Too scared to work out what I owe

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  • Also meant to say that when totalling up your debt don't include the interest on your loans!

    For example I've got a loan of £25,000 taken over 84 months! Monthly payments are £371.57. So to work out what you owe, divide the loan amount by the months (eg £25,000 / 84) = £297.62. The work out how many months left you have to pay, in my case 55 months! £297.62 x 55 is £16,369.10

    If I worked it out including the interest it would say I owe £20436.35.

    Although you will pay this if you take the full length of the term you don't include the interest coz you don't owe that up front. Only month per month. The same as credit cards! You don't work out what interest you will pay on top. Just as the balance stands!

    Hop this makes sense! :rotfl:
  • moozie wrote:
    You are spot on about nagging, it always feels like I am nagging when I try to discuss my money worries with him. Hope tonight is different.

    This rang a bell with me! Just wanted to say it gets easier! My OH thought I'd lost the plot, I think, when we started cracking on this. When I found MSE I think he thought he'd lost me altogether. He's been pretty much calm about things, I've just got on and done it and told him so he was up with the situation. I've read him bits from here so he can see how we're not alone - the majority of our debt was on his credit card, so I think he felt like he'd messed up somehow. Anyway ... In the last month he's applied, and been accepted for a 0% card (and taken the paperwork in today so we'll be 0% for the last month!) and last night he called his card company because we cocked up the payment date and paid too early (see here to save me typing it again), and asked them to drop his interest rate at the same time. This time last year he wouldn't even open his statement, let alone call them up and challenge them on something.

    He's probably just thinking you've got a bee in your bonnet. It's like a new toy, and maybe he's not ready to deal with his debt yet. Fingers crossed he joins you soon!
    Official DFW Nerd Club - Member no. 002 :rotfl:
  • Frugal_Fox
    Frugal_Fox Posts: 1,002 Forumite
    moozie wrote:
    My partner did not get involved at all with getting the paperwork sorted last night. To be honest, that was OK. It was something I really needed to do for myself. I've been too scared to look into those envelopes, I really needed to face up to that. ...
    He saw me looking through the site last night but he didn't comment and I didn't start a discussion either. I feel calmer today though and I intend to go through my own and our bank statements tonight. I am hoping to find areas where there is overspent so I can talk to him about something that is tangible.

    When I first found this site, it was just me, plodding through the posts on here, and the post/bills at home. DH wasn't that interested - what could a site like this do to help us? :eek:

    How wrong he was - whenever I am on 'here' - he is normally over my shoulder... he is much more interested in our finances now. Particularly as he has seen results. His head was in the sand before, and he didn't think there was anything we could do. Now he knows different. If your OH isn't that interested at the moment - do not feel too bad. This is YOUR lightbulb moment. His will come later. If he'd come to you last December and said "finances............." you probably wouldn't have been ready to listen. You can lead a horse to water, but you can not make it drink...

    FF
    "A simple life freely chosen is a source of strength. Do not be pursuaded into buying what you do not need or cannot afford." Quaker Faith & Practice 1.02.41
  • This is the first time I have posted, although I have been reading the site for ages. I too am in debt and I too had a lightbulb moment... unfortunately it was a week before xmas '05, so that rather put a dampner on my sales spending!

    Moozie - what you are doing is exactly the right thing. When I got to January payday and paid my first chunks off various debts, I felt so relieved and also very proud.

    Better than that, I am getting a real buzz from getting through the day and realising I haven't spent anything... I do have to walk really fast past the shops on the way to the tube though!

    All the tips I have read I have tried - and they really work. Unfortunately I am now so obsessed with collecting tesco points, the OH thinks I am mad...

    Good luck and keep posting. Lots of people are out here to support you.
  • I read this thread and though, yeah I know that feeling! I owned up to my debts just before Christmas. It was the first time in about five years that I had opened all of my post together and actually worked how much money I had, or rather didn't have. For years I was firefighting the minimum payments and living with the debt, rather than seeing it as something to reduce over time. As quickly as I was paying off minimum payments I was simply adding it back on again. There was no logic to my borrowing, simply extravagence that I could not actually afford so I used to put it on the VISA, Mastercard or whatever!

