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?

Even if you don't, compare similar items - they tend to be cheaper in places where they don't offer you "o% interest". That's the big point you are missing.

The interest-free options are usually offered by the larger companies and therefore they can afford to do it. The smaller companies can't afford to do this but they can't necessarily undercut the price either.

What’s “o% interest”? No “ required. It’s a payment programme over an agreed period of time with no interest added to the sum. It’s a useful cash flow tool for the very large companies that offer it.

They want you to take the finance, car salespeople get a commission. They panic and try and talk you out of it.

A tactic you can try is to haggle on the price with the inference you will take finance till you get to a price you are willing to pay. When
you agree the price, announce you are paying cash.

It takes some nerve but they've confirmed a price they'll take and you haven't signed anything by that point...

I agree you can get sometimes a better deal on certain things by buying for cash but a lot of things there isn’t any wiggle room and the price on the sticker is the price you pay.

Things like grocery shopping you can shop around. Use Lidl instead of Tesco but if you then use your credit card and take up the weeks of interest free credit then pay it off when the bill arrives then you get the lowest price and 0% interest for a time as well.

Cars and sofas you might be able to haggle but there is a set price that the retailer can reduce the price to and then you can see if they can throw in the 0% interest deal

Or you can shop around and order on line and take advantage of the cash back deals as well as the 0% interest

Or just pay by credit card and collect the points as well as the few weeks of 0% interest.

Are people including overdrafts as "debts". I'm assuming so. I've been in mine a few times, esp in my early 20s when I was on a v low wage. Luckily things are better now but that can always change. Also I have student debt and a career development loan (now paid off) that I needed in order to qualify in my profession. Plus mortgage, though we've gone for a small house cheaper, less trendy area to keep monthly payments low. No car, no DC so that makes life cheaper

Ah yes I also had a career development loan. It was for £3000, and allowed for a pay rise of £12000 in the following year. I wouldn’t call that ‘bad debt’.

an overdraft is a debt Because it is legally repayable on demand.

I don't use an over draft but yes that is a debt too.

The main issue is some people spend more than they can afford, always have and always win. Other seems to be able to live within their means. People tend to be happier if they are not spending more than is coming in.
I used my Amex card about 10 years ago and got about £400 of credit/points or more but paid it off each month but decided I just didn't like having spending on the card even though I was gaining money to do so so psychologically for me it didn't work even though I was basically throwing money away but not using it.

Another main issue is that some peoples' income isn't enough to cover the basics of life ie roof over your head, food etc.

Some peoples' income does just about cover the basics, but they have never had the spare cash to save for a rainy day so, as pps have said, needing to repair or replace eg a broken boiler can push people into debt.

Most people are happier spending within their means, and pretty much everyone is happier if they have enough means to live with dignity.

You can’t buy cheaper if you buy outright, that’s utter nonsense.

I bought a new car (well..six months old)this week. £x if I paid 50% now and the rest on interest free over 36 months. I asked if there was any wriggle room on the price “not with the credit deal”. “How about if I pay the whole amount immediately?” I got far more off the purchase price than the money would have made in interest in the savings account...