The Debt Free Roll Of Honour

Snwps

The date of your lightbulb moment - 25/05/2019

Debts at their highest - £37,493.25

Debt-Free Date - 24/02/2023

Your one perl of wisdom - Budget and be truthful to yourself about your spending

Which forum threads helped you - Definitely the DFW Board and the DFW Diaries

I've been in debt all my adult life, not much debt when I was younger, I always had a credit card or an overdraft but I was sensible. Then I had my kids and things got tight. I struggled on maternity pay and turned to credit to cover spending. I didn't have savings, I never saved. If I needed a new car, it was a loan. If the house needed work, it was the overdraft or credit card. I've started and stopped my journey so many times before my 'light bulb moment'. I've consolidated credit cards to loans, even consolidated credit cards to a new balance transfer credit card and found myself in a worse position. 

2019 I was scared, £37.5k is a lot of money. I realised I had to do something, we needed to change our habits. I was already budgeting to some extent with my spreadsheets and was pretty good at shopping around and cutting back on bills etc, but it was the unplanned spending that was out of control. I started a diary on here, set up YNAB around that time too and things got real. I realised we needed to increase our income to help pay down the debt and as the kids were a little older we both got 2nd jobs. It was tough. We hardly saw each other. 

What I found really hard was how long it was taking to clear the debt. On paper it could be cleared in a few years but I'd tightened the budget so much it wasnt sustainable. So last year (I think it was) I readjusted the budget, allowed for some living and the debt started coming down again. 

We reached the 60% payoff mark earlier this month, then as luck would have it, we come into a little bit of money and were able to clear the whole lot. There was still a part of me that wanted to keep the debt and the money in the bank but then another part of me wanted it just gone. So I spent some time clearing down the last few credit cards and checking today the balances are zero. 

LemonLover

LemonLover said:

Hi all - I just joined today after becoming debt-free last week. (I've been reading a lot of forums and articles since crossing the Rubicon.)

a. The date of your lightbulb moment - September, 2014

b. Debts at their highest - $36,000 US
c. Debt-Free Date - 24 February, 2022
d. Your one pearl of wisdom. - Your friends and family won't always get it - not the anguish, nor the journey, nor the triumph. If you're lucky you'll have a significant other or friend giving you real support. Mostly the journey out of debt is a solitary one...in spite of all the forums and advice, the only one who can do it is YOU.
e. Links to the MSE guides that helped you - This seems like a great site but I only found it yesterday, lol.
f. Which forum threads helped you - Whatever was out there, mostly Reddits and that wort of thing.

g. And if you had a debt diary on the DFW, a link to it - n/a

Well, I've been debt free a few days after being in debt almost all of my adult life. (I'm 45.) It's a great feeling - not something that was joyously overwhelming when I made the last payment, but something that will always be with me and a reason for gratitude. I'd been in debt so long that if felt like another appendage. So there's still some muscle memory to lose.

My story: I took out student loans in college (around $16k - maybe $20k paid back). Around age 23/24 I started using a credit card. Mostly my debts were from travel, so at least I have fantastic memories. But I also used it on other purchases, like insurance, attorney fees, etc. - the kind of things where you think to yourself, "I got this - next month." Then eventually I was using cards for nights out at bars and restaurants.

Around age 38 or so, I realized that the center could no longer hold. I was probably paying $500 monthly on debt payments with very little left over. I remember turning down a friend who invited me to a party, because I couldn't afford to buy a six pack or bottle of wine to bring along.

That's when I made what turned out to be my most important decision: I changed my housing paradigm. I left my 1BR and moved in with a friend, who agreed on a VERY low price for rent. The neighborhood was crummy (though it grew on me), and the apartment was old. But my roommate was hardly ever home, so it was kind of like living alone. It was also closer to my job.

From there, I made aggressive debt payments, finishing off my student loans first (a monthly bill of about $200). Now, I didn't live a totally frugal life. I found money to travel and dine out, but paid those expenses immediately. I was still able to cut my debt down by 2/3 in 2.5 years.

I probably should have finished it off but I got my own place again, then quit my job, then moved to Europe and went back to school. This part I do not recommend, but I felt more in control of what was left of my debt, around $12k. And, in spite of making less money, work stoppages due to COVID, and paying for a (very cheap) master's, I was able to not only save plenty of money in my EF, but also kill off the debt last week. It was down to $6k and I just thought: it's time. That dropped my savings down more than half, BUT it wasn't really "savings" was it?

I'd like to tell you that I feel like a new man, but really I changed 7.5 years ago when I made the decision to slay the dragon, one way or another. Once you commit to a decision, things fall into place. Debt kept me from pursuing dreams and giving my all to relationships. A lot of loved ones questioned my decisions (moving in with a roommate at my age, e.g.) but I put the ego aside and did what I had to do.

You will, too.

Thought I'd check in. I'm celebrating one year of being debt free. It's been a great year.

The feeling after the last payment was anticlimactic, but the feeling thereafter is one of pure freedom. For those of you struggling, just stick to your goals and you will get there. It's worth it.

In spite of my income dropping last year, I've saved a good amount of money. Money that would have gone to servicing debt.

I use one credit card for safe online payments and pay it off immediately. The only debt I can imagine holding now is a mortgage, but that won't be for a while.

Congrats to all - those who made it to the finish line and anyone who decided to get there!

