Debt mutual support thread number 4 .... every journey starts with the hardest first step

[TalkinPeace]

This thread follows on from Nerf's incredibly useful
FIRST www.mumsnet.com/Talk/legal_money_matters/1969188-Can-we-have-a-support-thread-for-people-who-are-massively-in-debt
and then SECOND
www.mumsnet.com/Talk/legal_money_matters/2011878-Debt-support-thread-2?
and my THIRD
www.mumsnet.com/Talk/legal_money_matters/a2062902-Debt-Number-3-For-those-who-feel-they-are-drowning-and-want-a-way-out?msgid=48505428#48505428
threads about realising you are in and supporting each other out of debt.

I am not in debt, any more.
Here is a link to some spreadsheets that might help
www.mumsnet.com/Talk/legal_money_matters/1987219-SPREADSHEETS-for-Debt-Control-Budgeting-Mortgages-etc

and lots of people use this
YouNeedABudget

The important thing to remember is

• yesterday is as past as the Crimean War

( we will not judge how you got into debt, but we will support you on the way out )

• this is an anonymous forum

( we will not tell your employer, family or friends of the reality of your numbers )

• this thread is about supporting people through the huge mindset changes needed to come out of debt

( feel free to offload all of the feelings that drive you to want to spend, that make it hard to save and that generally make life crap at times )

Join in, bare your soul and come out the other end.
Its worth it.
You are worth it.
The long term results for you, your marriage and your children are worth it.

Hi jemster and welcome back.
Savings will be paying less than 1% interest
credit cards will be charging upwards of 20%
use the inheritance to get nearer to debt free : as then when you put money into savings later, the bank will not be making money from you

the thing to bear in mind is that if you have a credit card that is £2000 below its limit and falling, THAT is your buffer.

Savings are not worth having if you are paying interest on credit cards.
Start thinking about buffers

eg £3000 credit card limit, with £1000 on it = £2000 buffer
with interest only being charged on the £1000

£3000 credit card with £2000 in savings = paying interest on £3000 and earning stuff all on the savings IYSWIM

Thank you TIP, I see what you're saying makes good sense. I'm not paying any interest on cc as did a balance transfer to 0% card. This does run out in January though and am only paying a s/order currently of £50pm. Is it still best to pay it off in full now?

TBH I would still say pay it off as then your credit rating starts to climb AND you have the credit card limit as "savings" / "buffer" for when you need it
and the £50 a month is saved

its about hitting reset
get to zero unsecured and then start to rebuild buffers and credit ratings ready for the rest of your life

Yay - windows seem to be salvageable - only beading is rotten! No quote yet for the work - and it is hard to access. Getting a couple of upvc quotes anyway. I realise I need a "house maintenance" section in ynab. I had one but kept taking the money for other things and figured the emergency fund would do the job. But this isn't an emergency. I knew they needed sorting. Just as I know my patch-up job on the fence won't last forever and also know that the render on the house will need painting in a few years. When my guttering fell down last winter it was an unforeseen emergency. This isn't. So while I may have to use my EF this time, I think I need a pot to save for such things. How do the rest of you handle household maintenance/repairs while paying off debt?

Luckily we're in a new build, so most stuff will last a while then all break prematurely at the same time

I struggle with updating stuff like sofas/curtains etc that are technically OK just look and feel crap.

I sold some kids stuff on facebay this weekend, and made £40. It's taken the edge of my anxiety about this weeks budget.

I looked at the "forecast" of our debt and it's currently planned to be paid off in 18m, not 24m as I originally thought but that's at £1140pcm going towards it

I was fantasising earlier about paying off our mortgage early if we just kept putting that amount towards it.

I think DH would kill me first though

Ooh when will you be mortgage free?

Jemster, our debt is 42k and I'm inheriting a similar amount. Have had the same thought processes but gradually stated mentally paying more and more off debt - initially thought half and half - by the time it arrives I think I'm doing a holiday and all the rest off debt. So I'm saying clear the debt

School uniform shopping done. Spendy spendy day. Did include football boots for ds2 and rugby boots for ds1 as well as football/rugby club "uniform" (kits still for but they have to wear specific colour trousers/shirts to and from matches). Ds2 needed whole new uniform including blazer and tie and PE kit as school changed name and uniform. Both needed shirts and school shoes and ds2 needed trousers. Add in trainers and bags and pencil cases etc it came in at £350

Luckily ex-H pays half so have asked for immediate payment from him. Ynab tells me I therefore have £35 left over from what I budgeted, so an underspend which I can use for annual rugby/football club subs in September.

