Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

Search
  • FIRST POST
    • Sun Addict
    • By Sun Addict 16th Apr 09, 3:35 PM
    • 6,322Posts
    • 43,638Thanks
    Sun Addict
    What are your plans when you finally become debt free?
    • #1
    • 16th Apr 09, 3:35 PM
    What are your plans when you finally become debt free? 16th Apr 09 at 3:35 PM
    Hi everyone

    I've got a diary over on the DF diary board and as I can finally see an end in sight to my debt I'm starting to think about what the money I am using to pay off my debt will go on once it's cleared.

    I hope that by putting it down in black and white this will spur me on to clear it faster.

    I would be interested to know what plans other people have because I know how it feels when you are letting money go to pay off what is basically what you have already had (if you get my meaning). It feels like dead money.


    So when I've finally cleared my debt I will:
    1. Buy a bottle of bubbly!
    2. Treat myself to something nice (but not expensive!)
    3. Treat me and OH to a nice meal out (we haven't done this for so long)
    Then down to the nitty gritty:
    1. Save 1000 for an emergency fund for such things as car repairs, appliance breakdowns, vet bills, etc
    2. Save six months expenses for a real emergency fund
    3. Just make sure I save something EVERY month
    Everytime I look at this list I hope it will motivate me. I am so looking forward to the day I can put my plans into action and hopefully this will be achieved in 11 months time or, if I'm lucky, by the end of this year.

    I think it would be a good idea if there was a board for newly debt free people where they could post for, say, the first year until they have found their feet - a bit like having the P sticker on your car when you have just passed your test.

    So what are your plans?

    This Forum Tip was included in MoneySavingExpert's weekly email

    Don't miss out on new deals, loopholes, and vouchers

    Last edited by MSE Deborah; 21-04-2009 at 6:43 PM.
    Virtual Sealed Pot 2018 404.08
    Debt 2180
    Weight loss 0/6LBS
    Emergency Fund 4000/10,000
Page 1
    • BusPass
    • By BusPass 16th Apr 09, 4:12 PM
    • 312 Posts
    • 694 Thanks
    BusPass
    • #2
    • 16th Apr 09, 4:12 PM
    • #2
    • 16th Apr 09, 4:12 PM
    Great to hear about your progress.

    2002 we were 40,000 unsecured down the swannie and hurtling along an undisciplined path to oblivion. We couldn't cover monthly c/c payments from income which was our light bulb moment. Like others I looked at my debt as the monthly repayments and not the total amount owed. After 5 years of austerity, budgeting, 0% cards we managed to get out of debt.

    2007 debt free!!!!! One of the most satisfying moments I have had for many a long year (since the kids were born)

    Now we have 40,000 (yes 40,000) in savings and are squirelling away 2,000 a month. We are addicted to saving and are not going to draw breath until we reach 100,000.

    I find the threads on here inspirational especially the what little things have you done today because I feel that once you have picked up the habit you'll keep going whether you are in debt or not.

    Enjoy your moment.
  • Daffykjs
    • #3
    • 16th Apr 09, 4:28 PM
    • #3
    • 16th Apr 09, 4:28 PM
    oooh what a nice thread!

    I think i would also celebrate with a nice meal and drink etc first.

    then i would reassess our budget. it it very tight at the mo and it would be nice to have a bit more leeway and bit less penny counting. So i'd draw up a new realistic and not too high but not as low as now budget.

    And the rest i would squirrel away for rainy days and also for a holiday which i think by then we will be in desperate need of!
    DMP Mutual Support Thread Member No 261
    Debt at start of DMP (Jan 2009) = 46,147.86 Now = 36,826.98
    DFD = Jan 2014 May 2013 (60 52 41 payments to go)
    NSD:Nov 12/12Dec 9/10 Jan 5/10
    Slowly but surely
    • Storm
    • By Storm 16th Apr 09, 4:34 PM
    • 1,747 Posts
    • 1,402 Thanks
    Storm
    • #4
    • 16th Apr 09, 4:34 PM
    • #4
    • 16th Apr 09, 4:34 PM
    I think it would be a good idea if there was a board for newly debt free people where they could post for, say, the first year until they have found their feet - a bit like having the P sticker on your car when you have just passed your test.
    Originally posted by Sun Addict
    I think this would be a great idea too - I found once I was df a year ago that I was a bit directionless for a while - I felt that I shouldn't keep posting on DFW, but didn't really find another area of the boards that I felt as at home on!

