View Full Version : Personal Debt
My OH and I are unusual for our age of what I can gather. I am 25, he is 25 and neither of us are in ANY debt. We live off what we earn, no loans, no interest free credit purchases. If we do not have the money for it, we don't buy it.
But I have been thinking recently, can debt be worth it? maybe we could have a really nice new sofa or bed, go on a lovely holiday. It has especially got me thinking as it we will have been together 5 years in Feb '09 and we will want to get married, but it all costs so much!!
What do you think? Does anyone here regret getting into debt or is it worth it?
teenybash
19-Sep-08, 22:56
Personally I don't think debt is worth it...I have an ex who ran up credit cards and it was horrendous...Got rid of him and the worry he caused.
I now live debt free and it can't be beat.....You stick to the 'Pay for everything Plan' that you have and you won't regret it.
Debt is just a way of spending your tomorrows...think about it.;)
My OH and I are unusual for our age of what I can gather. I am 25, he is 25 and neither of us are in ANY debt. We live off what we earn, no loans, no interest free credit purchases. If we do not have the money for it, we don't buy it.
But I have been thinking recently, can debt be worth it? maybe we could have a really nice new sofa or bed, go on a lovely holiday. It has especially got me thinking as it we will have been together 5 years in Feb '09 and we will want to get married, but it all costs so much!!
What do you think? Does anyone here regret getting into debt or is it worth it?
there is whats known as "good debt" and "bad debt". If you can take out debt to invest in something (real estate, stocks, bonds etc) which will end up providing you with more money than you have spent, then that is good debt.
bad debt is buying a holiday, keeping up with the joneses because they have a new sofa.
i'd recommend the "Rich Dad" series of books written by Robert Kiyosaki. gives you a good insight into debt and when it is good
footie chick
19-Sep-08, 23:15
My OH and I are unusual for our age of what I can gather. I am 25, he is 25 and neither of us are in ANY debt. We live off what we earn, no loans, no interest free credit purchases. If we do not have the money for it, we don't buy it.
But I have been thinking recently, can debt be worth it? maybe we could have a really nice new sofa or bed, go on a lovely holiday. It has especially got me thinking as it we will have been together 5 years in Feb '09 and we will want to get married, but it all costs so much!!
What do you think? Does anyone here regret getting into debt or is it worth it?
We don't have debt either. Would love holidays abroad every year new thing etc but is it worth it ?
As for getting married its only as expensive as you make it. We got a few mates together went off and got married came home and had a party and it didn't cost that much given my time again they only thing I'd change is they all talked me into wearing a dress! :mad: Not me but other than that perfect day 9 years later still happy.
The amount of money you spend on one day or your lives does not guarantee life long happiness.
Lolabelle
19-Sep-08, 23:30
We don't have much in the way of personal debt, just a mortgage, no credit cards or personal loans, not even a car loan.
[evil] But we have about $700,000.00 worth of loans in the way of equipment with our business! :eek:
Ohh, makes me feel a bit sick when I added it all up :~(
I don't consider my mortgage to be debt, it's just a payment I need to make every month the same as my council tax or electricity. Indeed I'd rather owe money on a mortgage and own my house in the end than throw money away in rent until the day I die!
Debt is only a problem in my opinion if you can't afford the repayments.
I've got credit cards which I buy expensive things with, but pay them off immediately to avoid paying interest. The protection you get from using Visa or Mastercard is worth having in my opinion, just ask the people who paid cash for a holiday firm before it went bust!
you should always live within your means if u cant afford it dont buy it save up for it you will appreciate it more getting loans is easy its paying them off is the problem and if you are struggling now what like is it going to be for yous paying of loans on top of it.
I have no debts and thats the way its going to stay
Bad Manners
20-Sep-08, 11:47
My OH and I are unusual for our age of what I can gather. I am 25, he is 25 and neither of us are in ANY debt. We live off what we earn, no loans, no interest free credit purchases. If we do not have the money for it, we don't buy it.
