Head long charge at debt repayment!

I had to face up to the biggest challenge of my life this year as I decided that I would pay off everything I owe and become debt free. It is not easy. I cut up my credit cards early this year and have lived every month under my means and spent every penny I have on paying off debts.

I moved all I could to a zero percent card and now pay off 200 on that and have 10 months to go - I will then add that to my existing credit card bill (unless I can get another zero percent in a few months) and will have that paid off by April 2011 and then will snow ball that onto my home improvement loan (can you believe from my previous house!!) and will have that paid off by May 2012 (30 months!!!!) Have a look at the snow balling calculator below, which I have used to calculate the cost of paying off what I owe.

I can't believe how I used to live. I feel like a recovering addict who used to have a voracious lifestyle I was expected to live up to. The annual holiday, the newish car, living in a desirable area, the commute to work, the 'good' job (which will kill me if I do it for too long). I used to trot into Dingles every August and buy new work suits, clinique make up and chanel perfume. My hair was cut and coloured every other month and I exercised at the gym and the credit card bills kept rolling in and the mortgage was studpidly disproportionate to my income. I had to go cold turkey and just give it all up. It was no good as I was just working to give away 25% of my income to interest on debts and that is a whole day and a half at work a week.

I've heard that if you do something for 30 days, then it becomes a habit and now being frugal is a habit I can't shake off. I've always made money go a long way but now I'm making less than a fifth of the money I used to live on go a long way.

I got really, really excited last week when I cashed in my penny pot and got a ticket for £19 for ASDA - I bought a lovely thick cardigan for the house and I love pulling it on and belting it when I get home. My next unheated house purchase is going to be very thick sock - I saw some in Primark that are actually slippers and I will wear them under my slippers to keep my extra warm.

All this sound austere but I love the spread sheet on my office wall, where I colour in a colour each month to count down my debts - it's 20, 542! I know - I've told you - I've said it! and I'm throwing a 750 a month at it to clear it. I'm also working over time and tutoring an extra eight students a week and have asked to take the pay at the end of the year so I can just hand it over to the credit card and wave good bye as I pay a massive chunk off!

Why? I want my life back. I want the simple knowledge that I can walk away from work if I want to when I know it is too much for me and the hours are too long as that it is really for someone a lot younger than me. I want to garden, grow veg and take in the view! 2012! I have been to the mountain top and I have seen the promised land and although it is in the distance - I'm on my way.



http://www.whatsthecost.com/snowball.aspx