New decade new start!

loose_sheckles

Having read the debt busting diaries on here really gave me some inspiration so (take deep breath) I thought I would start one myself to hopefully help keep me on track and boost motivation. Any ideas or feedback are most welcome!!! If anything works really well for me I'll make sure I post it so hopefully it will help someone else too.

I am a serial debter - I spend too much (no idea on what) then take out a loan (which I successfully pay off without any charges) get on an even keel for a month or so and then the cycle begins again.

I'm turning 30 this year and suddenly realised I have no savings, no car and no house. There are also things I haven’t done, like travelling, that I cannot afford to do without - yes you've guessed it - taking out yet more loans.

Last year I vowed that I would pay everything I owed off but actually I managed to double my debt! Part of that was moving to London and not having really considered how much everything would cost but the rest is just down to my lack of financial planning and poor spending habits.

I am currently in £4200 of debt – there it’s in print, it’s real, it’s a wake up call! I know it's not as much as some on here but it feels pretty grim to me at the moment.
My pledge is to pay off £400 per month so that my debts have cleared by November.
Alongside that I am trying to reduce spending and also sell off unwanted items to generate income. I wanted to keep that money for a holiday to celebrate my 30th and to give me something big to look forward to – it’s all going into a jar. So far I have made £61 after fees. A nice start but I have a lot more work to go!!!!

SO - there are 4 things I attribute to my debts:

- having no idea how much I'm spending or on what so I spend more than I have
- not having an overview of my finances and then making repayments based on what I can actually afford (I end up paying off too much and then accrue debt in my overdraft or on cards so I'm not really making any progress)
- the philosophy of 'I'll pay that back later because I NEED to have 'x' NOW'
- the 'sod-it' moment where I feel sorry for myself and blow all the good work by having a shop-a-thon
(any of these familiar? )


I've tried to tackle these head on. The first thing I did was look at the 'pain-free savings' guide on the site which has already helped me cancel unnecessary insurance, mobile bills and move to a better bank account - thanks Martin!!!! :money:

I've also put together a number of spreadsheets (god bless Excel and formulas!) to help me see what I really spend. The spreadsheets show:
1. My salary, my standard bills each month (what's left is what I have to live on and repay debts).
2. A progress chart that shows my debt reducing over time – I only fill each line in once it has been paid so it’s a bit like a gold star for an achievement!
3. Probably most importantly for me I have a spreadsheet that looks at what I actually spend whether that’s a chocolate bar or have one column that ‘guestimates’ what I will spend for the week and compare it to ‘actual’. Then I have one called ‘not in budget’. I have been shocked at how much that is adding up to at the minute but it helps to see where things actually go!
Wish me luck and I’ll update soon!


Debt/Paid off £4200/0
Saving for 30th £61

missymoo81

hey sheckles (cool name by the way) just wanted to say hi!

We have really similar goals, and I'm with you on the shopathon to make myself feel better, have really had to stop myself in the sales. Your spreadsheets sound ace!! Wish I could use Excel, but I hve noooo idea.

Anyways good luck with your journey and I shall be reading with interest.

Missy

Corona007

Welcome sheckles. I can really associate with your phrase:

'I'll pay that back later because I NEED to have 'x' NOW'

That is so me.

You have come to the right place if you want some motivation to sort out your finances. There are some great people on this site who can offer advice and all the support you'll need.

planning_ahead_2

loose_sheckles wrote: »

2. A progress chart that shows my debt reducing over time –

I can highly recommend using your signature line on here - I love it and can't wait to update it as soon as payments are made. It's also highly visible to your new friends on the forum and even though I have only been here a few days they are so supportive and encouraging it's amazing.

good luck by the way

loose_sheckles

planning_ahead wrote: »

I can highly recommend using your signature line on here - I love it and can't wait to update it as soon as payments are made. It's also highly visible to your new friends on the forum and even though I have only been here a few days they are so supportive and encouraging it's amazing.

good luck by the way

Hi there

Technology is not really my strong point so embarassingly I'm not sure how you set up the signature line. Could someone point me in the right direction?

loose_sheckles

Quick update:

Feeling good that I finally put books up on Amazon - the fees are disgusting but you end up making more profit than having to sell cheaply on ebay for these.

Also forgot to mention I've been on the firdge, freezer, cupboard mission: to use up everything that I have before going shopping. I do have to buy stuff to make lunches with and the odd pint of milk but so far this month it means I've only spent £30 on food (and that includes a few coffees I've had when I've met up with friends and colleagues) which for me is a MASSIVE improvement.

Just 8 days til payday and then I can stock up again. I might even buy fresh things - hooray!!!

Corona007

Hi sheckles. If you haven't figured out the signature thingy bit yet, you click on "User CP" on the green bar above and click on "Edit Signature" on the left hand side. You can then add your debts and achievements for all to see.

Also you can subscribe to diaries you like by clicking on "Thread tools" above which is what I have just done for your diary.

Good luck and I look forward to reading about your successes.