The final chapter before 2 becomes 3...

kavics17

Diary nr 2, what happened previously:


In 2011 we repaid £34.000 worth of debts. We took a gamble by not taking out a mortgage but a personal loan just because we wanted to repay it ASAP without the hassle. We were really focused and determined and overpayed the loans regularly, the gamble paid off and we became debt free in Oct, 2011. We were so looking forward to it, had lots of plans how we will spend our money, what we will do with it but by the end all material things lost their meanings and we needed a new project. We don't want to have a bigger flat (just yet), don't need a car (we cycle), and certainly don't need to upgrade our television/playstation/etc as we hardly ever use those.

So the new plan came into our head a week after we became debt free: we have an investment flat in Hungary which we bought 5 years ago. Being naive we took out the mortgage in Swiss Frank and no one told us that because of currency change we might end up paying 6 times of our original repayment every month. Our mortgage payments are twice as much as our rent whereas 5 years ago it was only half. Long story short, the Hungarian government threw a lifeline and allowed us to repay the mortgage on a fixed rate by the 3rd January, 2012. Yes, we are losing money on it but I believe we are better off losing the £10k now than paying £100k over 20 years. So we took out 2 new loans in the UK to pay off this mortgage.


The race is on as we have also been TTC since April this year, and the aim is to repay the debts before I need to go on ML. I'm 32, OH is 34, we have been together for nearly 9 years. We are both from mainland Europe (though from different countries) so we regularly fly to visit our families. My job is quite secure, currently have 2 employers (though the job is 'one') although there will be some restructuring at the end of the summer, 2012 so I might end up working for one employer only. I'm hoping that I will fall pregnant very soon and go on ML from 'both' jobs, I really like the idea of getting 2 sets of MP. OH is working for an aviation company 4 days a week and does overtime when possible.

And the plan is? Well, actually, we don't have any. We will just carry on doing what we did in 2011, work hard, make regular overpayments and don't buy anything unnecessary. I will hit ebay periodically, but we don't have much left to sell so that won't give us extra income. I do regular babysittings, maybe 2 a month (no more twice a week) and OH is trying to fit in some overtime too. I will try and update my SOA but I don't think much changed in the past year.

So here I am, mumbling into 2012. Follow my journey if you want to, pop in and say hello.

kavics17

So the loans: one with Lloyds, one with Sainsbury. Both on 9.2%APR, both taken out for 5 years, monthly repayments are £310.16 and £310.10. We will concentrate on Lloyds first as I can follow the numbers there easier and once it's paid back, we will overpay Sainsbury's. I aim to pay £2.5k a month towards the loans, some months it will be way over it, some months it will be way under it. We will use the rent to put towards the loan as well but it won't be happening monthly, most likely just quarterly-we need to exchange the money into pound than sent it to the UK, so will depend on currency exchange rate.

I also use Lloyds credit card for shopping and booking things but we repay this every month in full and just collect airmiles to use for flights. Which reminds me of calling Avios over the weekend and get two flights to see my family next June.

OH doesn't have any credit cards or store cards, he usually sends 85% of his salary on my account mid-month which I use for overpaying the loan, while my salary goes towards bills/loan payment/cc/etc. It works for us as he doesn't like logging into his banking daily and deal with financial stuff.

kavics17

Monday morning, back at work.

I babysat over the weekend, earned £175 alltogether. Very happy with that. I paid in to my bank account today and will make an overpayment of £300 this afternoon.

Ebay sales are not picking up just yet but hopefully the items will sell. I desperately need to put some other staff on gumtree but have no time at all:(. Waiting for delivery now, ordered my brother's xmas present from Bookpeople.

To do list for the week:
-make a gp appointment
-make Lloyds overpayment
-put up Xmas tree
-wrap Xmas presents
-give item to friend
-bake gingerbread men
-sort out Play
-buy whiskey for OH's boss
-make a list what to buy on the sales
-clean house

kavics17

Managed to book 2 flights to Budapest for July next year using our Airmiles, going there for 6 days. I will need to book a night accomodation though as our flight lands at midnight and there is no way that we could take transport to our destination. I will try to collect enough Avios till than so won't cost us a penny. I also checked, there is an open air theatre on those days so will book tickets in January to see a show.

