Another Foolish Newbie Here!

Pollygarter

Hi all

Having started out life as a saver, from a family who valued education as the best way to put a £ in the bank, but had very few of said ££s, I had a long and tumultuous marriage with a guy who lived for the day and spent everything before it hit his pocket, and I joined him in spendthrift ways.

Now I've come out the other end. Divorce is underway. He earns massively now (in finance) and my career is indifferent - having worked part time to fit work around raising kids.

So I have debts here there and everywhere. I get some help from him for child costs but it's not what I used to live on. I have to cut my cloth differently. So it goes, I know. I've just done my sums and my own debts are

- £2000 bank account
-£4100 Barclaycard
-£4600 credit card 0% deal


£10,700 Total debt.

I pulled my horns in a few months ago and started doing a few sensible things. Looking at the info on this website. Closing a savings account with rubbish interest and paying off £1500 on one credit card, flipping the other card to a 0% deal til March next year. I don't think I should flip the other card as I worry about my credit rating by making too many applications. I'm selling stuff on eBay too. Will look to improve my job income but still have childcare responsibilities which restricts.

Hoping to use this as a focus to my efforts to level that debt. I'm working on the Barclaycard debt first.

Its really useful as a newbie to read all the info here. Just keeping my wallet shut, being careful with groceries (I have always cooked from scratch but taking care not to waste) is making a big difference.

Did you surprise yourself in the early days by just how much money you were wasting? I'm hoping so as those debts are scaring me. I'd never added them up. And love to look at things in the best light ie Payday ...not Payday-1 day which is a very different story of course!

Time to wake up. If I just had back some of the cash I've frittered on good shoes and bad hangovers!

Bobarella

Good luck Pollycat, you sound a very sensible person who has just had some bad influences around you.
I found I saved a lot at the beginning by making the big changes like shopping around, meal planning, selling things off etc. I'd say now there is no real fat to trim from my budget but I keep focusing on the day to day things that make a difference.
Really hope you get your debts down very soon.
Bob

Shar3105

Our situations sound very similar, what annoys me most is - how do we get left with debt? We supported them to get to their massive salaries, we cooked, cleaned, ironed their clothes, raised the children almost single handedly whilst they were socialising because work expected it of them. They manage to leave the marriage, salary intact, living the life whilst we have to basically spend the next 5 years recovering from the marriage - emotionally and financially. How is that fair?

#rantover

But, you sound sensible, cooking from scratch and freezing leftovers - or batch cooking for the freezer. Days out dont need too cost much, my kids are as happy with a walk around the woods with me as they are visiting tourist attractions with their dad. I know he doesnt prepare for days out, but I insist that they take a rucksack with a small snack or two and a water bottle so that I dont have to spend any more than is necessary.

andyfromotley

Pollygarter wrote: »

Hi all

Closing a savings account with rubbish interest and paying off £1500 on one credit card, flipping the other card to a 0% deal til March next year. I don't think I should flip the other card as I worry about my credit rating by making too many applications.

Hi polly,

welcome, just gently pointing out, Thats daft! Get as much of your debt onto 0% as possible, for as long as possible. This is one of the most effective ways to shift your debt.
What are you saving your credit 'rating' for? A rainy day? Look outside, its raining!!
Even if you get declined it won't hurt your credit history too much. (it only shows as a check not if you were accepted or not). Good luck with your journey.

Red-Squirrel_2

I hope you've got a solicitor doing their best to make sure you get a fair slice of the pie in the financial settlement when you divorce!

Pollygarter

Thanks all for the encouraging words and the well aimed boot up the proverbial from Andy from Otley. Which prompted me to go look see how much interest I am paying on my Barclaycard. And its about £35 a month. Which I've been ignoring but actually that's £420 a year.

So I've done the deed, used this site to find a deal which suuts me and flipped it to Halifax on 0% transfer fee and 0% interest and will aim to pay it off in full by end of 2015. Saving myself a tidy bit, decreasing balance so I can't do the maths on that. If I could, I guess I wouldn't be in such a pickle (!) But I guess savings will be at least a couple of hundred quid depending on how fast I pay off.

So, now I tackle the overdraft first as my most expensive debt.

Here goes...and thank you all.

Pollygarter

And thanks also for the reminder about legal advice. Yes I've taken it. Trouble is my ex will fight endlessly and have you any idea how much court costs can be in a case like that? I didnt, but a friend recently ran up £85k, with the hubbie presumably having the same. All to come out of the matrimonial pot. Its got to be a big pot to make that worthwhile. Plus I can't fund it and solicitors don't work for free or until settlement! I'll get less than is appropriate I'm sure, but I always knew being around that guy was never going to make me financially secure. Ah well!

rockm87

welcome Polly, you dont seem foolish to me, you're making strides to get rid of your debt and sort yourself out. that's great!

keep going!

Dizzy_Imp

:hello: Hi Polly

Like the others have said, it looks like you've got your head around what needs to be done, which is great! I found that joining some challenges helps keep me on the straight and narrow x

enthusiasticsaver

You don't sound foolish to me and seem to have a good grasp on things. My suggestion would be keep a spending diary and budget for everything including treats and before you spend really think if you need it. As you say kids don't need expensive days out and when they do come along they will appreciate them. Use coupons as far as you can and just concentrate first on clearing the debts, then on building up some savings. Good luck.

Pollygarter

I've done my budget.

Found out I was overspending by £700 a month. Yep that would be where those debts have sprung up from.

Its hard looking at what you've got to cut. But I've done it and if I stick to the plan (ha, that's the hard bit of course) then I will generate enough excess which with the eBay sales should, should be sufficient to get me debt free in a year. I'm going to unrealistically aim for end of 2015 as this may spur on my efforts to sell off the family silver (as if!) And is when one of my 0% deals runs out.

See how I go.

How do you make those footers so many of you have where you note down the reducing debt?