DB11 Posted 11 January 2017 Share Posted 11 January 2017 Student loan and mortgage. I use credit card monthly but not because I can't afford it on debit card it's just better fraud protection and my current account pays interest so it's better to keep the money in there hence using credit card and pay off in full every month Link to comment Share on other sites More sharing options...
desertfox2 Posted 11 January 2017 Share Posted 11 January 2017 8 hours ago, ozleicester said: Debt is the capitalists tool to keep the masses under control. I especially feel for the young who are being saddled with a massive debt before they even enter the workforce. Spot on. Look at the student loan as an example. Before you even start work you are in debt, if you get married to someone else who has a student loan x2 you then take a mortgage between you and before you know it that's the majority of your life if not all your life servicing debt. Who wouldn't want an employee/citizen like that, not going to cause many problems as you lose your job and the house of cards falls down. Big incentive to toe the line... Link to comment Share on other sites More sharing options...
kingcarr21 Posted 11 January 2017 Share Posted 11 January 2017 When i was younger I got into serious money problems. Story is too long to go into but i was Ignoring letters and phone calls from debt collectors. I even quit my job through stress which was even more daft (although i hated the job and went back to previous job but it was less money). I urge anyone who is reading this thread that is worried about money to talk to someone. A family member at least. I was literally 2 days away from being declared bankrupt when I was 19 until my now mother in law took a loan out and bailed me out. Wow what a feeling that relief was. Debt is so easy to get into and fvcking hard to get out of. Don't keep it to yourself as it will eat you alive. Talk to someone Link to comment Share on other sites More sharing options...
Babylon Posted 11 January 2017 Share Posted 11 January 2017 I've always been a saver and good with my cash, it astonishes me how bad some people are at managing their finances. People I know constantly in debt despite earning more than me. Yet they think nothing of it. Lets pump £30k on a wedding, get mortgaged up to the hilt on a house your job isn't really capable of paying for. The newer generation seem even worse, they've grown up with a celebrity obsessed culture and they all want to have x, y and z that their favourite celeb shows off on instagram. I see people working in call centres pumping a £1000 on a handbag, £500 on trainers, driving a new beamer etc. They seem to feel like they need to exude a certain status, through a load of materialistic crap. Link to comment Share on other sites More sharing options...
Costock_Fox Posted 11 January 2017 Share Posted 11 January 2017 30 minutes ago, Babylon said: I've always been a saver and good with my cash, it astonishes me how bad some people are at managing their finances. People I know constantly in debt despite earning more than me. Yet they think nothing of it. Lets pump £30k on a wedding, get mortgaged up to the hilt on a house your job isn't really capable of paying for. The newer generation seem even worse, they've grown up with a celebrity obsessed culture and they all want to have x, y and z that their favourite celeb shows off on instagram. I see people working in call centres pumping a £1000 on a handbag, £500 on trainers, driving a new beamer etc. They seem to feel like they need to exude a certain status, through a load of materialistic crap. The thing is most people in this debt nowadays probably aren't going out and spunking money on stuff like that. Its more a case of having no idea how to budget and properly deal with money and I think that comes down the education system doing a shocking job in this area. I had about 3 days worth of money advice when I was at school and it's crap! Not surprised if people are in debt on here after the year we have had as a football club. I said to a friend the other day i could basically hand over my credit card for a ticket to Sevilla and just say charge what the **** you want as il pay it . Il eat beans on toast for a month if I have to to go to that, apologies to anyone that happens to stand near me though. Link to comment Share on other sites More sharing options...
Jon the Hat Posted 11 January 2017 Share Posted 11 January 2017 I have a bad habit of spending my bonus before I get it on my credit card, but it is basically all cleared come September. Ideally would get out of the habit. Link to comment Share on other sites More sharing options...
Steven Posted 11 January 2017 Share Posted 11 January 2017 35 minutes ago, Babylon said: I've always been a saver and good with my cash, it astonishes me how bad some people are at managing their finances. People I know constantly in debt despite earning more than me. Yet they think nothing of it. Lets pump £30k on a wedding, get mortgaged up to the hilt on a house your job isn't really capable of paying for. The newer generation seem even worse, they've grown up with a celebrity obsessed culture and they all want to have x, y and z that their favourite celeb shows off on instagram. I see people working in call centres pumping a £1000 on a handbag, £500 on trainers, driving a new beamer etc. They seem to feel like they need to exude a certain status, through a load of materialistic crap. You can blame Maggie for that. She ushered in an era where everyone knows the price of something but not the value. Link to comment Share on other sites More sharing options...
Lako42 Posted 11 January 2017 Share Posted 11 January 2017 The country is built on debt, top to bottom, government to working class. No lessons were learnt from the previous financial meltdown where borrowing was over and above affordability and the general public have gone on to borrow more and more as things have relaxed again over the years. The vast majority of fancy cars on drives are obviously financed, add to that the holidays and the frivolous spending to impress and you have a picture of a great many households in this country. People borrow to spend and think they are well off because of the lifestyle they subsequently live, it's dangerous and I know a few friends who can only be a financial collapse away from trouble. As a side note I'm not sure what jonthefox was moaning about, presumably it was you that spent the money on the credit card? Link to comment Share on other sites More sharing options...
