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  • FIRST POST
    • Newstart3
    • By Newstart3 16th Sep 17, 1:50 PM
    • 25Posts
    • 32Thanks
    Newstart3
    Journey to debt free awesomeness
    • #1
    • 16th Sep 17, 1:50 PM
    Journey to debt free awesomeness 16th Sep 17 at 1:50 PM
    I've decided to start a diary to keep track of my journey to debt free awesomeness and my attempt to repair a seriously damaged credit file, in the hope that one day I may be able to buy my own home.

    I am 30 and live with my partner and our dog. In January 2017 I owed a staggering £21,500 of unsecured debt to 12 creditors. Wow...

    TSB Overdraft £3,303
    MBMA £4,315
    Barclays £4,463
    Argos £1,246
    Hitachi (CCJ) £3,050 - target date to pay Jan 18 F&F accepted £1000
    Littlewoods £796 F&F £550 Sept 17
    Lloyds CC £1,534 F&F £1000 Sept 17
    Next £510 F&F £400 Mar 17
    Wonga £123 F&F £100 Jan 17
    Ikanco £1,509 F&F £400 Aug 17
    Lending Stream £130 paid Jan 17
    Lending Stream £255 F&F £144 paid Jan 17
    First Capital £158 paid Aug 17

    My ex and I ran up this debt over a 2 year period, when he convinced me to leave a very well paid job in London and move to Cumbria. The majority of the money was spent on furnishing a rental property and he bought himself a £7000 watch (yes you read that right) When the credit was all used up and I couldn't get more, he kindly started relationships with other women on the internet and slept with them. We broke up in 2014 and I couldn't meet the minimum payments so the accounts went into default. I had a brief stint in a debt management plan but ultimately I decided to go self managed, which resulted in me getting a CCJ. I'm embarrassed to say that I was so angry and upset at the situation that I didn't open any post for over a year! He's never made a single payment towards any of the debt since we broke up and needless to say, he kept the watch.

    My overall plan is to be debt free in 2018 using full & final settlements, however I realise that as my credit file is badly damaged and for at least 1 of the larger accounts, it may be worth paying a set monthly amount for the foreseeable future. My long term goal is to buy my own home, however I realise this may not be possible until the CCJ is removed from my file in 2021 (ouch!).

    Earlier in the year I was offered a credit card with Capital one with a £200 credit limit. In September, I was offered a credit card again with Capital one with a £500 credit limit. I plan to use this to improve my credit file with lots of lovely little green ticks, by using the card for food shopping once a month. I get paid weekly so there's always 1 week where I'm more skint than others around the 15th, due to my direct debits. So far my credit file has stayed roughly the same and I haven't been tempted to use the card (in fact, I always forget I have it lol).

    Overall I'm feeling pretty positive about my progress to date and I had a lovely realisation yesterday that I'm over halfway to the majority of my defaults falling off my credit file My biggest regret is not starting to deal with the problem back in 2014 as I could have paid it back by now!
    TSB £3,303, MBMA £4,315, Barclays £4,463, Argos £1,260, Mortimer Clarke CCJ £2,174, Lloyds CC £1534, Littlewoods £796, Next £510, Wonga £123, , Lending Stream 1 £130.87, Bensons for beds £1509, Lending Stream 2 £255.96, Lloyds CC £1,534, Total Jan £21,908, Feb £20,412 Sept £15,515 Debt repaid in 2017 = £6,393 TARGET DFD APRIL 2018
Page 1
    • Scott_Weiland
    • By Scott_Weiland 16th Sep 17, 1:55 PM
    • 616 Posts
    • 1,500 Thanks
    Scott_Weiland
    • #2
    • 16th Sep 17, 1:55 PM
    • #2
    • 16th Sep 17, 1:55 PM
    Good like with your journey.

    Post as much as you can it will help there is some very knowledgeable people on here.

