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
    • Rainbow_brite
    • By Rainbow_brite 5th Apr 18, 3:54 PM
    • 12Posts
    • 2Thanks
    Rainbow_brite
    Finding the right balance...
    • #1
    • 5th Apr 18, 3:54 PM
    Finding the right balance... 5th Apr 18 at 3:54 PM
    So, Iíve been reading a few debt free diaries on here and for me, instead of the LBM a lot of people describe itís been more of a slow burning feeling of ďthere must be more to life than thisĒ. I earn a good wage but my attitude to debt has been to clear something and then accumulate more. I need to change my mind set and strive to become completely debt free. To do this I need to be accountable so starting my own diary seems a good way to do this and keep myself on track (hopefully!)

    Iíve done a quick round up of my borrowing and have a plan of action:

    Catalogue 1: only £62.70 outstanding which Iíll settle on the 20th
    Parents: £230 - not paying interest on this but would like to get it settled so Iím paying £115 this pay day and next to clear
    Loan 1: approximately £340 outstanding. Have been making additional small payments on this to get it cleared as itís my highest interest. Should be cleared by end of May
    Catalogue 2: £415.50 outstanding. Currently only making minimum payment of around £25 per month
    Loan 2: approximately £700 outstanding. Currently paying £150ish a month with an end date forecast of 24th August
    Credit card: maxed to £5800 balance and only minimum payment being made
    Overdraft: £3000 maxed out every month. It was previously £4000 which I reduced by paying off £100 per month


    My action plan is to settle catalogue 1, loan 1 and the borrowing from my parents by the end of May and then use the snowball calculator to allocate payments thereafter. I do however want to maintain a social and family life whilst paying down my debts as I know Iíd give up completely if I didnít take this approach. This includes a family holiday in the summer and the occasional night out so learning to budget for such things needs to be incorporated.

    Iíve made a good start by swapping from cigarettes to an electronic cigarette a couple of weeks ago which should save me at least £120 per month. Iíve also been keeping a spending diary since I was paid on 26th March. Having said all this though Iím under no illusions Iíve got everything under control so open to advice, suggestions and encouragement where possible. Will add my SOA shortly
Page 1
    • enthusiasticsaver
    • By enthusiasticsaver 5th Apr 18, 4:11 PM
    • 7,282 Posts
    • 15,966 Thanks
    enthusiasticsaver
    • #2
    • 5th Apr 18, 4:11 PM
    • #2
    • 5th Apr 18, 4:11 PM
    Well done on starting to deal with this.

    Do you know why you have accumulated the debt? Is it because of a period of unemployment or sickness or just general overspending and lack of budgeting?

    Keeping a spending diary is a good start. If you have a relatively good wage and at your level of debt which is less than £10k then it should be perfectly possible to clear it whilst maintaining a certain lifestyle rather than cutting everything. Focus on what your long term aims are when the debt is gone which helps to keep you focused - ie saving for a holiday, a home or a car.
    Debt free and mortgage free and early retiree. Living the dream

    I'm a Board Guide on the Debt-Free Wannabe, Mortgages and Endowments, Banking and Budgeting boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Any views are mine and not the official line of moneysavingexpert.com. Pease remember, board guides don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com
    • Rainbow_brite
    • By Rainbow_brite 5th Apr 18, 4:59 PM
    • 12 Posts
    • 2 Thanks
    Rainbow_brite
    • #3
    • 5th Apr 18, 4:59 PM
    • #3
    • 5th Apr 18, 4:59 PM
    Thanks for your reply. The debt started to accumulate when my hubby was made redundant, just on day to day living really, putting grocery shop on credit card etc. We separated almost 5 years ago though so canít blame it all on that. Iím a sucker for instant gratification I guess and thought nothing of buying things on credit rather than saving up so really trying to recognise those behaviours and take steps to change them
    • Rainbow_brite
    • By Rainbow_brite 5th Apr 18, 5:02 PM
    • 12 Posts
    • 2 Thanks
    Rainbow_brite
    • #4
    • 5th Apr 18, 5:02 PM
    Soa
    • #4
    • 5th Apr 18, 5:02 PM
    Household Information

    Number of adults in household........... 1
    Number of children in household......... 1
    Number of cars owned.................0

    Monthly Income Details

    Monthly income after tax..£1833.25
    (this has gone up recently due to a change of role and pay rise. Should be around £100 more but wonít know properly until April pay day)
    Child Benefit..........................£82.80
    Child Support.......................£135.00
    Total monthly income.................... 2051.05

