Becoming debt free in 2018

[iammeegan]

I've decided to make a plan to become debt free in 2018.
Money and debt give me terrible anxiety which means I bury my head in the sand and it's become out of control!
So starting in the new year and I'm going to stop spending and start paying everything off.
I would love some support and people to help motivate me.
I have already worked out that I can be debt free in 14 months with some serious cut backs and forward planning.
I'm currently on mat leave but will be returning to work in March which will allow me to pay off more each month

So would anyone like to join me?

Thank you talkin im going to look at your spreadsheet when i get a chance.

I'm so glad I've stumbled across this thread. It's obvious isn't it? To pay off a credit card, stop spending on it. Genuinely - why didnt it occur to me? today Im cutting up 4 of our 5 cards. I'll keep the 5th one for emergencies (currently 0%). It's such a small thing but it represents taking back control. Thank you op and thank you talkinpeace.

Jolly
To pay off a credit card, stop spending on it
Tee hee.
The important point is that most people have no concept of how long it takes to clear a card debt if you just pay the minimum.
I set up the spreadsheet to stop a RL client buying a bugaboo on credit as they would still be paying for it when the child started university
Its also really important to realise that the card companies will never encourage you to clear the debt quickly
as they make their money from those who cannot repay.

Keeping one card for emergencies is essential
or keeping some unused credit on a card
as with savings rates as dire as they are, available credit is actually better value than cash savings.

Hi can you also help me please , as I don't understand the whole standing order thing. I don't have any direct debits set up, I just pay before the deadline of the payment due dates each month. I have 4 credit cards I am paying back. I am new to this , can you private message me? Thanks

Hi Zak202
Your best thing is to go to the spreadsheets ....
I have tagged you in the thread
and to plug your numbers in ..... because as soon as you see the screens roll over it will make sense
but basically those few extra pence every month add up faster than you could imagine

Thanks for your reply! I only joined this site last night so how do I no what I have been tagged in? Sorry to sound dumb 🤔

Look in your email - it will link you to the thread
or it will be near the top of this board
I just mended the spreadsheet

Hello all old and new!
Sorry I haven't posted in a couple of days I've been suffering with this horrible flu. On the mend now though

Just as an update: I've just managed to transfer a partial balance to a 0% credit card. The only problem I had was that I cut up two of my credit cards (the ones with the worst interest) and the new cc company requested details off the card!
So as a word of warning maybe write down the card details before destroying in case you are able to do this.

I'm guessing I could only transfer some of the balance due to poor credit rating but what I have transferred will be paid off much quicker so that's a win.

How are we all getting on? I know I'm struggling this month, many factors adding to this; it's January so finances suffering after christmas, it's a 6 week month and an unexpected car problem means we will struggle for the next 2 weeks until pay day but I am raiding the cupboards and keeping us entertained with free walks and trips to the library so all in all we should be okay. No massive dents made in the debts this month but this will be the first time I haven't reissued what I've paid off so that's a positive

this month but this will be the first time I haven't reissued what I've paid off so that's a positive
Most definitely.
Well done.

I've just set up a fixed DD payment for another one of my credit cards so just need to try and do this with my store cards, feels like I'm moving in the right direction.

It does feel good to have taken positive steps, we've changed everything over to standing order and we are down to 3 out of 5 cards now and the 2 paid off ones will be closed.

Making those little changes are part of the mental adjustment that will work long term.
And the day the debt clears is worth waiting for

I think ill be at least 3 years away from that moment but I've really had enough of it hanging over our heads now!

Got a fixed DD on one store card, the other will only do the minimum payment but they did give me the info needed to do a SO instead so that's sorted as well.

I'm another being stung with the daily overdraft charges...thank you Bank of Scotland. I honestly have no idea how you can pay it off with a cc my credit rating is good so shouldn't be an issuue getting a 0% c.f..Its actually what do you do. ?
I was going to change accoumts to Nationwide as they have a 0% overdraft for 6 months but im not sure if i could pay it off by then. Thinking that I would.rathr just get rid of. I have manage to get my spending under control with the od reducing each month. Sadly it due to marriage breakup =loss of 1 income that tipped the finances over.

Talk to them and haggle
if your rating is good, you have the power

I have just amended one of my credit cards to pay off £150 minimum a month as opposed to minimum payment - it'll take more if that £150 isn't enough, but it's a minimum of £150.
I have also got a new plan to chip away and boost that figure - each week I budget £100 for the food shop. This week I spent £95, so I transferred £5 onto my credit card.
I have a second credit card which has a higher APR so all my commission is going on that, by paying teenie amounts each week on the other I feel like i'm not ignoring it, but having a plan for both.

You will rattle through the bill on that number

Brilliant sounds like your back in control! These things won't go overnight but acknowledging them and facing them head on we will get there!! Well done everyone

Amiaweed that's a great idea about putting unused budget onto the credit card.

Thanks all! It seemed like a little thing but one that others can easily copy - I've been food shopping with a meal plan that has helped a lot, I got the food shop quite a bit more under budget but nipped from Aldi to coop and got a few treats. So nibbling a bag of minstrels AND paying off a bit of my credit card made me feel really good :)
I planned on treating myself to a new door stop I'd seen in a magazine but spent a smidge more in Wilkinsons than planned so walked away from the door stop - again something that wouldn't have happened 3 months ago!

Morning all, how are we getting on?

I've hit a wall. I was going through my finances over the weekend and realistically I don't really have enough to pay the minimum never mind over paying on the debts. It's been really difficult to comes to terms with but I have a plan in place.

I will be consolidating my debts with a loan, this alone will free up over £200 a month which means I can afford to over pay on the loan (have checked they will allow this)

Obviously this is not an ideal solution but at the moment I am out of options. It's either this or start a debt management plan.
The really sad thing is, is that I am using the credit cards to buy things like bread and milk because things are so bad.

So all I can say really is sort these things out before they get out of hand, take into account lower earning times (illness) and periods were things like car repairs or home repairs will mean you will have less money.

We were lucky enough to be able to cancel things like sky and phone contracts without fees, but these things really need to be seen as a luxury. If a phone contract costs you £20 a month and you loose your job or become ill can you really afford £20, have you got enough savings to pay for it. If not then really you shouldn't be getting them.

These things are no longer seen as credit but just another bill. Treat it like a credit card, your in a contract and are bound by it make payments.

Please keep posting with your efforts, it is very much like loosing weight, we need to support each other and be reminded that eventually being debt free in the end will give you a better quality of life.

That must be a difficult point to get to, but it also sounds positive that you can see the position you are in before you sink too far into debt and can't get a consolidation loan if that makes sense?
Have you got the loan approved?

I will find out today if it's been approved, all my fingers and toes are crossed!

That standing order trick is revolutionary - I've got 2k credit card debt I want to clear this year. First thing I'll need to do is decouple it from my Paypal account so no more spend goes on it!