Hi, I'm new, in debt but fighting it!!

Fairydust2011_2

Hi Everyone
I must of been reading these threads regarding debt diaries for 4 years now and what an inspiration and comfort they have been. To not know you are alone in this, or to get hints and tips.

Ok so a little about me.. I am happily married have a beautiful toddler and am due with our next in April. It was 3 years ago that I actually realised our terrible debt, I think I was in total denial before this!! But once I took my head out of the sand...sat down and went through everything.. even making spreadsheets.. I realised we were in 48k of debt :eek: through loans, credit cards, overdrafts. I was physically sick, it took me a few days to let it sink in. Both myself and my husband were made redundant within a month of each other, and had clearly been living beyond our means prior to that. I was so angry to let it happen, the debt I mean, so so stupid.

3 years on and we have managed to pay 22k of it :T, nearly half way there. It certainly hasn't been easy, and I vow that once it is finally paid we will never get into this state again.

So I am here for the longhaul... x

Fairydust2011_2

Just a very quick question.. does anyone save as well as pay of debt? I have started the morrisons savings stamps, saving for Xmas and was thinking about putting some away for a little holiday this year.. but should I really just concentrate on paying debt?? My DH is working so many hours and I go on maternity leave in a few weeks and I thought it would be nice to go away together (a UK caravan break).

What do you think?

InaPickle

Hey Fairydust! :wave:

Nice to see you. You've done well to pay off so much money - well done.

Different people have different opinions about the idea of holidays. I guess it depends how dire your straits are, and whether the holiday would prove beneficial in giving you a break from the 9-5 so that you can come back to debtbusting refreshed and invigorated. If you decide to go, perhaps you could set yourself a target of debt to be paid off before you go? Also, how would you pay for it? Some people have vouchers from things to pay for part/all of their holidays. If you could do something like that you would feel less guilty, so to speak. Also, when was your last holiday?

Many things to think about. Best of luck!

MrsTinks

Savings - by all means, but I would probably question what for... I would have an emergency savings stash and forego the holiday unless you think you can cope with a week in a tent... there are more important things right now than going away in a caravan...
Put a little by for emergencies like the boiler blowing up, the car breaking down, or something else like it - others will probably disagree but I think sorting your debts should come first right now... with only room for saving for emergencies... but that's me

cleggie

Hi Fairydust,
i am quite new to this too.
Personally i would forego the holiday too, as i would rather be DF a couple of months sooner than spend the money on a holiday (its a long term vision, but say you spent £1000 on a holiday every year for the next 5yrs...thats a total of £5000 that could be put towards clearing off your debts) but thats my opinion, and you know what suits your family best.

Personally, i dont have savings until this debt is cleared, its just not manageable on my measly budget, so its a case of fingers crossed that nothing happens in the meantime. BUT- i dont own my own home (i am a HA tennant) so am not responsible for maintenece/boilers breaking down etc.

When i go shopping at Morrisons, i do get a few stamps to save, i just round up to the nearest £10, so if my shopping comes to £44.00, i would get £6.00 of stamp-s to get to £50.

dreamdreamer

Hi Fairydust

That's an amazing achievement! 22k in 3 years - wow! :T

The questions of holidays and savings are personal ones - we can all give you what WE would do but at the end of the day, you have to live your life, and you know what is bearable and what is not (and it won't be the same for us!). Since Nov '08 and debt-busting I have had one short break (2 nights) to Yorkshire for OH's birthday last year - that is compared to 2 or 3 expensive abroad for 2-3 weeks type holidays a year I was having before. I'll be able to have that again when I'm debt free (if I still want it) but at the moment I'd rather be rid of the burden of this debt. I wouldn't have gone on the short break if it hadn't been that I felt terribly sorry for my OH who has no debt at all but has given up holidays until I'm debt free!

However a UK caravan break isn't going to break the bank and if it keeps you both sane it's well worth it.

Savings wise I'm lucky in that if something went drastically wrong OH has some savings to pay (we keep separate finances at the moment - I want to pay this debt myself and the hard way so I never make the same mistakes again!). If I didn't have him I'd probably have a bit stashed away in case of emergency (ie. water pipe bursting, pet getting ill etc).

HTH

Dreamer

Fairydust2011_2

Thank you everyone for your replies.
I have spoken to DH and he is really keen on a week away, he is working very long hours and will our DD and another one on the way he said it would be ideal family time. We aren't talking a breaking the bank holiday, we have saved the £9.50 holiday vouchers from The Sun and plan to eat in the caravan and make the most of the free entertainment that's there. The nights won't be late with having a newborn, thinking more along the lines of watching a dvd...exciting eh?! Lol!

I start maternity leave soon.. so my next mission is to make 'free' plans to fill my DD's day.. Ideas?? x