If you knew then what you know now...

dazzler123

Hi Everyone

I'm really new to this whole thing (SOA still to come once Im slowly but surely bringing myself to look at the figures) but I'm being really reflective right now and wondering how I could stop my kids (when I have them) or other people from getting into debt themselves. I have a few cousins and relatives who are just leaving school and I'd love to give them some advice before they go and get themselves into debt like I have!

What are the biggest lessons you've learned from the whole debt experience and what would you tell yourself back then that you know now?

xx

lunar

i took my barclay card out with my student account at 18, i would definatly not take it if i had my time again! it was ment to be for emergencies.

Lucy1982_2

I would also teach them that saving for things is far more important than just popping off for a loan or credit card.... I've probably bought things that have fallen apart, although I am still paying for them!

rayday2

Biggest thing me and hubby have learnt is that now saving up for things we value them more. It sounds cheesy so doubt any young person would listen to that!

My children tend to balance things up financially now and I show them savvy ways to get what they want silly example my middle daughter wanted ty dolls - so we got the American ones off ebay not released in this country for half the price inc postage of ones in the shops - she liked that savvy way! That and the doll was more "cooler" because she had come from New Jersey

dazzler123

Those are very good points! Thanks for that! I especially liked the last point there rayday2 - I think if we teach the future generation to be more savvy with money, making them want to outsmart the fatcats, then ultimately they will be less willing to take out all the high interest loans etc, because they'll have an awareness that these people dont have their best interests at heart! xx

rayday2

I think the only message that can work is showing just how much more money you have receiving interest than paying interest, its just the patience issue then being worth saving up for. I think me personally I was a product of the 80's everything now but I do think the tide is turning the designer angle is going a little now its cool to shop in Primark - now they are trends I like!

reformedEffortMaker_2

Getting a student loan!. I went to University with no understanding of how Interest on loans etc actually worked.
I graduated in 2001, have been paying 9% of my wage ever since and even the Student Loan Company have no idea how much I owe them and are one of the most incompetent companies I have ever had to deal with


I also regret spending money on people to try and impress them, buying presents from shops I couldnt even afford to buy myself things from, in the hope that it would have impact with them

(Land_of)_Maz

I will help my daughter open up her student account when she goes to uni, i will not let them "sell" her an overdraft/credit card etc etc!! (she's 6 years old at the moment! and i'm being optimistic that she will get into college/uni! lol)

I wish with hindsight that i hadn't taken out any CC's or loans but if i had i wish i had bought somethings of value as opposed to using it for grocery shopping, petrol etc etc... nothing to show for it at all!!

dazzler123

yeah I would definately agree on that! I think alot of debt amassed by people originate from wanting to buy things to impress others, whether that be flash cars, flat screen tellies, expensive gifts etc. Maybe the thing that needs addressed is getting young (or old - debt doesnt discriminate against age :P) people to believe in their own self worth instead of looking towards material things to determine who and what they are.

mrsspendalot

If I knew then what I know now I would not have continued to take out more credit in order to fund my lifestyle. I started out with around £6000 of personal debt when I met my now husband. He had £6000 as well. We started to struggle and felt the only way to sort things out and pay for the things we wanted was to get credit cards. We ended up over £15000 in debt. Things got so bad we were using our 29.9% APR credit card to pay our minimum payment to our 0% catalogue which we couldn;t afford to let slip into default because it was the only way we could afford to get clothes at the time.

trying-very-trying

I am just hoping that my children will learn from my mistakes, they all know the position we're in. No1 dd is 26 has her own house and puts me to shame where finance is concerned. No2 dd is 19, but seems to be keeping her head above water, currently considering a mortgage, I recommend she asks older sister for advice, it'll be better than anything I can give her. DDs3+4 are still at home, but they seem to be quite smart with their money, so far.
All 4 have had their own jobs from about 13, I think that has helped them appreciate the value of their money. Shame it didn't work for me, I was working at 12, but then I didn't have any debt until I had the kids. Now there was me thinking I was to blame for my debt, and it's really their fault!!