Crunchy pays off the loan early, and other stories

pennywisepoundstupid

Sorry to hear about the emergency car repairs, sounds as though you have things under control though xx

crunchy_time

pennywisepoundstupid said:

Sorry to hear about the emergency car repairs, sounds as though you have things under control though xx

Thanks and yes - more than ever. Something has just clicked this year. Xx

crunchy_time

Right, here’s the plan. Current debts 

Husbands loan £12,098 paying £269 a month 4 years
My loan £15,018 paying £262 a month 5 years.

Between these loans there is £17,531 of cars, £7,044 of house renovations and £2541 of interest unless we pay it off early.

Husbands 0% card £2494 paying around £60 a month until April 2023.

My 0% card £980 paying £25 until Nov 2022

Husbands overdraft £850. It cost over 30% of interest though so this has got to go ASAP. You can reduce in £50 increments so having this as min payment. 

Sofa loan at 0% £619 £40 a month until May 2023. 

So all in all we have min payments on debt per month of £710 but have decided to up it to £810 to get rid of the overdraft ASAP. And then we are going to snowball in this order.

Overdraft
My 0% card
Sofa finance
Husbands 0%

And then the loans.

Everything else left over is going to go into pots and an emergency fund that is easy access. 

The spreadsheet is telling me that those 4 can be gone by the autumn so that is the plan and we can reassess then.

Crunchy xx

crunchy_time

Sorry, not the top 4 done by autumn, the top 3 x

crunchy_time

Signature signature updated!

I have taken out the loans and long term savings for now.

Lets get cracking! To be honest, cracking is just limping through till husband gets paid on Friday without spending any money.

pennywisepoundstupid

Well done on sitting down together and organising finances.

enthusiasticsaver

What a nuisance about the car repairs having to go on the overdraft.  Is it worth looking at a 0% money transfer card?

crunchy_time

enthusiasticsaver said:

What a nuisance about the car repairs having to go on the overdraft.  Is it worth looking at a 0% money transfer card?

We already have the overdraft now so going to get it paid off as soon as possible.

crunchy_time

Evening all!

Minimum payment has gone onto my credit card reducing it by £25 to £955.

limping through to pay day. Going to have to swap cars for the next few days as I’m low on fuel and got further to travel in mine!!

Crunchy xx

crunchy_time

Evening all

We are really low on fuel and limping through till payday on Friday so going to have to use credit card to get us through.

I'm so done now with us having to do this.  We need a proper easy access emergency fund.  It all feels very squeezed at the moment.  I think we used to absorb these spends into the extra at the end of the month but running these extra payments is squeezing us.  I'm going to save £500 in an emergency fund first before we hammer the debt as per the plan above.

I thought things would be easier once we had paid off the consumer debt but I didn't envisage this big squeeze happening nor having to buy a new car, car repairs and the like so early on in the year.

It's really highlighted to me the importance of having savings now so I am going to work on this.

This feels like another light bulb moment for us.

Crunchy xx