    The first thing i would do is an SOA to get a true picture of things.
    Debts 15981.64 total paid 2078
    Cashback Earnings YTD £166.90 Survey Earnings YTD £535.12
    • UncannyScot
    • By UncannyScot 16th Sep 17, 2:07 PM
    • 820 Posts
    • 4,117 Thanks
    UncannyScot
    • #3
    • 16th Sep 17, 2:07 PM
    • #3
    • 16th Sep 17, 2:07 PM
    Hi and welcome and good luck with your journey

    If you need any advice or info on anything, SHOUT... or post it up here, it works just the same
    Someone will come along with an answer, advice or virtual tea n cake... hugs too or a friendly boot up the backside when you need it.

    All on the same journey here, some take different routes but the end destination is the same... Debt Free.
    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.
    • Newstart3
    • By Newstart3 17th Sep 17, 12:26 AM
    • 25 Posts
    • 32 Thanks
    Newstart3
    • #4
    • 17th Sep 17, 12:26 AM
    • #4
    • 17th Sep 17, 12:26 AM
    Thanks, I'll complete a SOA when I get time and post it up here. I'm sure there's probably loads of things we could cut back on. We're pretty disorganised when it comes to food shopping for instance
    TSB £3,303, MBMA £4,315, Barclays £4,463, Argos £1,260, Mortimer Clarke CCJ £2,174, Lloyds CC £1534, Littlewoods £796, Next £510, Wonga £123, , Lending Stream 1 £130.87, Bensons for beds £1509, Lending Stream 2 £255.96, Lloyds CC £1,534, Total Jan £21,908, Feb £20,412 Sept £15,515 Debt repaid in 2017 = £6,393 TARGET DFD APRIL 2018
    • Newstart3
    • By Newstart3 21st Sep 17, 7:21 PM
    • 25 Posts
    • 32 Thanks
    Newstart3
    • #5
    • 21st Sep 17, 7:21 PM
    • #5
    • 21st Sep 17, 7:21 PM
    Monthly Income

    Income Amount
    Net Monthly Salary £ 2,010.00
    Partner's Monthly Salary £ 200.00
    Benefits £ 0.00
    TOTAL MONTHLY INCOME £ 2,210.00


    Essential Monthly Outgoings

    Outgoings Amount
    Mortgage £ 0.00
    Rent £ 400.00
    Council Tax £ 0.00
    Electricity £ 54.00
    Gas £ 0.00
    Heating Oil £ 0.00
    Water Rates £ 54.00
    Telephone £ 0.00
    Mobile Phone £ 25.00
    TV Licence £ 12.12
    Satellite TV £ 80.00
    Internet £ 0.00
    Buildings Insurance £ 0.00
    Contents Insurance £
    Life Insurance £
    Groceries £ 300.00
    Clothing £ 10.00
    Petrol £ 50.00
    Car Tax £ 16.18
    Car Insurance £ 20.99
    Car MOT £
    Car Maintenance £
    Car Parking £
    Other Travel £
    Childminder/Nursery £
    Medical/Dental Expenses £
    Pets Insurance/Vets Bills £ 7.72
    Birthdays/Christmas £ 20.00
    Holidays £
    Gym £ 20.00
    Entertainment £ 100.00
    TOTAL MONTHLY OUTGOINGS £ 1,170.01
    NET MONTHLY SURPLUS £ 1,039.99


    Monthly Debts

    Debt Total Debt Min Payment Rate
    Overdraft £ 3,303.00 £ 0.00 0.00 %
    Argos £ 1,246.00 £ 0.00 0.00 %
    MBMA £ 4,315.00 £ 0.00 0.00 %
    Barclays £ 4,463.00 £ 0.00 0.00 %
    CCJ £ 2,300.00 £ 50.00 0.00 %
    TOTAL DEBT £ 15,627.00


