SOA advice please

limdylou29

I live with my 2 sons, my income and expenses..

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

Household Information[/b]

Number of adults in household........... 3

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

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

Monthly Income Details[/b]

Monthly income after tax................ 0

Partners monthly income after tax....... 0

Benefits................................ 848.51

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

Total monthly income.................... 848.51[/b][b]

Monthly Expense Details[/b]

Mortgage................................ 0

Secured/HP loan repayments.............. 0

Rent.................................... 471.29

Management charge (leasehold property).. 0

Council tax............................. 113

Electricity............................. 15

Gas..................................... 20

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

Water rates............................. 0

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

Mobile phone............................ 25

TV Licence.............................. 5

Satellite/Cable TV...................... 0

Internet Services....................... 10

Groceries etc. ......................... 140

Clothing................................ 10

Petrol/diesel........................... 0

Road tax................................ 0

Car Insurance........................... 0

Car maintenance (including MOT)......... 0

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

Other travel............................ 30

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)...... 15

Haircuts................................ 0

Entertainment........................... 3

Holiday................................. 0

Emergency fund.......................... 0[b]

Total monthly expenses.................. 857.29

[b]

Assets[/b]

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

House value (Gross)..................... 0

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

Car(s).................................. 1800

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

Total Assets............................ 1800[/b]

[b]

No Secured nor Hire Purchase Debts[/b]

[b]Unsecured Debts[/b]

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

Rent arrears...................933.05....0.........0

Ccj............................600.......0.........0

Wescot.........................3714.26...0.........0

Council tax....................1437.21.....0

UC advance.....................170.......16.67.....0

Cc.............................2516......0.........0

Cc.............................1580.04...0.........0

Loan...........................6947......0.........0

Next...........................2232.86...0.........0

Cabot..........................624.7.....0.........0

Wescot.........................71.4......0.........0[b]

Total unsecured debts..........20826.52..113.......-  [/b]

[b]

Monthly Budget Summary[/b]

Total monthly income.................... 848.51

Expenses (including HP & secured debts). 873.96

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

Monthly UNsecured debt repayments....... 

Amount short for making debt repayments. 

[b]Personal Balance Sheet Summary[/b]

Total assets (things you own)........... 1,800

Total HP & Secured debt................. -0

Total Unsecured debt.................... -20,826.52[b]

Net Assets.............................. -19,026.52[/b]

[i]Created using the SOA calculator at www.stoozing.com. 

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

mwarby

you have no worries about an IPA whatever you put(although of course it should be accurate as best yiu can), if your income is all benefits they can't start an IPA

The only issue might be your car, while its worth less than £2000 you will be asked why you need it (the typical good reason is to get to and from work). If the OR judges that you don't need it it can be taken. Although with Coronavirus and advice to avoid public transport they are perhaps less likely to make an issue of it (also the amount they'd get for it would be small, and costs high)

EDIT - don't you get council tax benefit ? if you don't given your budget is quite conservative (given your low income, if income was higher you could easily put more down for food without the OR batting an eyelid) you might find that you get to keep much of the extra when council tax is included in the bankruptcy. Normally you'd get a council tax only IPA for the rest of tax year, but it possible (not sure) that you'd be allowed to keep it

limdylou29

Thanks, the car I have a feeling I will lose.
its on a SORN no mot and no insurance.
first time in 20 years I’ve been without a car. Although I will eventually get back to work, I’m not sure when as I need to deal with my mental health first. 

The council tax still baffles me, I get a little council tax support but because of my sons is still quite high a month.

mwarby

I've just noticed you have rent arrears, do you know how your landlord will likely react to those being written off jn bankruptcy. I imagine it wouldn't be an issue in social housing, but if your a private tennant on a rolling contract its possible your landlord may seek an eviction.

Sadly I don't see from your budget any way of making inroads to clearing that, if anything you could do with spending more on living costs(food, electric, gas are all low)

edit - actually if you could sell the car (I'm not sure its worth as much as yiu think with no MOT( you could clear the rent arrears) if you can get the debts below £20k you could then get a DRO, which would save you £590 in bankruptcy fees

luvchocolate

Hi..you've put 3 adults so are your sons in further education or working?

limdylou29

I am a council tenant and have spoke to someone high up and they have assured me I will not loose my home(emailed me also). Gives me an opportunity to pay in front rather than in arrears, when it’s cleared. Yes I could definitely do with spending more on living costs. But sadly I can’t right now. This is shared costs between me and my sons. 

luvchocolate

Do your son's have an income....are they working or in further education?

limdylou29

luvchocolate said:

Do your son's have an income....are they working or in further education?

One is doing an apprenticeship and one is claiming UC he didn’t get an apprenticeship as quick as his twin did.

luvchocolate

Thank you..I'm wondering if they would be expected to contribute in a small way to the household expenses. 

limdylou29

luvchocolate said:

Thank you..I'm wondering if they would be expected to contribute in a small way to the household expenses. 

We are now sharing things 3 ways. The SOA is my share.

mwarby

The key here of course is that the OP's income is entirely benefits, this rules out IPA, so the OR would have little interest in the outgoings. Of course if the OP got a job during the first 12 months, the outgoings would be examined (probably raised, as they are pretty low)

With a DRO the sqme rule doesn't apply, so the fair share of bills matters a little more, you couldn't for instance say all the rent was paid by one person in a couple situation where both worked, just to get below the £50 surplus. In OPs case the debts are slightly too high as it stands. It's possible that if car was sold it could be below, but as interest and charges are being added it wouldn't take much to bring back over limit