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  • FIRST POST
    • jamie2017
    • By jamie2017 21st May 17, 10:01 PM
    • 23Posts
    • 62Thanks
    jamie2017
    30k Journey
    • #1
    • 21st May 17, 10:01 PM
    30k Journey 21st May 17 at 10:01 PM
    I am 24yo with £29k of debt. This is spread over a debt consolidation loan of £15,500 and a Barclaycard of £13,500

    I could lie and pretend my debt was due to various "high value" items which were essential e.g. rent deposits, not having enough to cover my rent as a student etc, but the reality is my debt is mainly down to bad budgeting and bad habits.

    I have now used YNAB for 2 months so I can see where the money is going and how out of control some of my spending is.

    I have had my lightbulb moment, when you have this sickening feeling everytime you go eat out, when the bill arrives and you feel physically sick knowing you have such high debt repayments that realistically you cannot afford this. When everyone around you has £700 extra a month (same work colleagues etc) as they do not have £700 minimum debt payments. The moment you feel genuinely guilty and sick to buy work shoes, because you worry about this mountain of debt behind you. Living with debt right now equals me feeling endless guilt 24/7, waking up feeling guilty, struggling to sleep with anxiety. I realise it really is not worth it.

    The scariest part is you bury your head in the sand because you know it is bad and you cannot emotionally stand up and deal with it, so it gets even worse. Well 2 months into YNAB, having recorded every single penny going in and out, and knowing every penny of debt I have - I have woken up and my head is firmly out of the sand. This needs to go because it is holding back my entire life.

    I got given an amazing opportunity to work in New York this year and my debt was the reason I refused it, I am losing out of amazing opportunities and life ambitions because I spend way too much on junk like Starbucks, or Amazon purchases I hardly use, or £7 lunches in the city of London. None of these things are worth it. Today is the day I commit to fixing this, and if anybody can provide me some top tips, some good threads to join, some challenges that work for them perhaps, please please do help.

    I will not record a SOA here, because I have already done all of that in YNAB and I have already reduced everything to the minimum (e.g. reduced BB, removed TV package, got mobile half price, compared energy and switched, cut out extras like netflix, cancelled unused gym etc). I have also attended a tonne of the YNAB classes.

    I really just need support & this will be a place I document my progress.
Page 2
    • mobo1980
    • By mobo1980 14th Jun 17, 8:42 AM
    • 335 Posts
    • 1,769 Thanks
    mobo1980
    Well done on closing a card and reducing your limit on another - you're making progress already

    Mobo xx
    CC1-£1729.53
    CC2-£4323.00
    LOAN-£14,519.05
    TOTAL DEBT £20,571.58
    Then there's the mortgage
    • jamie2017
    • By jamie2017 7th Jul 17, 12:07 AM
    • 23 Posts
    • 62 Thanks
    jamie2017
    Still here, just pottering on. I have to move flats so that is gonna be a tough one to figure out. Housemate randomly decided he wanted to live elsewhere...
    LBM: £29517.61 June 2017 DFD: DEC 2021 Total Paid 76.80/29517.69
    Barclays 76.80/13267.92 Loan: 0/8649.69 MBNA: 0/7600
    • dionysia
    • By dionysia 9th Jul 17, 11:58 AM
    • 63 Posts
    • 125 Thanks
    dionysia
    Ouch! Could you stay put and find another friend to move in, or someone on spareroom.co.uk? I moved recently and between agent fees, moving costs, cleaning the old place I worked out I laid out nearly £1000! And that's before having to find cash for a new deposit while the other one was still tied up and first month's rent while still paying on the current place.
    June 2017: owe £16,818.
    • jamie2017
    • By jamie2017 9th Jul 17, 5:53 PM
    • 23 Posts
    • 62 Thanks
    jamie2017
    It's not really an option, the agency has basically said you can use the break-clause or nothing at all. I have asked all the other stuff, anyway on the plus side the new place is £200pm cheaper, so I can paydown a bit more.
    LBM: £29517.61 June 2017 DFD: DEC 2021 Total Paid 76.80/29517.69
    Barclays 76.80/13267.92 Loan: 0/8649.69 MBNA: 0/7600
    • TeaRex
    • By TeaRex 9th Jul 17, 6:56 PM
    • 32 Posts
    • 39 Thanks
    TeaRex
    Hello! I popped in and read your diary, good luck! You sound like you are doing all the right things

    Just a quick one though, don't assume that all your colleagues have spare cash flying around! I have a well paid job for the area I live in and lots of people have commented to my partner when Im not around that surely we must be able to afford this and that, a bigger flat or more days/nights out, plus I have a brand new company car which doesn't help their opinion of me being well off but obviously I have a lot of debt that Im trying to clear and some months we really do struggle but we never let it show. Lots of my friends also would come across as being comfortable with money but I know different.

    I bet you would be surprised at how many people live on credit day in and day out! Normally the people that you think are loaded!!

    Good luck on your debt free journey!
    June 2015 Debt - £23643 // Sept 2017 Debt - £3100 // Barclaycard Defaulted Debt £4707
    Online Savings - £200 // Xmas Cash Savings - £300
    • jamie2017
    • By jamie2017 15th Jul 17, 5:40 PM
    • 23 Posts
    • 62 Thanks
    jamie2017
    At this point I cannot even imagine a day without debt, but I feel strangely positive about that day. It gives me a good warm feeling inside to know I have started my journey there, which is odd as I usually feel overwhelmed by this.
    LBM: £29517.61 June 2017 DFD: DEC 2021 Total Paid 76.80/29517.69
    Barclays 76.80/13267.92 Loan: 0/8649.69 MBNA: 0/7600
    • jamie2017
    • By jamie2017 15th Jul 17, 5:42 PM
    • 23 Posts
    • 62 Thanks
    jamie2017
    Also I was out last night with a guy who lives at home (27 years old), telling me I should not continue to rent and "just buy somewhere." I am sure at 27, living at home he has several thousands floating around to "just buy." Some people just don't get the real world lol... I aint gonna have a deposit in a while (but definitely will do one day)!
    LBM: £29517.61 June 2017 DFD: DEC 2021 Total Paid 76.80/29517.69
    Barclays 76.80/13267.92 Loan: 0/8649.69 MBNA: 0/7600
    • UncannyScot
    • By UncannyScot 15th Jul 17, 6:02 PM
    • 611 Posts
    • 2,706 Thanks
    UncannyScot
    Hi Jamie2017
    Have just read through your diary and think you are doing really well.
    BUGGRITMILLENIUMHANDANDSHRIMP I TOLD EM! - Foul Ole Ron
    It is important that we know where we come from, because if you do not know where you come from, then you do not know where you are, and if you don't know where you are, then you don't know where you are going. If you don't know where you're going, you're probably going wrong.
    R.I.P. T.P.
    • jamie2017
    • By jamie2017 22nd Jul 17, 11:03 PM
    • 23 Posts
    • 62 Thanks
    jamie2017
    Thanks everyone for the inspiration - flat move complete, will hopefully not come out too down. Luckily my previous flat had 6 weeks deposit, here is 4 weeks, so that's 2 weeks rent as a buffer (assuming deposit comes back). Once all finances are settled down (deposits back, rents ironed out e.g. have paid August upfront etc) will update my figures.
    LBM: £29517.61 June 2017 DFD: DEC 2021 Total Paid 76.80/29517.69
    Barclays 76.80/13267.92 Loan: 0/8649.69 MBNA: 0/7600
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