Diary of a compulsive spender

Lindseyf584 · 30 January 2009 at 3:45PM

Ok, finally got around to working out how much I owe today...

£62,000 approx. not including mortgage.

Now I know I need to face facts and get on with paying this off so I am doing this as a bit of a motivator to myself so I can keep track of what I am spending and try to figure out the quickest and easiest route to becoming debt free (I know it wont be easy at all!)

My aim is to be debt free by the time I am 30 so 2 years 10 months and counting...

I am finishing my current contract on 6th Feb so soon my income is going to be zero and therefore in order to meet my targets I need to find a new contract pretty quick!

I am obviously not facing up to things yet as I spent £25 yesterday in my lunch break on items which although could have been classed as essentials from Boots I could have purchased own brands for less than half the price.

I have also managed to spend about £9.00 already today as well.

I am working on seeing which of the mini challenges I can do in order to come up with some money between jobs to keep us going.

So far I have to say I can't believe how friendly and helpful everybody here is and it is a great support network to have as my family are fantastic but it is great to get an objective and experienced take on things so thanks to all for your help so far.

Although I really want to pay off my debts I am beginning with finding ways to save money and make money in order to survive my current crisis without adding to my debt and ensuring I can keep up to date with all of my repayments.

Probably enough rambling for a beginner so thanks to anyone for reading and hopefully I can motivate myself into some positive moves...

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natsplatnat · 30 January 2009 at 3:50PM

Hi Lindsey! And welcome!

Could you post your SOA (theres a link at the top of some clever person will post it shortly!) so people can have a look and maybe make suggestions on free-ing up some cash?
Don't forget the interest rates on your cards!

I'll be back later, but well done again for realising you need and want to do something!!!

Starlett · 30 January 2009 at 3:53PM

Here's the link: http://www.makesenseofcards.com/soacalc.html

Oh.... hello and welcome!!

Lindseyf584 · 30 January 2009 at 4:05PM

Thanks natsplatnat.

Not sure I can get into SOA bit from work but this is general idea of monthly expenditure:

Current Account Fee.....£14.00
TV Licence..................£11.95
Childcare.....................£1,150.00
House C&B Insurance.....£14.00
O/D Charges.................£38.00
Currys.........................£7.99
Currys.........................£2.99
Currys.........................£2.49
Currys.........................£6.99
Solicitors.....................£150.00
Loan 1........................£297.21 (fixed for 25 years)
Loan 2........................£221.43
BT..............................£10.00
Gas.............................£39.00
Electric........................£31.00
Mortgage.....................£639.40
Council Tax..................£110.00
Gym Membership...........£37.75 (tied in to Dec 09)
Capital One..................£50.00 (£923.95 remaining)
Vanquis.......................£52.00 (£1107.58 remaining)
Sky.............................£68.41 (will be reducing package ASAP)
Water..........................£36.48 (not on meter and can't change)
Mobile Phone.................£75.00 (2 phones)
Life Insurance................£34.72
Fuel.............................£260.00 (this will reduce when finish work)
Food............................£no idea, buy things almost every day!
Clothes.........................£also no idea but don't need anything so will stop
Smoking........................£180.00 (Should give up but haven't so including)

Generally I just spend whatever money I have on whatever I fancy that day, to give an idea I cleared both credit cards in November 08 and they are both now maxed again so basically just have no control on spending.

Piece of advice to myself - STOP SPENDING SO MUCH MONEY!

Lindseyf584 · 30 January 2009 at 4:07PM

Forgot to say I have no idea what the interest rates are on anything but I will go through the paperwork and check.

Also missed one Loan 3........£269.74

Welshlassie · 30 January 2009 at 4:24PM

Lindseyf584 wrote: »

Thanks natsplatnat.

Not sure I can get into SOA bit from work but this is general idea of monthly expenditure:

Current Account Fee.....£14.00
TV Licence..................£11.95
Childcare.....................£1,150.00
House C&B Insurance.....£14.00
O/D Charges.................£38.00
Currys.........................£7.99 what are these for, if they are insurance cancel them
Currys.........................£2.99
Currys.........................£2.49
Currys.........................£6.99
Solicitors.....................£150.00
Loan 1........................£297.21 (fixed for 25 years)
Loan 2........................£221.43
BT..............................£10.00
Gas.............................£39.00
Electric........................£31.00
Mortgage.....................£639.40
Council Tax..................£110.00 over 10 or 12 months, if 10 you have 2 free months coming up, use the money sensibly and then consider changing to 12 months in April to help spread the cost
Gym Membership...........£37.75 (tied in to Dec 09)
Capital One..................£50.00 (£923.95 remaining)
Vanquis.......................£52.00 (£1107.58 remaining)
Sky.............................£68.41 (will be reducing package ASAP)
Water..........................£36.48 (not on meter and can't change)
Mobile Phone.................£75.00 (2 phones) why do you need 2 phones, reduce or cancela nd go PAYG
Life Insurance................£34.72 Is this the best package out there, compare and swicth, using a cashback site.
Fuel.............................£260.00 (this will reduce when finish work) Change the way you drive to maximum the number of miles you get to what you spend.
Food............................£no idea, buy things almost every day! Meal plan, 2-4 weeks in advance this will help you plan what you need then order it from the internet and only get milk, bread and fresh fruit and veg
Clothes.........................£also no idea but don't need anything so will stop
Smoking........................£180.00 (Should give up but haven't so including) Quit, go see you GP they can help, check out the NHS Quitline, you can quit you just have to want to.

Generally I just spend whatever money I have on whatever I fancy that day, to give an idea I cleared both credit cards in November 08 and they are both now maxed again so basically just have no control on spending.

