Time to clear the debt - for good!

laurag89

Hello
I am back again, this time determined to clear the remaining part of my debt. I'm 28 years old, and used to be absolutely terrible with managing money - thinking if I wanted something it was ok to borrow the money to buy it.


I get married in June 2019, and would really like to start married life debt free!
This is how things stand at the moment:
First Direct Loan - £11,000 (3%)
MBNA credit card - £1,689.83 (0%)
Marks & Spencer credit card - £778 (0%)


I have a mortgage which is still pretty high at the moment as we have only lived there two years, and were first time buyers so did not have a lot of deposit to put down. I do not have a huge amount of disposable income until this mortgage comes down (Deal ends in December this year).


However I am paying £277 per month to the loan, and £25 minimum payment to my MBNA, and around £17 per month to my marks and spencer card.
I also have another £50.00 per month I can throw at these debts at the moment.


We have committed to a couple of holidays - I know this is a luxury and paying off my debt should be the priority but as they are booked already I am putting away £100 per month to the holiday fund at the moment, and also £100 per month to the wedding fund also per month.
I do not want to add to my debts for the wedding or for holidays, so once I have a nice amount saved to the holiday fund (I have £500 at the moment) I can use that £100 per month to my debts.


I want to use this diary to track my progress of paying off my debt so I will update my signature this evening, I also plan to use some of the debt free challenges to help me get this figure down aswell.

laurag89

Tonight I have started as I mean to go on:

I returned two tops to sainsburys's after work that just didn't look right - usually I would keep them thinking I will wear them eventually when I won't, but not anymore! That is £15 back onto my credit card (M&S credit card).

I completed a survey on valued opinions, almost at £10 now - I am going to save vouchers up for Xmas/birthdays!

Also I have my old Samsung S5 hanging about to I am selling that for £68 that's going straight to the credit card!

I am determined to kick this debt and never borrow again.

System

Welcome on board again. Great start .

laurag89

Thank you!

I just need to stay motivated this time, and continue to track my progress.

Any advice or tips would be gravely appreciated!

Xx

System

I find that if I keep my diary up to date with spends and amounts paid off the cc's it help enormously. It's like confessing to everyone anonymously! Sometimes I feel like I am talking to myself but it makes me feel better !

laurag89

Cumbria_lass wrote: »

I find that if I keep my diary up to date with spends and amounts paid off the cc's it help enormously. It's like confessing to everyone anonymously! Sometimes I feel like I am talking to myself but it makes me feel better !

Thank you

I will make sure I keep up to date on this till my debt has gone. Reading other debt free journeys help me too, people have such good ideas!

Scott_Weiland_2

Did you have another diary laura?

laurag89

Hi Scott,

I did a couple of years ago, but never came back to update it and completely lacked motivation to clear my debt.

That's my reason for starting a new one, I am very different now to what I was then - I'm treating it as a clean slate.

laurag89

So this morning - for the first time ever I did some surveys on you gov and one poll, still quite a way to go until I hit the £50 and £40 limit for them to payout.

I have bagged up some clothes I don't wear anymore and plan to take them down to one of them clothes places that buy your clothes from you. I know it isn't much, but I built this debt up by making small regularly purchases on credit cards - so making small regular payments off of the debt will get it back down!

Feeling positive today, and can't wait to track my debt coming down!

System

Good steps , it all helps. Aren't there any clothes you can EBay ?

laurag89

Yeah I have some that I have kept back - next, Lipsy, miss selfridge that I plan to eBay

Any extra will help towards the debts!
My partner has moved his bank account to the same as me and I am awaiting £50 recommendation bonus which I will also put to the credit card.

I know you should usually start with the highest interest debt but as that is my loan which is quite high at the moment I am thinking of attacking the marks and spencer credit card first. I'm thinking this will keep me motivated?