To think apart from mortgage it is possible to live debt free!?

[Moneytalkone]

Just that really, AIBU to think that it is possible to live debt free, that debt isn’t a necessity in life! Apart from a mortgage I suppose if you want to own a house. Had a chat with a friend who claimed that debt is given these days, it’s almost an accepted/expected part of life? What do you think?

@OnlyFoolsnMothers I never said we were the norm at all....you asked a question and I answered. I never once stated it was the norm, I said I knew others who had done it too, that’s all. It’s clearly not the norm.

Why angry?

We've been made redundant 5 or 6 times between us. It is shit. We never had much savings and so made hard decisions on how to get through it.

It wasn't privilege that got us through those times. It was the decisions we made, the things we chose not to do, have, and I am talking heating and food not cars and holidays. It works out for some, not for others because we don't all live the same life. Seems like a waste of energy to get angry about it!

Thank you @missfliss
I still count my blessings in other ways. It really does become a downward spiral though.
I’m hoping my luck may have changed as an old colleague has contacted me recently.
However, that will mean leaving my mum pretty much stranded if it works out.
If you told me 20 years ago I would be in this position in my 40s I would have thought it ridiculous.

No debt here apart from mortgage. Everything we have we save and pay for.

I forgot about all the steaks and caviar I ate during those years. And the 24 hour heating!
Angry because people cannot understand that people may not be frivolous but a change in circumstances can be devastating.

Why are people getting angry and talking about luck.
Some people have really bad luck and are in debt through this, and I sympathise. But saying you are privileged or lucky to not be in this position is ridiculous.
Just because things haven't gone right for you, everyone else isn't lucky or they'd all be winning the lottery, or inheriting many thousands, that's luck, not just trudging away, everyday, trying to make ends meet.

I have no debt. Mortgage paid off following inheritance and no credit card or HP debt. It's a privileged position to be in, but not having a huge salary, I do live sensibly because of it - cheap and modest cars and holidays and revamping the house rather than ripping everything out and starting again.

@Alsohuman It’s not a badge of honour to have no debt. Properly managed it’s sensible. If we buy something big where there’s a 0% offer available, we take it, it means our money continues to earn interest and it’s factored into the price anyway

This ^^

We remortgaged last year to extend our home. Had savings also to contribute. When we got to buying kitchen and sofa we saw the ones we wanted were being offered on 0% interest over 3 years. We were able to go back to the bank and say we wanted to borrow 20k less (they hadn't paid second instalment yet). This is sensible imo as we would've been paying interest on the 20k on the mortgage (over 15 years) and now we're not.
So we have a mortgage and finance debt (and student loans) but overall we're going to be better off financially and pay back less. Was a no brainer for us.

No debt except for mortgage here either ... and never had debts other than that in my life (I’m 41), even when I earned less than half of what I’m earning now.

I lived (and still live) modestly tho, and am happy!

"Schuyler

@TabbyMumz

And what if you get hit crossing the road and end up with a permanent physical disability and a brain injury and can never work again? Not only do you have to continue funding your life but you might need to pay for care too."

This is quite apt as a close member of my family did get a brain injury. We had paid off the mortgage and had critical illness cover. We are fine. Again, planning was key.

"You just can’t. There isn’t work. Local high street has been stripped bare. All the people made redundant when you were, are all going for the same jobs along with the people made jobless by all the other business closures. There just aren’t the jobs. You had to sell your car to eat and have nothing left to pay for travel to other cities. What do you do? 6 weeks until universal credit kicks in. How do you eat?"

Amazing lots of school leavers always seem to find jobs? Primark is always recruiting. When I was made redundant I registered with 5 agencies. I literally got a few calls a day from them with offers of jobs. Do you need to look at your skills?

Law degree from Russell group uni.
Accountant with big 4 firm.
Area manager for national newspaper.

good accountants are ALWAYS in high demand, and private clients not that hard to find to tie you over. Since when is being redundant the end of the world for someone as skilled, qualified and with experience?
I simply don't buy it.

I could be debt free. I'm not because we still have finance on one car and decided to buy a caravan sooner than we could save up for it. We buy things we don't necessarily need because we feel we can afford to be in debt. Both those loans can be paid off in a year.

I think it's very hard to live debt free if you have cars. I have spent a few 1000 on my car in the last year! If I hadn't had that money I'd have ha to get a loan or use a credit card which is absolutely what I've done in the past.

It depends on income and outgoings tbh you could be very well off on paper but the more expensive things you own like house and car the more financial commitments you have.

Of course much of our life is down to luck. There are of course reckless decisions anyone could make but on the whole out entire lives are luck:
The family your were born into
Your physical health
The area you were born in Etc etc
There will always be examples of people who overcome adversity but the majority of us are merely a product of our surroundings! It would be wise for more people on here to remember that before classing anyone with debt as a 3 x a year holidaying, Rolex wearing, must have the latest iPhone spendaholic !

The thing is, not everybody is bothered by debts anyway! Some people genuinely don't care about credit card debts and are willingly and happily living for now. Who said they are wrong?

It' s not my choice, but so what. Some people are happy to rent, and believe that buying is a complete waste of money: that, with fees + maintenance + market crash + interests paid over a mortgage life, they are better off renting.

It is very possible to be debt free, but that is seen as borderline stupid by some. Pointing out that it is doesn't mean anyone is judging 🤷

I always find it astonishing when people believe holidays are a luxury. I am not talking about spending money you don't have, but being happy or resigned not to earn enough so you can't afford them.. it's a mindset.
Some people genuinely want more, and get more.

Well holidays certainly aren’t a necessity.

Amazing lots of school leavers always seem to find jobs? Primark is always recruiting. When I was made redundant I registered with 5 agencies. I literally got a few calls a day from them with offers of jobs.

So no answer to my question then. Because you can’t.

Do you need to look at your skills?

My skills? I work 40+Hr running my own business. I also run a job search support network on a voluntary basis. I think my skills are ok tbh.

Well holidays certainly aren’t a necessity.

of course not, but I can't see the point of working full time if you can't even afford them. I only mean if my job wasn't paying enough, I would (and I have!) do everything I could to improve that.

@josefkeller
Oh damn. You didn't buy my story and I have been caught out!

"No, I actually chose to have them in a long term relationship with two adults working full time."
Wire brush....I didnt have kids until I felt we were in a good financial position. I was married and had a mortgage and a good career. I made sure that if in the event of splitting with my husband, I could support them on my own.

Norma27
I don't buy it because it makes no sense. When you have skills and experience that are in demand, you can't turn up saying you can't find work.

You can struggle to find a "dream" job with the right package and have to accept some less desirable roles in the meantime, but you are not staying unemployed.

@JosefKeller
I didn't stay unemployed. As I said in a previous thread.

"So no answer to my question then. Because you can’t."
Goodness sakes..which question now? Pretty sure I've already answered it?

*post not thread