Pollgarter's plans to clear up her garden

Pollygarter

Advent arrives.

Run up to Christmas and I'm quietly ebaying and keeping the spending down. Managed to reduce debt by £705 this month. Pleased with that. We are having a simple Christmas this year and no major entertaining so I hope to be able to report another reduction by 1 Jan. I have paid off another card completely so just two now.

Initially I'd wanted to pay off all my debt by the end of this year. Then I had a small amount of cash left over from the move and am liking the fact I have a small emergency pot which I can access without having to whack something on a credit card should the boiler explode or the car need expensive repairs etc. As all my debt is on 0 per cent and I have calculated it should all be paid by the end of the interest free periods, it seems to be working ok. Effectively I suppose I am stoozing. I don't really think of it like that though. I'm not to be trusted with credit cards really... The amount of interest I am earning on my emergency pot per year is far less than one quickly purchased pair of shoes! So the risk is high but so far I am doing well. It helps me do my best to stick to my aim of never ever paying interest again because I couldn't control my spending impulses or hadn't prepared for the future.

On we go eh? Frugal Christmas shopping all round I hope, and much happiness. Still loving living with less.

Bobarella

Nice to hear from you Polly, it's been a while. Bet that log burner is coming into its own now glad the debt busting is going so well too.

Pollygarter

Thanks Bobarella and Oh My look at you! When I went AWOL your debt was in the high 4ks...and now you are in the 2s!

That's brilliant. Well done you. What have been the key things you've found helped? For me its check check checking my balances. I found when I had a little excess just after the move I lost track a bit but not for long and am right back on it now. I have bare boards on the stairs as the previous carpets had 30yrs of dogs feet on them and they nearly walked out by themselves! I am too mean to shell out for a new one currently. As the place is so old, there is an archeology of different painted strata on the wooden stairs where in years gone by they've had runners of varying width and painted the stairs either side. Gives a striped effect. I reckon the oldest strip must be 150 yrs old. I rather like it! The log burner is just lovely. I am not disappointed in any way. Can even heat drinks on it when it's really going.

When do you intend to be paid off?

Pollygarter

In December I wrote:

"Effectively I suppose I am stoozing. I don't really think of it like that though. I'm not to be trusted with credit cards really."

Indeed.

My debt then was £5300. Now it is £6970. All on free interest credit card. But really Polly, it isn't the right direction now is it? I did know myself well enough to see that interest free credit used for stoozing was not a good option for me. Interest rates are so low I am making pence on my little savings pot and increasing my debt which has to be repaid by pounds. So on we go. My debt has to be repaid by end of 2016 but I think a better option for me is to pay it more quickly and use that "free" card for emergencies only. Me and debt. Once I have some, I am happy with more.

I cleaned my bank overdraft back in the summer last year and not once have I dipped a penny into the red. It works. My daily budget is working alright and I pull my belt in If it's going close to the overdraft towards the end of the month. What I've done wrong is putting small sums into a savings pot and not kept such a tight eye on the credit card which I've used for two expensive car repairs. To stop the car costs? Well that car is going. I am having a well maintained but old Honda shortly and that will cost far less to maintain than the bit of German rubbish I got landed with in the settlement. I also bought some jewellery, really? Yeah really. Not expensive. But not free either. Sheesh. I will keep on at that credit card debt to get rid of it ASAP. The bank account experience shoes me I will behave better when I am on my own ££ and not dipping into debt, free or not.

Bobarella

Polly
So sorry I didn't reply to your post in December. I have only just noticed it.
How is your lovely cottage? Are you still enjoying it. 30 year old carpet aside
Funny enough I was just thinking of you over the weekend and wondering how you were.

Sorry to hear about the emergency car repairs needed. It is very annoying when you feel it's 2 steps forward and 3 back.

Bob

Pollygarter

Hi Bob! Yes the new home is lovely. How is all going with the (expanded?) Family ?

I spent many happy warm hours prodding the log burner this winter. My energy costs have gone down hugely. I was spending £200 a month in the old house which was large and falling down so very draughty and always freezing even with a lot of expensive heat being pumped into it. No gas here so it is oil and wood. Oil is of course very cheap currently which explains in part why my electricity and heating fuel costs are now under £60 a month. Even so...that's a huge saving. There are lots of small jobs to be done, some of which are waiting and some of which ive done. So plus the car repair costs this partly explains my failure to make progress on debt. I have spent too much too, not all of it essential.

But, I am regrouping. I sent the jewellery back and have been reimbursed. It's my old end of the month check in point. I won't be spending anything today and have done my reconciliation.

I went into Santander to pay off the very last bit on the free credit card I'd had with them since last April. Paid £132 off and closed the card down. Lovely moment. Cleared more than £4k of debt with them and did not pay a single penny for that debt. That was a great result thanks to MSE encouraging me to flip it last year. I think I would have paid about £400 in interest on a standard rate had I not shifted the debt.

One thing I do notice about myself and interest free debt is I take my foot off the pedal some when my debt is interest free. I work to clear it by the end of the interest free period rather than ASAP. I have two other cards still with debt on them.

Extending my repayment period is not a good strategy for me as there is no interest rate more penalising than my own wayward spendthriftery. It's still there, it hasn't gone away and I need to recognise that fully and get out of any type of debt. Given my turnabout on my bank account which has stayed in the black every month since I cleared it last summer, I think that same mind set will keep me out of increasing debt again. So no more "stoozing". It's not the best way for me. I have built up a small emergency pot but am not going to increase my savings whilst the debt remains. I have always referred to the emergency pot as for exploding boilers and car repairs. Had both of those these last six months. No more please!! For a while.

My progress in March: Debt reduction of £410. Yes. Off in the right direction again. And signed up for an April challenge. So am hoping for more next month.

I want to do a bit of work on the access and lighting to my home. It's a bit rural and dark and am concerned about it with visiting parents etc who are not so able bodied. I am thinking to improve the path, steps and to put in lighting by next winter will cost something around £3k so every £ I can save will get me closer to commissioning that work.

So that's my goal. Out of debt and garden works done by clocks back time when the dangers of the access are going to be a big issue again.

Joined an April challenge to focus the mind.

Onwards!

Bobarella

Hi Polly

It's interesting all that you say about your attitude to 0% debt & how you don't feel under the cosh to clear it. Could you have paid off the car repair with your emergency fund? Sometimes it is tempting to go back to using credit to keep your EF instead of using it to pay for the thing it's actually for. I have certainly felt that myself at times. Not sure what the psychologists would make of that one

It's great the log burner saved you so much. I love reading Frugal Queens blog and she is a huge fan of those. She is just putting one into their second home in France!

DD will be 6 months next week and that time has flown. She is lovely. I am blessed.

Busy times ahead for both of us clearing the rest of our debts. Looking forward to cheering you on in the latest Turtle extravaganza too.

All the best
Bob

Bobarella

Hope all is well.

Pollygarter

I wandered off, lost a lot of weight and gained back some debt as I bought a few new pieces of furniture for the house. I've never gone back to the levels of overspending I was guilty of though!.

Now I've regained a lot of that weight and lost some debt. Still got some - £3950 on 0%.

Still got a small savings pot for emergencies and had a few of those over the last year! Cottage in sticks is now very much home and I am finally having some new carpet on the stairs after bare boards for nearly two years and my old dog struggling to get up and down now.

Going to pop on here occasionally as I lost the focus and want to finally knocked this debt on the head.

Bobarella

Hi Polly

Lovely to hear from you. You sound like you've been very busy.

Hope you can be here more now.

Bob