Consumer debt

**chicamahomico** · 01-29-2004, 12:19 PM

OK people of AR. I'm curious to know about people's attitudes on consumer debt, especaily with respect to age group and nationality and type of debt. In case anyone isnt familliar with the term consumer debt referes to all revolving debt, think credit cards, and debit accounts, and installment debt which is payment plans for buying leasing things. Financing a car, household appliances, computer, etc over a period of time for $xx.99 a month is an example of installment debt.

Mortgages, student loans, investment loans, etc do not count as they are not consumer debt.

My case:
Country: Canada
Age group: mid-twenties
Debt: $0.00

Chico hates owing anybody anything, especially Visa. LOL But I haven't had any financial disasters that required me to borrow either, knock on wood

**spywizard** · 01-29-2004, 12:21 PM

Pay off all revolving debt.... invest in the STock market, (over bought right now according to a wise man)......

But you can figure a return on your money of an average 18% if you have no debt........

Peace.

**spywizard** · 01-29-2004, 12:22 PM

Cash is king..........

Gold is better...................

You need lead to keep either one of them.............

**chicamahomico** · 01-29-2004, 12:24 PM

Spy, you and I are in agreement on the subject.

**mass junkie** · 01-29-2004, 12:26 PM

You dont even wanna know how much I owe....Being as far as debt as you possibly can is the American Dream

**Dude-Man** · 01-29-2004, 12:52 PM

I don't owe anything right now, but once med school hits... it'll be another story.

Right now consumers are buying again because the market is high.. but the amount of debt is also very high. We're in a very precarious situation, because if the market comes back down, people are going to be ****ED.

**TheMudMan** · 01-29-2004, 01:00 PM

I have a car loan that's around $34k and about $5k on a card. The credit card will be paid off soon. This is nothing compared to my salary....... My debt ratio is very low.

America
34

**cb25** · 01-29-2004, 01:12 PM

Country: America
Age: 23
Debt: ~ 3500.00 (this does not include a VERY large abundance of student loans, as you said they don't count).

and since i'm in school, i am not allowed to work, and therefore have no income...just loans.

**Elliot** · 01-29-2004, 01:27 PM

Woohooo im like the only college kid with out student loans@#!@#!@ even tho med school is going to run me aroun 120... but if im going down im taking 120k with me

**Danielle** · 01-29-2004, 01:32 PM

Originally Posted by cb25

and since i'm in school, i am not allowed to work, and therefore have no income...just loans.

how come your not allowed to work?...........i go to school full time myself.........but i could never imagine no income

but regardless.....i canceled all my credit cards when i was 19 because they were getting out of hand.....they are all paid off now...........so my debt is pretty minimum...thank god

**cb25** · 01-29-2004, 01:39 PM

Originally Posted by Danielle

how come your not allowed to work?...........i go to school full time myself.........but i could never imagine no income

but regardless.....i canceled all my credit cards when i was 19 because they were getting out of hand.....they are all paid off now...........so my debt is pretty minimum...thank god

dental school doesn't permit it. even if I could, i wouldn't have time, as i'm in class 8-5 pretty much every day, and i spend my evening studying...

i know a lot of professional schools (med, dental, law, etc) have no-work clauses that are a part of your enrollment...it's part of the investment...but along the same lines, you are eligible for loans to cover everything (100% cost of living) because of your status.

**Elliot** · 01-29-2004, 01:55 PM

cb25 you know what they say about dentists

and with that said i want my $5.37 back from the auction.. and yeah some top notch med schools dont permit students to work since they want them to focus on thier education.. and student loans pay for everything..

**ColdSore** · 01-29-2004, 03:31 PM

well im 21 and i have some school loans, and about 2k on credit cards...not to bad yet...i ussually knock the balance down in the summer when i get to work full time

**cb25** · 01-29-2004, 04:19 PM

Originally Posted by Elliot

cb25 you know what they say about dentists

and with that said i want my $5.37 back from the auction.. and yeah some top notch med schools dont permit students to work since they want them to focus on thier education.. and student loans pay for everything..

what do they say?

that we couldn't hack it in med school, failed out and went to dental school?
that we have the highest suicide rate?

sorry bro...the $5.37 is non-refundable...i've already spent it...

**Elliot** · 01-29-2004, 04:38 PM

Originally Posted by cb25

that we couldn't hack it in med school, failed out and went to dental school?
that we have the highest suicide rate?

i elliot do not participate in detist bashing in any way, shape or form. i want my **** money back wheres my stick..

