A little bit of advice please

[Shining]

Today I've sat down and done my spreadsheet showing all creditors, account numbers, balances, credit limits, last used etc., All fine but very grim reading! Maybe if I'd done this months ago I wouldn't be so far in my mess. But eh ho I am so, I am trying to deal with it. I have a few questions that I wonder if anyone can answer.

My son lives at home, he is 20 yrs old, pays me £50 @ week. I am assuming I include him in my Incomings? I have added him into it and only with him in it do I think there is enough disposable income for an IVA. Obviously I do not need to clothe him only feed him. Not sure when he'll move out but I would expect (or hope?) before 5 yrs are up! What would happen then if I lost that income?

Now moving on to my outgoings, does £10 for vet fees per month sound reasonable, that would really only cover one visit for the jabs and some flea and worm tablets and just hope they don't get ill. £10 for prescriptions and dentists, again assuming we only have checkups and not much illness?? I have a fourteen year old daughter 20.00 per month for her pocket money? or would that come out of my food money? I have allowed £400 for shopping which will include haircuts, we already use a mobile hairdresser at £15 per cut and £35 with a colour! Hubby does his own! The rest of the stuff is just utility as we don't use the car for work etc., so only £40 for diesel for the month would be plenty, servicing mot, insurance and car tax are puzzling I've put £60, it's 24 for the insurance. Am I going too high here? Sorry for so many questions and I'm sure I'll get advice tomorrow when I go through this for the proposal but just wanted someone else's view and for me to make a final amendment to the spreadsheet.

[MelanieGiles]

Hi there

Although this is a difficult task, you will feel far better once your finances are under control.

Do include your son's board and lodge as part of your income, and your IP will need to discuss the effect of your son eventually moving on with you. If there is a risk that this might happen during the IVA, then you have to consider whether an IVA is actually a viable proposition for you.

Vet fees looks fine to me. Medical expenses at £10 seem low, and your daughter's pocket money will need to come out of your miscellaneous allowance. Shopping also looks a little low for a family of four adults - is this what you actually spend, and do remember that this also must provide for social and leisure expenditure, Xmas, birthdays etc. Car expenditure looks fine.

Good luck with your meeting tomorrow.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[Lisa2009]

I didn't know you could add pet insurance. We have an African Grey parrot. There is only 1 Avian vet within miles that would be able to treat her if she got ill. I never insured her because i didnt think it would be agreed to. Thankfully shes in good health though and hopefully will stay that way till my IVA finishes.

[Shining]

I had included my son's board and lodging money and will leave it there. I had doubled my medical expenses. I haven't allocated an amount for miscellaneous, unsure what this amount would cover but I would guess?/ white goods failure/replacement?? I have taken the pocket money off the sheet and will add miscellaneous, can you confirm what this amount would be for and possibly a fair figure (in your opinion) I know this is an individual arrangement. I do feel £400 for shopping (food) is suffice but with the other items leisre etc, being allocated to this amount maybe £430 would be a more realistic figure.

Thanks for your good luck message.

[MelanieGiles]

I always work on the basis of £50 per month for miscellaneous expenditure.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[Shining]

Thank you Melanie for all your help, I now feel my spreadsheet is complete. Dreading and looking forward to tomorrow at the same time, although I also realise tomorrow is only the first step of my journey. Thanks to everyone else for their support too and for this great forum that makes me feel human

[emma_t]

Good Luck

Before I sat down to do my spreadsheet, I estimated that my total debt was around £23k.
When I actualy sat down and did the depressing deed the actual total of my debt is £44k.
I am so determined to now keep such a close eye on my finances and have purchased (with cash!!!!) a book that I am going to record all my spending, even down to a coffee, so I can see exactly where it all goes.....and how and where I can save

[Shining]

Emma, I am the same, I thought out debts were 45k but they are a few quid of 50k. Dismal reading, I've only got to print it off tomorrow and then the phone will ring at 4pm! Luckily I'm working till 2.45 so come home print it and wait! Dreading it, it's admission that I'm a failure I guess I dread, I've been trying for so many months to get out of the mess myself to no avail! I just hope that a realistic propsal can be drawn up and then eventually it will be accepted. Can someone explain this 40p in the pound, does it mean that it will be 40p in the pound of the total outstanding debt you repay?

[Adam Davies]

Hi
Yes,it means that for every £1 that is owed your creditors will receive 40p,they will then write off the rest.
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[Shining]

50k debt, is it realistic to go for 40 p in the £ with HSBC as my main creditor? Can you work that out for me Andy, think I'm getting a bizarre figure?? I personally think I can afford £450@month to pay into an IVA. Do you think this offer is any good?

[Adam Davies]

Hi
£450 per month on a debt of 50k will return approx 40p dividend[guessing IP fees of 7k]
At the end of the day you must go with a figure that you can afford,be firm with your IP,As i,ve stated before it,s not just all about getting the IVA approved,it,s equally about getting the IVA concluded successfully.
Regards


Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[Shining]

Thanks Andy more than helpful, i'll see what we come up with tomorrow after my initial talk re proposal.

[emma_t]

Good Luck for tommorrow

I have found it very hard to come up with income and expenditure amounts as I am so used to all my income going on debt repayments and then am left living off cards for the rest of the month.
I do feel some relief that I am forced to look at a solution out of this mess I am in, but it dominates my every waking moment at this time and I am so scared that my iva will not go through and then back to square one.
When my actual surplus was worked out I felt even more of a faliure as it was a decent amount for any single person with no kids to live on, and I am still not sure how my debts have got so big.

As I say good luck and I wish you well on your 'journey'

[MelanieGiles]

Hi there

You have to stop beating yourself up about this debt, and take pride that you are now doing something about it. Owning up to debt is the first stage of the process, it is not pleasant but when it is all down on paper it becomes a little easier to deal with. And talking to a debt expert is the best way forward, because as I say a problem shared is a problem solved.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[Shining]

good luck to you too Emma on your journey, I'm always here for a chat if you need one. Take comfort from Melanie and Andy and the others on here, I felt a complete failure, embarrased and ashamed, but now that I know I'm doing something at least I feel a little better. I'm not going to justify how I got into debt as it was pure greed, a lesson valuably learnt for me. When I read post IVA accepted and the words weight off my shoulders, i only hope one day I'll be posting those exact words and in 60 months, I'll be posting IVA complete! Chin up Emma, it will work out I'm sure x