Get a grip woman!

Karmacat · 22 January 2018 at 11:00PM

The central heating was off! Of course

Suffolk_lass · 22 January 2018 at 11:30PM

DH has approached his DC Pension provider and we are going to draw-down 25% tax free lump sum now so we can lop a lump off the mortgage. About £17k or so. It will help and it will reduce that interest per month figure

Suffolk_lass · 26 January 2018 at 8:13AM

Thank goodness DH has been paid today. That was the longest January ever! We are due a power cut later this morning (from 0830 for a few hours) while they prune trees away from overhead power lines (the joys of living in a rural Village), so here I am, reading and posting from 05.00

I have read a few diaries this morning and is it just me? Are there lots of people in Ostrich mode at the moment? Debt Free is supposed to be about paying off our debts isn't it? Not just reducing our outgoings to the point where they are no longer exceeding our income?

Treadingonplaymobil · 26 January 2018 at 8:38AM

Suffolk_lass wrote: »

I have read a few diaries this morning and is it just me? Are there lots of people in Ostrich mode at the moment? Debt Free is supposed to be about paying off our debts isn't it? Not just reducing our outgoings to the point where they are no longer exceeding our income?

I think there can be varying degrees of this. For us we needed to reduce our outgoings to make life manageable. We know our debt will go down this year, then we will reborrow more next year for an extension, then it will go down for several more years until we are debt free. Restructuring for us has meant being able to continue paying down debt so we don't end up on a DMP or similar and unable to borrow to make our house work for our family. BUT I think there are plenty who (exactly as we used to) look at restructuring/lengthening debt terms as a way to access more spending, rather than to reduce debt, if that makes sense. So it's definitely a spectrum, and I don't think we fall at the 'perfect' end of it by any means (we just aren't that frugal, we know the debt will increase when we extend etc etc).

Karmacat · 26 January 2018 at 10:54AM

I think there's a lot of strings to the bow, SL, and reducing outgoings is certainly one of them - isn't it the first one that Martin recommends? It's a circular process, I think - halfway through the journey, it can be time for a deep re-assessment of what's going on.

Loving the *reason* for your power cut

and I hope you had nice warm socks on!

Suffolk_lass · 26 January 2018 at 7:11PM

Treadingonplaymobil wrote: »

I think there can be varying degrees of this. For us we needed to reduce our outgoings to make life manageable. We know our debt will go down this year, then we will reborrow more next year for an extension, then it will go down for several more years until we are debt free. Restructuring for us has meant being able to continue paying down debt so we don't end up on a DMP or similar and unable to borrow to make our house work for our family. BUT I think there are plenty who (exactly as we used to) look at restructuring/lengthening debt terms as a way to access more spending, rather than to reduce debt, if that makes sense. So it's definitely a spectrum, and I don't think we fall at the 'perfect' end of it by any means (we just aren't that frugal, we know the debt will increase when we extend etc etc).

You are right TOPM, and as you know I regularly read and contribute on your diary - you have moved dramatically over the last year and I was not implying you when I posted. I think you may have begun at that point but your journey is so different to where you started (as is ours). I do hope you don't think I was sniping at you - I was not. Washing up bowls summed it up for me - you were determined to stretch to something beautiful and expensive at the start and moved your ground to compromise significantly.

Like you, we have also consolidated unsecured debt once, when DH lost his contract and all work was absent and dried up for several months. We also moved to an interest-only mortgage when he was unemployed for over a year, just after we borrowed an additional £90k for our extension and house remodelling, which left us in significant debt and just about able to squeak by until we moved house. I think that is why we still have our mortgage, and will do, after I finish work - not a position I recommend :eek:

Suffolk_lass · 26 January 2018 at 7:16PM

Karmacat wrote: »

I think there's a lot of strings to the bow, SL, and reducing outgoings is certainly one of them - isn't it the first one that Martin recommends? It's a circular process, I think - halfway through the journey, it can be time for a deep re-assessment of what's going on.

Loving the *reason* for your power cut and I hope you had nice warm socks on!

Yes, you are right. It is frustrating to see the same spending traps snagging their prey at this time of year - a bit like people falling off the diet wagon I suppose.

Power off promptly at 0830 and back just after ten. The aga took it in its stride and kept up to temperature. The Churchyard hedge survey left me with very cold extremities though. Definitely battling a nasty virus and feeling 99p in the pound today!

System · 26 January 2018 at 7:26PM

Completely agree with the Ostrich mode, have read a couple of diaries recently and I do wonder. I have a relatively small amount of debt compared to others, however I don’t have a massive income to some. I know that I have learnt my lesson this time , but think other people have still not had a true LBM .

Loving your description of your power going off. I read your diary often !

Treadingonplaymobil · 26 January 2018 at 9:43PM

Suffolk_lass wrote: »

You are right TOPM, and as you know I regularly read and contribute on your diary - you have moved dramatically over the last year and I was not implying you when I posted. I think you may have begun at that point but your journey is so different to where you started (as is ours). I do hope you don't think I was sniping at you - I was not. Washing up bowls summed it up for me - you were determined to stretch to something beautiful and expensive at the start and moved your ground to compromise significantly.

Like you, we have also consolidated unsecured debt once, when DH lost his contract and all work was absent and dried up for several months. We also moved to an interest-only mortgage when he was unemployed for over a year, just after we borrowed an additional £90k for our extension and house remodelling, which left us in significant debt and just about able to squeak by until we moved house. I think that is why we still have our mortgage, and will do, after I finish work - not a position I recommend :eek:

:rotfl: at the washing up bowl reference! I think that may be how I am remembered on the debt free diaries long after I am finished here.

redofromstart · 26 January 2018 at 10:14PM

Treadingonplaymobil wrote: »

:rotfl: at the washing up bowl reference! I think that may be how I am remembered on the debt free diaries long after I am finished here.

There are worse ways to be remembered

Interests points which helped me reflect on my own behaviour. I'm trying really really hard not to get sucked into 'sales' and spending but reading my diary back I bought jumpers and boots this month that I wanted, not needed, even if I justify to myself that it was with my Christmas present money. That's money that have gone to emergency savings or the ginormous great debt that is the mortgage. It does make you think when you read back. I think if you go looking you will always find unmissable bargains and I guess the trick is not to look in the first place.

Get a grip woman!

Comments

Categories

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