On the path to financial security

DefinitelyNotACat

Hello! I’ve struggled with money management for around 10 years, ever since I left home aged 15. I’m in around £10,000 of debt from credit cards, store catalogues and unpaid bills (not through being unable to afford them, just through becoming very overwhelmed and avoiding the issue).

I’m in a much better place mentally than I ever have been, and plan to start being more sensible with money and clearing all my debts.

I’ll be posting an SOA and spending the next few days combing through my credit files to see what I actually owe. Wish me luck!

Lonelygambler

Welcome and good luck! 

DefinitelyNotACat

[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......... 1

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

Monthly Income Details[/b]

Benefits…………. [b]

Total monthly income.................... 1900[/b][b]

Monthly Expense Details[/b]

Rent.................................... 400

Council tax............................. 40

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

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

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

Mobile phone............................ 12

Internet Services....................... 50

Groceries etc. ......................... 300

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

Petrol/diesel........................... 30

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

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

Entertainment........................... 32

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

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

Total monthly expenses.................. 1004[/b]

[b]

Assets[/b]

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

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

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

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

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

Total Assets............................ 0[/b]

[b]

No Secured nor Hire Purchase Debts[/b]

[b]Unsecured Debts[/b]

Description....................Debt......Monthly...APR[b]

Total unsecured debts..........0.........0.........-  [/b]

[b]

Monthly Budget Summary[/b]

Total monthly income.................... 1,900

Expenses (including HP & secured debts). 1,004

Available for debt repayments........... 896

Monthly UNsecured debt repayments....... 0[b]

Amount left after debt repayments....... 896[/b]

[b]Personal Balance Sheet Summary[/b]

Total assets (things you own)........... 0

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

Total Unsecured debt.................... -0[b]

Net Assets.............................. 0[/b]

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

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

DefinitelyNotACat

I’ve deleted all that aren’t applicable, and will fill in things like haircuts, clothes, presents once I’ve had a think about how much I’ll be spending on these per year.

I’m on a fixed contract with my broadband provider, it’s only just gone up to £50pm and I’ll be shopping around once my contract is up. I could get my food bill lower but I’m happy with how it is for the moment, I find shopping and preparing food a very overwhelming task and it’s taken me many years to perfect my current system of shopping and preparing healthy meals.

My main problem with money management is my mental health. I buy things impulsively and get stressed out if I can’t afford something that I convince myself will make a big difference to my life. I also spend money to cheer myself up, both of which I’m working hard on.

I’m disabled and have a motability vehicle, so the only costs incur on that are petrol. I’m hoping that this diary will motivate me to stay on track, and if I fail then at least I can read back and see the pattern which will hopefully help me to prevent repeating the same mistakes for much longer.

I appreciate any support and advice on my journey from the lovely community at MSE

DefinitelyNotACat

Oh, I’m not sure if I’m able to edit it but all of my income is from benefits. I’ll be posting a more thorough SOA once I’m sorted anyway, so I’ll correct it there!

debtfreewannabe321

Good luck on your journey @DefinitelyNotACat I'm sure other people will be along with more help than me but I notice you didn't put your % or separate debts into the SOA, are you planning on snowballing the debts or going onto a DMP? Have you defaulted on any? 

The first thing I would put into your budget is some spending money so that if you get the urge to spend impulsively you know how much you have to play with. Signing up to the NSD thread might help with this (no spend days) as you get spurred on by others also trying not to overspend. Look forward to seeing how you get on