    Assets

    Asset Value
    Cash £ 1,000.00
    House Equity £ 0.00
    Shares/Bonds £ 0.00
    Car(s) £ 2,000.00
    TOTAL ASSETS £ 3,000.00
    TSB £3,303, MBMA £4,315, Barclays £4,463, Argos £1,260, Mortimer Clarke CCJ £2,174, Lloyds CC £1534, Littlewoods £796, Next £510, Wonga £123, , Lending Stream 1 £130.87, Bensons for beds £1509, Lending Stream 2 £255.96, Lloyds CC £1,534, Total Jan £21,908, Feb £20,412 Sept £15,515 Debt repaid in 2017 = £6,393 TARGET DFD APRIL 2018
    • Newstart3
    • By Newstart3 22nd Sep 17, 10:58 AM
    • 25 Posts
    • 32 Thanks
    Newstart3
    • #6
    • 22nd Sep 17, 10:58 AM
    • #6
    • 22nd Sep 17, 10:58 AM
    Had a job interview yesterday for my dream job. Its the big opportunity I've been waiting on. Another positive is that the extra salary would mean an approx extra £600 per month after tax, which would seriously boost my ability to pay off my debt. Downside is that it's a 40min drive away & my car isn't great. I suppose I could try and get something better after a few months (not on finance though!) my dad has always loaned me money in the past, so this may be an option to getting something quickly, interest free.

    Wish me luck! I'm going to be on tenderhooks for the next few days waiting to find out!
    TSB £3,303, MBMA £4,315, Barclays £4,463, Argos £1,260, Mortimer Clarke CCJ £2,174, Lloyds CC £1534, Littlewoods £796, Next £510, Wonga £123, , Lending Stream 1 £130.87, Bensons for beds £1509, Lending Stream 2 £255.96, Lloyds CC £1,534, Total Jan £21,908, Feb £20,412 Sept £15,515 Debt repaid in 2017 = £6,393 TARGET DFD APRIL 2018
    • Honeysucklelou2
    • By Honeysucklelou2 23rd Sep 17, 12:50 AM
    • 512 Posts
    • 1,735 Thanks
    Honeysucklelou2
    • #7
    • 23rd Sep 17, 12:50 AM
    • #7
    • 23rd Sep 17, 12:50 AM
    Hope the interview went well and you hear back soon.
    paydbx #90 £475/£10,000.
    Loan £17k - paid off in Aug 2017. Home improvement loans £3342 March 2017. £3206 in Oct 17
    • Honeysucklelou2
    • By Honeysucklelou2 23rd Sep 17, 12:52 AM
    • 512 Posts
    • 1,735 Thanks
    Honeysucklelou2
    • #8
    • 23rd Sep 17, 12:52 AM
    • #8
    • 23rd Sep 17, 12:52 AM
    Re the SOA, there is nothing listed for council tax...is that included in your rent? Might be worth putting something aside for car maintenance?
    paydbx #90 £475/£10,000.
    Loan £17k - paid off in Aug 2017. Home improvement loans £3342 March 2017. £3206 in Oct 17
    • Purplemumof2
    • By Purplemumof2 23rd Sep 17, 7:59 AM
    • 5,354 Posts
    • 18,301 Thanks
    Purplemumof2
    • #9
    • 23rd Sep 17, 7:59 AM
    • #9
    • 23rd Sep 17, 7:59 AM
    Morning Newstart3,

    Good luck with the job interview, I hope that you hear soon x
    Official DFW Nerd Club - Member no. 791 - Proud to be dealing with my debts
    MBNA: £7100.00 Cap 1: £533.40 BC: £5090.00

    AFD 0/10 NSD 0/10 LTW 0/10

    20p Savers 2017 £2 Savers 2017 50p Savers 2017 SPC 11 2018 #003
    • Newstart3
    • By Newstart3 23rd Sep 17, 8:53 AM
    • 25 Posts
    • 32 Thanks
    Newstart3
    Honeysucklelou2,

