Saying hello :)

MovingForwards

Thought I should drop in and say hello. Been reading loads of threads over the last few months and decided it would be rude of me not to join in.

Currently in the process of paying off nearly 20k of debt and realising how slow it is going and how many more years it will take. Everything spiralled in 2014, it had been a juggling act for 15 years before this, I took stock and got a DMC onboard (it was approx 29k at this point) Sadly it's a pay monthly for the pleasure as the free ones / charities wouldnt help and the monthly payment they expected was eyewatering. I also managed to pick up a CCJ along the way in 2015 (great New Year gift! and a story for another day). My mariage went belly up a couple of years later but I carried on paying the debts...amazing how someone wanted a few holidays each year on plastic but never understood how they were paid for, nor realised how much he was spending on booze. I was living hand to mouth, heat or eat (a sandwich a day as I had to ration the electric on a meter) and it wasnt good.

I restarted my life, moved away and settled down with a gem

Didn't do much with the debts, just kept plodding along, paying the DMC each month and finding my feet, had to start a whole new career as I couldn't remain in my chosen one due to the CCJ.

Started picking off a couple of the smaller debts and telling the DMC to remove them.

Also in January 2017 I started doing savings challenges - 1p a day and the 52 week. Never knew what it was like to have a bit of money in the bank and seeing it increase a bit at a time and felt so proud of myself that I could do it. Everytime I logged on to my bank account I would move the pennies over too.

I wanted to get a home since I moved, I walked away from the other one as I wasnt on the mortgage or deeds, and have been keeping an eye on the prices; just in case, one day it may be possible and all that. I want a bungalow as I am disabled, reasonably priced ones dont pop up that often.

Over the last year I have started to look at areas for a home, think about a deposit and work out how much I would need and how long it would take.

A promo at work, with substantial payrise (I am now on the average uk wage) led me to clicking on mortgage calculators, seeing what is possible and still plodding along with the DMC.

Due to the promo at work I rearranged my income/outgoings spreadsheet and sussed I could put quite a bit away each month and I had been for 3 months until the spanner came my way and had to find a new place to rent. All sorted and waiting to move. (No checks done as my gem has been with the letting agency for over 7 years)

Popped into a brokers the other week and was advised I needed 25% before they would look, but I wasnt laughed out their premises which I took to be a good sign

Been trying to get my head round my credit reports and yesterday I worked out how to see defaults. Popped into my DMC site and worked out I could be debt free in 33 months by saving and picking off debts. Could be sooner if I only pay mine off and still save a bit each month towards a home /mortgage deposit.

I have my normal account for wages, DMC and DD. I have another current account with a different bank and that has emergency money (car repairs/petrol), small savings account for my 1p a day challenge, an ISA for the 52 wk challenge (naff all left due to deposit/rent advance) and a couple of bond accounts which are locked for 12 /24 months and I cant withdraw the money.

Over the last year I have seen my current account change from laughing at me when I would check it, to offerring me an overdraft, then a larger one and now it's inviting me to apply for a credit card. To me it means my credit history is starting to clean up a bit.

My OH lost his job last week, but I know we can get through it, 4 months ago I would have been freaking out trying to pay everything on my then wage).

I know this is the DFW board, but I wanted to give people hope. 99% of the time I pay by cash as it makes me more aware if what I am spending not debit card (unless tills are card only). Budgeting works. Not having take aways saves money. Charity shop clothes / furniture can make a difference to your pocket. Reduced price food is the difference between having food for a few days or for a week (don't raid it all as someone else may be in the same situation with having insufficient money). Money off vouchers. Supermarket reward points. Weekly special offer food in Lidl etc. Netflix instead of Cable/Sky which also saves on TV licence fee. Shop around for insurance (some comparison site insurers credit check/soft search). Picnics in the park on nice days.

Set a small goal, work towards it and then achieve it.

Never thought I would be posting anything like this 2 years ago!

There is life after 40, there is a good chance you can start over after being with someone for 20 years and there is a light at the end of the tunnel, sometimes you just need to wait for the candle to start shining brighter and it does.

SnuggleBuggles

Wow... so inspirational! I really enjoyed reading your post and have picked up some useful tips from it. Wishing you (and your partner) all the best on your journey. You've achieved so much already - I have no doubt you will realise your dream of home ownership. Best of luck!

January2015

Well done - but think how much quicker you could be debt free if you stop paying a fee charing DMC. You don't have to go to one of the free ones if you don't want to - nothing to stop you managing your own DMP.

MovingForwards

If it was just my debts I was paying off then the DMC would have been dropped when the CCJ went on my file!

For now it suits me to have a paid DMC, although I try not to think of the money wasted on them.

sourcrates

Just be aware, a lot of these companies go bust, and they take your money with them.

All they do is pass on your payment to your creditors, something you can do yourself from online banking in 5 mins for absolutely nothing.

Just putting that out there, why pay them 30% for doing basically nothing, makes no sense does it.

Why not switch to doing it yourself and be debt free quicker ?

Scott_Chegg

well done to you for your perseverance. Very inspirational.

fermi

Thank you for taking the time to post that.

LMG1305

MovingForwards wrote: »

If it was just my debts I was paying off then the DMC would have been dropped when the CCJ went on my file!

What do you mean by this? Who else's debts are you paying & why?

Suseka97

Thanks for posting and pleased to hear your life has taken a turn for the better - long may that last

I also agree with Sourcrates suggestion about going self-managed, you sound more than capable of doing so and that would give you a little more flexibility in terms of payments and picking off the debts, one by one, and in a way that best suits your situation.

MovingForwards

I'm paying my ex's debts off as I am a nice person! He is a lot older than me and coming up to retirement in a couple of years. I also am not interested in a share of the house as he would never be able to afford another property.

I am in a good position now, can and have, started over and looking ahead to the future.

MovingForwards

Sorry, I should also say I cannot work out which are mine/his due to the amount of times the companies have moved them on.