£10,000 gone by summer 2015 - we can do it!

rokchik

So, I've been a long time lurker and occasional poster here. Have been browsing the Debt Free Diaries and decided that I would start one to chart our progress towards finally being free of our debts.

A little background - DH and I both used to be hopeless with money, which led to an IVA and the loss of our flat in the early '00's. We have both wised up a lot since then, although I have to keep a close eye on DH, as he is one of life's spenders.

We currently lived in a rented property with our DD. Both working in ok jobs. Combined salary of £45k ish, (but live in SE). I have two cards with £10k outstanding spread between them. One is on 0%, the other 16.9.

Had a bit of luck with ppi reclaims recently and managed to clear 6k off our debts, and put 8k in savings, (our original debt was £16k). We didn't pay more off the cards as we are on the list to get a shared ownership property, so needed a small deposit and legal costs etc.

So, this is where I get to the bit where I got my kick up the bum - I've been doing my best with the cards, we've been paying way more than the minimums, and anticipated they'd be cleared in a year or so. As the minimum payments are only £150 total, we applied for a couple of houses we'd seen. We knew we could afford them, (we pay huge rent currently), but the housing association refused to approve us due to the CC debt. They advised us to clear as much as we can - preferably all of it - then come back to them and try again.

So here we are. Time is ticking on for us, (I am 40, DH 51), so we want to get this sorted ASAP. We have set ourselves a limit of next summer, so roughly 8-9 months. Can we do it?!?

rokchik

So here's the figures:

Smile Visa - £3395 @ 16.9%
Fluid Visa - £6900 @ 0%

Total - £10295

AleMrsT

Subscribed. Good luck!!

rokchik

Thank you AleMrsT!

So today is the day that Smile add the monthly interest on to my card. It was £46.57, so I have made a payment of £50 to cover it.

I also got through an offer from my Fluid card - 0% balance transfer and up to November 2015 to pay it off. I have transferred £1000 from the Smile visa to the Fluid one - the fee is £35, but I will save more than that in interest. Just waiting on their confirmation now.

Nearly finished my Christmas shopping! This is very unlike me - I usually wait to receive my end of year bonus, then blow most of it panic buying unsuitable gifts. This year I started in September and only have four gifts left to get. Unfortunately my family have four birthdays in December, including my daughter, but I already have gifts for three of them, so just a few bits to pick up. I've also booked and paid for the pantomime, and booked a small local hall for DD's party, (only £30 - bargain). I've never been this organised, it's terrifying!

I was watching a movie on Saturday night - The Best Exotic Marigold Hotel, and there was a little saying that Judi Dench's character kept coming out with which really resonated with me - "Everything will be alright in the end, and if it's not alright, it's not the end". I think I'm going to adopt that as my motto.

rokchik

Just occurred to me that the £35 balance transfer fee would mean my total going up, so have paid Fluid £35 to cover it

twiggy86

rokchik wrote: »

"Everything will be alright in the end, and if it's not alright, it's not the end".

Please can I steal your motto?!


Good luck!

rokchik

Thank you twiggy - and yes, please do!:)

StressedSteph

Hi Rokchik,


I have subscribed to your diary as we are also hoping to kill off the last 10k of our debt next year.


By the end of this December we will have paid over 10k during 2014 so it can be done, I just don't want it to stretch on until Christmas 2015. I would love it to be gone by my 40th birthday in July.


Quite wishful thinking to think I can get it gone by the summer but its good to have a target.


If its ok I will follow your journey, it may give me some inspiration. xxxx

rokchik

Hi Steph, great to hear someone has already done it - 10k in a year is amazing, hope you feel very justly proud!

Here's to us both clearing the next 10k, good luck!:beer:

YoungBusinessman

twiggy86 wrote: »

Please can I steal your motto?!


Good luck!

I thought the same, brilliant motto :money:

Subscribed to the thread, wishing you the best of luck. I have slightly longer journey(think your £10k x 4!!) although i am so determined to shift it. Im ahead of you in the sense im on the ladder already, good luck with the purchase. Il follow with interest, im aiming for £10k saved/paid off by June so not far off the same short term goal as you!! Any long term goals?

rokchik

Hi Youngbusinessman, thank you for your support, and the best of luck on your journey too.

In terms of goals - a home of our own, even if it is S/O. Somewhere we won't have to leave with just a couple of months notice. Somewhere we can have a dog if we want, or a couple of bunnies. Somewhere I could start fostering eventually, (BIG ambition of mine!). That's the aim; I also have some long term career hopes, (am currently doing a degree part time), but that won't happen for a few more years.

Debt free with our own little place - that's what I want for now!

Back tomorrow - goodnight to all and stay safe. x