Diary of a Twenty Something Shopaholic

confessionsofaspendaholic

Well here goes nothing! :wave:

Firstly - I'm petrified. Like, really scared to post on here - I've been a stalker of the forums on MSE for a while and to be honest some of the comments are definitely more negative nellbob's than anything - so please, be gentle!

I'm a Debt Free Wannabe, Wannabe if there is such a thing!

I have finally decided over the past months that I'm the only person that can make this happen.

I have a love of buying things and a dose of depression & anxiety and not so luckily the two seem to love to go hand in hand with one another. I get down - I buy some shoes! I feel happy - I celebrate with a fabulous meal out, you get the picture!

But 2017 is the year, my year to aim to work towards becoming debt free, no more excuses!

So I'm going to document it here, to stick to it, to hopefully meet some fabulous people and you never know - maybe actually become Debt Free! (Although I do love the Wannabe aspect, got to love a Spice Girls reference :T )

I'm 24, I work full time and have no savings to speak of.

However, I do have an amazingly supportive boyfriend and will to change - we want to start saving for a mortgage, I might not be approved for one for a long time but will be one day and I want to be in a position to start saving eventually for a fab deposit, even if it is really hard and takes me an aaaaage!

My Debts are a result of a lot of things, I won't go into that just now - don't want to put you off just yet

Here they are - in all their terrifying glory!

Debts Outstanding

RBS Personal Loan - £11,848.60 (Opened last year, £14,000 total amount) 18.9% APR, 60 Month Period
RBS Platinum Mastercard - £1,779.54, 17.44% APR
Barclaycard Visa - £4,691.79, 26.18% APR
Overdraft - £400

Total: £18,719.93 :eek::eek:

That total gives me nightmares but I'm on my way to fixing my problems, this time last year my debts were higher, small improvements and all that!

So this is my starting point, feel free to follow along on whatever this crazy journey of mine will look like!

Looking for any support and positive vibes out there - please no negativeness, I'm a sensitive soul really and trust me, no one is as horrified and devastated by my debts at the age of 24 than me - but I'm trying to fix it

Come along, all welcome, I think I'll be a very eager poster for a lil while at least! :j:heart2:

Poor_Single_lady

Hello and welcome. I'm not very good at advice but I am quite similar to you.
I just wanted to say on the mortgage aspect. I got mine a few years ago solely in my name with about £8,000 debts so as long as you have a plan and look like you are dealing with it (which you are) it doesn't have to be a deal breaker on the mortgage front especially if you are going in with your boyfriend which will help your position.

Good luck with your journey. Hope the diary helps. xx

lionheartedgirl

Morning,

I've been in this forum for a very long time and generally it is very encouraging and very positive so try not to worry about negative posters. Maybe not so true of other areas, I don't know as I don't venture out of this bit very often, but people are very kind and helpful I tend to find.

Good luck on your journey!

When you start to feel a bit more ready, have a think about listing out all your income and expenditure, you don't have to share it (lots of people prefer not to) but it's definitely good to know all your numbers and be in a position of strength.

confessionsofaspendaholic

Hi and thank you so so much for your replies! :j
I'm actually really excited to begin this journey and ready to do whatever it is I need to.

Can't thank you both enough for your positiveness

Had a tiny setback when completing my SOA as I had forgot to add in a loan from my parents that I pay back monthly - makes my debt a little higher but I was already accounting for paying that month to month so not too much of a shock!

This is my SOA - happy for any help!




:rotfl:
Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 1363
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1363

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 160 (I live at home still half the week and with my boyfriend the other half!)
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 0
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 69 (Crazy contract with vodafone, will be ending in July though and then plan to move onto sim only for £25!)
TV Licence.............................. 0
Satellite/Cable TV...................... 3.99
Internet Services....................... 9.99
Groceries etc. ......................... 200
Clothing................................ 10
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 50
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 20 (Contacts!)
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 40 (Saving Account to cover, birthdays and christmases throughout the year!)
Haircuts................................ 10 (Every few months only, £50 a time so averaged)
Entertainment........................... 40
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 612.98


Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 0

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
LOAN...........................11848.6...350.......18.9
Overdraft......................400.......50........0
MasterCard.....................1779.54...50........17.44
Personal Debt..................1200......100.......0
Barclaycard....................4691.7....160.......26.18
Total unsecured debts..........19919.84..710.......-


Monthly Budget Summary
Total monthly income.................... 1,363
Expenses (including HP & secured debts). 612.98
Available for debt repayments........... 750.02
Monthly UNsecured debt repayments....... 710
Amount left after debt repayments....... 40.02

Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -19,919.84
Net Assets.............................. -19,919.84


Hope everyone has a fab weekend! :beer:

I'll be spending mine trying not to spend! :T

Hiddenidenity

Hello and welcome

Your SOA looks okay, you've said about the phone and changing that when you can. Your groceries could be less I don't spend much more as a family of 5.