But I have been thinking recently, can debt be worth it? maybe we could have a really nice new sofa or bed, go on a lovely holiday. It has especially got me thinking as it we will have been together 5 years in Feb '09 and we will want to get married, but it all costs so much!!
What do you think? Does anyone here regret getting into debt or is it worth it?
You are in an ideal situation you have no debt try to keep it that way with the exception of buying a house my mantra is if you cant afford it save up. far too many people have got themself into debt most can cope with it but all to often these days people are failing.
you dont know whats round the corner it could be unemployment,sickness or a multitude of other things each would be bad enough but having debt as well just makes things so much worse.
You are to be praised for what you have done so far and keep up the good work but most of all be happy
I don't consider my mortgage to be debt, it's just a payment I need to make every month the same as my council tax or electricity. Indeed I'd rather owe money on a mortgage and own my house in the end than throw money away in rent until the day I die!
Debt is only a problem in my opinion if you can't afford the repayments.
I've got credit cards which I buy expensive things with, but pay them off immediately to avoid paying interest. The protection you get from using Visa or Mastercard is worth having in my opinion, just ask the people who paid cash for a holiday firm before it went bust!
Im sorry but Debt is only a problem in my opinion if you can't afford the repayments.Thats the wrong way to look at things thats how debt starts and gets out of hand.
And as for I've got credit cards why would you need more than one thats a typical sign that your living out with your means.I have one credit card and i only use it for emergency like i have no money on me at the time or my other cashline card is broken thats all i use it for but im lucky i can handle using a credit card were some people cant.
Im sorry but Debt is only a problem in my opinion if you can't afford the repayments.Thats the wrong way to look at things thats how debt starts and gets out of hand.
And as for I've got credit cards why would you need more than one thats a typical sign that your living out with your means.I have one credit card and i only use it for emergency like i have no money on me at the time or my other cashline card is broken thats all i use it for but im lucky i can handle using a credit card were some people cant.
So do you think having a mortgage is a debt? Do you think it is better to pay rent until the day you die or a mortgage for 25 years?
I make my mortgage repayments every month, therefore I don't see it as a problem debt. How that starts to let debt get out of hand is beyond me.
As for credit cards, there's a number of reasons for having them. The insurance against firms going bust etc is one. Another is to improve your credit rating. The more banks/finance companies who have had you on their books without problems - the better your credit score.
As for your concern about my living beyond my means, I can assure you my credit card balances are 0 and my saving are in a healthy state!
Morgage is an investment for the future and something to pass on to someone else i didnt say that was debt
You said Debt is only a problem in my opinion if you can't afford the repayments which means to anyone reading it debt in general which is a wrong way to think and thats how debt problems start.
And if you believe in having a heap of credit cards to improve your credit ratings as good thats crazy u only need one and to be honest about i couldnt cars less about my credit rating i pay everything cash or buy card nothing on tick
i hate debt to be honest, dont like borrowing money and dont like giving people a borrow. we always try to live within our means, we once saved for a year and a half and went on a family holiday to Malaysia which was beautiful, worth every penny and when we came home we owed no one nothing!
Eddie
Morgage is an investment for the future and something to pass on to someone else I didnt say that was a debt.
Wrong Eddie - mortgage is not something to pass on to someone else - if you pay for your home and end up requiring care, your house is sold and proceeds used for your care.
Not an investment allowing you to pass on your home to descendants when you pass from this world - this is part of your savings and will be sold to fund your care once your savings have been used.
Buying a home allows you to stop paying rent but has many other costs involved.
If I rented a home for 50 years I would have paid a lot of rent but had nothing to show for my rent - no home to sell, government will still stump up for my care.
So folks if you are getting on a bit - my advice is to spend as much as you can and enjoy life - sell up and downsize or eventually go into sheltered housing when time comes.
percy toboggan
20-Sep-08, 16:04
'Getting married' need not cost more than few hundred pounds.
It needn't even cost that much.
To fork out thousands for a big doo when you cannot afford it easily is just plain daft.
Why is it orgers have such sensible ideas about debt but the people who are paid thousands (some millions) to manage other people's money don't seem to have a clue? Gordon Brown included.
