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    • DebtFreeDuo
    • By DebtFreeDuo 20th Sep 17, 7:43 PM
    • 953Posts
    • 4,663Thanks
    DebtFreeDuo
    This Duo's debt free journey
    • #1
    • 20th Sep 17, 7:43 PM
    This Duo's debt free journey 20th Sep 17 at 7:43 PM
    I had a previous thread but having problems locating it so thought I would start a fresh one. Brief intro, the duo is me and my little one, just over a year ago my debt was at a figure of around 12k, as of today it stands at 6124.40. This is made up of 2 loans (one car) and one credit card which is 0% until April 2019.

    My aim is to save up over the next 6/8 months so that I can overpay 6 months worth on the loan with the shortest term, this will clear the loan completely as the last payment is December 18. Then I will tackle the second loan which is due to end April 19, I aim to clear this by around December 18 and then clear the 0% card last but well in time for the 0% ending.

    I can't do much until January, I'm currently studying and therefore get my income 3 times per year which I use to overpay, I have just cleared 1500 which is all I can manage until my next payment. This includes a monthly saving to my Help to Buy ISA. I have around 4k in my ISA but I am reluctant to use this to clear my debts as I will earn more back on this then I will save in interest with the governments 25% bonus.

    I have gone over all of my monthly bills and I am certain that I cannot make any further savings than I have made recently. I am currently listing as much on ebay as I can to give me a little extra money for treats that I haven't included in my budget up to December.

    Will update my signature shortly but as it stands my debt free date is April 2019, I aim to bring this forward to Dec 2018 at the very latest.
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    • ladymay
    • By ladymay 27th Feb 19, 8:14 AM
    • 1,051 Posts
    • 4,377 Thanks
    ladymay
    Well done on passing all your modules DFD! And clearing 500 off your debt. As Fatboy Slim would say - "You've come a long way, baby"
    2019 Aim: Save 10,000
    Don't sacrifice what you want most for what you want now
    • DebtFreeDuo
    • By DebtFreeDuo 28th Feb 19, 9:18 AM
    • 953 Posts
    • 4,663 Thanks
    DebtFreeDuo
    Thank you ladymay, I do feel that I am making progress but there is also still a lot more progress to make!

    Where has February gone?! I have been sorting out March pots today and looking at my finances up until September. Had some holiday expenses which has come from the holiday pot, I have 116 left in there with the holiday fast approaching. Also bought an Easter gift for my niece, its a little early but there was an offer on. I don't spend much at Easter as I only buy for my niece, DS and a close friend as they always buy me something.

    Lots of birthdays also approaching but I am cutting down in this area, I always feel like I should buy presents for my smalls cousins on his dads side because they always buy my small a present but I have stepped back from looking at it this way. There are 6 of them so its a huge expense when you consider birthdays and Christmas, I don't see them much anymore but its always me that takes small to their birthday parties and I never felt like I could turn up empty handed. I currently have 210.87 in the gifts pot but I have 5 birthdays coming up in the next 2 months, this would have been 9 if I hadn't cut down! One of which is my smalls birthday so will be quite expensive, he really doesn't need anything toy wise so I am only going to spend a small amount on him but will also put some money into his account.

    Had an interest rebate which means an extra 38.57 cleared from the debt in Feb, total 538.57 in just one month. I'm hoping for similar in March, I need around 100 to get up to the 500 but also need to cover the overspends from half term. Watch this space! One positive is that I have reduced the amount I have to find from half term down to 126.62.

    Small wanted to do an after school activity which means I have had to allocate 25 to this, I try to encourage him to do extra things as much as I can and its for the rest of the school year so it is good value. Have taken this from the entertainment pot.

    Overall March will be a tight month.
    Change the way you see things and the things you see will change
    • DebtFreeDuo
    • By DebtFreeDuo 28th Feb 19, 3:46 PM
    • 953 Posts
    • 4,663 Thanks
    DebtFreeDuo
    So I have spent a lot of time on my finances today, based on my regular payments my DFD was looking to be around June of next year, after some adjusting it is now set at November of this year. I know its later than I would have liked but it feels like this time I will really stick to it and not go back to the way I was as I don't rely on credit like I used to do.

