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  • FIRST POST
    • nobbyclarke123
    • By nobbyclarke123 12th Jul 18, 11:40 AM
    • 14Posts
    • 3Thanks
    nobbyclarke123
    Stupid Me
    • #1
    • 12th Jul 18, 11:40 AM
    Stupid Me 12th Jul 18 at 11:40 AM
    Hello guys and gals,

    hope you can help me out - in my younger days i was stupid and racked up quite alot of debt on payday loans. I had a lightbulb moment in 2014 - and spent the next 3 years paying of every penny of the 7000 debt I had.
    Since clearing the debt I thought i would be able to manage a credit card for any unexpected expenses that cropped up.
    24 months later here I am

    please see my SOA and advise what i can do to fix things ?

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

    Household Information

    Number of adults in household........... 2
    Number of children in household......... 0
    Number of cars owned.................... 1

    Monthly Income Details

    Monthly income after tax................ 2400
    Partners monthly income after tax....... 0
    Benefits................................ 0
    Other income............................ 0
    Total monthly income.................... 2400


    Monthly Expense Details

    Mortgage................................ 0
    Secured/HP loan repayments.............. 0
    Rent.................................... 695
    Management charge (leasehold property).. 0
    Council tax............................. 133
    Electricity............................. 53
    Gas..................................... 0
    Oil..................................... 0
    Water rates............................. 35
    Telephone (land line)................... 30
    Mobile phone............................ 40
    TV Licence.............................. 29
    Satellite/Cable TV...................... 0
    Internet Services....................... 0
    Groceries etc. ......................... 400
    Clothing................................ 0
    Petrol/diesel........................... 250
    Road tax................................ 30
    Car Insurance........................... 70
    Car maintenance (including MOT)......... 15
    Car parking............................. 0
    Other travel............................ 0
    Childcare/nursery....................... 0
    Other child related expenses............ 0
    Medical (prescriptions, dentist etc).... 0
    Pet insurance/vet bills................. 20
    Buildings insurance..................... 0
    Contents insurance...................... 0
    Life assurance ......................... 0
    Other insurance......................... 0
    Presents (birthday, christmas etc)...... 20
    Haircuts................................ 15
    Entertainment........................... 80
    Holiday................................. 100
    Emergency fund.......................... 0
    Total monthly expenses.................. 2015



    Assets

    Cash.................................... 0
    House value (Gross)..................... 0
    Shares and bonds........................ 0
    Car(s).................................. 1000
    Other assets............................ 0
    Total Assets............................ 1000


    No Secured nor Hire Purchase Debts


    Unsecured Debts
    Description....................Debt......Monthly.. .APR
    Barclaycard....................0.........0........ .0
    Aqua...........................741.12....49.93.... .51.94
    Capital One....................489.74....40........30.34
    very...........................272.73....0........ .47.9
    Paypal.........................437.48....40....... .17.9
    Ratesetter.....................1906.02...102...... .21.7
    Vanquis........................1026.21...65....... .34.9
    Total unsecured debts..........4873.3....296.93....-



    Monthly Budget Summary

    Total monthly income.................... 2,400
    Expenses (including HP & secured debts). 2,015
    Available for debt repayments........... 385
    Monthly UNsecured debt repayments....... 296.93
    Amount left after debt repayments....... 88.07


    Personal Balance Sheet Summary
    Total assets (things you own)........... 1,000
    Total HP & Secured debt................. -0
    Total Unsecured debt.................... -4,873.3
    Net Assets.............................. -3,873.3
Page 1
    • wjr4
    • By wjr4 12th Jul 18, 11:49 AM
    • 420 Posts
    • 268 Thanks
    wjr4
    • #2
    • 12th Jul 18, 11:49 AM
    • #2
    • 12th Jul 18, 11:49 AM
    Hello guys and gals,

    hope you can help me out - in my younger days i was stupid and racked up quite alot of debt on payday loans. I had a lightbulb moment in 2014 - and spent the next 3 years paying of every penny of the 7000 debt I had.
    Since clearing the debt I thought i would be able to manage a credit card for any unexpected expenses that cropped up.
    24 months later here I am

    please see my SOA and advise what i can do to fix things ?

