Regrets, I've had a few

In_Debt_Bet

Dear All

I've lurked here for a long time now and am following many of your stories with the struggle to get out of debt so I finally decided to go for it and start my own diary.

One of my biggest regrets in life is that I didn't listen to my dear dad in those days long ago when I first left college and ventured out into the big wide world of work. He warned me against credit cards and stressed that if I got one I should be very careful with it - Dad was one of those people who always paid his card balance off in full at the end of the month. Did I listen to him, unfortunately I thought I knew what I was doing (didn't we all at 18).

Anyway that was about 28 years ago and I'm ashamed to say I've been in debt ever since, falling into the usual trap of consolidating cards onto loans, then running up bills again, even now when I ring the bank they are trying to sell me a consolidation loan saying that my credit card balance is quite high - I wouldn't mind but they are the one's that gave me the card in the first place. This is the same bank that some years ago when I had gone to see them and basically broken down as I was struggling to cope with my existing debt encouraged me to take out their new credit card so I could transfer a balance onto it (you can guess how well that worked out!)

Anyway I am now a woman on a mission, last year my OH and I finally moved house, which unfortunately added to the debt and although our house is a bit of a dream finally come true it needs a little work in some places but nothing urgent and I am determined any more work done will not be done on credit - fingers crossed and I hope I'm not tempting fate now.

My current level of debt stands at around £13,700 - and my goal is to be debt free by the time I'm fifty although sooner would obviously be better.

Steps I've taken so far.

Downloaded an app onto my phone which I update each month, it shows the balances on each card, what the minmum payment is and how long it will take to repay at the current level.

Downloaded an app onto phone into which I enter every single item I purchase, it's amazing where the money goes and how quickly all those purchases at less than £1 mount up.

Stopped wasting money on coffee's and lunch at work, I calculated that some days I was spending around £1.20 on a cup of coffee and around £3.50 on lunch/kit-kat for the afternoon. I now take my own lunch in every day and drink the free coffee from the machine.

Anyway if you have got this far thank you so much for listening to my waffle, I'll be back soon to report how things are going

In_Debt_Bet

Dear Diary

It's been an up and down sort of day, I managed to get through it without spending any money at all. I worked out that I have been spending almost £1000 a year on coffee and lunches at work :eek: not any more though.

I received a 15% voucher for money off at the White Stuff, I put a lovely skirt in the online shopping basket and then quickly closed the browser down, I do not need another skirt, I just need to organise my wardrobe and get on top of the laundry and ironing!

I've been thinking a lot today about the debt, how it built up and what have I got to show for it, a few nice holidays, a car that was sold long ago, lots of expensive skin care products and make up that are long gone, nothing of any material value that I can even sell now. I cringe when I think of the credit card debt that I added onto my mortgage and then built up again - I was so foolish thinking that all those things paid for on credit would make me happy. It's taken a very long time but I think my light bulb moment has finally arrived.

Here is a breakdown of my debt as it stands - it's more than I thought but at least I now know, this is definitely the most debt I have ever been in but am I determined to conquer it.

Barclaycard - £10,509.00
Opus - £730.00
M&S - £1,168.00
Sainsburys - £1,740.00
Next - £465.00
Overdraft - £600.00
Total - £15,212.00

My short term goals are to clear the overdraft, it is within the limit but I worry every month in case the bank decide to pull it and then clear the Next bill as I think the APR on that is about 28%.

Oh I almost forgot I've also started saving for Christmas, I've got about £53 in pound coins in a jar, every £1 I get is going in there. This year Christmas will not be going on credit.

In_Debt_Bet

Dear Diary

This moneysaving could become addictive, another no spend day today, I spent my lunchbreak reading other peoples diaries to keep me motivated and away from the shopping websites and sitting outside enjoying the sunshine with a friend which cost absolutely nothing.

