A Return to A Debt Free Mission

jonjamie1970

Exerbusi2 wrote: »

Potential new client on the radar - no idea how much she will be paying (if anything at all) but even if it is something as small as £50 per month it will serve as a boost to the account each month.

Having done the maths, I am satisfied the baby wont be particularly expensive, so we will be fine for money. Rather selfishly I have gotten used to using all of my money for debt repayments, and it will be painful for me to not have extra cash to fund my out of debt mission!

Some good news for the finances - one o my clients has upped his requirements from me, which will result in his bill being £350 per month - yummy!

Sounds good mate, keep it going.

Exerbusi2

ABSOLUTE DISASTER

My car (which I paid £5000 for in August) has had to go into the garage for a repair. The turbo had died, and further inspection has returned even more bad news. Long story short, I am looking at a bill of around £1500 - possibly more.

I feel absolutely sick, numb and generally gutted.

After working my backside off since January to get as debt free as possible, I now find myself having to fork out best part of £2k on repairs. I still owe £3400 on the car loan. If I sell it, I will have to make at least £4500 to limit my losses. Even then I will still be around £500 down before I can buy a new car.

I have been told my best course is to part exchange car and get a new one, as my car may start costing me extra, but a dealer will strip the engine, repair the whole thing and do it for a fraction of the price that I could.

My main frustration is with the dealer who sold it to me - how can he sleep at night knowing the car had potential problems? My warranty has run out now, so there is probably nothing he would be willing to do. I bought the car in good faith, for a lot of money.

So having worked my backside off to pay off my credit cards and reduce my loan amount, I now find myself at least £1500 backwards, with a baby on the way in the next 4 weeks and us dropping to one income, with me having to pay all of the bills.

F*****g brilliant.

jonjamie1970

Exerbusi2 wrote: »

ABSOLUTE DISASTER

My car (which I paid £5000 for in August) has had to go into the garage for a repair. The turbo had died, and further inspection has returned even more bad news. Long story short, I am looking at a bill of around £1500 - possibly more.

I feel absolutely sick, numb and generally gutted.

After working my backside off since January to get as debt free as possible, I now find myself having to fork out best part of £2k on repairs. I still owe £3400 on the car loan. If I sell it, I will have to make at least £4500 to limit my losses. Even then I will still be around £500 down before I can buy a new car.

I have been told my best course is to part exchange car and get a new one, as my car may start costing me extra, but a dealer will strip the engine, repair the whole thing and do it for a fraction of the price that I could.

My main frustration is with the dealer who sold it to me - how can he sleep at night knowing the car had potential problems? My warranty has run out now, so there is probably nothing he would be willing to do. I bought the car in good faith, for a lot of money.

So having worked my backside off to pay off my credit cards and reduce my loan amount, I now find myself at least £1500 backwards, with a baby on the way in the next 4 weeks and us dropping to one income, with me having to pay all of the bills.

F*****g brilliant.

Whats the car and whats the diagnosis mate ?

Exerbusi2

307 diesel estate. Broken turbo, oil pump, oil pipe. Not good news! Final bill £1500 - confirmed today.

jonjamie1970

Ive got a very good friend, in fact he works for me but has his own sideline business, he specialises in Diesels and could probbaly source and fit for much less than that mate, if youve already done it then no worries but its an option for you. Unconventional but hes done loads of work for me.

Exerbusi2

Not been around for a while, so here is an update....

Car bill was £1500. I paid off £300 of it, and the other £1200 will be today, when the car is delivered back to me. I have the money in my account, so will pay the bill in one go.

My plan now is to sell the car ASAP and clear the outstanding finance on it. I will then have a platform from which to buy a new car. I will arrange finance through my bank, as they are almost as competitive as everyone else, but they allow me to have a 'flexiloan' which enables me to pay back more or less depending on my cash-flow. This means I can pay the loan off quicker than a normal loan.

I have looked at other cars, and I am going to spend more money on one (it is false economy spending less - my current car cost me £5000 and I have since paid £1700 on repairs. I am looking in the region of £8500 for my next car, which increases my overall debt, but when I have a family to look after it makes sense.

The good news is looking at the loan figures, I will actually be making smaller repayments on a loan than I currently am, which is very good news!

With regards to work, I have taken on a new client which is fantastic news. Works out as an extra £220 per month! Additionally an old client is back to 3 sessions per week after a long break, which is good news!

A couple of potential other business deals are potentially in the pipeline for the coming 12 months which would be fantastic!

Exerbusi2

Wow! Nearly a month since I have returned here....

Baby has been born, and my girlfriend has started her mat leave, meaning all of our bills are down to me. This isn't the issue I expected it to be, as I have worked my backside off to put us in a good position financially. Well, as good as I could!

As it stands now, I have kept my savings at £500, but having removed my overdraft I am in a good position. My current account will sit at £1500 when all of my outgoings have been taken out. At that point I will transfer £1000 into my savings, pay off another £250 of my loan and leave £250 sat in the account for everyday expenses.

As it stands, my net debt is now much lower than my signature, so I'd best get changing that!

Exerbusi2

New signature - my total net debt is now down to £1600!

jonjamie1970

Wow thats amazing, unfortunately mine has stayed the same, mainly due to the fact Im taking the children to Florida on my own in 2 weeks !! However I have paid for half of it cash and the other half on the credit card.

Oh and congratulations on the birth of your baby !!!, its all falling into place for you, your dedication to the debt free cause whilst so many life changes is admirable

Exerbusi2

Well sometimes a holiday is needed! We went to Portugal in May - last holiday before baby! It was nice, but the £1000 would have been useful debt repayment money!

Thanks for the congrats on the baby - we had a gorgeous baby boy. I absolutely adore him, and look forward to seeing him every day!

I had forgotten about a client who hadn't paid me this month, which is an extra £160 bonus. I also need to get another security key from HSBC as I cant access my online banking without it, and I do almost all of my banking online, so I want to get my account access sorted so I can tidy a few things up!