Young & Dumb take 2!

amyc92

Hello all!

I used to have a debt free diary but so many things in my life changed I just gave up on it!

I want to pay off my debts and also save for a mortgage deposit!

Me & my boyfriend are saving together I currently have £1000 and he has £3500.

I work full time and also do a full time degree funded by my work place.

My debts are as followed:

Car- £6990.50
Overdraft- £400
Holiday-
08/06/15Flight£20103/08/15Remaining£260

These are my outgoings each month-

Car payment- £138
Petrol-£250
Gym-£20
Phone-£45
Pet insurance-£15
Green Flag-£7
Parking christmas savings-£28
Spotify-£5
Board-£170

Total- £678
Left- £472

I should be able to save much more than I am, but I do have a very busy social life, which I do need to curb to see these savings go up!

I also get a student grant and student loan(which is to pay my car off as its a lot less apr than my car)

So 20th April I will get:
Loan- £1398.76
Grant-£1129.00

I was thinking of paying £1000 off car, £400 overdraft, £1000 in savings and £100 off holiday.

I know you should pay off debts before saving but we really want to buy our own place as soon as possible!!!

I think I need some sort of plan :rotfl:....

Meatloaf1981

Hi Amy and welcome.

You really need to post up a full Statement of Affairs details ALL your outgoings, not just your estimates and we can see where we can help point out some savings tips for you. You're right that there is little point saving money if you're still paying off debts as the interest on your debt far outstrips the interest you will receive on your savings, normally.

From what little you've posted, it's hard to offer much advice. If you can afford to live without your student loan and grant and plow these into the car loan then fair enough, but that isn't really what they're intended for.

Post up your statement of affairs and we will see where we can go from there. I can already see you could make savings on your mobile phone, petrol and gym membership, it just depends how serious you are about saving money! Link to the calculator is here: http://www.stoozing.com/calculator/soa.php

andyfromotley

amyc92 wrote: »

Hello all!

I used to have a debt free diary but so many things in my life changed I just gave up on it!

I want to pay off my debts and also save for a mortgage deposit!

Me & my boyfriend are saving together I currently have £1000 and he has £3500.

I work full time and also do a full time degree funded by my work place.

My debts are as followed:

Car- £6990.50 (you earn about 15k per year yet have this huge car loan. Consider selling. What APR?
Overdraft- £400 (what APR)
Holiday-
08/06/15Flight£20103/08/15Remaining£260 (if you're desperate to pay off debt and save you shouldn't be going on holiday!)

These are my outgoings each month-

Car payment- £138
Petrol-£250 Thats a lot!!
Gym-£20 Bin this, join a running club etc.
Phone-£45 Wayyy to high. Change to sim only as soon as you can. At the end of your contract DO NOT UPGRADE to the latest snazzy phone.
Pet insurance-£15
Green Flag-£7
Parking christmas savings-£28
Spotify-£5 Bin
Board-£170

Total- £678
Left- £472

I should be able to save much more than I am, but I do have a very busy social life, which I do need to curb to see these savings go up!

I also get a student grant and student loan(which is to pay my car off as its a lot less apr than my car)

So 20th April I will get:
Loan- £1398.76
Grant-£1129.00

I was thinking of paying £1000 off car, £400 overdraft, £1000 in savings and £100 off holiday.

I know you should pay off debts before saving but we really want to buy our own place as soon as possible!!!

I think I need some sort of plan :rotfl:....

Hi Amy, i have annotated your posts with some thoughts, however there are some other issues,

You need to do a proper SOA,

use this http://www.stoozing.com/calculator/soa.php

as apparently you do not have your hair cut, buy pressies, clothes etc. Fill it in properly and you will get a better picture, post it here and people will help you with it.

But secondly you are displaying a somewhat schizophrenic approach to your finances. You are trying to keep too many balls in the air, as i see it you currently

Want to pay down your debt and save and spend in a way that isn't conducive to either of these goals.

So sit down and have a think about what you really want and focus hard on achieving those. I would suggest
1. Review your spending totally and pare it to the bone to acheive your aims. You spend a huge amount on your car and motoring expenses!!
2.Debt repayment. (every penny you pay in interest is stolen from your future.)
3. Save.

Hope this helps andy.