First Day Debt Free

Rookie1986

Hi All,

I know I'm a fairly new member here but thought I would share my thoughts and experiences over the last few years.

Rewind back to 2012, I was in a middle tire management position for a large UK based company, unfortunately as part of their streamlining process redundancies were made resulting in a dramatic impact to my annual income.... I was unemployed for the first time since leaving college.

Due to my previous employment position I had a steady stream of available credit at my disposal, things started small at first, I used my saving to cover the majority of my bills while looking for new employment and (although beyond me now) I maintained the previous lifestyle I had by subsidising it through several credit cards, an overdraft and even a personal loan... little did I know this would be the worst decision of my life. As the weeks turned into months and still no joy in the re-employment area I made the decision to "exchange" my existing car which was on finance for £375 pcm to a more affordable entry level car costing around £200 pcm, unfortunately due to the outstanding finance on the "premium" car I was left paying well over the odds for its replacement.

I continued on building credit on credit and even started using "Pay-Day-Loans" to cover short fallings on my accounts as a means to prop up my life style, by mid-2013 the sheer stress of the financial burden resulted in a breakdown of my relationship with my fianc!e and what I can only describe as the "dark days" of my life. For some reason I just stopped, stopped paying all of my creditors, the weight of the debts had finally crushed me and I had given up. That coupled with the emotional stress associated with the end of a long term relationship pushed me to the brink, my mental health had tremendously deteriorated and at my lowest I had even started to contemplate suicide.

The next 3-4 months were a total blur, like I was moving in slow-motion... I took to drink and prescription medications as an "escape" from reality... I continued to ignore my creditors (the amount of phone calls and letters was staggering) my debts continued to rise and quite frankly I didn't really care. I didn't check my bank account as I knew that the savings were now all but depleted and that I was facing the brink of bankruptcy. For some reason, and I'm still unsure why, I jumped on a train and headed to London to visit my brother (he's my brother but we had never been close growing up - he's 7 years older), from the moment of entering his apartment I just collapsed in an emotional wreck of tears. This was the first time I had spoken to anyone in regards just to how bad things really were, in some respects it was the first time that I even realised the extent of the situation myself.

My brother listened to all of my problems from start to finish and put me up for the next few months at his place (maybe he felt like he was on suicide watch, I don't know). I cleaned myself up in regards to the drink and medication problem which gave me a new found clarity and sense of responsibility. Fortunately my Brother was able to find me employment through one of his business contacts, although only an entry level job it was the first time I had an income in over 12 months.

2013 ended and I guess you could call this my light bulb moment, it was time to be accountable for the financial mess I had let myself become, it was time to take action. After some research online with the assistance of my brother the decision to consult a debt management company for assistance with my current financial affairs seemed the best direction. The assistance and compassion of the debt management company was amazing. They took control over my accounts and the phone calls and collection letters stopped, furthermore the interest was also frozen across all accounts so I wasn't slipping further and further into debt. It felt like a huge weight had been lifted from off my chest and I could finally breathe again. I received some further good news as the Pay-Day-Loan company I had used were found guilty of irresponsible lending and my outstanding balance on their accounts was wiped clean.

Since then I've had a total realisation with how to run and manage my finances, I've met an amazing girl who has assisted no end in supporting me (along with my brother) through this. I’m not going to say it was an easy few years, it took a lot of time and a lot of dedication to ensure I didn’t fall back into old habits, I set up a bank account which managed my money so everything I needed to pay bills was always deducted before the remainder coming forward to my card account. I cut all frivolities from my life style, brought things back to basics and avoided irrespirable purchasing.

Today is the first day I have woke up debt free... I really can't describe how I feel, words don't really cut it, I could cry, laugh, smile and have a feeling of total elation.

I guess my words to others are, that no matter how bad things get and not matter how bad you feel, don’t hide away from the problem, seek advice and assistance from friends and family. That plus the support of this forum and the companies out there do mean things will get better…. Even when all hope is lost and you are at your end with it all, one day you will be debt free, you will wake up and feel like I do today!

For me? I guess life’s about living, I’ve lost 5 years of mine to the shackles and restraints debt has imposed on me, I’ve ridden the emotional roller-coaster but finally this is where I get off. I don’t know what I plan to do next, I guess it’s think about the future, start planning the things I would like to achieve next but most importantly not relapse into the old cycle and bad habits which resulted in my previous downfall.

I wish you all a happy and healthy 2017 and might pop by from time-to-time to give advice where I can but also to ask questions regarding the future after becoming debt free.

You can do this!

National_Debtline

Well done Rookie! Thanks for sharing, I’m sure it will provide inspiration for many others on here.

James
@natdebtline

EssexHebridean

A really brave post - well done for sharing it and for becoming debt free.

For the future - you just need to remember a very simple fact. Keep your outgoings at a level below your incomings, and all will be well. You know where you've gone wrong before, and where your weaknesses lie - so you can avoid them. Get a budget in place, and stick to it, and you'll be fine.

AliceBanned

Hello Rookie. How positive and moving your post is. Thank you for this, it is a great encouragement and very touching to hear that helps is sometimes there when you need it, and that you reached out for it and got the support you needed.


I find MSE tremendously helpful and even though I have a long way to go, like you I have changed my attitude and no longer want the misery caused by debt. In some ways the extreme suffering can be worth it, if only to teach us not to stray again and to start to enjoy life in a different way.

tealady

Hi
Well done you, and how lovely your brother sounds.
I would suggest that you set an amount to save each month. Think of it as a debt which has to be paid. You could set up a standing order then one day you will realise you have the cash for something you really want (a wedding perhaps?)
Being debt free is wonderful, staying debt free needs work but is worth the effort.

katy_ann

Well done you! What an inspiring post! Enjoy your new debt free life x

enthusiasticsaver

Wonderful story and how great that your brother stepped up. Glad life is looking better for you now. The important thing now is to learn the lessons which you appear to have done and make this the start of your new fiscally responsible life. Saving for treats rather than spending on frivolities regardless of income.

another_casualty

What a brilliant post. Brother is a diamond. Save up,for a nice thank you to him . Nothing extravagant ,,or expensive in any way
In the meantime, stay debt free
Good luck