The next three years will pass anyway - debt free at 36

Waywardgirl3

I'm doing it again.

My 4th and FINAL attempt at sticking to a diary.

Sometimes I think I am actually insane when i look at some of the previous choices I've made.

I was reading back through my old diaries, i think my first was three years ago. If I'd stuck it out I would have been debt free by now - but back then three years felt like such a LONG TIME and it made me despair and feel hopeless.

Idiot, those three years have gone in a blink of an eye and any hardship in them has since been forgotten. So why could i not just swallow the daily discomfort and crack on?! Delayed gratification is not my strong point.

But I kept using life as an excuse and making bad decisions - if I disappeared from these forums you can bet it was to get another loan for a holiday or a horse (yes really - heartbreakingly since sold due to my financial situation - lesson learnt) and I didn't want to face reality.

The passing of time (and the thought of wasting my youth - silly I know) makes me very anxious but the reality is that the next three years are going to pass anyway whether I like it or not. Even 2020 feels like just yesterday!

So do I want to be in the same position (or likely worse) in three years or do I want be debt free. I think i know the answer to that.

About me - 33, married, no kids, one dog and one fat cat. Live in the countryside and have a luckily fairly well paid hybrid role (commute 1-2 times per week for an hour each way).

In three years I will be 36. Still so young - and if i can pay off debt my world will open up so much more. I just don't want to come back here in those three years in the exact same spot -which i've done before!

My debt total today is - £35,245.59

In terms of savings I have;

£1000 emergency fund

£1400 'buffer' fund for unexpected expenses

£700 in my car sinking fund

£1000 in my holiday sinking fund (none planned at present but leaving this in there for next year - we have so many weddings to go to! and would be nice to have a cheap break)

and £500 set aside for Christmas this year.

My savings give me some comfort but my financial anxiety is still sky high.

I can afford to pay about 900 pounds a month to debt on my current salary alone (whilst leaving myself some small spends and buffer savings) in which case it will take me 39 months to pay off.

Soooooooooooooo - my debt free date is December 2029.

This does not take in to account any overtime/side hustles/ pay increases so who knows maybe I can move that forward!

This time I'm here to stay. Even if I get sad/ embarrassed /depressed - I just need to keep moving the needle forward.

ArtyJ931

that’s a great way to think about it. 3 years will pass very quickly. You may as well be debt free at the end of it!

Brie

Have you queried any of your creditors about affordability? There's a template on one of the stickies.

It might be worth an hour or two of your time if it shortened the payback time even by a month.

In any case it's good to hear you have planted your flag and hopefully the time will fly!

BetterThanIDeserve

https://forums.moneysavingexpert.com/discussion/6683825/the-next-three-years-will-pass-anyway-debt-free-at-36

Hi @Waywardgirl3, sounds like you’ve had enough of being in debt and ready to commit this time 🙌 Similar position, I’ve got hyped, started and given up with the same mindset.

Followed and luck forward to seeing your journey 🙌

Waywardgirl3

So, following a spendy weekend for my partners birthday (which made me very anxious and guilty despite the fact it came from savings not a credit card for once) we are back on track today.

My starting debts in order of priority are;

Virgin cc - £174.02 (Priority 1, will be paid off on payday. Was 0% until November 2026)

Barclays cc - £6163.85 (Priority 2, 0% until May 2027 so I want to get it as low as possible before rate is up).

MBNA cc 2 - £5,531.16 (0% until September 2027, Priority 3)

Plend Loan - £8,444.54 (19% - not on my priority list but as soon as a 0% money transfer offer comes up, potentially on the virgin card once paid off, I will be moving this!)

HSBC Loan - £4695.17 (9%)

Santander Credit card - £10,211.85 (0% until May 2029 - lowest priority as got a 3 year 0% offer!)

I know in theory, the loans should be priorities - but the credit cards will have much higher APRs once their 0% periods end and I know I can afford the loan payments. As my debt reduces I am 100 percent looking to shift these on to 0% deals though - particularly the expensive Plend loan!

Plan is to pay minimums on everything bar the current 'priority' debt and overpay that debt as much as possible.

My MBNA has 'MBNA 2' next to it as I do have another MBNA CC open which has a zero balance. I'm hoping this may come in handy later down the line for 0% offers. My credit score is 'Good' currently so I am really hoping that some transfer offers come up in the next 6 months or so.

My virgin CC balance includes a 7 pound overpayment I made this morning from my 'debt overpayments' pot on Monzo which i've set my round ups to.

voicey

you are brave to acknowledge your situation.

Be the best version of yourself and don’t ever give up.

I have never posted on here, although I check in regularly, for some reason I wanted to send you support.
We’ve all been there even at times when it wasn’t our fault.

Smudgeismydog

Didn’t want to read and run, as you’ve seen before, consistency is key, so keep posting, even if things haven’t gone exactly to plan.

Design yourself a chart to colour in and stick it somewhere visible, edit your post to track your progress visibly here or find another method that works for you. It is important to track progress and celebrate your progress

riverbluelion

Hey, I’m new here! I’ll also be following your journey 😊 you can do it!!!

Waywardgirl3

thankyou so much for all your kind comments! I’ve been a bit quiet on here not because i’ve fallen off track but as i’ve got a rotten cold and honestly been a bit depressed. So your kind comments are very much appreciated. The cold has meant ive not left the house so has been unintentionally money saving.

Everything all on track for payday tomorrow and the remaining £26.57 in my account has been sent over to tidy the Virgin card! that card will be cleared tomorrow.

October budget all done and i’ll be sending £950 pounds to my debt tomorrow so pleased with that. Its a bit higher this month as my car insurance doesnt kick in until November. Ive also budgeted for a dentist visit and a few family bdays (wont be going crazy on those).

I have a set ‘treat’ amount of £150 a month or £35 pounds a week to play with in my new budget going forward to cover anything i’d like that isnt an essential (clothes, hobbies, coffees with friends etc). I cant increase this BUT i can save it i guess if there’s something i really want to treat myself to.

I’d love to afford a horse on part loan but people are asking about £200 a month which i flat out cant afford for now. Telling myself thats okay - its good motivation to get a promotion! Lessons around here at riding schools are £50-70 so that will have to be a one off treat for now too. Lots of running and free workout videos to tide me over until i can finally get back in the saddle i guess.

Waywardgirl3

https://forums.moneysavingexpert.com/discussion/comment/82147620#Comment_82147620

Thankyou for this xxx

Waywardgirl3

https://forums.moneysavingexpert.com/discussion/comment/82147755#Comment_82147755

thankyou! A chart sounds like a good idea