Piece of advice to myself - STOP SPENDING SO MUCH MONEY!

What about things like, car insurance, holidays, haircuts, birthdays and gifts. These should all be accounted for and saved so youhave the money when you need it and therefore as less inclined to add them to credit cards.

Well done on facing up to things, you have to identify why you are in debt and really want to change otherwise you will end up in the same position in the future.

What can you sell to help you in the short term to fund things?? Get it on Ebay and the like.

Idiophreak · 30 January 2009 at 4:27PM

Is that just your spending, or household spending?

And what's your income like? Do you have anything left over each month based on the above?

Pollycat · 30 January 2009 at 4:27PM

Hi Lindsey

You most definitely need a spending diary.

Write down EVERYTHING you spend in it.
I did this as I found that the £20 note in my purse somehow vanished with nothing to show for it.

Magazines, newspapers, greetings cards, stamps, cafe latte and danish

and so on.

Don't you do a weekly or monthly shop?
Hop over to the OldStyle board - lots of tips on menu planning, using up leftovers etc.

I think you really need to take your own advice

Piece of advice to myself - STOP SPENDING SO MUCH MONEY!

You've made the first step.

Lindseyf584 · 30 January 2009 at 4:32PM

Hi Welshlassie,

Thanks for the tips, I will do a full SOA tonight hopefully when I get home.

The Curry's things are insurances for laptop, dishwasher etc. so I will have a look at cancelling, I think I can just do it without giving notice.

Council Tax is over 11 months so money saved is going towards bills as things stand I will have enough money until the end of March by which time I hope to have found another job.

2 Phones - one is DH phone and they are on contract til the summer so can't cancel just yet.

Life insurance is the best deal I can get, I had a FA shop around for me but a lot of bad health history in family which is why it is that high.

I think the fuel cost is difficult to reduce as I currently drive 112 miles a day to work and back.

I definitely take on board your comments on food, I did start planning things last week and I have got a house full of food so the plan is to only buy bread and milk until everything is used as most of it is either frozen or long life so could use for ages.

I made £54 on Amazon this week and have got lots of things to add to ebay this weekend so hopefully that will bring in some more pennies.

Thank you very much for your suggestions

lilian1977 · 30 January 2009 at 4:32PM

Hi

A few things on your basic SOA - What is your current account fee actually giving you? Or is that overdraft interest?

I have both Capital One and Vanquis cards and I only have these because I have bad credit. Is this the same with you? If so then you NEED to get sorted out rather than further into trouble.

Definitely give up smoking - apart from being healthier it will give you an impetus to not spend money, it's easy to justify "well I've bought cigarettes so today won't be a No Spend Day" and continue spending!

Glad you've had your LBM - now let's see what you can do!

natsplatnat · 30 January 2009 at 4:33PM

Now I am NO expert - look at my sig, but here's my thoughts......

Lindseyf584 wrote: »

Thanks natsplatnat.

Not sure I can get into SOA bit from work but this is general idea of monthly expenditure:
Total monthly income (currently)....?

Current Account Fee.....£14.00
TV Licence..................£11.95
Childcare.....................£1,150.00 do you get all vouchers etc you are entitled to?
House C&B Insurance.....£14.00
O/D Charges.................£38.00
Currys.........................£7.99
Currys.........................£2.99
Currys.........................£2.49
Currys.........................£6.99
Solicitors.....................£150.00
Loan 1........................£297.21 (fixed for 25 years)
Loan 2........................£221.43
BT..............................£10.00
Gas.............................£39.00
Electric........................£31.00
Mortgage.....................£639.40
Council Tax..................£110.00 paid over 10 or 12 months?
Gym Membership...........£37.75 (tied in to Dec 09)
Capital One..................£50.00 (£923.95 remaining) APR just gone up?
Vanquis.......................£52.00 (£1107.58 remaining) highest APR I would guess
Sky.............................£68.41 (will be reducing package ASAP) Good - freeview? Or look at PlayTV if you have a PS3 (gives you the pause,rewind, record like sky+) One off cost of about £45
Water..........................£36.48 (not on meter and can't change)
Mobile Phone.................£75.00 (2 phones) can you reduce tarrif?
Life Insurance................£34.72
Fuel.............................£260.00 (this will reduce when finish work)
Food............................£no idea, buy things almost every day!
Clothes.........................£also no idea but don't need anything so will stop
Smoking........................£180.00 (Should give up but haven't so including)

Generally I just spend whatever money I have on whatever I fancy that day, to give an idea I cleared both credit cards in November 08 and they are both now maxed again so basically just have no control on spending.

Piece of advice to myself - STOP SPENDING SO MUCH MONEY!

It will be easier for people to comment and make suggestions when you have your full SOA. But, I would look at keeping a spending diary and writing down EVERYTHING you buy and how much it has cost you.
To help curb your spending you could try using the demotivator tool on here (again I'm sure someone will post the link - I can never find the bloomin' things!) to show you what you could have done with the money that you have used to buy a luxury coffee with.

Also, do you deal in "real cash" or is it all on the fantastic plastic?

There is a thought process you can use of 'do I want it? do I need it? can I afford it (or something like that) which just causes you to pause long enough to think more rationally about what you are about to buy. I know some people on here keep a list of things they want and then revisit the list and cross off the things that they no longer want. It's amazing how much this could stop you buying!

I look forward to seeing a full SOA and I hope plenty of other people will pass
by and offer more advice then me. I've not been doing this long myself, but I am pleased at the difference it has made to my bank balance!!

Nats

Diary of a compulsive spender

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