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

    Household Information

    Number of adults in household........... 2
    Number of children in household......... 0
    Number of cars owned.................... 1

    Monthly Income Details

    Monthly income after tax................ 2400
    Partners monthly income after tax....... 0 why is there no income here?
    Benefits................................ 0
    Other income............................ 0
    Total monthly income.................... 2400


    Monthly Expense Details

    Mortgage................................ 0
    Secured/HP loan repayments.............. 0
    Rent.................................... 695
    Management charge (leasehold property).. 0
    Council tax............................. 133
    Electricity............................. 53
    Gas..................................... 0
    Oil..................................... 0
    Water rates............................. 35
    Telephone (land line)................... 30
    Mobile phone............................ 40 Is this just for you or both?
    TV Licence.............................. 29 Why is this not 12?
    Satellite/Cable TV...................... 0
    Internet Services....................... 0
    Groceries etc. ......................... 400 This is a lot for 2 people. Do you shop in Aldi?
    Clothing................................ 0
    Petrol/diesel........................... 250 Do you travel far to work? Is this for both? Can you get a car that is more fuel-efficient?
    Road tax................................ 30 Is this a month?
    Car Insurance........................... 70
    Car maintenance (including MOT)......... 15
    Car parking............................. 0
    Other travel............................ 0
    Childcare/nursery....................... 0
    Other child related expenses............ 0
    Medical (prescriptions, dentist etc).... 0
    Pet insurance/vet bills................. 20
    Buildings insurance..................... 0
    Contents insurance...................... 0
    Life assurance ......................... 0
    Other insurance......................... 0
    Presents (birthday, christmas etc)...... 20
    Haircuts................................ 15
    Entertainment........................... 80
    Holiday................................. 100 You save this but list no savings below?
    Emergency fund.......................... 0
    Total monthly expenses.................. 2015



    Assets

    Cash.................................... 0
    House value (Gross)..................... 0
    Shares and bonds........................ 0
    Car(s).................................. 1000
    Other assets............................ 0
    Total Assets............................ 1000


    No Secured nor Hire Purchase Debts


    Unsecured Debts
    Description....................Debt......Monthly.. .APR
    Barclaycard....................0.........0........ .0
    Aqua...........................741.12....49.93.... .51.94 I'd concentrate on getting rid of this ASAP
    Capital One....................489.74....40........30.34 Is this a minimum paument?
    very...........................272.73....0........ .47.9 I'd also concentrate on this. Why is there no minimum payment?
    Paypal.........................437.48....40....... .17.9 Is this a minimum payment?
    Ratesetter.....................1906.02...102...... .21.7 Is this a minimum payment?
    Vanquis........................1026.21...65....... .34.9 Is this a minimum payment?
    Total unsecured debts..........4873.3....296.93....-



    Monthly Budget Summary

    Total monthly income.................... 2,400
    Expenses (including HP & secured debts). 2,015
    Available for debt repayments........... 385
    Monthly UNsecured debt repayments....... 296.93
    Amount left after debt repayments....... 88.07


    Personal Balance Sheet Summary
    Total assets (things you own)........... 1,000
    Total HP & Secured debt................. -0
    Total Unsecured debt.................... -4,873.3
    Net Assets.............................. -3,873.3
    Originally posted by nobbyclarke123
    I've written a few notes above - good luck with your debt-free journey!
    • tallyhoh
    • By tallyhoh 12th Jul 18, 12:05 PM
    • 2,158 Posts
    • 2,227 Thanks
    tallyhoh
    • #3
    • 12th Jul 18, 12:05 PM
    • #3
    • 12th Jul 18, 12:05 PM
    Your grocery bill is very high for 2 people Go to the old style saving money board for ideas on cutting this down.

    Is the other person able to work?

    You have no contents insurance listed?

    The TV license is usually 12.37, are you catching up?
    Tallyhoh!

    Stopped Smoking October 2000. Saved 21,840 so far!
    • nobbyclarke123
    • By nobbyclarke123 12th Jul 18, 12:08 PM
    • 14 Posts
    • 3 Thanks
    nobbyclarke123
    • #4
    • 12th Jul 18, 12:08 PM
    • #4
    • 12th Jul 18, 12:08 PM
    Partners monthly income after tax....... 0 why is there no income here?
    My partner earns 1000 pm/ pays 500 towards living costs this SOA is based purely on my salary as the debts are purely all mine.

