Becoming obsessed....

EssexOstrich

Thank you everyone! I'm definitely feeling better today.  I'm happy with the progress so far and know I'm lucky to have been able to pay off what I have. I'm so glad I'm not the only one staring at the figures as if they've magically changed since 10 minutes ago 

MidsHollie

Hi Essex Ostrich, 
I’ve just read through your diary from the beginning, you are doing so well! 

I know that Martin, and some others say about paying debt with savings, but some people (myself definitely included!) just need to get out of the habit of using credit. And I have done this reasonably successfully by having a small emergency fund. 

Could you encourage your kids to take more responsibility of their own finances? I worked whilst at uni (it did me no harm) and actually made my mum stop giving me my “allowance” as I just spent it on rubbish! It might help take the pressure off you, whilst giving them some responsibility. 

I think you would be best focussing 100% on one debt at a time. Pay all of your minimums today each debt, then pick one and put everything spare towards that one. I find it useful to pay the debt off on payday, and then do a double check later in the month to check if there is a bit spare to go towards the debt. 

Keep going!

savingholmes

I tend to stare at my spreadsheets hoping for a different answer too. You have made stunning progress in a short period. You will get there one day. At one point I owed more than double what you do now... I am now below £20K. It will happen if you stick with it - and build in a little fun £ along the way.

EssexOstrich

Hi everyone,
As expected I've had a few months absence. We had a commitment to pay my eldest's university rent for July, August and September, which at £520 a month has slowed us down for any debt overpayments. But I'm back and have made a brilliant start by accidently overpaying a loan repayment...by the full balance!!! I didn't notice the radio button had defaulted on to the full payment of £1004 so that's it, it's gone and so has most of my emergency fund which has saved my backside  
I'll post some updated figures later but for now, my debt is currently standing at £21400.27. Still an amount that makes me flinch but heading for £10k less than at the start of this in April. Lockdown helped HUGELY, as has the absence of a holiday this year, but the thing I'm most proud of is that I haven't added to the debt or used the credit card since the start. My aim now is to get below £20k by the end of the year. Sounds do-able but with my youngest's driving lessons, my eldest's 21st and Christmas it feels a way off! At least I'm £1000 down from where I should be 

savingholmes

Great op . Good to have knocked one thing off your list

EssexOstrich

I came on today for a little look and noticed it was exactly 6 months to the day since I joined and started my own journey soooo 6 months later...

Despite the shock and dread of seeing the figures written down when I first took my head out of the sand, I can't believe what a difference it has made to my mindset doing this and facing it head on. If anyone reads this who hasn't been able to deal with it, please give it a go. No matter how big the debt or how much you can pay each month, having it tidy and staying on top of it really does make a difference to life.
So 6 months later, nothing has been put on credit cards at all since the start of this mission and the overdraft has stayed cleared with balances all positive (sometimes it's literally scrapping positive by a couple of pounds but still not overdrawn!). The overdraft was at max with that monthly 'pooing my pants' feeling in the week before payday for years so this makes me happy.

The interest free offer runs out on one of my cards on 1st of November so have just arranged for that to be transferred to a 0% for 18m with no fee woohoo, which is enough time to clear that one. Old me would have ignored that for at least a year and let the hideous interest rack up.
I know I've been lucky in this little journey in that lockdown helped us financially, as did the lack of holidays and suchlike this year, and I also started a new job quite early on that offers overtime so I've been able to do much more than I could previously but I'm still proud of the progress as it wouldn't have even occurred to the old me to pay any extra cash of boring old debt!

New figures:
Loan1: £6000 (3.9%) -  now £5326.98
Loan2: £3227.28 (6%) - now £2766.24 (stupidly took a 3 month Covid break grrrr) 
Loan3: £2592.47 (6.9)  - £0!! Paid in full, albeit the last £1000 accidently but it's gone
CC1: £9196.90 - now £8061.60
CC2: £2820.06 - £1590
CC3: £2705.36 - now £2196.47
CC4: £2338.03  - now £1190.39
CC5: £556.59 - 16.9% - now £0
Storecard1: £234.61 - now £0
Very: £225.07 (BNPL - now £0
Paypal Credit: £157.75 - now £0
Overdraft £2000 - now £0

Total: £31852.73 - now £21131.68

Overpayments will now go towards CC4 to try and get rid of that before the 0% offer runs out in February as I really don't want to take out any more new cards now, then loan 2 which has the highest interest rate.
I started this hoping to be debt free in 5 years, I'm now daring to hope for 3 years which for me is amazing seeing as some of this debt is probably 15 years old already. Keeping everything crossed I've finally learnt my lesson.

WinterWarrior

That’s amazing progress in 6 months. Well done! 

EssexOstrich

Now the finances are under control it's time to address the other biiiiiiiig pounds in the room! Having started a new job during the last lockdown and happily trekking to the sandwich shop every day for a meal deal plus chocolate and cake, I've piled on weight and lost a lot of money. My weight has been a battle for as long as my debt, although not as secretive, and my diet starts are infamous so most people roll their eyes when I announce I'm on one  

I'd like to lose 3.5 stone. Trying to set small goals as the thought of 3.5 stones makes me want to eat a whole battenburg so I'm aiming for 5% by the end of this crappy lockdown and at least a stone by christmas. One week in to the diet and I've lost 4.5lbs (2%) but this is mostly by eating the same every day which obviously will send me crazy very soon. 

On a side note, it always baffles me why I'm willing to spend near on £5 a day for a naff sandwich and bag of crisps, plus £3 for a coffee but balk at the thought of paying £2.50 for a pack of chicken that will do at least 3 lunches and £4 for a whole jar of coffee!!

I am also allergic to exercise.

Seasidegal58

I think you must be related to me.......😂

FOMO_overspender

Amazing six month progress! Well done. I am in very similar position and have also managed to keep out of the overdraft, if only by a few pence, and not add to credit. It's been a real game changer. Cheering you on from the sidelines for the rest of the debt and also starting the diet, I am the same with running -  I start and then give up a few weeks in!