    Personally, I think a treat with the money in the first month is definitely called for, but after that I eased up a bit on my shopping budget, but the money I was paying off each month has been re-directed into different pots (holiday, emergency fund, deposit for a house etc). The nicest thing though is that I stopped the overtime, and although I do still list on Ebay etc it's not nearly as regular, so at least I know I've got a bit of a fall back if things get tight again in the future.

    Standing orders are my best friend with saving - they all go out on the 1st of the month, and I never let myself check my bank balance until the 2nd, so I don't even see the money being siphoned off (so it's a nice surprise when I eventually check my savings accounts!)

    Good luck with the end of your DFW journey

    Storm x
    Total Debt 13th Sept 2006 (exc student loan): 6240.06
    O/D 1 1250 O/D 2 100 Next a/c 313.55@ 26.49% Mum 130 HSBC 4446.51@15.75%M&S 580.15@ 4.9%
    Total Debt 30th April 2008: 0 100% paid off!

    PROUD TO BE DEALING HAVE DEALT WITH MY DEBT
  • dylansmum
    • #5
    • 16th Apr 09, 4:39 PM
    • #5
    • 16th Apr 09, 4:39 PM
    Hi

    Great post! One unsecured debt left- off in 2 months max. Then overpay mortgage and save! Might treat family to day out somewhere if feel I can risk it. Five years of no money and soon we will have a surplus!!

    Well done everyone for keeping agoing!

    Down with Debt!
  • meerkat2007
    • #6
    • 16th Apr 09, 4:55 PM
    • #6
    • 16th Apr 09, 4:55 PM
    I've just been made redundant (voluntarily), and the bulk of my redundancy - once I receive it - will be going on reducing my debts and therefore monthly outgoings, as I am starting a new job on a slightly lower salary but with better prospects next Monday. This will bring my debt-free date forward by about 18 months, I think. That includes the mortgage.

    Once everything is paid off, I shall be saving for a year's living expenses in reserve and an emergency fund of about 5k to cover house maintenance and car repairs.

    After that, I shall be saving up to get the house renovated completely. I don't plan on moving out of this house until they carry me out feet first, so I want to spend money on it while I'm making money, so that on the day I retire, I can look around and know that the house is as I want it to be, and I don't have to organise any major jobs. After the renovation, it will be general saving for my retirement.

    On retirement, I shall be spending some of my savings on a holiday, possibly a cruise, and when I come back from that, I shall be off to a rescue to find a little dog who wants to adopt me.

    I have it all planned!
    • Fortheloveofmoney
    • By Fortheloveofmoney 16th Apr 09, 4:55 PM
    • 404 Posts
    • 371 Thanks
    Fortheloveofmoney
    • #7
    • 16th Apr 09, 4:55 PM
    • #7
    • 16th Apr 09, 4:55 PM
    Well done on your progress!!!

    It was my 1 year debt free (except mortgage) anniversary last Friday and am pleased to say that I'm still debt free.

    We got married last October so the debt repayments were automatically redirected in to the wedding savings fund. We had a fab day and had everything we wanted and a very luxurious honeymoon and not one penny debt

    From the wedding until now we have been savings our 6 months "just in case money" which we achieved last month. We have also be overpaying the mortgage as we are on a tracker and just kept the repayments the same as they were originally.

    I've let up on the purse strings quite a bit and we both have a generous spends budget each month which has been great for me but not so much for hubby. It's the first time he has had a set amount to spend each month and it struggling a little :rolleyes:

    I'm probably being made redundant tomorrow so will be tweaking the budget once again to make sure we can live off hubby's money and not touch the savings. I'm hoping that we'll still be able to put a little by each month but we'll have to seriousy adjust our spending to do that

    We were hoping to move next year and were about to save for that but it all depends on the job situation now.
    Debt at LBM (March 2006): 30,000
    DEBT FREE SINCE APRIL 2008!!!! YIPPEEEEEE!!!!!
    • newlywed
    • By newlywed 16th Apr 09, 4:58 PM
    • 7,473 Posts
    • 24,341 Thanks
    newlywed
    • #8
    • 16th Apr 09, 4:58 PM
    • #8
    • 16th Apr 09, 4:58 PM
    Send off for my passport, then save up and book a holiday!!!!!!

    Then go shopping at the clinique counter and M&S food hall

    Saving up for a newer car

    Never get a credit card again!

