How much in debt are you

fits

Deja Boo wrote: »

I can't afford to be in debt.

This! We could do with changing one of our cars (13 years old) but can’t afford the interest and depreciation at present. We have a mortgage and childcare bills to match.

Wanderer78

Thankfully no debts, extremely unusual for my age group, feel very sorry for those heavily indebted, just to get access to life's most critical of needs

babi-hrse

13k against 13k in shares with credit union for remaining balance of a wedding and a second car. Hopefully we will see some of the money back from the wedding and everyone doesn't buy us a toaster and waffle maker

missyb01

Besides mortgage, about 1k left off a €3k credit union loan towards a car. It will be paid off in full next February.

anewme

SafeSurfer wrote: »

I drive a debt free 11 year old car. A nice way to deflate someone driving a shiny new 192 or soon, a 201 is not to say “oh I see you got a new car” but “oh I see you got a new loan”.

But why would you feel the need to “deflate” someone? I really don’t understand that begrudger attitude.

I m looking forward to my new car, because that’s my thing. And I won’t owe one cent on it,

Legacy Tasty Spit

Legacy Tasty Spit wrote: »

No debt whatsoever. Income? €80k+

What about yourself OP?

Nobody asked about income.

Still waters

ReginaldSmythV wrote: »

Nobody asked about income.

You better read the op again

anewme

ReginaldSmythV wrote: »

Nobody asked about income.

It’s asked in the very first post.

I only read the titles. Too busy generating income and being great for anything else.

ytpe2r5bxkn0c1

joejoggs wrote: »

How much in debt are you and your current income. Would be interesting to see. Not taking mortgages into account.

ReginaldSmythV wrote: »

Nobody asked about income.

I despair at the inability of some people to read and comprehend a basic question.


Any response from the OP?

facehugger99

I don't believe in going into debt to fund purchases of depreciating assets.

LeBash

Never been in debt. Dont buy anything I cant afford. If I want it, I save for it.

Got slagged and brow beat about my 06 A4 (which I got rid of this year and got a company EV) for years by friends and some family while they've been driving big new cars. I earn more than all of them I assume but the A4 was mine, they're land rovers and land cruisers etc were all the banks.

I dont own a house yet but I have a good sum of money saved and will take my first loan ever shortly. It's actually giving me sleepless nights if I'm honest and I see so many people around me so quick and eager to jump into debt. I just cant understand it.

I looked at the mortgage and for a house worth 400k, I'll pay the bank a profit of 179k over the term. Almost half the value of the house. So for me to sell it and break even, it needs to increase in value by 50%. That's at the best mortgage rate in the country meaning I have to save more money to achieve that rate.

I by no means live frugal and not mean with money but my Grandfather always told me, the only loan anyone should take is a mortgage and I live by that.

Alf Veedersane

Have 19k left to pay off in a 69k loan for my birthday party but other than that, no debt.

spurious

No debt. Income about 25k.
Other than the house, I have never bought anything on credit.
If I can't afford it I have to decide if I want to save for it or not.
The nuns did a good job on my generation.

Aglomerado

Nil with the exception of the mortgage which is shaping up to be paid off at least 15 years ahead of schedule.

XsApollo

221k or thereabouts.
2 mortgages and a small personal loan.

I'm not surprised at the responses.
Debt isn't as common as is made out.
Equally I don't think anyone is going to admit they borrowed from the credit union for a once in a lifetime family trip to lapland to see Santa.

small car loan after the last one was on the way out
not a new one. just new to me
even that much is annoying

CIP4

Currently just have a car loan that’s a fraction of what the car is worth will hopefully pay that off in the next 12 months. After that want to avoid all other debts apart from getting a mortgage on a house which should be in the next 2 years.

I do use a credit card for day to day expenses but clear it 100% every month so have never paid interest on it. Prefer to use a credit card as you have increased protection, also it keeps my current account clean looking with just one monthly transaction to pay it off each month. Rather than loads of transactions if I was using my debit card to buy everything.

LeBash

LeBash wrote: »

.......

I looked at the mortgage and for a house worth 400k, I'll pay the bank a profit of 179k over the term. Almost half the value of the house. So for me to sell it and break even, it needs to increase in value by 50%. That's at the best mortgage rate in the country meaning I have to save more money to achieve that rate.

......

Overpaying the mortgage is a good way to minimise interest payments..... Especially for folk who plan to save money.

