Melbun Posted August 13, 2019 Share Posted August 13, 2019 9 hours ago, ezzra said: Inherently, Thais mentality is 'Let's spend now and think how to repay it later' are also bad at money managements, loyalty and diligence to a workplace not to mention honesty, plus their family commitments to help each other at all time, so no wonder most thais are cashless and wanting, and the never ending chase for luxury items puts them in the hock even further... NO - not at all. This is a global issue. People have forgotten the principle of "if you haven't got the cash - then you can't afford it". It's seduction by banks everywhere - that many, many fall for. Go back to paying in cash (where possible) is my advice. Debt is dreadful thing to carry. It weighs you life down. Link to comment Share on other sites More sharing options...
ThomasThBKK Posted August 13, 2019 Share Posted August 13, 2019 2 minutes ago, Melbun said: NO - not at all. This is a global issue. People have forgotten the principle of "if you haven't got the cash - then you can't afford it". It's seduction by banks everywhere - that many, many fall for. Go back to paying in cash (where possible) is my advice. Debt is dreadful thing to carry. It weighs you life down. Yet my home country gets criticized for austerity measures all the time, europe hates germany for imposing a bit of spending limits. It's so weird - personally i am in the boat of u can't spend money that you didn't earn yet. I would never go in debt to buy something, the only temporary debt i can life with is a credit card/mobile phone bill that i fully pay off every month. Link to comment Share on other sites More sharing options...
Too young to be old Posted August 13, 2019 Share Posted August 13, 2019 9 hours ago, ezzra said: Inherently, Thais mentality is 'Let's spend now and think how to repay it later' are also bad at money managements, loyalty and diligence to a workplace not to mention honesty, plus their family commitments to help each other at all time, so no wonder most thais are cashless and wanting, and the never ending chase for luxury items puts them in the hock even further... Its not just Thailand. Many in the UK live hand to mouth and borrow, but for a large proportion it is just survival, ie zero hours contracts and rising prices. Link to comment Share on other sites More sharing options...
UTH001 Posted August 13, 2019 Share Posted August 13, 2019 6 hours ago, Yinn said: Farang mentality so clever? Household debt to gdp. thailand 78% australia 120% denmark 115% canada 101% swiss 129% norway 102% new Zealand 94% uk 95% ireland 117% Reason for high household debt (also compared to GDP) in developed countries, such a Switzerland and Australia? Mostly due to high mortgage debt, which is not really a huge concern as property values have remained high and quite steady for at least the last decade... Link to comment Share on other sites More sharing options...
kiwikeith Posted August 13, 2019 Share Posted August 13, 2019 10 hours ago, leeneeds said: Same for all the world where credit is offered by institutions, bait the hook, and reel in the the ones who bite, going with out is not in a lot of peoples vernacular, when they should be reading the fine print and thinking, nothing is free. There is a lot of written off debt in LOS. I have family members that keep buying new cars and bikes with different guarantors . I don't know how they do it, they loose one car to repossession, then bingo they get another one a few months later. Apparently there is a large volume of repod cars stored in LOS. Strange that the house prices seem to be rising, I don't know what sales are like , all I hear is expats are leaving in droves. All those empty condos on the Cha Amm coast line will soon be full of Chinese owners flocking into Thailand to retire live. Thailand is in danger of being under complete Chinese control very soon. I think it already is. Falangs are not wanted now. There will be lots of bars for sale in the future, and the future of the bar girls may be dwindling. Crime rates will rise, this runs with debt, banks are only to happy to enslave people. This is the way of the world now, pathetic but true,people just have to have an iphone and a car and financiers love to provide the funds. Link to comment Share on other sites More sharing options...
SunsetT Posted August 13, 2019 Share Posted August 13, 2019 This is meant to happen stupid! Thats how Capitalism works.....Enslaved for life to the money lenders! Link to comment Share on other sites More sharing options...
Krataiboy Posted August 13, 2019 Share Posted August 13, 2019 1 hour ago, Fred white said: Actually banks already charge for keeping our money if you don't have direct deposit or keep a minimum amount It's called grooming. Link to comment Share on other sites More sharing options...
wolf81 Posted August 13, 2019 Share Posted August 13, 2019 11 hours ago, RichardColeman said: I think we can all see the signs that Thailand is going to really have it hard soon, and once those borrowers start being laid off as there's nobody to export too and the tourists are not coming or spending that debt is going to be near the 90% mark pretty quickly as the previous years they had reliable income streams Also might mean farangs will be able to buy some cheap land for the wife, due to people forced to sell in order to pay back their debts. Link to comment Share on other sites More sharing options...
