Slaying my debts, the second year

sarahb123_3

Buffythedebtslayer wrote: »

1. close all unnecessary bank accounts (how I can have such a sentimental attachment to them is beyond me but I do)

2. Keep on account for Avon, one for cashback and paypal and second job.

3. one account for Wages.

4. keep out goings to a bear minimum. hmmmm.

Grrrr! Just wrote a really long reply and it got lost:mad:

Will try the main points again and copy it this time.

Buffy, one of the main things that has helped me this year is having one main account for all incoming funds. I used to do what you did, I had lots of little accounts for little things and I just got in a muddle. Now I just make sure everything comes into the one account and I know what I am doing.

I have:
1. Current account for everything.
2. Quidco account for all the money I get, I am keeping mine for treats for the 4k year so I don't get bored.
3. Emergency fund. Have a standing order set up to this one each month.
4. House/car savings fund.

All my money goes in to the main account and all direct debits and standing orders come out of this. I move the quidco money over as soon as it arrives. The emergency fund is sent automatically by standing order each month and is therefore budgetted for. I think this might be a good idea for you due to the vets bills etc, don't think of it a savings account, it's a spending account for emergencies. You don't need to feel bad when you spend from this account, that's what is is set up for. I am not dipping into my savings when I use this, and I don't count in my savings when I do my monthly accounts. It is there to be spent.

At the end of each month I see how much is left and put half in my house/savings fund and half towards the debts. I am actually paying more than half to my debts as I pay the minimum amounts during the month from my main account as well. I know a lot of people think you shouldn't have savings when you have debts but for me it is important to know I have something to fall back on. You might feel the debt slaying is more important and throw it all at your debts.

Even if you don't clear your debts by the end of 2009 you may be able to halve them. Maybe you could set that as your target? You didn't build them up in a year anyway. If you know you can clear half in a year you will know you can clear the other half the following year and you will have a nice healthy saving account as well. You can still do the £20k challenge, it just doesn't all have to go to the debts. You could even be technically debt free by then as your savings may outweigh your debts by the end of the year.

Doing it this way means that I deal with my debt on a monthly basis. Sometimes I don't have anything left to put towards debts and savings, but I know I have at least made the minimum payments, added to my emergency savings, put some Quidco money in my treats fund and maybe I can do a bit more next month. That month is over and I am on to the next one. It is a nice feeling to start each month with a clean slate.

The most important thing is to feel in control. You may not do as much as you like one month. So what? You've made some headway, it's over and you are on to the next one.

Hope this doesn't sound too preachy!:o I just remember how much mess I got into with having my income go into lots of different accounts. If you think you can keep on top of it and it's best for you, you should definitely do that. Whatever you do, build in a "treats" account!:D

Hope you're ok xxx

sarahb123_3

Also, I agree with George, unless you know exactly what you are doing, please keep away from the matched betting thing. I have had a look at it too and it looks far too complicated and time consuming for me. I know some people have made lots of money doing this, but I think you need to be very sure of what you are doing before you try it. I'm sure you will make more money with tutoring so put all your efforts into that.

I also agree with what the others have said about giving yourself a hard time. You have worked really hard under difficult circumstance this year. Give yourself a break, you are doing brilliantly.

Buffythedebtslayer

sarahb123 wrote: »

Grrrr! Just wrote a really long reply and it got lost:mad:

I hate it when that happens, now this could all go horribly wrong but I am doing the fancy quote thing

here goes

Will try the main points again and copy it this time.

Buffy, one of the main things that has helped me this year is having one main account for all incoming funds. I used to do what you did, I had lots of little accounts for little things and I just got in a muddle. Now I just make sure everything comes into the one account and I know what I am doing.

I have:
1. Current account for everything.
2. Quidco account for all the money I get, I am keeping mine for treats for the 4k year so I don't get bored.
3. Emergency fund. Have a standing order set up to this one each month.
4. House/car savings fund.

All my money goes in to the main account and all direct debits and standing orders come out of this. I move the quidco money over as soon as it arrives. The emergency fund is sent automatically by standing order each month and is therefore budgetted for. I think this might be a good idea for you due to the vets bills etc, don't think of it a savings account, it's a spending account for emergencies. You don't need to feel bad when you spend from this account, that's what is is set up for. I am not dipping into my savings when I use this, and I don't count in my savings when I do my monthly accounts. It is there to be spent.

I basically only saved for the vets and the driving lessons, it ended up being a problem tho cos I could never get my hands on the money quick enough for the vets and in any case that money was used up long ago.

the forty quid is for miscalculations in overdraft ness, I forgot I also save 25 quid in a special high interest account - that is for the cc when the interest is paid in feb? I think - see what I mean haven't a clue!!!

At the end of each month I see how much is left and put half in my house/savings fund and half towards the debts. I am actually paying more than half to my debts as I pay the minimum amounts during the month from my main account as well. I know a lot of people think you shouldn't have savings when you have debts but for me it is important to know I have something to fall back on. You might feel the debt slaying is more important and throw it all at your debts.

Yeah I don't see the point in savings, I want that credit card and loan GONE! I have my bills account my avon + extras account and my spending money account - but then I opened an A and L account and things got complicated!

Even if you don't clear your debts by the end of 2009 you may be able to halve them. Maybe you could set that as your target? You didn't build them up in a year anyway. If you know you can clear half in a year you will know you can clear the other half the following year and you will have a nice healthy saving account as well.

