'Are you less in debt than you used to be?' poll discussion

FATBALLZ

Technically I am in more debt, as I owe just over £5k on a car, but I have enough cash savings to cover this, plus substantial house equity and pension funds (and a car!) so I have far more assets than I did 5 years ago - pretty much all I had was the sofas, tv and cheap furniture we had kitted out our rented flat with, mostly with money borrowed on a credit card (about £3k).

FATBALLZ

MacsReturns wrote: »

"Was in debt 5 years ago - now all paid off"

But by that I mean I had a mortgage then, my only debt. I really don't see the point of excluding mortgages and student loans from consideration in this survey -- they are both debts, both are calls on your future earnings, both leave you in hock to 'The Man' as much as any other debt, be it credit card or loan shark. Both keep you on the hamster wheel and can make all the difference on the basic Micawber principle.

It's fair enough to exclude mortgage and students loans as they would skew the results, mortgages are generally offset by property assets that are generally worth at least as much as the mortgage, and student loans are a tax in all but name, and not something you have to worry about if you lose your job - (I believe) this poll is more about whether people's situations have improved, not whether they technically have more debt.

For example 5 years ago I had about £3k of debt, if I included my mortgage I'd have to say I was now £120k in debt, but my financial situation is actually much better now than it was.

Eric_Pisch

about 100k less in debt :eek:

all thanks to MSE:money:

jamesd

Mine are a lot bigger now and this is a good thing. Much improved credit situation so I'm now exploiting lenders to profit.

jatos

I've gained a few debts in the last year, though, just finished paying of a £1870 loan, just to deal with unsecured debts now.... (excluding overdraft, just under £2300)...

happy_lass

seem to be in more debt now. Five years left on mortgage. Cant reamember the last time we were well into the black. Always in the red these days:eek:

syncuser11

I have an overdraft of £1,800 which I hope to dig my way out of by 2012, I've recently started a job on £23,000 a year. Although that is likely to go down the drain in January when I plan to move into my own flat, hence buying lots of expensive furniture. I also still have a £500 student credit card with around £400 of it being used up that I want to pay off as the APR is pretty crippling right now.

I know it said not to mention Student Loans but I pay out £60+ a month towards it, and will be for the next 10 years!

johncolescarr

My debts are the same but my net worth is much lower as my house has lost 20k