How much do you pay per month on debts?

rdchick

I find when I'm at my second job and not having fun at home with the bf working out how many weeks/months in theory it's going to take is actually really exciting and motivational! It also makes the time go quicker at the second job as I dream about what I can do when I am debt free!

Hovel_lady

Currently around £460 a month on a loan (6 years to go), 4 credit cards and interest on the overdraft.
Did some calculations recently and worked out we'll be debt free in 8 years :eek:

Turtle

Around £180 on my loan, no cards. May I ask if those of you who are saving hundreds each month still live with parents or something and aren't paying a mortgage/rent/bills?

MoneyWasting_Expert

After tax I earn around 730 a month. I currently live in my parents house that they have bought outright. I pay for my own food, do the chores around the house leaving me to only contribute to the seasonal electricity bill and the annual rates bill, oh and a annual TV License. I have my own Sky TV Internet Sub, Orange Mobile Contract which adds up to around 100 pounds per month then about 50 + on food and toiletries. Every penny left goes on debt. By August will have credit card wiped out completely and around 2 grand left with no interest with creditors. I plan to pay all these before the year is out. Then after that save up for cosmetic dentistry treatment. In my late 20's and starting to have some teeth problems. Planning to get them porcelain veneered and should not take to long to save. I will be able to save around 500 a month as I live comfortable at the moment. If your at peace then thats all you need. I dont want money to control me after a get debt free where I just blow my wage each month on new clothes and gadgets. Live the way I am at present and I can still save even on a rather low income. Plus as for food all healthy, no ready meals for me.

Malky

After struggling with debt in my twenties/early thirties, I have been on the wagon for 5 years thus owe nothing. I have a CC and believe me, it's still tempting to spend on it other than emergencies. Thankfully my wife holds onto the card.
My wife pays £180 per month for her car but we've been saving up and it's away to get paid off next week a year early

hostie

I tend to throw everything I have at the debts - not sure how much it is in total. I wonder if this is where I am going wrong as I often don't have enough money. It surprised me to read that so many of you also save. I wonder if I should be trying to save too? I think I just got used to paying large sums onto my c.cards as this kept them manageable for me for a long time.

MoneyWasting_Expert

hostie wrote: »

I tend to throw everything I have at the debts - not sure how much it is in total. I wonder if this is where I am going wrong as I often don't have enough money. It surprised me to read that so many of you also save. I wonder if I should be trying to save too? I think I just got used to paying large sums onto my c.cards as this kept them manageable for me for a long time.

Paying off credit cards means that it would be silly to save. Savings means you lend to the bank and its not at a high rate, at the same time your borrowing of the bank and they are charging you more interest than your charging them on your savings. Put everything into the CC once paid off start savings and start lending to them instead. I don't have savings and will not do until my CC is paid off which should be by August. Have 2 creditors left and thinking of just staying in the same arrangement because they no longer apply interest to the account so might as well but the leftover money into the bank. Clearing the creditors though would hasten the removal of a default but I am not honestly worried to much about that.

monicamj

Yes in some ways it doesn't make sense to save and Martin says we shouldn't, I don't but if you have one off expenses that come round every year (MOT, car repairs etc.) it makes sense to save for these so you don't have to put them back on a credit card. Some people like the security of having some money set aside. My first plan when I pay off my debt is to save 3 months wages as an emergency fund (my mum always used to tell me I need that!)

I pay about £160 to debts if I don't have overtime, if I do overtime time then any extra earned goes straight to the debt.

cococoladebt

I'm paying about £1,500 a month but I have to say I am living a rather frugal life at the moment, but it will be well worth it once the debts are cleared.

MoneyWasting_Expert

monicamj wrote: »

Yes in some ways it doesn't make sense to save and Martin says we shouldn't, I don't but if you have one off expenses that come round every year (MOT, car repairs etc.) it makes sense to save for these so you don't have to put them back on a credit card. Some people like the security of having some money set aside. My first plan when I pay off my debt is to save 3 months wages as an emergency fund (my mum always used to tell me I need that!)

I pay about £160 to debts if I don't have overtime, if I do overtime time then any extra earned goes straight to the debt.

Another point that agree with Martin on. If your in credit card debt and the card is still active and you havent cut it up, I still dont see the point of a seperate fund even for a MOT. Put it back on the card if you need to, the outstanding balance will be a lot less if you paid the fund that you saved onto the CC. Becuase of the interest rate that is calculated daily, paying more and sooner has a greater balance snowballing effect.

If you paid for the MOT with savings your card balance will still be higher than having no savings and putting the MOT onto the card.