 0

Groceries etc. ......................... 380

Clothing................................ 50

Petrol/diesel........................... 170

Road tax................................ 3

Car Insurance........................... 60

Car maintenance (including MOT)......... 45

Car parking............................. 0

Other travel............................ 40

Childcare/nursery....................... 50

Other child related expenses............ 0

Medical (prescriptions, dentist etc).... 0

Pet insurance/vet bills................. 10

Buildings insurance..................... 20

Contents insurance...................... 0

Life assurance ......................... 20

Other insurance......................... 0

Presents (birthday, christmas etc)...... 30

Haircuts................................ 15

Entertainment........................... 30

Holiday................................. 50

Emergency fund.......................... 20[b]

Total monthly expenses.................. 2731[/b]

[b]

Assets[/b]

Cash.................................... 0

House value (Gross)..................... 190000

Shares and bonds........................ 0

Car(s).................................. 0

Other assets............................ 0[b]

Total Assets............................ 190000[/b]

[b]

Secured & HP Debts[/b]

Description....................Debt......Monthly...APR

Mortgage...................... 170000...(1100).....0

Hire Purchase (HP) debt ...... 8700.....(250)......0[b]

Total secured & HP debts...... 178700....-.........-   [/b]

[b]Unsecured Debts[/b]

Description....................Debt......Monthly...APR

Sainburys Loan.................17500.....330.......0

Zopa loan......................11000.....370.......0

Cc.............................8000......160.......0

Cc.............................5000......110.......0[b]

Total unsecured debts..........41500.....970.......-  [/b]

[b]

Monthly Budget Summary[/b]

Total monthly income.................... 2,749

Expenses (including HP & secured debts). 2,731

Available for debt repayments........... 18

Monthly UNsecured debt repayments....... 970[b]

Amount short for making debt repayments. -952[/b]

[b]Personal Balance Sheet Summary[/b]

Total assets (things you own)........... 190,000

Total HP & Secured debt................. -178,700

Total Unsecured debt.................... -41,500[b]

Net Assets.............................. -30,200[/b]

[i]Created using the SOA calculator at www.LemonFool.co.uk.

Reproduced on Moneysavingexpert with permission, using other browser.[/i][/font]

Harlequinn87

Hello definitely looks like you're in a bit of a pickle... even cutting down in certain areas won't make a big dent in my opinon.

Have you tried speaking to anyone from Step Change about this? I was in a similar situation with loans and credit cards and ended up going down the lines of DMP. Step Change will be able to advise what route you may be able to take - and dont worry they won't force you into anything

Spurs70

Hi yes i will certainly do that.
Would they let me keep my car finance do you know.

EimearF

Your mortgage is really high - can you shop around for a better rate? for your loan value at 25 years i calculate a rate of 6% - you should be paying around half that. 
Is the HP your car? can you get a cheaper car and sell your to pay that off? Your car insurance is also very high. 
Have you checked the eligibility calculator for balance transfers for the credit cards? the minimum payments indicate a high APR

EimearF

I would try and switch mortgage rates before any DMP as it may affect you getting a better rate in the future and small increased in interest on a loan that size could cost you massively in the long run. 

Harlequinn87

@Spurs70 They will let you keep paying the car finance and won't include this on a debt plan as far as i'm aware .. they done this with my sister when she got a DMP for her debts

Spurs70

Thank you for your reply's.
Sadly im 52 years old  so age is against me
in terms off increasing the years.
Cc transfer i tried a cant even get any more credit at all, tried and tried.
car insurance  is high,   points and  a couple of claims on my policy unfortunately

EimearF

ah i see that makes sense on the mortgage.
Can you get a cheaper car? That would free up a lot of money for you. How much is your car worth? 
A DMP maybe be difficult as you are making the repayments. 

EimearF

Ive read the wrong line in your sheet i read the expenses prior to unsecured debt and now see you are £900 short for the debt. DMP is definitely the right path for you 

Spurs70

I can no longer make all the payments now.
I am
only 6 months in on a 60month hp .

EimearF

Hopefully stepchange can help you.
You can cover your mortgage and necessary bills for you and your family. People default regularly and its all fixable.