I'm Back - and better! Final Push to Go...

Exerbusi2

So today is my birthday!

I am paying a little money off my CC today (£80), which brings me down to £4,500 - meaning there has been £2,300 paid off since I started!

I'm awaiting payment from a couple of people this month, which should see me slightly more comfortable.

Slightly concerning, but not a disaster is I'm waiting for around £2,000 in payment from a company.

I know they're going to pay me, but it's going to be in early April. My mortgage goes out on the 1st, so I'll have to dip into savings to pay that. Of course when I receive the money I can top my savings back up, but I don't like the using cash I have stored bit!

I can't speed that payment up either, which is a shame.

I've had a slight concern over a company I do some work for, wondering whether or not they were going to continue to use my services. They are happy with my work, but they are undergoing to cost-cutting measures and I wondered if I am on the 'cutting' list. I spoke to the guy in charge there today and he assured me they want to keep my services, which is a relief (they account for around 25% of my income!)

I'm running my project next month too, which has sold out and should see me make (after all costs) around £1500-£1600 profit. I'm going to pay around £1000 off the credit card and stick the rest into savings for tax.

I'm still on target to pay off the CC by 1st January 2018!

Exerbusi2

dcouponzzzz wrote: »

If you register the woodworking as a business you can get the startup materials (including the shed?) without VAT right? I may be wrong on this... If you're not savvy with taxes an accountant's advice might be useful.

I'll have to ask my accountant about it! There's even a way I could (genuinely) justify buying tools for my other business, but I'll have to ask the questions first!

Thanks for reminding me of that!

zippygeorgeandben

Exerbusi2 wrote: »

Hi Zippy!

All good here - I've just been very busy! I'm flying solo with the kids until tonight as my partner is away on a course, so for 3 days I've been busy with the kids, then working late into the night!

I didn't want you thinking I was haranging you to reply! Busy with the children oh my!

Exerbusi2 wrote: »

So far, that all makes sense. I think you've taken the right course on those.

Thanks for the endorsement

Exerbusi2 wrote: »

Hmm. First question would be how quickly could you get your account back in the black?

The obvious answer is to go for the lower interest cost (the O/D), but do you need the cash available? Also, if you could get it back into credit quickly (within 3-4 months) then I'd probably do that. If it'd take you 12 months+ to get back into credit, it's probably not worth it.

The plus side to doing that is that you've cleared one debt completely, so you'd have extra cash available to put into the bank again.

You'd then have reduced your debt VERY considerably!

I've taken on board what you've said. Not sure really. I think I might just see how it plays out for a couple of months really. It's all heading in the right direction so I'm not too worried. I know the decisions I've made so far have been the right ones. I cannot also guarantee when I'll have the £2k from my sister. It may well be after my next Zopa payment which would mean that balance would be reduced by a couple of hundred pounds.

zippygeorgeandben

Exerbusi2 wrote: »

So today is my birthday!

HAPPY BIRTHDAY TO YOU! HAPPY BIRTHDAY TO YOU Another year older, another year greyer (perhaps!?):beer: I couldn't find a cake emoji so you'll have to have the pints!

Exerbusi2 wrote: »

I am paying a little money off my CC today (£80), which brings me down to £4,500 - meaning there has been £2,300 paid off since I started!

Great news - little and often, that's what is working for you. You've come so far since your first post on page 1!

Exerbusi2 wrote: »

I'm awaiting payment from a couple of people this month, which should see me slightly more comfortable.

Slightly concerning, but not a disaster is I'm waiting for around £2,000 in payment from a company.

Hmm how long will you give them until you chase? and on a totally separate point is it really a week since you went to Bath?!

Exerbusi2 wrote: »

I know they're going to pay me, but it's going to be in early April. My mortgage goes out on the 1st, so I'll have to dip into savings to pay that. Of course when I receive the money I can top my savings back up, but I don't like the using cash I have stored bit!

Neither would I. Do you have payment terms?

Exerbusi2 wrote: »

I can't speed that payment up either, which is a shame.

