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  • FIRST POST
    • Maccydu
    • By Maccydu 15th Apr 10, 9:37 AM
    • 57Posts
    • 129Thanks
    Maccydu
    Just another diary - nothing to see here
    • #1
    • 15th Apr 10, 9:37 AM
    Just another diary - nothing to see here 15th Apr 10 at 9:37 AM
    Hi all

    This diary is just a self-motivator so I can keep track of my own progress.

    I noticed in January that I'd managed to rack up just over £19k of credit card and overdraft debt and, whilst the repayments are manageable, I just don't fancy having it hanging over me anymore.

    Using a snowball calculator I'm apparently going to be debt free in 40 months. Let's see how much I can knock off that!

    Starting amounts:

    HSBC £2290 @ 24.9%!!
    Virgin £2083 @ 15.9%
    Amex £1570 @ 18.9%
    Capital One £6000 @ 12.9%
    Nationwide O/D £1880 @ 18.9%
    Alliance and Leicester £700 @ 0% (ish)
    Barclaycard £2680.19 @ 12.4%
    Egg £1800 @ 16.9%

    Most of them were initially 0% deals, but I didn't transfer / didn't cancel and spent more etc etc, and now I am where I am.

    Although I have a completely clean credit record (i check each month) I am unable to swap / get different cards as I currently live in a rented house whilst having a mortgage at a different address (a long and boring separation story!)

    So, here goes, let the fun begin ... !

    Maccydu
    LBM 21/01/10 Debt at LBM:£19,018 3rd LBM 10/06/2017 Debt at 3rd LBM:£13,362
    Now: £11,714 Debt Free Date: XMas 2018
    Amex £1905 £3433 (0% till Dec 2017) ~ Barclaycard £4870 £4990(0% till Mar 2018)
    Virgin Money £4939 (0% till Nov 2018)
    Official DFW Nerd No 1310 - Proud to be dealing with my debt!
    NO MORE LBMs!!
Page 1
    • BEAT THE DEBT
    • By BEAT THE DEBT 15th Apr 10, 6:17 PM
    • 2,123 Posts
    • 5,120 Thanks
    BEAT THE DEBT
    • #2
    • 15th Apr 10, 6:17 PM
    • #2
    • 15th Apr 10, 6:17 PM
    So wuld you like some company or is it just for you! I am here if you do!x
    Started comping 2nd May 16. Wins so far... May was
    cat wormer ^.^ Rose hamper from m&s. Heal cream. June cool bag. July febreeze win for review Minky £100 ironing bundle. August. Handmade throw fbk.
    Sept,a canvas print and cushion fb. A window cleaner tool fb. Oct: A diamond ring keyring. Nov. Foot care bundle, sonic toothbrush.
    • Maccydu
    • By Maccydu 16th Apr 10, 10:24 PM
    • 57 Posts
    • 129 Thanks
    Maccydu
    • #3
    • 16th Apr 10, 10:24 PM
    • #3
    • 16th Apr 10, 10:24 PM
    Company would be great

    Pay day next Wednesday, and should be getting around £1000 bonus (before deductions), so should knock another chunk off my cards!
    LBM 21/01/10 Debt at LBM:£19,018 3rd LBM 10/06/2017 Debt at 3rd LBM:£13,362
    Now: £11,714 Debt Free Date: XMas 2018
    Amex £1905 £3433 (0% till Dec 2017) ~ Barclaycard £4870 £4990(0% till Mar 2018)
    Virgin Money £4939 (0% till Nov 2018)
    Official DFW Nerd No 1310 - Proud to be dealing with my debt!
    NO MORE LBMs!!
    • 365days
    • By 365days 16th Apr 10, 11:35 PM
    • 1,324 Posts
    • 9,005 Thanks
    365days
    • #4
    • 16th Apr 10, 11:35 PM
    • #4
    • 16th Apr 10, 11:35 PM
    Hi there,

    The bonus will certainly help get things going. I'm looking torent out my house and rent another. Is that what you do? Are there implications for mortgages etc? Any pro's/cons?

