Starting Again... I can be debt free before 50

EarlyRetirement

You are doing so well building up you pots. Hope work in better for you.

pidge04

Are you ok?

raldo

Hey

Sorry for being MIA lots to update on so here goes.

The reason I've been MIA is I got my cottage!! It all happened so quickly that I didn't want to jinx anything by posting on here... I've been sleeping in the cottage since a week past on Thursday on a blow up mattress but tomorrow my furniture is getting delivered so it will actually feel like home tomorrow night as I will have my couch and my bed... I cannot wait!! To be honest it has felt like home since I got the keys 2 weeks ago...

I have cleared out my old house of all the junk and clutter and brought it all with me!! I have most of it stored in the spare room and some stuff in the kitchen. I have been clearing out a wee bit at a time but I've got so much more stuff I need to get rid of.

I have cleared and cleaned the old house and spoke to the estate agent last week so the house should be on the market in the next week or 2. It's been estimated at 10k more than we paid for it so am hoping that we can get the extra 10k as that might mean that I will get 5k after I've split it with my husband and paid lawyers and estate agents fees so keep your fingers crossed it goes for the estimated price... if it went for more I wouldn't be complaining but hoping that it goes for what they have said so that we both walk away with something.

Money situation is a bit tough at the moment I had to borrow £1800 from my dad to pay the 2 months deposit and the first months rent. Im looking at the £1200 that has been paid as the deposit is now going to be treated as savings (although I have no intention of ever leaving this cottage). I have also bought a washing machine from Very and a new TV on my credit card... I know I probably shouldn't have got the TV but I did. I have the removal men to pay tomorrow which is £120 (already paid £40 deposit) and I've got 6 roller blinds being fitted on Tuesday which is another £178... just feel like im shelling out money all over the shop!

I have taken my eyes off the debts and the trying to save money cause I've just been far too busy making sure that the cottage went ahead. As it's the first of October tomorrow decided that I really need to make sure I know what I've got to pay.

So here goes the debts:

VERY £170 0% till March 2019
RBS £3219.99
MBNA £10632.69
TESCO £5265.54
BARCLAYCARD £13538.27
CREATION £1960.00
HUSBAND £250.00 no interest
DAD £1894.00 (he borrowed off his credit card at 0% until August 2019)

Total £36930.49

I am hoping that I can pay off Husband and Dad when I sell the house. At the moment I am due to pay bills for both properties in October. I have enough money saved that will allow me to pay all the bills this month I just don't have anything extra to pay for food or petrol (I have £80 in my purse, some food in the freezer and about 3 quarters full tank of petrol. I also have some savings that I can use for these things, just need to take some money out the bank when I need it.

I have the following in savings:

Road Tax £120.00 (which will pay the full year when it's due)
Car Insurance £135.00
Car Repairs £60.00
Opticians \ Dentist £20.00

I have paid the house insurance in full which I could afford as it's only contents insurance I needed to buy. I still have to cancel the house insurance for my old address but I can't do that until the house is sold.

I have the following savings for Christmas:
Park Vouchers £150.00
Asda Card £75.00
Morrisons Stamps £62.00
Credit Union Christmas account £100.00

Savings Accounts:
Nationwide £548.33
Credit Union £343.00

I still have my savings jars and have the following in them:
Gas £10.00, Electric £10.00, Bedside Table £0.50, Wardrobe £0.65
House Ins £2.00, TV Licence £7.50, Car Repairs £3.00, Petrol £1.00
Dentist £1.50, Opticians £1.50, Clothes £2.00, Holiday £0.75, Holiday Spending £0.55
Nails £7.75, Hair £5.80, Xmas £1.50, Pressies £2.54
Takeaways £1.49, Food £4.62
Debts £9.95, Emergency Fund £8.55
Total saved in my jars is £83.15

I did have 2 out of my 100 envelopes saved but have had to use them for my removal costs so Im going to need to start them again.

These are my goals for October:
1. Pay for my blinds in full £178.00
2. Put £25 on Asda Card
3. Put £18 on Morrisons Savings Cards
4. One £50 envelope
5. Save £10 house insurance
6. Save £25 car insurance
7. Sell House
8. Manage to pay rent and mortgage without help
9. Work 10 hours overtime if available
10. Get back into target at slimming world (need to lose 8lbs)
11. Have 10 No spend days
12. Get 3 avon orders
13. Get furniture into cottage
14. Sell 10 things
15. Pay £100 extra to debts

Debt Goals
1. Pay off Very before 0% ends in March
2. Pay off Husband before end of year
3. Pay off dad before 0% ends in September 19
4. Reduce Tesco to £5000 before end of year
5. Reduce Barclaycard to £12500 before end of year
6. Reduce MBNA to £10000 before end of year
7. Reduce Creation to £1900 before end of year
8. Reduce RBS to £3000 before end of year
9. Ideally reduce total debt to under £32,000 by end of year

Am going to go and try and get some sleep, this is the last night im going to have to spend on my blow up my mattress as my furniture comes tomorrow... Tomorrow is going to officially be the start of my new life! Can't wait....

Raldo xx

pidge04

So pleased you are back! I was just wondering how you were doing actually. Sounds like you are so at home in your cottage. Sounding focussed and ready for next steps!

raldo

Thanks I’ve actually had a really bad day today... my furniture was delivered but I got rather emotional, then the estate agent phoned re the sale of the house so I’ve spent most of the day feeling rather alone and rather down and in tears.

So much for me feeling positive and focussed just let everything get on top of me today... today was supposed to be the start of my new life and I feel like I’ve completely let myself down today.

I’m hoping that tomorrow is going to be a better day... I need to be more positive just need to start believing in myself xx

AliceBanned

Hi raldo, just read your thread and wanted to say you seem really focused and determined. Don't be hard on yourself.


