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    • freshcotton
    • By freshcotton 29th Nov 15, 8:37 AM
    • 222Posts
    • 564Thanks
    freshcotton
    making hay while the sun shines (by freshcotton)
    • #1
    • 29th Nov 15, 8:37 AM
    making hay while the sun shines (by freshcotton) 29th Nov 15 at 8:37 AM
    making hay while the sun shines...


    I think this is the best financial advice you can get (and probably obvious to most on this forum), but sometimes I like to remind myself as to why I am trying to be financially sensible.


    Iv got to say, at the minute, things are good for us, two lads, early to mid 30s decent jobs and no debts. So financially, we can comfortably pay our bills, overpay on our mortgage and save a little too, but of course, a lot can (and will) change.


    There is no risk of us having children so that's one major life change I don't need to worry about! However I think our income could drop in the next few years, and I could even be at risk of redundancy at some point next year.


    Our cars (for example) are middle aged and cant keep going for years to come so they will need repurchasing eventually as well as other general house maintenance.


    Right now, my focus is paying the mortgage off and building the savings pot. We don't have any investments because they scare me, but I know that's foolish so will learn more about them on the way. But for now, I just want the mortgage to go away.


    So this is my diary, to update my progress and to remind me to continue making hay for now, to prevent insecurity during any cold and cloudy days ahead.


    I will update further financial info later on, but thanks for reading.
    Last edited by freshcotton; 26-12-2015 at 9:40 PM.
Page 7
    • freshcotton
    • By freshcotton 16th Feb 17, 11:00 PM
    • 222 Posts
    • 564 Thanks
    freshcotton
    Thanks for stopping by chumpy!

    Iv had the last few days off which has been nice, wanting to get the garden in order but it's just not warm enough yet.

    Iv made a bit of money too on overtime at the police station as the clients insisted I attend, could have sent a colleague but thought I'd make a bit of money whilst taking it easy.

    Partner and I are currently discussing money matters, he wants to purchase some stupid peice of technology for the home which I can't stand. I hate unnecessary objects, money aside, it's just clutter !
    Mortgage Start - August 2013 £145,000 ************ Balance at April 2017 - £59,000

    Target - Overpay by £2,500 each month ************** Mortgage free by December 2018!
    • freshcotton
    • By freshcotton 25th Feb 17, 7:44 PM
    • 222 Posts
    • 564 Thanks
    freshcotton
    I dug out all my mortgage statements and calculated how much interest Iv paid to date and how much I'm expected to pay over the next 20 months till it's paid off.

    I then worked out how much interest would be charged on my mortgage over the full 25 year term where no overpayment are made. I have presumed the rate of interest will remain as it is.

    So the difference and therefore the saving I will make in interest is by my overpayments ......

    £37,250.00

    That pleased me a lot. And of course it will be more as eventually rates will rise (surely).
    Mortgage Start - August 2013 £145,000 ************ Balance at April 2017 - £59,000

    Target - Overpay by £2,500 each month ************** Mortgage free by December 2018!
    • chumpy45
    • By chumpy45 25th Feb 17, 8:53 PM
    • 315 Posts
    • 1,347 Thanks
    chumpy45
    Wow that's an amazing difference, will definitely help keep you motivated!
    Starting Mortgage 01.08.08 £171,209.24. Mortgage as at 01.09.15 - £54,780.04; 01.11.15 £49,577.04;01.03.16 £45,799.32; 01.08.16 £42,418.93; 01.10.16 £40,119.5 01.02.17 £36,584.00; 01.04.17 £34,694.71 09.06.17 £32,828.89 MFW Target date Sept 2017;
    • Turtle
    • By Turtle 26th Feb 17, 11:50 AM
    • 937 Posts
    • 2,520 Thanks
    Turtle
    Hello freshcotton, I've just read through your whole diary and you're doing fantastically well. If I can refer you back to an old post (I can't remember the date but think it was last April) you said you were looking around at a friends gadgets and thinking it was all a waste of money, but were you too judgemental or tight?

