Debts spiralling and not sure what the best solution is. Any help massively appreciated

fatbelly

Money Advisor is a trading style of Debt Correct, who are IVA pushers.

They use a similar logo, and give a link to Money Helper, who are the government Money and Pensions Service advisers, in order to sow confusion.

EssexHebridean

Yes - there are a lot of people out there trying to give the impression of being people they're not by "spoofing" the trading styles of the free debt charities - it really needs to be clamped down on. 

11gaz11

fatbelly said:

Money Advisor is a trading style of Debt Correct, who are IVA pushers.

They use a similar logo, and give a link to Money Helper, who are the government Money and Pensions Service advisers, in order to sow confusion.

Yes this makes sense I did feel like they were pushing towards an IVA so I’m glad I came on here for advice rather than rushing in to something I’d probably regret

11gaz11

[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.................... 1[b]

Monthly Income Details[/b]

Monthly income after tax................ 1800

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

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

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

Total monthly income.................... 1800[/b][b]

Monthly Expense Details[/b]

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

Secured/HP loan repayments.............. 300

Rent.................................... 725

Management charge (leasehold property).. 0

Council tax............................. 107

Electricity............................. 50

Gas..................................... 50

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

Water rates............................. 48

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

Mobile phone............................ 10

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

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

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

Groceries etc. ......................... 200

Clothing................................ 30

Petrol/diesel........................... 100

Road tax................................ 21

Car Insurance........................... 45

Car maintenance (including MOT)......... 25

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

Other travel............................ 0

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

Other child related expenses............ 105

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

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

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

Contents insurance...................... 9

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

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

Presents (birthday, christmas etc)...... 40

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

Entertainment........................... 15

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

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

Total monthly expenses.................. 1913[/b]

[b]

Assets[/b]

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

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

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

Car(s).................................. 500

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

Total Assets............................ 500[/b]

[b]

Secured & HP Debts[/b]

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

Mortgage...................... 0........(0)........0<

V12 loan.......................594......(30).......13.9<

Total secured & HP debts...... 7594......-.........-   [/b]

[b]Unsecured Debts[/b]

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

Tesco loan.....................7000.....(270)......2.959[b]
Santander 123 Credit card....................4800......80........0 (couldn't find APR for this)

Creation finance...............919.......108.......24.9

Creation finance...............625.......60........29.9

Ikano..........................729.......35........0

Novuna finance.................913.......48........0

Argos                             995      0       34.9
Paypal credit..................925.......32........21.9[b]

Total unsecured debts..........8911......363.......-  [/b]

[b]

Monthly Budget Summary[/b]

Total monthly income.................... 1,800

Expenses (including HP & secured debts). 1,913

Available for debt repayments........... -113

Monthly UNsecured debt repayments....... 363[b]

Amount short for making debt repayments. -476[/b]

[b]Personal Balance Sheet Summary[/b]

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

Total HP & Secured debt................. -7,594

Total Unsecured debt.................... -8,911[b]

Net Assets.............................. -16,005[/b]

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

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

Jut to clear things up:
I have no savings
I do not pay for a tv licence
I am a baldy (no hairdresser is needed)
I have put gas/electric down as £50 for each as in summer i find it is under £80 for the 2 and winter it is around £120ish so £100 for the 2 is an average per month
Presents is the same as obviously Christmas bumps it up
Also have £995 on my Argos card which in BNPL and doesn't start triggering until July

My Ikano and Novuna are both interest free (sofa & bed) and come out of my bank each month as does my tesco loan and v12 one

Other child related expenses is my child maintenance payment

Tesco loan runs out Jan 2026
Ikano/Nouvna/V12 all end summer 2025

So 2 years from now i will have just shy of £400 freed up in total

RAS

Hi

Can you double-check that the Tesco loan is secured? If so, on what?

Your monthly salary is 375x4.3333 so £125 per month more than you've quoted. Unless you are paid 4 weekly, 13 times a year.

So your essential budget just balances even if the Tesco loan is secured.

11gaz11

RAS said:

Hi

Can you double-check that the Tesco loan is secured? If so, on what?

Your monthly salary is 375x4.3333 so £125 per month more than you've quoted. Unless you are paid 4 weekly, 13 times a year.

So your essential budget just balances even if the Tesco loan is secured.

I get £1800 a month after tax (basic)

You are right my Tesco loan isn't secured i have changed this (apologies)

Brie

You need to add in the Argos card with the APR noted that will be charged when it does start to be paid.  

Is your water really £48 a month??  Our house is 2 adults, garden that gets watered through out the summer, hot tub filled regularly and we pay less.  

You say you don't pay a TV license.  Does that mean you never watch live TV?  Even on your pc??

11gaz11

Brie said:

You need to add in the Argos card with the APR noted that will be charged when it does start to be paid.  

Is your water really £48 a month??  Our house is 2 adults, garden that gets watered through out the summer, hot tub filled regularly and we pay less.  

You say you don't pay a TV license.  Does that mean you never watch live TV?  Even on your pc??

Yes it is £48 a month. Could i change this do you think? When i moved in they quoted me a price and when i said my kids would be stopping every so often they bumped it up to that

I do not watch any live tv no. No iplayer, no itv x etc either. All above board and declared. 

Will add my argos card now

11gaz11

A couple of things i have been thinking today:

I have a £250 0% interest overdraft that i haven't touched with a first direct bank account. Could i use this to pay off something else? 

Should i contact Tesco bank about my loan to see if i could have a payment break of some sort and use that money to pay off elsewhere with the higher APR's instead? (eg paypal credit/Creation finance)

Just thoughts i have had today i haven't acted on these

tigergambit

Hi Gaz,

First thing, PLEASE get some life insurance so that your kids aren't impoverished should something dreadful happen to you. Term life insurance until the youngest is 18 shouldn't cost too much.

Don't use the £250 overdraft - it won't make sufficient difference. TV wise you can watch ITVx, more4 and other catchups, just no live TV or BBC iPlayer. It's actually not that difficult now.

I don't think your budget is practical. You live quite frugally yet only just make ends meet. So you need to be thinking about how you can deal with the debt, particularly once your 0% deals end. I'll leave it to others more experienced to advise you on that. 

Good Luck!

TG