Government should issue warnings

skintasusual

lady_fuschia wrote:

I would like to see some more high-profile advertising for the free debt-counselling organisations. I don't know about others, but I was only vaguely aware of these before I found MSE. It seems there are so many adverts showing the worried couple suddenly smiling and happy with the weight off their shoulders after taking out an ill-advised consolidation loan that its hardly surprising so many people go down this route. A higher profile for the free organisations might cause people to take some independent advice before they fall for the promises.

yeah i signed up with B&E and THEN found his place :mad:

nevermind, sorted now!

PropertyGuru

there comes a point where the cost of servicing debt is so high, the whole merry-go-round stops.

Obviously, if debt repayments were MORE than incomes, it's big trouble.

However, not many people know that an economy channelling more than 25% of its GDP into debt servicing is also in big trouble.

climbgirl

I'm not so convinced that the govt should bring in "health warnings" with regard to too much credit. It comes back to personal responsibility again really, the govt shouldn't be a nanny state telling us what to do and what not to do every 5 minutes. It's pretty damn obvious that spending £110 when you only earn £100 isn't such a smart idea....

Or maybe that isn't pretty darn obvious. It should be, it's very basic financial knowledge. What perhaps should happen instead, is that the govt need to fund more basic financial education, perhaps even in schools. Because it's clear by the high numbers of people who do get themselves into trouble , that it's knowledge that is sorely lacking. And in turn, is not being passed on to children.

ManAtHome

It's obvious with cash, but with credit cards you can spend your £110 and it only costs you £3.40 (ish) a month. By the time it's up to £100 a month you owe over 3 grand.

Not particularly modern either - we've had pawnbrokers for a long time, car loans, catalogues, and credit cards more recently (but still a good few years ago). Personally, I think most of us initially work on a "pounds a week" basis when taking on debt. Problem with low interest rates is that this gives us bigger initial debts, then the low inflation gives us lower pay-rises leaving debts hanging round longer.

FaTB

Over spending and building up debt is what Gordon Brown's "Miracle economy" is based on.

So why would they try to kerb it ?

The government is over borrowed, as is much of the population, its a national decease.

Bubbalou

Mike_St_Helens wrote:

To be fair though, Its like tobacco and Alcohol.. There are warnings all over the show.. does anyone take any notice?.

And more to the point, can you imagine the state of the economy if say everyone stopped smoking or drinking.... Debt is a safe bet for them !

I have stopped smoking. In part due to Martin, in part due to the bloomin adverts telling me it's gonna kill me (or it was gonna kill me, haha)

I think that they should step up the advertising on fags to say it's 1 out of every 2 smokers will die of it.

Or that if you stop before 30 like me you will only have 5% more chance of getting cancer than a non smoker

Also- ban loan adverts during the day - who's going to be at home other than the unemployed and housewives (in the main) - that's not healthy!!

hobo28

I agree that its personal responsibility that is lacking. We live in a free country and the ads in themselves are doing nothing wrong. The problem is that too many people now have grown up with little maths skill, virtually no financial acumen and a "I want it now/I deserve it/its not my fault" attitude.

I think warnings etc. would be just a waste of money. Its on the side of fag packets. "Smoking kills". Short, to the point yet so people otherwise intelligent people carry on.