Batfink's £50 per week diary

Batfink

Hello (if anyone, at all, is reading)

I've just paid off the last of my credit cards - having gone from just under £30,000 to £0 in around 4 years. Now I have left my student loan and my mortgage. As I'm still a student, I am aiming to have enough money saved to pay it off by the time I graduate next year.

So - I have opened a NatWest Step account, into which I have setup a standing order for £50 per week to cover day to day costs - basically, everything that's not covered by direct debits from my main account. So it will be for petrol, food, entertainment, hair cuts, gifts etc.

I thought it wise to start a diary, so I could track my progress. At the end of each month any money left in my main account will be swept into my savings, which will be for the student loan.

So - to start with, I've filled my petrol tank, paid the first £50 into my new spending money account ..... and we're off.

x

hypno06

:hello: Hello!!

elantan

good luck with it

Fire_Fox

Hello from another student! Well done for clearing your credit cards. :T

Do you know the student loan is at 0% from September? The advice is not to pay it off as it isn't a 'normal' debt. I struggled to get my head round that idea but, like you are aiming for, I now have savings that equal my student debts. I believe the article on the main MSE board advises you to overpay your mortgage first; if you happen to be out of work for any reason you would not have to pay your student loan and would have a smaller mortgage to worry about.

Batfink

Thanks for the replies. I hadn't realised that student loans were going down to 0% - I suppose I'm best off just keeping the money in a saving account and pay it off as soon as they rise - thanks.

I haven't had the best of starts to my budget - indeed, it's been pretty poor. I've been spending on all kinds, as without all my loan payments draining my account every month I've felt like I could afford it. I've even been spending on credit cards, which is something I've not done for such a long time. Thankfully, my realisation has come sufficiently soon that I will still be able to pay the bills off in full - I think I'd perhaps be wise to cancel the cards then too.

Luckily (for my bank balance - perhaps not in other ways) I'm spending the bank holiday weekend with family, so the temptation to spend all the time won't be as big. I'll ditch my cards from my wallet so that come the 1st September I'll just have my Solo card there with its £50 per month availability. New month, new start. And, on the bright side, because I didn't start using it, there will be 3 weeks of money in there (£150) so I'll have a bit of a cushion just incase.

Last thing to say - I'll start reporting in my spending too - when I have to justify myself to others it's much harder.

Have a lovely bank holiday weekend.
x

bevan840

Hi Batfink

I just wanted to say hello and I love the idea of your diary Especially as you are now debt free from £30,000 in 4 years!! :eek: Mine is only £11,000 but it's looking like it's going to take around 3-4yrs to get it all paid off Will definitely have a peep every now and then to see how your doing and if there are any idea's I can borrow