New SOA

Onebrokelady

Following my last post on dealing with PRA I was advised to post an updated SOA so here it is 

Mortgage = £193.86

Rent = £251.35

Council Tax = £145.00 ( single occupancy applied)

Water =£49.50  ( will go down now as I am now on my own on a water meter

EDF = £165.00

Virgin = £30 ( recent new deal from when my DD was living here I'm now in a contract ) 

Mobile =£7.03

House Ins = £5.29

Pet ins = £22.00 ( elderly dog with multiple problems, very hard to insure ) 
TV Licence. = £13.37

Netflix = £6.99

NHSPPC = £10.81 ( will be cancelled in June as I turn 60 and hope prescriptions will still be free for over 60s)
Food= £100

Pets= £40.00 ( this is for food for the dog and one cat I have another cat but he is my DDs so she pays for him. I also have a chicken so food and bedding for her

Total = £991.20


My income after tax varies but this month was £994.00 plus I rent my garage out to my nephew for £32 a month 

Total = £1,026

Amount left  = £34.80 to pay off debt

Debt = £11,865.77
All Debt is with PRA Group and is spread over four credit cards and an overdraft 

kimwp

Hiya! It's easiest for people to advise if you put your SOA in the format in the lemonfool link in my signature - format for MSE.

enthusiasticsaver

You obviously don't have any spare money really to go towards the debts as you have no allowances there for presents, household costs, emergency savings, haircuts, entertainment etc etc. I think your best bet is to send that soa to PRA asking them to write the debt off due to ill health and inability to work more hours. You do not need to disclose the rent from your nephew.  

What is the situation with the mortgage/rent on your house?  I assume it is shared ownership? When is the mortgage due to be repaid? 

Onebrokelady

enthusiasticsaver said:

You obviously don't have any spare money really to go towards the debts as you have no allowances there for presents, household costs, emergency savings, haircuts, entertainment etc etc. I think your best bet is to send that soa to PRA asking them to write the debt off due to ill health and inability to work more hours. You do not need to disclose the rent from your nephew.  

What is the situation with the mortgage/rent on your house?  I assume it is shared ownership? When is the mortgage due to be repaid? 

The mortgage has £8,000 left to pay and I'm using part of my lump sum to pay it off in roughly 6 months time when I take partial retirement. Yes the house is shared ownership .The rent is ongoing and is increased every year in line with the RPI which is currently 18% . I am also going to be selling my house at some point because it won't be suitable for me in a few years as I'm likely to have mobility problems. My plan is to buy a ground floor flat which if I sell my house for the right price I should be able to buy outright. The house is currently worth £280,000 and I own half so would have roughly £140,000  

Edited to add. Once I pay off my mortgage that would of course free up £190 a month so I could use some of that for debt payments.

How do I even ask them to write my debts off 🤷‍♀️

sourcrates

Onebrokelady said:

How do I even ask them to write my debts off 🤷‍♀️

This is an example of a letter asking to write off unaffordable debt -

Example letter

Sam Hoolin

8 Park Avenue
Arlton
AL1 4CA

sam123@mail.com

01632 960001

11 January 2023

Liable Loans plc

123 Green Lane
Redshire
RE1 1ER

Your reference: LL/ANO/Reminder1

To whom it may concern,

Account name: Sam K Hoolin

Account number: 12345678

I am sorry that I am unable to keep up my monthly payments to your company. This is because:

I am on long term sick and unable to work. I have claimed benefits and am waiting to hear the outcome of my claim. My situation is unlikely to improve.

I enclose a copy of my financial statement. This shows my income and expenses. You will see from this information that I am unable to make any offer of payment.

Unfortunately, my circumstances are unlikely to improve in the foreseeable future and I have no assets to sell to help clear my debt. I am therefore asking you to consider writing off my debt as I can see no way of ever repaying it.

If you are unable to agree to this, please explain your reasons.

Thank you for your help and I look forward to hearing from you.

Yours faithfully,

Sam Hoolin

Obviously edit the letter to your specific circumstances, if you have medical evidence, enclose copies, likewise a Dr`s letter describing your ailments can also help.

Enclose a budget sheet showing no surplus disposable income, you must go outright for write off`s, don`t say you can manage this/that or the other, stay focused, and as stated in your other post, do not mention the house or pension, that money is needed elsewhere.

Onebrokelady

sourcrates said:

Onebrokelady said:

How do I even ask them to write my debts off 🤷‍♀️

This is an example of a letter asking to write off unaffordable debt -

Example letter

Sam Hoolin

8 Park Avenue
Arlton
AL1 4CA

sam123@mail.com

01632 960001

11 January 2023

Liable Loans plc

123 Green Lane
Redshire
RE1 1ER

Your reference: LL/ANO/Reminder1

To whom it may concern,

Account name: Sam K Hoolin

Account number: 12345678

I am sorry that I am unable to keep up my monthly payments to your company. This is because:

I am on long term sick and unable to work. I have claimed benefits and am waiting to hear the outcome of my claim. My situation is unlikely to improve.

I enclose a copy of my financial statement. This shows my income and expenses. You will see from this information that I am unable to make any offer of payment.

Unfortunately, my circumstances are unlikely to improve in the foreseeable future and I have no assets to sell to help clear my debt. I am therefore asking you to consider writing off my debt as I can see no way of ever repaying it.

If you are unable to agree to this, please explain your reasons.

Thank you for your help and I look forward to hearing from you.

Yours faithfully,

Sam Hoolin

Obviously edit the letter to your specific circumstances, if you have medical evidence, enclose copies, likewise a Dr`s letter describing your ailments can also help.

Enclose a budget sheet showing no surplus disposable income, you must go outright for write off`s, don`t say you can manage this/that or the other, stay focused, and as stated in your other post, do not mention the house or pension, that money is needed elsewhere.

Thanks Sourcrates I will give it a go and see what happens .

foxgloves

@Onebrokelady -It's got to be worth a go. They may well refuse, but you won't know until you try. Fingers firmly crossed for you here.
F

enthusiasticsaver

I am glad to see @sourcrates has put up a template letter.  You need to emphasize your worsening health, reduction in hours and chance that your health condition is not likely to improve.  Enclose a copy of the soa showing little to no disposable income and make sure you allow money in it for personal expenses like clothing, emergency savings, travel costs and presents etc. Your budget is tight so you are not lying. 

Onebrokelady

enthusiasticsaver said:

I am glad to see @sourcrates has put up a template letter.  You need to emphasize your worsening health, reduction in hours and chance that your health condition is not likely to improve.  Enclose a copy of the soa showing little to no disposable income and make sure you allow money in it for personal expenses like clothing, emergency savings, travel costs and presents etc. Your budget is tight so you are not lying. 

Thanks I will give it a go 😊

Onebrokelady

foxgloves said:

@Onebrokelady -It's got to be worth a go. They may well refuse, but you won't know until you try. Fingers firmly crossed for you here.
F

Definitely worth asking. I don't think for one minute they will day yes but you never know unless you ask 😊

flipflopflo

There was a poster on here recently who successfully got write offs due to ill health I’m sure.