Head out of sand time! £63k to zero!
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To add, the initial ‘that will pay for flights to Australia’ thoughtliterally lasted for about half a second and was then immediately dismissed! I am learning.
Jan 2018 £68,274 May 1 2018 £59,537
Percentage of total debt paid 12.79%
2018 target £10k So far: £8737
Monthly target £833 January £1129 Feb £1278 Mar £1176 Apr £5152
POAYDBX18 #124 £8737/10,0000 -
Personally as the boiler is ok now and your debt is so high I would clear a card. If it helps your sanity though keep it in savings so long as you will not be tempted to blow it on a holiday or whatever.I’m a Forum Ambassador and I support the Forum Team on the Debt free Wannabe, Budgeting and Banking and Savings and Investment boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.0
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Thanks es.
I’ve had a look and the highest rate card has 4.3k on, at 23.9% apr. So, if my sums are correct, the interest on that is just over £1027 a year. If I clear (or as close as I can get to it) that card, then in two years I’ll have “saved” £2054 in interest.
Current payments on the card are £120 a month, and balance is reducing by £30 a month, so I’m paying £90 a month in interest.
It’s a no brainer really isn’t it?Jan 2018 £68,274 May 1 2018 £59,537
Percentage of total debt paid 12.79%
2018 target £10k So far: £8737
Monthly target £833 January £1129 Feb £1278 Mar £1176 Apr £5152
POAYDBX18 #124 £8737/10,0000 -
Thanks es.
I’ve had a look and the highest rate card has 4.3k on, at 23.9% apr. So, if my sums are correct, the interest on that is just over £1027 a year. If I clear (or as close as I can get to it) that card, then in two years I’ll have “saved” £2054 in interest.
Current payments on the card are £120 a month, and balance is reducing by £30 a month, so I’m paying £90 a month in interest.
It’s a no brainer really isn’t it?
Yes it is really not worth sitting on savings any more than bare emergency fund when you are paying those sorts of rates. With any luck if you have not saved enough for the boiler by the time it goes your debt will be low enough to get 0% dealsI’m a Forum Ambassador and I support the Forum Team on the Debt free Wannabe, Budgeting and Banking and Savings and Investment boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.0 -
Yes, thank you so much. It’s hard to see the wood for the trees sometimes, as 4K off 64k seems like a drop in the ocean, but actually every penny helps! Appreciate your support. :Tenthusiasticsaver wrote: »Yes it is really not worth sitting on savings any more than bare emergency fund when you are paying those sorts of rates. With any luck if you have not saved enough for the boiler by the time it goes your debt will be low enough to get 0% dealsJan 2018 £68,274 May 1 2018 £59,537
Percentage of total debt paid 12.79%
2018 target £10k So far: £8737
Monthly target £833 January £1129 Feb £1278 Mar £1176 Apr £5152
POAYDBX18 #124 £8737/10,0000 -
You could split it? I like to have a bit of a buffer even if it doesn't make complete financial sense - makes me feel more secure. So you could put a grand or so away towards the boiler/emergency fund if you think you'll be able to keep it there, and stick the rest towards the card.All shall be well, and all shall be well, and all manner of things shall be well.
Pedant alert - it's could have, not could of.0 -
I suspect that a grand would deplete quite easily, and leaving a extra grand on the card will cost £240 a year in interest, so might well just buy the bits we absolutely must, then throw all of it at the MBNA card and be done with it. It was money I wasn’t expecting, so won’t miss it!You could split it? I like to have a bit of a buffer even if it doesn't make complete financial sense - makes me feel more secure. So you could put a grand or so away towards the boiler/emergency fund if you think you'll be able to keep it there, and stick the rest towards the card.Jan 2018 £68,274 May 1 2018 £59,537
Percentage of total debt paid 12.79%
2018 target £10k So far: £8737
Monthly target £833 January £1129 Feb £1278 Mar £1176 Apr £5152
POAYDBX18 #124 £8737/10,0000 -
I suspect that a grand would deplete quite easily, and leaving a extra grand on the card will cost £240 a year in interest, so might well just buy the bits we absolutely must, then throw all of it at the MBNA card and be done with it. It was money I wasn’t expecting, so won’t miss it!
I think that is sensible. Gets rid of one of the debts at least. If you leave it at nil you might get a 0% offer. How many other cards are you paying high interest on?I’m a Forum Ambassador and I support the Forum Team on the Debt free Wannabe, Budgeting and Banking and Savings and Investment boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.0 -
That!!!8217;s the highest. Thankfully!Jan 2018 £68,274 May 1 2018 £59,537
Percentage of total debt paid 12.79%
2018 target £10k So far: £8737
Monthly target £833 January £1129 Feb £1278 Mar £1176 Apr £5152
POAYDBX18 #124 £8737/10,0000 -
Have you paid it yet? I definitely vote for clearing the card! To sell it to you: you pay £120 off it every month, that £120 a month goes into an emergency fund. You bank with nationwide, they have a single access isa at 1.4% - you can only withdraw once so would that keep your fingers off of it?
One less creditor!
Anyway, so hello! I think you can see your failings and temptations. I also think you can't see that you have got things majorly in your favour - you have the means to afford to service your debt. When you focus it comes down in chunks. Every pound you pay off saves you pounds in interest. You do so great when you're on it. Keep up the great work. XxxLoan 1 £5200/£8000
Loan 2 £300/£5800
Total £5500/£138000
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