    In November last year finally came the time when I though this isn't how I want to live my life and I though how much easier it would be to have money to spend, rather than money to pay for the money I'd spent in the past!

    If I can give you any practical tips other than the key rules on MSE, they would be these.

    1) Open all your post and get it in order. Get things in order of date.

    2) Make a list of all your debts and when payments are due. Don't just wait for the next bill, get in a frame of mind to anticipate your bills arriving.

    3) Get a diary and mark in important payment dates, for example, Barclaycard due on 20th of the month, for arguments sake.

    4) Finally, work out a plan to pay it off. There are lots of good tips on this site for card shuffles, cheap rate loans etc etc.

    5) The most important one for me was to get motivated about how good it will be to have no debt. Don't just focus on having to sort out the mountain of debt, but also how good life without debt like this will be when you are clear. I was so used to having debt following me around. Now I put huge energy into clearing it and it's a great feeling to write out a cheque to a creditcard company and feel you're making a positive step. Remeber, once the debt busting is done, there is no more and the money you earn is yours to spend or save!

    Good luck!
  • Just wanted to say a big well done on the progress that you have made, since your first thread and I will keep an eye on this thread to see how your "journey" goes! Keep up the good work!

    I personally would look to pay the smaller debts off (such as your Barclaycard and BHS card etc) and get rid off as many debts as I can, as I would find that a positive boost and would make me feel that I was getting somewhere fast, knowing that I had 4 debts and not 7, for example.
    Nice Shoes & Expensive Designer Handbags, are my downfall!
  • moozie_2
    moozie_2 Posts: 3,063 Forumite
    Name Dropper First Post First Anniversary Combo Breaker
    Twopints wrote:
    Hi moozie - well done so far. I don't normally look in the DFW boards but your thread certainly caught my interest. I know this doesn't make things much different but I suspect the £28,000 of loans was the original amount borrowed plus interest - so you don't owe all of that any more. Do you know what the outstanding amounts are ? From the repayments and end dates it looks as if one, Sainsburys, is approx £8109 but the Tesco one is £8672 - which is more than you borrowed. Are you paying PPI (Payment Protection Insurance) ? It would be worth checking to see if you can cancel the PPI.

    Good luck.


    Thanks for your very helpful post. I will have to look into the loans question you raised. I am still getting my head around it all and not got that far yet.

    As far as the PPI is concerned, neither of them have it. It looks like I cancelled the Sainsbury's PPI back in 2004 and never took it out with Tesco.
    Leason learnt :beer:
  • moozie_2
    moozie_2 Posts: 3,063 Forumite
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    I have signed up for Internet banking and check it daily, I feel in control now. The secret is a step at a time.

    I am going to try and remember that as it all seems far too overwhelming right now. Thank you.
    Leason learnt :beer:
  • moozie_2
    moozie_2 Posts: 3,063 Forumite
    Name Dropper First Post First Anniversary Combo Breaker
    Also meant to say that when totalling up your debt don't include the interest on your loans!

    :rotfl:

    This made perfect sense,thank you! Off to do my calculations and see what the figures look like now.
    Leason learnt :beer:
  • hi! I'm also in the same situation. Thank goodness my hubby is understanding but it means getting a £10 K loan, finishing in 2012 !!! Oh my god! My son will be 10 then!! Not a life to live eh! I personally have 2 loans he doesn 't know about.... one finishing this Sept, and one in 2009 !! Oh my god yet again! I hate this life. debt ! debt! debt! I wish I could win the lottery! I'd pay off all your debts as well! But I don't really buy the lottery as I can't really afford it! I faced the ugly truth of my debt problem twice and I hadn't learnt after the first time! Hopefully I will now!

    Owe mom £5000 (0%....)
    NR loan at £184 pm (since 2003), debt cleared 09/06 ;)
    AL loan at £216 pm (since 2005), debt cleared 06/09 :eek:
    NR with hubby at £165 pm (2006), debt cleared 03/12 :eek:


    Will we ever get there?? :confused:
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