£170000 in 10 years

try_harder · 15 April 2018 at 10:28AM

Thanks SJ and michelle09 ,great advice .

Two weeks in to April and...
Food budget totally blown
Diesel budget still on target
Free money ..0000 this week
Savings from other sources £43.93

Savings from my lovely husbands wages have been well and truly spent as we decided to go away on holiday which was absolutely lovely but means our overall savings this month will be very low ,never mind i will be very happy if i can reach my target of £22,000 by the end of April so lets see how things go .I need to find £155.04 in 16 days in order to do this .

themadvix · 16 April 2018 at 9:41AM

Life *is* for living as well as saving money! If it was absolutely lovely then I think it's money well spent - and will refocus you for getting on with the rest!

try_harder · 20 April 2018 at 8:09AM

Morning and thank you themadvix ,yes that is absolutely true life must be lived and enjoyed and a balance between the two must be made.

This month has been very ,very spendy for us and alongside almost a thousand pounds going out of the bank for car insurances another holiday has been booked and a lot of the money had to come out of the savings so instead of having £22000 this month it looks much more likely to be back to £21000 ,i am just happy that i have the money available and of course it saves money in the long run as i dont have to pay in instalments so thats all good.

Looking forward to May and thinking about my Mortgage i will have 91 months left ,i owe around £165,000 and £10,000 is on a repayment so i need to concentrate on the £155,000 IO minus £21,000 i have saved leaving £134,000 to find divided by 91 remaining months which means my new target from May will be £1472 a month .I need to have a good think about how i can achieve this massive number

Busy_Mee1 · 21 April 2018 at 7:18AM

Hi Try Harder, I hope you are well and enjoying the sunshine.

I wonder have you worked out how much interest you would save if you actually paid £20k off of your mortgage and the "snowball effect" if you then continued to make the same regular payment to your mortgage.

I know it would be quite a wrench to effectively lose your savings but this could help you in a number of ways. It means that that is £20k off your mortgage forever, and you will save the interest and effectively be able to use that saving to pay down more of your mortgage.

It would also stop you from dipping into your savings, I think having the money sat there is possibly making you feel well off, but it is your mortgage money you are spending.

It may also focus you again on your saving to try and build your savings accounts up again.

You like us, are running out of time to get you IO mortgage paid off and I just wonder if this different approach would help. X

try_harder · 22 April 2018 at 7:44AM

Morning Busy Mee1

You are as always absolutely right of course but im not sure what i can do about it .I feel very reluctant to put the money into the overpayment as it is the only security we have but i can completely understand what you are saying regarding the savings in interest over the remaining years and the fact that more money then will be going towards the debt each month ,the trouble is the money has become my security blanket ,the other problem is that i have been putting all money into one pot and have to take money out when an expense appears .I dont think though that i could part with all the money and start again i would feel dreadful and out on a limb ,knowing i have that money there makes me feel happy even though as you rightly say its not mine it belongs to the bank .I think the best idea is to have another account which i will use for my four pots , holidays ,cars which will be include the cost of buying a car and the cost of MOT work and the like ,all my health and fitness expenses and lastly my caravan replacements so a four way split .It will of course mean less money going towards the Mortgage but at least it will be more of a true reading.

I have set them all up this morning and moved some of this weeks takings into the four pots so that they are up and running .I will post numbers later .Thank you BM for your help and support as always

shangaijimmy · 22 April 2018 at 8:01AM

My thoughts, or questions... what reason does it have to be all in or nothing? You could drip feed it in over a few months, and that way you would be adding to the savings at the same time so the impact mentally isn't as bad? Not sure on your number but for example £500 to mortgage from the savings pot, whilst you !!! £250 each month to savings. Little bit of the best of both. Perhaps track a net worth figure each month to give you a clearer picture of how it all works in sync (I have a very simple spreadsheet for tracking that intend to update on the 1st of each month, and am willing to share if you would like a copy)??

try_harder · 22 April 2018 at 8:33AM

Now that is a brilliant idea SJ ,why didnt i think of that .Drip feed along with saving ,the best of both worlds.It would certainly work ...Thank you that would be very helpful and a great motivator...Sometimes i find it hard to see the wood for the trees

greent · 22 April 2018 at 10:17AM

Agree a dual approach sounds a good idea

x

try_harder · 22 April 2018 at 1:17PM

Thank you greent.

This weeks money as follows
Food budget totally blown
Diesel budget totally blown too
Free money 0000
Savings £48.26

I will be very pleased to finish the month on £21,000 after an incredibly expensive month all round and one which i would rather forget about to be honest

In May i will start out with £20,000 set aside in savings ,i will also hopefully have the following or thereabouts
£1,000 in cash
£211.45 in my Millionaires challenge pot ..Yes i have spent some oh dear
£131.42 which is my pot for House and garden ,holidays ,cars and health and fitness ,i need to add £150 a week to this in order to keep up with what i need each year but whatever i have will be divided out in order of importance this money will come from Ebax sales mainly
Free money to carry on as before and is going to OP on my SA2 which is almost below £10,000 now
Monthly money aim to save £1472 with a mixture of possibly £1,000 to savings and £472 to Mort OP also to SA2 but i am happy with saving anything above £500 and this will be my new aim ,it may be lower now as i have to put the £150 aside a week .

Lets see how i get on with this ,i am finding this all a case of trial and error and thank you to everyone for all your help and advice along the way

try_harder · 2 May 2018 at 9:57AM

Well i am very glad to see the back of April it was such an expensive month with almost £2000 paid out for Car insurances ,Health club Memberships ,Car Mot and parts ,holiday ,i must say that i felt like giving up as i seem to be going backwards instead of forward.

So another month another try .I seem to have around £21,000 left so lets start again
Monthly - Aim to save £1472 but again i would be very happy with £500 the way things are going at the minute
If i stick to all budgets this month like glue i should have £1165.80 left at the end of the month for savings
All free money to go to Mortgage Sub Account 2 .This now stands at £10,013.70

Lots of hard work this month i think and as always it falls to my husband to work lots of overtime to make any extra money for savings whilst i do my best with surveys ,ebax and most important of all sticking to budgets

£170000 in 10 years

Comments

Categories

Get our FREE Weekly email full of deals & guides - and it’s spam-free