Indebted Dunce's quest to be debt free

Indebted.Dunce

Not a great deal to report on, but I will warn you that there is a bit of ranting and rambling coming up.

1. Gambling - still fighting temptation but am clean, I make that nearly 10 weeks! 10 down, "only" 2,652 weeks to go (assuming I live up to the average UK life expectancy!

2. Finances - Doing so-so, have overspent yet again this time by an average of c£70pw but I must admit that there are significant one-offs amounting to c£100 (a first anniversary present for my sibling and their partner, and I bought a steam generator iron - I bloody hate ironing and it always takes me forever so hopefully this will make my life easier and quicker)

I think Justajamjar had once said that I should increase my weekly amount or not get disheartened if I go over. I think realistically £100pw is the fair amount for me. I know I am in debt and I should be focused on clearing my debts quicker rather than spending so much and that there are people out there who are able to survive a month on that allowance. I would like to point out a couple of things (without sounding like I am making an excuse), I practically come home to sleep as I average 14 hour days at work plus 3 hour commute so a lot of the times my spending includes 3 meals per day. Additionally, if my budget is too tight, unrealistic or unachievable then I am likely to give up or worse hit the tables in which case I will probably lose the £2,600 (the annual cost of doubling my spending allowance) in one night.

On to some good/not so good news, I have got a very modest payrise (inflationary) and a very modest bonus which I can put towards debt busting. I suppose the rise/bonus is good cause its something. I am not really pleased abt the amount, by the time HMRC have wet their beaks, it is pittance and I feel I deserve a lot more. Before you point out that I should be glad that I have a job and at least I got something, I would like you to know that in my 4 and half years at the firm I have lived through anxiety of 6 rounds of redundancies and pay freezes, someone at my level 4.5 years ago earned more money that I do now and that is without taking inflation into account. Secondly, I [STRIKE]work[/STRIKE] am an overworked fella who does an amount equivalent to two people, so I thought I deserved better. Oh well! As Del boy would say "allemagne dix points, a fait acopian":rotfl:

I could go on rambling all day but I don't wanna bore anyone who *might* be reading it (more like myself)! :rotfl:

Quoting Del boy one last time, I will leave you with Bonjour!

PS: for those of you either think I am idiot or aren't familiar with Del boy's lingo - http://www.bbc.co.uk/comedy/onlyfools/lingo/euro.shtml

Indebted.Dunce

End of the month stats coming up:

Current account 340
Cash 26
Current account 2 (overdraft) 20 (not sure of the rate)
Total assets 386
Barclaycard 1 -5,081 (5.9%)
Barclaycard 2 -1,715 (0%)
Capital One -434 (0%)
Natwest 1 -559 (0%)
Natwest 2 -2,100 (0%)
Family loan 1 -12,870 (0%)
Family loan 2 -3,153 (0%)
Season Ticket Loan 0 (0%) (will restart again shortly and my debts will creep up again )
MBNA -5,222 (6.9%)
NW Loan -4,362 (17.9% )
Total liabilities -35,496
Net worth -35,110

I have paid off just over 3% during the month after taking a hit of £400 to pay off my Barclays loan with a super balance transfer from mbna. I really need to cut down on my expensive. December should be a lot better unless I go crazy with the xmas events!

Thats all for now, will update later tonight / over the weekend.

justajamjar

Nice work ID - just make sure that you donty supplement gambling with boozing or something else!!!! 10 weeks is good and 100 weeks will be amazing. However take it one day at a time and ensure you do live a decent life. Thing you have to remember is most of the debts are due to gambling. Without that you would be debt free so stay focused and strong and please go ban yourself from the casinos as they have to take your request seriously and then you have no option.

Working long hours is good as long as you do have a break from it sometimes just to enjoy a bit of telly a walk outdoors a pint in the pub a book, what ever makes you happy with life, maybe time with the sibling?

Keep on keeping on bud

Indebted.Dunce

Hi Jam,

Thanks for the encouragement!

How are things going with you?

ID

Indebted.Dunce

Got paid today so month end stats, albeit slightly skewed, coming up....

Current account 3,713
Cash 70
Current account 2 (overdraft) 20 (not sure of the rate)
Total assets 3,803
Barclaycard 1 -4,850 (5.9%)
Barclaycard 2 -1,670 (0%)
Capital One -424 (0%)
Natwest 1 -153 (0%)
Natwest 2 -2,048 (0%)
Family loan 1 -12,870 (0%)
Family loan 2 -3,153 (0%)
Season Ticket Loan -2,787 (0%)
MBNA -5,177 (6.9%)
NW Loan -4,363 (17.9% )
Total liabilities -37,495
Net worth -33,692

Points to note:

• The numbers are skewed due to the early payday cause some of the bills etc are set up to be paid on the 29th of each month.
• The above is also the reason why cash balance is quite high
• The numbers are after xmas events at work and with friends, don't have many more coming up.
• The figures are after accounting for the renewal of my annual travelcard. I get an interest free season ticket loan from work and renew it before the year is up

Based on the above figures, I have paid off just over 4% during the month. I still need to cut down on my expenses but the rate at which I am paying of my debts (I seem to be averaging about £1,400 - £1,500 every month), I should hopefully be debt free by the end of 2014! Roll on next payday, which is a long, long way away! 5.5 weeks to go!

The most important (non-financial) stat stands at 14 weeks and counting! Amazing! That also includes a gambling free visit to my friend last night! I am hoping I am well and truly on my way to recovery!

Indebted.Dunce

I have a question for anyone who might be reading this, how do you account for pension contributions / pension pot when you are calculating your financial position?

My personal position is that I tend to exclude both as the asset is for the very long term i.e. I am not going to be able to access the pension pot till I retire, and because the asset will generate my"future income".

Indebted.Dunce

I was reviewing my finances / financial performance vs budgeted amount for the year, and I discovered that I have paid a truly staggering £2,172.18 in interest costs and further £546.64 in balance transfer fees. That is an eye watering £2,718.82 in interest and fees! :eek::mad: and I am supposed to be a reasonably smart guy! I guess not!

justajamjar

ID, lets be honest here.....

The transfer fees are a saving, ie they are to a cheaper interest free account. The rest if the cost of borrowing.... scary i Know.

Which friend did you go to? If it is the casino.... get yourself banned asap.... you have done well lets get through this year (2012) then we will focus on jan 2013...

Indebted.Dunce

Jam,

I am hoping the transfer fee do prove to be a saving in the long run. Additionally, I am hoping the interest costs are at least halved this year (2013) and down to 0 next year (2014).

Embarrassingly, yes it was . I realised it was a mistake yesterday and got myself excluded from it as well . It is really scary how I keep finding casinos, without even trying to find one. I didn't even know these casinos existed and these places are always heaving particularly with young people (sub 30)! Credit crunch? What credit crunch? Youth unemployment? What youth unemployment?

I am looking forward to 2013 so that I can build on the start I have made and, I know that if I put my mind to it, I will hopefully more than halve my debt!

justajamjar

Merry Christmas ID....

I just looked through your last few posts, seems like the loan and the high cc's needs to be paid off first and then you can see what you can do....

I hope you have had a good break?