Becoming debt-free and staying debt-free; Top Tips

masterkay

sunshine6650 wrote: »

Ive started setting different accounts as well. Ive just opened an internet saver account along side my TSB accounts. A diff account to keep money aside for car -MOT/TAX etc..they are the things that really sting you every few months.

Completely. I think people tend to underestimate these things.

Mozette

I've got accounts with Nationwide, you can name them what you like. I have one called savings... one day I shall be using that one!!!!

masterkay

How do you name them? I thought I would have noticed something like that before.

masterkay

I thought I'd add another one that has popped into my head when chatting to a friend and realised they were doing this I've seen this a few times before.

People who insist on keeping their savings for a rainy day and not getting much interest while paying crazy interest on credit cards by using cash advances to live or on loans. The rationale is they may need it one day. Surely if you are struggling to get by the rainy day is now. The other excuse is that it is an isa. I actually heard this one from a friend using the old you can only put 3k in it a year and taking it out would be silly. They had less than 3k in it from the previous year and had put nothing in it this year and were using their credit card to take out cash and not paying the bill in full each month.

Obviously there is a few exceptions for example, stoozing on 0% deals and putting it in savings accounts.

Generally if you have debt and savings you should put the saving towards the debt/living/not getting into more debt.

st1993

Hi
I think this is a great thread. I knew we overspent on our cc but never really ananlysed it until LBM earlier this month. I budget for the bills but "extra's" go on the cc and this is what I wasn't taking into account. Like many others I now have a number of e-saving accounts at Nationwide and have renamed them on-line with different names and little pots of money in to start them off. I then intend to budget for these properly aswell and my aim for this year is to reduce the cc debt - not increase it like the last 4 years.

masterkay

st1993 wrote: »

Hi
I think this is a great thread. I knew we overspent on our cc but never really ananlysed it until LBM earlier this month. I budget for the bills but "extra's" go on the cc and this is what I wasn't taking into account. Like many others I now have a number of e-saving accounts at Nationwide and have renamed them on-line with different names and little pots of money in to start them off. I then intend to budget for these properly aswell and my aim for this year is to reduce the cc debt - not increase it like the last 4 years.

Half the battle is admitting that there is a problem and realising the full extent of the problem.

Merlot

My tip is to remember that hard earned cash is hard to come by but very easily spent.

As I walk round Tesco , I think to myself can I get this cheaper, do I really need it? This morning I have been in to town for my weekly shop, I usually get a home delivery from Tesco, but couldn't justify their delivery charge of £4.99, and a taxi costs me £2.20, I walk into town so only the fare back, and Tesco have very few working delivery codes just now. The value kitchen roll is £1.05, I thought by heck it was only 98p two weeks ago, but I know Wilkinsons sell a four pack for 79P, so that saved me 26p, and milk from Iceland is 24p cheaper for a litre, it takes a little longer to shop this way, but I have saved at least £3.00 this morning by using different shops rather than bunging everything in the trolley at Tesco.

£3.00 may not sound much, but times that by 4 = £12.00 per month. It means that I have a little extra to take the children out swimming etc.

Every little helps.

Merlot

masterkay

Merlot wrote: »

My tip is to remember that hard earned cash is hard to come by but very easily spent.

£3.00 may not sound much, but times that by 4 = £12.00 per month. It means that I have a little extra to take the children out swimming etc.

Every little helps.

Merlot

I completely agree. I spend cash where possible so I can physically see the money go, it makes it more real.

Having an idea what price things should be and what is a good is always good to keep you informed.

I can also walk round and do my shopping, add the total roughly in my head as I go and be within 50p of the value at the end. This means as I'm walking around the shop I know how much is in my trolley and I don't get any nasty surprises at the end. It also keeps your brain active.

Keep replying people if you can. It's only when others reply that I remember more of the stuff that I do

Merlot

masterkay wrote: »

I can also walk round and do my shopping, add the total roughly in my head as I go and be within 50p of the value at the end. This means as I'm walking around the shop I know how much is in my trolley and I don't get any nasty surprises at the end. It also keeps your brain active.

My friend takes a calculator with her and tallies up the shopping in Tesco as she goes along, does anyone else do this?

Another thing: Drop a brand - I think this was Martins tip, and it works, my OH hasn't noticed yet.

Meal Plan - and don't go shopping when hungry or with the kids, it really does make a difference.

Merlot.x.

masterkay

Merlot wrote: »

Another thing: Drop a brand - I think this was Martins tip, and it works, my OH hasn't noticed yet.
Merlot.x.

Drop many brands. I think there is a thread or an Internet site stating all the own brands and in fact they are made in the same factories as the fancy brands. Meat, Veg and Coke (my one irrational luxury) are the things I won't compromise in quality.