    Tahnks in advance.
    • savingholmes
    • By savingholmes 16th Apr 10, 11:58 PM
    • 8,761 Posts
    • 16,467 Thanks
    savingholmes
    • #5
    • 16th Apr 10, 11:58 PM
    • #5
    • 16th Apr 10, 11:58 PM
    hello and welcome to diary land - I am sure you can knock some time off that debt free date

    365 - you may find you can't under and ordinary mortgage - as buy to let is a different mortgage type....
    131 Long Hauler
    Getting there one step at a time...
    • Maccydu
    • By Maccydu 17th Apr 10, 8:13 AM
    • 57 Posts
    • 129 Thanks
    Maccydu
    • #6
    • 17th Apr 10, 8:13 AM
    • #6
    • 17th Apr 10, 8:13 AM
    365 days - Hello! The situation with the mortgage is that when I split from my ex I gave her the house, but I've yet to transfer off the mortgage (just looking into it at the moment).

    I now live in a (privately) rented house. Because of this, my credit record shows my address to be different to that which I have a mortgage account at, and also on credit application forms I have to put living in rented accommodation (meaning I have no assets as such) but have a mortgage too!
    LBM 21/01/10 Debt at LBM:£19,018 3rd LBM 10/06/2017 Debt at 3rd LBM:£13,362
    Now: £11,714 Debt Free Date: XMas 2018
    Amex £1905 £3433 (0% till Dec 2017) ~ Barclaycard £4870 £4990(0% till Mar 2018)
    Virgin Money £4939 (0% till Nov 2018)
    Official DFW Nerd No 1310 - Proud to be dealing with my debt!
    NO MORE LBMs!!
    • Maccydu
    • By Maccydu 17th Apr 10, 8:16 AM
    • 57 Posts
    • 129 Thanks
    Maccydu
    • #7
    • 17th Apr 10, 8:16 AM
    • #7
    • 17th Apr 10, 8:16 AM
    Diary update.

    I went £4 over my overdraft limit with A&L (back in Jan), and they charged me £5 a day (I didn't realise - stupidly!!), and ended up with over £100 worth of charges.

    I rang to complain, they looked into it, refunded me £25 as a goodwill gesture, and then send me a letter 2 days later saying my account wasn't maintained well enough, and that I had 30 days to clear the £700 overdraft. I panicked a little bit, but was able to find the cash (that was a TOUGH month!), so my A&L account is now debt free and closed. Hurrah!!

    I've also recently complained to HSBC about the rate-jacking of my credit card, and they've now agreed to return it to the 15.9% rate I had up until last august, with the closure of the account. Every little helps!

    Maccydu
    LBM 21/01/10 Debt at LBM:£19,018 3rd LBM 10/06/2017 Debt at 3rd LBM:£13,362
    Now: £11,714 Debt Free Date: XMas 2018
    Amex £1905 £3433 (0% till Dec 2017) ~ Barclaycard £4870 £4990(0% till Mar 2018)
    Virgin Money £4939 (0% till Nov 2018)
    Official DFW Nerd No 1310 - Proud to be dealing with my debt!
    NO MORE LBMs!!
    • Radish72
    • By Radish72 17th Apr 10, 8:36 AM
    • 1,863 Posts
    • 11,629 Thanks
    Radish72
    • #8
    • 17th Apr 10, 8:36 AM
    • #8
    • 17th Apr 10, 8:36 AM
    Good luck

    Also just wondering how many of the credit cards you have cut up
    Mortgage Aug12 £165K, May17 £47800
    OP's in 2017 £3000 ish
    ISA challenge start 2017 £3000/£500 (16%)
    • Maccydu
    • By Maccydu 18th Apr 10, 4:30 PM
    • 57 Posts
    • 129 Thanks
    Maccydu
    • #9
    • 18th Apr 10, 4:30 PM
    • #9
    • 18th Apr 10, 4:30 PM
    It's a good question.

    I've cut up all but 2, my Capital One, and my Barclaycard. Here's why ...

    Each month I pay the minimum on those two cards, and then after interest has been added, I spend the remaining balance on essentials (petrol, food etc). The money I would have used for paying for these I then overpay on the more expensive cards, so I'm effectively transferring the balance over to the cheaper cards (well, in small increments anyway).

