Too much debt drama!

Dramaqueen33

Evening All!

I have come back to the boards after about a year away and think a diary will be a great way to focus daily on the task in hand i.e. not spending money!!

We do all the big things at the start and feel like we're makinghead way and but it's the day to day little things that will build those goodhabits and help us all become debt free.

My biggest problem is that I never have emergency money...I'll explain. Last year my partner and I (with a big helping hand from the bank of Mum andDad) bought a lovely little flat which meant a massive reduction in ourrent/mortgage - our mortgage repayments are literally £300 less each month thanour rent was! The flat is ex council and was built in the 60s soit's well insulated and costs relatively little to heat. Council tax is alittle higher but off set by the other savings it's not too terrible. I alsostarted a new job last year - after years of being self-employed it's a joy tohave a regular wage and holiday pay! SO WHY AM I STILL IN DEBT???!!

The answer is that I spend what I have - I pay all my repayments and thenwhatever I have just disappears. I wouldn't say I'm frivolous - but I'mdefinitely not a money saving expert!

My problem comes when there is something unexpected to pay out for. This month for example I had some car repairs which went on the creditcard. The month before that I took a trip away that I had planned for butwhen it came to it couldn't truly afford. How do I pay for allthis? On the CC. Which then means ever increasing monthly paymentsand less cash at the end of it. It doesn't help either that I spend fartoo much on lunch etc each day and I just hope that if these boards can help me stay alittle more focussed the ends of the month will be easier and get me out ofthis frustrating spiral.

So this week sees a fresh start...

I have managed to bring lunch to work yesterday and today. Big tick!

I have also bought in my own cans of diet c0ke which I got on offer - abox of 10 had been damaged so were reduced to £2.60! I forgot yesterdayso spent £1.20 on the equivalent from the shop.

I also made soup on Sunday from left over veg and banana cake from therather brown and squidgy bananas lurking in the rack. Surprisingly I had all the ingredients needed in the cupboard so no extra spends.

Today already I'm feeling virtuous as not only did I bring in left over dinner for lunch, my 2 cans of pop and a slice of cake but I didn't spend a bean at lunch, opting instead to drink a glass of milk from the supply at work!

I have down loaded an app to get a free smoothie which will be my home time treat and eaten a few choccies that were bought in as a pressie from someone's holiday. Good!

I'm visiting a friend in hospital this evening and annoyingly the car park min spend is £2.50 for 2 hours. I don't mind though as she is a dear friend but I think it's terrible how hospitals charge so much - especially when there is 1) no alternative and 2) you might be in A&E for hours!

Money saving plan for tomorrow...

*Bring in own lunch (soup made and bread bought already) and drinks.
*Am out with a friend in the eve -prearranged before my debt busting mind kicked in so I am challenging myself to get a voucher or a deal of some sort - I'm am definitely not going to be paying full price for anything!
*Already have petrol in the car and money on my oyster so no spend needed there.

Right - off home now but anyone reading this I wish you all the best for your money saving journey and keep your fingers crossed for me on mine

DQ

Mockingjay

Good luck DQ!

I'm in a similar situation. I should have nearly £500 left after hefty repayments and expenses but it disappears every month. Mainly on food & tons of little things... lottery, itunes, the odd dvd here & there. A spending diary is helping me curb my spending and I'm simply not taking my purse out with me at the moment. If I have petrol & lunch, what else do I need for work?

Anyway, it's well worth downloading a copy of a recent statement and sticking payments into categories. You'll soon see where the cash goes!

Dramaqueen33

Hi Mockingjay - that's a good idea and I think really I knew I should be doing stuff like that - but I like my head firmly in the sand thank you very much!

I've also heard that some budgeting apps are good too to plan and keep track of spending...will have a look at some this week.

You've done so well reducing your debts so much in less than a year - very inspiring. Well done and keep it up and hopefully I'll have a signature that looks like yours soon

Dramaqueen33

Well yesterday didn't turn out too bad spending wise...

I managed not to spend a bean through the day by staying in at lunch and cheekily asking my OH to pick up the bread I was going to get on his way home...thus saving me £1.80

I met my friend last night as arranged weeks ago and we went to a lovely Greek restaurant. I'd found a voucher on line and we ate from their £10 summer menu. It was lovely - and so much food! We were able to choose two meze starters each which came with bread and then you could either order a skewer or more meze dishes for your main course. We had half a litre of wine, coffee and an amaretto and with the tip included it came to £22.50 each! I was very impressed and very full

On my way home I had pleading text asking for chocolate so I bought a big bar that was on offer for £1 which seeing as I hadn't bought the bread seemed fair.

When I got in I found my OH had also snapped up some bargains from the shop and there were massive croissants in the kitchen that had been reduced to 14p each...well one went in my bag this morning for breakfast and it was delish! I have also bought in my lunch today and more pop but already spent 89p on a banana and an energy drink. I would normally buy one of the better known brands that cost over £2 but today I opted for the 55p version. I'm sure my insides will rot over time but I like them - I can't help it!

So no more spending should be required through today.

