Actual money left over!

moohound

I have had some unexpected back pay of just over £400:T:T:T


My DMP starts at the end of the month and I will have been paid again by then.

Should I

1) save it as an emergency fund?- I currently have none

2) use it as an extra payment to be shared out?

3) start an f and f fund with it?

billinghamfan

I would suggest an emergency fund!

I forgot about my exams and car service and an now in the red for this month!

mildredalien

I'd suggest an emergency fund too, if your day to day budget is extremely tight then a little extra for emergencies is always a good idea for those unexpected things! Do you have money to be put towards your emergency fund in your SOA already? You could set an upper limit of the fund, and transfer any extra into overpayments on your DMP or a F&F fund.

bargainbetty

Emergency fund, for sure! You could top it up with any other savings you are making until you have enough to cover a month's expenses should something happen. Over and above that, F&F!

Good luck, and congrats on the windfall x

Boris_Allen

The only sensible thing you could do with £400 is invest in an entrepreneurial scheme such as Kleeneze.

I would advise you use your resources to purchase as many magazines as possible, and then recruit a few willing volunteers to distribute.

You will then easily make back your investment through sales and commission from your volunteers within a week and before long your income will be ten-fold your expenditures

moohound

Will give it to husband to stash in emergency fund.

sickasachip13

Nice surprise :-)
Defo emergency fund. Mr SAAC had some extra shifts early in our DMP and they advised us to keep the additional £ as an emergency fund.
SAAC

moohound

I feel as if I should use it to reduce the debt which has not really gone down much over the past 18 months despite be nearly killing myself doing overtime, I worked out I Had paid £11000 in repayments and total had gone down by less than £1100. I really want it to start going down and feel like I'm making progress. But an emergency fund will make me feel more secure as well I guess.

fantastiyk

As it's yours, the final choice is yours.

I'd have paid it off debts. Is there a smaller debt that it would clear?

That's a very small reduction for how much you paid. When DMP starts will it help reduce the total quicker?

Good luck with it all.

RAS

Hi

I would put it in an emergency fund at the moment. When the DMP is up and running and everything settles down, if you find that you do not need the money, then ask your DMP provider to distribute it.

moohound

My smallest debt is £445 withBarclaycard, would it be worth adding to the £400 and paying this one off in a month or two?

Don't really know much about full and final payments, but I believe they can be quite low when the debt has been in a DMP for a long time or if it passed on to a collection agency. Mine is yet to start so I don't hink it would get a reduction, but I would feel better with one paid off and at least the others can then have a little bit more each month.

Would paying one debt off be seen as treating the creditors fairly though? I thought you were not supposed to favour one above another.

To answer RAS's question, it should be paid off in 102 months.


Also do full and final payments go through payplan or do you sort them yourself?


Sorry about all the questions:o