11 replies to this topic

[Simon]

When I were a lad not so long ago…my father got a weekly wage packet, with real money in it. The money he earned had to last a whole week (get that!) and my mother made sure that it did. My dad actually got weekly spends (an allowance) from my mum.

My mother kept a handbag in her wardrobe which acted like an accounts filing cabinet, in it she kept all the bills gas, electric, water, rates etc. She put an amount in each envelope every week to ensure that when the 'due date' came around there would be exactly enough to pay the bill.

In those days we didn't have a car and it was a bit embarrassing getting on the number 20 bus with our shopping bags after we'd been to Crazy Cuts. It was even more embarrassing getting on the bus with suitcases when we were off on our annual holiday to Prestatyn holiday camp. It sometimes grated especially when my friends Dad purchased a brand new Lada. But it wasn't too bad, and at the end of the day my two brothers and I were very happy and we never went short of fruit salads or black jacks.

Apart from the mortgage on a nice semi-detached house in a nice area my mother and father were completely debt free. My mother didn't work (outside of the home) and my father was a semi-skilled fitter at a manufacturing firm. So how did they manage to stay out of debt?

I have no idea…

What I do know is that attitudes to debt have changed dramatically since the 1970's. Credit is very easy to get these days, in fact I heard yesterday that Barclays have been issuing credit cards to Big Issue Sellers with no fixed abode or ability to pay. How low can they go?

I'm totally different to my parents, I'm in debt and perhaps wrongly and maybe irresponsibly I don't really care…because it's normal. On the bus with bags…not while I've got plastic in my pocket mate!

The reason for writing this is because I'm fed up being bombarded and bullied by the vultures. After a while the constant haranguing GET'S MY GOAT!!!. Especially on top of the 'No Win No Pay' Accident Claims blah, blah, blah - but that's another story.

Look I'm in debt and I don't care, so leave me alone and stop reminding me all the time.

You will find some contact details for FREE debt advice below the articles.

Apologies for the excessive use of emoticons - but that's me.

Regards,
Simon

 

[Puzzle]

Simon,

This is very social conscious of you.

Along similar lines to yourself, 'I have debt and so what'.

The art is to manage that debt in a responsible way.

My biggest irritation is the junk-mail that piles through my front door on a daily basis offering me the best loans 'instantly'. I know of many people taking these offers and suffering at a later date.

Just my small input.

Chris

[Simon]

This is very social conscious of you.

Sometimes it just gets to a point where you have to say something and I can't think of a better place.

I heard on Radio 5 live this morning of a chap who had run up £65,000 worth of debts on 19 credit cards - he killed himself. Very sad, he had two children and I personally would have declared myself bankrupt. A politician was on the radio saying that the banks offering credit should share information better and that this sort of incident shouldn't be allowed to happen. Apparently the banks have all acted dumb and said the guy was always a model customer till near the end. Or in other words he always made the minimum payment (which they love) until he couldn't afford to pay even the minimum and then we hit him with a series of demanding telephone calls, letters and court orders etc., which eventually pushed him over the brink.

Yes the chap should have been more responsible but it's very difficult these days with all of the pressure and opportunity.

That gets me onto another point, I don't think that salary's in general have or are rising in line with the cost of living. I mean how many families can survive these days on a single salary, in fact how many can survive on two without using credit. Do you get paid enough?

Simon

[Puzzle]

Do you get paid enough?

No

I am actually on the same as 6 years ago, but everything else has gone up

Now we get on to council tax

And what about the proposal to have Car tax (VED) at £1000 for higher consumption vehicles. Whats wrong with putting it on the fuel in the first place????

Chris

[Simon]

I am actually on the same as 6 years ago, but everything else has gone up

Exactly Chris. I know some companies who very generously pay the annual inflation figure as an across the board pay increase each year. Very generous until you consider that the inflation figure over the last few years has been roughly around 2 - 3%. So what about council tax (+10%) and house prices (+?%) etc. Does this mean that we are destined for a credit crisis at some point in the future? Consider how much these fat cat banks etc. are earning in profits, I will dig out some recent figures later. And then they ship the call center jobs overseas. Investors In People - my arse! Social Corporate Responsibility - my arse!

Simon

[Puzzle]

Does this mean that we are destined for a credit crisis at some point in the future? 

Simon,

Yes !!!!!!!!!!!!!!!!!!