In the spirit of diversification saving some, pensioning some & overpaying some is a good way to go for folk with decent income, a mortgage & a desire to set themselves up long-term.

Still waters

Why do some overpay the mortgage, I've often wondered why anyone would bother, i can't see any advantage to me paying off mine early

I work in finance and there are a lot more people in debt than this thread makes out.

Restructuring Overdrafts and Credit Cards into loans happens multiple times everyday of the week.

People of all salaries and age groups too.

Canyon86

Car loan €3,000 remaining from 9,000€

Credit Card € 830

Savings for mortgage at the moment currently 13K

Plan on getting rid of both CC and Loan by March next year

Ms2011

25k on my shiny new 192 car that I make no excuses for having.
2k on a credit card which I throw a few quid off a week.
But I bought my house for cash so have no accommodation expenditure and I'm a stay at home parent so no child care costs.
The debts we have I have made sure that even if our income was gone tomorrow and we had to sign on the dole we could still pay what we owe so for me it's acceptable debt.
Taking the kids to Florida in the summer but I will and am saving like mad to pay for that.

anewme

Still waters wrote: »

Why do some overpay the mortgage, I've often wondered why anyone would bother, i can't see any advantage to me paying off mine early

I’m the same.

At ECB plus .5 percent, it’s the cheapest money I’ll ever get, so let it roll.

Don Joe

I was 30 before entering any type of formal debt.

7,000 car loan, which I still owe 1,500 on.
4,400 credit card loan (8% instead of 17%), I still owe 3,600 of that
2,500 holiday loan I still owe 1,600 of.

So I'm 7,700 in the red.

Some bad choices there, but have lived and learned.

X111111111111

Don't owe anyone a single cent. If i can't afford it with cash i wont buy it simple as that.

Trigger Happy

Still waters wrote: »

Why do some overpay the mortgage, I've often wondered why anyone would bother, i can't see any advantage to me paying off mine early

It's a question of ability to pay and maths.

Let's say I have €1000 spare cash and have no need for it. I use this as overpayment.
This can reduce the term or the monthly repayment. I go for the latter.

The €1000 overpayment reduces my monthly by €10 per month and that is a total reduction in repayments of €1300 over the remaining period of my mortgage. So my 1000 turns into 1300.

But.. if I return the reduced repayment amount into more overpayments then the effect compounds.

This makes perfect sense for me as I dont spend all my salary and have am lucky be able to afford overpayments.

utyh2ikcq9z76b

[Deleted User] wrote: »

I'm not surprised at the responses.
Debt isn't as common as is made out.
Equally I don't think anyone is going to admit they borrowed from the credit union for a once in a lifetime family trip to lapland to see Santa.

I does seem strange that people won't post about it compared to peeps out of debt, is there some strange social shame/stigma attached to debt???

Considering

Ireland still has one of the highest per capita debt levels in the world. Central Statistics Office (CSO) figures, published on Friday, show it equates to €44,365 for every man, woman and child in the State or nearly €90,000 for every worker in the economy

https://www.irishtimes.com/business/economy/ireland-s-debt-44-365-is-owed-by-every-man-woman-and-child-in-the-state-1.3954806

Galwayguy35

1k on the credit card which I will pay off this week and the mortgage which has 25 years left on it.

I put some money aside every week on a pension scheme and have a few bob saved in the bank as well.

Don't have any kids so any bit extra I spend on a holiday every year to see a bit of the world.

ldy4mxonucwsq6

Still waters wrote: »

Why do some overpay the mortgage, I've often wondered why anyone would bother, i can't see any advantage to me paying off mine early

Because it will save you a packet in interest over the life of the mortgage plus you'll be mortgage free a few years earlier.

I only overpay mine by 10% each month but all going to plan I will finish my term 3 or 4 years earlier which is worth roughly 35k - 45k.

anewme

Trigger Happy wrote: »

It's a question of ability to pay and maths.

Let's say I have €1000 spare cash and have no need for it. I use this as overpayment.
This can reduce the term or the monthly repayment. I go for the latter.

The €1000 overpayment reduces my monthly by €10 per month and that is a total reduction in repayments of €1300 over the remaining period of my mortgage. So my 1000 turns into 1300.

But.. if I return the reduced repayment amount into more overpayments then the effect compounds.

This makes perfect sense for me as I dont spend all my salary and have am lucky be able to afford overpayments.

