>In June last year I entered into a finance management plan.
I’m delighted to report that in that 13 months my overall debt has reduced by £3,500 (what could I do with that much money in my hand?!). Most of it has been by monthly payment, some has been the odd lump sum I’ve been able to push their way.
I’m posting it here to demonstrate that I’m not all spend, spend, spend, but it is possible to budget and pay for things as the need arises, not live the life of a pauper, and still reduce a debt considerably. I’ve also been living without credit for this period, i.e. if I’ve not had the cash (or very generous friends and family – who have covered the emergency stuff for me, and been paid back), I’ve not had the backup of a credit card, and have gone without.
Living without credit is hard, it was Very Hard for the first few months, but I don’t think I’d have it any other way now. It certainly makes you appreciate money more and feel a helluva lot better about yourself. And, when the debt is gone I’ll be able to put this money towards savings. Now there’s something to look forward to. (This year’s reduction alone is a full mini-cash ISA.)
In June of this year I increased my monthly payment by £20. I’m hoping for a bigger reduction next year.