For UK residents, credit cards can mean the difference between a worry-free holiday or not – a fact that applies directly to a holiday home, away at a faraway place. For instance, I had been looking forward to my first holiday with my partner since last year, but this year she had wanted to book a hotel and have the house something like five months earlier than we were able to find it. Though it does depend somewhat on where you are traveling to see what affect the price of Accor Hotel off the last few months, and whether or not you fly at that time, the fact is that I have experienced paying a substantial amount to have the house booked at a very tight 6-month released rate.

How it all began

It was the most expensive time of the year to be paying for a holiday home. I was frustrated about how the timeline was passing my application. It’s everybody’s dream to fly on holiday abroad and then spend all their time together but, the reality is that these holidays are very expensive when it comes to accommodation, especially for those on a tight budget. It is difficult to stick to a budget these days, even when you’ve planned and budget for the surplus.

At times like these, spending money was something I did not have; this was because I was party to overextending myself and enjoying an ego boost by spending beyond my means. I did not want to think about the level of debt that I was accumulating by using my credit card, and I did not want to think of how credit card interest adds up.

I was looking forward to my first European adventure and the thought of how much I had to pay back added to the excitement of setting my foot on foreign soil. What I did not expect was that I had overextended myself and was now faced with thousands of pounds of debt in the UK, and that debt was quickly and steadily rising by the month. I finally admitted that I was drowning in debt and began making arrangements with my various creditors to pay them off.

When the problems started

I even did my best to keep up with my payments, but at times even I was unsure if I would be able to meet my commitments. One of my creditors informed me that I was about to be charged interest on every payment that I made because they were then taking up the space that I was offering as an alternative to my debt.

I did not anticipate interest to be like this, but I knew that I needed to do something to rectify myself in the situation. I discovered that I was able to arrange my overdraft; I was no longer simply serving my interest in every transaction. I was earning interest, even though the bank was not able to take my place, because my overdraft helped me to pay my immediate bills, such as electricity and water. I was able to earn some interest as well, from the interest I earned on the money.

This was a huge weight that was lifted off my mind. I was able to pay off my various creditors, several with my savings, and soon had a single easy to deal with payment. The money that I was able to save from my overdraft was, in a way, able to give me a sort of self-encouragement as well as an achievement, which was to be able to erase my debt altogether.

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