Working Hard Debt Diary - Here goes

lucielle

Sorry to hear your chaps have been poorly, at least they wont want to go anywhere and do anything. So looking on a positive note a cheap day. My guys break up on Thursday and Friday. Hope the weather improves.
L

WorkingHardDFW

Thats so true and the weather is pants as well so.............

WorkingHardDFW

One job off the list. I've just renewed the pet insurance and knocked £30 off the renewal and got £18 cashback on its way.

On the downside I've just transferred £130 (:eek: ) out of the loan kitty to cover two cheques written out for school trips. I've also organised (yes I do not its slightly anal) a schedule to track the payments. I've got four months when I need to fund the one set of payments from ebay sales (Nov through to Feb) since I've allocated £40 for school trips! I may as well keep that going now since after my DD with will be my DS's.

firesidemaid

well done on saving almost £50 off the pet insurance.

i'm so anal that i actually look forward to my insurances being renewed so i can see how much i can save and how much cashback i can get:rolleyes: - well, it has to be renewed, so why not make money from it!

WorkingHardDFW

I'm the same now as well - its got to be a positive!

I have finally sorted out my issue with the Cahoot loan, loan payment kitty and the MBNA card. I finally figured it out last night, it was seriously giving me some grief which is sad, since I was sure I was missing a trick. Well finally at last I've got it, and it will go as follows:

• Pay off the MBNA Card balance currently £1300 against a £9900 limit with the loan kitty which will be £1100 when I'm paid next week:D
• Settle the Cahoot Loan next week which is £2200 (APR 5.8%) at present with a CC cheque on the MBNA CC for 2.9%pa until 4/09
• This will leave the Cahoot loan settled and the MBNA card with a balance of £2400
• Clear the MBNA card off using the ordinary monthly repayments of £292 + £287 (pre Cahoot payment) + £200 (ongoing non payment of childcare) for 3 months = £2337
• Use the extra money that I will get paid in Nov & Dec as extra payments off the IF card (Balance £8704, APR's 0.013% & but most at 16.94%:eek: )
• Once the MBNA card is clear use whatever BT offer comes along to BT as much as I can, possibly all from IF to MBNA and then work out what becomes my target card to clear with the max monthly repayments

I hope all of this is clear. For us its about reducing the interest rates as much as possible so that we are reducing the debt as much as possible as each month goes by. January will see the amount we have to throw at the debts significantly increase, due to my new hours, however I think some of our budgets like food and petrol will need to be increased as well plus our new mortgage payments are £100c more per month.

lucielle

You have got your head round it and that's what counts. Any movement with OH on the conservatory?
L

WorkingHardDFW

Yeap I certainly have got my head around which is what is important.

Ref the OH and the conservatory. No he's not really changed his position on it but the comments about it will increase over the weekend when we are all around more. I think we both know that its a non starter until next year when we will really be on the home run. I feel that if we can wait until Jan we might be able spend some money in the sales (!) which we should be throwing at the debts. Thats not ideal and I think I'd rather be clearing it off the debts but the room really is useless with no seating in it! I guess its all about compromise....!!?

Verbatim

How about a throw to cover the sofa with a rip instead?! Or is it too awful? Sorry to be negative.

I think I've missed something in your plan......why pay off the cahoot loan @ 5.8% before the IF cc @ 16.9%? I expect there's a good reason and I probably need to reread back a bit.

You've done stonkingly well in a year though.

WorkingHardDFW

Thanks Verbatim.

There is a good reason although it's my logic and best feeling rather than pure mathematical reasoning.

The cahoot loan is nearing its end and therefore its taking a large proportion of our debt clearing funds v its size. By freeing up the monthly loan repayments it impacts significantly on what can be thrown at the other debts sooner.

Equally since the balance on the IF card is on different rates it will clear the lowest rated bit first before the amount at 16.9%.

What I intend to do is check with them how much is on the lower rate (something quite small if memory serves me right) and pay that off in Dec/Jan then set about BT the rest to a better rate.

As I said is may not make mathematical sense but we will achieve paying off a loan and a CC be the end of the year :T . Additionally we'll have the CC space to BT the biggest debt to a better rate as well.

WorkingHardDFW

Sorry Verbatim I forgot to mention....ref the sofa one of them is way way beyond a throw. The other is covered with several throws already and is useable despite the huge rip in the cushions!