Doing it this way means that I deal with my debt on a monthly basis. Sometimes I don't have anything left to put towards debts and savings, but I know I have at least made the minimum payments, added to my emergency savings, put some Quidco money in my treats fund and maybe I can do a bit more next month. That month is over and I am on to the next one. It is a nice feeling to start each month with a clean slate.

The most important thing is to feel in control. You may not do as much as you like one month. So what? You've made some headway, it's over and you are on to the next one.

Hope this doesn't sound too preachy!:o I just remember how much mess I got into with having my income go into lots of different accounts. If you think you can keep on top of it and it's best for you, you should definitely do that. Whatever you do, build in a "treats" account!:D

Hope you're ok xxx

I try to give myself 300 pounds a month to cover transport/lunch/treats and going out or transport/lunch/treats and clothes but I don't buy many clothes these days! and go to the pub on Fridays.

The cash only thing helps but for example I need to get a handle on Avon. actually put the money people give me in the account as opposed to spending it:o

I will figure it all out I guess, I have money in the Avon account to pay the bill now and I paid off the last vets bill but then there is Christmas to worry about..... but if I make a mimimum cc payment instead of a big payment I will be ok, just annoyed and in need of a spending diary methinks!

right this whole multi quote thing is worrying me so I am just going to post it

closes eyes and hopes for the best

Buffythedebtslayer

GeorgeUK wrote: »

Sorry Buffy, but i'm going to agree with the others - you are being too hard on yourself. Pull your finger out next year by all means, but don't beat yourself up over what has happened and that you cannot change. It's just putting more pressure on yourself that you don't need.

thanks xx I just think it should be done by now. been treading water long enough!

For the accounts, are your cards all going to be on 0%? If not, it may be an idea to keep open one of your existing creditcards to do a balance transfer on if you can get an offer as an existing customer. Don't want you paying interest and getting yourself even more worked up by putting the DFD back even further.

I have a fair number of credit cards:o but only one with debt, which is 0% till August 09. and then the loan

Matched betting - seems complicated until you actually try writing the scenarios. I would avoid tennis, but something like a snooker match where there are only 2 options (win/lose - no draw) is easier to understand. I don't do it myself, but that's because i don't trust myself to do it properly.
2 players - Bill & Ben
Bill wins the match so you win the money you staked. £10 of yours and £10 free so you win £20
Ben lost so you lost £10 of yours and £10 free so you really lost £10
You won £20, lost £10 so overall you are £10 up.

If you use sports where there are only 2 outcomes it is probably easier to understand. When there are 3 such as football (win/lose/draw) then people generally stick to one team.
Bet on QPR to win (a Back bet) and then on a betting exchange they can
Bet on QPR to lose (a Lay bet). This works the same as the example above, but you are betting that QPR will both win and lose. This is so that you do not lose your own money, but can take one of the free bets that the site gave you to join.

Brain explodes. you are talking to a girl who finds bingo confusing!

There are other ways of doing it, but that's basically it. If you aren't comfortable doing it though you shouldn't. You should only risk money you can afford to lose
(look who's talking :rolleyes: )

yes some one who is doing amazingly well! and don't you forget it!

And i hope the job is going better now and not so stressful.
Don't rush to clear your debts or you may trip and fall. It's not a race - it's a journey.

Hope you're doing okay.
Take care (and relax!!)
George

work is awful but am beginning not to care its bad for everyone so don't feel like such a disaster!

thank you xxx

Buffythedebtslayer

right sorted out my payments for this month always feel better I have done that.

Have decided to make a smaller payment on the card this month. that way I can spend on Christmas without worrying too much.

I don't have much to get but I am going "havles" with my sis for something for mum but she won't tell me how much it is. I am not thrilled about it but hey I really want mum to get it!

And then its a case of posting stuff buying cards and ordering my other sister some chocolates. paying off Avon (loads of presents) Amazon (lots there too)


This year I have been more focussed especially the last few months. I have paid off around 6000 pounds this year not as much as I could have but more without this board.

Next year is the big one! 18868 to get shot of.

I will pay off 1278 pounds each month in debts. (giving me my second job wages as spending money)

To get debt free by December I need to find another 294 pounds per month.

Between Avon, tutoring and Ebay I should be able to make that especially if I stick to the 1000 pounds in 100 days challenge.

Two problems - I still have dental work (which I have kept the money for am short 350 pounds) and Driving lessons.

Well I shall think on that some more.

am watching Watchdog, what is with the government and ripping off old people.:mad:


xxxx

Buffythedebtslayer

Not much happening got LOTS of marking and not much time so won't be around much till we break up for chirstmas.

made my payments for this month. got more money then I thought which is cool.

be back as soon as work stops being my entire life.

xxxx

mum2one

Very weird, I was only thinking about you last ngt, hopeing you'd had a gd week, was going to drop by thread, but you beat me to it.

You sound a lot more relaxed, whether thats getting the bills out 1st I dont know.........theres not a man on the horizon is there? x

Buffythedebtslayer

Well the whole not being here much turned in to a must do my Christmas shopping and pay my bills.

so did that - as Avon Amazon etc.

have all my family presents, none of the kids presents. bit of a night mare.

need to get to a tescos

Oh My God there isn't enough time to get everything done.

too many children
need to go swear and then make a list.

Agggrhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhhh

mum2one

Take one step at a time, if in desperation hit Amazon and they get what their given!!! x

Think I may be mad, but have voluntered to help the kids with reading at the school dd goes to...........shes so exicted, said you can kick off at the teacher!!

Buffythedebtslayer

ah volunteering is good!

tescos will have to be the way forward. but not until Saturday. or Friday night.

hmmmm.

xxx