Please give me one piece of advice that you wish you knew when you were 20!

wrightk

i speak from experience here because a few years ago (im 24) i made the WRONG choice

i went to uni and was offered a credit card, i said no but got 'persuaded' i told myself i would use it in emergency situations only, next thing= credit card maxed out

since then i have had payday loans, massive bank overdrafts and basically living off credit.

An important thing to remember at age 20 is: the things you will be buying will all break, all the latest gadgets will be out of fashion in a year, all the latest clothes wont fit you anymore and you will be lucky to get £1 on ebay for them. Is getting credit out for stuff like that really worth it?

Most of the people i knew from school etc i dont even know now so why waste living off credit to keep up with them?

Save every penny you can afford to, instead of living off credit on things that wont last, save your money for something like a deposit on a property for mortgage? a house will last you the rest of your life (in most cases) and trust me if you dont save you will wish you had in a few years. Saving just does not work if you pay everything else first i have tried it! pay yourself first

I have caught my debt early, am going through a dro, partner is going bankruptcy and by the time we are 30 we will hopefully have another chance! i hope you make the right choice because i know how hard it is, especially at that age when banks are throwing themselves at you

snowpeer

I have not read all the posts so may be repeating somebody.
1. Read the money gym by nicola cairncross
2. Get on the property ladder - still a good long term investment
3. never sell the property
4. find yourself a mentor - somebody who has walked the walk

Debt of itself is not bad - bad use of debt is bad

Good luck

kittykitten

What's the obsession on here with credit cards being the root of all evil? I don't see the problem with them as long as you pay them off in full each month - I've had one since I was 18 and was fortunately taught well by my parents to pay it off each month, and so wouldn't be without it (I'm 26 now) as it gives me protection when buying things costing £100 plus, and I get cashback!

anna_grant

Sorry - going to repeat everyone else (except kittykitten!)

Stay away from credit cards - they are the tools of the devil. They are not your friends, they will pull you down and, for me, they made me wish that I would not wake up in the morning.

I know that it was my fault but you wanted advice and that is mine.

candygirl

Never complain. never explain, and never ever ask permission:p:p:p

hattiefats

I'm loving this thread.
My tip would be don't try to keep up with others with flash stuff, cars, meals out,designer togs etc (took me a long time to learn this). Some of the people I used to be envious of are in stacks of debt when I though they were loaded! Open a savings account and put a little bit in each month (very satisfying)...................oh yes and stay away from cc, loans and overdrafts!!!!

Lemon_Tree

i would say to myself that even though i had no debts (despite being a student) it's very easy to fall into the mire so don't take things for granted and asume it will never happen to you.

nogoodwithdosh

Yesterday I heard someone at the checkout who's card was refused (i don't know for what reason) say angrily to the check out girl " i don't know why that has happened. I have 3 grand on there" This was said in such a way that he was kind of boasting that he wasn't broke because he had 3 grand still on his credit card.
I wanted to take him aside and tell him that the money belonged to the bank and not to him. I hadn't got the heart because at one time i might have thought the same thoughts.
We are conned into thinking like this.
My advice is to not think like this because it gets you into trouble.I know and am paying the price.

caroline1973lefty

Buffythedebtslayer wrote: »

Don't flirt with the student busniess officer so he will give you a bigger overdraft

Glad it wasn't just me! :rotfl:

simon_the_saver

Learn the difference between 'good' debt and 'bad' debt. [Credit cards are NOT 'bad' in themselves (as most posters here seem to think) but never, ever carry over a balance on one on which you're paying interest]

Learn to recognise quality & value

Learn to say 'No'... [and be be prepared to say 'because I can't afford it'; some of your sense may rub off on your friends]

Don't make shopping a hobby; find something more fun to do with your spare time!