True LBM, December 2019 = £32934. Current Debt = £12762. 1% Challenge = 61.1%. #51 3-6 Month EF Challenge = £1200/£6000
I knew I'd pick up some good tips from your diary. I really like how you set individual targets for parts of your debt (getting below certain thresholds) AND you make it sound like a fun challenge too. I'm going to use that idea instead of just chipping away at a big scary total. Thank you for the inspiration, keep going!
FootyFanDan wrote: »
Quick question you use the snowball for debt are you just paying a set amount and then paying of a chunk to the cheapest debt or are you just putting all your debt money to one debt and then moving on after that is cleared. I am struggling to make a choice on the best way haha. Keep up the great work
MidsHollie wrote: »
I am paying minimum payments a on all my debts, and then everything spare goes to the smallest debt. I'm lucky that currently all my debt is interest free, but even if it wasn't I think I would still use this method for the motivation. So here is what I have done:
Barc balance £100 - paid off first, now £0
V12 balance £267 - paid second, now £0
HFax balance £600 - all spare money going to this. This has come down from £1800 at the start of Jan
Virgin balance £2300 - minimum payment of £25 getting paid to this
Car Loan balance £8200 - minimum payment of 300 to this
Family Loan £19500 - no minimum payment for this, so nothing getting paid to this.
Once Halifax is paid off, all my spare money will go to Virgin. Once that's paid, all will go to the car. And once that's paid, it will finally be the family loan, Once I get to the family loan, as it will be my only debt, there will be at least £850 a month going to it, so although it looks like a huge amount now, it will drop considerably each month as that will be my focus. Does that make sense?
Just read your story so far, you’re making great progress, will subscribe when I’ve worked out how to in the new forum! hopefully I can take on some of your motivation :-)
WEll done on your journey so far. It seems like you have a plan and are sticking to it fairly well. Good luck.
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