    Just to be clear though, I am overpaying the expensive cards more than just the amount I'm "transferring".

    Maccydu
    LBM 21/01/10 Debt at LBM:£19,018 3rd LBM 10/06/2017 Debt at 3rd LBM:£13,362
    Now: £11,714 Debt Free Date: XMas 2018
    Amex £1905 £3433 (0% till Dec 2017) ~ Barclaycard £4870 £4990(0% till Mar 2018)
    Virgin Money £4939 (0% till Nov 2018)
    Official DFW Nerd No 1310 - Proud to be dealing with my debt!
    NO MORE LBMs!!
    • Maccydu
    • By Maccydu 21st Apr 10, 9:38 AM
    • 57 Posts
    • 129 Thanks
    Maccydu
    Hurrah for payday!!

    A bonus for last years company performance means my take home pay was £600 more than normal.

    Have made an overpayment of £250 to my Amex account. Will also pay the normal monthly payment when my statement is due, so they'll be getting around £290 total this month.

    I'm hoping to enjoy some of the bonus myself, and my daughter has been pestering me for Sims 3 for ages so I think I'll treat her to that, but hopefully at the end of the month I'll have around £200 left of it that I can use to overpay even more.

    Updated my snowball calculator with the £250, and it's knocked a month of my debt free day. I can see updating that is going to be addictive!! Have set a target of 30 months for being debt free, so will see what I can do to hit that target!
    LBM 21/01/10 Debt at LBM:£19,018 3rd LBM 10/06/2017 Debt at 3rd LBM:£13,362
    Now: £11,714 Debt Free Date: XMas 2018
    Amex £1905 £3433 (0% till Dec 2017) ~ Barclaycard £4870 £4990(0% till Mar 2018)
    Virgin Money £4939 (0% till Nov 2018)
    Official DFW Nerd No 1310 - Proud to be dealing with my debt!
    NO MORE LBMs!!
    • 365days
    • By 365days 21st Apr 10, 6:33 PM
    • 1,324 Posts
    • 9,005 Thanks
    365days
    You've just got to love the snowball-Well done, great news.
    • Maccydu
    • By Maccydu 21st Apr 10, 6:39 PM
    • 57 Posts
    • 129 Thanks
    Maccydu
    Thanks!

    What's really got me thinking though is this....

    If I can repay 18k in 30 months, does that mean I could save 18k the following 30 months?

    Never thought that would be possible!
    LBM 21/01/10 Debt at LBM:£19,018 3rd LBM 10/06/2017 Debt at 3rd LBM:£13,362
    Now: £11,714 Debt Free Date: XMas 2018
    Amex £1905 £3433 (0% till Dec 2017) ~ Barclaycard £4870 £4990(0% till Mar 2018)
    Virgin Money £4939 (0% till Nov 2018)
    Official DFW Nerd No 1310 - Proud to be dealing with my debt!
    NO MORE LBMs!!
    • 365days
    • By 365days 21st Apr 10, 6:46 PM
    • 1,324 Posts
    • 9,005 Thanks
    365days
    Of course you could! I think thats the amazing thing about having your LBM, you realise just how much got wasted and frittered.
    • Maccydu
    • By Maccydu 21st Apr 10, 6:49 PM
    • 57 Posts
    • 129 Thanks
    Maccydu
    No kidding!!

    One month at a time I guess.
    LBM 21/01/10 Debt at LBM:£19,018 3rd LBM 10/06/2017 Debt at 3rd LBM:£13,362
    Now: £11,714 Debt Free Date: XMas 2018
    Amex £1905 £3433 (0% till Dec 2017) ~ Barclaycard £4870 £4990(0% till Mar 2018)
    Virgin Money £4939 (0% till Nov 2018)
    Official DFW Nerd No 1310 - Proud to be dealing with my debt!
    NO MORE LBMs!!
    • Maccydu
    • By Maccydu 25th Apr 10, 4:20 PM
    • 57 Posts
    • 129 Thanks
    Maccydu
    So, payday came and went, and I managed to overpay a couple of accounts (one unintentionally, but never mind!)