Not worth overpaying for me. Or for anyone on a cheap tracker.

I leave my cheap mortgage repayments roll (interest is minimal) and put the would be overpayments into my pension. Chance for compound growth. The tax break is the real gain though.

Galwayguy35

Channing Poor Sailboat wrote: »

Because it will save you a packet in interest over the life of the mortgage plus you'll be mortgage free a few years earlier.

I only overpay mine by 10% each month but all going to plan I will finish my term 3 or 4 years earlier which is worth roughly 35k - 45k.

Same here, started overpaying by 10% this time last year, it's easy to keep an eye on things and the option is there to back down if things start getting a bit tight.

LeBash

Augeo wrote: »

Overpaying the mortgage is a good way to minimise interest payments..... Especially for folk who plan to save money.

In the spirit of diversification saving some, pensioning some & overpaying some is a good way to go for folk with decent income, a mortgage & a desire to set themselves up long-term.

Agreed and understand but the thoughts of owing money for whatever reason feels wrong in my head.

Leg End Reject

About 25k in personal debt on top of the mortgage, all due to unfortunate timing.

Anything with a high interest rate is taken over the shortest time possible and is always paid off on time or early.

I don't understand the aversion some people have to debt, very few of us have large cash reserves. The huge advantage for me is a good credit rating - if I was unlucky enough for the boiler, washing machine and tumble dryer to give up the ghost in the morning I'd be able to replace them quickly.

I would always buy a quality version of something, and keep it until it was no longer economical to repair, rather than a cheap stopgap solution, so I do get my money's worth.

wexandproud

filled the car with diesel yesterday only to realize i had forgotten the wallet , so i owe the lady in the local filling station 55 e . I'll drop it in to her later and i'll be debt free then

Salary Negotiator

anewme wrote: »

Not worth overpaying for me. Or for anyone on a cheap tracker.

I leave my cheap mortgage repayments roll (interest is minimal) and put the would be overpayments into my pension. Chance for compound growth. The tax break is the real gain though.

I over pay by 10%, I set that up because after paying 20% into my pension I could afford it and at an effective rate of 3% net of DIRT it’s the highest interest rate I could get for that amount of money.

Trigger Happy

anewme wrote: »

Not worth overpaying for me. Or for anyone on a cheap tracker.

I leave my cheap mortgage repayments roll (interest is minimal) and put the would be overpayments into my pension. Chance for compound growth. The tax break is the real gain though.

That's fair enough. I had thought of putting the spare cash in the pension but would not get access to it until I retire. But by overpaying the mortgage I get to use the cash much much earlier. I too am on a tracker.

The J Stands for Jay

Millionaire only not wrote: »

Unlike the norm here , I’ve been up to my tits in debt from greed after wasting 10 years of my life I’m nearly free . Some of it luck coupled with hard work and no waste or luxury spending (not that I ever really blew money bar a car )

My advice to anyone do without it if u haven’t in your hand bar a mortgage maybe !

I aged 20 years over it , destroyed my life wrecked a marriage , missed my younglads growing up all over greed !

I’m happy with being debt free now , I feel I’m worth a million believe it or not

I was lucky in that my lost decade was 18-28 or so. I didn't have the imagination or access to credit to get myself into really bad debt.

ldy4mxonucwsq6

anewme wrote: »

Not worth overpaying for me. Or for anyone on a cheap tracker.

I leave my cheap mortgage repayments roll (interest is minimal) and put the would be overpayments into my pension. Chance for compound growth. The tax break is the real gain though.

Regardless of cheap interest you would still likely benefit from finishing the term earlier, those couple of years at the end that you will have to pay zero will still be worth thousands.

Some low risk invesment rates aren't great so overpaying the mortgage is a good return for me.

HappyAsLarE

Still waters wrote: »

Why do some overpay the mortgage, I've often wondered why anyone would bother, i can't see any advantage to me paying off mine early

Why would anyone sign a mortgage contract they don’t understand?

I have saved €150k by paying mine off early.

The J Stands for Jay

Alyssa Pitiful Aeroplane wrote: »

Absolute nonsense. People like to enjoy life and part of that is buying and owning nice things.

This is madness. Happiness is not being surrounded by material things you bought for a dopamine hit but no longer want. I'm slowly reducing the amount of things I own and it making me happier. Happiness comes from doing things, not driving your 192 to the retail park.

