When will you call yourself debt free?

powerbase

I don't count student loans as debt because of the low interest rate and it was money well spent. I think you can also have a mortgage and consider yourself “debt-free” though I will put a condition on this; the mortgage has to be affordable. A mortgage becomes a problem when you are living beyond your means and it’s a constant struggle of juggling 0% deals, OD and various things to pay the mortgage eventually leading to extra debt in the form of loans etc. Unfortunately this is seems to on the increase. Should we consider a term of “debt-free and not getting into more debt”?

If you had to pay off all your debt tomorrow by selling your items (car, house etc) and it covered the debt, could you consider yourself debt free? Then we have the people who don’t have anything to show for their debt and have nothing to sell (possibly the worse debt to have). I think there are levels of debt and levels of debt-free with the ultimate being no mortgage, no loans, no OD, no student loans and money piling up in the bank.

I also think we should take advantage and go for good debt. I use 0% cards to buy items I have the money to pay for; I then save the money for 12 months and then pay it off at the end. Technically for those 12 months I am in debt but I have the money to pay for it. I don’t count this as a real debt.

I think maybe another question that should be asked: is your debt manageable? Maybe more important than giving yourself a label?

Good luck getting debt free, whatever that means to you!

JAMIEDODGER

i dont have a mortgage and am unlikely to be able to get one plus i am really happy in the house im in:D i will be completely debt free in 24 weeks time:) which will be 29th september 2007. if i can make it any earlier i will....

i think that debt free is usually when you have paid everything off bar the mortgage.

skylight

I do not have a mortgage and doubt with the current market that we will ever get one (until all the kids have left home and we need a small house!)


I will be debt free when I have finished paying all my creditors and I can start saving their money rather than paying it out.

Sometime in 2018 at the moment.....................

System

I will be debt free in 2011, when my debts are settled. I will not take on anymore in the meantime. But, once I am debt free (when I'm 40) I will have to start on the property ladder, get a mortgage, so I would hazard a guess say.....2036 when I am 65! - Just in time to die probably knowing my luck! (Dont mean that really)

findingmyownway

My first aim of being debt free is when the bank balance stays black at the end of the month with no CCs left.

Then i'll focus on paying off student loan and mortgage - but will consider myself largely debt free i think.

beanielou

This is probably against most peoples thinking but I dont really include my mortgage, car loan or my small home improvement loan in my tally.I do include everything else though.
Just my opinion.

newleaf

'I' will be debt free when my credit cards are paid off.
'We' will be debt free when the mortgage is paid off - and that will be shortly after.

skint_spice

I know my mortgage is a debt but don't include it in my thinking (it's still less than rent would be for equivalent flat) that would be way too depressing! When all debts including car loan are paid off then I will consider myself debt free and hopefully my obsession with the snowball spreadsheet will also disappear...

Helonearth

I think I will count myself as debt free when I have paid off my credit card and the small loan secured on my flat. I have never really thought about it before, but I think that would be a good point to call myself debt-free.

Than I can work on being mortgage free! :rolleyes:

postingalwaysposting

i will call myself debt free when i have no debts, but i have no motrgage

oh and i just wanna show off my new light bulb momment smilie