    I would agree it's a waste of money but then I am judgemental and a bit tight at times as well, or at least I think that's how others see me . When I see colleagues spending £5 a day at the fancy coffee place at work I think it's a waste of money, we get machines with free drinks in and I am very happy with those. I don't have an issue spending money on things I want though, it's other people trying to spend my money for me that I have an issue with. So I'm happy to go out for a meal with friends and pay for what I've had. I'd be very aggrieved at splitting a bill equally though if I've had a coke and a pizza and someone else has had steak and prosecco. That is where I have an issue, and maybe you're the same?

    Keep going though, it's amazing knowing you're in a great financial position. We reached mortgage neutrality at 40 and 42, and we have a small house we rent out as well (also paid for). We'd have got there a lot sooner, but we usually have a big holiday every year and that might cost £7-£8000. I don't begrudge it though, we've had some fantastic experiences and are still doing really well.

    Are you nosey? I am. I'd love to know what my friend's financial positions are like I do just wonder how many people are mired in debt or are others doing equally as well? I have a couple of friends at work with the same sort of aspirations (part time or retirement mid 50s) but other than that I really don't know how others are doing.

    • freshcotton
    • By freshcotton 28th Feb 17, 12:32 PM
    • 222 Posts
    • 564 Thanks
    freshcotton
    Hi Turtle

    To be MF with a rental property by 40 is such an achievement. Well done. Its a really good age to lessen the financial worries so you can focus on enjoying your life. I sometimes think of life as 10 year blocks. My 20s were spent getting an ‘education’ and qualifying as a solicitor. I’m using my 30s to pay the mortgage off and save a lump sum. I will then reduce my working hours and travel a lot more in my 40s like you do.

    In terms of judging friends and colleagues, I suppose I do especially when they go for a take away coffee break. The other week a colleague got a take away in for lunch, as in a proper Chinese ! I mean who does that?.

    Its more that I just don’t understand the modern world. If buying more stuff made me happy I would genuinely be doing it, but 99.7% of items that are for sale are just pointless trash. Eating out can be great, but if you end up in the wrong place, you can spend £40 on food that is less tasty than the meal you made on Monday night for £3.70!

    I think we are all nosey on this forum to a certain extent. Although ‘real life’ people never want to talk openly about money. I think if people did more, it would help.
    But yes, the best way in my opinion to generate wealth is spend less.
    Last edited by freshcotton; 28-02-2017 at 12:41 PM.
    Mortgage Start - August 2013 £145,000 ************ Balance at April 2017 - £59,000

    Target - Overpay by £2,500 each month ************** Mortgage free by December 2018!
    • freshcotton
    • By freshcotton 8th Mar 17, 8:38 AM
    • 222 Posts
    • 564 Thanks
    freshcotton
    I created a really good spread sheet, which calculates my interest and balance each month. I can change the overpayment figure and it shows what impact that will have on the final balance and the finish date. If I continue the way I am (overpay £2,600 ) then I will be mortgage free by Nov 2018 - that's about 20 paydays away.


    The balance for Feb is £63,190.


    In March, with a few extra pounds I can get it into the 50s which would be an achievement. Then of course the next target is 40s ....
    Mortgage Start - August 2013 £145,000 ************ Balance at April 2017 - £59,000

    Target - Overpay by £2,500 each month ************** Mortgage free by December 2018!
    • A Frayed Knot
    • By A Frayed Knot 8th Mar 17, 9:34 AM
    • 2,045 Posts
    • 9,264 Thanks
    A Frayed Knot
    Hi freshcotton

    Trying to catch up with your diary. Thought I ought to mention, although I'm sure you already know, if in a fixed rate your only allowed (normally) to o/p 10%. Your mortgage balance and o/p's don't equate to that.


