So here goes - this is bad but I need to so something about it

jondebtz

kimwp said:

jondebtz said:

Thanks for everyones replies - much appreciated. I do appreciate that we in a position to sort this without a DMP etc, however we need to do it now. 

Our income has increased quite a bit in the last 3 months so we are still getting to grips with it. The reality is that we have been so wasteful with money. Last night I downloaded my HSBC transactions from January - I deleted all of the essential spends and then calculated the sum of the things that were unnecessary - £1222. Totally disgusted by that, however that is something that I can fix easily. 

Don't beat yourself up, it's really easy to fritter money if you aren't keeping an eye on it. The good thing is that cutting back on the unnecessary things will give you a really good chunk of money every month to throw at the debt. You'll make mistakes along the way, but you will just need to forgive yourself, put in place things to try to stop it happening again and get back on track.

You may find opening a diary in the diary section will help both in keeping you accountable and providing support and tips from others going through the same journey.

Thank you. i think I will start a diary - will help to keep me focussed

jondebtz

It's only been about a week since I first posted but things have already changed. We have both decided to do 2 months cold turkey and to cut everything to the absolute bone. It's incredible hoe engrained my spending had become. It was normal for me to grab a takeaway coffee from the drive thru every morning, or to pop into Sainsburys after work and spend £30 on stuff that we didn't really need. 

I do have one confession to make though.... we are going on holiday in May. It was booked last year, when our heads were still buried in the sand. It's actually a family wedding in Spain so we do really want to go. We paid the balance a while ago ( yes, on a credit card   ) and to cancel now would result in us losing quite a bit of money. We have decided to go, but to make it our last abroad holiday for a couple of years. I don't plan to denying us holidays until we are totally debt free, but I do think that we need to sacrifice overseas trips for a couple of years ( after the wedding) 

I've realised this week how little money I actually need for discretionary spending. I think that the only uncessary thing I have purchased this week is a packet of Crisps from the vending machine at work! 

kimwp

jondebtz said:

It's only been about a week since I first posted but things have already changed. We have both decided to do 2 months cold turkey and to cut everything to the absolute bone. It's incredible hoe engrained my spending had become. It was normal for me to grab a takeaway coffee from the drive thru every morning, or to pop into Sainsburys after work and spend £30 on stuff that we didn't really need. 

I do have one confession to make though.... we are going on holiday in May. It was booked last year, when our heads were still buried in the sand. It's actually a family wedding in Spain so we do really want to go. We paid the balance a while ago ( yes, on a credit card   ) and to cancel now would result in us losing quite a bit of money. We have decided to go, but to make it our last abroad holiday for a couple of years. I don't plan to denying us holidays until we are totally debt free, but I do think that we need to sacrifice overseas trips for a couple of years ( after the wedding) 

I've realised this week how little money I actually need for discretionary spending. I think that the only uncessary thing I have purchased this week is a packet of Crisps from the vending machine at work! 

In my view there's no need to cancel your holiday as you've got a healthy excess and a way through this (assuming wages stay the same). Just try to make sure you stay on an even keel, rather than cutting back and letting loose. Not to say that two months cold turkey is a bad thing - it will give you an appreciation of what you really want and what was just habit or bought mindlessly.

MattMattMattUK

jondebtz said:

It's only been about a week since I first posted but things have already changed. We have both decided to do 2 months cold turkey and to cut everything to the absolute bone. It's incredible hoe engrained my spending had become. It was normal for me to grab a takeaway coffee from the drive thru every morning, or to pop into Sainsburys after work and spend £30 on stuff that we didn't really need. 

I do have one confession to make though.... we are going on holiday in May. It was booked last year, when our heads were still buried in the sand. It's actually a family wedding in Spain so we do really want to go. We paid the balance a while ago ( yes, on a credit card   ) and to cancel now would result in us losing quite a bit of money. We have decided to go, but to make it our last abroad holiday for a couple of years. I don't plan to denying us holidays until we are totally debt free, but I do think that we need to sacrifice overseas trips for a couple of years ( after the wedding) 

I've realised this week how little money I actually need for discretionary spending. I think that the only uncessary thing I have purchased this week is a packet of Crisps from the vending machine at work! 

Looking at what you have already posted, your available expenditure, and I suspect the ability to save another 400-600 pcm minimum on your current expenditure you should be able to clear your highest interest debt (Drafty) and more than half of your second highest interest debt (MBNA) by the time you go on holiday which would already be a good effort and the reward of time away on holiday will make it seem even more worthwhile. Once you are back that means nearly another £500 pcm for additional repayments as well.

Looking at your debt there is no reason you could not be debt free in two years, so a holiday now in Summer 2023 and a holiday in Summer 2025 again when you are debt free, you could almost certainly take a reasonable holiday next year as well and still be debt free in two years. 

You have made the first steps which are the hardest, you have a plan that will work and you can see the way ahead, you already deserve a pat on back (or a bottle of wine), allow yourself little treats occasionally, a meal out when you clear each loan/credit card, something like that and it will make it feel even better that it is paid off. Don't deny yourself little pleasures or rewards for doing well, just make sure that they are reasonable and affordable. 

jondebtz

Well that was my least spendy weekend for years! We realised that a lot of our expensive weekend activities were actually habits. This weekend we stayed at home on Saturday -  did some work in the garden and had a chip shop tea ( 2 meals for £5). Sunday we went for a walk and took our own sandwiches! It's probably been the best weekend I have had in a while. Normally we would be out shopping etc

EssexHebridean

Do you know, sometimes, when you just slow down a bit and exist with the things you have rather than constantly striving to add more, do more and be more - it can be a bit of a gamechanger! 

Maybe make it a challenge to explore your local area a bit more one weekend day a week over the summer months, where weather permits? See how much of your area you can cover just striking out on foot from home - choosing a different direction each week?