Here’s to the future...

Four_Seasons

You are doing so well, be proud of what you have achieved so far, you are all set for more debt reductions in 2021 - all the very best for 2021 x

Scloud

Naomim said:

My LBM was the same time as yours. Whilst I haven't managed to knock as much off the debt as you I did start straight away on the savings pots. Like hairdressers, car services, insurances.  It's so good to know the money is there for when it's needed.

It sounds like you have a good solid plan in place and good your OH is on board. Mine's not taking an interest but happy the figures are coming down 🙄.

Keep up the good work in 2021.

Naomim 

I've been following your diary and you've been doing an incredible job! I feel like this first year has been the hardest and as time goes on it is going to be clearer just how much we have achieved. It's so helpful to read diarys of people who started debt busting a similar time with a similar mountain to climb. I find it really motivational.
We are privileged to have had promotions each this year and only having 2 in our household currently means we can make bigger savings I think. We both came with our own debt when we joined finances so I think that helps sharing the load although I am definitely the one who is obsessed with budgets and spreadsheets and can't stop thinking about debt!

Scloud

Four_Seasons said:

You are doing so well, be proud of what you have achieved so far, you are all set for more debt reductions in 2021 - all the very best for 2021 x

Thank you! I've just looked at my first spreadsheet and we have reduced our minimum payments by £500! In November 2019 we were overpaying by £146 and now we are overpaying around £650! I still is a slog but its great to look back and start to feel like we have actually made some steps in the right direction. 

Naomim

This is the longest I've ever stuck to it which tells me this was my true LBM and previous efforts were just flickers of being aware I needed to do something and going half hearted. The pandemic has helped for us as £400 a month isn't going on commuting as both MrM and I are wfh.

I've just started with ynab and as much as I like a spreadsheet,  its really put into perspective where I need to put money. 

Sarahwithlove

Ynab is a game changer if you can get your head around it. I wouldn't be without it now. 

Scloud

End of the month - February is such a joy compared to January - the end of the month seemed come up so quickly! Feeling positive this month as we have hit a few milestones, plus it is sunny and feels like spring so I definitely feel like I am emerging from a dark hole at the moment! 
Starting Debt: £52,803
February 2021 total: £39,970 
Total paid: £12,833 24%
We've broken though the 40k barrier and also with the first payments of March on their way out we have hit 25%! One quarter of the way there! I know that means another 4 years at least ahead of us but it feels like such a huge milestone! We have come so far I can start believing that we are going to make it. 

I've adjusted the budgets once more (of course) to give us a bit of extra spare money each month - our spending pots are up and running and filling nicely and it feels better to have got to a place where I don't feel deprived of the things I would like to spend money on whilst still getting the debt down. We will still be paying off between 1,000 - 1,200 per month depending on how interest rates go. We had some good news as one of our cards that always gives a balance transfer has upped our credit limit. It means that in July when we have a transfer offer running out each month we should be able to do a clever juggle and keep everything on 0% interest. Still waiting on a transfer offer for the final amount paying interest so fingers crossed that comes through soon. I have 2 empty cards and just waiting for one of them to offer me a transfer. 

So all in all - happy spring everyone! 
 

Scloud

Returning after a long summer of avoiding our debt problem! When we started this journey it was due to us wanting to start a family and realising the extent of our debt problem meant we were not going to be able to afford maternity leave and that we were in a very shaky position financially. That was a great motivation and we made a great start paying 10k off in the first year. 

But now infertility has become our reality and it's really really hard. 

The debt is going down, very slowly, but it is going down. However, our spending has gone up. With things opening up after covid I don't want to stay in my empty, quiet house. I want to be out doing the things you can't do when you have children - because right now this is the future I am facing. I want to surround myself with lovely things and say yes I will have that, yes lets go and do that because so much of my life is "no - not this month sorry" disappointing.

We are lucky that we are a heterosexual couple so we get a round of IVF on the NHS so we are looking towards that. I feel like I need to pull myself out of this spiral and start thinking past the immediate and get back on the debt reducing horse! I hope that I will still need to save for maternity leave and we want to buy a house one day so time to get debt focused! I have even completed my first prolific survey this morning! 

Debt update:

LBM November 2019
Starting Debt: £52,803
September 2021 total: £36,471
Total paid: £15,683 29.9%