Babylon Posted 11 January 2017 Share Posted 11 January 2017 21 minutes ago, Costock_Fox said: Its more a case of having no idea how to budget and properly deal with money and I think that comes down the education system doing a shocking job in this area. I had about 3 days worth of money advice when I was at school and it's crap! I had no advice at school, what I had were parents that didn't have a huge amount of money and taught me the value of things. Most of the people I know in masses of debt now, are the ones when they were younger who got everything they wanted handed over by mummy and daddy, or constantly got bailed out if they spent their pocket money. I had to get a paper round if I wanted money, or go and do odd jobs for people. I was desperate for a mega drive I remember, my parents didn't just go out and buy me one. Firstly I had to save up a deposit of a third. Then they lent me the rest of the money and I had to pay back every single penny. It's hard graft to earn and save £300 or whatever it was when you're 12. They are simple life lessons of stuff doesn't come for free, and if you borrow you have to pay it back and it's not easy. Link to comment Share on other sites More sharing options...
Great Boos Up Posted 11 January 2017 Share Posted 11 January 2017 It's a spiral, £100 becomes £200 and then £400. When in the thousands the financial institutions then pile in with loan offers that keep you perpetually in dept. Then come the interest hikes and with no savings for any kind of financial urgency like a new washing machine or job problems or even a child, suddenly you are in severe dept. I would say the majority of people in debt don't have designer stuff and lavish holidays but are in an ever increasing spiral. How many people could honestly say they could cope with day to day costs and bills if they lost their job for a few months. The personal effects are horrific, insomnia, depression, guilt. It's also embarrassing so if you are reading this and having problems please get help and advice and do not borrow more money. Link to comment Share on other sites More sharing options...
Costock_Fox Posted 11 January 2017 Share Posted 11 January 2017 1 hour ago, Babylon said: I had no advice at school, what I had were parents that didn't have a huge amount of money and taught me the value of things. Most of the people I know in masses of debt now, are the ones when they were younger who got everything they wanted handed over by mummy and daddy, or constantly got bailed out if they spent their pocket money. I had to get a paper round if I wanted money, or go and do odd jobs for people. I was desperate for a mega drive I remember, my parents didn't just go out and buy me one. Firstly I had to save up a deposit of a third. Then they lent me the rest of the money and I had to pay back every single penny. It's hard graft to earn and save £300 or whatever it was when you're 12. They are simple life lessons of stuff doesn't come for free, and if you borrow you have to pay it back and it's not easy. True about parents and obviously everyone is different but my parents won't touch credit cards to the point where they won't use them even if it clearly benefit them but the amount of adults I see on a daily basis that have no idea what they have spent their money on is crazy and I think that boils down to no real money management education. Being in debt is different to being in manageable debt. Link to comment Share on other sites More sharing options...
Steven Posted 11 January 2017 Share Posted 11 January 2017 I have £51,000 as the total amount of credit available on my credit cards. I currently owe £20,000 which doesn't worry me as I am paying it down. I also have savings greater than the credit available if the sh*t hit the fan. All of that said if you do have debt issues; get help. Link to comment Share on other sites More sharing options...
Babylon Posted 11 January 2017 Share Posted 11 January 2017 12 minutes ago, Steven said: I have £51,000 as the total amount of credit available on my credit cards. I currently owe £20,000 which doesn't worry me as I am paying it down. I also have savings greater than the credit available if the sh*t hit the fan. All of that said if you do have debt issues; get help. Are you saying you have more in savings than you currently on on the cards? If you're paying interest on the £20k on the cards, I presume it's higher than the interest you're getting on your savings... would it not be better to pay the cards? Obviously if they are interest free it doesn't matter. Link to comment Share on other sites More sharing options...
Steven Posted 11 January 2017 Share Posted 11 January 2017 Just now, Babylon said: Are you saying you have more in savings than you currently on on the cards? If you're paying interest on the £20k on the cards, I presume it's higher than the interest you're getting on your savings... would it not be better to pay the cards? Obviously if they are interest free it doesn't matter. All of that is true but I can't persuade myself to part with the £20,000 in one go. Eight months more at £2,500 a month should get everything close to zero. In fairness to myself it is already down from £45,000 and I did part with nearly £20,000 in one go when I got my teeth done. Link to comment Share on other sites More sharing options...
