There once was a debt named credit card...

fredtheguava

Thank MuffinTops. My partner owns her own flat but we are a LONG way off ever considering moving in together. We're both pretty solitary people and need a lot of our own space. That's partly why I'm looking for a solid place to live now, although I don't know why sometimes as it never seems to happen!

And you're right, I am in a better position to deal with them... I just need to keep things in perspective and know that the reason I am struggling is because up until now, I would have just put stuff on a CC without thinking, now I am trying to find ways of doing it with 'real' money - money that is actually mine!

I suspect it would be difficult to get a two bed flat between three of us, so I may ask if I can contribute to fees and things but be their 'lodger' as I don't know the partner well and am worried it may not work out so well. I have Asperger's and can be difficult to be around - I like routine and things like that, whereas the partner seems to be pretty impulsive and spontaneous. My ideal would be to get a place by myself but it just not possible on my budget!

fredtheguava

Two weeks til payday - which means 2 weeks til the final payment on CC2. That thought it *seriously* keeping me going right now.

I've almost made it through the month without being forced to dip into any savings. I've borrowed £30 from my miniscule savings (leaving present from my last job that is under strict instructions to spent ONLY when I get to Canada in the summer!) just to make sure I don't go over my OD limit and get hit with charges. It will be paid back immediately when I get paid.

I've decided to go for a little bit extra on the OD repayment BT just to give myself an extra buffer for moving costs etc. It seems counter-productive but my disposable income over the next year will be WAY higher than it has been the last, and if I don't need it, I'll just chuck it back at the card. I have a plan in place to make sure it's all paid back before it costs me anymore than the BT fee... In theory!

I still need to buy a (cheap!) outfit for the wedding at the end of this month, but I'm thinking it's going to be an @sda jobbie to keep the costs down. I'll be able to wear it for work afterwards so it's not a wasted expense, at least : )

I am really appreciating the support as the month goes on... I find all my financial stuff happens in a flurry at the beginning of the month immediatey following payday, and then the rest of the month is just surviving day-to-day on what's left. That's when I need to check in and keep costs down!

MuffinTops

Hi Fred,
Sounds like you're doing a great job already. Isn't it funny getting focussed has quite a fast improvement on your overall financial wellbeing. For me it's knowing the status of my bank account each day to the point I trust what I know that keeps me level headed and able to make educated decisions regarding my bills and over payments now. That and my lovely lovely spreadsheet!

That's a great idea regarding the wedding suit. Getting something that you can use after is perfect.

I completely get you and your Partner's feelings of solitude too. It's great you're both the same with that.

fredtheguava

Dear me, yes! I used to get halfway through the month and realise I had nothing left. Now at least I know that I have nothing, but it's sorted! I check my current account balance most days; it's really easy now I have an app to do it on. I'm amazed at how much the VSP has added up to already, and the £2 savers club - without me really noticing.

I'm definitely feeling better, just a bit helpless as the month progresses.

fredtheguava

11 days! 11 days until that CC will be paid off and I will have 100% clear cards for the first time in a VERY long time! I am literally counting down the days!

I've made some decision regarding my monthly outgoings. I get paid monthly, but have realised that isn't always helpful when it comes to things like 'pocket money' and grocery shopping which I sort on a weekly basis. A couple of months ago I began to count the number of Fridays (pocket money day!) in each pay period and get the right amount out accordingly. However, I've still been doing the grocery budget monthly but then thinking about it in weekly terms. Not ideal.

So instead, I will be doing the following:

In my head, my £200 allowance allowed for four weeks at £50. Obviously not even Feburary was only 4 weeks this year! So instead I'm breaking it down into a £40 per week allowance, budgeted in the same way as pocket momey - according to how many Fridays in the pay period. I most often food shop on the way home from work on a Friday so this seems to be the best way of organising things.

So from now on, if there are four Fridays in the month, I will withdraw £120 pocket money and pay £160 onto the grocery budget card, and if there are five, I will withdraw £150 pocket money and put £200 onto the grocery budget card.

I feel pretty good about this. It saves around £400 per year, which of course is not insignificant!

There are times when my pocket money doesn't allow for an unexpected dinner with friends, or something similar, but having a slight excess (I suspect I spend £30-£35 on groceries per week) allows me to be pretty flexible with things and to not deprive myself while still sticking within budget. All good news!

The other thing I worked out today is that my summer away is going to cost me around £700 in spending money (for food and activities) but it will save me around £440 on the budgets outlined above. So although I will be taking that lump sum from my savings, I may well be able to pay a good chunk of it back into the savings when I get back in late August. I will be delighted if that's the case!