**cb25** · 01-29-2004, 04:55 PM

Originally Posted by Elliot

i elliot do not participate in detist bashing in any way, shape or form. i want my **** money back wheres my stick..

you're an anti-dentite!!

(seinfeld reference)

next you'll be saying we should have our own schools!

**Elliot** · 01-29-2004, 05:04 PM

LOL But you already do have your own schools..@#

**sp9** · 01-29-2004, 06:17 PM

Car loan 19,000 but current market value is 25K + so I am not upside down. 3.89% rate.

401k loan $1000.00 will be paid off in March. Stupid idea! Won't do again.

Visa $1000.00 paying off a little at a time.

I am big on personal finance. I love Quicken. Have built an emergency fund of 10 months expenses in a high interest savings account. Dump $ in my 401k constantly. Considering a Roth IRA in addition to that. Goal this year is to adjust w4 so that I break even at tax time instead of giving free loans to the IRS and invest about 1/2 of what I have left over after bills in mutual funds, 1/4 to savings, and 1/4 to paying off the car early. Watch that net worth rise!

Stock piled gear last year so that expense won't show up in 2004!

**chicamahomico** · 01-29-2004, 09:15 PM

Originally Posted by scottp999

I am big on personal finance. I love Quicken. Have built an emergency fund of 10 months expenses in a high interest savings account. Dump $ in my 401k constantly. Considering a Roth IRA in addition to that. Goal this year is to adjust w4 so that I break even at tax time instead of giving free loans to the IRS and invest about 1/2 of what I have left over after bills in mutual funds, 1/4 to savings, and 1/4 to paying off the car early. Watch that net worth rise!

Stock piled gear last year so that expense won't show up in 2004!

I'm impressed bro, this was the first post on the thread where someone has shown a decent picture of their financial outlook. Students are somewhat exempt because they are investing in their education for the time being.

Originally Posted by Danielle

but regardless.....i canceled all my credit cards when i was 19 because they were getting out of hand.....they are all paid off now...........so my debt is pretty minimum...thank god

Excellent decision Danielle. I don't think very many 19 yr olds ( or 40 yr olds for that matter ) can say they have that much maturity and foresight when it comes to money matters.

**sp9** · 01-29-2004, 09:20 PM

[QUOTE=chicamahomico]I'm impressed bro, this was the first post on the thread where someone has shown a decent picture of their financial outlook. Students are somewhat exempt because they are investing in their education for the time being.QUOTE]

I did things backwards, got in with a big corporation, went to community college at night. (they paid for it all), transferred to University of Maryland (they paid for it all). Currently in a well known private school pursuing an MBA half time at night (they are paying for it all again).

Been a pain in the ass going part time for so long but the career and years of experience have done nicely. The MBA is just a piece of paper to have in my back pocket WHEN, not IF, I get laid off. Been with the same company for 12 years.

**cb25** · 01-29-2004, 09:21 PM

Originally Posted by Elliot

LOL But you already do have your own schools..@#

ahah! so you admit it!!

you're a rabid anti-dentite!!

**sp9** · 01-29-2004, 09:25 PM

Anyone who wants to learn more about personal finance, this site is a wealth of infomation: www.bankrate.com.

Checkout the expert advice columns.

**sin** · 01-29-2004, 11:24 PM

school loans $50,000.00
all other debt $0

and my school loan debt will probably triple in the next 4 years.

CutieFace · 01-30-2004, 07:55 AM

Originally Posted by spywizard

Pay off all revolving debt.... invest in the STock market, (over bought right now according to a wise man)......

But you can figure a return on your money of an average 18% if you have no debt........

Peace.

personally I prefer Real Estate

*smile*

Cutie

**IronCy** · 01-31-2004, 09:01 PM

scott,
how can you adjust your w4? Im interested in this type of planning, do you have a specific link that I can check out for this info....that site you posted earlier is really informative...thanks bro!
-Cy

**sp9** · 02-01-2004, 07:48 AM

Originally Posted by IronCy

scott,
how can you adjust your w4? Im interested in this type of planning, do you have a specific link that I can check out for this info....that site you posted earlier is really informative...thanks bro!
-Cy

At my employer you can fill out the forms on the intranet. If yours doesn't have that then you can get a copy of the w4 from whoever handles your hr stuff.

There is an online worksheet that estimates how many exemptions you can claim and break even. It looks at your income and the deductions you think you will have for the next year (property taxes,mort. interest, etc.)

Mine worked out to be 4 exemptions and I would get a $500.00 refund or 5 exemptions and I would owe $250.

Here is the link: http://www.irs.gov/individuals/artic...=96196,00.html

**sp9** · 02-01-2004, 07:52 AM

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