2015: New Start, Debt Free!

Legacy_user · 29 December 2014 at 10:55PM

Hi everyone, nice to meet you!

I have been reading the forums on and off for a while, and I think it would be good to start the new year joining in. I think I'm getting a bit overexcited writing this a few days before 2015!

I have always been quite bad with money, and it's getting to the point where I'm really frustrated with myself. A combination of bad choices, several house moves and long stories have led to the debt I have today, and I want to wipe the slate clean; I am 26 now, and sick of always worrying about money (or lack of) all the time. I don't have a large amount of debt, but it has increased recently - mainly due to recently moving to a more expensive city for work, and the initial start-up costs of moving area. And, of course, Christmas.

I am sick of always stressing about this debt. It feels like a weight around my neck all the time. There is always a bill to be paid, present to buy, excuse to avoid it. I don't want this debt to keep on slowly increasing because I'm in denial. I want 2015 to be the year where I finally face my issues head-on, and develop some new, better financial habits!

I think that if I write it down here, it will keep me in focus and actually start making me deal with it. It'll give me some accountability, instead of all the empty promises I tell myself.

At the moment, I have:

1 x credit card (£420, £500 limit, £10 interest a month at the mo)
1 x overdraft (£1750, £2000 limit, about £30 in charges a month)
1 x credit card (interest free until October 2015; £1200, £2500 limit)

£3370

At the moment, I have £720 left to live on a month after rent and bills. I did start tracking my spending, but it filtered off.

My plan to kick all this off is to have January as a "frugal month": I am going to pay off the smallest debt and give myself £60 a week to live off (it's a 5-week pay-day month, ahh), and watch a lot of TV! I don't have any commuting costs, as I walk to work, so this money will go on food and socialising. I'm not sure if it's the right way to go to pay off the smallest debt, but I need to start somewhere or I never will. I'm also going to use January to experiment with frugal cooking. I think it's going to be tough, but if not now - when?

I'm genuinely quite excited to start this. I know that sounds strange, but I can't wait to take control of my situation and turn it around. Finally!

Wish me luck, and sending you all lots of positive thoughts for your own debt journeys!

System · 4 January 2015 at 3:38PM

Hi everyone, so happy new year!

My smallest credit card is now up to -£250; I'm pleased that I've paid off some debt. I am now going to pay off the remaining 250 next month, as I want to use this month to check my spending habits.

I often wonder about where my money goes, and the past few days have been a bit of a wake-up call. I've come back to my flat after being home for Xmas, and my friends have arranged a cocktail here, and drinks there. I went out for drinks and the cinema yesterday, and ended up spending £30! And then I'm meant to be meeting two other friends for food this week. I need to find a way of socialising more frugally, or for free - I think it's been difficult the past few months, as I only moved to this area in September, and been trying very hard to meet people and make friends (which involves going out more than I should have).

But still, I've paid off some debt, which is the main thing. I am also sorting out a meal plan for the next two weeks, and looking on some cheap websites for future meal plans. I am planning to stay in as much as possible this month!

System · 11 January 2015 at 8:40PM

I am feeling pretty blah today. I have about £120 to last 16 days, the temptation to use my credit card is there every single day, and I am just disillusioned. I am BORED all the time. Everything I do needs money. There feels like there is no incentive not to use my cards, because I'll be in debt either way, and I just feel a bit of a failure today, to be honest. My sister (3 years my junior) rang me today to tell me all about how great her money situation is now she's had a tax rebate, and she's a grand in the black, and how everything in her life is great, and her wedding planning is going well. I told her about my money and my debt and she just said "Oh well!" and ignored me completely.
I'm not saying I want my sister to experience my stress, not at all, but I just feel such a failure. I'm always in debt, always job hopping, always trying to find the next big thing. I'm on a maternity contract, am single, lonely, skint and nothing to look forward to at all. I feel like I'll never get out of debt, like I may as well just blow all my credit card limits, because what's the point??
Sorry for the rant. I know I'll feel better again this week, but today...I just feel sad.
On the bright side, I did eat leftovers instead of buying a takeaway, so one small debt-free thing.

GunWharf · 11 January 2015 at 9:32PM

TEFL123 wrote: »

I am feeling pretty blah today. I have about £120 to last 16 days, the temptation to use my credit card is there every single day, and I am just disillusioned. I am BORED all the time. Everything I do needs money. There feels like there is no incentive not to use my cards, because I'll be in debt either way, and I just feel a bit of a failure today, to be honest. My sister (3 years my junior) rang me today to tell me all about how great her money situation is now she's had a tax rebate, and she's a grand in the black, and how everything in her life is great, and her wedding planning is going well. I told her about my money and my debt and she just said "Oh well!" and ignored me completely.
I'm not saying I want my sister to experience my stress, not at all, but I just feel such a failure. I'm always in debt, always job hopping, always trying to find the next big thing. I'm on a maternity contract, am single, lonely, skint and nothing to look forward to at all. I feel like I'll never get out of debt, like I may as well just blow all my credit card limits, because what's the point??
Sorry for the rant. I know I'll feel better again this week, but today...I just feel sad.
On the bright side, I did eat leftovers instead of buying a takeaway, so one small debt-free thing.

Hold on in there!
A year ago i owed £35,000 and had a hard year to say the least to pay over half back. Read the start of my dairy as I when through all the thoughts you are https://forums.moneysavingexpert.com/discussion/4925114 The key is steady, steady reduce your debt whatever you can. At times i get so down I look at other people dairies or write on mine. That is the good thing about your on line Diary. I will subscribe to your thread and help you through as best I can.
Keep the faith, keep going

The Skipper