Do you really have the money left over at the end of the month? If not you might find a spending diary for a month or so helpful in showing where every penny is 'used' Up to you of course I just love my spending diary and list

Good luck

UncannyScot

Hi and welcome,

I know you think your debts are huge, but believe me when I say it is not insurmountable, you will be able to deal with it over time as you have a plan to pay and clear it off.
Folks on here are non-judgemental and are very supportive and also very friendly.
We are all on the same boat and are all here to help.
Good luck and I will look forward to following your progress

enthusiasticsaver

Very rarely is anyone judgemental on this forum. It is for advice and encouragement and you have made a great start by doing an soa and writing the debt down, therefore admitting it to yourself and that you have a problem. It is most definitely fixable though.

The main issue you have is high interest rates. Do you have too much debt for a 0% card to move your Barclaycard? Your interest must be around £100 per month so if you pay £160 the debt is only going down by £60 per month and will make this a long hard road. If you cannot move this to 0% then I would focus any spare money on that.

Your mobile and groceries could be lower. Do you do holidays and is that entertainment figure correct? Normally I would say you should save for an emergency fund but as you have no house or car and live at home it is not so critical for you but I would definitely throw a good proportion of your spare money towards clearing the Barclaycard first. Would your parents accept a lower figure monthly to the personal debt so you can focus on your interest charging debts? Is the clothes and entertainment budget doable or are you aspiring to just spending that? The entertainment budget particularly looks low and you have some leeway to increase it slightly to make life more bearable. This is a long journey so you need to put new habits in place and breaking a budget because it is too low is very depressing.

Re the depression, I would suggest you find somethings to do which do not involve spending money. Walking, listening to music or reading a book rather than hitting the shops. Take credit cards off the websites you commonly use if online shopping and keep a spending diary. Try and get into the habit of not shopping on impulse but only going if you physically need something.

emmie26

Hello and welcome! I have been on here for far too long, I have had only very rare negative comments and it wasn't on my debt free diary. Looking at your SOA I wondered where you get your contacts from, mine are from Tesco and they are acuvue ones and cost me £10.40 per month. I used to use boots but it was so much more expensive for the same lenses.

I agree with trying to get a 0% balance transfer if you are able to.

Good luck

confessionsofaspendaholic

Hello Old Diary that I forgot the log in details to and conveniently never reset!

So... Where to begin?

Well I've just read over my original post and I can't believe it was me that wrote it - or the SOA :A

I feel I was definitely being more optimistic than honest at the time the SOA was written :rotfl:

However!

I come with amazingly good news that I never thought I would be posting..

I am... DEBT FREE!!

Just over £21,000 (That's when my real this cannot be happening moment came, a few months before my original post ) to zero debt and even a savings account! I'm most shocked at myself than anyone else.

It's taken just over a year of gritting my teeth (avoiding Primark) and generally getting myself in a much better place, mentally (:j) , physcially (I've lost just under 4 stone - and fit back in all my clothes! :money: ) and as a fab outcome financially!

So, I don't really know where to post or what to do with myself but I've never been away from these forums, totally as a lurker (due to the forgotten log in details!) but I've been reading almost every day for the past couple of years and I continued to do so, even after my disastrous first attempt at starting a diary!

So I'm back and on a mission. :T

Mainly and most importantly - to stay out of debt!

Second on my list is to keep paying into my Help to Buy ISA and Savings, me and the beared boy are saving up to buy our first house together, so all is very exciting over here in Spendaholic land! :eek:

So if you all don't mind, and if you don't find it terribly boring (assuming anyone wants to read along of course!) this diary is going to be more about staying out of debt, rather than getting out of it. With a main focus on becoming a Save-a-holic - is there such a thing?

Along the way I'm sure there will be mishaps which in true me style will probably be quite comical, I'll also post a bit about how I managed to get debt free I suppose and well... Just be part of this positive community!

I feel that's enough of a rambling for my first post back, can't wait to document this new journey of mine, if you all don't mind :smileyhea

Spendy xoxo

a_silver_lining

Gosh! Well done! If you don't mind me asking, did you take on a second job or find another form of income? 20K in 15 months is amazing!