# Saving, freeing ones self of debt....



## Eeloe (Aug 12, 2008)

Having read some of the posts on here, it appears that if someone posts up an honest question, they get an honest answer too!

So I said I'd give it a whirl!!!

I think it's about time I started sorting out my finances, and i'v set myself a little goal, I just want some opinions to see if I'll be able to do it!

I'v got a car loan(joint loan for both cars and all work carried out to them) working out to be about €14,000!
I know that might sound like a lot just to have spent of cars, but it's my only vice, as I don't drink alcohol or part take in any other illegal weekend activitys!

Now I'm quite sick of having this debt over me for the next 2-3 years, so i'v decided to get rid of it, quick smart!
I'v decided to pay €300 per week off this, i'v checked and I won't be penalized for over paying, it turns out I'll actually be paying less off the total ammount in interest!

I'v set myself a deadline of the end of march 2010 to have this paid!
By paying this per week it will be leaving me with in or around €200-€250 per week to live, to spend on general bills and petrol and so on!

I know in the following 8 months I won't be saving anything, but at the end of it, I won't have any debt over me and I'll have my full wages to do as I wish, save or invest!

Any feedback appreciated!


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## caddyman (Dec 2, 2008)

It's maybe better to pay a little extra off but not a great deal as with the current climate is your Job safe - If your job is safe then pay as much as possible off on your loans

If you think your job won't be safe then i'd get some money aside for a rainy day

I've just paid off £15,000 worth of debt in one go so all money i get now in my business i get to keep but i'm still putting a healthy sum away each week just in case


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## Eeloe (Aug 12, 2008)

Well at the moment I don't have a single penny for a rainy day, just spend my money when I have it which may be a little stupid of me!

My job is safe, workin in the family business, so full time, all the time!

I really just want to get it paid off, cause if the worst ever happened, I'd rather it happen with no debt, than stressing about how Im gonna pay the debt!

I'v considered selling one of the cars, but for what I'd get for either of them now, it wouldn't make a dent in the total, as the **** has fallen out of the market here and you couldn't give a car away, let alone sell one!

When I have this paid off in march, the money I will b using to pay off, I can put in to savings, and 12 months after that, I'll estimate that I could have possibly €15,000, which when I think about it, is quite a staggering ammount of money, now that i'v typed this, and read over it, I'm shocked that I could actually save that kinda money!


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## IVSPAUL (Dec 15, 2007)

I agree pay it off you will be happier, no debt is good debt and good riddance. if you cant afford it dont buy it in other words save up for it that way you wont be paying interest on loans


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## steve o (Apr 17, 2009)

As has been said, your personal circumstances have a big inluence on what to do with debt / savings. But as a general rule of thumb, any extra cash should always be used to pay off debt before you save.

check out www.moneysavingexpert.com, there's a wealth of knowledge and advice there. Its all I use and I feel what I've learnt from there has been critical in my money decisions and allowed me to be as debt free and have the maximum savings I could.

Steve.


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