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  • FIRST POST
    • Nicnak
    • By Nicnak 10th Sep 17, 8:30 PM
    • 153Posts
    • 400Thanks
    Nicnak
    Debt Free Year
    • #1
    • 10th Sep 17, 8:30 PM
    Debt Free Year 10th Sep 17 at 8:30 PM
    Hi,

    I've pretty much buried my head in the sand over the past 15 years about debt and what it means. I've always seen it as 'normal' to have debt for things, and never thought twice about it. Recently though, I have wanted to think about cutting down my work hours, and I just can't. I can't be the mum I want to be to my 4 year old because I need to work to make sure I can pay the bills and debts. That is when it hit home, that I can't continue like this. I am having a wedding reception in December, which I know is going to take up most of my 'spare' cash, but from January 2018, I will make a difference to my debts.

    Currently have
    £485 0% credit card. It was £2000 in July, So I have been ensuring that I am working on it.
    £7500 Tesco loan at 3.2% - Paying £220 a month and due up in Three years
    £17,450 car loan. Car is in negative equity and I'm stuck in the PCP. The car also is over mileage and has damage. I am 10 months away from handing it back, but with excess mileage and damage, I am thinking this might not be the best idea. Currently paying £351 a month for this luxury that I am thinking I don't need. (I shouldn't have got it, but I did, I can't change what I have stupidly done, and now need to work on the best options).
    I spend money every month on things I don't need, and really need somewhere to record and focus on what it is I am doing, and the inspiration to keep going when I see progress is being made.

    I've started a written diary as well to try to help. If I pay off these debts, then I know that I will be £500 better off. In April, my phone is due up for renewal, and I have already looked at the SIM only deals which will take it to the £500 a month mark.

    i am going to try to earn some extra per month to pay off the debts, which in the short term might reduce the time I have with my daughter.

    Here goes...

    I really need to do this now.
Page 5
    • Nicnak
    • By Nicnak 6th Oct 17, 7:53 PM
    • 153 Posts
    • 400 Thanks
    Nicnak
    Wow £66 extra every month that you can put towards debt repayments! You're doing great so far, keep it up and you could be debt free in no time.
    Originally posted by DebtFreeDuo
    I was so surprised. Especially as most of it is direct debits. It all adds up x
    September 6th 2017 start Updated 18th October
    Credit Card £430 now: £0
    Tesco Loan £7500 = £7110
    Car loan £17450 = £17,099
    Total = £25,330 £24,319
    • Nicnak
    • By Nicnak 7th Oct 17, 6:43 AM
    • 153 Posts
    • 400 Thanks
    Nicnak
    Checked my bank today to budget for the last week before pay day.

    I have £127 in there as my child benefit is showing as in my account for Monday.

    I don't need fuel, but I do need food for the week. A budget of £40 will be set for that. If I am really focussed, I will be able to end the month out of my overdraft and avoid the £10-£20 charges I always end up with. That's another £10 min saving per month so almost at a £100 a month saving by just managing the things I already have an do. With my phone due up next year, and when I do actually tackle the car issue, I should be saving around £300 a month. I started the month £200 into my overdraft, or around that figure, so me being out of it when I was £200 down is a huge achievement. I thought it would be a slow process of reducing it. All the bills I have cancelled above have come out of it as well. The savings will start at the end of this month.

    October is a huge month for me so I am a little worried about keeping it together. I will post about that i a separate post for what I know is coming out after I get paid.
    x
    September 6th 2017 start Updated 18th October
    Credit Card £430 now: £0
    Tesco Loan £7500 = £7110
    Car loan £17450 = £17,099
    Total = £25,330 £24,319
    • Nicnak
    • By Nicnak 7th Oct 17, 6:44 PM
    • 153 Posts
    • 400 Thanks
    Nicnak
    The rest of October
    Is going to get a little bit more expensive than the beginning.

    I have a wedding to go to and to stay at the venue is £150. I could go further afield and get a b&b. It is my birthday the day after the wedding, and I am thinking that if I get money, as I usually do, I will put it towards the costs.
    I don't need an outfit or shoes for the wedding, but i will need to buy them a gift or vouchers. I think buying a gift would be cheaper so think I will opt for this option.

