Have you learned your lesson

tiff

We have been in debt for a long time, but now owe £1400 on a 0% cc and have more than that in savings, so technically cc debt free. I wont consider us to be debt free though until we have paid it off, 0% runs out in June. The reason for our debt was not managing money properly and overspending (not wildly).

We will then have a loan outstanding but not able to make overpayments so will have to put money in a savings account until we are able to meet the loan.

I was wondering though for those that have got out of debt, do you feel you have learned from it? Have you totally left your debt behind or do you always worry that you will slip into old habits? We have consolidated debt in the past but this time did it the hard way by budgeting and throwing every spare penny at the cc. Its only now that we realise we couldnt afford the holidays we went on, if we did it now it would take us all year to save!

mrs:optimist_2

That's a good question! We have made changes in the past and thought that we had learned a lesson, however we reverted back to our old ways.

I think though that now it has gone as far as a DMP we have been shocked into realising that things need to change! Will we ever take credit out again once this has all been paid back? Probably! But only to buy a house or have an emergency card sitting in the wardrobe just in case (and if we manage to save up a nest egg then we won't even need that).

Sun_Addict

I've definitely learned my lesson. I'm down to my last £25 of debt and will be debt free next week when the last minimum payment goes out. Tiff - I think you were one of the first people to post on my diary when I started it last April. My new strategy is to wait until the end of the month and add up what's left over after bills, put some aside for savings and then and only then can I look at what's left for spending, holidays, etc. If I don't have the money up front then I won't be spending it. There's no way I ever want to get into debt again. Like you a lot of debt came from going on holidays we couldn't really afford. We still go on holiday but spend within our means now.

brians_daughter

yes i have learnt my lesson..will i ever go back there? i hope to God not. I see it like an illness, or an addiction in someways IYKWIM you are only '1 spend too many' away from being back to square one?

I now have 'debt' that isnt actual debt..ie i have 2 cc's i use for fuel and parking but i pay back every month so no interest - it works better for claiming my expenses from work if i do it on a seperate card

None, or very few of us can never say never. if anything drastic was to happen ie job loss, illness we would have (limited) savings to fall back on and if things werent rectified by the time they got used up the cc would have to be used. But now i look at my CC as my 'safely net' for 'emergencies' rather than a way to have the dress i '[needed' when i put it on my cc

After my children and family getting to be debt free was my hardest, most challenging and rewarding experience and i dont want to loose sight of that

tiff

Gosh Sun Addict, was it last April? Didnt think it was that long ago. You have done well.

Yes, Brians daughter, I have an addictive personality too. Currently addicted to paying back debt, just hope I get as addicted to saving!

I truly believe this time is different for us because we were both on board, although DH doesnt really do much except leave it all up to me lol He has never been a spender on a daily basis but if he gets a lump sum thinks it all has to be spent whereas I want to spend some and save some.

I know that as we have savings in the bank I hate spending it, so thats a good sign. We have never had savings since we paid for our honeymoon 14 years ago.

I've also suddenly realised that we have 13 years left on our mortgage when DH will be 60 yet we still cant overpay the mortgage to reduce the term because we have this loan to clear first. We cant afford to go back to debt at this stage in our lives

Apricot

I thought I had learnt my lesson two years ago when I paid off my three credit cards and they were completely clear. A month later I "treated" myself to a holiday and since then it spiralled out of control again!

I think I have now learnt my lesson as I feel sick every day thinking how I allowed myself to lose control like this. At the moment I owe £4990 across 3 different 0% credit cards which run out in September, October and December respectively. At the moment Im paying £415 per month in order to get myself debt free by this time next year although Im a little worried about transferring one of the debts to a 0% credit card when it runs out but hopefully I will be debt free soon!

savingmummy

I have learnt my lesson.
I still continue to live how i was when i was in debt, i still reduce my SOA where i can and no longer spend on anything other then bills.

Everyone has a set back its the catching it in time thats important!
Cut up the cards and use the savings to get back on the straight!!

Numpty_Monkey

I'm not debt free,
but I have learnt many lessons,
Never let anyone have your PIN number ( I had that in my sig for about a year) for your Credit Card, don't get a loan in your name only if its meant to be for 2 people

I've learnt that there really is some good people out there:A
I've learnt to trust some people, and not trust compay's,

ald65

Definitely not debt free yet, however when I am I will hopefully keep up the DFW ways as much as possible. Any holidays etc will be saved up for.

beanielou

I would like to think Ive learnt my lesson.
One thing for sure I will never ever borrow money for someone elses benefit in my name.Ever.

Moneytroubles_2

I feel I have learnt my lesson, although I don't think OH has but i'm working on it, I just cant wait to clear this debt so i can start enjoying life! Im 23 and all my money is going on debts where i really want my money to take me on holiday and pay for a wedding! ah well... one day! xxxx