Aligning expectations

EssexHebridean

Chandelier. wrote: »

Morning!

This strikes a chord with me. One of the worse people I know for it is a close relative. They're always skint and can't afford things and previously got into lots of debt. However they still smoked, spent loads on food out, had to have a new car, holidays etc when in debt and no money. At the ripe age of 22 they were in 35k of debt. They were helped out by a family member. However they've still not had their lightbulb moment.

With me.. I've never really had debt debt. The only thing really was car PCP but for some reason I never saw it as bad debt. I had one which ran for three years then I traded in for another. However a few months back I took out a loan at a cheaper interest rate to pay this off and now I'm focusing on tackling it down. I could continue to see this as not bad debt and just car finance if you get what I mean but I'm more aware of it. I like to regularly overpay this.

I keep a check of my bank balance regularly. I have an emergency fund just incase. I never spend out of my budget and allocate every penny to a fund in my account.

I do have a few luxuries that maybe I shouldn't have. However I justify this to myself and I am able to afford payments and overpayments each month. If I wasn't able to I'd cut these out.

However for me it's getting a good balance in all aspects of my life and keeping my mental health on track. If I cut right down to bare minimum I'd be miserable. However some months I do spend close enough to zilch aside from bills. It's swings and round abouts.

That they were helped out by a family member probably explains the lack of a lightbulb moment. The two things that REALLY don't help people to avoid getting back into debt are being given free money to sort the situation, like that, or consolidating without understanding the root of the problem in the first place. Ultimately, without understanding of the cause of the issues, someone in that position will always get themselves back into the same situation again - they dimply don't know how not to!

Chandelier.

You're totally right Essex.

At the time the debt could of been lower. More than half of that. But they wanted something new. They hounded and got what they wanted.

However said family member has said no more to it. They need to learn to manage. It's sad in some ways.

It's wrong lifestyle choices and a career in which many are known to rack up debts or find themselves unable to manage money well. Ultimately I think there are issues beyond. However said family member is oblivious to this and money burns hole in pocket. I just hope that one day they wake up and smell the coffee.

It's things like failing to set up standing orders and direct debits. Two minute jobs. Which then led to bank charges and high interest rates. Then the payday loan cycle.

It's been a nightmare.

dirtycredit

I have Sky but I've gone from going out every Friday, Sat and Sunday boozing to not going out at all FOR A YEAR AND A HALF in order to pay the debts off...I think I would be a bit bored sitting in every single night without Sky to be honest as it's just me and the dog.. Everything else has been cut to the bone though and I think I've done alright so no Sky guilt here!

P.s Vodka & Tonic if anyones asking :rotfl:

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Drawingaline

Sky is an issue in our house. We have the sports for six months half price, that will go once it runs out. We have them for internet and phone line too, so just one bill which I like. I would get rid in a heartbeat, my other half however does make use of it. We have looked at now TV and other options, and once the sports deal has gone it may be that we change, but taking the plunge will be a real issue for hubby. But it is in my name and if in Feb I feel that we will be able to save nearly £50 and use that better elsewhere I will be doing it.

Cat_Loving_Lady

Whilst I agree to a degree I still think people who are in debt need to have some form of enjoyment in their lives and if they are not going out drinking, or spending a fortune on entertainment etc then maybe Sky is a cheaper alternative. People still have to have some quality of life. I personally think it's up to the individual.

theoretica

What I think sad is not that people in debt allow themselves to prioritise things that aren't strictly necessary above paying off the money, but the number who don't seem to appreciate what they are spending on. Deciding to allow yourself Sky, or indeed a TV is a choice - be happy to have made that choice and don't say 'we don't have any luxuries'.

iolanthe07

Freeview very hit and miss here,

Have you tried Freesat, though? This is received via a satellite signal just the same as Sky, and a good box will do all the things a Sky box does.

sammyjammy

sourcrates wrote: »

We are approx 6 miles further out into the North Sea, than the rest of northern England, so very prone to bad weather and especially fog.

Sounds like my idea of heaven, with good WIFI obviously

sourcrates

sammyjammy wrote: »

Sounds like my idea of heaven, with good WIFI obviously

Yes at least the wifi is good, even if the weather isn't (always) !!!

sourcrates

iolanthe07 wrote: »

Freeview very hit and miss here,

Have you tried Freesat, though? This is received via a satellite signal just the same as Sky, and a good box will do all the things a Sky box does.

I have my tv, phone and BB all through talk talk now as it comes via the BB. Full package with 30 day rolling contract, half what I was paying sky.