NoMoneyNoWorries

The date of your lightbulb moment
Oh I planned it - I wanted go have a good time time in my 30's. 
Being ex forces I called it Operation Final Fling.
That was way back in 1990
Debts at their highest
£20000 + credit cards
Plus a broken  interest only mortgage
Cashed in a personal pension 2015 to clear the broken mortgage.
A mini heart attack in 2008 amongst some other stuff, unexpected job loss etc.
Debt-Free Date
4 March 2023  (so it took about  22 years)

You cant believe how relieved I an right now - I though it was going to follow me into my OAP years.

shell16

a. The date of your lightbulb moment: 17th August 2021

b. Debts at their highest: £25766 (£15410.70 at start of Journey)

c. Debt-Free Date: 4th March 2023

d. Your one pearl of wisdom: There isnt just one pearl of wisdom I can share really.  There were so so many things that have helped me along the way. 

Budget - You need a good reliable and honest budget!  Dont assume a figure, get the statements out and see where you are spending and what you are spending then use that amount for your budget.  Stick to your budget this is key!  I moved to cash budgeting for certain categories in my budget and this has helped me to keep focus of spending and usually more often than not, I always have cash left over to put towards a savings goal, a debt.....

Be Determined - Only you have the power to do something about debt, you got into debt and its you that has to get yourself out again. Life will no doubt throw some curve balls into your path, but if you have determination to succeed, then dust yourself off re-assess and start again even more determined.

YouChoob - I started watching other budgeters videos and this gave me so much inspiration and so many ideas to take my budgeting to another level.  

Side Hustles - Try anything that will generate extra income.  I joined Prolific amongst others and had huge success.  All survey money was sent to debt, without this I think I may have given up.

This Forum - There are so many knowledgeable people on here, its an absolute treasure of information!  Even if you cant give any relevant advice its so nice to hear someone is supporting you and lifts your spirits when perhaps things are not going so well.  There are specific Threads which have helped me to stay focussed which are the Payment A Day - Chapter 2023, Pay all your Debt off By Xmas 2023 (I now run this thread) and specific diaries by @LittleMissDetermined, @Keedie.  There are numerous others too!

e. Which forum threads helped you: Reading other people's diaries has been one of my main motivators and are a source of great help with my own journey, so thank you everyone! I couldn't have done this without you @LittleMissDetermined, @Keedie,  Payment a Day Chapter 2023 Payment A Day - Chapter 2023 — MoneySavingExpert Forum, Pay all your debt off By Xmas 2023 PAY ALL YOUR DEBT OFF BY XMAS 2023 — MoneySavingExpert Forum

f. And if you had a debt diary on the Debt-Free Wannabe board (DFW), a link to it:  Debt and Budget (Reset) plan — MoneySavingExpert Forum

g. Link to my new diary I can now see the light at the end of the tunnel, now my saving journey begins! — MoneySavingExpert Forum

Keedie

Massive congratulations again @shell16, and bless you for being kind enough to mention me. Your cash budgeting is making serious impact on how I manage my own finances and journey and I agree that these challenges and the forum in general is absolutely fantastic. I can't wait until I can get myself on the Roll of Honour. Steadily inching my way there...! x

[Deleted User]

a. The date of your lightbulb moment: March 2022

b. Debts at their highest: £15 k ( £11k in March 22)

c. Debt-Free Date: 21st April 2023

d. Your one pearl of wisdom: Start small - having no spend days really helped me break the habit of spending. Have an emergency fund before you start clearing debts!

f. Which forum threads helped you: Monthly no spend threads run by @cathybird, PAD and my own debt free diary " Time for change"

It's been a journey full of ups and downs but I've made it. Next up is creating some short and long term savings goals.

Thank you everyone that offered messages of support. Here's to the next chapter.
New diary is in ' how much have you saved?' Thread and is called ' Time to save' x

AntoMac

Very well done @Deleted_User and @shell16 being recent additions to the honours board.
Great to see a couple of PADders reach their goals

LittleMissDetermined

Today I have made my final debt payment! I can’t even begin to describe the relief it’s given me, I have cried happy tears!

a. The date of your lightbulb moment - There have been many (hangs head in shame), originally when I found this forum in June 2013, most recently 23 February 2021 when debt was still £25k+ and we were applying for our mortgage.

b. Debts at their highest - £42,361

c. Debt-Free Date - 27 April 2023

d. Your one pearl of wisdom. - If you don’t have a debt free diary, create one.  Most importantly, USE IT! Post every day, even if you’re only adding a little bit. It will create a habit and keep you accountable to your debt clearing mission.  Sometimes there won’t be many replies but the diary is for you…Don’t give up when times are tough, reassess your plan and carry on. Life may get in the way, and it’s a struggle sometimes but even small amounts add up over time. This feeling of relief is totally worth it!

e. Links to the MSE guides that helped you - 

Eligibility checker 

SoA calculator 

Credit club

Reading other people’s diaries and getting inspiration, advice and tips really helped me too. It reinforces the fact that you’re not alone in what you’re dealing with. Support from this forum is what has kept me going.

f. Which forum threads helped you - 

• Payment a day 

• Debt free by Xmas 

• Sealed pot challenge

• No spend day monthly challenges

These threads have been invaluable in my debt free journey, supportive, encouraging and most of all when things aren’t so great there’s no judgement. 

g. And if you had a debt diary on the DFW, a link to it - 

Debt diary

Savings diary

Finally, I just want to thank those who have supported me on my journey, there are too many to mention and I wouldn’t want to leave someone out by accident.  I have so much gratitude for my forum friends and those running the challenges.

LMD x

enthusiasticsaver

Congratulations @LittleMissDetermined . I have followed one or two of your diaries over the years and your debt free status now is well deserved. Hopefully on to your savings journey now.

Keedie

A massive congratulations @LittleMissDetermined! I don't know how I missed this post 🤦🏾‍♀️. But your achievement is very inspiring as is this post and your pearls of wisdom. You've done so well, it's really admirable. xx