Newbie needing urgent advice

Jellyshoes133

Hi I am finally no longer ignoring what’s been stopping me from getting a good nights sleep for the last year now an ready to get as much advice an help as possible. For context I’m aware this is completely my own fault for letting it just spiral out of control and doing nothing about it but the thought of it has scared me so much I’ve put it to the back of my mind but recently it’s been really making me feel unwell an I can’t let it carry on. 

I let myself get into about £5000 worth of debt in 2023 which I was advised to get an IVA for which I now wish I never did as £4000 of this was just overdrafts an I now feel really stupid as it’s given me an awful credit score an new landlords won’t accept me as I’ve been looking for cheaper properties as half of my problem now is that my landlord has raised my rent so high I can’t afford to live. Since then between me an my partner we have still stupidly taken out several loans an other types of credit to get by so the situation has got worse a worse. 

My partner doesn’t take on any financial responsibility so he leaves me in charge of making sure all of the bills are paid and to manage all of the money that comes in from both our wage as he suffers with bad mental health issues an anything that triggers stress really sets this off. So at the moment I feel like I’m dealing with all of this alone obviously I run all decisions past him but the ins an outs are all left to me and now I am struggling with this weight on my shoulders.

We owe about £1700 in council tax that had been passed onto equita which have been a nightmare to deal with. They sent us a letter initially letting us know which my partner got to first unfortunately an set him on a bad episode with his MH issues an took it upon himself to call them, I phoned them to apologise on his behalf an asked only deal with me an explained he suffers with mental health issues. I was paying £200 a month to them but the payment had failed for some reason an I didn’t realise they had not attempted to take the payment again. Since then I hadn’t got any communications from them at all no texts emails or letters. The other day out of no where we had a Baylif for equita show up with a police van an a police car, I refused to let them in an said the only option I have is to pay off the debt in the next 4 months. The man was absolutely horrible an I have no idea why they would show up with police and without warning ?! I am sure this is illegal practice?

I have inserted my SOA below and any advice is massively appreciated, in general I’m not sure what’s the best way to approach all of this debt and get back on track. ( my partner is self employed so his earnings vary and are up an down from the figure below but I’ve entered as an average figure). 

P.S please be kind it has taken a lot to be able to speak about this or even acknowledge my situation !!

Thank you x

Household Information

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

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

Number of cars owned..... 1 motability leece

Monthly Income Details

Monthly income after tax................ 1900

Partners monthly income after tax....... 1800

Benefits................................ 270

Other income............................ 0

Total monthly income.................... 3970

Monthly Expense Details

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

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

Rent.................................... 1200

Management charge (leasehold property).. 0

Council tax............................. 185

Electricity............................. 100

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

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

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

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

Mobile phone............................ 30

TV Licence.............................. 12

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

Internet Services....................... 25

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

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

Petrol/diesel........................... 150

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

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

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

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

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

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

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

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

Pet insurance/vet bills................. 15

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

Contents insurance...................... 0

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

Other insurance......................... 20

Presents (birthday, christmas etc)...... 100

Haircuts................................ 30

Entertainment........................... 0

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

Emergency fund.......................... 0

Iva..................................... 100

Total monthly expenses............2267

Assets

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

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

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

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

Other assets............................ 0

Total Assets............................ 0

No Secured nor Hire Purchase Debts

Unsecured Debts

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

Council tax equita.............1714.98...429.......0

Loan...........................4454......200.......0

Pay day loan 1.................781.27....197.8.....0

Council tax ( council..........1373......200.......0

Energy arrears.................1252......200.......0

Pay day loan 2.................615.16....159.7.....0

Total unsecured debts..........10190.41..1386.5....-  

Monthly Budget Summary

Total monthly income.................... 3,970

Expenses (including HP & secured debts). 2,267

Available for debt repayments........... 1,703

Monthly UNsecured debt repayments....... 1,386.5

Amount left after debt repayments....... 316.5

Personal Balance Sheet Summary

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

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

Total Unsecured debt.................... -10,190.41

Net Assets.............................. -10,190.41

Time2Go_25

It would be useful to see the APR on the loans. Also, are you sure this SOA is accurate as you have £316.50 left over each month. Maybe look back over the last 6 months of statements etc. to see where that money is actually going.

Grumpelstiltskin

£100 a month for presents? That must stop now.

Why not stop paying your IVA and let that fail also stop paying all the unsecured debts, just concentrate on the council tax.

Council tax won't go away nothing will happen on the IVA and unsecured debts for a long time.

RAS

You were never a candidate for an IVA anyway. They are designed for people who have assets to protect like a house and a high level of debt. The fees exceed the amount you owed. Which company did you signed up with and what documents do you have regarding the creditors meeting?

The next thing is that money is haemorrhaging some where, so you have to find it. That means going through the last 6 months accounts to get a real handle on the SOA.

Meantime, can you cancel payments towards the loan and the payday loans.  You need to pay that money off the Council Tax. It may also be that you cancel the IVA but we need a bit more info first.

sourcrates

I`m not understanding your post at all, you say your in an IVA, (individual voluntary arrangement) a form of insolvency granted by your local court and administered by an insolvency practitioner, yet you have listed the debts individually, also why was your council tax arrears not included in it?

After all its a qualifying debt and an IVA provides legal protection from enforcement action, which again raises the question of the bailiff attendance, they can`t do that if your in an IVA, your post is very confusing, can you clarify these points?

Also you are prohibited from taking any further credit over £500 whilst an insolvent.