    Updated the snowball calculator, and it's now down from 40months to 37months. 7 months left to hack off!!

    Time to take a look through my junk and see what I can eBay.
    LBM 21/01/10 Debt at LBM:£19,018 3rd LBM 10/06/2017 Debt at 3rd LBM:£13,362
    Now: £11,714 Debt Free Date: XMas 2018
    Amex £1905 £3433 (0% till Dec 2017) ~ Barclaycard £4870 £4990(0% till Mar 2018)
    Virgin Money £4939 (0% till Nov 2018)
    Official DFW Nerd No 1310 - Proud to be dealing with my debt!
    NO MORE LBMs!!
    • Cleosmum
    • By Cleosmum 25th Apr 10, 4:29 PM
    • 2,659 Posts
    • 9,288 Thanks
    Cleosmum
    You seem really focused, keep up the good work
    Jan 2016 Grocery Challenge: £184.58/£400 (16/01)
    • Maccydu
    • By Maccydu 27th Apr 10, 10:37 AM
    • 57 Posts
    • 129 Thanks
    Maccydu
    Paid another £12 off my Amex today, and also re-arranged some bills allowing me an extra £20 a month to snowball, which knocks another month off my DFD, now down to 36 months - 6 left to knock off!

    Got together a big pile of stuff I no longer want (or need), so will be putting them on eBay sometime over the next week.
    LBM 21/01/10 Debt at LBM:£19,018 3rd LBM 10/06/2017 Debt at 3rd LBM:£13,362
    Now: £11,714 Debt Free Date: XMas 2018
    Amex £1905 £3433 (0% till Dec 2017) ~ Barclaycard £4870 £4990(0% till Mar 2018)
    Virgin Money £4939 (0% till Nov 2018)
    Official DFW Nerd No 1310 - Proud to be dealing with my debt!
    NO MORE LBMs!!
    • 365days
    • By 365days 27th Apr 10, 4:23 PM
    • 1,324 Posts
    • 9,005 Thanks
    365days
    You are doing really well!
    • Maccydu
    • By Maccydu 18th May 10, 8:46 AM
    • 57 Posts
    • 129 Thanks
    Maccydu
    Having quite a challenging month, some unexpected spends, and some I was trying to put off. Had to spent a little bit on some of my (cheaper) cards, and a bit disappointed by it.

    So, 2 things I'm doing / done.

    Firstly, I've cut up my remaining cards. No more spending, no more "it's an emergency" spending. Done.

    Secondly, having successfully completed one of the "Pay off a debt in 100 days" challenges, I've decided to do the same again, starting today, with my Amex. £1140 by 26th August. Here goes....

    Oh, and roll-on payday on Friday!!!
    LBM 21/01/10 Debt at LBM:£19,018 3rd LBM 10/06/2017 Debt at 3rd LBM:£13,362
    Now: £11,714 Debt Free Date: XMas 2018
    Amex £1905 £3433 (0% till Dec 2017) ~ Barclaycard £4870 £4990(0% till Mar 2018)
    Virgin Money £4939 (0% till Nov 2018)
    Official DFW Nerd No 1310 - Proud to be dealing with my debt!
    NO MORE LBMs!!
    • Maccydu
    • By Maccydu 10th Jun 17, 9:38 AM
    • 57 Posts
    • 129 Thanks
    Maccydu
    Wow - dug this out - 7 years later and still not a "great deal" better off.

    I'll update my sig, but can't believe after all this time I'm not much further forward.

    Time to get this monkey off my back once and for all I think!
    LBM 21/01/10 Debt at LBM:£19,018 3rd LBM 10/06/2017 Debt at 3rd LBM:£13,362
    Now: £11,714 Debt Free Date: XMas 2018
    Amex £1905 £3433 (0% till Dec 2017) ~ Barclaycard £4870 £4990(0% till Mar 2018)
    Virgin Money £4939 (0% till Nov 2018)
    Official DFW Nerd No 1310 - Proud to be dealing with my debt!
    NO MORE LBMs!!
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