Costock_Fox Posted 11 January 2017 Share Posted 11 January 2017 16 minutes ago, Steven said: All of that is true but I can't persuade myself to part with the £20,000 in one go. Eight months more at £2,500 a month should get everything close to zero. In fairness to myself it is already down from £45,000 and I did part with nearly £20,000 in one go when I got my teeth done. but you surely already have parted with that cash if you have it on a credit card. You will be paying a fortune in interest every month on that amount so could save a few grand in the time it takes you to pay it off. Link to comment Share on other sites More sharing options...
pSinatra Posted 11 January 2017 Share Posted 11 January 2017 Money isn't a physical thing anymore & if people had to hand over hard cash whenever they paid for stuff, I'm sure they would think more carefully. Not everybody, but a lot of people - especially my missus & step-daughter. They seem to have no concept of money. The daughter has a card system at school when paying for her dinner. You load money onto the card & she just has whatever she wants. A bacon cob in the morning, a shitload at dinner time & then an evening meal when she gets home. It's like a credit card that she doesn't have to pay for. She's 12 years old & I'm not sure what she's learning about money other than it seems to grow on trees. Link to comment Share on other sites More sharing options...
ramboacdc Posted 11 January 2017 Share Posted 11 January 2017 10 grand and the mrs lost her job due to being on long term sick. in a few words...shitting it! Link to comment Share on other sites More sharing options...
Great Boos Up Posted 11 January 2017 Share Posted 11 January 2017 6 minutes ago, ramboacdc said: 10 grand and the mrs lost her job due to being on long term sick. in a few words...shitting it! First step is admitting it. Now do a budget. A real budget! This will tell you how much is left after bills and living costs to pay debts. Then contact your creditors and say you are having problems. Do not use credit cards or borrow money. Good luck. Link to comment Share on other sites More sharing options...
ramboacdc Posted 11 January 2017 Share Posted 11 January 2017 4 minutes ago, Great Boos Up said: First step is admitting it. Now do a budget. A real budget! This will tell you how much is left after bills and living costs to pay debts. Then contact your creditors and say you are having problems. Do not use credit cards or borrow money. Good luck. do not worry i am doing all of these things. I have a good support network around me and the debt was caused by court fees to see my daughter again. worth every penny in my eyes. Link to comment Share on other sites More sharing options...
Babylon Posted 11 January 2017 Share Posted 11 January 2017 1 hour ago, Steven said: All of that is true but I can't persuade myself to part with the £20,000 in one go. Eight months more at £2,500 a month should get everything close to zero. In fairness to myself it is already down from £45,000 and I did part with nearly £20,000 in one go when I got my teeth done. I know where you're coming from. You done a balance transfer to another card? You could switch to a 0% interest card and just pay the switching fee. You'd end up paying £300 rather than £1400 in fees/interest. You could then pay it off over 2 years as well. The teeth look good. Link to comment Share on other sites More sharing options...
Babylon Posted 11 January 2017 Share Posted 11 January 2017 5 minutes ago, ramboacdc said: caused by court fees to see my daughter again. worth every penny in my eyes. The amount of people I hear this from is frightening and a fecking disgrace. So many total physco women out there who use the kids. Link to comment Share on other sites More sharing options...
RobHawk Posted 11 January 2017 Share Posted 11 January 2017 Just wanted to say, if anybody is in debt and struggling with it and wants some advice, thats basically part of my day job so feel free to PM me. The worst thing people can do is bury their head in the sand, the 2nd worst (as already stated in the thread) is pay for debt advice! The biggest problem with credit these days are our expectations of what we need and how easy it is to get credit! Just look at what our poarents and grandparents acheived with basically nothing during WW2. In todays world nothing lasts, we rarely fix things (just buy new) and think we can spend to live a lifestyle we can't afford. There are some people who are generally in dificult circumstances and doing everything they can to manage, but that is not the reason for the increased debt levels within our society. Link to comment Share on other sites More sharing options...
davbison Posted 11 January 2017 Share Posted 11 January 2017 If anyone is in debt and needs help or advice, feel free to PM me and I should be able to help point you in the right direction. I work for a debt advice charity. Link to comment Share on other sites More sharing options...
Nick Posted 11 January 2017 Share Posted 11 January 2017 It took me years to get out of the debt I accrued - I did it by taking out a loan from my bank for 20K over 5 years (one good thing about being in debt and always paying stuff off is that your credit rating is excellent and the rate I got was crazy 3.6% lol) - I paid off everything (also got a couple of shiny new things) and paid pack £20,714 over 5 years at £380 odd a month.... took five years but the day I paid off the credit cards I ripped them up. The day I paid off the loan I noticed my disposable income had just gone up by £400 a month. Link to comment Share on other sites More sharing options...
Footballwipe Posted 11 January 2017 Share Posted 11 January 2017 Only the big stuff with a Mortgage etc. We have two cars on PCP which work for us, but I think when they expire a cheap % loan to buy the car might be better for us. We transfer about 55% of our joint earnings into the "house account" to pay for everything. We track our outgoings so when there are "heavy" months we are prepared, or we pull down the bunkers to ensure we are economical. I'm not a big Credit Card user. So much so that a coat I spent £35 on cost me more cause I got a £12 penalty for not making a minimum repayment! Lesson learnt, but like someone said above, it is great for purchase protection. I've spent my childhood watching my parents work hard to avoid lots of debt, despite always being on the precepice. They got what they could afford, when they could afford it. I think for people who lived like that you go one of two ways; thrifty to the point of being a tightwad, or see the money in your account and blow it straight away. Link to comment Share on other sites More sharing options...
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