I've had a slight concern over a company I do some work for, wondering whether or not they were going to continue to use my services. They are happy with my work, but they are undergoing to cost-cutting measures and I wondered if I am on the 'cutting' list. I spoke to the guy in charge there today and he assured me they want to keep my services, which is a relief (they account for around 25% of my income!)

What a relief - as long as the guy in charge is the guy making the decisions.

Exerbusi2 wrote: »

I'm running my project next month too, which has sold out and should see me make (after all costs) around £1500-£1600 profit. I'm going to pay around £1000 off the credit card and stick the rest into savings for tax.

Great to hear.

Exerbusi2 wrote: »

I'm still on target to pay off the CC by 1st January 2018!

Fantastic although I'm sure you could make it 31st December 2017 :rotfl:

You could have your own Happy New Years Eve Debt Free Party (HNYEDFP)

Someone has enquired about buying some candles for £260 which would be another great amount off the CC. Plus it would leave space for my partners lego!

Once again happy birthday Steve!

Exerbusi2

Hi Zippy!

I do have payment terms, but it's a massive company and occasionally things get lost in the system. For the most part I'm OK with it, as long as I get the money in the end!

I'll probably give them until the 7th or so before I chase them. If I do that, I'm laughing really because then I'll get two payments from them, plus my project money in one hit - that'll be around £3,700 in one go!

As for the NYEDFP, that sounds like a great idea! At the start of this project I wanted to pay off my CC in 22 months. Now it's looking more like 12. I don't want to put any pressure on myself - if it takes longer, it takes longer. I just want to make it as quick as possible!

As for your candle sales, even better news! £260 is a fantastic little boost. Will that go onto bet repayment?

I'm taking on a new client today, so that could be a nice little boost to the income!

zippygeorgeandben

Good morning! Well, you're up nice and early but that'll be because of the children I guess!
You seem confident you'll get the money so that's good. New client as well!? What is it you do again?!

The candle sales will probably go off a debt yes, that's if it comes through. I've had agreements in the past but they've just gone quiet, time wasters really. However this person wants to pay a deposit on PayPal and for me to remove the listing on eBay.
What will you do with that £3,700 if you get it in one go? What's the plan?
I've applied and been accepted for a 26 month interest free on purchases credit card. That means I now have three CCs.
1) The Virgin Money one. Balance £0 - interest free until July 2017.
2) The Yorkshire Bank one. Balance £0 - interest free on purchases until May 2019
3) The Sainsburys one. Balance £3394 - promotion rate of 25 months at 0%

The reason I have done this is that if we go away in the Summer, I won't make the mistake I did last year where I didn't pay the money my sister gave me off it straight away. I will also have just shy of two years to pay this off. My partner is also aware that I won't be able to pay for all of his this year It also means that I feel I'm being a bit more proactive. We have also got an expensive wedding in the middle of August to attend (I might have mentioned the cost of the hotel room in a previous post) and I'm conscious of not being screwed by that!

I'm a little bit worried that I'm throwing everything at the debt and not preparing myself for these possible eventualities you see, which is why I'd like to be a few hundred in the black just in case.

Have a great weekend. Off to see Beauty and the Beast today!

Exerbusi2

I was up early because of the children, yes! I also have a body clock that wakes me before 7 most days as well!

I'm sure in selling the candles you'll get time wasters, but I wouldn't accept only a deposit for them to be taken off eBay, unless that deposit is over 50% of the value you wanted - otherwise you could be selling yourself short.

As for the £3,700, I've promised my girlfriend some new running trainers, which will set me back around £50-£60. Beyond that, it's going to be into savings and paying down the CC - I imagine over £3,200 of it will be paid into savings or on debt, such is how I use my money nowadays!

I have a couple of payments coming in this week, so I shall probably pay a little more off the credit card today, bringing it down to £4,450!

Was the show good?

zippygeorgeandben

The show? It was at the cinema - i go about once a year to the cinema as I don't really enjoy the experience however it's my favourite Disney film so had to see the live action remake!
I'd agreed a price with the buyer and it only had a couple of days to run. Plus I'd listed it a few times with no takers really. To be honest, it's a good deal for both parties because I get some funds and even though I am selling for slightly less than I bought I have to remember that they are using their petrol and it's a bit like the webuyanycar advert, it's saving me time, hassle and convenience. Plus I'm not selling one or two at a time in this transaction, 14 in one lot.

