Debt free in 6 months

armouredbeast
armouredbeast Posts: 20 Forumite
Combo Breaker First Anniversary
edited 25 August 2018 at 7:04PM in Debt-free wannabe
Hi, over the past 6 years I have got myself in £7339.00 debt through credit card, amazon card, personal loan and overdraft..... I regret every single spending, but there is no point regretting in life and I should focus on the present moment and what I can do to resolve this debt...

I am more than determined to reduce this debt down to ZERO by the end of February 2019.

My debt breakdown is as follows...

£1000 (amazon)
£1000 (overdraft)
£1700 (credit card)
£3639 (personal loan)


Total = £7339.00


I am not sure every experiences or things i have bought were worth getting into this much debt :(
This debt is a burden on my shoulders and is someting i want to GET RID OFF asap as I can't continue living my life with this huge debt on my shoulders...
For the next 6 months I am also intending to live a frugal life to pay off this debt.
Thanks for reading! If you have any advice and tips , please share them with me :)
«1

Comments

  • MovingForwards
    MovingForwards Posts: 16,907 Forumite
    First Anniversary First Post Name Dropper Photogenic
    Hey, welcome to the group.

    Complete a statement of affairs and see if you can cut down spends anywhere to free up a bit more and pay your outstanding amounts quicker/easier.

    Feel free to post it up and we can offer a bit of advice :)
    Mortgage started 2020, aiming to clear it in 2026.
  • DrSqueeze
    DrSqueeze Posts: 914 Forumite
    First Anniversary First Post Combo Breaker
    Work out which one is costing you the most each month (in terms of new interest and fees being added). So if you can afford to pay more than the minimum amounts due, make that your priority for the extra funds. When it's repaid, the interest you save will help you clear the next most expensive one more quickly.
  • Willing2Learn
    Willing2Learn Posts: 6,294 Forumite
    First Anniversary Name Dropper First Post Photogenic
    Hi,

    If it were me, I would focus on clearing the overdraft as that debt can payable on demand with the overdraft facility withdrawn.

    After the overdraft, I would focus on the debt with the highest interest and then start a snowball.
    I work within the voluntary sector, supporting vulnerable people to rebuild their lives.

    I love my job

    :smiley:
  • [Deleted User]
    [Deleted User] Posts: 0 Newbie
    First Anniversary Combo Breaker Name Dropper First Post
    Just wanted to wish you luck and say well done for your determination. I have slightly higher debt of £7700 but I'm planning to clear it within a year.:beer:
  • theoretica
    theoretica Posts: 12,294 Forumite
    First Post Name Dropper Photogenic First Anniversary
    Can you sell any of the things you bought and now don't want?
    But a banker, engaged at enormous expense,
    Had the whole of their cash in his care.
    Lewis Carroll
  • armouredbeast
    armouredbeast Posts: 20 Forumite
    Combo Breaker First Anniversary
    edited 14 October 2018 at 12:25PM
    Update



    My debt breakdown is as follows...


    £950 (amazon)
    £1050 (overdraft)
    £1369.00 (credit card)
    £3410.00 (personal loan)


    Total debt remaining: £6779.00

    I still have a loooong way to go to clear this debt... Being debt free in 6 months might have been a tad optimistic
  • armouredbeast
    armouredbeast Posts: 20 Forumite
    Combo Breaker First Anniversary
    Missu wrote: »
    Just wanted to wish you luck and say well done for your determination. I have slightly higher debt of £7700 but I'm planning to clear it within a year.:beer:
    How are you getting on?
  • armouredbeast
    armouredbeast Posts: 20 Forumite
    Combo Breaker First Anniversary
    edited 20 October 2018 at 3:44PM
    A little update..


    My family has very kindly loaned me £4500 (consolidation loan), which meant I could completely clear my credit card (£1900) and my overdraft (£1200) leaving me with £900 to pay some of my amazon balance (£1000) and loan (£3410).


    The family loan is interest free, so I will be paying them back £500 for the next 9 months.



    My new balances are...


    0 overdraft
    0 credit card
    £3100 loan
    £500 amazon credit



    Total debt remaining £3910.00


    This unexpected £4500 family loan has saved me from building huge interest on my credit cards.


    The next step is to clear my amazon with my next pay, which would leave me with just the loan to worry about.
  • theoretica
    theoretica Posts: 12,294 Forumite
    First Post Name Dropper Photogenic First Anniversary
    I am worried by your numbers. In August you had £7339 debt. Now after a £4500 loan from your family (which is of course debt still) you say you have £3910 debt (or £3600 if you add up your figures). £7339 - £4500 = £2839. So according to this you are in more debt that you were in August when you started this. What has happened?



    Hopefully this is just a number mistake in your posts, but accurate information and numbers will help you defeat this.


    armouredbeast wrote: »
    Hi, over the past 6 years I have got myself in £7339.00 debt ...

    My debt breakdown is as follows...

    £1000 (amazon)
    £1000 (overdraft)
    £1700 (credit card)
    £3639 (personal loan)


    Total = £7339.00
    armouredbeast wrote: »

    £950 (amazon)
    £1050 (overdraft)
    £1369.00 (credit card)
    £3410.00 (personal loan)

    Total debt remaining: £6779.00
    armouredbeast wrote: »
    My new balances are...

    0 overdraft
    0 credit card
    £3100 loan
    £500 amazon credit

    Total debt remaining £3910.00

    This unexpected £4500 family loan has saved me from building huge interest on my credit cards.
    But a banker, engaged at enormous expense,
    Had the whole of their cash in his care.
    Lewis Carroll
  • armouredbeast
    armouredbeast Posts: 20 Forumite
    Combo Breaker First Anniversary
    edited 28 December 2019 at 11:59AM
    UPDATE 28/12/2019



    My debt situation has improved so much over the last few months after working literally every day since summer!



    My debt now is £4300.00 from the initial £7339.00!!! :mad:


    My current debt breakdown is as follows...

    £2600 amazon credit card(Took advantage of the interest free balance transfer offers to clear my credit card debt! :beer:)
    CLEARED overdraft :beer:

    £1700 Halifax balance transfer credit card (no interest for 12 months)


    CLEARED personal loan


    I predict that I will have my Amazon and Halifax cleared by the end of next summer :beer:
    I forgot to mention that I am also paying the family loan debt which is slowly going down! ( Down to £3000)
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