T4NK's pursuit of £££'s

T4NK

Good morning all,

I have been lurking around for a long time now and would like to be involved with the site as it seems to be a thriving hub of information with very knowledgeable people...So where better to try and become debt free!?

I am 25, I have a lovely Fiancee and daughter who is almost 2 years old! We bought our home last year and have been working our way throughout decorating, I am currently installing a new heating system which isn't going to plan at the moment :mad:. We are terrible with money and tend to waste a lot of money on clothes, things we don't need for the house, takeaways and beers. We are looking to become more savvy as of October and start to save some money! I work full time and my Fiancee works part time. I have listed our debts and outgoings etc. below.

Our current debts are:

Mortgage: Approx £120,000 (£1011 per month)
CC Lloyds Premier Duo Avios: £1100 (£100 per month)
Loan: £2500 (£108 per month)
Very: £150 (£100 per month)

Our current outgoings for the month are:

Gym £35
Orange £40
O2 £40
TV license £13
Credit Card £100
Car Insurances £134
Home Insurance £30
Loan £108
Mortgage £1,011
Npower £51
Severn Trent £26
Virgin £31
Shopping £400
Council Tax £115
Credit Expert £30
Fuel £250
Very £100
Saturday Nights £120
Total £2,634

Our income for the month is £3150.

Now I'm not too worried about the mortgage at the moment as it's only 14 years until it's paid off :rotfl:. However I would like to clear all of my other existing debts as soon as possible (Hopefully by the time my mortgage renewal swings round November 2014). My company work on a bonus remuneration scheme, so hopefully I'll have a bonus in February but I'm not banking on it.

Points make Prizes! But I currently have no nectar cards, Tesco club cards, etc., I am not thrifty in anyway but I am willing to change! I want to get rid of all of my debt so that we can start saving for the future as all the money I have spent decorating the house at the moment has come from "wheeling and dealing"...But playing del-boy has it's ups and downs and isn't sustainable.

Any critique will be accepted and acted upon. Even if you could point me in the right direction of previous useful threads it would be greatly appreciated.

T4NK

wegle

Hey T4NK, welcome!

Probably a good starting point is to put all your incomings, outgoings and debts into the SOA calculator http://www.stoozing.com/calculator/soa.php Then post it up here, that will give people a complete idea of your situation, it will also show how much you have each month to throw at your debts.

Once you've worked out your surplus you can run all the figures through the snowball calculator, which will tell you which debts to focus on first and how long it will take you. http://www.whatsthecost.com/snowball.aspx

From what you've put above the few things that jump out are:

*Mobiles - £80 a month (or £960 a year) is a lot. When do your contracts end? Can you switch to P&G or negotiate a reduction.

* Fuel - Any chance of switching a few journeys to public transport or shank's pony?

*Credit Expert - ditch this immediately. If you want your report you can request a copy each month for £2 in the post.

*Saturday nights - does this happen every weekend. Can you switch a few saturdays to cheaper nights, movie and takeaway for example.

Anyway, welcome to mad house!

T4NK

wegle wrote: »

Hey T4NK, welcome!

Probably a good starting point is to put all your incomings, outgoings and debts into the SOA calculator CAN'T RE-POST LINKS Then post it up here, that will give people a complete idea of your situation, it will also show how much you have each month to throw at your debts.

Once you've worked out your surplus you can run all the figures through the snowball calculator, which will tell you which debts to focus on first and how long it will take you. CANT RE-POST LINKS

From what you've put above the few things that jump out are:

*Mobiles - £80 a month (or £960 a year) is a lot. When do your contracts end? Can you switch to P&G or negotiate a reduction.

* Fuel - Any chance of switching a few journeys to public transport or shank's pony?

*Credit Expert - ditch this immediately. If you want your report you can request a copy each month for £2 in the post.

*Saturday nights - does this happen every weekend. Can you switch a few saturdays to cheaper nights, movie and takeaway for example.

Anyway, welcome to mad house!

Morning Wegle,

I will fill in the attached forms shortly. thanks for the help!

I am on the phone with the moment cancelling the payments to creditexpert! This is an easy saving.

My mobile is up in December, I will be negotiating a deal or switching to pay as you go as for the misses I don't know when her contract ends but hopefully she'll be doing the same!