    Mobile phone............................ 40 Is this just for you or both?
    This is just myself - 4 months into a 24 month contract

    TV Licence.............................. 29 Why is this not 12?
    this was due to moving house

    Groceries etc. ......................... 400 This is a lot for 2 people. Do you shop in Aldi?
    I am aware that this is high - we are shopping in aldi and lidl, but find ourselves eating takeouts regularly due to unsociable finish times

    Petrol/diesel........................... 250 Do you travel far to work? Is this for both? Can you get a car that is more fuel-efficient?
    I do travel 20 miles per day each way for work - i could get a more fuel efficient car but lack the cash to buy one

    Road tax................................ 30 Is this a month?
    yes this is per month -it could be reduced if i get a newer more fuel effcient car but as above no funds to purchase this

    Holiday................................. 100 You save this but list no savings below?
    I try to save this - but when unexpected expense crop up this is the first thing to get depleted. and after a run of bad luck the last three months the savings i had are all gone along with my dreams of a weekend in wales !
    • wjr4
    • By wjr4 12th Jul 18, 12:15 PM
    • 420 Posts
    • 268 Thanks
    wjr4
    • #5
    • 12th Jul 18, 12:15 PM
    • #5
    • 12th Jul 18, 12:15 PM
    Have you tried batch cooking? I usually batch cook on a Sunday if I'm free, which isn't very often, but it then makes meals for when we finish work late.
    What about meal planning? I got a taco kit from aldi the other week for about 1.49 and then quorn mince (veggie) and vegetables. It took me about 10 minutes to make and it was lovely! Meals don't need to take long to prepare
    I'd definitely look at getting a cheaper fuel/tax car when you can afford to.
    What are the minimum payments on all cards or are they the minimums?
    • wjr4
    • By wjr4 12th Jul 18, 12:17 PM
    • 420 Posts
    • 268 Thanks
    wjr4
    • #6
    • 12th Jul 18, 12:17 PM
    • #6
    • 12th Jul 18, 12:17 PM
    Petrol/diesel........................... 250 Do you travel far to work? Is this for both? Can you get a car that is more fuel-efficient?
    I do travel 20 miles per day each way for work - i could get a more fuel efficient car but lack the cash to buy one
    Originally posted by nobbyclarke123
    Also, I drive about 50 miles a day for work, 5 days a week and my petrol is absolute maximum of 130 a month. Definitely worth having a cheaper car when you can afford to!
    • CakeCrusader
    • By CakeCrusader 12th Jul 18, 12:20 PM
    • 548 Posts
    • 271 Thanks
    CakeCrusader
    • #7
    • 12th Jul 18, 12:20 PM
    • #7
    • 12th Jul 18, 12:20 PM
    Have you taken a look to see if you can do a balance transfer on your high interest cards?



    400 a month on food is a lot but it's easily done. If you have spare time, it's better to batch cook and freeze the extras rather then spend money on take outs. Even if you cook a couple of extra meals and freeze them, that will help. There's 2 of us, I cook a whole chicken (it works out cheaper than buying portions), then I'll use it all over 2/3 days.



    I'd use the 100 a month that you're trying to save for holidays on clearing your highest interest cards if you can (I know it's easier said then done).