Krataiboy Posted August 13, 2019 Share Posted August 13, 2019 29 minutes ago, UTH001 said: Reason for high household debt (also compared to GDP) in developed countries, such a Switzerland and Australia? Mostly due to high mortgage debt, which is not really a huge concern as property values have remained high and quite steady for at least the last decade... Funny, I thought I just heard a rumble of distant thunder. . . Link to comment Share on other sites More sharing options...
Ctkong Posted August 13, 2019 Share Posted August 13, 2019 6 hours ago, Hank Gunn said: Probably because credit card debt is not secured by any tangible asset. For example, with loans for a car or house, the house or car can eventually be repossessed and in theory, the bank/lender can recover some or most of the debt by selling that asset on. (Most banks have whole divisions for real estate properties.) Credit cards debt on the other hand is not secured by anything and is therefore of much higher risk, no matter who is borrowing. I don't know about other countries, but in the US, if a card is lost or stolen, the card holder is legally only on the hook for the first $50 (or at least that used to be the case). Credit card debts can have your monthly salary indented since you have to provide them with your employment details upon card application. Here in Thailand, I have my credit card debt limit being tied to my fixed deposit back to back and still they charge me 18% interest for any outstanding debt. Link to comment Share on other sites More sharing options...
malibukid Posted August 13, 2019 Share Posted August 13, 2019 Thai's are seduced by all the Western crap that is glorified on TV and in the movies. just have to have it. a very materialistic culture. i was surprised to see this. it's the result of globalization along with all the crappy Western food chains that now reside here. all poison. Link to comment Share on other sites More sharing options...
SunsetT Posted August 13, 2019 Share Posted August 13, 2019 Thailand! Land of Smiles eh? We'll soon wipe the smiles off their faces! Link to comment Share on other sites More sharing options...
Ctkong Posted August 13, 2019 Share Posted August 13, 2019 1 hour ago, Fred white said: Growing up I remember having 2 TV one had sound and one had a picture Right. My home where I grew in just had one tv in the living room. Now my current house has 4 TVs . One in the living room, one in the dining room, luckily none in the kitchen, one each in the bedroom. Problem is the kids rarely switch it on. They are mostly on their tablets and smartphones. Link to comment Share on other sites More sharing options...
Ctkong Posted August 13, 2019 Share Posted August 13, 2019 1 hour ago, hellohello123 said: that being said, I remember I bought a tv that was $1500 and it was one of the cheaper ones and thats in years ago dollars now you can buy a new 50-60inch tv for $500 and thats in todays dollars, so tvs for example and virtually every other household appliance has tumbled down in price, so often is much more efficient to replace instead of repair Being so cheap and light too, now they can just about hang like a painting on any available wall space so you can tune into your favourite program wherever you are.... even in the loo. Link to comment Share on other sites More sharing options...
Ctkong Posted August 13, 2019 Share Posted August 13, 2019 4 hours ago, Baerboxer said: Thais regard loans, especially within the family, as gifts. My wife's sister telephoned one day to say she was on the way to the garage to buy her new car. Only she was ThB 20k short and could my wife transfer it quickly to "lend her". Next she opened a new restaurant and wanted another 20k loan to buy stocks of ingredients etc. After 12 months we asked about repayment via father-in-law. Sister said "oh, are they short of money now then need me to pay back". That attitude sums it up. No responsibility or accountability to pay back - you've more than me so I can take some; entitled mentality. Since then she's had several issues with loan sharks and land deeds. Some of which were her parents and which she and her partner were not entitled to use as collateral. When a Thai says ‘loan’ it is an indirect request for free handout. To save their big face. They will conveniently forget about the loan in the future and if reminded about it ,they will feel that you are not a good and generous person to help out deserving friends so you are no longer their good friend. Link to comment Share on other sites More sharing options...
BritManToo Posted August 13, 2019 Share Posted August 13, 2019 1 minute ago, Ctkong said: When a Thai says ‘loan’ it is an indirect request for free handout. To save their big face. They will conveniently forget about the loan in the future and if reminded about it ,they will feel that you are not a good and generous person to help out deserving friends so you are no longer their good friend. I'm always happy to loan an attractive young Thai lady 1,000bht over breakfast. Link to comment Share on other sites More sharing options...
