The Challenge - Debt free in two years!

Ceniza

Determined_2b_Debt_Free wrote: »

Hi Adam,

I got refused for a card for the first time a couple of years ago when I was trying to BT before my mum lent me the money. That led me to get my credit report and there was nothing bad on there at all. I strangely felt a bit miffed because I had only gone into the post office to do normal post officey things and they started selling me this 'amazing' deal, I felt that because I'd gone through it all and then been declined, that was a bad thing probably for my credit rating too. The plus side is, I've never been tempted by anyone selling me credit since! Every cloud...

If you're planning on paying off your capital one card this month you will seriously overtake me in the 'overpayment' stakes for June, think I'll manage £500 which is less than my target figure but still good... but get Ebaying and we'll have an Ebay-off! Although it sounds like you might overtake me in that as well if you have lots of gadgety bits to sell...

It is weird how it works, even more so because they don't tell you the reason, and credit reports are not clear either. But still, if I can clear them both in a couple of month I should be okay I think.

As for the overpayments, I'm kind of cheating going with the smaller ones first, but I figure it will be a hugh moral booster getting them out the way with - but £500 is still an amazing overpayment to be making, and you do have more commitments than me!

And I am not sure if I'm going to eBay anything yet. I love my gadgets I bought. They're worth a lot emotionally. Ever sinch I was a child I dreamed of having these special record players, and when I got them I cherished them. It would break my heart to let them go for a little on eBay.

One thing I will be doing this weekend is going to an art shop to pick up some bits and pieces and get back into painting, and try selling them. I've done a fair bit in the past, and would like to get into it again. Maybe get an online gallery or something to make the odd £100 here and there if I can

Determined_2b_Debt_Free

It's not cheating really, if that's how you'd prefer to do it - who can argue, you could just be paying the minimums but you're choosing to pay off more so go for it!

I would say definitely don't Ebay things you have an attachment to otherwise you might think you need to replace it. I'm only Ebaying things I really don't need anymore - once I'm done with stuff around me I'm moving up to the loft! (well not literally, I'll send DH up there). There must be tons up there I don't need.

Painting is VERY creative, that's definitely not something I would be able to do myself - although I reckon it must be very relaxing. I have thought of refreshing an old skill - beauty therapy - and doing a bit in my spare time but I will have to be careful what I choose to do as I can't really fork out for expensive equipment right now - that would defeat the object. I like the complimentary therapies though and there is little outlay with them. Need to have the baby first, get into a routine and then I'll consider it maybe in the autumn/winter.

I've just done my snowball calculator again and even if I only ever managed an extra £500 per month I would only be 2 months out of 2011. I'm hoping DH will have some great months so we can clear by the end of 2011 at least - It's not desperate I do that obviously but when I set myself a goal I really really need to achieve it!

Enjoy shopping for the painting stuff and good luck with the selling of them too!

Ceniza

Thanks Feels kind of bad shopping for things at the moment when I'm trying to pay off debt, but hoping to turn it into profit and speed up my payments

Ceniza

Right, so I have just come off the phone with Lloyds TSB and have set up a bill payment on my account to allow me to easily make overpayments on the loan. So the plan is to clear the credit cards, then attack that damn loan!!

Determined_2b_Debt_Free

AdamA9 wrote: »

Right, so I have just come off the phone with Lloyds TSB and have set up a bill payment on my account to allow me to easily make overpayments on the loan. So the plan is to clear the credit cards, then attack that damn loan!!

Yay! Great :T

I've been with Lloyds today as well having a sort out... and made the overpayment whilst I was there too!!! :j

Ceniza

Right, today I just made a £500 overpayment to my Capital One credit card. I should make £586.13 in order to keep my snowball prediction accurate, but I have a £30 minimum payment to make at the end of the month so once that goes through, I will think about making the other £56. Then I have another £400+ to go on the other debts. I can't believe I'm spending £1000 of my wage on debts

Must keep strong!!!

I will update this when I get my new balance through after making payments and overpayments this month. And in other news, my partner lent me £2,000 to cover my overdraft, so I'm not charged interest on that

Current Debt

Lloyds Loan - £18,831 @ 14.5%
Capital One CC - £968 @ 30%
Egg Banking CC - £943 @ 21.90%
[STRIKE]Lloyds TBS overdraft - £2000 @ 12.3%[/STRIKE]
Loan from OH - £2,000 @ 0%

Total Debt: £22,743

Determined_2b_Debt_Free

That's fab! I know it seems like such a shame to spend your hard earned wages on this, especially when technically you can afford to service them the other way but we'll all feel soooo much better when we pay them off quicker and can do other things with our hard earned money! I can't wait I really can't.

:beer:

keza

hi adam didnt want to post and run! good luck with the debt busting! i had a diary on here called £9k in 130 days. i cleared my remaining debt of 9k in 4 paydays. it can be done with a lot of determination!

One thing i mite suggest is that u focus on paying capital one first as this has the highest interest rate, just pay the min payments on the others then move onto the next one, poss the egg cc as thats the next highest!

good luck *subscribes* x

Ceniza

Thanks guys.

Keza, that is my plan of attack. The £500 went on the Capital One today, and then when this is clear the money will be going into the Egg card. It's painful to do, but I know it will be worth it in the end.

Herewego

Can I join the challenge to clear all debt by June 2012, would love to bring that date forward.
It's depressing seeing all your wages go to debt but what keeps me going is one day all that money will be mine and hopefully there will be money in my account at the end of the month.
Good luck I will be following you on your journey