    If your partner's paying 500 towards living costs, have you added this as additional income?
    • foxgloves
    • By foxgloves 12th Jul 18, 2:02 PM
    • 4,283 Posts
    • 22,566 Thanks
    foxgloves
    • #8
    • 12th Jul 18, 2:02 PM
    • #8
    • 12th Jul 18, 2:02 PM
    Hi,
    This should actually be quite 'doable' . If you are serious about getting rid of the debt & starting again with a clean slate, then you probably need to accept that you don't have 100 a month spare to save for a holiday. You can look forward to a fab holiday once all your money is your own. So that will free up 1200 over the next year for you to pay straight off the debts.
    Next target - grocery spending. 400 is a huge amount for 2 people. We budget 50 a week to feed me, my big hungry partner, greedy cat & this also includes household/cleaning stuff plus basic toiletries. Some weeks we are a little over, others we are underspent. So if you can reduce 400 a month to 220, that's another 2160 saving over the year - that's 3360 freed up to pay towards your debts & that's without looking at economies in other areas.
    I note your comments about buying takeaways because of unsocial hours. Pre-LBM (we owed 35k at its worst, excluding mortgage), we did a lot of that for the same reason you give. It"s not sustainable when you need to pay debts. The key here is meal planning. If you know you won't be in until late, get something put in a slow cooker 1st thing before work, or take something out of the freezer the night before so you only need to heat it up. If you are tempted by take-away type foods, then include 'fake-away' type meals on your meal plans. Home made pizzas can be batch made & frozen so you only need to chuck one in the oven, Chinese style stir-fries are super speedy if you plan to prep the veg when you have 10 mins, things like kaati kebabs are quick tasty & filling & can often assuage the lure of a takeaway curry. But plan. Prioritise meals which use up ingredients you already have in stock, then write a shopping list based on that meal plan, even down to how many packed lunches & breakfasts you'll need. It is definitely doable. Get on it now before it escalates......oh, & get a budget in place so it doesn't happen again. Good luck!
    F
    Money can't jump out of your purse on its own so ask 'Can I borrow one, make one, grow one, bake one, re-purpose or recycle, acquire it for free?' Yes? Then put that purse away & keep your money because little savings grow!
    Loan pay-down fund instalment 2 = 470-01
    Payment received from surveys: 2015 = 320 2016 = 210 2017 = 304 2018 = 338
    • AstroTurtle
    • By AstroTurtle 13th Jul 18, 11:12 AM
    • 216 Posts
    • 638 Thanks
    AstroTurtle
    • #9
    • 13th Jul 18, 11:12 AM
    • #9
    • 13th Jul 18, 11:12 AM
    please see my SOA and advise what i can do to fix things ?

    Stop eating your money away.

    The money wasted on food is enough to clear your debts within 12 months ontop of your current repayments.

    Simple.

    Don't make excuses either about sociable hours blah blah.. If you have time to either sit and wait for a delivery driver or to pickup and sit at a drive thru on the way home then you have time to pop a uncle bens 2 minute rice in the microwave and heat up some chicken.

    Or as other replies have mentioned batch cook.
    • Mnd
    • By Mnd 13th Jul 18, 12:31 PM
    • 711 Posts
    • 869 Thanks
    Mnd
    Is your income 2400 a month or does that Inc the 500 from your partner

    Car insurance seem high

    As others have said, food bill could be halved. We very seldom spend 40 a week on grocery shopping
    Last edited by Mnd; 13-07-2018 at 12:37 PM.
    • saajan_12
    • By saajan_12 16th Jul 18, 1:10 PM
    • 1,430 Posts
    • 1,044 Thanks
    saajan_12
    [font=courier new]Statement of Affairs and Personal Balance Sheet

    Household Information

    Number of adults in household........... 2
    Number of children in household......... 0
    Number of cars owned.................... 1

    Monthly Income Details

    Monthly income after tax................ 2400
    Partners monthly income after tax....... 0- you say partner contributes 500 - you should list this as income as you're counting partner's expenses. Also where does their other 500 go?
    Benefits................................ 0
    Other income............................ 0
    Total monthly income.................... 2400


    Monthly Expense Details

    Mortgage................................ 0
    Secured/HP loan repayments.............. 0
    Rent.................................... 695
    Management charge (leasehold property).. 0
    Council tax............................. 133
    Electricity............................. 53
    Gas..................................... 0
    Oil..................................... 0
    Water rates............................. 35
    Telephone (land line)................... 30 - do you need this if you have a mobile? or does it include broadband?
    Mobile phone............................ 40
    TV Licence.............................. 29- you say this is due to moving - did you check whether you can cancel & get a part refund on the old place?
    Satellite/Cable TV...................... 0
    Internet Services....................... 0
    Groceries etc. ......................... 400 - as others said, this is way too high. I'd restrict eating out to special occassions, and last min / quick food should come from ready meals or batch cooking.. a stir fry takes 5 min with a 3 meal deal. Also if you're getting home at late hours, this may be the perfect time to swing past a supermarket at reducing times to eat the same day.
    Clothing................................ 0
    Petrol/diesel........................... 250
    Road tax................................ 30
    Car Insurance........................... 70
    Car maintenance (including MOT)......... 15
    Car parking............................. 0
    Other travel............................ 0
    Childcare/nursery....................... 0
    Other child related expenses............ 0
    Medical (prescriptions, dentist etc).... 0
    Pet insurance/vet bills................. 20
    Buildings insurance..................... 0
    Contents insurance...................... 0
    Life assurance ......................... 0
    Other insurance......................... 0
    Presents (birthday, christmas etc)...... 20
    Haircuts................................ 15
    Entertainment........................... 80
    Holiday................................. 100 - Not sure you can afford a 1200 holiday each year for just two people.. can you get a cheap break in for 300 closer to home?
    Emergency fund.......................... 0
    Total monthly expenses.................. 2015