    And find out if I can work 4 days a week at my current job.


    Only 1/3 of the way there though - so got a few more years yet
    Last edited by newlywed; 16-04-2009 at 5:03 PM.
    Grocery Challenge August = 300 hopefully!
    DMP support thread (member #32)

  • retrocircles
    • #9
    • 16th Apr 09, 4:58 PM
    • #9
    • 16th Apr 09, 4:58 PM
    Once I'm debt free I'll have a massive treat. Definitely a holiday somewhere. Then I'll get some savings behind us (probably 10k) then aim to pay off the mortgage early!
    Debt @ LBM 29/12/08 - 49044! Now 44684.
    Fat loss 29/85lbs // 100 into 10k 243.07/10k
    HSBC Loan 9658 // HSBC CC 3484 // HSBC CC 1464 // DP's 779 // Car 0% 4851 // Halifax OD 1348 // HSBC OD 1.5k // HSBC OD 1k // Barclays OD 400 // IOMOM 4400 // S Loan 15k // Cap1 800
    • Fortheloveofmoney
    • By Fortheloveofmoney 16th Apr 09, 4:58 PM
    • 404 Posts
    • 371 Thanks
    Fortheloveofmoney
    I've just been made redundant (voluntarily), and the bulk of my redundancy - once I receive it - will be going on reducing my debts and therefore monthly outgoings, as I am starting a new job on a slightly lower salary but with better prospects next Monday. This will bring my debt-free date forward by about 18 months, I think. That includes the mortgage.

    Once everything is paid off, I shall be saving for a year's living expenses in reserve and an emergency fund of about 5k to cover house maintenance and car repairs.

    After that, I shall be saving up to get the house renovated completely. I don't plan on moving out of this house until they carry me out feet first, so I want to spend money on it while I'm making money, so that on the day I retire, I can look around and know that the house is as I want it to be, and I don't have to organise any major jobs. After the renovation, it will be general saving for my retirement.

    On retirement, I shall be spending some of my savings on a holiday, possibly a cruise, and when I come back from that, I shall be off to a rescue to find a little dog who wants to adopt me.

    I have it all planned!
    Originally posted by meerkat2007
    I'm impressed!!! I really haven't thought that far in advance....
    Debt at LBM (March 2006): 30,000
    DEBT FREE SINCE APRIL 2008!!!! YIPPEEEEEE!!!!!
    • Uniscots97
    • By Uniscots97 16th Apr 09, 5:05 PM
    • 6,423 Posts
    • 23,806 Thanks
    Uniscots97
    I've just been made redundant (voluntarily), and the bulk of my redundancy - once I receive it - will be going on reducing my debts and therefore monthly outgoings, as I am starting a new job on a slightly lower salary but with better prospects next Monday. This will bring my debt-free date forward by about 18 months, I think. That includes the mortgage.

    Once everything is paid off, I shall be saving for a year's living expenses in reserve and an emergency fund of about 5k to cover house maintenance and car repairs.

    After that, I shall be saving up to get the house renovated completely. I don't plan on moving out of this house until they carry me out feet first, so I want to spend money on it while I'm making money, so that on the day I retire, I can look around and know that the house is as I want it to be, and I don't have to organise any major jobs. After the renovation, it will be general saving for my retirement.

    On retirement, I shall be spending some of my savings on a holiday, possibly a cruise, and when I come back from that, I shall be off to a rescue to find a little dog who wants to adopt me.

    I have it all planned!
    Originally posted by meerkat2007


    Been made redundant too. Hoping I find a job soon so I can use the bulk of my redundancy same as you have done.
    CC2 = 8687.86 (10000 )CC1 = 0 (9983 ); Reusing shopping bags savings =5.80 vs spent 1.05.Wine is like opera. You can enjoy it even if you don't understand it and too much can give you a headache the next day J
  • Gemmzie
    We're cheating really and saving and having treats as we go. But when we finally get there...
    * Very posh meal in Ramsey's nearby restaurant,
    * 2 week cruise for parents,
    * 2 week Florida holiday for all of us,

    That's it so far
    No longer using this account for new posts from 2013
    • CAFCGirl
    • By CAFCGirl 16th Apr 09, 6:17 PM
    • 8,516 Posts
    • 17,704 Thanks
    CAFCGirl
    oooooooooooooo Gemmzie good idea, meal at Gordon Ramsay's.... thats defo on my list...

    would be that..... whole new wardrobe for me and DH..... and a baby..... been waiting to try again so gives us even more motivation!

