Our Soa - help please we’re struggling

Dom135246

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

Household Information[/b]

Number of adults in household........... 2

Number of children in household......... 0

Number of cars owned.................... 0[b]

Monthly Income Details[/b]

Monthly income after tax................ 100

Partners monthly income after tax....... 1027

Benefits................................ 300

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

Total monthly income.................... 1427[/b][b]

Monthly Expense Details[/b]

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

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

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

Management charge (leasehold property).. 73

Council tax............................. 145

Electricity............................. 90

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

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

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

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

Mobile phone............................ 22

TV Licence.............................. 14

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

Internet Services....................... 33

Groceries etc. ......................... 287

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

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

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

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

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

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

Other travel............................ 75

Childcare/nursery....................... 0

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

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

Pet insurance/vet bills................. 135

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

Contents insurance...................... 4

Life assurance ......................... 6

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

Presents (birthday, christmas etc)...... 150

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

Entertainment........................... 20

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

Emergency fund.......................... 100[b]

Total monthly expenses.................. 1184[/b]

[b]

Assets[/b]

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

House value (Gross)..................... 110000

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

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

Other assets............................ 1500[b]

Total Assets............................ 111500[/b]

[b]

No Secured nor Hire Purchase Debts[/b]

[b]Unsecured Debts[/b]

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

Credit Card....................1100......5.........0

Credit Card....................140.......5.........0

Credit Card....................700.......5.........0

Family Loan....................5000......0.........0

Loan...........................1500......92........49

Ovwrdraft......................700.......15.5......36

Laon...........................950.......111.......19

Loan...........................3000......192.......19

Credit Card....................950.......10........28

Credit Card....................1200......75........49

Credit Card....................400.......25........28

Credit Card....................15000.....5.........0

Credit Card....................3500......5.........0[b]

Total unsecured debts..........34140.....545.5.....-  [/b]

[b]

Monthly Budget Summary[/b]

Total monthly income.................... 1,427

Expenses (including HP & secured debts). 1,184

Available for debt repayments........... 243

Monthly UNsecured debt repayments....... 545.5[b]

Amount short for making debt repayments. -302.5[/b]

[b]Personal Balance Sheet Summary[/b]

Total assets (things you own)........... 111,500

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

Total Unsecured debt.................... -34,140[b]

Net Assets.............................. 77,360[/b]

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

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


The o% debts are wifes on a management plan from 2015. The others are mine and are recent but my work which we’d banked on for paying the cards and loans has temporarily dried up during January because of Covid rules closing stadiums. Think we’ll be ok soon but a bit behind. 

Just hoping someone would look at the SOA and see if there’s anything we can do that we’re not seeing.

We don’t have a mortgage, we own the house, water is included in the Council Tax

I haven’t maxed the cards so was thinking of either paying one credit card off in full with Februarys income therefore being interest free for 56 days and then spending it on the same card on the budgetted items and having like a float but be behind a month and do this for a few months or just pay bills and groceries next month with the cards and use the spare cash for the loans and cards payments but monthly payments are getting too high rapidly. Thinking thats a bad idea.

Thanks
DOM

TheAble

I think the most important thing is you really need to get some income. Could you find some other job even if only part time until your main job starts to become viable again?

On the expenses front I'd argue that £150/month is a bit on the high side given your current circumstances.

powerspowers

Eek that’s a lot of cards. Is there any scope to move money from the high interest ones to 0%?

Focus on the ones with higher interest first. Can you reduce the debt as that would free up money for other repayments?

it’s good you’ve got an emergency fund but you are paying a lot more interest than you are receiving. The only thing that struck me in the soa that you can reduce is present budget. How does that work in reality- is it in a saving pot or pay as things come up or is all on the cc’s? Just trying to work out what has led to such large debt and how you might get out of it…

Another thing to look at is your local councils household support fund- you may meet the criteria due to losing work due to covid but every area is different 

comeandgo

Is this SOA anywhere near correct?  If you are saving £100 a month for emergency fund where is it?  I take it this is something you would like to do but have not done yet?  Why are the vet bills insurance so high?  Is this the yearly amount?  You are both on very low wages.  Could you both do extra work?  The bars are opening up again, could anyone do a few hours a week?  

Dom135246

`Thanks for replying.

I only work part time on zero hours, I’m semi retired. The £100 income is taking what I can. This should increase by £400 a month soon. It’s bar work and all the venues have been closed.

The £100 emergency fund I thought said was for house repairs when I filled it in, and the factor fees are taking a good share of that for the next few months.

The vet fees are monthly, I have had to pay £1000 in fees this year already. The insurance is very high or only covers a small amount so didn’t take it out.

Unfortunately we don’t meet any criteria for help.

The only areas that the SOA is wrong, is that I added £10 for clothing because it suggested adding something.

It went on house repairs and unexpected things happening at the wrong time.

Thanks 

Dom135246

Everything spare that we earn goes to the cards and then I took a loan to help pay for these. I started adding bills to the cards. We hardly eat … stick to soup and beans on toast mainly. Don’t go out, smoke or drink. It’s quite tough and has been for years.

mr_stripey

well done for posting - and sticking around
Not easy to lay it all out there - I know from personal experience

Is your joint income significantly higher in "normal" times? It is a large amount of debt to carry - has that been building up for a long time?

I'm not having a go by the way - I have accumulated more than my fair share over the years and went into an seemingly never ending cycle of borrowing, paying off cards and then winding up back at square one with even more debt. As a household we simply didn't budget properly.

Point being, you have to (as a couple) acknowledge and understand why and how you ended up in this situation? Is it purely covid related impact on work, or is it a more fundamental problem?

SaverRate

Your Vet/Pet Insurance seems high - what does this cover?
Your presents per month seems high - can this be reduced? 
Internet services seems high if its just internet - whos the provider & remaining contract? can you switch or ring up and haggle?
Mobile Phone - is this both of you and if so is it sim only (if so can you switch or haggle?) or is it with handsets too?

Dom135246

Thanks it is like that, a never ending cycle. We were in a good position and Covid did cause a lot of the problems, as did ill health. 

I’m not sure about the budgeting, I think we live fairly frugally and try to stick to the budget but some things like Christmas and birthdays and other commitments always seem to cost much more than what we have allowed, and sometimes if something is needed and we just don't have the funds I don’t know what else to do to solve it. 

I’m confident that if I hadn’t lost a whole months income we would manage but I’m noticing the interest went up by £30 last month on just one card which I wasn’t expecting. I thought the minimum payments would stay at around £15 - £30 but suddenly to go up to £61. 

Sncjw

Could you get a job out of the bar trade? 

Ms_Chocaholic

Dom135246 said:

Everything spare that we earn goes to the cards and then I took a loan to help pay for these. I started adding bills to the cards. We hardly eat … stick to soup and beans on toast mainly. Don’t go out, smoke or drink. It’s quite tough and has been for years.

If you stick to soup and beans on toast I'm not sure why it costs £287 per month for 2 of you (averages at £66 per week).

Also are you in a mobile phone contract or can you get a SIM only deal, £22 is that for both of you, we pay £14 for 2 SIM only deals and sometimes only £12 depends how much data I need.