Fuel is a difficult one as we need two cars, the other half only works part time where all her colleagues work full time, which makes it difficult for her to car-share, public transport for her wouldn't be feasible as she drops my daughter at various destinations throughout the week for childcare. I could ride my bike to work a few times per week but I need transport atleast twice a week due to my job role (I do get 40p a mile, but not for getting to and from work).

Saturday night is like a "date night" whether we are out for an evening meal and a drink or at home having takeout and a few drinks. It averages out to about £120. Is £30 too much?

I have a large amount of baby clothes I need to get rid of. I have looked on ebay and the baby bundle go very cheap! I am thinking of selling individual items or as small sets, is this a better idea as I'll more more cash?

I am also looking at changing my bank from Lloyds, I have done research and I came across an article saying do not get a loan with your bank as they can transfer the funds whether they are there or not, is this true? Also, my credit card is with them are these classed as a separate entity to my to my bank account? Can I keep my debt with Lloyds and move my accounts to santander for example?

T4NK

DigForVictory

Congratulations - you are in the right place for all the advice & support & opinion going!

Fiancee & daughter? Include them on this financial journey, as they need to know too. If herself comes up with a cracking wedding on a budget, well, she'll have excellent advice.

And on matters such as what to give a two year old for Christmas/birthday, how much does the tooth fairy pay, where to get the best value school uniform & even how to teach your child to budget, again, you'll find plenty of information, advice & opinions

When it gets a bit raucous, remember we should all mean well, no matter how tough the reading. It may well get a bit worrying, but the aim is to help.

All the best!

wegle

T4NK wrote: »

Morning Wegle,

I will fill in the attached forms shortly. thanks for the help!

I am on the phone with the moment cancelling the payments to creditexpert! This is an easy saving. Excellent!! :j

My mobile is up in December, I will be negotiating a deal or switching to pay as you go as for the misses I don't know when her contract ends but hopefully she'll be doing the same! Not hopefully, she will! You're both in this together.

Fuel is a difficult one as we need two cars, the other half only works part time where all her colleagues work full time, which makes it difficult for her to car-share, public transport for her wouldn't be feasible as she drops my daughter at various destinations throughout the week for childcare. I could ride my bike to work a few times per week but I need transport atleast twice a week due to my job role (I do get 40p a mile, but not for getting to and from work). Even those few days on your bike will bring this down. Any saving is still a saving

Saturday night is like a "date night" whether we are out for an evening meal and a drink or at home having takeout and a few drinks. It averages out to about £120. Is £30 too much?See below for date night comments

I have a large amount of baby clothes I need to get rid of. I have looked on ebay and the baby bundle go very cheap! I am thinking of selling individual items or as small sets, is this a better idea as I'll more more cash?I think bundles will always go a little cheaper as you accept the lower price for saving on the hassle of listing individually. Have you looked at Facebook selling groups too? There's always people selling baby clothes on the one I'm on and they seem to do well.

I am also looking at changing my bank from Lloyds, I have done research and I came across an article saying do not get a loan with your bank as they can transfer the funds whether they are there or not, is this true? Also, my credit card is with them are these classed as a separate entity to my to my bank account? Can I keep my debt with Lloyds and move my accounts to santander for example? See below

T4NK

It's all relative regarding the date night spends. Husband and I have date night on Friday. This used to be dinner and cinema, or pub etc etc. But for now, we are committed to getting my debt cleared, so date night has become fish & chips night. Total date night spend £4.80. We can do it because we know it's only going to be for a short while and as we've cut back so much it means we will be able to afford the occasionally special £30 night when they crop up.

Have you defaulted on any of your debts? I bank with Lloyds and all my debt is with them, I've never defaulted or gone over my CC limit and they seem more than happy for me to keep repaying at my own pace, in fact they keep ringing up offering me more money!! I think they are only likely to start moving money if you are in arrears or are continually missing payments. I'm no expert on this though so maybe wait for a few more people to offer advice.

T4NK

wegle wrote: »

Have you defaulted on any of your debts? I bank with Lloyds and all my debt is with them, I've never defaulted or gone over my CC limit and they seem more than happy for me to keep repaying at my own pace, in fact they keep ringing up offering me more money!! I think they are only likely to start moving money if you are in arrears or are continually missing payments. I'm no expert on this though so maybe wait for a few more people to offer advice.

