Small Steps To Debt Freedom

purple_angel_2

Good Morning,

I have dipped in and out of MSE for years, reading diaries and thinking how well people were doing at clearing their debts and not doing anything about mine. At one point I only had debt of £5000, this has slowly crepted back up over the years and now stands at about £20,000.

I have always been in debt since I was 18,I'm 45 now. I remarried last year to a lovely man, we have three non-dependent children between us and one dependent dog.

I am also in the process of trying to sell my house. We live in Mr Purple Angel and I rented out my house for a couple of years, did not have a good experience,the house has been empty since March,still paying mortgage,insurances,council tax (was exempted for six months) and a standing charge on the gas and eletric meters. Once the house is sold it will be a weight of my shoulders.

I want to be debt free by the time I am 50, a few years yet so very do able.

My Debts

1. Santander Loan - £10,000.
2. Credit Union Loan - £1,500.
3. Natwest C.C - £2,300.
4. Halifax C.C - £5,000.
5. Next - £500.
6. Argos - £58.00 - Closed 10/12/2013
7. Halifax Overdfaft - £500.

These are rough figures, I will have to work out the correct amounts.

So far I have,
* Started to sort through the mountain of paperwork I have,never really dealt with my paperwork or kept track of my finances. I think once I have a proper filing system, I will be better able to focus on my debt.
*I have cancelled my breakdown cover, the premium has gone up from £12.50 to £15.95 only £3.45 I know but £3.45 I don't want to pay.
* I have started the Sealed Pot Challenge, I am saving for next Christmas.

To Do,
*Work out my real debt figure.
*Cancel Santander Credit Card.
*Close down an old Barclays Bank account.
*Think about a system that will work for me so I can keep track of my money,need to do this before the 15th as this is pay day. :j:j
*Make a payment to Argos.
*Make a payment to Next.

Ramble over,thank you for reading.

purple_angel_2

Today I have:

*Taken my lunch to work.
*Made a payment of £10.00 to Argos.
*Made a payment to Next of £64.47, account balance is now £540.00 plus intrest.

I have spent £1.00 on milk for work, which I will get back and 90p on posting a letter.

Save_me

It won't be long and you'll get swept up with updating signatures and taking part in the challenges!

Last night, I called the bank and set up payments to my loan and CC so I can easily overpay whenever I have a little extra (at present they are on Standing Orders). I think doing something as simple as that will help whittle away at the debt.

Good Luck with your plans!

heyjude2013

Welcome to your diary and good luck :j

purple_angel_2

Hello,

Save me and heyjude2013,thank you for visiting.

I have joined the Sealed Pot Challenge Saving towards next Christmas,so no increase in debt next year.

My debt total will get into my signature in the next few days.:eek:

To day I have to buy new lights for our Christmas tree,ours have finally died a death, they were 12 years old so we did get our monies worth.

Have a great day all.xx

purple_angel_2

Mr Purple Angel bought the new light for the Christmas tree so a NSD for me. :jTree looks lovely now.

purple_angel_2

I have a star :T thank you.xx

purple_angel_2

Good morning,

So pleased my Argos account is now fully paid,£48.49 transfered over this morning.:j:j Card has been cut up and the account will be closed as soon as I get a statment showing a 0.00 balance. :T One down six to go.

Joined the 1 debt v 100 day challenge, £540 will be paid back to Next. Made a small payment of £10.00 as there in money in my everyday account.Hopefully I will be able to make another payment before pay day on the 15th.

xx

purple_angel_2

A few small steps made over the last few days. My paper mountain now looks more like a small hill :jI feel nuch better that its getting sorted.

Closed an old bank account yestaerday when I went into town, only spend was on a new ironong boards as mine has broken. Spent £10.00 thats how much I love ironing. :rotfl::rotfl:

Made a small payment of £5.00 towards by 1 debt v 100 days challenge.

Going to ring Argos in a bit and cancel my account cant wait for the statement. Also need to make lunch for work. xx

purple_angel_2

Argos is now closed. :j:jI am soooo pleased.

Telephoned Sky yesterday and downgraded to their basic package which will save me £5.00 per month and after March 2014, I can cancel HD and save another £10.00. Small steps I know and I feeling more incontrol.

Also listed 9 items on Amazon,hope they all sell.:)

Have a lovely day all.xx

ALM2013

Well done for realising the extent of your debts. Hopefully this will be the final straw and you get rid of it. Keep motivated by always transferring money to debts, even if it a couple of pounds.

I will follow with interest and hopefully provide motivation. I too am dealing with 20k of debt!