    Monthly Expense Details

    Household/Personal

    Rent................................ £595.00
    Council tax........................£100.00
    Electricity & Gas...............£82.00
    Water rates...................£33.63
    Mobile.............................£34.00
    TV/phone/broadband........£71.59
    TV licence..........................£12.37
    Contents insurance..........£10.18
    Groceries etc. ......................£150.00
    Social/weekend spends.......£100.00
    Clothing........................£20.00
    Gifts..............................£10.00
    Haircuts........................£10.00
    Emergency fund....................£20.00
    eCig refills........................£30.00
    Works lottery.....................£10.00

    Debts

    Mum & Dad....................£115.00
    Loan 1.............................£175.50
    Loan 2.............................£150.86
    Credit card....................£150.00
    Catalogue 1...................£60.00
    Catalogue 2..................£24.00
    Bank charges/interest....£50.00

    Total monthly expenses.................. 2014.13
    • Rainbow_brite
    • By Rainbow_brite 6th Apr 18, 10:42 AM
    • 12 Posts
    • 2 Thanks
    Rainbow_brite
    • #5
    • 6th Apr 18, 10:42 AM
    • #5
    • 6th Apr 18, 10:42 AM
    Had a minor wobble after doing my SOA but back to feeling positive again. My newly introduced budget leaves me £30-ish per month which I really need to save. I've been determined to take DD on a proper holiday for the last few years and we've been offered a brilliant opportunity for this summer which includes a few days at Euro Disney. As she turned 8 recently I'd really like to take her whilst she's still young enough to appreciate it but it means getting around £1000 together by the end of July.

    This will have to come from my pay increase (about £100 per month), any money freed up by paying off catalogue, loan 1 and parents and extra bits I can make from selling unwanted items, surveys and cash back. Good job I love a challenge!!

    Long term plan will then be to start overpaying remaining debts from August onwards with the equivalent funds
    Last edited by Rainbow_brite; 06-04-2018 at 3:44 PM.
    APRIL 2018: Loan 1: 342.66. PAID OFF 26.4.18 Loan 2: 750.00. Catalogue 1: 62.70. PAID OFF 20.4.18 Catalogue 2: 415.50. Mum & Dad: 230.00. £606.40 CC: 5800.00. Overdraft 3000.00. TOTAL = 10,600.86
    • Rainbow_brite
    • By Rainbow_brite 8th Apr 18, 10:46 AM
    • 12 Posts
    • 2 Thanks
    Rainbow_brite
    • #6
    • 8th Apr 18, 10:46 AM
    • #6
    • 8th Apr 18, 10:46 AM
    Busy weekend, was off on leave all last week but had to work Friday evening and yesterday so not much progress made on the financial front. The money will be paid overtime though and should cover mine and DD's passports.

    Managed to cobble together a meal plan for the week at least. The money I have left from trialling my new budget should last and I still haven't smoked so feeling quite positive overall.

    Target for next week is to get at least ten items on eBay/selling sites to bring in some extra pennies for the pot.
    APRIL 2018: Loan 1: 342.66. PAID OFF 26.4.18 Loan 2: 750.00. Catalogue 1: 62.70. PAID OFF 20.4.18 Catalogue 2: 415.50. Mum & Dad: 230.00. £606.40 CC: 5800.00. Overdraft 3000.00. TOTAL = 10,600.86
    • Rainbow_brite
    • By Rainbow_brite 9th Apr 18, 4:32 PM
    • 12 Posts
    • 2 Thanks
    Rainbow_brite
    • #7
    • 9th Apr 18, 4:32 PM
    • #7
    • 9th Apr 18, 4:32 PM
    Feeling a bit meh today. Drawing positives in that Saturday and Sunday were NSD's and I've made a start on tackling the clutter.

    Had a bit of a setback however as I'd booked a few days at the seaside for myself, OH & DD before we got another offer which was too good to refuse. We accepted and I set about cancelling the seaside apartment. Apparently when I booked I chose a cheaper rate which had to be paid in advance and therefore forfeited the free of charge cancellation policy (this wasn't what was stipulated on my booking confirmation but was in the small print however). So, as my parents kindly let me book this on their credit card I now owe them an additional £491.40! Luckily they're in no rush to be repaid but would rather do it sooner so it isn't hanging over me. On the plus side at least I have two holidays to look forward to lol
    APRIL 2018: Loan 1: 342.66. PAID OFF 26.4.18 Loan 2: 750.00. Catalogue 1: 62.70. PAID OFF 20.4.18 Catalogue 2: 415.50. Mum & Dad: 230.00. £606.40 CC: 5800.00. Overdraft 3000.00. TOTAL = 10,600.86
    • beanielou
    • By beanielou 9th Apr 18, 9:23 PM
    • 58,039 Posts
    • 238,903 Thanks
    beanielou
    • #8
    • 9th Apr 18, 9:23 PM
    • #8
    • 9th Apr 18, 9:23 PM
    You will get there.
    The good news is that you have two holidays to look forward to
    Lou~ Debt free Wanabe No 55 DF 03/03/14.
    **Credit card debt free 30/06/10~** **Weight loss 2 stone 12 lbs **