    I also have my sister's birthday, and my birthday, which often ends up expensive. I am going to combine the wedding night as my birthday drinks and meals as a way to cut down that cost. My sister is happy with small gifts so that will be okay.

    Then there is half term. I obviously want to do things with my daughter to make up for all the work I do and the late nights I also have to do. I don't want to sit at home for the full week so will have to look at cheaper days out or craft things at home. Either way, I will need to spend some money over the week to account for this.

    I think if I place, then I am sure that I will manage, but I need to really plan this week totally to ensure I am not spending the usual amount.

    I can get to the 15th november pay day without going in my overdraft. I just need to really focus on this and plan plan plan.

    This week I am aiming for 4 NSDs. I need shopping for one of them, and something always comes up.

    Hubby has started to round down his bank account weekly now. Slow steps for him, but he is actioning some bits and pieces. He then bought a concert ticket for £107 because it was 'once in a lifetime'. Up and down with him.
    September 6th 2017 start Updated 18th October
    Credit Card £430 now: £0
    Tesco Loan £7500 = £7110
    Car loan £17450 = £17,099
    Total = £25,330 £24,319
    • Nicnak
    • By Nicnak 8th Oct 17, 3:34 PM
    • 153 Posts
    • 400 Thanks
    Nicnak
    So today has not been a NSD, in fact quite the opposite.
    It started with hubby needing to go out to our local shopping centre the abd asking me to go.
    I said no as it would result in coffee, although I did need calpol as the little one is ill.

    He said he'd buy coffee as his treat. Gets there, he'd forgot his wallet. This was at the till. So that's £9 for coffee.
    Little one complains her shoes are hurting, checks, she's right. Off to clarks and £43 later...
    Got calpol out of coins in my purse.
    Eyebrows needing doing (£10)
    Picked up birthday cards whilst I was there and saw some cheap Christmas presents £12

    Then Lidl but thankfully o got that to £20, not £40. I need to spend 0 money between now and Friday.

    I'm glad I got some Christmas presents whilst out, but could have done without all the other expense. Not going to let the little one not have decent shoes though.

    I'll just have to have a perfect week.
    September 6th 2017 start Updated 18th October
    Credit Card £430 now: £0
    Tesco Loan £7500 = £7110
    Car loan £17450 = £17,099
    Total = £25,330 £24,319
    • Nicnak
    • By Nicnak 8th Oct 17, 6:17 PM
    • 153 Posts
    • 400 Thanks
    Nicnak
    Properly reviewed the damage from today's spending and I have found that I have £3 left in my bank account.

    I do not want to start another month having been in my overdraft. I will get charged, and I don't want the charges.

    I'm annoyed because I have done so well, but the temptation when I was out was just too much. It shows me that I am not ready to be let lose yet.
    I already know the second half of this month has expenses due that are more than a normal month, so why did I decide to go out of my way and spend?

    I just need to get back on it this week and have 5 NSDs. I do have £6 in change from the £30 I spent so if i need the odd bit of something, I can use that. I just hope there isn't a bill that hasn't come out that I have forgotten about, or not realised is due.

    Back to writing everything down, and getting on top of it. Here goes this week.
    September 6th 2017 start Updated 18th October
    Credit Card £430 now: £0
    Tesco Loan £7500 = £7110
    Car loan £17450 = £17,099
    Total = £25,330 £24,319
    • Nicnak
    • By Nicnak 9th Oct 17, 6:44 PM
    • 153 Posts
    • 400 Thanks
    Nicnak
    I'm so angry with myself.
    I had forgotten about my life insurance and now I am £1.40 in my overdraft.
    I can feel a shift in my emotional reaction to this as I am now things "well, I'm in it now, might as well go fully into it".

    I can beat this. I have so far had a no spend day, and seriously just need to realise the achievement i have made and not stress out about the forgotten bill. It's done, I can't change it, and £1.40 is not as bad as the £200 I was in it last month.

    I feel totally depleted.