I've listed my debts already but thought I'd list all the other household expenses as well to give a clearer picture

Mortgage............................£936.00
Council Tax.........................£124.00
Water Rates........................£25.00
British Gas inc Electric..........£117.00
BT (inc broadband)...............£33.45
House Insurance..................£22.35
TV Licence.........................£12.12
Sky* (half price til Jan '14)....£21.00
Bed*(finishes Jul '14)............£52.00
Food................................£120.00
Fuel...................................£65.00
Mobile................................£25.00
Debt Repayment..................£357.00
Zumba Classes......................£40.00
TOTAL ............................£1,950.66

TOTAL INCOME..................£2,275.00

Balance left.........................£324.00

The household bills all come out of my account, OH gets paid weekly and he gives me his share in cash which I pay into my account, I do need to make sure I pay it all in as soon as he gives it to me, I have been guilty of spending the odd £20 here and there on my way to the bank. We both have separate bank accounts and are responsible for paying our own debts.

There are a few things worrying me though, my little car, which I love as it runs for ever on a tank of petrol and costs only £20 a year to tax had an advisory on the brakes at it's last MOT, my friendly local mechanic who maintains it for me quoted around £150, this was a few months ago and whilst they seem okay and I don't travel many miles I'm anxious to get them done before Winter comes, needless to say I need to start saving for this.

OH and I need to sit down and set up some form of savings account for the house, the boiler is around 20 years old and it passed it's inspection last year but whether we will get lucky again who knows. We did look into a replacement with British Gas but with all the work which they said would be necessary to update the existing pipework and install a new system we were looking at a final bill of around £6K - told them thanks but no thanks.

The electric shower has been dripping cold water from the wall unit for some time now, it's not that pleasant but I can live with it although I do worry about how safe it is.

A section of our garden fence which I'm pretty sure we are responsible for is leaning drastically and is in need of replacement, I'm not sure it will last another winter.

What do do next:
Sit down with OH, look at both sets of outgoings and work out how much we can afford to set aside as an emergency fund for house. Also find suitable savings account for funds to go in.

Start putting money aside for personal savings, at the moment £50 in pound coins really isn't enough - Christmas is coming, car brakes need sorting and I'm sure there will more, plus it would be nice to have a little put by 'just in case'.

Get the Boiler serviced whilst keeping fingers firmly crossed it will get us through another year

Stay focussed - keep up with the no spend days

Stay away from the coffee shop and restaurant at work - that £1000 I've spent there over the past year could have been spent on a holiday - I meant reducing my debt - sorry temporary slip up there:)

That's all for now, I'm off to sit in the sunshine while it lasts and enjoy a Margarita - cheers!

Bet x

In_Debt_Bet

Dear Diary

Today has been another no spend day, which I'm feeling really good about. OH is out tonight and I must admit was feeling very tempted to treat myself to a takeaway of fish, chips and mushy peas but I've managed to resist.

Now the not so good news. The account statement has come through for the water and they want to increase the monthly payment from £25 to £46 :eek: I'm pretty sure we're on a meter here, I'll ring them on Monday to check (I know I should know these things but tbh everything was pretty much left to me to sort out when we moved in and I'm not even sure where the meter is to check). I have been using the hose to water the back garden this summer but it is the size of a postage stamp not Regents flipping Park also the toilet cistern needs fixing as water has been leaking into the bowl for the past couple of months, unfortunately neither OH or I are very good at DIY. It's one of those push button lid cisterns and neither of us can work out how to lift it off so we can at least have a look and try to fix it. How on earth can we have got through that much water, there are only the two of us living here???

Anyway there's nothing I can do about it right now so I'm off to raid the fridge, I've got a zumba class tomorrow morning which means I eat chocolate without feeling guilty

Bet x

Jinty85

£1000 is a lot of lunches and coffee! It's scary when you add it all up isn't it? Well done for taking your own now.

Good luck on your debt free journey!