    "A large income is the best recipe for happiness I ever heard of" Jane Austen in Mansfield Park.
    ***Fall down seven times,stand up eight*** ~~Japanese proverb.
    It starts with you, it starts from now. *** It is ok to be me.***
    ***Keep plodding***
    Out of debt, out of danger. MFW 2018. No 144
    • Rainbow_brite
    • By Rainbow_brite 10th Apr 18, 6:36 PM
    • 12 Posts
    • 2 Thanks
    Rainbow_brite
    • #9
    • 10th Apr 18, 6:36 PM
    • #9
    • 10th Apr 18, 6:36 PM
    Thanks beanielou, definitely trying to see it like that although I am a little worried about finding the money to pay for it all lol

    Tonight's tasks are:

    Looking at things I spend significant amounts on and working out how to get them as cheaply as possible. For example, I've found a website I can get my e-cig refills from for £20 delivered. The same amount from my local shop would cost £27! Little savings like that will add up. Also need to look at my budget and make sure its realistic as I don't want to set myself up to fail and lose any motivation.

    Down to my last £20 which I need to eke out for 9 days. Plenty of food in though so I can and will do this!
    APRIL 2018: Loan 1: 342.66. PAID OFF 26.4.18 Loan 2: 750.00. Catalogue 1: 62.70. PAID OFF 20.4.18 Catalogue 2: 415.50. Mum & Dad: 230.00. £606.40 CC: 5800.00. Overdraft 3000.00. TOTAL = 10,600.86
    • Rainbow_brite
    • By Rainbow_brite 12th Apr 18, 9:34 PM
    • 12 Posts
    • 2 Thanks
    Rainbow_brite
    Not much to report on the debt busting front but trying to keep up the diary entries as it does help to keep me on the straight and narrow. Yesterday and today were NSD's and I'm hopeful at least some of my £20 will make it in to the holiday savings pot. Feels like I'm just waiting for the 20th so I can start paying some debt off, downside to monthly pay I guess. Still haven't bought any cigarettes which is making a massive difference too.

    Have redone my budget for May (will probably just stick to doing this every month as it fluctuates so much) and I'm confident I can make an overpayment on Loan 1 to get that paid off and start saving for our holiday. Also keen to know what my new monthly wage will be although I won't find this out until the end of May as I have overtime to come this month. Think I'll read some other diaries for some inspiration and tips. Hoping for ideas to boost my income and get some overpayments and holiday savings together....
    APRIL 2018: Loan 1: 342.66. PAID OFF 26.4.18 Loan 2: 750.00. Catalogue 1: 62.70. PAID OFF 20.4.18 Catalogue 2: 415.50. Mum & Dad: 230.00. £606.40 CC: 5800.00. Overdraft 3000.00. TOTAL = 10,600.86
    • Rainbow_brite
    • By Rainbow_brite 14th Apr 18, 8:25 PM
    • 12 Posts
    • 2 Thanks
    Rainbow_brite
    Productive day today. 16 items up for sale on fleabay/FB etc. Hopefully at least some of them will sell so I have some money to start the holiday pot.

    Day off work Monday getting some jobs done at home so hopefully find some more things to sell along the way. The house is bursting at the seams so shouldn't be too difficult! Alcohol free weekend too so not bad going
    Last edited by Rainbow_brite; 10-05-2018 at 7:42 PM.
    APRIL 2018: Loan 1: 342.66. PAID OFF 26.4.18 Loan 2: 750.00. Catalogue 1: 62.70. PAID OFF 20.4.18 Catalogue 2: 415.50. Mum & Dad: 230.00. £606.40 CC: 5800.00. Overdraft 3000.00. TOTAL = 10,600.86
    • Rainbow_brite
    • By Rainbow_brite 10th May 18, 7:42 PM
    • 12 Posts
    • 2 Thanks
    Rainbow_brite
    So after almost a month going AWOL I've decided it's time for an update and restarting in earnest!