    My partner pays the council tax so haven't included it here. I have a couple of saving accounts for Christmas etc. As you suggested, I'll set up another for car maintenance
    TSB £3,303, MBMA £4,315, Barclays £4,463, Argos £1,260, Mortimer Clarke CCJ £2,174, Lloyds CC £1534, Littlewoods £796, Next £510, Wonga £123, , Lending Stream 1 £130.87, Bensons for beds £1509, Lending Stream 2 £255.96, Lloyds CC £1,534, Total Jan £21,908, Feb £20,412 Sept £15,515 Debt repaid in 2017 = £6,393 TARGET DFD APRIL 2018
    • Newstart3
    • By Newstart3 26th Sep 17, 2:26 PM
    • 25 Posts
    • 32 Thanks
    Newstart3
    Found out a couple of hours ago that I got the job! I'm Super excited!
    TSB £3,303, MBMA £4,315, Barclays £4,463, Argos £1,260, Mortimer Clarke CCJ £2,174, Lloyds CC £1534, Littlewoods £796, Next £510, Wonga £123, , Lending Stream 1 £130.87, Bensons for beds £1509, Lending Stream 2 £255.96, Lloyds CC £1,534, Total Jan £21,908, Feb £20,412 Sept £15,515 Debt repaid in 2017 = £6,393 TARGET DFD APRIL 2018
    • Purplemumof2
    • By Purplemumof2 26th Sep 17, 2:45 PM
    • 5,354 Posts
    • 18,301 Thanks
    Purplemumof2
    Congratulations x
    Official DFW Nerd Club - Member no. 791 - Proud to be dealing with my debts
    MBNA: £7100.00 Cap 1: £533.40 BC: £5090.00

    AFD 0/10 NSD 0/10 LTW 0/10

    20p Savers 2017 £2 Savers 2017 50p Savers 2017 SPC 11 2018 #003
    • DebtFreeDuo
    • By DebtFreeDuo 26th Sep 17, 5:58 PM
    • 447 Posts
    • 2,159 Thanks
    DebtFreeDuo
    Congratulations on the new job! You must be so pleased, the extra income will be great to help make a real dent in that debt and it will be cleared in no time.
    LBM 20/9/17 5101.55/5690.50 = Loan: 1923.70/2207.38 Car Loan: 2166.87/2419.64 0% CC: 1010.98/1063.48 DFD Oct 18.
    SPC 586
    • Newstart3
    • By Newstart3 28th Sep 17, 1:53 PM
    • 25 Posts
    • 32 Thanks
    Newstart3
    Feeling very positive & determined today. All the housework is done & even organised some cupboards. Was a bit naughty this week & bought a new throw for my bed from Debenhams. Haven't bought anything new for months, so this is how I've justified it to myself lol. We celebrated my new job last night with a takeaway. Dreading 3pm when I start work as I need to tell my boss I'm leaving. I have a feeling she's not going to take it we'll as another manager left just last week.
    TSB £3,303, MBMA £4,315, Barclays £4,463, Argos £1,260, Mortimer Clarke CCJ £2,174, Lloyds CC £1534, Littlewoods £796, Next £510, Wonga £123, , Lending Stream 1 £130.87, Bensons for beds £1509, Lending Stream 2 £255.96, Lloyds CC £1,534, Total Jan £21,908, Feb £20,412 Sept £15,515 Debt repaid in 2017 = £6,393 TARGET DFD APRIL 2018
    • Purplemumof2
    • By Purplemumof2 28th Sep 17, 2:06 PM
    • 5,354 Posts
    • 18,301 Thanks
    Purplemumof2
    Whether she takes it well or not, doesn't matter....you need to look after you so don't feel bad.

    Hope the takeaway was nice x
    Official DFW Nerd Club - Member no. 791 - Proud to be dealing with my debts
    MBNA: £7100.00 Cap 1: £533.40 BC: £5090.00

    AFD 0/10 NSD 0/10 LTW 0/10

    20p Savers 2017 £2 Savers 2017 50p Savers 2017 SPC 11 2018 #003
    • TeaRex
    • By TeaRex 28th Sep 17, 7:23 PM
    • 40 Posts
    • 97 Thanks
    TeaRex
    Thought I would wander over to your diary as you posted on mine

    Congratulations on the job, awesome news! You will be debt free in no time and it will feel fantastic! x
    June 2015 Debt - £23643 // Nov 2017 Debt - £1950
    Sealed Pot Challenge Member - 584
    • Newstart3
    • By Newstart3 29th Sep 17, 12:18 AM
    • 25 Posts
    • 32 Thanks
    Newstart3
    Thanks guys! My boss was away to a trade show so I wasn't able to hand in my resignation... gutted as I'd built myself up all day to do it!

