Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

    • shockindkj
    • By shockindkj 6th Jan 18, 2:09 PM
    • 15Posts
    • 1Thanks
    Piggybank when in debt?
    • #1
    • 6th Jan 18, 2:09 PM
    Piggybank when in debt? 6th Jan 18 at 2:09 PM
    We're trying to clean up or finances and have lots of debt on credit cards etc.
    We use the spreadsheet budgeting tool from Money Saving Expert and have been using the 'piggy bank' method for expected expenditure such as school uniform, tenancy renewals, dentist fees etc.
    My question is - should we be using the £200 we put in the piggy bank each month to clear off our debt instead? If we did this then when uniform/tenancy renewals/dentist fees come up, we'd have to pay by credit card...

    What do you think?

    Thanks for reading
Page 1
    • tori.k
    • By tori.k 7th Jan 18, 6:23 AM
    • 3,104 Posts
    • 7,684 Thanks
    • #2
    • 7th Jan 18, 6:23 AM
    • #2
    • 7th Jan 18, 6:23 AM
    These should be budgeted for in you SOA, things like your tenancy renewal are an expected cost to not budget for them will leave you robbing Peter to pay Paul further down the line, to free up extra cash for overpaying debt take a harsh look at your monthly outgoings and see where you can reduce cost at source, can you slim down life's luxuries, are you on the cheapest tariffs for household bills, can you make some extra money by selling your unwanted items.
    A emergency fund is a must, as it avoid needing the use of credit in the first place. If you are struggling to make the income and outgoings match then pop an SOA ( statements of affairs) on here, if often helps to talk through a budget and make a plan on the order to pay off debt the most cost efficient way or look at other debt options available to you.
    Debit to Credit (stage 1) 3652.34 completed 15/10/16
    Debit to Credit (stage 2) 6299.09 completed 25/06/17
    Save 12k in 2018 #76 3000/6000
    • datlex
    • By datlex 7th Jan 18, 12:34 PM
    • 1,555 Posts
    • 1,396 Thanks
    • #3
    • 7th Jan 18, 12:34 PM
    • #3
    • 7th Jan 18, 12:34 PM
    Piggy banking should cover all expenditure not just longer term.
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

943Posts Today

6,594Users online

Martin's Twitter