    Assets

    Cash.................................... 0
    House value (Gross)..................... 0
    Shares and bonds........................ 0
    Car(s).................................. 1000
    Other assets............................ 0
    Total Assets............................ 1000


    No Secured nor Hire Purchase Debts


    Unsecured Debts
    Description....................Debt......Monthly.. .APR
    Barclaycard....................0.........0........ .0
    Aqua...........................741.12....49.93.... .51.94
    Capital One....................489.74....40........30.34
    very...........................272.73....0........ .47.9
    Paypal.........................437.48....40....... .17.9
    Ratesetter.....................1906.02...102...... .21.7
    Vanquis........................1026.21...65....... .34.9
    Total unsecured debts..........4873.3....296.93....-



    Monthly Budget Summary

    Total monthly income.................... 2,400
    Expenses (including HP & secured debts). 2,015
    Available for debt repayments........... 385
    Monthly UNsecured debt repayments....... 296.93
    Amount left after debt repayments....... 88.07


    Personal Balance Sheet Summary
    Total assets (things you own)........... 1,000
    Total HP & Secured debt................. -0
    Total Unsecured debt.................... -4,873.3
    Net Assets.............................. -3,873.3
    Originally posted by nobbyclarke123
    Added come comments in your expenses. Your current budget as is, indicates a 88 surplus + 100 holiday savings + 500 from partner each month = 8256 per year. If you put that straight towards your debts (separate from your min payments) you could be debt free within the year if you stick to it.
    • Lydia42
    • By Lydia42 25th Jul 18, 12:59 PM
    • 82 Posts
    • 258 Thanks
    Lydia42
    Hi
    Very good comments from the others. Something else to look at is whether your council tax is paid over 10 or 12 months. Most people pay over 10 months, but if you ask them they allow you to spread it over 12 months which will also free up some money.
    Total Debt August 2018: 19, 271
    • macman
    • By macman 25th Jul 18, 2:23 PM
    • 42,686 Posts
    • 17,957 Thanks
    macman
    You want to clear your debt, so why have you recently contracted to a high-end mobile deal that will cost you 960 over the 2 year term? You can get a basic SIM-free smartphone for well under 100, then a SIM only deal for a fiver a month.
    Sell the iPhone/Galaxy and use the income to purchase a cheaper handset, and the balance to contribute to the contract remaining.
    As others have noticed, your car insurance also seems very high for a 1K vehicle.
    No free lunch, and no free laptop
    • tealady
    • By tealady 25th Jul 18, 7:01 PM
    • 2,847 Posts
    • 3,484 Thanks
    tealady
    Hi
    When I was a shift worker my slow cooker was my best friend.
    The toughest, cheapest cuts of meat do well in one of these, and they are cheap to run.
    HTH
    Proud to be an MSE nerd
    Judge people by their achievements, not by their mistakes
    • MovingForwards
    • By MovingForwards 25th Jul 18, 7:47 PM
    • 326 Posts
    • 398 Thanks
    MovingForwards
    Im not sure how you and your OH are doing the bills / rent but if you are splitting them 50/50 either reduce the bills and rent by 50% or include the 500 you get to make your figures balance.

    It is too easy to grab a take away when you are tired after work. A slow cooker costs about 15 and you can have your food cooking whilst at work. The 15 initial cost is the same as a take away but gives you more meals.

    You can pick a toasty maker up for under 10. What ever pizza toppings you are having on your take out can be done at home, grate the cheese and stick it between the bread and you have pizza pockets again for a fraction of the cost.

    Your petrol costs are pretty high for 40 miles travel ie 200 miles a week. Are you buying from an expensive petrol station or do you drive a 3L gas guzzler
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