Do you owe money?

[OneMoreFarang]

6 minutes ago, Lacessit said:

We are not all grown up.

 

46% of Americans owe money on their credit cards. $1.14 trillion.

 

The average American is in debt to the tune of $104,000, including mortgages, student loans, cars etc.

 

If you think you got those card points free without someone paying for it, there's a bridge in Sydney Harbor I'd like to sell you.

 

I bet there are quite a few that would like to be in my financial position.

 

Should I feel bad because others can't control themselves?

For me personally the "points" are free. 

[ChaiyaTH]

Guess people here are new with the Rich dad Poor dad concept

[BigStar]

2 hours ago, SAFETY FIRST said:

I use my credit card everyday, I pay back the total amount due on due date, every month, I have been doing this for decades. 

 

I don't think the banks like me. 😂

 

 

I use my credit card frequently for onlline purchases and always pay the balance before the due date. My bank manager likes me, however, and we always exchange a greeting when I stop by.

 

Otherwise, no debts. It's a family tradition.

 

[worgeordie]

Don't owe anybody, anything ,and never have, self financed my businesses ,never took loans out,

paid cash for all my vehicles ,and properties ,If i cannot pay for it I don't buy it ,until I have the money

to pay for it, then got out of the rat race at 42 and moved here, the problem is some people today,they

have to have and have it now , like the reported queues of people to buy the new iPhone ,JUST because

it's new ......

 

regards worgeordie

[swissie]

28 minutes ago, Lacessit said:

We are not all grown up.

 

46% of Americans owe money on their credit cards. $1.14 trillion.

 

The average American is in debt to the tune of $104,000, including mortgages, student loans, cars etc.

 

If you think you got those card points free without someone paying for it, there's a bridge in Sydney Harbor I'd like to sell you.

 

I bet there are quite a few that would like to be in my financial position.

Yep! Take residence in the US and tell them that you are dept-free. Only using a pre-paid card occasionally.

It won't be long and your US friends will classify you as an immigrant with a serious mental disorder.

[novacova]

7 minutes ago, worgeordie said:

never took loans out,

paid cash for all my vehicles ,and properties

If I didn’t get loans for property in the late 70’s and early 80’s and waited until I was able to buy outright I would have lost a lot of money in investments. Buying properties was one of the first things I did right out of the gate.

[Hummin]

Only use credit cards, and pay in time.

 

Bought an appartment, put a mortgage on it, and bought another one, now soon buying a farm. Mortage is great if you can create income 

[1FinickyOne]

54 minutes ago, Lacessit said:

there's a bridge in Sydney Harbor I'd like to sell you.

And how did you come by the ownership?

 

Just kidding - lighten up

[1FinickyOne]

No debt... 

[Lacessit]

27 minutes ago, swissie said:

Yep! Take residence in the US and tell them that you are dept-free. Only using a pre-paid card occasionally.

It won't be long and your US friends will classify you as an immigrant with a serious mental disorder.

Quite right.

 

I am an outlier, and happy to be so.

 

 

[bunnydrops]

2 hours ago, SAFETY FIRST said:

I use my credit card everyday, I pay back the total amount due on due date, every month, I have been doing this for decades. 

 

I don't think the banks like me. 😂

 

No, they like you just fine. They collect their 3% every time you use it from the merchant who raised their price to account for it.

[bunnydrops]

No debt at all at the moment. I did buy a car on time about 8 years ago. Before that only on machinery for my work that brought in more work and income than the machinery cost.

[it is what it is]

 

bought my house for cash

 

when i change my car i'll pay cash

 

haven't been overdrawn at the bank or paid credit card interest since the mid 80s

 

financial management isn't difficult

[daveAustin]

Nope. Am liquid and always will be. Only ever been in debt twice... once at 19 to get a car (which I paid off before term) and a mortgage here (which I paid off before term). Credit card is auto-pay off or whatever you call it. Anyway way too much info, but being a big debtor is kinda muggy methinks, but of course is how the whole shambles of a monetary system runs.  

[swissie]

1 hour ago, Lacessit said:

Quite right.

 

I am an outlier, and happy to be so.

 

 

Me too. Good on me and you in the longer term mate. It's just how much "longer-term" the both of us have. Nevermind. 

The vultures (relatives) are circeling above me. I have made sure that the vultures will go empty.

[JimTripper]

What difference does it make what other's are doing? Nobody likes being in debt.

[swissie]

Holy moly,
"Credit" can be a eautiful thing when used to augment economic activity. A loan of 5%, producing 10% more revenue is a good thing.
Unfortunately, a large part ot "credits" are used to buy "consumer-goods". Things that do not increase in value, but sooner or later end up as trash at the local dump. Sometimes before the loan for the trash is payed off.

Nowhere else more a significant constellation than in the USA. Some people say, that this is not going to end up well.

