Debt Help and Advice Needed

Andrew_P

Hi Everyone,

I’m just looking for some help with hopefully being able to get my debts down as fast as possible and ultimately become debt free (excluding mortgage). My ex wife and I divorced in August last year, and with the assistance of my parents paid her a lump sum as the mortgage company wouldn’t remove her and let me remortgage. Consent order has been granted however I need to remove her as soon as possible, however my lender Virgin will only let me around 90k. 

The only joint account we had was what the mortgage and bills come out of. We had sole accounts such as credit cards and decided we would keep our own debts as they were in our sole names. So my statement of affairs is below:

[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......... 0

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

Monthly Income Details[/b]

Monthly income after tax................ 1500

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

Benefits................................ 0

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

Total monthly income.................... 1500[/b][b]

Monthly Expense Details[/b]

Mortgage................................ 300

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

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

Management charge (leasehold property).. 100

Council tax............................. 112

Electricity............................. 80

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

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

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

Telephone (land line)................... 10

Mobile phone............................ 6

TV Licence.............................. 0

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

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

Groceries etc. ......................... 160

Clothing................................ 0

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

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

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

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

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

Other travel............................ 15

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

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

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

Pet insurance/vet bills................. 0

Buildings insurance..................... 0

Contents insurance...................... 5

Life assurance ......................... 0

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

Presents (birthday, christmas etc)...... 0

Haircuts................................ 10

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

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

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

Total monthly expenses.................. 878[/b]

[b]

Assets[/b]

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

House value (Gross)..................... 245000

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

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

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

Total Assets............................ 245000[/b]

[b]

Secured & HP Debts[/b]

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

Mortgage...................... 126000...(300)......0[b]

Total secured & HP debts...... 126000....-.........-   [/b]

[b]Unsecured Debts[/b]

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

Barclaycard....................5000......120.......0

JN Bank Loan...................11500.....300.......6.9

Bank of Ireland Loan...........5000......110.......5.9[b]

Total unsecured debts..........21500.....530.......-  [/b]

[b]

Monthly Budget Summary[/b]

Total monthly income.................... 1,500

Expenses (including HP & secured debts). 878

Available for debt repayments........... 622

Monthly UNsecured debt repayments....... 530[b]

Amount left after debt repayments....... 92[/b]

[b]Personal Balance Sheet Summary[/b]

Total assets (things you own)........... 245,000

Total HP & Secured debt................. -126,000

Total Unsecured debt.................... -21,500[b]

Net Assets.............................. 97,500[/b]

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

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

Any advice would be greatly appreciated

Thank you for your time

Many thanks

Andrew

enthusiasticsaver

There is no quick fix to repaying debt and you are on a fairly low salary so this will take a while.  Can you get a second job as increasing your income would  seem to be the obvious?  You also need some emergency savings so you are not tempted to stick anything else on credit if you have an unavoidable bill.  You could probably get groceries lower but you have not budgeted for presents so I would be tempted to first  make sure that soa really is correct and if so pay any spare income to the Barclaycard as I guess the 0% deal will not last forever.  On the plus side your outgoings are relatively low. 

Paying off the debt will make you more attractive to lenders for remortgaging but upping your income will also help.  

Racky_Roo

Could you rent a room out in your house? or driveway?