No I have never defaulted on any payments with Lloyds, it was just something I was reading. The reason I was thinking of switching was to take advantage of first directs £125 switching money. Open three accounts (current, Bills and Savings) sort out all of our direct debits and have a fresh start for October...Obviously this all depends whether I can leave my debt with Lloyds and move to First Direct.

wegle

T4NK wrote: »

No I have never defaulted on any payments with Lloyds, it was just something I was reading. The reason I was thinking of switching was to take advantage of first directs £125 switching money. Open three accounts (current, Bills and Savings) sort out all of our direct debits and have a fresh start for October...Obviously this all depends whether I can leave my debt with Lloyds and move to First Direct.

As your debt isn't attached to your current account (e.g overdraft) I don't think there is any reason why you can't switch. Maybe just leave your current account open with £1 in it. Again I'm no expert!!

bargainbetty

T4NK wrote: »

Our current debts are:

Mortgage: Approx £120,000 (£1011 per month)
CC Lloyds Premier Duo Avios: £1100 (£100 per month)
Loan: £2500 (£108 per month)
Very: £150 (£100 per month)

Our current outgoings for the month are:

Gym £35 - Do you really use this? If you cycle a few days a week, surely that covers your exercise?
Orange £40
O2 £40
TV license £13
Credit Card £100 - 11/12 months to pay - what is the interest rate on this?
Car Insurances £134 - Can you shop around, or reconsider the vehicles that you have and look into cheaper/more insurable cars?
Home Insurance £30 - Shop around, you may be able to find a better deal.
Loan £108
Mortgage £1,011
Npower £51 - Is this your best tariff? It's pretty good, but you can only ask for a better one.
Severn Trent £26
Virgin £31
Shopping £400 For two adults and a little one, this is very high. You can reduce this with cooking from scratch (even make one of those date nights a 'pick a recipe' night where you cook for each other). Meal planning with help you fix a menu in mind, and reduce food waste - which saves money. Definitely sign up for Clubcard, Nectar, anything. It adds up or can be swapped for higher value vouchers.
Council Tax £115
Credit Expert £30
Fuel £250
Very £100 - once this is paid off, dump the catalogue. Stop buying stuff you don't need. Shop from your own wardrobes for a while.
Saturday Nights £120 Can you make these a challenge for money-saving? Galleries, art shows, cheap tickets, two-4-one deals, star-gazing with a picnic etc?
Total £2,634
T4NK

Keep a spending diary to see where the remainder goes. Take packed lunches to work to save on the easiest money-waste (I do it at least half of the time, if not more, and save a fortune).

And have fun with it. Go over to the Old Style boards and you will find loads of tips, recipes, etc about how to minimise your expenditure without having to give up on the things that make life pleasant.

Good luck x

[Deleted User]

T4NK wrote: »

public transport for her wouldn't be feasible as she drops my daughter at various destinations throughout the week for childcare.

Is there a reason, why you daughter can't travel on public transport?

T4NK

Bedsit_Bob wrote: »

Is there a reason, why you daughter can't travel on public transport?

No there is nothing wrong with public transport but it wouldn't be feasible for my partner to get a bus to town, a bus to that days minder a bus back to town then a bus to work. Bearing in mind my daughter stays in a different location each day.

All the insurances were the best deals I could get at that time, hopefully come renewal time I will be able to get them a bit lower.

The gym membership is my partners and it's being cancel, I have managed to convince her to train with me at the strongman gym my friend owns.

To be honest the shopping was a little bit of a guess it's probably less than previously stated but we will be writing a list and sticking to it. As for the meal plans we are good at this through the week as we are both training but the weekend lets us down this is where we spent more on food, we will address this. I will be getting a club card and nectar card this weekend...

Yes a diary is a good idea, will definitely help keep track! So with the experian gone and the gym cancelled and probably a £75 reduction in monthly food I'm looking at £140 saved already...

Thanks guys

pennies_from_Heaven

With regards to the date night, have you tried the M&S £10 meal deal?
We have that and its really good, the wine is also usually very good. Its not always on offer though so we have the Tesco curry meal for 2(£5) plus a bottle of wine, or Tesco do a £10 meal deal (although its not as good IMHO as the M&S one, so we rarely go for that.