The J Stands for Jay

Alyssa Pitiful Aeroplane wrote: »

Sounds pretty boring to me and to lots of others though (aside from owning your home). Most of the stuff on your list I get great enjoyment from and have a lot of interest in like new phones and tech, nice clothes, watches etc. I am also very interested in cars and they mean for more than just something to get from A to B.

Someone who was into cars wouldn't be getting into debt to buy a new Quasqai. They'd be getting something along these lines: https://oldcolonelcars.co.uk/listing/bmw-e31-8-series-840-sport/ and I'd say fair play to them.

The J Stands for Jay

[Deleted User] wrote: »

I'm not surprised at the responses.
Debt isn't as common as is made out.
Equally I don't think anyone is going to admit they borrowed from the credit union for a once in a lifetime family trip to lapland to see Santa.

I think those people are on Facebook rather than boards.

The J Stands for Jay

Ms2011 wrote: »

25k on my shiny new 192 car that I make no excuses for having.
2k on a credit card which I throw a few quid off a week.
But I bought my house for cash so have no accommodation expenditure and I'm a stay at home parent so no child care costs.
The debts we have I have made sure that even if our income was gone tomorrow and we had to sign on the dole we could still pay what we owe so for me it's acceptable debt.
Taking the kids to Florida in the summer but I will and am saving like mad to pay for that.

This would seem to run contrary to the 'traditional' approach to debt, but I think you're winning at debt here. Higher rates of interest, but much shorter terms are likely to be less expensive than a mortgage. I'm going to be nosey and ask: what kind of car is it?

Manic Moran

McGaggs wrote: »

This is madness. Happiness is not being surrounded by material things you bought for a dopamine hit but no longer want. I'm slowly reducing the amount of things I own and it making me happier. Happiness comes from doing things, not driving your 192 to the retail park.

Driving is a thing one does.

If you don't enjoy driving a nice car, that's fine. I don't enjoy skydiving or roller coasters. Or eating lobster. Why would I look down on you just wanted a dopamine hit from such a thing which retains absolutely zero practical value afterwards because you like something I don't?

I also overpay my mortgage a bit. Not by much. 2-4%. Doesn't sound like much, but my mortgage is one year into 30, and even a little now can be a notable guaranteed saving at the end and may help with an earlier retirement by not having that bill any more sooner. Go try an early repayment/ additional principal calculator online, you might be impressed by the values.

Still waters

Still waters wrote: »

Why do some overpay the mortgage, I've often wondered why anyone would bother, i can't see any advantage to me paying off mine early

For folk with tracker mortgages there's not much point. So too terminally ill people etc.

Otherwise you save potentially thousands in interest..... Most folk don't know how much interest they are paying so they are oblivious to the potential savings.

eviltwin

The interest rate on a mortgage adds up to a considerable sum over the term. Hopefully mine will be paid by this time next year, I'd rather have that monthly payment in my account than in the banks.

The J Stands for Jay

Manic Moran wrote: »

Driving is a thing one does.

If you don't enjoy driving a nice car, that's fine. I don't enjoy skydiving or roller coasters. Or eating lobster. Why would I look down on you just wanted a dopamine hit from such a thing which retains absolutely zero practical value afterwards because you like something I don't?

I also overpay my mortgage a bit. Not by much. 2-4%. Doesn't sound like much, but my mortgage is one year into 30, and even a little now can be a notable guaranteed saving at the end and may help with an earlier retirement by not having that bill any more sooner. Go try an early repayment/ additional principal calculator online, you might be impressed by the values.

I was responding directly to the person who said they liked buying things. Owning things that you enjoy using, or even just having, is a good use of money (even though not everyone can understand the appeal of owning certain items that other people love). Enjoying buying things seems nuts.

utyh2ikcq9z76b

McGaggs wrote: »

This is madness. Happiness is not being surrounded by material things you bought for a dopamine hit but no longer want. I'm slowly reducing the amount of things I own and it making me happier. Happiness comes from doing things, not driving your 192 to the retail park.

Doing things has become as soulless as owning stuff. Going to some corporate music event is just a new version of driving to the retail park. It's all consumption!! Corporations have long moved into the doing things industry, it's just more mindless consumption! At least we don't have to look at 50 social media posts from the person going to the shop to buy something.

Sitting in a field naked, no phone, no electricity and lashing back the liberty caps is the only true thing left