Hiya All
Another week and another reason why my Mortgage Free Challenge is being compromised!! Last week I was telling you about our new additions (they've had far too many treats bought for them in the last week but that's another story and one I'll worry about when my Tesco Credit Card Bill comes through!)
Ok, so what's my excuse this week? Well, in a much earlier post (all the way back in November!), I told you about a holiday I'd booked. Now the problem with booking holidays is that eventually, you have to pay for them. Well where has the time gone because at the weekend I received a letter stating that the balance has to be paid by 2nd March. Oh why does February have to be such a short month? I always feel like the beginning of March creeps up on me without me realising.
Right, so the last 4 months have just whizzed by and now I have to establish how I'm going to pay for this holiday.
I have 2 options:
1) Pay on my Debit Card, pay no fees and be safe in the knowledge that the job's done - the holiday's paid for.
2) Pay on my Tesco Credit Card, pay a 2.5% handling fee, worry about the fact that as much as it appears the holiday's paid for, it isn't really as I've just borrowed off Peter to pay Paul (and paid an extra 2.5% for the privilege!)
So guys, which payment option did I choose? Those of you who have been following my blog will answer with no hesitation. I paid on the Tesco Credit Card of course!! So why am I prepared to pay a 2.5% handling fee when I already have the money saved up to pay for the holiday? Surely option 1 is the much more attractive option?
Well, the reason I chose to pay the 2.5% handling fee and pay on my Tesco Credit Card is because of Tesco points. By paying for the holiday on my Tesco Credit Card, I will earn Tesco Points which I can then convert into deals and cash in 4 times as much in financial terms. Working out how much I will pay in fees and comparing this with how much I will receive in Tesco Deals, I am a good £20 up. No argument then!
Also, as I already have the money saved up, not only will I earn another months worth of Interest (not that that amounts to much in the present, economical climate) but I won't really be sat there worrying about where the money's coming from!!
I'm going to keep my fingers crossed that I can get back on track with my Mortgage Free Challenge but I won't be holding my breath!! So lets see how the next week pans out - here's hoping it's a good 'un!!
Px
Sunday, 21 February 2010
Sunday, 14 February 2010
New family commitment that's potentially going to affect my Mortgage Free Challenge!!
Hiya All
How things can change on the space of a week (well, since my last, more optimistic post :-) As finances have started to become more stable and thoughts of making mortgage overpayments have become more of a reality, what do we end up doing? We go and buy our boys some pets!!
To be fair, I think the boys have been brilliant and although it's not been great whist we were having to watch the pennies, they've not been as demanding as maybe they could have been. My boys have wanted a pet ("any pet, it doesn't matter mum, we just want something to look after") for such a long time but my eldest recognised that whilst the financial situation was as it was, this wasn't going to be an option.
By "giving in" to their desire of having "something to look after", it was also our way of saying not to worry about money (kids are more clued up and tuned in than we realise - a fact I feel I'm learning more and more about by the minute).
Soooo, what have we treated our buys to? Two Guinea Pigs!!! And they've cost us a fortune already (oh, imagine how much I could have saved on the mortgage - stop it, stop it - you did it for the boys, don't forget!!) They're brilliant little animals (though I found out this w/e that they grow much bigger than I'd anticipated - wish I'd invested in a larger cage now!) We've only had them a week and although it's put my Mortgage Free Challenge to one side (again!), they've given us so much pleasure, they're worth every penny I've not saved off the mortgage :-)
Px
How things can change on the space of a week (well, since my last, more optimistic post :-) As finances have started to become more stable and thoughts of making mortgage overpayments have become more of a reality, what do we end up doing? We go and buy our boys some pets!!
To be fair, I think the boys have been brilliant and although it's not been great whist we were having to watch the pennies, they've not been as demanding as maybe they could have been. My boys have wanted a pet ("any pet, it doesn't matter mum, we just want something to look after") for such a long time but my eldest recognised that whilst the financial situation was as it was, this wasn't going to be an option.
By "giving in" to their desire of having "something to look after", it was also our way of saying not to worry about money (kids are more clued up and tuned in than we realise - a fact I feel I'm learning more and more about by the minute).
Soooo, what have we treated our buys to? Two Guinea Pigs!!! And they've cost us a fortune already (oh, imagine how much I could have saved on the mortgage - stop it, stop it - you did it for the boys, don't forget!!) They're brilliant little animals (though I found out this w/e that they grow much bigger than I'd anticipated - wish I'd invested in a larger cage now!) We've only had them a week and although it's put my Mortgage Free Challenge to one side (again!), they've given us so much pleasure, they're worth every penny I've not saved off the mortgage :-)
Px
Friday, 5 February 2010
Mortgate Free Challenge - we're (nearly) back on track!!!
Hiya All
Well can somebody tell me where the weeks are going? It's been a while since I last posted and updated you on my Mortgage Free Challenge. My last update was pretty doom and gloom as we'd just found out that my hubby had lost his job and I was feeling somewhat guilty about the mortgage over payments I'd been making when suddenly we found ourselves strapped for cash. Well I'm unbelievably thrilled to report that hubby has landed himself another job!! It's still early days but what a difference it makes - not only to the financial worry of potentially getting into debt but also the fact it's lifted the mood of the family no end.