The money will (has???) run out at some point.

The fat cat banks - they just love it. All of that lovely lovely interest.

We seem to be on the same wavelength here

Chris

[Simon]

Chris, the article below sums up just about everything we have been discussing. One other thing I had always thought that the big retailers like Tesco et al. made the largest profits. They do make big profits but they actually work a lot harder than the banks to get them. I heard somewhere that to make each £1 of profit Tesco need to turnover £22 and for the banks it is £1 profit for every £2 turnover don't ask me how or where I heard it.

BANK PROFITS ARE AT THE EXPENSE OF CONSUMER DEBT - CABLE

Source:Liberal Democrats Website

Liberal Democrat Shadow Chancellor Dr Vincent Cable commenting on excessive profits made by banks, said:

"It is hardly surprising that banks are making huge profits, when consumer debt is approaching a record £1,000,000,000,000 (one trillion Pounds Sterling).

"The banks may well boast about their billion-pound profit margins, but they are making money at the expense of others who are getting deeper and deeper in debt.

"This trend comes three years after the Government-commissioned Cruickshank report argued that banks were already earning what it described as "excessive profits".

"The government has still failed to implement any regulations to curb the huge profits of the banking industry.

"Helped by elements of monopoly in the banking system such as the operation of the bank clearing system, and the lack of transparency in charging, banks have been able to make huge profits.

"While Gordon Brown has taken some action on small business loans, he has done nothing at all on the overall code of banking, affecting millions of retail consumers.

"The Government said it was going to regulate the banking system through a payments regulator, Paycom, but nothing has been done. As a result savers are suffering from lower returns on their savings than they should, and borrowers are paying higher repayment interest rates on loans than they should.

"I am very concerned about aggressive lending and the lack of interventions from the Bank of England or the Financial Services Authority. Loan to value ratios and income multipliers for mortgage borrowers are being pushed to reckless levels and the banks casual approach to offers of unsecured credit - especially on credit cards - is alarming. A debt bubble is forming which could well burst with painful consequences for those with large mortgages and unsecured loans."

"Even if we, as consumers, are unable to recognise that we are borrowing too much, it is simply not in anyone's interests to return to a boom and bust economy. Sometimes, people have to be saved from themselves. Gordon Brown, as Chancellor, has a duty of care towards the British people. He needs to act, and act quickly."

[SAM]

One of the simple ways that banks make money is with the "cheque to clear" line
You pay a bill, by cheque, at your bank. The money is automatically taken out of you account, yet it still takes three days to get to the recipient!! Why?? Surely this be hours with today's technology!!

On the talk of junk mail regarding loans and credit cards, I take great pleasure in saving a few up, writing "no thanks" on the application and sending it to a different company, I like to share the wealth when it comes to junk mail, so not only do the get a pointless reponse, but they also have to pay for the postage.

Juvenile, I know, but it is one up from when we were students and used to send whatever was lying around the house to them. This used to include crisp wrappers that had been folded into little triangles, curry house menus, or, if we were feeling really generous, a couple of maltesers!

[Simon]

Juvenile, I know, but it is one up from when we were students and used to send whatever was lying around the house to them. This used to include crisp wrappers that had been folded into little triangles, curry house menus, or, if we were feeling really generous, a couple of maltesers!

Very naughty Nadine...I like it.

[Simon]

Following on from the salary discussions earlier in this thread I thought that it would be interesting to revisit the IQA salary survey carried out in 2000.

Salary thread

Regards,
Simon

[Simon]

My biggest irritation is the junk-mail that piles through my front door on a daily basis offering me the best loans 'instantly'. I know of many people taking these offers and suffering at a later date.

Chris,

I must have missed this. You can 'opt out' from receiving much of this kind of junk mail by registering here:

http://www.mpsonline...choosetype.html

I did it ages ago and it does work. Now just to get off the telephone and email lists.

Regards,
Simon

[Puzzle]

Simon,

You can do a similar thing with the telephone

Telephone Preference Service is the grand title.

I shall dig out the number.

It is fully automated and after 28 days the silly calls stop!! If you do get one, just ask where they got the number from and then report them!!

We also have 'with held number' blocking, which stops the speed dialling freaks.

FYI we are registered for the postal thing, but if the name is different than the one on their database the junk still passes. It is amazing the variations of our name !!

Chris