Too scared to work out what I owe

Verbatim · 27 February 2007 at 4:57PM

Wayhay Moozie. You're right on course. What a fantastic achievement in a year.

Debt nearly gone ........and counting.

Fanny_2 · 27 February 2007 at 5:06PM

I was in much the same situation as you described until last month i decided to really do something about it.First i opened a savings account in to which i put a small sum ie £50 each month by standing order, then i worked out all household bills per month and subtracted this from my wages.

Then i added up what i really need to spend on food and entertainment/personal items per week and went to the bank and took out my weekly cash budget x4 to do me for the whole month and seperated it in to four brown envelopes, after this i gave three of them to a well trusted friend to lock away, i also handed over my bank card to her to keep in a sealed envelope until the next month.

Then i split the remaineder of my wages between all my cards, loans etc and worked out a percentage of my wages to go to each card, from this i could also work out how many months it would take me to pay it off.(i am lucky in that all my cards are 0% if you have interest on them take martins advice and use the remainder of you wages to pay off the worst first.) i set up Direct debits to all my cards for the designated amount each month and hopefully i will be debt free in less than a year.

it doesn't soud pretty but at least now i know where all my money is going and i cant tell you how much better i feel! i hope this helps!:j