    This factors in some payments I have coming in over the next few months that I have assigned to overpayments and uses my savings pot at the end of the year to clear what is remaining. This does mean that I need to stick to the savings plan no matter what, this will become difficult as I am left with the higher amounts (1 - 52 cross one off each week) but I do try to clear one higher amount off each month at the moment. If I work at it I know that I can bring this date forward. If I do manage to bring the date forward then I really have no excuse as to why I shouldn't be saving more towards my help to buy ISA, if I can find even 300 a month to be clearing off debt then I should be able to find the 200 to put into there each month!
    Change the way you see things and the things you see will change
    • Nicnak
    • By Nicnak 28th Feb 19, 7:34 PM
    • 2,037 Posts
    • 11,972 Thanks
    Nicnak
    Debt reduction is always a long journey and a bumpy road. You have it well planned out an are tackling it. I doesn't matter if it is next month, next year, or next decade. You are doing amazing. xx
    September 6th 2017 - Updated February 2019
    Credit Card 0 now: 0 Dad 1500 = 200 Consolidation 15,000 = 9,760 Total = 25,330 9,960 61% gone EMF #252 = 100/1000
    Sealed pot challenge #024
    Pay off all your debts by Christmas #071
    • DebtFreeDuo
    • By DebtFreeDuo 3rd Mar 19, 8:34 PM
    • 953 Posts
    • 4,663 Thanks
    DebtFreeDuo
    It certainly is Nicnak. thank you for your kind words.

    So March debt payment at the moment is looking good:
    202.60 regular payments
    55.90 overpayment already made
    around 150 interest from help to buy ISA to go over
    around 50 from sales

    Which means I only have to find another 50 and then, for the second month running, I have cleared 500 off the debt. This feels amazing! I won't achieve this in April or May but likely will again in June. March will also see my debt come down to the next 000 bracket which is something I always love to see.
    Change the way you see things and the things you see will change
    • DebtFreeDuo
    • By DebtFreeDuo 5th Mar 19, 3:47 PM
    • 953 Posts
    • 4,663 Thanks
    DebtFreeDuo
    Took some boots back today that weren't very good quality so a refund has gone on to my account for them, I have assigned this to the clothes pot as it was looking very empty and DS needs some new shoes

    Received the interest on my ISA so 156.05 has been assigned to March overpayment, just waiting on my invoice for selling and then I can also take the difference and assign that too. Currently I am at 407.69 cleared, another 50ish from selling plus a little amount back in interest and I will be almost there.

    Have been clearing lots of things around the house as part of my yearly goals, I think I am around 40 items cleared although realistically this is higher if I counted the bundles of clothing seperately, I could easily add on another 20 items that way!
    Change the way you see things and the things you see will change
    • Nicnak
    • By Nicnak 9th Mar 19, 6:57 AM
    • 2,037 Posts
    • 11,972 Thanks
    Nicnak
    The interest in the ISA is great, Sounds like you are on top of it this month. Remember this feeling when you have the ones where it seems out of control and know that you have these one as well. xx
    September 6th 2017 - Updated February 2019
    Credit Card 0 now: 0 Dad 1500 = 200 Consolidation 15,000 = 9,760 Total = 25,330 9,960 61% gone EMF #252 = 100/1000
    Sealed pot challenge #024
    Pay off all your debts by Christmas #071
    • DebtFreeDuo
    • By DebtFreeDuo 1st Apr 19, 10:48 AM
    • 953 Posts
    • 4,663 Thanks
    DebtFreeDuo
    Wow I can't believe its been almost a month since I updated here! I have had a very busy month with our holiday and other stuff. Had some unexpected spends as my laptop gave up on me, luckily it didn't cost too much to get it repaired and working again.

    I didn't have as many NSDs last month as I would have liked, 13 in total which takes me to 40/160 for the year. This puts me right on target so no major damage done.

    500 off the debt total again in March which means 1000 cleared in 2 months! Still looking at November 19 as my DFD which feels a long time but it is only 8 months away. Won't have any big months for clearing debt for a little while now. April and May are both going to be very tight months for me.

    49/365 items cleared. I'm really behind with this but I just haven't had the time. I do have some things listed to clear and have some things bagged up which just need to be taken away from the house but I can't count them until they are gone.

    13 weeks savings done which totals 221. I was going to save this until the end of the year to clear the debt with but thinking about it I might actually pay it off quarterly, this way I will gain the benefit of having an interest rebate. I will see how I get on in April and make the decision then.

