£62,000 in unsecured debt!

mpusssm

Hi all,

I have only just come across this site and I must say that some of the advice seems excellent! I really need help too... I have over £62,000 worth of unsecured debt, a £113,000 morgage and a young family to feed. I am really struggling and its making me so depressed. I really don't know what to do. To date, I haven't missed any minimum payments so my account record is ok but I can't seem to find a way out of this debt.

PLEASE HELP!!!

I thank you in advance for any advice you can give.

Sabs

10past6

Hi mpussm :hello:

Welcome to the forum, try not to worry were all here to help.

Firstly, it would help if you could complete your SOA, (Statement of Affairs) by clicking here, once completed post back and others will be along to help.

Next, contact one of the many debt free charities regarding your debts, seek their advice, then comeback and ask any questions before making any decisions, you will find details of the debt free charities by clicking here.

I do have my own suggestions, but think at this stage you should seek professional advice first, I would advise you NOT to contact a debt fee management company.

Good luck

Dez-Titute

First of all don't panic were here to help.Contact one or all of the following National Debtline - Tel: 0808 808 4000 | The Consumer Credit Counselling Service (CCCS) - Tel: 0800 138 1111 | local Citizens Advice Bureau.
Have you done your Statement of Affairs (income & expenditure) yet, without payments to debts? If you put this up on here then the someone here will be able give further guidance.

jennyred

Hi and welcome to the board!!
first of all, take a deep breathe and get yourself a cup of tea or a glass of wine!! well done for taking the first step.
I know exactly how hard it is to look at everything and see a way out.
first things first you need to do whats called a SOA (statement of affairs).
its where you list all your incomings and outgoings, all your debts, with APRS, minimum payments, credit limits etc. then hopefully someone with ALOT more experience will be along to help - it might be in the morning now though.
if you see the sticky at the top the the debt free wannabe forum there is a link to help you complete your SOA.
good luck

jenny

mpusssm

Thanks for the quick replies.

As requested here is my breakdown of expenses, etc.

[tt]
Statement of Affairs and Personal Balance Sheet



Monthly Income Details

Monthly income after tax................ 2680

Partners monthly income after tax....... 520

Benefits................................ 72

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

Total monthly income.................... 3272



Monthly Expense Details

Mortgage................................ 661

Secured loan repayments................. 0

Rent.................................... 0

Management charge (leasehold flat)...... 0

Council tax............................. 82

Electricity............................. 80

Gas..................................... 10

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

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

Telephone (land line)................... 40

Mobile phone............................ 100

TV Licence.............................. 11

Satellite/Cable TV...................... 97

Internet Services....................... 0

Groceries etc. ......................... 400

Clothing................................ 100

Petrol/diesel........................... 200

Road tax................................ 20

Car Insurance........................... 60

Car maintenance (including MOT)......... 30

Car parking............................. 100

Other travel............................ 416

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

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

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

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

Buildings insurance..................... 30

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

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

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

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

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

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

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

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

Total monthly expenses.................. 2477



Assets

Cash.................................... 1000

House value (Gross)..................... NaN

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

Car(s).................................. 300

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

Total Assets............................ NaN



Secured Debts

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

Mortgage...................... NaN......(661)......6.19

Total secured debts........... NaN.......-.........-



Unsecured Debts

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

LloydsTSB B Loan...............NaN.......420.......12

Northern Rock Loan.............NaN.......120.......6.19

Northern Rock Loan.............NaN.......140.......9

Total unsecured debts..........NaN.......680.......-



Monthly Budget Summary

Total monthly income.................... 3,272

Expenses (including secured debts)....... 2,477

Available for debt repayments........... 795

Monthly UNsecured debt repayments....... 680

Surplus(deficit if negative)............ 115



Personal Balance Sheet Summary

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

Total Secured debt...................... -NaN

Total Unsecured debt.................... -NaN

Personal net worth...................... NaN

As you can see there is really no money left each month to make any in roads with my outstanding debts...

Any ideas?

Thanks. Sabs

Deep_In_Debt

Hi. Welcome to the board. Your mobile phone seems extortionate. Can you reduce this? PAYG? Also, satellite/cable - what package is that for £97? Can reduce this? I pay a third of that for satellite, phone and broadband. Have you phoned your water board and asked about a water meter? I did this a couple of years ago and got a meter fitted for free and my bill has reduced from over £30pm to £12 pm and set to reduce further soon.

What is other travel? Can that be cut back?

I'm no expert on these and I'm sure experts will be along soon but the things I've listed above were things that jumped out at me.

10past6

Deep_In_Debt wrote: »

I've listed above were things that jumped out at me.

And me :eek:

Hopefully, it will become clear when the member posts back

mpusssm

Thanks for the reply Deep.

I currently use Virgin Media and I have the VIP package (V Plus TV, Telephone and Broadband - all channels TV (well nearly)). With regards to the mobile its actually my wife who calls back home abroad to speak with her family. Its not that she calls that often - its just really expensive. That £100 used to be about £200 a month last year so she is making good progress. The travel costs are to get to work in London so can't cut these back at all unfortunately.

I will have to look into the water meter issue...

Sabs

mpusssm

We have even looked at cutting down the food shopping costs (£400 per month) but is difficult as we have a young baby! I have tried to think of everything to do but get more and more depressed. I already work long hours and wife works part time. The only thing i can think of it to get another part time job??

Bayblue

Hello and welcome,

I'd second what DD said and also you haven't included anything for presents, haircuts, entertainment, prescriptions and even more crucially contents insurance. I can understand that you want and need to cut back but it's not realistic to have no budget for these items which will crop up.

It would also be better if you could list the total outstanding of your loans as well as your monthly payments.

I'm sure that there will be lots of wise people along in the morning to add further advice- best wishes.

10past6

mpusssm wrote: »

I currently use Virgin Media and I have the VIP package (V Plus TV, Telephone and Broadband - all channels TV (well nearly))

I have the same as you with Virgin, and I pay £47.00 per month.

mpusssm wrote: »

With regards to the mobile its actually my wife who calls back home abroad to speak with her family. Its not that she calls that often - its just really expensive. That £100 used to be about £200 a month last year so she is making good progress.

Where does her family live, there are some cheap international telephone deals around.

mpusssm wrote: »

I will have to look into the water meter issue.

Since having a water meter fitted, it's cut my bill by half.