In_Debt_Bet

Thanks Jinty

The lunches weren't that fabulous either, just your average sandwich and packet of crisps.

Something else I need to get back into is making my own bread, it's surprising how much you enjoy a simple cheese sandwich if you have made the bread yourself, I also found it filled me up for longer than a shop brought one, probably something to do with all the additives that weren't going in it.

In_Debt_Bet

Dear Diary

It's been quite a productive day today, I went to my zumba class this morning which cost £5 and the rest of the day I've spent decorating the downstairs cloakroom using paint that was left over so that didn't cost anything. I had a very welcome break at lunch time when my Mum turned up unexpectedly on her way home from the shops bearing sandwiches and cake .

I was again tempted by the lure of the takeaway, thinking well I've earned a treat, I settled for putting a couple of stuffed peppers in the oven instead. I think that my mindset has genuinely changed now, before I spend every £1.00 I ask myself is this a need or a want?

Right I'm off to scrub the paint flecks from the cloak room floor and then settle down to watch the rest of Strictly Come Dancing - another wild and crazy night chez Bet's :rotfl:

Take care all

Bet x

In_Debt_Bet

Evening All,

I'm sitting on the sofa relaxing now having enjoyed a yummy roast dinner and done the washing up too , OH is fast asleep so I thought I'd do my daily update.

I was up early this morning to put a final coat on the walls in the downstairs cloakroom, it's looking so much better. I just need to paint the door frames and skirting boards now but maybe I'll save that job for next weekend - that'll give me something to look forward to.

I needed to do some shopping and was in town early before the shops opened so was having a cup of coffee (purchased with points on my loyalty card) anyway I was checking my bank account on my phone and noticed that a continuous payment that I had cancelled last month had been taken - a quick phone call to the bank fixed it and the money should be back in my account by tomorrow. However first I had to go through security, now I know they have to be careful but I was very aware that if anyone had been close enough to hear me they would now know: my full name, bank account number, sort code, full address, date of birth and mothers maiden name, I was careful to make sure that I was not being overheard but I did feel uncomfortable giving out so much personal info in such a public place.

Total spends for today are:
£4.00 in Poundland
£21.16 in Boots - Needed to stock up on toiletries but I did manage to get a 3 for 2 and got a couple of other bargains.
£20.90 in Aldi

Not brilliant but the only treat was a three pack (now a two pack) of chocolate bars which cost £1.00

Take care.

Bet x

timetogrowup89

Helllo,

Just been reading your diary! You sound motivated, convinced there is a money saver in us all just waiting to get out..

Have you set yourself some monthly goals? find this helps to keep focus.. I have also figured out how many days until I am debt free and divided my total debt by this, so I have a sort of daily savings goal, always makes me think twice in the supermarket or on the online shopping... You did so well stopping yourself buying the skirt, especially with the voucher!! Remember to treat yourself occassionally tho!!

Best of luck!!

xx

In_Debt_Bet

Thanks Timetogrowup

I'm feeling really motivated at the moment - just got to try to keep it, there's quite a way to go yet.

I've joined a couple of challenges - no spend days and take your lunch to work so I guess they are a kind of monthly goal. As this is the first month that I have seriously tackled my debt I'll review my spending diary at the end of the month, and then set some goals. I really want to clear my overdraft and I'm hoping to do that in a couple of months but I'm also aware that it will be Christmas before I know it and I really don't want to pay off the overdraft and end up dipping back into it to pay for Christmas presents so I'll be following the boards for MSE Christmas ideas.

I'll still be treating myself only this time any treats will be paid for in cash not on credit - that's partly how I got myself into this mess.

All the best

Bet x

Silly_Spender

Hi Bet, just read through your diary, good luck on your debt free journey! Like you I spend a lot on lunches and worked it out to be quite a lot over a year!

I'm going to start looking for ways to make Christmas cheaper this year too, nice to see someone else thinking about it this early as well! :P

Dan x