Lulabelle's MFW Diary

lulabelle1

I used bum genius when he was little but to fed up of constantly washing them. Managed to sell on after 6 months at a small loss.....

lulabelle1

Organised my Over Payments to go in to the mortgage on the 1st December, can't wait to see the balance reduce a little bit. It's taking an age to set up all of my savings accounts for the various pots of money - if I try and do more than one a day it confuses them, so I'm stuck with opening one a day until they are all done.

lulabelle1

Question for you lovely MFW's......
I have some money in a savings account, it's earning no interest at all. It's there for emergencies. However, Nationwide allows me to take back any overpayments I want, so wondering whether I should just go ahead and throw most of it in to the mortgage..... Juts wondering what your thoughts are and whether any of you still keep money in savings where it earns no interest because it makes you feel safer somehow.....
Thanks, L

wynnvegas

Hi L,

We didn't. It frustrated me every day because any money sitting in a bank account was essentially costing us money. Tying it up in a long-term savings account would have made about 1.7% more sense financially but we wanted to chuck it all at the mortgage. We went the better part of the last two years of having a mortgage with around £1,000 of an emergency fund.

Cheers,

Billy

lulabelle1

Makes sense Billy...
I've looked around for some decent savings accounts, but since the only half decent ones involve me changing my current account (which I don't want to do), then there doesn't seem to be any attractive options out there. Plus, they are reg savings accounts which I'm not mad on.
I will chuck my small savings pot (minus the £1k emergency like you suggest) in to the mortgage. It will need to go on the one at 2.5% as the higher one only takes £500 per month and I'm already op'ing that one to the max each month. Even at 2.5% I think it's still better in there than where it is at the moment.
So, roll on the 1st of the month and I'll move it over......

Plus, I guess at some point, the rates will increase on my mortgage, so I might as well try and reduce it as much as I can in the mean time.
Thx, L

Secret_Saving_Squirrel

I agree, better to reduce the interest if you are healthy and reasonably secure at work. A credit card can be used for real emergencies so I think kill the mortgage!

lulabelle1

Thanks SSS, I shall do my best to kill it, though I think it will take some doing....!!

lulabelle1

It's that time of the week again. DH has gone to do the weekly food shop. I wonder what goodies he will come back with which weren't on the list, hehehe.

I've arranged for the some of the savings money to go in as an additional OP on the 1st of the month, so just £1,000 will be kept in savings as an emergency.

Can't wait for the overpayments to leave the bank and hit the mortgage account, I want to see exactly what difference it will make to the amount outstanding.

Spending has been going reasonably well over the last few days...

DS2 is wearing a pair of the jeans today that we found in the loft which belonged to DS1, great seeing him with some new clothes without having to have spent any money!

lulabelle1

eBay stuff is still in a pile, I need to see when DH is planning on getting it photographed and listed..... It's really getting in the way now and is starting to bug me. I could do it myself but I'm really busy with work at the moment and since he works PT, then it remains one of his little projects to take care of. Unfortunately DH is of the "I'll do it later" breed which drives me insane but there you go.....

lulabelle1

DH came back with many non list items and managed to spend a staggering £150 on the supermarket shop this week, sadly some of the essential items that we needed to make several of the dinners did not come back with him, Grrrrrrrrrr