    Will carry on trying to catch up and maybe all will be explained.
    Always have 00.00 at the end of your mortgage balance and one day it will all be 0's
    MFMarch 30 Re/M Oct 23 Target -Dec 19
    O/P's 2014/£4000, 2015/£6294.69,2016/£3186.80
    2017 £2422.71 + Phantom o/ps 2017 -£1367.81 so far
    • freshcotton
    • By freshcotton 8th Mar 17, 6:24 PM
    • 222 Posts
    • 564 Thanks
    freshcotton
    Thanks FK


    Yea, I have calculated the potential penalty and placed that into a seperate account, taking into account my interest rate, Im no worse off than putting it into savings. I do however wonder when the penalty will be applied? Is it at the end of the mortgage ?
    Mortgage Start - August 2013 £145,000 ************ Balance at April 2017 - £59,000

    Target - Overpay by £2,500 each month ************** Mortgage free by December 2018!
    • freshcotton
    • By freshcotton 17th Mar 17, 2:11 PM
    • 222 Posts
    • 564 Thanks
    freshcotton
    Booked a night away in London for next month as haven't done anything like that for a while, I'm hoping to have £300 left this month which I will leave in my account to save a bit.

    Iv decided not to overpay more than £2600. As Iv said, with that figure i will have cleared the mortgage in 20 months which is good enough. The rest of the pennies il save for now.
    Mortgage Start - August 2013 £145,000 ************ Balance at April 2017 - £59,000

    Target - Overpay by £2,500 each month ************** Mortgage free by December 2018!
    • freshcotton
    • By freshcotton 2nd Apr 17, 5:57 PM
    • 222 Posts
    • 564 Thanks
    freshcotton
    The first spring-like days of the year are always so exciting, we went for a long walk and on the way back, went into a small local coffee shop. Just as we were about to order, we were (nicely) informed that the shop was closing in 15 mins. We therefore decided to go to the local shop, picked up some coconut and jam cakes and enjoyed them with tea at home. They cost £1.50 for 6. Our poor time management probably saved us a good few quid today.


    Its days like this that remind me how little money you can actually live on to still enjoy life.


    Its the first sunday afternoon in April and when I ask myself, what is it that I really want, I can think of nothing apart from wanting another day off work. I suppose with my obsessive overpaying, working less is exactly what I am buying.


    I have a good career which took a lot of time and effort to get and its not like I ever want to stop working, however 5 days a week just is not for me. I also think that everyone should work less in order to improve mental health and hapiness.


    I am really enjoying this MF journey, as above all, I think its changed who I am and made me realise what I really want out of life.


    When I try to 'eat healthy' I stop eating chocolate and I do this for a few weeks, until I give up and eat twice as much to make up for any loss of enjoyment. This is because dispite any desire I have, I love sugar and wont live without it.


    When I am frugle, I keep being frugle and think of more ways to enjoy the simple things in life. I dont suddenly break and start maxing out a credit card. Why? Its because I am not actually supressing any inside desire to spend. Its what I want out of life.
    Last edited by freshcotton; 02-04-2017 at 6:01 PM.
    Mortgage Start - August 2013 £145,000 ************ Balance at April 2017 - £59,000

    Target - Overpay by £2,500 each month ************** Mortgage free by December 2018!
    • Moneyfordreams
    • By Moneyfordreams 2nd Apr 17, 6:27 PM
    • 837 Posts
    • 4,048 Thanks
    Moneyfordreams
    Its great you have a balance , Well done ... my balance has definitely tipped against frugality the last few months
    Mortgage Feb '13 £200000, end 2038. Aiming for before March 2025 (crunched to 2034)
    January 16 £182800 : minimum £360 OP but needs to be £600 to achieve 2025
    Current mortgage £160500
    h@lifax CC £4600 0% until May 2018.. will pay minimum for now, slow stooze
    xmas, chairs, hoover, computer and holiday [STRIKE}clothes[STRIKE] DD1 cc
    • lavinia21
    • By lavinia21 2nd Apr 17, 7:06 PM
    • 273 Posts
    • 1,962 Thanks
    lavinia21
    freshcotton sounds like your having another lighbulb moment within your journey. I feel these are great to have as they confirm the journey your on and sounds like it is bringing you peace and happiness which we all need in our lives. Keep up the hard work.
    Positivity is the key there is a reason why life happens. Find your rainbow and ride it.
    • SuperSecretSquirrel
    • By SuperSecretSquirrel 3rd Apr 17, 8:25 AM
    • 553 Posts
    • 2,436 Thanks
    SuperSecretSquirrel
    Its days like this that remind me how little money you can actually live on to still enjoy life.

