Mrs. P's Savings, Paying Off CC, being more organised diary

MrsPorridge

I've now taken early retirement.  Sadly I've built up CC debt yet again, but is only on one card and it is the only debt I have now.  I really need to get this paid off, whilst also saving and making ends meet so I don't need to use the card again.  I have decided not to stress and panic about over-paying (which is what I have done).  This has led me to being "short" and then having to use the card to live off!  I have got myself a new system and hopefully that will now work.

I have one big holiday/Festival I attend each September, so I know how much it is going to cost and I need to save each week/month so that when September comes around I can pay for it and enjoy it and not have to use the CC.

Regarding the CC, I have decided to pay off the minimum payment, plus the interest each month.  

DH will be getting his Govt pension in April so that will be a big bonus as we are both living off private pensions at the moment.  We have had to dip into savings - we knew this would happen, but its still a shock to realise how little we have left.

I am now back in charge and will use this diary to keep myself on track.

Today I took a big bag of stuff to the charity shop - took 3 shops till they would accept it.  That is now most of the decluttering done.

I have also spent around £10 on food items for Christmas, so am trying to buy a little every week so its not a shock in December - I have sucessfully done this for the last few years.

EssexHebridean

welcome to diary land MrsP!

First things first - have you taken the card out of your purse, and put it somewhere that you have to actually go to some effort to use it? Ideally I'd say cut it up, but it sounds like you may want to hang on to it as a "just in case" card at the moment until you get some proper emergency fund savings behind you. You've got the right approach regarding saving ahead of time for things - especially Christmas and holidays, two things that seem to catch a lot of folk out! 

Something that does leap out at me - you refer to having "dipped into savings" but why are you paying interest on a CC when you have savings sitting there most likely earning far less interest? Better bet would be to clear the card from the savings, then repay the savings? 

MrsPorridge

Thanks EssexHebridean for the input.  Yes, I have put the CC away.

I like the idea of using the savings and its something I will have to think about - I am loath to use them at the moment.  They are in premium bonds and there is always the thought that I may win something substantial

another_casualty

Happy new diary mrs p 😸
You always seem in control , and over time I'm sure this will be cleared . 

Keep on keeping on ,and all will be well ..

MrsPorridge

Thanks AC, I'm just annoyed with myself that I let it build up again, a combination of frivolous buying and taking my eye off the ball.

EssexHebridean

I get where you are coming from, but while there is the chance of you winning something on the PB's, there is a certainty of paying interest on that card...    I assume you've explored 0% BT options, even for some of it? If you're stuck with the one you have, then as long as you're not using it something you can do is the "stealth tactic" - set the monthly DD to a little above the current minimum payment - so if the minimum was £57.89, you'd set the payment at £60. that way it chips a little more off each month as the actual minimum falls, it makes life easier on budgeting, and you can still make an additional payment to clear off the interest. It ONLY works where the car's not being used though! (If you REALLY) wanted to make a difference, then leave your additional payment re the interest at the same level each month when you can too - that really will speed things up!) 

Can you challenge yourself to find a small saving in the other household bills each month to chip off against it too? Our overpayments to our mortgage started like that - we always called it the "money we didn't know we had!" 

MrsPorridge

Yes EssexHebridean I have already started to do that - for instance I went to the dentist today.  I would normally have had a tea and teacake, I didn't so have paid off an extra £5 which is what that would have cost.  I plan to do this from now onwards.  I get paid my pension on Thursday and would normally have had a Chinese takeaway - not this time, that money will go towards the CC.

savingholmes

I know you said you took early retirement but is it worth looking for a part time job so you can repay the debt and have a clean slate again?

MrsPorridge

Some great ideas, thanks all.  I had thought about maybe getting some supermarket work over Christmas to help out.

Today I'm having an NSD, the first one in a very long time.  One of my "problems" is that I love going out for tea and cake - that has now stopped.  I actually love making cakes and they are just as good and sometimes better than shop bought.

DH is making porridge for breakfast every day.  One of my neighbours dropped in some bramley cooking apples the other day - I made two Eve's puddings (one for freezer) and a load of stewed apple which we are having in our porridge this week. 

Lunch is home made fish pie - using potatoes we grew in the garden.  Supper tonight is cheese on toast - using HM bread.  I do lots of cooking, so really no excuse for having to eat out!  Also as the weather is starting to turn I want to stay in.

This afternoon my friend is coming round for our stitch and !!!!!! session.  That's anther thing I spend money on - sewing - sewing my own clothes, making bags, little bits and pieces and quilts.  I have two quilts almost finished.  One a couple more evenings and the hand quilting will be done.  The other one is ready to hand quilt.  This will take me up till  at least Christmas if not longer!  I also do lots of embroidery.  I have lots of materials and projects to keep  me going for at least 12 months or more - so no more buying any sewing stuff.

MrsPorridge

Today DH and I met some friends for coffee.  We were brave and sat outside.  Was cold but nice and sunny.  Normally we would have had a breakfast bap with our coffees, but just had the coffee.  Better for the wallet and also the waistline

This evening we watched Spectre - getting ready for the new Bond film.  Now watching The Repair shop - I've already shed a tear.

savingholmes

I think getting a Christmas job is a great idea - it's not a huge commitment and will make a dent in your debt. If you are anything like me it will also reduce your spare time for spending...