Want to be debt free in less than 2 years!

Better_Off_1983

I recently obtained my credit file and the score was 626. I am not really fussed about that. I had a whopping 38 closed accounts on there!! No defaults, no CCJs. On my existing credit agreements, I pay more than the minimum payments.

About 10 or so years ago, I was in about £30k worth of unsecured debt :eek::eek::eek:. I got into that amount of debt to prove my credit worthiness to creditors. It was at a time when the banks were throwing credit cards at you.

At the end of every year, I like to aim to clear one debt off.

Below is a list of my creditors:

*Very £89.00 - interest free period ends in Feb '13 this will be paid by then, the limit is about £4k - but I hate having a balance over £200.00 to the catalogue, I do take advantage of the BNPL offers and pay before the interest starts!

*Isme £149.00 - interest free period ends in Feb '13 this will be paid by then- limit is about £2k

*Aqua £337.00 - aiming to pay this in full by Christmas - at £115.00 per month (including interest), because I opted out of the interest rate increase, they closed the account :j THE HIGHEST BALANCE WAS £2100.00

*Barclaycard - £1275.00 - not using this card anymore. THE HIGHEST BALANCE WAS £2000.00

*Ltsb credit card £1900.00 - not using this card anymore- this will be the next account I will clear after Aqua - because of the high interest rate HIGHEST BALANCE WAS £2500.00

*LTSB loan £533.00 - due to end in 2016 - but I hope to pay this off in early 2013 HIGHEST BALANCE WAS £2700.00

*First Direct overdraft £189.00 HIGHEST BALANCE WAS £500.00

*RBS overdraft £641.00 HIGHEST BALANCE WAS £750.00
*RBS overdraft £630.00 HIGHEST BALANCE WAS £750.00

I had loans with PDLs, Welcome Finance, HFC finance, a loan with HSBC, a loan with Provident, 2 Natwest Credit Cards, HSBC credit card, a loan with Real Personal finance,

I have also had some PPI refunds - £4000.00 so far! This is in an ISA account. I know people will tell me to use this to pay off the debts, but this money is the only money I have to my name. I also have it for dire emergencies ( not touched it so far, but I believe it is better to have it and not need it, rather than need it and not have it). I am hoping this money could be towards my early retirement.

I currently have Vanquis and Capital One cards presently, with a balance of around £10.00 outstanding on each, I will not max out on those cards, I will keep them active by using them for small bits, but I have a DD in place to call for the full payment every month.

So, I am giving myself a humble pat on the back - because I think I have done quite well! :T:T:T:T

digging

Well you seem to have a good plan there! Good luck with the last leg of your journey to be debt free!

Better_Off_1983

I got another PPI payout from HSBC - £1542 and used £1500.00 to pay towards the LTSB C/C balance of £1900.00, I also paied another £45.00- as that would have been the usual min. payment for that month. The balance now is £384!! It was costing me £30.00 per month in interest!

The Aqua balance is now £220.00 or so now.