SOA advice and help

Redfoo1900

Hi,

I am thinking of applying for a DRO and wanted some advice on my SOA. It will only be me applying and was wondering how it worked. 90% of bills come from my wife's account and I pay one lump sum into her account at the start of every month, will this be an issue when I have to provide bank statements. I have about five bills coming out of my account and that's it.

[font=courier new][b]Statement of Affairs and Personal Balance Sheet[/b][b]

Household Information[/b]

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

Number of children in household......... 2

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

Monthly Income Details[/b]

Monthly income after tax................ 2200

Partners monthly income after tax....... 1000

Benefits................................ 170

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

Total monthly income.................... 3370[/b][b]

Monthly Expense Details[/b]

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

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

Rent.................................... 680

Management charge (leasehold property).. 0

Council tax............................. 140

Electricity............................. 130

Gas..................................... 120

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

Water rates............................. 65

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

Mobile phone............................ 130

TV Licence.............................. 14

Satellite/Cable TV...................... 10

Internet Services....................... 30

Groceries etc. ......................... 450

Clothing................................ 120

Petrol/diesel........................... 140

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

Car Insurance........................... 50

Car maintenance (including MOT)......... 50

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

Other travel............................ 600

Childcare/nursery....................... 60

Other child related expenses............ 150

Medical (prescriptions, dentist etc).... 35

Pet insurance/vet bills................. 50

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

Contents insurance...................... 20

Life assurance ......................... 50

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

Presents (birthday, christmas etc)...... 30

Haircuts................................ 20

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

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

Emergency fund.......................... 50

Professional Fees....................... 30

Pension................................. 50[b]

Total monthly expenses.................. 3304[/b]

[b]

Assets[/b]

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

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

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

Car(s).................................. 1200

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

Total Assets............................ 1200[/b]

[b]

No Secured nor Hire Purchase Debts[/b]

[b]Unsecured Debts[/b]

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

Barclays.......................6000......0.........0

Vanquis........................4000......0.........0[b]

Total unsecured debts..........10000.....0.........-  [/b]

[b]

Monthly Budget Summary[/b]

Total monthly income.................... 3,370

Expenses (including HP & secured debts). 3,304

Available for debt repayments........... 66

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

Amount left after debt repayments....... 66[/b]

[b]Personal Balance Sheet Summary[/b]

Total assets (things you own)........... 1,200

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

Total Unsecured debt.................... -10,000[b]

Net Assets.............................. -8,800[/b]

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

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

pogg000

Why a DRO?

Redfoo1900

I thought it would be the best way to start afresh and clear my debts

stu12345_2

some expenses are way too high to be allowed in a dro application and need to be cut back which would allow you to manage your debts in a debt management plan instead 

Redfoo1900

stu12345_2 said:

some expenses are way too high to be allowed in a dro application and need to be cut back which would allow you to manage your debts in a debt management plan instead 

Could you advise which expenses are too high please?

stu12345_2

elec, gas , water, mobiles, clothing, pension , other travel, can be reduced or even stopped 

Redfoo1900

Other travel is train fares to work for me and my wife and for kids to school, that is what the water costs us per month. Clothing includes kids school uniforms etc, mobiles are on contract for the 4 of us so can’t stop them

stu12345_2

can kids walk to school, get free school bus, can you drive to work, how does your wife get to work, can she use bus , why is elec and gas so high
when do mobile contracts end
you can stop pension when in debt
what is the £140 petrol used for

Redfoo1900

Mobile contracts end in December 2025, there is no free school bus and it is an 50 min walk to school. Petrol costs are driving to the train station 5 days a week. Wife gets train and there isn’t a bus early enough from where we live. I can’t drive to work as it would take me 2 hours each way. That is just the cost of the gas and electricity over the year which I thought wasn’t to bad as I know people who are paying over £300 for gas/elec

stu12345_2

tbh the £140 fuel plus the £600 other travel are too much for your salaries to handle.
what about getting jobs closer to home, walking distance or cycle.
how long would it take to change jobs or move closer to work or get promotion 
my elec and gas are £90 s month for 2 people 

imagine you are debt free tomorrow, you would still only still have £66 free income left at end of month, something has to give, even if you were debt free.

TheAble

I agree your gas and elec isn't necessarily excessive for a family of four. Your commuting costs are definitely very high though and I'd question your choice of place to live since you don't appear to be close to either school or work.