    Since my last post I've managed to pay off Catalogue 1 and Loan 1 ahead of schedule which I'm massively pleased about. I've still not smoked and managed to stick with the e-cig (double yay!), my debt to my parents has increased (signature updated accordingly) due to the second summer holiday not being able to be cancelled. I'm not planning on needing much spending money for this one as it's an apartment so can eat as I would at home and take any spends here out of my normal grocery budget.There's also a restaurant within walking distance which accepts Tesco Clubcard vouchers so, as we're away for my birthday I can have a meal there as a low spend treat. The holiday abroad is now booked, paid for by my OH on the agreement I get the spending money together. Passports were indeed covered by my overtime last month for me and DD so now it's really just a race to get spends together. I've been selling on fleabay where possible which has pulled in some money as well as being as frugal as possible with other budgets. I've scraped about £150 together so far and providing I can stick to my plans it's doable. I'm going to continue generating a little extra where possible and have started a mini challenge for myself this month to try and generate additional money every single day where possible. This includes my ebay sales, surveys, cash back etc. I've pocketed about £70 so far which I don't think is bad for 10 days effort however this includes cash back which I won't receive until after both holidays so really need to have a big push on this over the coming weeks.

    I guess it feels slightly strange to be posting a debt free diary when I'm not actively overpaying debt and instead saving all my spare cash for a holiday abroad but I'm determined to do it without adding to my debt and my original plan to start paying things down from August onwards still stands. I can firm up my plans and budgets once I know what my new basic take home pay will be at the end of this month. I'm estimating around £1950 and hoping I'm not too far off the mark....

    So basically in the same position I was in last time I posted - down to my last few quid and waiting for the 21st for my child support payment to come in so I can transfer a chunk to my holiday savings, pay a little more off catalogue 2 and tide myself over until my proper pay day. Only difference is this time I'm determined to stick to posting my progress to keep me on the straight and narrow. Will probably add my extra income figures and holiday savings progress on as well so I can see it grow and keep myself motivated
    Last edited by Rainbow_brite; 10-05-2018 at 7:44 PM.
    APRIL 2018: Loan 1: 342.66. PAID OFF 26.4.18 Loan 2: 750.00. Catalogue 1: 62.70. PAID OFF 20.4.18 Catalogue 2: 415.50. Mum & Dad: 230.00. £606.40 CC: 5800.00. Overdraft 3000.00. TOTAL = 10,600.86
    • Rainbow_brite
    • By Rainbow_brite 13th May 18, 9:59 AM
    • 12 Posts
    • 2 Thanks
    Rainbow_brite
    Not much to report on the money front. Got free tickets to go and see a TV show being filmed last night which should've been a cheap night out with only parking to pay for. Still managed to spend £20 which I didnt have so dipped into my holiday savings. They now stand at £142.72/£1500. Think I had better get ebaying today. Close to a cash out on VO too so might have a push on there later. Also planning some batch cooking so I know my lunches at work are covered too. Really must organise myself to get through to pay day without pillaging the savings more!
    APRIL 2018: Loan 1: 342.66. PAID OFF 26.4.18 Loan 2: 750.00. Catalogue 1: 62.70. PAID OFF 20.4.18 Catalogue 2: 415.50. Mum & Dad: 230.00. £606.40 CC: 5800.00. Overdraft 3000.00. TOTAL = 10,600.86
    • Rainbow_brite
    • By Rainbow_brite 14th May 18, 8:44 PM
    • 12 Posts
    • 2 Thanks
    Rainbow_brite
    Ok so savings have been totally decimated but... Euro Disney passes are bought and paid for. So now just need to start getting the spending money together. 11 weeks of frugality in order to save £1500. Really must motivate myself to get ebaying and generate some extra funds. Got a day off next week to blitz the house and get everything listed. Fingers crossed it'll prove profitable!

    Other than that meal plan is done for the rest of the month and just counting down the days until pay day
    APRIL 2018: Loan 1: 342.66. PAID OFF 26.4.18 Loan 2: 750.00. Catalogue 1: 62.70. PAID OFF 20.4.18 Catalogue 2: 415.50. Mum & Dad: 230.00. £606.40 CC: 5800.00. Overdraft 3000.00. TOTAL = 10,600.86
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

149Posts Today

1,348Users online

Martin's Twitter
  • Watching Theresa May... seriously would anyone in their right mind truly want her job right now!

  • RT @thecheekypostie: @MartinSLewis Thanks to this, I have just skim read it. To those in Scotland - on page 548, Dounreay is mentioned by n?

  • Today's twitter poll: The 585 page draft agreement of the withdrawal of the UK from the EU has been published. A? https://t.co/8YLkPyzqYM

  • Follow Martin