We are over halfway in the month now and if I do the following calculation;
SALARY - Direct Debits = SURPLUS, I currently stand at £899.42. I know for the rest of the month that I do have £350 coming out for deposits for nights out but I'll reclaim all that back through friends. I'm just making the initial deposit. I also have £120 against an Ocado shop due today but even thinking cautiously, I should have a couple of hundred to throw at the loan debt as an extra repayment this month.
I do need to speak with Zopa though and make sure that they are reducing the months of the contract and not the monthly amount as I'll get a better interest rebate with the earlier option.

I think I need new running trainers. I always buy Brooks ones but after about 12-15 months I somehow manage to make a hole with my toe at the front. Happens all the time and they aren't cheap.
Plus I don't run that much!
I was reading your OP before writing this reply. You've certainly done well. Paying the card off in 22 months!? Think your plan has changed.....

Exerbusi2

zippygeorgeandben wrote: »

The show? It was at the cinema - i go about once a year to the cinema as I don't really enjoy the experience however it's my favourite Disney film so had to see the live action remake!

Ah OK! I love the cinema, but we don't often get to go (it's a bit indulgent to get a babysitter to go to the cinema!

zippygeorgeandben wrote: »

I'd agreed a price with the buyer and it only had a couple of days to run. Plus I'd listed it a few times with no takers really.

In that case, it's a fantastic deal. Well worth going for and it free's up both space and money!

zippygeorgeandben wrote: »

We are over halfway in the month now and if I do the following calculation;
SALARY - Direct Debits = SURPLUS, I currently stand at £899.42.

That's very comfortable indeed! Wow! Well done you! Even with the deposits etc you're still pretty comfortable on a monthly basis - that debt'll go away so quickly!

zippygeorgeandben wrote: »

I do need to speak with Zopa though and make sure that they are reducing the months of the contract and not the monthly amount as I'll get a better interest rebate with the earlier option.

Absolutely. In fact, it may even be an idea to see if they can up the amount slightly and reduce the term, if you can spare the cash that is. If they can, you may be able to shave quite a chunk of time off the loan.

zippygeorgeandben wrote: »

I think I need new running trainers.

Me too! I left a pair at the gym the other day, which is a pain. They weren't expensive (I train a lot and my job sees me wearing trainers, so I rarely buy expensive ones), but still, it's £35 I'd rather not have to spend!

zippygeorgeandben wrote: »

I was reading your OP before writing this reply. You've certainly done well. Paying the card off in 22 months!? Think your plan has changed.....

Ha ha! Possibly/probably! I think I what I intend to do is to see where I am financially after I've paid the big chunk off the card when I get paid by the company and my project.

If I can bring the balance down to around £3,000 (or less) in April, I'd have 7 months to get rid of it within the year. That's potentially possible (it's certainly doable financially - at present I earn enough to do it fairly easily), but I overpay my mortgage by £270 per month, so I'm fighting debt on two fronts so to speak.

I could always reduce my mortgage payments to the minimum amount, but overpaying has been a big friend of mine when it came to remortgaging last time. Plus, that's a debt at 2.09% and my CC is a debt at 0%.

I've got the chance to run my project again in October and if I do that, I should be able to clear the debt very easily - that'd certainly see me paying it all off within the year. It largely depends on if I can actually run the project again though as some of the factors are out of my control.

I'll certainly pay it off in less than the 22 months, as per my original plan. What I'd like to do is pay it off, build up cash reserves to over £5,000 and then assess my financial goals. I'm 34 now, so I want to put myself and my family on a very firm financial footing.

C.M.

Hi guys - sorry to but in, but zippy - I just wanted to say that Zopa don't do term reductions for over payment, only repayment reductions.

I was over paying a loan with them last year and when I noticed they had reduced the repayment I phoned and asked them to reduce the term instead, but they told me it wasn't possible.

I called again the next day...just to try again, as I was sure the person had for it wrong - but it's their policy only to over repayment reductions. What I did was just work out the difference between my original payment and the new one, and then add that to my next over payment, and continued that - I still managed to pay it off 2yrs early