The long road is just begining for me.

Keith

When I was 21 I left home and cancelled all my repayments on my debts, I got a CCJ but one creditor never traced me.

Then in 2003, my bank offered me a Credit Card with a £3000 limit, which I quickly started using even though it was only for emergencies!

In February 2004 I took a £5000 loan to purchase a motorbike to cut my travel costs and to buy some much needed appliances fridge/freezer and to replace a lot of other things.

By April this year the credit card was maxed and I was struggling to make payments each month. Then in June a collections agency finally sent a letter for the creditor who did not trace me stating I owed £6000 :eek: I did a deal with them to pay 50%

My sister kindly got a very cheap loan for the some £11,500 I needed to repay which equals £209 for 5 years.

I have cleared one of two outstanding credit cards and will clear the other this month :T

Last month, I went through all the unopened mail that I had allowed to build up and some of the letters were quite frighteningly written. And the horror that once I cleared the balance on my CC they reinstated the £3000 limit, even though I had not made a payment in months quite frankly shocked me!

I guess the best way for me to get debt free is to just pay off the loan, whilst putting additional money into a savings account? My partner is in the same position and we have just got her a Virgin CC with 9 months interest free to clear her c/c bills.

A lot of weight has been lifted off and I'd like to thank everyone else on these forums, not for directly helping us but if it was not for my reading of this forum, I don't know what position I'd be in!

Thanks :T

shrek101

I am slowly get my debit down by using interest free credit cards, I pay quite a bit per month instead of minimum payments and I do without some things to help pay this off. I do shop on-line often, mainly for small things, I haven't done a major purchase for a while. When I do shop on-line I pay by debit card and make sure the money is available in my bank account, thus not adding to my debit.

I also make sure just in case to have a small amount by direct debit off my card so not to get stung for late payment. I ain't been working for many years due to ill health so if I can do it, I am sure many others many can do.

I can't wait for the day when finally no debit even with a mortgage, just 13 years to go mortgage:)

Keith

Well this month I have paid off my last credit card, I have set up my first payment to my sisters bank for the first repayment, and also a small payment to a savings account.

This month is looking tight as I have a few weekends away but we have made a lot of cut backs, so hopefully everything will be ok come pay day!

DilbertJones

why do we all do it when we are young?

Get ourselves into debt, dont pay it back, regret it years later.


Wish i knew then what i know now!!!!

Xbigman

robodan wrote:

why do we all do it when we are young?

Get ourselves into debt, dont pay it back, regret it years later.


Wish i knew then what i know now!!!!

Ditto



Regards




X

Munki_2

I guess sometimes we all have to go through it to learn from our mistakes. The key thing is to realise how bad things are getting while there is a good chance to sort things out, and before it prevents you progressing in life. It's one thing having a bit of fun and racking up a small(ish) debt that you struggle to pay off, but preventing it getting to the point were you can't pay it back, can't get a mortgage, can't afford to live - that's the key thing younger people should learn.

Anyway... I'm young... and still have a lot to learn!

:-)


Munki.

Keith

Well its all gone a bit pear shaped since I posted this thread!

I borrowed again in October last year to take my full motorcycle test, buy a better motorcycle and leathers.

Then a car crash in december meant I went back to the bank and took another loan!

We are chipping away at the debts now, my partner now has a £500 balance on her c/c (0% luckily)

In total we owe £25,683 it seems a huge amount, but we have it all planned so it will be gone by June 09, at the latest!

My eyes very wide open now, we have bought a lovely house and can see the debt going down each month using an excel spreadsheet.

southernscouser

Well done Keith! :beer:

If you post a SOA we might be able to help you save more and become debt free quicker. See this thread for a guide!

Verbatim

Good to hear you're doing so well Keith. :beer:

Keith

I don't think a statement of affairs would help really.

The only way I can see to cut down expenses would be to change my bike, its expensive to insure, and run, but looking at it long term, its a saving of £30 a month, which would have to be paid to buy a newer one.

Otherwise, i'm a regular on Old Style. Have cut down everything as far as we can, have been naughty and grabbed bargains to sell on ebay, and generally scrimpted everywhere.

Basically... I don't have all figures to hand as the Mrs is in the middle of changing jobs, between us

Income - Should be soon £2700 - Was £2300

Mortgage - £720
Loan repayments
Monthly Repayment Total to repay
Nicola Loan 1 170 3230
Nicola Credit Card 1 100 640
Nicola Credit Card 2 50 913
Keith Sue 220 9660
Keith Car 115 6210
Keith Bike 80 5030

Cat insurance £25
Car insurance £40
Bike insurance £50
Petrol £270! :eek:
Monthly food of £200
Sky - £50
TV licence - £15
Phone - £30
Mobile - £19 & I guess £20 for her!
Socialising £200

So around £2300 outgoing I think. Should leave us with £400 extra to plough into the debt. We plan on saving £50 a month, and putting £150 extra into the debts.

I've just paid off CC 1, which leaves us a bit better off!

Keith

I know the socialising should be less but it just happens! Something I plan on cutting down on!

Food - we aim now at £25 per week, but it slips so we budget for £50