Debt Free By 2020

DebtBuster2017 · 18 September 2017 at 12:10AM

Hi everyone, as the title says I want to be debt free by 2020!

I'm fairly lucky in that the majority of my debt is on 0% deals, and direct debits are already set up to make sure they are cleared by the time the promotional period is finished. I just need to increase the MBNA card to £75.00 per month but I can't do that until this month's direct debit has gone out - slight miscalculation when I set up the DD originally! The Aqua card is not 0% unfortunately but there is only £190.00 odd on this card and I have set up a DD so the last payment will be made in November.

The debts and repayment dates are set out in my signature and will be updated as I go along. I do also have a Debenhams card which I have not listed in my signature. This is a card I will be keeping, the intention being to use it for everyday spending and then clear in full at the end of the month.

Anyway enough rambling from me, I hope to meet you all along the journey. Any hints and tips will be greatly received :T

DB

DebtBuster2017 · 18 September 2017 at 9:48PM

So my MBNA statement has been issued which meant that I was able to increase the direct debit payment which will be £75.00 starting from November. This will mean that the card is repaid in full before the expiration of the promotional rate.

Things on my to do list:-

1. Cancel an old credit card. This has a zero balance and has not been used for a long time. I've no intention of ever using it again, the only reason I've kept it is because it's one I've had for at least ten years and is one of the positives on my credit report.

2. Open another bank account for the purposes of saving for Christmas and birthdays. Aim to save around £50.00 per month in this account.

3. Ring BT with a view to reducing my monthly payments. I'd like this to be reduced by at least half and am more than willing to go elsewhere if they don't play ball.

4. Take an inventory of the freezer and create a meal plan.

5. Make a shopping list and stick to it!

I have to learn to take baby steps, impatience is my biggest fault and mainly the reason I'm in this mess now - too impatient to save up for things so tended to stick it on the credit card and worry about it later. I wish I'd found this site a few years ago

DebtBuster2017 · 21 September 2017 at 1:44PM

Ok well so far from the list above I've only done number 3, and since BT wouldn't play ball I've switched to a new provider with a massive saving, so just waiting for the switch over to take place.

I intend doing numbers 1 and 2 on my list tomorrow night after work, and over the weekend I will be taking my freezer inventory and doing my meal plan.

I'm actually looking forward to the end of the month when I can make the last payment to Argos, then that will be one debt down

HairyHandofDartmoor · 21 September 2017 at 5:10PM

Good idea to ditch BT if they insist on overcharging. Good luck with the rest of your list.

DebtBuster2017 · 22 September 2017 at 9:47PM

Well that's item number 1 ticked off my list, letter all written to cancel card and just need to take it to post office tomorrow.

Just about to open a new savings account online and will set up direct debit for that. Also need to sort out an old phone I'm selling to mazuma mobile, should get £80.00 minimum for that which will either go towards christmas savings or the aqua card.

Just numbers 4 and 5 to go then!

DebtBuster2017 · 23 September 2017 at 2:57PM

Well that's everything ticked off my list. Inventory was taken last night and meal plan done. Also did a quick mini shop this morning so shouldn't need any more food shopping until the end of the month. Now chilling out on the sofa for a while. Hope everyone is having a great Saturday

[Deleted User] · 23 September 2017 at 6:30PM

Hi DB,

You're doing really well.

Have a lovely evening xx

DebtBuster2017 · 23 September 2017 at 9:13PM

Thank you Purple

Just been on to mazuma mobile and I will get £105.00 for my old phone so very pleased with that and will pay into my savings account towards christmas.

One week left until pay day - can't wait so I can make my last Argos payment ever! Never thought I would be so excited about paying debts lol. I can't decide whether to save the extra money towards paying off another debt or to put towards savings. On the one hand it's an extra £50.00 I could be putting towards another debt, but on the other hand I have zero savings and am anxious to get some sort of emergency fund going.

DebtBuster2017 · 24 September 2017 at 3:45PM

So I've just sat down and done a handwritten snowball calculator and I've worked out I can be debt free by June 2019, a full 12 months before the promotional rate on my barclaycard runs out. I'm determined to stick to the calculator, I'm so fed up of this debt now!

DebtFreeDuo · 24 September 2017 at 4:00PM

DebtBuster2017 wrote: »

Thank you Purple

Just been on to mazuma mobile and I will get £105.00 for my old phone so very pleased with that and will pay into my savings account towards christmas.

One week left until pay day - can't wait so I can make my last Argos payment ever! Never thought I would be so excited about paying debts lol. I can't decide whether to save the extra money towards paying off another debt or to put towards savings. On the one hand it's an extra £50.00 I could be putting towards another debt, but on the other hand I have zero savings and am anxious to get some sort of emergency fund going.

If all your debt is at 0% then I would opt for the savings for the £50, if you change your mind and want to pay it off the debt then the option will always be there as it will be sitting in savings. You will also be able to earn a little interest with having it in savings and if an emergency came up then you wouldn't have to rely on putting more money onto credit cards.

DebtBuster2017 · 24 September 2017 at 6:48PM

Hi DebtFreeDuo, yes I think you're right and I should put the extra to my savings account. My problem is I'm very impatient and just want this debt gone as soon as possible. I find it all so confusing and I'm constantly checking my balances wanting them to come down quicker than they currently are. I'm paying over the minimums on all of my debts but they still seem to come down so slowly. I think I just need to chill out a bit and stop obsessing over it.

Debt Free By 2020

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