Things with the flat are moving along. I've been pretty clear about my budget and we think we can get a decent sized flat between three of us while contributing equally. We're going to look for somewhere in early June so we have time to save deposits and things, but I feel much better with a firm-ish plan in place and future flatmates who I get along with.

It's a long journey, this. Two steps forward, one back sometimes. But I really do see the difference now I'm living a more MSE life and don't feel like I'm depriving myself too much! I have been thinking a lot more before purchases that I would have just stuck on a CC and don't really feel like I'm missing out when I think about that big fat zero next Friday!

fredtheguava

Well, I've looked very closely at some CC3 statements today and realised that although I thought I was living within my means, I was actually living in cloud-cuckoo-land.

I have overspent by £100 on groceries in the last two months. I have also put over £600 worth of 'extras' on the card - a trip to Prague, a ticket to a concert, a dinner here and there, some cinema tickets. You get the picture. Anyway, I had told myself they were coming out of the 'grocery' budget each week, but it's clear this is NOT the case.

CC3 is 0% for a short time longer, but I have decided to increase the amount I take from CC2 in a money transfer, clear it, and start again with a clean slate. It will take me another month next year to get it paid off, but I would really prefer to start in April with a clean slate and a real, solid PLAN in place to get me to debt-free-dom.

Ugh. Best laid plans and all that. I know that it's the hundreds of little 'extras' I buy - a drink here, a mars bar there - which I think of as 'grocery' when it's clearly treat - and the things I think I must do - like Prague, and the concert. I need to start saying no. If I don't have the money upfront, it's a no. I can't keep borrowing from future me like this.

fredtheguava

Today's the day!

Payday. CC2 is getting cleared. 100% cleared! That means in a few days I will be able to screen print 2 different CC £0.00 balances. I can't tell you how exciting that is!

I've used some of my VSP to pay off some more of the 'extras' I've put on CC3 and reduced how much I need to take off the money transfer to start with my clean slate. It's only £100 difference but something is better than nothing, after all.

I'm amazed at how quickly the VSP is adding up! I've included any extras I've made from selling DVDs etc, as well as some extra cash I picked up for supervising the school play's backstage area, but to have out £300 in it in 3 months is really something. From now on that will be my 'play' money, for the times when my pocket money won't cover something like a plan with a friend, or something similar.

I feel relieved. Maybe more so than I thought, especially after yesterday's panic. As soon as both CCs have a £0.00 balance, I will request the money transfer, pay off the OD, and start again with a firm plan in place. It's exciting, to say the least!

MuffinTops

Well done on paying the CC cards. I managed to pay a bad debt in full this month so I completely understand the excitement you're feeling.

Each month we all seem to make small steps forward which have suchy a major overall effect. Well done! Now you can relax a bit more and enjoy April?

fredtheguava

Okay... Payment to CC2 has now cleared, so it is sitting with a £0 balance. It is such a relief to see that when I log in! So I've checked out what I need to get myself on an even keel this month and requested the money transfer from CC2 to clear my OD and then some. 100% clean slate! I've updated my signature to reflect that...

I'm feeling good! About 4 months ago I bought myself a little gift to spur me on and I finally opened it this weekend (in the presence of my good friend who is a professional photographer!) so I'm now sporting my ring of CC freedom. Every time I look at it or feel it on my finger I get this little rush of pride and happiness - swiftly followed by determination : )

I've no doubt this month will be tight. It's the holidays, I'm going away for a few days with my partner and it will cost more than being home, but I'm looking forward to it and have budgeted to have lower spending money for the rest of the month in return for a whole lot more next week. It will still be tight, but I'm hoping not too bad! Fingers crossed, next month is where I get the chance to breathe again.

fredtheguava

Well, I requested the OD money transfer and it's appeared in my account, leaving me with a positive balance for the first time in a long time. It's exciting! Now to keep things like that - there's no point paying it all off on the CC if I'm just going to slip back into the OD anyway. I won't be debt free if that happens!

Moving house is gathering speed! We have looked at a few flats and know the kind of price we're looking at, and seem to be on the same page with bills and percentages of rent and stuff, so that's good news. It's also led me to get rid of even more of my stuff - either chucking it away or selling it to CEX, or chucking stuff at charity shops. I think I have probably a quarter less stuff than a couple of months ago and packing it seems less of a chore than it might have done.