OH is having his operation on the 2nd Jan, needs to fly on the 1st and will be back on the 16th. The tickets at the moment are around £60, will try to book it at lunch time. So next year with this is sorted, at least until September.

I made the overpayment towards Lloyds, just need to check my account, I might be able to make another £100 before OH's salary hits his account. We are having a busy Xmas, my brother will come on the 24th and probably stays till the 26th, we have drinks with our neighbours on the 25th. Work between Xmas and NYE and I'm babysitting on NYE, than OH is flying. December should be calm and relaxing, well not in our household.

Still no ebay sales, will try to put some more at the weekend. Ok, back to money making, work can't wait.

kavics17

Yeah, it's Thursday, nearly the weekend.

Didn't sell anything on ebay but relisted all of them. I really need to declutter the flat and also wrap all the Xmas presents, I will have a busy weekend so not sure how I fit everything in.

I need to send money to my brother for the parcel, it's £14.

I also need to chase the ebay item I ordered, ovulation sticks for next week, would be great if I could have them this week. I feel so sad, my friend is having a miscarriage and I know exactly what she is going through. It brings back all the memories and they are not good ones. I am really hoping I can concieve over Xmas, my work is changing from Sept next year and ideally I would love to go on maternity leave before. But it's not me who controls these things sadly.

LAM2011

Hi Kavics - I saw on the pay off as much as you can - how well you did with your debt busting - well done.

You seem to have everything under control and I hope 2012 is your year for 2 to become 3

My immediate family used to live far away but they are all based here in the UK now which is nice so I know what its like when family is not close by.

Will subscribe and try keep up with your journey

kavics17

Thank you Lam, nice to see you here. Yes, we paid off nearly £24k in 2011, hoping to up it up to £30k in 2012! though anything small is a great achievement as long as you pay it towards your debt so everyone on the 2011 thread is a winner, we all did very well!

kavics17

Plenty to do today though I have to be at home to have most of it done.
Money wise: Play refunded £2.74x2 for sending the wrong item to us and refunded one of them, replaced the other. Not sure why as I clearly requested the 2 item to be replaced and not refunded. I wait until I receive it than make a complaint.

I am angry of Yodel once again, they supposed to deliver my Open University books but they said that the property was not approachable. I live on the main road, there is no way they tried to deliver the package. Iceland is right opposite us with lots of parking space and OH was at home:(. I am so upset, how dare they write that the property was not approachable? I don't live somewhere where there are no roads, it's Central London fgs!

I just realized that I have to buy 2 tins for home-made cookies. Completely forgot about them but as they are Xmas presents I better make my way to TKMaxx at one point this weekend.

I have one babysitting booked for Sat night, should be an extra £40.

kavics17

To do list for the weekend:
x book flight tickets for OH
x find out about yodel and make complaint if necessary
x let boss know that I'm taking 3 days off in July
x put up Xmas tree
x wrap all presents
x do Xmas food shopping
x shopping
x cleaning
x dr
x buy cake tins
x hair, eyebrows
x chase up Inland Revenue
x make OH get something for his mum for Xmas
x write invoices and post them
x babysitting
x book massage
x get bag together for brother
x find OH's cycling scarf
x ask for new contract

kavics17

I also received the ovulation sticks from ebay, I shall start trying them tmrw. It will be CD10, my predicted ovulation day is Xmas day.

kavics17

kavics17 wrote: »

To do list for the weekend:
x book flight tickets for OH
x find out about yodel and make complaint if necessary
x [STRIKE]
let boss know that I'm taking 3 days off in July
x put up Xmas tree
x wrap all presents
x do Xmas food shopping
x shopping
[/STRIKE]x cleaning
x [STRIKE]dr[/STRIKE]x buy cake tins
x hair, eyebrows
x chase up Inland Revenue
x make OH get something for his mum for Xmas
[STRIKE]
x write invoices and post them
x babysitting
[/STRIKE]x book massage
x [STRIKE]get bag together for brother[/STRIKE]x find OH's cycling scarf
x [STRIKE]ask for new contract[/STRIKE]

Making progress...