So all in all, not too bad but feels like a lot until ex pays me back!

Had a subway for lunch too - had to bribe kids with one to get them out of the house!

Oh, and I ordered a tower poppy too. Couldn't resist.

I gad a joyfulmoment today
after lookong at my business bank account and being sad that I hadn't yet got enough in their to pay m invoice, I glanced down the page to see that I had, in fact, already paid m invoice! strangely because I thougt i'd paid itvbut couldn't see the transaction last time I looked.
phew!

but we did spend an extra thing today. getting fed up of dd constantly stealing my tablet to watch peppa pig on youtube, we talked about gettjng her a portable dvd player. saw cheap ones in argos for £60, so it went on the "maybe" list. we were in sainsbury's today and saw a sony one the same for £70. I prefer Sony anyway, when it's worth it, so we decided to go for it. it also has a usb port for mp3s etc, so that's good too.
she's spent the last hour or so watching the peppa pig dvd we also bought, so I thinm it's a good investment...

,excellent nickel. I did the food shop and only spent 100 - thrilled!

I do like cheap fo

food shops [grin•

Well done everyone - nothing but bills coming in all week ! Had washing machine looked at e90 call out charge e125 to repair so e235 overall yes could have gotten a new machine but not a good one I don't think :/ dryer also not working e200 to repair, e450 new. Sigh ! Tv license due e160 end of month, e200 for consultant in September. School wise I have another approx e220 to spend on uniforms then done. They start back at their extra lessons sports music etc in sept so more money. Need to carefully budget this month unfortunately no saving can start until end of September !

Had a great moment today when I realised by overpaying on my loan (instead of frittering on crap) it could be paid off 15 months early. Hoping that will keep me motivated.

Yes uniforms are dreadful. I shall set up a savings plan for them I think.

Only 2 days until summer school cheque day! Can't wait to do a debt numbers update. DH has ramped up his enthusiasm too and is going without some things to try and clear CC2 completely this month (it's at about 1040 and I get 875 from this job, so he's trying to find the rest so we can clear it in full and close)

Stepping in, waving and not really talking about money at the moment...

Well, the last week has been a disaster tbh!!
But, all new school stuff got.
Sold a bag on e bay (then bought some stuff on ebay :))
Found 2 tops still with tags on I can take back due to cancelled holiday...only £20 but better than nothing.
Am considering trawling the charity shops for a new sofa.
These are driving me mad.
Took ds2 on a free taster swim today :)
Also took him to library yesterday.
Spent £5 in macdonalds for though.
I have gone through mine and Dhs income and - theoretically - we should both have plenty left over each month...funny how that never happens isn't it!?

Hey all...checking in. Finish for 2 weeks holiday tomorrow not going anywhere, DS starts school on Wed so have to be around as he's only in a couple of hours each day for first 2 weeks. Uniform budgeted for and bought, same for his birthday in Sept...petrol and food budgets are on track, as are my envelopes for annual stuff. I've not accrued any new debt, but feel an air of complacency setting in so really need to refocus my efforts!!

Back again - another review of budgets & things due & looks like I can't afford for the kids to do some of the after svhool / Saturday activities I has planned. I made a promise to myself not to put myself under pressure anymore cos I can't say no. So unfortunately 1 of 4 extra curricular things for ds & 1 of 2 planned for dd will have to get dropped. Pity really :( but have to start making hard choices ! I envy people who can decide sensibly not to go on holidays cetc to save money I can never do that !

Badvoc
geniune question
why did it even go throug your head to go to McD when you are
(a) visiting the library
(b) broke ....

I'm on hols
we had a teeny brekky at our apartment, all you can eat $6 lunch and then blow out supper
no snacks
no extras

I genuinely do not get where this " I'm out wiith the kids, must buy them a meal" comes from
its utterly alien to me.

snowie
its about priorities
weekend activities : nope, never ever done it.
we bum around the garden and the house or go visit people at the weekend
weeknight : never more than three nights a week
life skills go beyond spending money on them

Talk...we went to macDonald's yesterday - the day of the free swimming taster.
It was £4. We were in town and I had budgeted for it.
In other news I applied for 2 jobs yesterday. I won't get either if them, but it's a start.
Saw that there are some jobs training to be a phlebotomist at one of the hospitals which I would really love to do but can't due to childcare...they start at 7.30 am and the place is 20 miles away :(
Hope i can do something like that when the kids are older though.