    Its the first sunday afternoon in April and when I ask myself, what is it that I really want, I can think of nothing apart from wanting another day off work. I suppose with my obsessive overpaying, working less is exactly what I am buying.

    I have a good career which took a lot of time and effort to get and its not like I ever want to stop working, however 5 days a week just is not for me. I also think that everyone should work less in order to improve mental health and hapiness.

    I am really enjoying this MF journey, as above all, I think its changed who I am and made me realise what I really want out of life.
    Originally posted by freshcotton
    Love this freshcotton I have pretty much the exact same feelings on the subject. Simple things make me happy, and I've shifted from thinking about retiring early to maybe working less hours while the children are young. Seems ridiculous that we tend to retire after our children have flown the nest when you think about how much fun you can have together in the earlier years!

    A bucket and spade, a football, a home made picnic, and a fiver in your pocket for ice creams. A trip to the beach and the nearby adventure playground is a fantastic day out for next to no money!

    The sun is shining, and I'm on my way to work. It feels so wrong. Today could be so different...
    Last edited by SuperSecretSquirrel; 03-04-2017 at 8:28 AM.
    Mortgage [2013 £64k|2014 £51k|2015 £38k|2016 £26k] £17,912.48
    MN [2013-£25k|2014-£2k|2015+£16k|2016+£34k] +£42,603.43 (MFiT4:+60k)
    NW [2013 £126k|2014 £156k|2015 £190k|2016 £228k] £252,121.82 (2020:300k)
    FI [2013 -1.2%|2014 2.8%|2015 6.9%|2016 13%] 15.6%
    • freshcotton
    • By freshcotton 30th Apr 17, 11:48 AM
    • 222 Posts
    • 564 Thanks
    freshcotton
    Well I have hit my limit with overpayments so the extra bits are now going into a seperate savings account, which is never as fun. But my fix comes to an end on 31st July so I guess its not long.


    Managed to 'overpay' £2,900 which is good. I want the balance near to £45k by August, then its a 12 month count down. I have done the maths and it is almost impossible to be MF by August 2018, but thats the aim (as my mortgage started in August 2013).


    From Aug the plan is to overpay by £3000 each month. I am going to have to be as smart as ever with money to manage.


    My mortgage will be on the SVR which is higher, but works out cheaper than paying fees to move for the sake of one year.


    On payday I will make the £3k overpayment and basically we will have to live on whats left. We can make use of our credit cards (that will of course be paid in full the next payday) should we need to.


    I will probably have to do more call outs than I would like to increase my pay a bit, but I am so up for the challange.


    anyway, its a bank holiday now so all is good. I am on call this weekend but its been dead so I have had a lot of pottering around at home which I like.


    Hope everyone out there is doing well
    Mortgage Start - August 2013 £145,000 ************ Balance at April 2017 - £59,000

    Target - Overpay by £2,500 each month ************** Mortgage free by December 2018!
    • Moneyfordreams
    • By Moneyfordreams 1st May 17, 10:42 AM
    • 837 Posts
    • 4,048 Thanks
    Moneyfordreams
    you have made amazing progress : I am in awe
    Mortgage Feb '13 £200000, end 2038. Aiming for before March 2025 (crunched to 2034)
    January 16 £182800 : minimum £360 OP but needs to be £600 to achieve 2025
    Current mortgage £160500
    h@lifax CC £4600 0% until May 2018.. will pay minimum for now, slow stooze
    xmas, chairs, hoover, computer and holiday [STRIKE}clothes[STRIKE] DD1 cc
    • freshcotton
    • By freshcotton 2nd May 17, 1:37 PM
    • 222 Posts
    • 564 Thanks
    freshcotton
    Thanks moneyfordreams - I appreciate your support.