    I was even going over the car in my head this morning, which is something in itself. I was facing up to what decisions I had to make.
    September 6th 2017 start Updated 18th October
    Credit Card £430 now: £0
    Tesco Loan £7500 = £7110
    Car loan £17450 = £17,099
    Total = £25,330 £24,319
    • DebtFreeDuo
    • By DebtFreeDuo 9th Oct 17, 7:21 PM
    • 212 Posts
    • 981 Thanks
    DebtFreeDuo
    We all get ups and downs, just put this down to experience, don't let it ruin all your amazing work this month by having a blow out, you know that will make you feel even worse. Next month you will be prepared for everything and won't be starting the month off with a £200 overdraft.
    Debt 14/10/17/20/9/17 5395.16/5690.50 = Loan: 2065.32/2207.38 Car Loan: 2292.94/2419.64 0% CC: 1036.90/1063.48 DFD April 19 (Target Dec 18).
    Make up to £10 a day challenge: £110.51/£150..NSD October 12/15
    • Nicnak
    • By Nicnak 9th Oct 17, 7:24 PM
    • 153 Posts
    • 400 Thanks
    Nicnak
    We all get ups and downs, just put this down to experience, don't let it ruin all your amazing work this month by having a blow out, you know that will make you feel even worse. Next month you will be prepared for everything and won't be starting the month off with a £200 overdraft.
    Originally posted by DebtFreeDuo
    Thanks, I am just so frustrated at myself x
    September 6th 2017 start Updated 18th October
    Credit Card £430 now: £0
    Tesco Loan £7500 = £7110
    Car loan £17450 = £17,099
    Total = £25,330 £24,319
    • Munchin
    • By Munchin 9th Oct 17, 8:19 PM
    • 2,067 Posts
    • 5,961 Thanks
    Munchin
    Hi Nicnak

    These things happen & no point kicking yourself (you know we’ve all done it ), put it behind you and focus on the rest of the month
    • enthusiasticsaver
    • By enthusiasticsaver 9th Oct 17, 8:43 PM
    • 4,427 Posts
    • 8,232 Thanks
    enthusiasticsaver
    You obviously know where you went wrong though and will learn from this hopefully. Maybe childrens shoes need a separate budget all of their own £43

    Don't fall off the wagon completely, just make a plan to get back on budget and move on.
    Countdown to early retirement on 21.12.17 2 months to go.
    • Nicnak
    • By Nicnak 10th Oct 17, 8:04 AM
    • 153 Posts
    • 400 Thanks
    Nicnak
    My phone bill has come out. I thought I had accounted for all bills to come out, butvrealised im forgetting I have been paid at a different time of the month. Normally the bills comeoy wihinnon week of me being paid.

    I now know I need a to have £100 left the last week before pay day.
    Bank now stands at -£45

    Not good.
    September 6th 2017 start Updated 18th October
    Credit Card £430 now: £0
    Tesco Loan £7500 = £7110
    Car loan £17450 = £17,099
    Total = £25,330 £24,319
    • Nicnak
    • By Nicnak 10th Oct 17, 8:26 PM
    • 153 Posts
    • 400 Thanks
    Nicnak
    NSD
    I've explained above about my phone bill and how I made that mistake. Now I know when I get paid.
    September 6th 2017 start Updated 18th October
    Credit Card £430 now: £0
    Tesco Loan £7500 = £7110
    Car loan £17450 = £17,099
    Total = £25,330 £24,319
    • louby40
    • By louby40 10th Oct 17, 8:56 PM
    • 1,102 Posts
    • 3,063 Thanks
    louby40
    Have you thought about switching banks to one that has a free overdraft?first directs current account let’s you go £250 overdrawn for free.

    I swapped last year and I’ve only gone into my over draft occasionally since then and NEVER over the £250 mark.

    I realise that for some people if they know they CAN go overdrawn they will but maybe in the short term it might be something to think about.

    You do get a £100incentive to switch and it’s really simple.
    Parent loan PAID IN FULL Sealed Pot Challenge 10 #572
    Emergency fund £730/£1000. Christmas savings £400/£600 Car maintenance £0/600
    Kitchen July £12,493 OCT £10,493. 18% paid off
    Barclaycard £300
    Car loan £2890 Mortgage £95,415
    TOTAL DEBT = £109,098
    • Nicnak
    • By Nicnak 11th Oct 17, 6:24 AM
    • 153 Posts
    • 400 Thanks
    Nicnak
    Have you thought about switching banks to one that has a free overdraft?first directs current account let’s you go £250 overdrawn for free.

    I swapped last year and I’ve only gone into my over draft occasionally since then and NEVER over the £250 mark.