    I have a couple of spendy months with birthdays, including DS' birthday. Hoping to be very frugal and get those NSD numbers up! Have also had my exam timetable so revision will be taking up a lot of my time which should help a lot. Will try not to leave it another month without an update!
    Change the way you see things and the things you see will change
    • EssexHebridean
    • By EssexHebridean 2nd Apr 19, 12:04 PM
    • 9,181 Posts
    • 48,189 Thanks
    EssexHebridean
    Sounding really good with you DFD!
    NSD's still on target is great - I reckon it averages out over a year when you do better than expected some months then miss your target by a few another. Great progress with knocking another lump off the debt totals too!

    Wow to November as your DF date too - SO close now!
    MORTGAGE FREE 30/09/2016
    SOA CALCULATOR (for DFW newbies): Stoozing.com SOA Calculator
    • Nicnak
    • By Nicnak 2nd Apr 19, 6:52 PM
    • 2,037 Posts
    • 11,972 Thanks
    Nicnak
    That's great. You are doing fab x
    September 6th 2017 - Updated February 2019
    Credit Card 0 now: 0 Dad 1500 = 200 Consolidation 15,000 = 9,760 Total = 25,330 9,960 61% gone EMF #252 = 100/1000
    Sealed pot challenge #024
    Pay off all your debts by Christmas #071
    • DebtFreeDuo
    • By DebtFreeDuo 9th Apr 19, 9:08 AM
    • 953 Posts
    • 4,663 Thanks
    DebtFreeDuo
    That's great. You are doing fab x
    Originally posted by Nicnak
    Thank you, I hope you're well. I have become more of a lurker with your diary as of late but I promise I will stop by properly soon!

    Sounding really good with you DFD!
    NSD's still on target is great - I reckon it averages out over a year when you do better than expected some months then miss your target by a few another. Great progress with knocking another lump off the debt totals too!

    Wow to November as your DF date too - SO close now!
    Originally posted by EssexHebridean
    Thank you EH, it definitely averages out. I really want to try and move the date forward but I don't think its doable whilst trying to take a more realistic approach.
    Change the way you see things and the things you see will change
    • DebtFreeDuo
    • By DebtFreeDuo 9th Apr 19, 9:23 AM
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    • 4,663 Thanks
    DebtFreeDuo
    Things just feel so busy with me at the moment, I always feel like this when I have exams approaching. I think I start to feel guilty when I do anything that isn't either about DS or about uni.

    I originally said that this month would be just minimum payments on the debt front but I have used my savings pot to clear some now rather than waiting until November to use the pot in one go. I will benefit more by doing this as I will get a higher interest rebate. so total from the debt for this month so far is looking like the following:

    202.60 minimum payments
    290 Overpayments
    1.91 interest rebate from last months overpayment

    Total 494.51

    Another interest rebate will be added to this, based on previous rebate I'm guessing around 10 which will then take me over the 500 for the 3rd month running! This really is massive for me, my income as a student isn't huge but I'm determined to live a debt free life ASAP.

    Next month I'm looking at around 300 off the debt, a part of me really wants to try and get this up to 500 but next month is exam month and I don't want anything to stop me passing them this year so instead I will try and make up for it in June when I have no distractions.

    Pots are looking healthy, I have planned my month out this month with spends and so far I have done well at sticking to my plan. I feel like I am finally learning how to budget properly, I have enough money aside for big birthdays that are coming up, I have half of the money for my car insurance even though it isn't due until September. I just feel like I have a whole new approach to finances.

    I did realise that my car budget is probably slightly too high, instead of lowering this I think I will keep it as it is for any unexpected repairs but ultimately for a new car when I need one. It should be a good few years until mine needs replacing but if I can start saving bits now and then once the debt is cleared I can add more to it and I won't have to look into a loan for it in the future. In the past I have always relied on a loan when I have needed a new car.

    Anyway I must go and hit the books!
    Change the way you see things and the things you see will change
    • Nicnak
    • By Nicnak 9th Apr 19, 5:50 PM
    • 2,037 Posts
    • 11,972 Thanks
    Nicnak
    Good luck with your exams. Good idea about the car and keeping it the same. x
    September 6th 2017 - Updated February 2019
    Credit Card 0 now: 0 Dad 1500 = 200 Consolidation 15,000 = 9,760 Total = 25,330 9,960 61% gone EMF #252 = 100/1000
    Sealed pot challenge #024
    Pay off all your debts by Christmas #071
    • EssexHebridean
    • By EssexHebridean 10th Apr 19, 2:24 PM
    • 9,181 Posts
    • 48,189 Thanks
    EssexHebridean
    It was what we did with our car maintenance savings DFD - let them build over the level we needed and then used that excess towards the replacement cost. Aiming to do the same thing again now ready for when MrEH's needs sorting too.