[still kicking]

Nope don't owe any money can't get a credit card because of age   

[swissie]

2 hours ago, it is what it is said:

 

bought my house for cash

 

when i change my car i'll pay cash

 

haven't been overdrawn at the bank or paid credit card interest since the mid 80s

 

financial management isn't difficult

In the 1960/70ties?
Today young folks can not qualify for a downpayement and qualify to service their dept. They simply don't earn enough money. All over Europe.
Without a "real-estate-inheritance", average young folks will not become "real-estate -owners" in Europe anymore.

Hail to the 1960/70ties, when the working class was able to accumulate some tangible assets, beyond their paychecks.

 

[swissie]

46 minutes ago, JimTripper said:

What difference does it make what other's are doing? Nobody likes being in debt.

All countries are in dept. There is no country left that is dept-free. Knowing that "taxpayers" will fill in the gap. If not, the "outstanding balance" will be retreived by war. As usual.

[Patong2021]

I have no debt. I do have credit cards which are settled when due.I must have a credit card because I am reimbursed for work related expenses and have to be able to document the expense. 

 

The kicker is that I have a mediocre credit score, despite being classified as financially well off and having no debt. It is all because I have not borrowed or leased anything.

[moana]

6 minutes ago, Patong2021 said:

The kicker is that I have a mediocre credit score, despite being classified as financially well off and having no debt. It is all because I have not borrowed or leased anything.

That's not the reason. I'm in the same situation - never borrowed or leased anything. I only use credit cards. My credit score is 820+.

 

Look at your utilization rate stats, that's probably the reason (unless you have some late payments or worse in your history).

[save the frogs]

2 hours ago, swissie said:

In the 1960/70ties?
Today young folks can not qualify for a downpayement and qualify to service their dept. They simply don't earn enough money. All over Europe.
Without a "real-estate-inheritance", average young folks will not become "real-estate -owners" in Europe anymore.

 

The economics for real estate has changed.

But so has the possibility for remote work.

And young people should strive to be more nomadic rather than waste decades saving for insanely over-priced real estate and stay in one place their entire lives.

 

[simon43]

11 hours ago, bkk6060 said:

Seems ridiculous not to have credit cards.  I guess a person who has none probably does absolutely nothing. They are needed for travel, hotels, etc.  Just pay them off.

I travel, I stay in hotels, no credit cards for yonks.

 

Ever heard of cash? 🙂

[ChaiyaTH]

11 minutes ago, simon43 said:

I travel, I stay in hotels, no credit cards for yonks.

 

Ever heard of cash? 🙂

Seems you miss out on discounts, promotions, cash back, air miles and more. On top of that you miss out on leveraging your money, which would over time create more wealth, significant on 1-2 decades especially.

 

There is a difference between bad and good debt but most oldies never learnt that. If you have 100K in the bank and a new business idea that is 70% sure to succeed, the profit is 10% per year and you can borrow the 100K for 4% as well, you would obviously borrow the money and not risk your own capital.

[patman30]

No,
Credit creation is evil.
If you use (create) credit, you are part of the problem.

 

 

[ChaiyaTH]

9 hours ago, it is what it is said:

 

bought my house for cash

 

when i change my car i'll pay cash

 

haven't been overdrawn at the bank or paid credit card interest since the mid 80s

 

financial management isn't difficult

So you are wealthy and have a very decent pension? Or not? If not you likely never understood how money really works. Many people who are against debts or credit, and not have any debts / credit, often are also living super frugal as they never made good money as a result.

[sammieuk1]

My near perfect 2010 Mitsubishi Lancer keeps telling me borrow some dosh and change me but can't ever see that happening my once very painfully expensive love 🤔

[hotandsticky]

7 hours ago, Patong2021 said:

I have no debt. I do have credit cards which are settled when due.I must have a credit card because I am reimbursed for work related expenses and have to be able to document the expense. 

 

The kicker is that I have a mediocre credit score, despite being classified as financially well off and having no debt. It is all because I have not borrowed or leased anything.

 

 

The kicker is that you have to work.

 

 

[ravip]

15 hours ago, simon43 said:

In other words, do you have financial debts, such as credit card loans, bank loans, loan shark loans and so on?

 

When I moved to Thailand about 22 years ago, I slowly 'lost' my UK credit cards for various reasons (long forgotten).  This means that for the past 20 years, I have had to live using only my income, ie - living completely within my means. It would be near impossible to borrow from a Thai bank, and borrowing from a Thai loan shark would be a crazy move! I never borrow from friends, or have the need to do so.

 

This inability to borrow money has been a very good thing.  I have learnt to live within my means and not 'waste' money on unnecessary consumer items. I owe no money to anyone. Any ongoing financial liabilities can be terminated without a 'fine'. (My rent car has no contract - I can hand it back without financial penalty etc - My rented property can be handed back at 3 month's notice)

 

How about you?  Do you rely on credit to survive? Or do you use credit/loans in a sensible manner and pay them off on-time?

 I have learnt to live within my means and not 'waste' money on unnecessary consumer items.

 

That's one of the best policies in life IMHO.

I've been fortunate enough to have not been in debt in my life.

I use CC for convenience sake, and pay it off in full at the correct time.