Crunchy pays off the loan early, and other stories

shoppingobsessed2020

sounds like a good day sorting out the money and the holiday.  

sorry that the little one was poorly, sometimes a mum day is needed regardless of the financial cost.

crunchy_time

Morning!

I just had a look at the beginning of this diary as it’s been just over a year since I started it. We had £18,150 of loan (excluding car) and £300 overdraft.

we have paid off £8367 of loan in the last year and no longer have an overdraft!!

That’s an average of an extra £160 a month over and above the minimum payments.

I’d like to halve it again in the next year and be down to £4000 of loan - that’s the house stuff and the consumer debt. 

Off to friends today for bbq then a family day at home tomorrow.

Crunchy xx

Rgib89

Morning crunchy,

Well wow congratulations at how far you have come. I've just sat and read your diary from start to finish and looking forward to following you on your journey. 

X

Aspiration

Crunchy awesome progress!! 

crunchy_time

Evening all!

Feel like I’ve had a revelation today that I want to mark in this diary.  

For a long time now I’ve wanted to do a masters and gone through a journey of discovery exploring in what side of education I would like to work in next - senco, education and development, etc etc. I’ve finally decided on specialist teaching in dyslexia and gone so far as deciding on a course. I’ve done some exploring of the finance side of things and it turns out that I would need to pay for it myself. The course is 15 months and would cost £4500.

Ever the supportive husband, the husband suggested I do it in September and ‘just get a loan out’ to pay for the fees. Remember how he doesn’t mind having some debt?

I started my application recently in so far as I have a log in to the uni and I looked into what was required. But now I have stopped. I don’t think I can do that to myself again.  Get into more debt to try and get a better job and make more money. 

It can wait another year and our debt will be significantly less than it is now. I will have way more experience in my current role to contribute towards the course and hopefully we will have had no more lockdowns throwing my habits and routines off course so I would actually believe that I can do it.

So.... in the 1st May next year I shall revisit this idea and decide whether I want to progress with it further.

In the meantime - let’s get rid of as much of the rest of this debt as possible!

Crunchy xx

WinterWarrior

Well done Crunchy, it’s great to have a plan. If you still want it next year then you’ll know it’s really right for you. It’s almost like the old waiting to make a big purchase trick, if it’s still important then go for it, if it’s not then move on ⭐️

DayDreamerandGeneralWaster

Congratulations in your progress over the past year 👏

shoppingobsessed2020

amazing progress and good decision re waiting for the masters.  a year will fly by and you will be in a much better place when you come to do it next year.

crunchy_time

Afternoon everyone.
All our recent financial decisions and making me feel very good at the moment.  So good I've decided to shake things up again!
I'm struggling psychologically to figure out how we would pay £4k of consumer debt as soon as possible but also have a life.  With things going back to some normality it is not gong to be as easy to chuck as much money at the debt that is above the £556 of minimum payments we are currently paying for each loan.  It would be so much easier if, on the spreadsheet, the minimum payments are counting down the consumer debt. They were but then I changed it and now I am chaging it back.
I have worked this out and if we manage to overpay £800 We will then be consumer debt free by Christmas and can start the new year off with £10k of car to pay off and £5k of house debt.  As well as the 0% credit card but it will be so much neater and I won't have the consumer debt hanging over my head.  We could choose of overpay one of those then as well or just save up money until we are debt neutral and pay off a loan early.
I know I keep changing my mind about our strategy.  Life has been so up and down recently it has bound to have an impact on how we feel about our finances.
At the moment I am enjoying having a slushing fund - it is currently at £130 and will be topped up when we get to my pay day on the 19th.  Although we will need to pay off DS's new bike at £150 for his birthday which is coming up.
I've started doing online shopping again and of course it is saving time and money.  We are sticking to our budget which is good.
Lockdown has been rubbish but it has definitely helped me focus on what I want out of life and what I want to spend my time and money on.  I'm not trying to cram so much socialising in at the weekends and only doing the things that bring me joy.  Even if it breaks other people's expectations of me.
Crunchy xx

WinterWarrior

That sounds like a great plan. I’m always tweaking mine, I think it stops me getting bored and then losing interest.