    Tomorrow's another day & I Know I'll feel better once it's done
    TSB £3,303, MBMA £4,315, Barclays £4,463, Argos £1,260, Mortimer Clarke CCJ £2,174, Lloyds CC £1534, Littlewoods £796, Next £510, Wonga £123, , Lending Stream 1 £130.87, Bensons for beds £1509, Lending Stream 2 £255.96, Lloyds CC £1,534, Total Jan £21,908, Feb £20,412 Sept £15,515 Debt repaid in 2017 = £6,393 TARGET DFD APRIL 2018
    • Newstart3
    • By Newstart3 12th Oct 17, 12:12 PM
    • 25 Posts
    • 32 Thanks
    Newstart3
    So I start my new job at the end of October, which I'm super excited about but slightly apprehensive about moving from weekly to monthly paid at such an expensive time of the year. I've saved up a healthy little savings amount but was hoping not to touch this.

    Does anyone have any tips on managing without any money for a few weeks? I'm unsure exactly at this point what day of the month my salary will be paid & what cut off date is. I'm hoping to find this out on the 17th when I have my induction
    TSB £3,303, MBMA £4,315, Barclays £4,463, Argos £1,260, Mortimer Clarke CCJ £2,174, Lloyds CC £1534, Littlewoods £796, Next £510, Wonga £123, , Lending Stream 1 £130.87, Bensons for beds £1509, Lending Stream 2 £255.96, Lloyds CC £1,534, Total Jan £21,908, Feb £20,412 Sept £15,515 Debt repaid in 2017 = £6,393 TARGET DFD APRIL 2018
    • JoJoC
    • By JoJoC 12th Oct 17, 12:31 PM
    • 1,241 Posts
    • 4,012 Thanks
    JoJoC
    Just stopping by to say hi!

    Congratulations on the new job - sounds like it'll make a massive difference to your debt-busting journey.

    I haven't had to move from weekly to monthly pay before, so don't really have any tips, but here's some thoughts:
    - Try to have a lean month food-wise (eat out of the freezer and cupboards, meal plan etc)
    - Work out what you absolutely need to spend on outgoings, fuel, subsistence etc and don't spend a penny more than you need to until pay day
    - Remember that this is just ONE MONTH, not a long term issue
    - Try not to owe yourself the money - for example, don't get to pay day at the end of November and owe a credit card hundreds of pounds because then you're starting the month out of pocket.

    Hopefully some of that helps?

    All the best - Jo
    CC1: £3804.52 / £3704.32 £100.20 paid | CC2:£5027.53 / £4927.48 £100.05 paid | Loan: £15,000 / £13,932.24 (£1067.76 paid)

    July debt total: £23,832.05 | New debt total: £22,564.04 | Total debt paid: £1,268.01 (5.3%)
    *My debt busting and savings diary*
    • enthusiasticsaver
    • By enthusiasticsaver 12th Oct 17, 12:40 PM
    • 4,679 Posts
    • 8,783 Thanks
    enthusiasticsaver
    Just read through your diary and wanted to say congrats on the new job and paying off more than £6k in debt. Sorry your ex left you in so much debt (am still staggered at the £7k watch!!).

    Going from weekly to monthly pay is a challenge but eventually it will help with budgeting better. I assume the way you split expenses is your partner gives you £200 to the rent and you pay for utilities and he pays council tax? I would advise you spend as little as possible between now and starting your new job so you can keep a buffer in your current account. If that £500 capital card is at 0 balance you could use that to pay for petrol and fuel for the next month until you get paid so leaving the money in your current account. Just make sure you pay it off when you get paid. That means the food money which would have come from your bank will stay in your current account to go towards food and bills. I would also cancel that horrific satellite bill. £80 is extortionate.
    5 weeks to go until early retirement in December . Debt free and mortgage free.

    I'm a Board Guide on the Debt-Free Wannabe, Mortgages, Banking and Budgeting boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Any views are mine and not the official line of moneysavingexpert.com. Pease remember, board guides don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com
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