Hey guys,
Thought I'd come here and ask for some opinions.
I'll give my background first:
I'm currently 24 years old. About 4 years ago I got a student credit card from CBA, which, for some reason, the available balance of which was $10,000.
Between a drinking problem and a emotional spending problem (i.e. buying stuff when I was depressed/upset), I managed to max it out in a year and a half or so.
A friend of mine in banking said I had a case against CBA for lending negligently, or something along those lines, and I'd tend to agree. I'm not trying to pin the blame on then, it was completely from my own stupidity.
Anyways, I've just got it paid off in full yesterday. Happy days. However, now I've got a bit more on my plate.
Second week of January or so my girlfriend of 6 years has found out that she's pregnant.
I'm shitting myself, as other than a term deposit that my grandparents have authority over I have no savings. So I've been completely caught out of left field with this.
So that's my backstory.
My current position is as such:
Work
Working full time - $1,000 a week
Part time at University - 6hrs/week
Assets and Accounts
$10,162 - St George Term Deposit - maturing 02/07/14, making 4%
$10,000 - CBA MasterCard (available balance)
$1,050 - CBA Complete Access account - student concession access
$0 - CBA NetSaver account
Other notes and thoughts
Have been using Goodbudget since January, which has worked well
Generally have to set aside $100 for car, $100 for food, $0 for hobbies (Evernote sub etc) and $50 for booze/entertainment. Will rarely go over this
I put $25 a week towards savings.
Come the end of March I'll be moving in with the girl so that's $470/fortnight rent, not to mention utilities
Want to set aside a months cushion ala Goodbudget's suggestion ($4345.24) - sooner the better
ING 5% Paywave card - Use Paywave a lot, would it be worth the hassle of renewing? I hate the $200 withdrawal maximum though…
Last time I looked IMB and Ubank offered 5% introductory rates - would I be better off throwing my term deposit in there?
TL;DR
A lot of this was to spell it out in front of me as I'm quite flustered about it.
My question is - given my income and the other details I've provided would there be any benefit in obtaining additional accounts for discounts or savings? Is there any other strategies apart from Goodbudget that I should pursue? Any other tips?
1ST!!! Ditch the credit card. Put what you would pay into that, into a debit account instead and keep set it aside for the big emegencies, eg fridge, washing machine, hot water blow up etc.
Add all your big bills (in yearly amounts), rego, electricity, etc. Divide those by 52 and put that in another account each week (even if you put a lesser percentage of that figure away, it'll help). There's all your bills sorted. The rest is yours.