Viking's Diary

Viking_mfw · 9 July 2017 at 3:10PM

So I'm a recent convert to MSE, oddly directed here by my FIL's love of the Martin Lewis Money Show. We're trying to move house right now to a place closer to work, which will actually involve picking up a much bigger mortgage, but having lurked for a few weeks I finally worked out yesterday that our current mortgage is costing us £15.50 a day in interest, (fixed at 3.5%) and this means more than half the monthly payment is interest. I practically fell off the couch.

This deal comes to an end in August so even if we can't sell our house we can refix at less than 2% with the same provider - and hopefully that's the deal we'd be getting on the new, bigger mortgage. I've never OP'd before, but tomorrow I am going to remove the £65 that has been maundering in an old building soc account for more than 5 years and pay it in so I can make my first ever OP.

I really am a complete newbie - this is our first month of budgeting our spending (OH has done his for years but I do most of the money making and spending including the money he hands over for bills); I'm trying to meal plan more productively; I'm reading the Millionaire Next Door and I'm thinking far more carefully about the choices I make than before.

So I think a diary will really help move things along. I'm not aiming for early retirement but I would like to not be living month to month so much with a really decent combined salary. My aim is to be able to pay down the mortgage and reduce the daily interest in the first instance. I might be looking to shave a couple of years off right now, but I expect that if we do manage to move then we'll be looking to pay down as fast as possible to reduce the monthly bill.

I've been hugely inspired by so many MFW diaries on here and I thought I might as well give it a go!

Viking_MFW

PrincessLou · 9 July 2017 at 5:17PM

Good luck - it sounds like you've had your light bulb moment! Everything's sounding really positive and motivated

Have you thought about doing an SOA? That's usually the best way to start in seeing what you have, what you're spending and how you could possibly cut back.

Viking_mfw · 10 July 2017 at 10:00AM

Thanks PrincessLou, that's a useful suggestion. This month's budget is supposed to help move us towards that, to find out what we actually do spend our money on... so hopefully at the beginning of August I will be in a better position to do an SoA.

V

Viking_mfw · 11 July 2017 at 7:58PM

Hurrah! I have officially made my first ever OP on the mortgage :T

The £65 had accrued an extra £5 in interest since I last looked at it, so that's £70 sent to the mortgage, which also tests the process (it seems deceptively simple...) I excitedly told DH, who gave absolutely no indication of having heard at all... sigh.

Nice to get a win since today's been pretty crappy - one of those days when you have to implement something at work that wasn't your decision or your timeline but you have to be the announcer and take the flak when it comes back...

Kittenkirst · 11 July 2017 at 8:31PM

Sorry to hear you had a pants day at work!

But WAHOO :beer: :j :money: on your first OP! I will warn you that it becomes massively addictive.

I've been doing the 'Tilly Tidy' method (named after a forum member!) to up my overpayments- essentially you round down accounts by moving it across to the mortgage. I round down our joint account to the nearest £ whenever a debit goes out, other people do it to the nearest £5 or £10.

Anyways, however you do it, good luck and keep us updated. We're all in this for the long haul

Viking_mfw · 12 July 2017 at 8:35PM

Thanks Kittenkirst

Looking forward to it being addictive...!

The Tilly tidy was what got me reading these diaries in the first place - found a reference to Tilly Tidies somewhere and had to go looking for what one was, ended up reading her entire diary over a period of about three weeks. I am a bit nervous about them - I am paranoid about ending up in my overdraft at the end of the month. Maybe when I have a bit more confidence about my budgeting skills

Nothing exciting to report today... although it was a NSD, so here's to small victories.

shangaijimmy · 12 July 2017 at 9:06PM

Shiny new diary :hello:

Tilly's are a great way for daily motivation and momentum and you generally end up with about £20 a month to OP, which you don't normally miss (especially with your new budget).

I found the best method to engage Mrs SJ was the picture of the house on the fridge, and then when each £1k is paid off i colour in a brick. That alongside constantly telling herwhat our daily interest is and was.

I'm sure you'll find what works and you'll have plenty of support on here which makes up for lack of it at home.

Viking_mfw · 12 July 2017 at 9:11PM

He's keen, just distracted

I will try TTs as of tomorrow. Nervously

Also went on Swagbucks while waiting for the washing machine to finish and tipped myself over into a £5 Amazon voucher, so there's today's exciting news.

Jessy103 · 13 July 2017 at 10:14AM

Good luck with your journey Viking and well done on your first OP!

Elephantchunks · 13 July 2017 at 8:57PM

Happy new diary Viking! All sounding very positive. Well done on doing your first OP. I will stick around and cheer you on. Good luck!

TwentySomethingGirl · 14 July 2017 at 11:17AM

Hi and welcome :hello:

Good luck with your overpaying, as they say..every little helps!

TSG

Viking's Diary

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