    I had an idea last night. As you can now get all these 'no interest for 30 months' credit cards, I could get one of these and do all my spending on credit card and only make the minimal payment each month. This means that I can throw even more into the mortgage when I'm the STV of 3.74%.


    I could pay for everything on it, even Christmas and car insurance etc and then pay the credit card off after the mortgage is cleared, which will be well within the 30 month period.


    This will undoubtedly save money on interest
    Mortgage Start - August 2013 £145,000 ************ Balance at April 2017 - £59,000

    Target - Overpay by £2,500 each month ************** Mortgage free by December 2018!
    • freshcotton
    • By freshcotton 11th May 17, 1:26 PM
    • 222 Posts
    • 564 Thanks
    freshcotton
    I'm waiting for the 0% credit card to come through. Its going to feel weird having a credit card that is building up each month, but will certainly give it a try.


    The only possible concern is that I hope we don't end up spending more on it. I will try and stick to a budget and review the statement each month and work out where the money is gone. I have also requested a limit of £4500. All spending including petrol, groceries, gifts, eating out etc will go on the credit for the next 12 months which gives a monthly amount of £375.00. If I can stick to that, then all will be good.
    Mortgage Start - August 2013 £145,000 ************ Balance at April 2017 - £59,000

    Target - Overpay by £2,500 each month ************** Mortgage free by December 2018!
    • Moneyfordreams
    • By Moneyfordreams 11th May 17, 3:19 PM
    • 837 Posts
    • 4,048 Thanks
    Moneyfordreams
    cc spending is weird when you don't normally. I'm doing that this month and next to ensure
    I have enough cash to give to our daughter for her mortgage deposit. bitten nail time
    Mortgage Feb '13 £200000, end 2038. Aiming for before March 2025 (crunched to 2034)
    January 16 £182800 : minimum £360 OP but needs to be £600 to achieve 2025
    Current mortgage £160500
    h@lifax CC £4600 0% until May 2018.. will pay minimum for now, slow stooze
    xmas, chairs, hoover, computer and holiday [STRIKE}clothes[STRIKE] DD1 cc
    • Numbercruncher_mfw
    • By Numbercruncher_mfw 14th May 17, 8:55 AM
    • 10 Posts
    • 49 Thanks
    Numbercruncher_mfw
    Just stopping by to say I really love this thread, it's refreshing to see other people have a similar philosophy to me regarding money.

    I also love the idea of paying off the mortgage early, saving for a few years and then travelling. Have you had any thoughts on where you would go?

    I'd love to recreate the scene from Yes Man where Jim Carey and gf just turn up at airport and pick a country they'd like to go to and get on the flight
    • freshcotton
    • By freshcotton 14th May 17, 6:46 PM
    • 222 Posts
    • 564 Thanks
    freshcotton
    Hi MFD, I think its probably a good idea to be over cautious with CCs as they are designed to be a trap, but its all about turning the tables on them - like we are doing.


    Hi numbercruncher - Thanks for posting, I know exactly what you mean about travelling, just going out into the world and moving on when I am ready. We have thought about starting in Europe and moving on to Asia, it would be nice to maybe get some temp work on the way to support us, not only to help financially, but I actually like the idea of working in another country and doing something different for a few months, maybe something ocean front. Clearly its all just a dream at this stage. I have started a scrapbook so whenever I see a nice place - for example in a film or on the internet, I write it down and stick a few photos and notes. This also helps with motivation.


    How you getting on with your journey?
    Last edited by freshcotton; 14-05-2017 at 10:22 PM.
    Mortgage Start - August 2013 £145,000 ************ Balance at April 2017 - £59,000

    Target - Overpay by £2,500 each month ************** Mortgage free by December 2018!
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