The Best View Comes After the Hardest Climb.

RosaBernicia

What's the repayment penalty?  Is there a reason not to just clear the debts with savings and build them back up asap, with a clearer credit record? 

Buffythedebtslayer

RosaBernicia said:

What's the repayment penalty?  Is there a reason not to just clear the debts with savings and build them back up asap, with a clearer credit record? 

I borrowed the money to buy a car. I can't use the ISA savings (penalty) and there aren't enough in the other savings to buy a car. Also those savings are for my future. I ignore them day to day.  At the time (December) the crisis in the cost of living wasn't a thing and I needed a car that wasn't going to cost fortune. I have thought about paying it back I really have. I worry a lot about the car breaking down. It is 22 years old. I love it but it is a big possibility and so it is like a safety net. I kinda came to the conclusion that if I had to leave my job  I would pay it back regardless but otherwise keep it as an in case thing - if he turns up a car. The argument against that is my car mechanic thinks the cost of second hand cars is pretty ludicrous and hasn't found anything..... 

I need to cook dinner. Brain hurts. 

RosaBernicia

That does sound complicated - have I understood right that you have:

ISA savings (for the long term, can't be withdrawn without penalty)

Other savings (could potentially be set against debt)

Car loan money (needed in case of needing car, still as a loan?  could be in high interest account earning interest until needed?)

Time for a SOA review? 

Willowtree222

RosaBernicia said:

That does sound complicated - have I understood right that you have:

ISA savings (for the long term, can't be withdrawn without penalty)

Other savings (could potentially be set against debt)

Car loan money (needed in case of needing car, still as a loan?  could be in high interest account earning interest until needed?)

Time for a SOA review? 

I think this is right. Second hand cars are holding their value at the minute x

Jellytotts

I'd pay the loan off and worry about a car when the time comes or keep the loan and make a supreme effort to get a car sorted in the next few weeks.  Seems daft (to my mind) to have a loan for something you're not actually spending it on.

Buffythedebtslayer

RosaBernicia said:

That does sound complicated - have I understood right that you have:

ISA savings (for the long term, can't be withdrawn without penalty)

Other savings (could potentially be set against debt)

Car loan money (needed in case of needing car, still as a loan?  could be in high interest account earning interest until needed?)

Time for a SOA review? 

Car loan money is in the savings account with other savings so is earning interest such as it is these days. 

It is fairly daft to keep it. I go back and forth over it. But I know me, I don't save that well. I couldn't save the amount needed for a car. I worry that in the future the interest rates will be higher with how things are. This one is 3.5%. I know I need and will have to pay the money back in the future, why not start now with a low interest rate. I can see how it is not for everyone. 

beanielou

Fab news on work  xx

Buffythedebtslayer

Buffythedebtslayer said:

RosaBernicia said:

That does sound complicated - have I understood right that you have:

ISA savings (for the long term, can't be withdrawn without penalty)

Other savings (could potentially be set against debt)

Car loan money (needed in case of needing car, still as a loan?  could be in high interest account earning interest until needed?)

Time for a SOA review? 

Car loan money is in the savings account with other savings so is earning interest such as it is these days. 

It is fairly daft to keep it. I go back and forth over it. But I know me, I don't save that well. I couldn't save the amount needed for a car. I worry that in the future the interest rates will be higher with how things are. This one is 3.5%. I know I need and will have to pay the money back in the future, why not start now with a low interest rate. I can see how it is not for everyone. 

Tho saying that I just found a loan for 3.4 %.... 

Right at this point I could spend an evening looking at loans etc. OR just watch Dune with Mum and carry on with the plan. 

I appreciate it is a bit bonkers. but hey ho. I own five rabbits. Nothing is sane any more! 

Buffythedebtslayer

Got up pretty early, it is a lovely day, went to see the rabbits, they are slightly excluding the sick boy.... which is a worry. but he is eating.It is the foster girl who is an issue really, she chased smallest bun, then picked on her original pal (sick boy) and sometimes chases off my girl. My handsome boy is the only one she is interested in. Trouble is he loves my girl and doesn't mind anyone else, was friendly with smallest girl etc.  Herbs seem to make sick boy sneeze, I am still hoping it is his teeth and not snuffles. My hands smell of the mint I picked them - its not a bad life really. The piggies had grass and now I have a cup of tea. 

Today I need to clean out the animals and got to the tip! just for a change. ooo I really need to do my washing too. like seriously. no leggings available! 

 

Buffythedebtslayer

and I need bacon. and bin liners. 

Also I organised my standing orders yesterday re savings. Hallyfax have a handy future payments thing on their bank page and i should be ok to pay an extra 200 minimum. 

Now for the washing mountain. 

Am watching Sunday morning with Clive Myrie. I can't believe the Russian diplomat can lie so much. The world is truly insane.