Can we do a bit of re-arranging here?
To easy to get into, not so easy to get out of. if you cant pay one month how on earth are you ment to beable to afford to pay double the next month, unfortunatly i speak from experiance, s disgusted in myself to admit, but hey there is help out there as i found and have got mine sorted, would never do anything as stupid again, as the pressure is unbelievable.
Bad Manners
20-Sep-08, 17:49
To easy to get into, not so easy to get out of. if you cant pay one month how on earth are you ment to beable to afford to pay double the next month, unfortunatly i speak from experiance, s disgusted in myself to admit, but hey there is help out there as i found and have got mine sorted, would never do anything as stupid again, as the pressure is unbelievable.
Very brave of you to admit you have had a problem and am pleased you have found a resolve. the trouble with debt is everyone things they can handle it and nothing will happen to them. but sometimes it goes wrong.
If you can live within your means you will be happier in the end
Very brave of you to admit you have had a problem and am pleased you have found a resolve. the trouble with debt is everyone things they can handle it and nothing will happen to them. but sometimes it goes wrong.
If you can live within your means you will be happier in the end
oh believe you me i learnt the hard way, and now thankfully it has ll been cleared, and that is one road i will never go down again, it bothereed me at the start i was embrresed by it, but i know i am not the only one, but some folk just keep digging deeper, but i can hold my hand up and say i faced up to mine. If i dont have the money then its as simple as this we cant have it.
Eddie
Morgage is an investment for the future and something to pass on to someone else I didnt say that was a debt.
Wrong Eddie - mortgage is not something to pass on to someone else - if you pay for your home and end up requiring care, your house is sold and proceeds used for your care.
Not an investment allowing you to pass on your home to descendants when you pass from this world - this is part of your savings and will be sold to fund your care once your savings have been used.
Buying a home allows you to stop paying rent but has many other costs involved.
If I rented a home for 50 years I would have paid a lot of rent but had nothing to show for my rent - no home to sell, government will still stump up for my care.
So folks if you are getting on a bit - my advice is to spend as much as you can and enjoy life - sell up and downsize or eventually go into sheltered housing when time comes.
WRONG Pat you sign the house over to your family well before your time to go into care and all the taxes and nhs tax you payed over the working years of your life pays for your care just the same as your taxes has been paying for the lazy people that dont want to work spending for the sake of spending is crazy and a waste but then thats your choice wouldnt be mine
Eddie
How do you know when to sign over your house - are you psychic?
I know many folk around 50s requiring full time nursing care, having to pay using savings and house - would you consider that too young or too old to sign over your home in time to make use of your 'loophole'?
Home would have to be signed over several years ahead, you would also have to prove you did not dispose of inappropriately if required by Inland Revenue and benefit system when trying to claim benefits.
You would also put yourself under the control of whoever you sign over the home/money, they could sell the home with you as a sitting tenant the new buyer wants out of the property.
Trying to dispose of your home/money in this way also may make the recipient liable for Capital Gains and cause all sorts of financial problems for them.
Eddie
How do you know when to sign over your house - are you psychic?
I know many folk around 50s requiring full time nursing care, having to pay using savings and house - would you consider that too young or too old to sign over your home in time to make use of your 'loophole'?
Home would have to be signed over several years ahead, you would also have to prove you did not dispose of inappropriately if required by Inland Revenue and benefit system when trying to claim benefits.
You would also put yourself under the control of whoever you sign over the home/money, they could sell the home with you as a sitting tenant the new buyer wants out of the property.
Trying to dispose of your home/money in this way also may make the recipient liable for Capital Gains and cause all sorts of financial problems for them.
You could sign it over and set up a written aggreement.It makes u think somtimes who has the right idea to life the guy that drinks it and doesnt save or the person that works all there life and saves up for later on in life i suppose both exmples will end up in nusring home one paying for it and the other getting it for free but thats life.
If i had the choice to sign a house over to someone i wanted it to have or to see the house getting sold and and the money used for nursing home bills what at £500 a week i no what i would do.
But i do see your point
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