Your net worth...

[Dave20046]

Originally Posted by TazDaz

Doing a masters doesn't really amount to that much money though...unless you've been living the life of Walter Mitty whilst doing it!

Take it you're not looking at getting a mortgage anytime soon then....-£100k already...good luck!

My uncle took a year out to do his masters, quit a good job and did it. Paid for itself within a couple of years. I wouldn't do it for the sake of it though (as with any education really...or anything for that matter)

I personally have no issues with having finance or debt if its something you can afford to pay and want.
I have just partly bought my new trumpet on finance, i could have scraped together the cash but would have left my account too low so wouldnt have any emergency money.
If i saved for everything i would never have anything, im a live for today person, dont put things that you really wanna do or buy, cos you may not be around tomorrow.
I know of several people who saved like crazy for retirment then died with 1-2 years of retiring.
Having said all this, spend within your means as uncontrollable debt can make your life very unhappy.

Phil

Originally Posted by Stu

A bit simplistic.
Where does educational debt fall? You can't sell it to pay off the loan, but has been argued above it's very worthwhile to improve your financial prospects in life.
Also what about getting a car with a loan, but you end up selling the car without paying off the loan.

correct it is simplistic,

but that would fall somewhere in the middle, however as I don't have educational loans because I am not edumacated I haven't needed to categorise it.

dont forget to KISS.

As for buying a car with a loan, selling it and not paying it back, that converts that money to non recoverable debt.. and so is something I try to keep to a minimum, so I wouldn't do that

see its nice and straight forward in my head!

Originally Posted by yorkie_chris

Hardly, imagine a new car, 10k finance which is worth 8k the second you sign the dotted line.

always exceptions to the rulse mr YC, which is why you wouldnt find me buying a new car, see if it dont fit roughly within my rules.. I..(note me, only me just me no one else has to use them) I dont buy it on finance..

Originally Posted by yorkie_chris

Hardly, imagine a new car, 10k finance which is worth 8k the second you sign the dotted line.

Gotta be quite stupid to buy new imho, i think hes more on about second hand cars where your likly to make most of your money back..

Originally Posted by timwilky

Eh, I must be the exception to the rule

Own my house, no credit card, no bank loans, money in the building society, own my bike.

Guess my credit rating must be low. Or is that the side effect of growing up in a time of if you cannot afford, you cannot have

You should definitely get a credit card as otherwise you won't properly develop a good credit rating, which if attained is better than no credit rating.

I'm almost at Uni so will be in debt shortly no doubt. Not gonna be a great feeling I'll be honest but just one of those things you have to do. I don't own a credit card yet however, so I think I'll just get one and not use it too much

[yorkie_chris]

Is it just me who couldn't give the shortest sh*te about a credit rating? I don't want to borrow any money...

And to say there is such a thing as a "proper" credit rating is implying to me that purchasing what I can afford is somehow "improper"? "Develop" a credit rating, it's mental consumerism for stupid people, "development" is when your b0llocks drop.

[L3nny]

Originally Posted by yorkie_chris

Is it just me who couldn't give the shortest sh*te about a credit rating? I don't want to borrow any money...

And to say there is such a thing as a "proper" credit rating is implying to me that purchasing what I can afford is somehow "improper"? "Develop" a credit rating, it's mental consumerism for stupid people, "development" is when your b0llocks drop.

I know it's a load of balls but you have to play the game the way they want. Especially if you get a mortgage.

It's not that they wont lend you money, it's just that they will charge you more for the privelage.They think you will struggle to make the repayments so they make them even higher so it's harder for you to repay.

Its amazing what your credit rating affect though - i'm still battling with companies who have my address balcklisted because of previous owners. they keep saying its my credit rating - which is high ( well was a couple of missed payments and its dropped slightly)
I hav £1.5 student loan and the mortagage. One credit card - which is cleared everytime i use it - once every few months just so I can keep it the credit rating up. Just in case as you never know when you may need a finance deal.

[squirrel_hunter]

Originally Posted by yorkie_chris

Is it just me who couldn't give the shortest sh*te about a credit rating? I don't want to borrow any money...

At the moment.

Think about the future. Are you going to buy a house? Do you intend on saving the entire amount before buying it or will you be wanting a Mortgage?

The most acceptable debt in this country is a mortgage. But for a bank to lend they should see you as an acceptable risk based on your previous performance. My Sister struggled to get a mortgage a few years back in the 'good o'll times' of lending because she had never had debt before even though she and her partner had a good deposit saved.

Think about it this way: A new mate of yours ask to borrow £100. Sense dictates the answer is no. But what if he asked for £5 when you're out on the bikes to pay for lunch as hes got no cash? Sure. He then pays it back the next time you see him. Few months later £20 for petrol, paid back a week later. After months of knowing him and having lent him a few quid which he's paid back with no problems he asks to borrow £100? Well you've lent him money before and hes paid you back, you've known him for longer. Doesn't seam as much of a risk now does it?