Tonight I'm booked in a free make over at a make up counter...although yes the make over is free it was only offered tome because *looks sheepish* I spent so much money there last week that I qualified for it! Gulp. Well there is nothing else they could possibly sell me as I seem to have a full to bursting make up bag

Back to work now but have a great moneysaving day everyone

DQ

Wildchild_2

Hi Dramaqueen - just wanted to wish you all the best. I am self-employed at the moment and I also wouldn't mind getting some holiday pay either but all my ex bosses feel that "I do not play well with others!"

So I started out on my own and I love the freedom but the trick is to put money aside during the good months to cover the bad months. It would seem I am not very good at that!

Dramaqueen33

Wildchild - I hear ya but I was always so bad at that! Putting money aside for my tax bill was always one of my very best intentions but never, ever happened! I have one more self assessment to do for the 6 months before I went on the payroll and I am hoping to goodness there might be a cheeky rebate for me. Fingers crossed anyway!

Dramaqueen33

Well here I was trying to avoid anymore drama and then.....

Very sadly, after 6.5 years, 8 months of being suspicious and 6 months of trying to work things out, my relationship with my OH has ended.

There is a small part of me that is relieved because after so many months of stress and paranoia I'm exhausted. But the majority of me is totally gutted.

As this isn't a counselling forum I won't drone on too much about my feelings but financially speaking it has given me a right kick up the bum. We bought our first home together last year which has of course added a layer of complication to the separation. He is in the process of moving out and once he's gone I will have the head space to work out a plan of action about the property. I have spoken to the mortgage people and they are pretty confident that I will have a reapplication in just my name approved but they can't be sure and I have to send them a £140 application fee regardless of being accepted or declined! Ugh.

The main thing I need to do is get myself together financially.

I have already;

* Worked out my income against my outgoings and think I can just about to afford the property on my own - but might need to look into lodgers so things aren't too tight each month - does anyone have any experience of this?

* Moved my outstanding CC amounts onto one interest free card so everything is together in one place. Smaller monthly repayments and less to think about.

* Started the envelope technique for spending money and petrol money. Got paid at the start of this week so allocated an amount for petrol which is in one envelope and another amount for spending money. So far I haven't used my Debit card for any purchases and am really thinking about what I am spending. I have bought my own lunch each day to work and my spends have literally been under a pound each day. When I was doing this on Monday I realised that I had no realistic idea of how much I actually spent on fuel etc each month. Hopefully by next pay day I will know if what I have allowed is realistic. I might need to add more to the envelope next month!

What I need to do:

* Complete my Tax Return. I ceased being self employed in the middle of last year and am hoping for a rebate as I have already paid a contribution to last year's tax bill. That would really help pay off the loan!

* Look at reducing household bills - in the main they are low. Fixed rate energy and TV licence on DD etc. Tv/Internet will be the main one to reduce.

I am so determined something positive will come out of this horrible situation - who knows I might even become DF!

MrsSmith2013

Didn't want to read and run... sorry to hear about your situation with your OH. Its never easy breaking up, without the added complication of joint finances/mortgage.

You sound very together and that you have a good plan in place, so hopefully you can use that to get you through.

It may not be a counselling board, but sometimes it helps to write it all down - so feel free, it might help get a weight off your mind!

Onwards and upwards, and good luck with everything.

Mrs S x

Dramaqueen33

Thanks so much Mrs S - really appreciate your good wishes.

Onwards and upwards indeed

DQ x

beanielou

Sorry to read your news.
I've had lodgers in the past & my best advice is to go with your gut instinct~If you dont feel comfortable for whatever reason say no.
Hope you get the mortgage sorted out.

Dramaqueen33

Well after a difficult few weeks things have settled down a little and the good news is that it is pay day tomorrow!! Yipeee!

I have gradually got myself sorted and think I've got a handle on things. Once he had moved out things did get so much easier and I have suddenly realised also just how much money I spent on "us"...on food, on booze, on treats etc. With just me to think about I am in control and saving so much. I've been making my lunch each day, eating from stores a lot more and planning weekly meals...no more of this "darling do you fancy this tonight...?" and then going off and buying loads of extra bits we didn't really need.

The down side is that of course I now have the responsibility of all the bills! Again I think it's all going to be OK - going to have to be careful of course - and make sure I don't lose my job for any reason! - but the future does seem to be brightening.

I have also found a really cool budgeting app which is like having virtual envelopes and each envelope has it's own energy bar so you can see at a glance how you're doing. I've been practicing with it this month and once I'm paid I'm going to reset it and use it religiously!

I am going to contact my mortgage people today to get the ball rolling on changing the name and am looking into new bank accounts that give cash back - I've seen some threads on here about Santander which are fairly mixed...anyone had any experience with them?

My credit debt is all in one place on 0% interest and I am going to cancel one of my cards also so everything is a bit more streamlined.

I must admit that I'm getting a little help from my folks just while I get on top of the extra outgoings but I hope to not have to rely on them for too long. If anything positive is going to come from this !!!!!! situation then it will be getting on top of my finances!

Off for dinner with Uni friends tonight and then a month of knuckling down begins