Ctkong Posted August 13, 2019 Share Posted August 13, 2019 6 hours ago, mania said: That is the trap of so called developing/developed countries Central Banks add the chains of debt one link at a time so you never notice the chain You ease into it & are soon accustomed to dragging it thru life Thai's had it good when they lived debt free. Now they are getting all modern ???? Living debt free but without modern amenities is not living. Think of amenities such as air conditioning, plumbing, roofing , refrigeration, washing machine, oven, dishwasher ,cars, bikes, auto garden watering system, tv electronics... all strive to free up people from doing mundane work day in and out while letting them enjoy their free up time with all that life can offer. However the caveat is that you must have financial freedom to do all that. Link to comment Share on other sites More sharing options...
raccos21 Posted August 13, 2019 Share Posted August 13, 2019 No worries. Eventually, they all can survive with their best invention instant noodles (MAMA), which are one of the best selling items sold almost everywhere here and cost only 10 baht. Link to comment Share on other sites More sharing options...
Vacuum Posted August 13, 2019 Share Posted August 13, 2019 20 minutes ago, Ctkong said: Living debt free but without modern amenities is not living. Think of amenities such as air conditioning, plumbing, roofing , refrigeration, washing machine, oven, dishwasher ,cars, bikes, auto garden watering system, tv electronics... all strive to free up people from doing mundane work day in and out while letting them enjoy their free up time with all that life can offer. However the caveat is that you must have financial freedom to do all that. Throw in a maid and your'e all set. Question is, what will you do with your "free time", sleep? Link to comment Share on other sites More sharing options...
gk10002000 Posted August 13, 2019 Share Posted August 13, 2019 12 hours ago, dcnx said: The music will stop eventually. I’m absolutely shocked to hear people making 9000 - 15,000b per month can’t afford a new car and the latest iPhone. or all the latest skin whitening creams and treatments that even the Indian TV channels that I noticed in a few Indian Restaurants were pushing on Indian nationals. Link to comment Share on other sites More sharing options...
Hank Gunn Posted August 13, 2019 Share Posted August 13, 2019 1 hour ago, Ctkong said: Credit card debts can have your monthly salary indented since you have to provide them with your employment details upon card application. Here in Thailand, I have my credit card debt limit being tied to my fixed deposit back to back and still they charge me 18% interest for any outstanding debt. Not sure about Thailand, but in the US it would be difficult for banks to garnish wages from credit card debt. Typically, banks with credit card loans that can't be collected either write them off as NPLs (Non-Performing Loans)/a loss or they sell them off to specialized debt collectors for pennies on the dollar. The debt collectors then gamble/bet on being able to collect from enough of the "dead beat" loans to make back their investments, plus a small profit. I've never heard of credit card debt being paid off through garnished wages, as typically debtors will have gotten so far in debt with collateralized loans (i.e. houses, cars, boats, etc.) that the credit cards are typically at the end of the line of debt collectors. Typically, employment details are only provided as evidence of being able to pay off your debt. Having said all that, I have no idea what the credit laws are in Thailand (especially since Thailand isn't really known as a place with the rule of law). I only have two accounts here, one for my 800k (a fixed dep. acct.) and one for day to day expenses. All my other banking is done/kept in my home country (US). I've also never borrowed money on a credit card (always pay off the balance every month) as that's probably the worst way to borrow money outside of a loan shark. Link to comment Share on other sites More sharing options...
Cake Monster Posted August 13, 2019 Share Posted August 13, 2019 13 hours ago, RichardColeman said: I think we can all see the signs that Thailand is going to really have it hard soon, and once those borrowers start being laid off as there's nobody to export too and the tourists are not coming or spending that debt is going to be near the 90% mark pretty quickly as the previous years they had reliable income streams The early signs of a big problem already seem to be there. Exports are down, Tourism is down, the Agro sector is on its knees, and all these Sectors are painting a bleak picture looking further to the future. Factories close to my location also seem to be on a downward trend, with many stopping, or reducing the amount of Over Time the Staff work. Workers are now catching the Company Minivan out of Patts to the main Industrial Estates such as AmataCity, because they cannot afford the Fuel for the cars they are purchasing Link to comment Share on other sites More sharing options...
