Debt Free? Now what?

Scully's_Girl

I have been reading these boards with absolute devotion because it is so great to be around people who, like me, realise that money needs to be understood, & respected, or it can wreak havoc.
I've read alot of your short term goals, I was wondering if some of you can share with the rest of us what you plan to do when your Debt Free Day finally comes.
I understand that alot of people are just barely keeping their heads above water, or keeping the creditors at bay. But when you have finally paid off your last credit card, or sent off the last cheque to the bank, what are your plans next?
My husband & I paid off our mortgage 3 years ago, & so instead of paying the bank we pay that money to ourselves (Pensions/ISAs/investments). We do, however, both still work because we are squirreling money away before we have children for our eventual retirement. (Neither of us want to be in the rat race at 60)
I've seen on several threads people speak about getting out of debt so they can buy a particular car or go on a holiday. By then you surely would have earned it, but we need to ensure we dont fall back into the same rut that got us in the mess in the first place. We are debt free, but we didnt buy our new car this year till we had the cash to pay for it. Same for our holiday to Asia this summer. (Actually, we put it on the card for the airmiles, but only when we KNOW we can pay it off that month).
I'd love to hear others share what you will do on that great day. Thank you!

K9cuddles

As you've said... a nice "life time" holiday for me (done they MSE way!)... then I get to start saving to buy my own place!!! I can't wait!

nabowla

I'll save money for the first couple of months after my DFD so that I can afford to go on a decent holiday. Then I'll start channelling every last penny into savings so that I can eventually afford to buy my own place.

Broken_hearted

Once we are debt free (having had a celebratory holiday) we will start trying to get mortgage fee. Then I guess we will just live life, I might save up for my retirement and the kids going to uni. Then again I don't know oldest says he doesn't want to go to uni (he's 9 so has time to change his mind).
I am looking forward to being able to have the thing I want without credit.

Batfink

I want to clear my debts so that I can change my job.

I've grown to really dislike (I don't like to say hate but I'm close) my job - but due to my debts I can't afford to do a great deal about it. Once I'm debt free I'm going to re-train and do something else, while not having to worry that I'll be able to cover my bills.

Phil

D&DD

:eek: Probably do a streak round the front room :rotfl: :rotfl: :rotfl:

:rolleyes: No seriously I have never been debt free since leaving home..well in fact before I left home..so I really have no clue!! We would have roughly £1,000 a month spare if we didnt have these debts...that would pay for a few treats

grace

Save!! Save!!! Save!!!....by the time I retire I want the house paid for and no debts...

fizzel81

being totally honest i have no idea, i guess we will start saveing rather than splurging, if we spend 5 years paying everything off im sure we can at least save some of the money that we previously spent paying debts off if this makes sense

Tondella

save for a deposit for a house, then when we have a mortgage, start making overpayments!

margaretclare

Hi all

I think that you discover (or re-discover) the pleasures of saving. The warm glow of knowing that you have some money behind you, to cushion you against those unexpected disasters which happen to all of us. If you had a feeling of worthlessness, of disgrace, when you were in debt, then you get the opposite feeling, one of self-worth.

We are looking at having our roof replaced this spring/summer. It's a 1930s bungalow and the roof is asbestos tiles which can't be replaced or repaired - the whole lot has to be re-done. We've just got a quote for £4K. If we were in debt we couldn't contemplate it, we'd have a leaky roof by another winter....We just looked at each other and said 'OK, fine, we can do it'.

Aunty Margaret

Batgirl

The first thing we are going to do is buy a nice flash telly which my husband really wants but fortunatley is patient enough to wait. Then we want to get rid of the mortgage in 17yrs tops. That way we will be mortgage and debt free by the time I'm 45 and my husband is 50 then we'll save for a comfortable retirement.

The best thing about the above is that it is going to actually be reality, we've always wanted this but now we know we will have it. I told a friend this last week and she said that she hopes that the only debt she has in 20yrs is her mortgaeg, now that is scary :eek: