SmlSave's extremely small steps to reducing the mortgage

A question about : SmlSave's extremely small steps to reducing the mortgage

Welcome to my new home Come in and have a look around……. isn't it big, isn’t it lovely?

Have a cuppa and help yourself to the biscuits, it’s nice to have company.

I’m SmlSave with a DH (not a natural moneysaver) and DS who is almost 2. I think I need a diary so I stay on track with paying the Mortgage off as quick as possible. It certainly worked with the last house which we overpaid on average Ј3000 a year and dropped the mortgage by 2 years.

We’ve been in the house for two weeks now and I can see it being a big expense to get it decorated. DH is spending money like water on DIY bits and has plans to automate the house *rolls eyes* Apparently this will save us money in the long run (I don’t believe a word of it)

Anyway let me introduce you to our ball and chain:

The Mortgage is in two parts, one of Ј87,000 at 5.09% and Ј50,000 at 4.29% over 30 years meaning that we pay Ј720p/m and the Banks wants us to keep paying that until we’re over 60 *faint*

The Debt is a fairly flexible one at 3% which I’m paying back at Ј200p/m so I should have it paid back in under 10 years.

I need to get an action plan under way so any advice or tips you have found useful would be great.

I hereby declare war

Best answers:

• Hellooo!
  WELCOME.
  I am so GRATEFUL to have a new diary to read.
• Welcome to the madhouse
  Tilly x
• Hi SmlSave, how are you? Congratulations on the move!
  I'll be following your diary
• Hi Alchemilla Tilly and Cath How are the family?
  I hope its nice where you are, it’s almost sunny today here. I actually walked into work without a hat and scarf.
  Being able to walk to work means that I save Ј3.50 a day (Ј10.50p/w Ј42p/m and Ј504p/yr) It’s not a very nice walk and I certainly wouldn’t do it in the dark but now it’s a good way to make a small saving.
  Speaking of which I want to have several small saving aims which I will write down. This being Small Saving Aim 1. (Walk to Work)
  I was good and brought lunch today, ham and salad sandwiches, OJ, crisps and yogurt. But I've already eaten it all and am peckish all ready..........
  What are your favorite lunches?
• Cheap work lunches AF 10p noodles.
• Hi smlsave, welcome back congratulations on the new house, I'm sure you will get that paid off nice and early, best of luck.
• Do I remember that you are a primary teacher?
• Hi Sml
  Weirdly I was just thinking about you yesterday. Glad to hear the move went well, and WOW to a nearly 2 year old!
  Glad you picked up Alchemilla's name change hint. Why she changed her name and drop that hint every time I'll never know
• Hi there SmlSave
  Great to have you back round these parts again so welcome back
  Congrats on the house move, look forward to reading your updates
  Regards
  ATT
• Its so nice to come back to MFW and 'see' people I know I don't have much computer time anymore so I haven't seen anyone's diaries, hope you are all ok.
  I hadn't even thought about noodles for lunch Alchemilla, I will give them a go and no, I'm not a teacher I'm a legal sec (part time now)
  Thanks newgirl, tilly and att for all the well wishes. I thought the same about the name hint Courgette
  I've spent all day sanding and stripping paint - my poor hands! Going to enjoy my cuppa and have a rest.
• As I've just eaten my cheese sandwich lunch with a fruit salad I thought of another Small Saving Aim.....
  Small Saving Aim 2 (Lunch) – it sounds so simple to make lunch every day. Saves roughly Ј5p/d, Ј40p/w, Ј160p/m, Ј1920p/yr! Yet it feels impossible to get the motivation sometimes to actually make a sandwich, lazy or what? I’ve actually been quite good for the past couple of weeks but now DH has increased his order (one sandwich is just not enough apparently, see the belly expanding….)
  I am going to try noodles as suggested and as a quick lunch when I'm too lazy to make one. I'm very fussy with my lunch if its not nice I'll go and buy myself a Ј4 prawn and mango rice salad or sushi. No plain cheese sandwiches for me, thank you very much, but I will have a cheese and salad sandwich with extra mayo and don't forget my side salad, crisps and possibly a biscuit (oh look, I've just put on 3lb)
  Better go back to doing some work.....
• Lovely day again to walk into work, by half way I didn’t really need my coat but it’s better to have it just in case. So that’s SSA1 done and SSA2 is in the fridge being a ham and coleslaw sandwich.
  I've thought of another Small Saving Aim....... 3 (Meal Planning) – there be a two week plan hanging in my kitchen using stuff I already have in the house. DH is surprisingly quite happy with having a meal plan as at glance he can see what he’s going to be eating. He is extra surprised by the fact that we actually have enough food in the house to feed us dinner for two weeks as according to him – if the fridge is empty there’s nothing to eat!
  I’m trying to include in the meals new recipes from my many cook books. So far I’ve cooked bacon soup, vegetable stew and seared salmon with cucumber salad, very nice and easy. Tonight I’m making pizza naan and chips. The final idea is that once I’ve tried most of the recipes in the books I can then get rid of the actual cook book and just have my own recipe store.
  I spent Ј19 on meat at the butchers last week which filled up a freezer drawer. Some steak and kidney in there as I’m going to try and make my first kidney pudding – wish me luck!
  On money spending note I’m off at lunchtime today to get DS all signed in at nursery. Just one day a week to start with as the Nan’s are still happy looking after him the other two. It’s exciting thinking that he’ll have a day a week to play with others his own age.
• Have been naughty today and bought lunch Was very nice though and to top it off I'm going to the pub tonight for a couple of drinks...hic, hic.
  Had a go at grouting yesterday night but apparently didn't smooth it properly so DH wasn't impressed. I was just chuffed that I actually tried, esp at 8pm!
• Have just been playing with mortgage figures and have worked out that if we manage to pay Ј5750 off our mortgage in the next two years we should be at 75% and able to get (hopefully) a better mortgage deal when this fix ends.
  With our normal monthly payments we should pay off circa Ј4000 in two years anyway so only need to pay off an extra Ј1750 to get to that 75%.
  That's an overpayment of Ј73 a month, Ј19 a week, Ј2.60 a day - I can do this!!!!!
  And I've worked this all out with a slight hangover too……..
• That sounds very doable , best of luck
• Thanks NG, broken down to daily it seems like an easy challenge *fingers crossed*
  Had a productive morning and have changed my ISA from earning 0.5% to 2% which is a little money earned. There’s enough in there to class as our emergency fund being roughly 3months wages. I see it as a temptation to use it to pay as an overpayment and DH would like to spend it on DIY but we’ve agreed it’s our emergency fund and we have to keep our grubby mitts off it.
  Also changed a savings account from 0.1% to 1.5% so the little bit in there works for me.
  I managed only to buy some milk yesterday which is a good thing as I’ve already spent Ј140 of my Ј200 monthly budget! There’s an evening out today, couple of lunch dates and a hair appointment to go to so my last Ј60 will disappear extremely quickly. I might suggest a couple of play dates at my house or the library for the next couple of weeks to keep within budget.
  I’m quite proud that I walked into work today as the car was available and I actually had to drop DS off and then drive to home again to walk to work when it would have been much easier to park in town. I’m glad I didn’t though as that’s Ј3 saved. DS has been a star this week and been an angle (apparently) for the in-laws who have been looking after him. It didn’t faze him a tot being with them all week instead of a couple of days, I can only hope that he’s as good for my Mum next week.
  Working 2 solid weeks has resulted in a very healthy pay packet and I’ve put Ј500 into the savings account where it will stay for a little while as I talk DH round to overpaying. He fully understands and now even agrees with me that we need to overpay but in his mind the DIY comes first atm. We might even need to compromise…….I will let you know how our little talk goes.
• Yay
  I ended up emailing DH about the oping my extra cash and he is happy for me to do so!
  Ј200 shall be op'd to nasty mortgage next week
  I'm sooo chuffed
• Nice big op there smlsave well done