You are going through major change and this is stressful so you are bound to get emotional at times.


Has the house sold?

raldo

Thanks
I’m always too hard on myself one of my friends told me that a few days ago just always have been need to work on changing it.

The house has only just gone on the market so no news on that front as yet
Just trying to sort myself out again I’ve had a pretty rough week last week so need to get myself back on track. Lots to think about... will try and post more regularly x

pidge04

Really sorry to hear you’ve had a hard week. So much change for you to process and get used to. Take good care of yourself.

raldo

Hey
It’s been quite a while since I’ve updated and I’ve loads to report.
The house is sold, mortgage paid off, lawyers bills and estate agents bills all settled and I was even left with a bit of cash. Not much left now but I’m trying to hold onto what I can.
I’m settled in my lovely cottage I have the best neighbours and such a relaxing environment to live in (as long as I don’t venture into the spare room!)
I’ve moved back to my old job even though am still getting paid at my higher grade till March they wanted me gone and at the time I was so upset but I’ve been in my old job for a month now and although I have no clue how to do it anymore I’m in a different office with people that make me feel welcome and like I matter. So that’s a nice feeling.
I’ve eaten way too much rubbish over the past 7 weeks and when I weighed in this morning I’ve put on 8.5lbs and am 6lbs out of target so looks like I will be paying for a few months till I can get the weight off again.
I’m still in debt... no surprises there but a little bit less than I was when I started this diary.
I’m rather worried about the future as much as I love my cottage and am enjoying my job I’m short each month for bills and debt payments and it’s going to get worse come April when my wages reduce.
Debts as they stand today are as follows:
MBNA £10550.00
RBS £3099.00
TESCO £5200.00
CREATION £1880.00
BARCLAYCARD £13150.00
VERY £50.00
Total Debt Outstanding is £33869.00 and DFD is February 2028 (110 months paying £600 per month)
I’m order for me to be debt free before I’m 50 I need to take another 2 months off that date! Now the way things stand at the moment my minimum payments are way more than £600 but am hoping that before April they will reduce a bit so that I have a bit of breathing space.

I have set aside the following savings for the one off yearly expenses so that I know these can be paid for 2019 at least
Car Insurance £800 (£400 for this year and £400 for next year as it’s due in January and I really don’t see me being able to afford anything out the budget to save for this for 2020)
House Insurance £60
Car repairs £250
Opticians / Dentist £200 (I really need to go get my eyes tested and get new glasses)
Road Tax £120

I have cut down the number of savings jars I have for things as some things I just don’t need. I now have the following:
Electric £15.00
Gas £150.00 (see below)
Pressies £5.00
Debts £0.00
Petrol £10.00
Christmas £5.00
Morrison’s £47.00
Asda £74.00
Holidays £5.00
Holiday spending £1.73
Emergency Fund £15.00 (also known as shortfall)
Clothes £5.00
Food £25.00

My gas bill for cottage for 2 months was £243!! I think there has been a fault with the boiler as it keeps coming off the timer and coming on when I’ve not been in this has only been noticed when I’ve been off over Christmas so it looks like my heating has been on during the day when I’ve not been in. I’ve reported to landlord and am awaiting them coming out! I’ve not paid this bill yet although I do have the money in the bank for it.

Here goes with my budget:
Rbs account fee £2.00 (I get at least £3 a month back so worth paying)
BT £24.99 (internet as remote area can’t get another supplier)
Creation £21.77 (sofa has another 2 years to go)
Postcode Lottery £10.00 - can be cancelled
Water £14.76
Rent £600.00
EDF £40.00 (had a smart meter installed so think this is quite accurate)
Sky Protect £11.99 - not sure if I can cancel this due to contract need to find out
Sky £57.00 (can’t get normal tv or freeview due to area and internet not good enough for streaming)
Council Tax £81.00
Car £104.41
EE £20.00
Food £100
Petrol £100 (this can possibly be reduced if car sharing with neighbour)
Gas £60 (gas is metered to the estate so can’t change supplier)
Total £1247.92
Debts
MBNA £187.00
Tesco £107.00
Barclaycard £350.00
RBS £77.00
Creation £20.00
Debts total £741.00
Bills and debts total £1988.92

Income £1695.00 & £10.00 = £1705.00 = £283.92 a month shortfall based on current wages
From April Income £1440 & £10.00 = £1450.00 = £538.92 a month shortfall

I have £2300 left from the sale of the house so that will keep me going until May/June based on the above figures and nothing being changed.

I know that my rent is high but if you saw the place I lived and the difference it has made to my mental health it is definitely worth the cost. I have looked at alternatives and for a decent one bedroom flat in a nice area I’m looking at between £525 to £625 a month with a 6 months lease and no security. The cottage is available for as long as I want to live here and I really want to stay so I’m just going to have to come up with some decent ideas that can allow me to continue to live here.

I have a rather full stock cupboard and freezer so in reality the food money I’m hoping not to have to buy anything except from bread and vegetables every week till at least Feb which I’m hoping would be no more than £5 a week that would be £75 saved for Jan. Petrol if I can car share with my neighbours then am hoping maybe £25 would do me for Jan I’ve a few days booked off and we work in the same building so only really need to take my car into work once or twice a week at the most. So that could be another £75 which is half way towards what I need for Jan.
I have a spare room full of stuff that once I sort out I can make a start trying to sell to bring in some extra money.
The big thing that I can do to try and get some more money coming in is look for a better paying job or a second job to supplement my income. I really don’t want to have to move so I’m going to need to come up with some big savings or other ways to make some money.

Sorry for the super long post and if you’ve read to the end I applaud you and apologise
Raldo xx

pidge04

Wow, a lot has happened! Really pleased to hear you are happy in your new home and things are better at work.