My thoughts had been turning to having to borrow on the credit card, or rather not being in a position to pay off the bill at the end of the month, cutting down on shopping bills - most significantly, not letting my boys place anything and everything into the shopping trolley (boy they have not been impressed - thankfully it has only lasted a few shopping trips!). And my biggest fear has been the thought of defaulting on my mortgage repayment. The fear of this was so great that I even found myself having nightmares of the consequences. The act of having a default payment on your mortgage is so significant as it has such a negative affect on your credit rating - and a long lasting one at that. In fact, I think once it is on your record, I'm pretty sure it stays there, thus drastically affecting your chances of obtaining another mortgage in future.
I know I'm waffling but it's scary to think how quickly things can snowball out of control and before you know it, you're in a dire situation. Thankfully, this hasn't happened to us, and boy am I relieved that this is the case. So as the title suggests, we're very nearly back on track with ploughing our hard earned cash into our mortgage pot.
Hope 2010 is treating everybody well - keep reading, keep overpaying and lets get rid of that mortgage and be mortgage free sooner rather than later!!
Px
Well can somebody tell me where the weeks are going? It's been a while since I last posted and updated you on my Mortgage Free Challenge. My last update was pretty doom and gloom as we'd just found out that my hubby had lost his job and I was feeling somewhat guilty about the mortgage over payments I'd been making when suddenly we found ourselves strapped for cash. Well I'm unbelievably thrilled to report that hubby has landed himself another job!! It's still early days but what a difference it makes - not only to the financial worry of potentially getting into debt but also the fact it's lifted the mood of the family no end.
My thoughts had been turning to having to borrow on the credit card, or rather not being in a position to pay off the bill at the end of the month, cutting down on shopping bills - most significantly, not letting my boys place anything and everything into the shopping trolley (boy they have not been impressed - thankfully it has only lasted a few shopping trips!). And my biggest fear has been the thought of defaulting on my mortgage repayment. The fear of this was so great that I even found myself having nightmares of the consequences. The act of having a default payment on your mortgage is so significant as it has such a negative affect on your credit rating - and a long lasting one at that. In fact, I think once it is on your record, I'm pretty sure it stays there, thus drastically affecting your chances of obtaining another mortgage in future.
I know I'm waffling but it's scary to think how quickly things can snowball out of control and before you know it, you're in a dire situation. Thankfully, this hasn't happened to us, and boy am I relieved that this is the case. So as the title suggests, we're very nearly back on track with ploughing our hard earned cash into our mortgage pot.
Hope 2010 is treating everybody well - keep reading, keep overpaying and lets get rid of that mortgage and be mortgage free sooner rather than later!!
Px
Sunday, 3 January 2010
Not the best start to my Mortgage Free Challenge
Happy New Year Everyone!!
I'm trying to be optimistic about the new year but things haven't got off to the best start unfortunately. My husband found out he lost his job on the eve of New Years Eve. Things have been quite tight over the past 2 months or so but I've been trying to keep focused on my Mortgage Free Challenge and have made the odd mortgage overpayment here and there. I'm wondering now whether I've made the right decision or not. We've used our credit card quite a bit over this time and although we've always managed to pay off the outstanding balance each month in full, the past 2 months has seen me dipping into my (very small!) savings pot, which in hind site, is not the most Money Saving rule to follow.
OK, so now my husband has been given the news, it's time to review how we are spending money to avoid us getting into further debt. OK, so I don't consider us being in debt as such but I'm very uncomfortable about the fact that the Overdraft facility is in full use as is our good old friend the credit card.
I have been trying to cut spending but as I mentioned in an earlier post, it is far too easy to spend money (that we can't afford at the moment!) It has been the most expensive time of the year and as much as I'm through it now, there are certain money spending decisions I've made that I think I would think twice about if I was given the chance again.....but I won't get that chance again so instead, my New Years Resolution is to 'Think Twice when Spending Money' and ask myself - 'Do you really need that purchase?' I'm sure in 75% of cases, the answer will be 'No!!' but we'll see.
So here's wishing you all a Very Happy New Year and lets hope things move in the right direction for us all!!
Px
I'm trying to be optimistic about the new year but things haven't got off to the best start unfortunately. My husband found out he lost his job on the eve of New Years Eve. Things have been quite tight over the past 2 months or so but I've been trying to keep focused on my Mortgage Free Challenge and have made the odd mortgage overpayment here and there. I'm wondering now whether I've made the right decision or not. We've used our credit card quite a bit over this time and although we've always managed to pay off the outstanding balance each month in full, the past 2 months has seen me dipping into my (very small!) savings pot, which in hind site, is not the most Money Saving rule to follow.
OK, so now my husband has been given the news, it's time to review how we are spending money to avoid us getting into further debt. OK, so I don't consider us being in debt as such but I'm very uncomfortable about the fact that the Overdraft facility is in full use as is our good old friend the credit card.
I have been trying to cut spending but as I mentioned in an earlier post, it is far too easy to spend money (that we can't afford at the moment!) It has been the most expensive time of the year and as much as I'm through it now, there are certain money spending decisions I've made that I think I would think twice about if I was given the chance again.....but I won't get that chance again so instead, my New Years Resolution is to 'Think Twice when Spending Money' and ask myself - 'Do you really need that purchase?' I'm sure in 75% of cases, the answer will be 'No!!' but we'll see.
So here's wishing you all a Very Happy New Year and lets hope things move in the right direction for us all!!
Px
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