I want to believe I can do this!

ftbwannabe · 9 August 2018 at 11:16AM

A few years back my bank made me reduce my overdraft, just when I was relying on it most (partner was out of work). They cut it by £75 a month until it was gone - better than having to pay it all in one go but still a nightmare. I ended up spending more on cards to cope - ugh.
A couple of years later I applied for another overdraft, got it, & was always at the limit again. How did I not learn?
I'd recommend including it alongside your credit cards in your plan to reduce debt, not necessarily as a priority, but remember you're probably paying interest on it, too.
My bank let me reduce mine gradually, I rang them periodically & asked them to bring my limit down. I keep a small one in case I need cash not a credit card - but I don't use it and in the long term, once I've got rid of these cards & living in the black is normal (! imagine!) I will close it down.

Have a great day :-)

pidge04 · 9 August 2018 at 10:19PM

Thank you so much for insights on overdrafts. Yes, it must be amazing to see + on your balance!
I remembered today that I did pay off an overdraft when I left university by paying it back month after month. So I can do it again.
I want to come up with my next plan and sharpen my focus seeing as one credit card will be paid off shortly.
I need to get seriously proactive about looking for extra work/income in the coming months. Must do this.
Saying that though, I had to give my work to someone else today. I had a bad headache and slept quite a bit of the day. Feel very weak. Hopefully back to business tomorrow after a good night!!!8217;s kip.
I will be able to pay off £130 tomorrow. I love changing (lowering) the numbers on my signature! Find that quite addictive!
All the best everyone.

pidge04 · 9 August 2018 at 10:23PM

Yes ftbwannabe, I am paying £20 a month approximately for my overdrafts. Will be great to eliminate that every month from my outgoings.
Thanks so much for the comments about overdrafts ... just what I needed to jolt me into action.
This forum is a lifesaver to be honest.

pidge04 · 9 August 2018 at 10:26PM

Ah, forgot to say that I am a couple of hundred quid away from my debt being under £10,000. Still an enormous sum of money but better than it was at the start of this year.

ftbwannabe · 9 August 2018 at 11:43PM

Nearly under 10k - that's fantastic! I can't wait to say the same (but I'll be a while). Good on you, keep going...

GlendaSugarbean · 10 August 2018 at 7:53AM

Re: overdrafts, what I did was to pay off the whole lot with a 0% credit card, which I then paid off by DD within the 0% period. Personally I am much better with set payments than a flexible OD - I tried paying it off monthly but any unexpected expenses would take me back to square one. However I don't overspend on CCs, just my current account, so it all depends on what works for you.

I think the money transfer fee was 4% but my OD was about 15% so a big saving on interest charges.

Another option would be to open a basic current account for spending and lock down your other accounts so the only money sitting there is OD repayments.

pidge04 · 10 August 2018 at 9:16AM

Thank you GlendaSugarBean. I had no idea that could be done.

Just paid £123 off credit card so that makes it £599. Good to see it is in the 500s now!

Really want to find some time this weekend to read other diaries, to come up with a new plan and to apply for extra work for the Autumn.

pidge04 · 10 August 2018 at 12:00PM

I had 10 mins to myself so I jotted down some plans in my money notebook. Felt better almost instantly!

Everything I have spare (ha, ha!) will go onto the £599 credit card and I will get that paid off ASAP.

As soon as that is done, I will transfer the £2299 credit card.

I will apply for weekend work in a shop hopefully, organise the training sideline business and advertise for babysitting work. I will use that money to pay off my credit card. Will take a year if I pay £200 a month.

I will do a new SOA for my projected outgoings for the Autumn months.

I will continue to pay £90 off the 3rd credit card (balance is £423 I think). That will be gone around November/December.

When I do my new SOA, I will look to see how much I can throw at my overdrafts every month.

When my £599 credit card is at zero, I will add my 2 overdraft figures to my signature here.

In December I will be able to reduce my car payment hopefully.

Working_Mum · 10 August 2018 at 1:43PM

Hi PIdge04,
You are doing really well!

I had a really stubborn store-card which had a balance of around £600 for ages - I read on here about a "100 square" - where you divide your debt into 1% chunks and mark each one off as you make a payment - it is easier finding £6 here and there!! It helped me re-position the debt and I am now over 30% of this debt paid in a couple of months.

Good luck with your continued debt busting!

pidge04 · 10 August 2018 at 5:29PM

Thanks so much Working Mum!

I did start that and it soon fell by the wayside. I am going to re-start it! Thank you! Highly motivating to think of it in £6 chunks!

I want to believe I can do this!

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