    I realise that for some people if they know they CAN go overdrawn they will but maybe in the short term it might be something to think about.

    You do get a £100incentive to switch and it’s really simple.
    Originally posted by louby40
    Yes, I've thought about switching but never done it crrtainly one to look at.
    September 6th 2017 start Updated 18th October
    Credit Card £430 now: £0
    Tesco Loan £7500 = £7110
    Car loan £17450 = £17,099
    Total = £25,330 £24,319
    • Nicnak
    • By Nicnak 11th Oct 17, 6:10 PM
    • 153 Posts
    • 400 Thanks
    Nicnak
    NSD again.
    It's getting harder as I'm feeling so annoyed about the bills.

    This is where I could blow it. Thankfully I've got some work to do tonight.

    Positive mantras are just going through my head.
    September 6th 2017 start Updated 18th October
    Credit Card £430 now: £0
    Tesco Loan £7500 = £7110
    Car loan £17450 = £17,099
    Total = £25,330 £24,319
    • AdventureWanted
    • By AdventureWanted 11th Oct 17, 7:03 PM
    • 66 Posts
    • 268 Thanks
    AdventureWanted
    Well done on another NSD. You’re doing really well. Don’t let the bills mistake undo all your hard work. You’ve got this.x
    LBM Aug 2017.
    CC1 - £4,120.00 / £5,185 1/8/17. CC2 - £12,403.00 / £13,470 1/8/17. CC3 - £11.170.00 / £11,400 1/8/17

    1% challenge - 20%. PAD challenge - £501.70 (since 13/9/17)
    • Nicnak
    • By Nicnak 11th Oct 17, 7:19 PM
    • 153 Posts
    • 400 Thanks
    Nicnak
    Well done on another NSD. You’re doing really well. Don’t let the bills mistake undo all your hard work. You’ve got this.x
    Originally posted by AdventureWanted
    Thank you,

    I think I am just really frustrated at myself for letting it happen. I totally feel out of sync with pay day etc. Friday is payday so one more NSD till payday and it won't be as bad as it has been in the last 3 years. I guess that is progress.

    I signed up to people per hour and have just been accepted to do a ob worth £152 (fees still need to come out of this). I can have it done by Sunday if I try, which will pay for that hotel I am staying at for the night, or most of it anyway. The birthday money will pay for the rest.

    I then have my sister's birthday, and my nephew's birthday and half term.

    I'm sure I will come up with something.
    September 6th 2017 start Updated 18th October
    Credit Card £430 now: £0
    Tesco Loan £7500 = £7110
    Car loan £17450 = £17,099
    Total = £25,330 £24,319
    • Nicnak
    • By Nicnak 12th Oct 17, 7:20 PM
    • 153 Posts
    • 400 Thanks
    Nicnak
    Another NSD. Payday tomorrow too.
    Overdraft stands at -£59

    Phone bill came out, life insurance and then charges if £4.50
    Not as bad as last month, but I'm still annoyed I'm in it.
    September 6th 2017 start Updated 18th October
    Credit Card £430 now: £0
    Tesco Loan £7500 = £7110
    Car loan £17450 = £17,099
    Total = £25,330 £24,319
    • DebtFreeDuo
    • By DebtFreeDuo 12th Oct 17, 7:26 PM
    • 212 Posts
    • 981 Thanks
    DebtFreeDuo
    Well done for resisting the urge to spend, look how far you have come so far! Payday tomorrow and next month you will be more than prepared for all of your bills and you won't go into that overdraft.
    Debt 14/10/17/20/9/17 5395.16/5690.50 = Loan: 2065.32/2207.38 Car Loan: 2292.94/2419.64 0% CC: 1036.90/1063.48 DFD April 19 (Target Dec 18).
    Make up to £10 a day challenge: £110.51/£150..NSD October 12/15
    • Nicnak
    • By Nicnak 12th Oct 17, 7:34 PM
    • 153 Posts
    • 400 Thanks
    Nicnak
    I hope so! I'm focussed enough now, but need it to last over half term x
    September 6th 2017 start Updated 18th October
    Credit Card £430 now: £0
    Tesco Loan £7500 = £7110
    Car loan £17450 = £17,099
    Total = £25,330 £24,319
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