Oh pants I messed up BIG!!!

jackieblack

Broke_Bear wrote: »

Ok so I rang the CC companies today to get the breakdown of deals and rates etc. Here is the depth of the damage:

BC
£10,531.80 - Balance
£8345.77 - 6.9% for life of balance
£2163.47 - 17.68% standard rate

T
£6,776.15 - balance
£5,695.78 - 0% until 30/11/2020
£1,049.00 - 0% until 31/08/2019

M
£6,422.11 - balance
£6,270.84 - 4.9% until 01/04/2021
£146.16 - 0% until 01/10/2019

V
£5,462.32 - balance
£5,462.32 - 0% until 30/09/2019

L
£25.89 - Balance

£29,218.27 as at September 1st 2018
0% paid off
78% utilisation

I just need to work out in what order to tackle this. I'm thinking, to keep the BC as a fixed payment for the amount I am paying now (just above minimum rounded up to pound) and as the balance decreases it will be overpaying but otherwise leave alone. The L card with only a tiny balance will be wiped on payment this month as I changed the DD last month to take full balance knowing it would be clearable this time round. That just leaves the other 3.

I am thinking to throw everything at the V card as this has the shortest date for the highest amount ending next year. I spoke to T and what I am paying off each month is going off the balance with the shortest date first so if I set that for £100/month then the smaller part will be cleared (just about) by the time the rate ends on that bit. Again, if I sent the M card @ £100/month. Every other penny i can muster will go off the V card which will be approx £160-£200/month and then do a bit of shuffling between the other 2 hopefully for new promo rates for what is left at the end of the 0% on V.

Sorry for the long ramble and I hope this makes sense, I would appreciate any thoughts on the action plan??

As you have already arranged, I too would get rid of the little one, L, straight away so you only have 4 debts to tackle, not 5.
Then focus on the BC as that is currently the most expensive/highest interest rate.

Can you find out what rate you will be charged when the 0% finishes on the others? That would be useful information to have in order to prioritise which debt will cost you the most to service.

Igamogam

I found the link for the snowball calculator HERE

Broke_Bear

Thanks for the link Igamogam, I have just put all my figures in there and the calculator says I can clear this in 57 months which is just under 5 years, I think if I can do it in under 6 allowing for the unexpected I will be a very happy bear!!

Looks like I was kind of on the ball with the way to tackle it as my payments off the cards go to the highest interest first so the high min payment on the BC is all going to that part of the debt anyway. Then basically go at them and do the CC shuffle as needed to keep the rates as low as possible and snowball, snowball, snowball.

Well another NSD for me today as getting everything ready for going back to work after the holibobs so only went out once to visit Mumsy and she wasn't even in (she had taken the Nephews' to pizza hut - had I gone earlier i would have had a nice lunch out but missed the NSD).

Feeling a bit more positive about my mess today and looking forward to the DD's going out, the new statements coming in and being able to update my BSN to a fractionally smaller one!!

Broke_Bear

OK last day off work today, can't say I'm looking forward to going back. Today will not be a NSD as me and OH are off out for the afternoon to wales so I'm pretty sure there will be a brew in there somewhere and possibly a bag of chips for tea whoop whoop.

Willing2Learn

Well done on setting up the snowball!!

curlytop12

hi, good luck with this! you will get lots of great advice on this site.
glad you looked at snowballing. and remember to cancel the account for the L card when you have paid it off.have subscribed to cheer you on.

Broke_Bear

Hi, thanks for the support everyone, I'm gonna need it on the bumpy road ahead!!

Well a lovely afternoon out and the only damage was a cup of tea and a scone in the hills above Llangollen (that and a sore bum off the motorbike!! haha). We decided not to go for chips and are having jacket spud instead at home as we had them in.

Now to add the cost into YNAB and keep everything on the straight and narrow

Broke_Bear

Well 2 days down and 2 to go to get to my one day off. Currently on a major job hunt as i'm going out of my mind with my current place and feeling trapped there due to my BSN!

It was an NSD yesterday for me but didn't quite mange it today currently on 4/20 for this month.

Had a bit of a wobble yesterday with the BSN hanging over me but feel a bit better today. Can't wait for all the payments to have gone out and new statements to be produced so I can update my scores on the doors and see how much has come off.

Broke_Bear

Well that is 2 more NSD's for this month so far 6/20
Off down south with work tomorrow until Wednesday night so likely will be spending but can claim back on expenses

It is taking forever for the new debt statements to be produced so I can update the BSN. Soooo impatient

Scott-Weiland

Good luck on your journey

One question have you done a full Soa? You could post it here so we could tweak it slightly maybe.