Yinn Posted August 13, 2019 Share Posted August 13, 2019 2 hours ago, UTH001 said: Reason for high household debt (also compared to GDP) in developed countries, such a Switzerland and Australia? Mostly due to high mortgage debt, which is not really a huge concern as property values have remained high and quite steady for at least the last decade... Yes my friend went study in Sydney. She tell me is really terrible. 40 million baht for terribleplace. https://www.domain.com.au/news/ten-of-the-most-rundown-sydney-dump-houses-sold-in-2017-20171230-h05aed/ Link to comment Share on other sites More sharing options...
Fred white Posted August 13, 2019 Share Posted August 13, 2019 2 hours ago, SunsetT said: This is meant to happen stupid! Thats how Capitalism works.....Enslaved for life to the money lenders! Capitalism does not say you have to go in to debt Link to comment Share on other sites More sharing options...
Rocking Robert Posted August 13, 2019 Share Posted August 13, 2019 In the USA they have bankrupt laws to help people who get over there head in debt. Does Thailand have anything like that? Link to comment Share on other sites More sharing options...
CharlieH Posted August 13, 2019 Share Posted August 13, 2019 Its a general attitude from Buddhism of living in the now. They dont think about the future or plan ahead, it now. Can I pay the 3k baht every month for this or not ? They dont think , hang on a minute, thats X amount per year for 7 years !! and then 6 months /1 yr or more down the line circumstances change and bang ! problem. Thats how they can charge and get away with crazy 2% per month interest on things, they only see X amount per month, not the annual impact, too far and dont care. Thats why there are soooo many cars/motorcycles on the forecourts. Most are repossessions. This month matter, now matters, what can I get NOW, anything else isnt considered, deal with it later, thats another common trait "do it later" drives me nuts !! Link to comment Share on other sites More sharing options...
HeyHeyHey Posted August 13, 2019 Share Posted August 13, 2019 10 hours ago, Yinn said: Farang mentality so clever? Household debt to gdp. thailand 78% australia 120% denmark 115% canada 101% swiss 129% norway102% new Zealand 94% uk 95% ireland 117% Are you just stupid or you really don't see the difference? All those countries except Thailand are highly regulated, audited, and laws enforced. The % data of these countries are the reality. Thailand on the other hand has unknown % of shadow banking, loan sharks, mafia, etc. The 78% is dreamers number not reflecting reality. AND all those countries except Thailand are fairly high wages, high quality of life. Most of the borrowers can pick up an extra shift to earn $100 extra to put forward their debt. How many shifts a Thai need to get $100?? Also the foreigners can temporarily lower their life standards, and live off rice and cheap meats. The Thais are already on the rice and cheap meat. Hard to downsize from that. AND most of the debt in foreign countries are mortgages. But not for tiny shoeboxes that are low quality and close to impossible to sell, or rent (to get reasonable ROI) like in Thailand. Link to comment Share on other sites More sharing options...
Poggmahon Posted August 13, 2019 Share Posted August 13, 2019 Welcome to the real world of responsibility... When all the farangs have been bled dry or left....This is the result... Som Num Na!! Link to comment Share on other sites More sharing options...
Number 6 Posted August 13, 2019 Share Posted August 13, 2019 The difference here is the laws greatly unfavor borrowers and being Thai not educated and largely unsophisticated in terms of finance. They want. Impulsive. Most likely trust predatory lenders. Looking at my wife's parents you'd think they don't have one satang to rub up against another. Two modest homes, townhouse near Hualalongpong. Tiny restaurant, a taxi and a car. Cash in bank I suppose. They're all about cash. Old school. Wife is same. No debt. We spend too much money on trips but she still has about 500k plus a small house upcountry bought from a relative cheap. I really feel sad for all those Starbucks drinking fabulous fashionistas but bless all the pretty girls in nice clothes and makeup. Keep spending! Link to comment Share on other sites More sharing options...
Number 6 Posted August 13, 2019 Share Posted August 13, 2019 2 hours ago, Ctkong said: Living debt free but without modern amenities is not living. Think of amenities such as air conditioning, plumbing, roofing , refrigeration, washing machine, oven, dishwasher ,cars, bikes, auto garden watering system, tv electronics... all strive to free up people from doing mundane work day in and out while letting them enjoy their free up time with all that life can offer. However the caveat is that you must have financial freedom to do all that. Poor people don't need half that crap. Refrigerator is cheap and lasts decades. Very simple rooms with AC 20 minute walk to MRT can be had for 3500b. A roof? That's a splurge? A toilet? C'mon Link to comment Share on other sites More sharing options...
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