Looking for advice "for a friend"

Morfx

Evening all...

So a work colleague has roughly 50k of unsecured debt..

Owns absolutely nothing, he works takes home around £2900 monthly..

I don't know his expenditure..

Married, two kids, wife on disability..

Doesn't want to tell the wife or kids..

I suggested going BR having previously been there myself in 2021, but his only concern is he has a family mobile phone plan costing £180 monthly which he's tied into for the next 3 years...

He's considering an IVA because of the phone plan..

I've said that's crazy... 

Housing association house, Motorbility car..

Could I please get your thoughts so i can show him, I've already pushed him towards step change..

Thoughts please...

Emmia

He should come on here himself.

pogg000

no need to feel embarased

Grumpy_chap

Morfx said:

Evening all...

So a work colleague has roughly 50k of unsecured debt..

Owns absolutely nothing, he works takes home around £2900 monthly..

I don't know his expenditure..

Married, two kids, wife on disability..

Doesn't want to tell the wife or kids..

I suggested going BR having previously been there myself in 2021, but his only concern is he has a family mobile phone plan costing £180 monthly which he's tied into for the next 3 years...

He's considering an IVA because of the phone plan..

I've said that's crazy... 

Housing association house, Motorbility car..

Could I please get your thoughts so i can show him, I've already pushed him towards step change..

Thoughts please...

He should visit the DebtFreeWanabee area of the forum and fully and accurately prepare his SoA (Statement of Affairs).  He will then be able to set out the full situation and obtain advice on managing that.

Stepchange would be a good source of advice, as you have mentioned.  The advice they (or any of the other charities) can provide is only as good as the disclosure of information shared with them.  Again, the SoA will be a good way forward to prepare the information to support the charity to provide good comment.

I truly can't understand what type of phone plan manages to come in at £180 per month.

I think he is going to have to come clean and seek the support from the family to make the changes that are required.  The longer this is delayed, the worse and the harder it will be.

[Deleted User]

Grumpy_chap said:

I truly can't understand what type of phone plan manages to come in at £180 per month.

That's easy, four iphones at £45pm.

As an example, I've seen this happen several times.
A person has no money to buy Christmas presents but they can sign up for a family phone contract.
Just before Christmas £4,000 worth of new phones are delivered and Christmas is seen as a 'success'.
First bill doesn't arrive until January and the person has got through the festive period.
I suspect similar things happen with Klarna, buy now pay later and so on. 
Of course it's just building future problems but it's a trap that so many seem to fall into...

MEM62

Morfx said:

he has a family mobile phone plan costing £180 monthly which he's tied into for the next 3 years...

If this is typical of his spending behavior then we have a picture of how he has arrived at his current situation. 

Morfx said:

I suggested going BR having previously been there myself in 2021, but his only concern is he has a family mobile phone plan costing £180 monthly which he's tied into for the next 3 years...

He's considering an IVA because of the phone plan..

Madness and frankly, if that is how his financial thinking functions he is just going to get into more mess post bankruptcy.  sadly, until your friend has his lightbulb moment no financial solution is likely to help him.