    Good plan on not putting extra pressures on yourself during the month you have exams too.
    MORTGAGE FREE 30/09/2016
    SOA CALCULATOR (for DFW newbies): Stoozing.com SOA Calculator
    • DebtFreeDuo
    • By DebtFreeDuo 11th Apr 19, 1:02 PM
    • 953 Posts
    • 4,663 Thanks
    DebtFreeDuo
    Thank you both. The car thing should be a real help and if I don't put it towards a car before I look into buying a house then I can use it towards that.

    15.45 interest rebate which means that Aprils debt payment total is 509.96. Not much else to report at the moment just trying to keep within those budgets.
    Change the way you see things and the things you see will change
    • Nicnak
    • By Nicnak 12th Apr 19, 6:37 AM
    • 2,037 Posts
    • 11,972 Thanks
    Nicnak
    Just keep going!! xx
    September 6th 2017 - Updated February 2019
    Credit Card 0 now: 0 Dad 1500 = 200 Consolidation 15,000 = 9,760 Total = 25,330 9,960 61% gone EMF #252 = 100/1000
    Sealed pot challenge #024
    Pay off all your debts by Christmas #071
    • ladymay
    • By ladymay 16th Apr 19, 12:51 PM
    • 1,051 Posts
    • 4,377 Thanks
    ladymay
    You're doing fantastically! I hope you have some treats to keep you going during the studying - I always had a bar of Fruit and Nut on me for study 'emergencies'
    2019 Aim: Save 10,000
    Don't sacrifice what you want most for what you want now
    • DebtFreeDuo
    • By DebtFreeDuo 25th Apr 19, 3:48 PM
    • 953 Posts
    • 4,663 Thanks
    DebtFreeDuo
    You're doing fantastically! I hope you have some treats to keep you going during the studying - I always had a bar of Fruit and Nut on me for study 'emergencies'
    Originally posted by ladymay
    After easter I have a lifetime supply of chocolate I suppose its not the worst time to have exams.
    Change the way you see things and the things you see will change
    • DebtFreeDuo
    • By DebtFreeDuo 25th Apr 19, 4:12 PM
    • 953 Posts
    • 4,663 Thanks
    DebtFreeDuo
    Time is just slipping away! This month is going ok, I have taken my eye off the ball a little but I haven't gone crazy with purchases.

    I don't know why but I'm really struggling with my grocery budget, I had a holiday this month (with family and only cost me the fuel to get there and spends) so a week less and I've still spent the whole amount before the end of the month. I try to buy organic and plastic free where I can and I find this really increases the cost but I would rather buy less and be able to try and take care of the environment. Is 200 a lot to be spending each month on groceries? Not just food but everything you would buy from the supermarket so cleaning, toiletries etc.

    Something I realised I hadn't written here in a long time is how much debt I currently have, I think I've felt like I failed myself by allowing it to build back up although I know that is because I wasn't realistic previously. So my current total stands at 3235, next month I will be below the 3k mark by a good amount and I'm hoping that June will see me go below the 2k mark as I have some money coming in that will go straight to the debt. June should be a really good month for clearing debt.

    I have just done a bank switch which will see 125 coming my way in the next couple of months, this should hopefully mean that either July or August will be another good month for clearing debt. I also signed up for a CC with an introductory 100 in nectar points, it also gives you nectar points from your spends. I currently have just shy of 80 in points so when its credits it will push it up to 180! I'm relying on another double up before Christmas to use this although I think I can only double up 100 of it but that will still give me 280 towards presents.

    I feel like I am making lots of positive changes so even though I cleared my debt before and ended up back in a mess I feel that this time is really different. Last time I was in a huge rush to clear it all and left myself really short, this time I am really planning ahead for any possibility. Christmas is already pretty much covered and the biggest birthday I have (DS in a weeks time) is sorted, my annual car costs are half way there with another 6 months until my insurance is due and 8 months until my MOT and service. I need to remember these positives when I start feeling down about the total amount.

    Right off to sort out DS and try to get some revision done.
    Change the way you see things and the things you see will change
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