    I love threads like this!

    10 years and still don't have a clue what I'm doing

    Starter Debt 869.17 Sept 18/Remaining Debt 869.17 Sept 18
  • meerkat2007
    Been made redundant too. Hoping I find a job soon so I can use the bulk of my redundancy same as you have done.
    Originally posted by unixgirluk
    I wish you all the luck in the world in finding another job. I don't mean this to sound boastful, I say it more in disbelief, but I have been exceptionally lucky in what has happened to me - I received a firm job offer literally minutes after my employer issued an email requesting expressions of interest in voluntary redundancy. It was an opportunity that happens once in a lifetime, and happens to someone else, not me.
  • meerkat2007
    I'm impressed!!! I really haven't thought that far in advance....
    Originally posted by Fortheloveofmoney
    Well, I know where I am now, and I know where I want to be when I retire (about 20 years off, give or take). In between, I have a vague idea of the main features, but the fine details are still something of a mystery!
  • elsie52
    Now this thread I like.!!

    Dreaming of my debt free date is something I love, so this is my list.

    1. Save for emergencies
    2. Save for retirement.
    3. Holiday to Florida for us and our 3 grandchildren
    4. Save for a new car.
    5...Cruise Holiday for OH and me
    6. Shop at M & S, just for one week, then back to Mr T or Mr S
    7..Have my hair coloured at a salon instead of doing it myself.

    Oooo what a lot to look forward to, and not a loan or credit card in sight. yaahh!


    June 2010 - 11/56 lbs Weight to lose before May 2011.

    • Buffythedebtslayer
    • By Buffythedebtslayer 16th Apr 09, 7:26 PM
    • 15,337 Posts
    • 51,360 Thanks
    Buffythedebtslayer
    When I am debt free

    I will

    1. quit my job. cos I hate it. with a firey passion.

    2. get a new job.

    3. save for emergencies

    4. Visit my sister in the USA (ideally that would be first)


    Excellent thread idea
    Frugal Living Challenge, Pound a Day challenge, Sealed Pot Challenge Debt 4990 (March)
    • makeup
    • By makeup 16th Apr 09, 7:27 PM
    • 1,594 Posts
    • 4,862 Thanks
    makeup
    Hello All

    I became debt free in November 08 due to a new job which brought a pay rise.

    The first thing I got was a laptop (fed up of using internet cafes or waiting til my lunch for the internet) then I went on a holiday to Bali last month.

    It was so great to go on holiday knowing there was nothing on the cc's to pay off afterwards. I paid for it all out of my earnings and it was such a great feeling not to have tons of CC debt afterwards (which is how I got into debt in the first place!!)

    It was also great to be able to splash out on presents for Christmas and I have arranged a spa weekend for me and sister for her birthday present (we're going in a couple of weeks).

    Now the initial excitement of a current account that isn't in the overdraft has worn off, I've set up a regular saver ISA and I'm trying to save 700 per month towards a deposit for a flat.

    I'm still on the boards as I feel I need to keep my DFW about me as it is so easy to slip into debt. I've been in debt and got myself out of it 3 times now and I don't want to get back in that cycle again.!!!
    I've got my own flat

    Now I have to pay the bills

    And feed my interiors addiction
  • Merlinexcalibur
    1 Leave the country and everything else behind me
    Any help, opinions, views I may hold those are my own. Respect them as you would expect the same in return. Offered freely, is gleaned from a lifetime of experiences, knowledge gaining. Passed on to benefit others. I may be direct, ask you questions but those are to help you. Up to you if you choose to take it. I won't judge you either way.
  • iscrimger
    My outgoings just now are relatively low and the surplus I'm putting towards clearing debt. Everything apart from my Personal Loan should be gone by Christmas.

    I'll see how I'm doing around October and then look at planning early repayment for the loan in 2010, it's not due to be completely paid until 2014.

    I have a fairly elaborate tracker of my estimated spending based on my current spending mapped out until 2014. By the end of 2010 I could in theory have saved twice as much as the loan was originally worth!!

    If I've paid off the bulk of the debts by Christmas I'll be having a rather lavish one this year!!! (I've already worked the figures to see if it's possible .. and it is!!)
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

4,143Posts Today

6,734Users online

Martin's Twitter