How much debt are you actually in?

[DCICassieStuart]

We have around 4.5 years left on our mortgage. That works out at around £19,000.
I currently have a couple of hundred on my credit card.
Not sure exactly how much my husband has on his, but I would imagine around the same. We both pay them off in full every month.
I've paid off my car and his is a company car so nothing owing there.

I had a 'friend' of mine (who is in massive debt just to constantly just shopping) make some bitchy comments to me last year when we bought two new sofas and paid for them outright. We'd had the previous ones for 18 years! One was gone saggy as it was the one that was always used (faced the tv) The other one was in near perfect condition as it was rarely used.

 

[megsmagoo]

About 9 years ago i was 23 and had 25k worth of debt, didn’t tell a single person about it and was struggling with manic depression and an eating disorder. The debt was made up of a graduate loan, credit cards, payday loans and overdrafts.

Honestly the best thing I ever did was get in touch with step change, I really do think they saved my life. It took about 6/7 years but I’m debt free now and only have a credit card for purchases like holidays and pay if off straight away, we are hoping to buy soon and will take a mortgage out to do so, thankfully my credit rating is ok now!

It was probably the darkest time in my life but just talking to someone was such a relief. Payday loans are the work or the devil, last year I actually managed to claim a significant sum of money back from them because of the circumstances I was in when the approved the loans. Glad a lot of them have been closed down

 

[misslaurennightingale@yah]

Only a hefty mortgage lol I've a got an overdraft and a credit card but I manage to hardly use them or pay of straight away.

 

[Doc]

5,900 on credit card
80,000 on mortgage (house about 250k)
10,000 loan

a lot of that is from trying to keep afloat after divorce and buying out my ex husband, and being made redundant a few years ago, I just keep chipping away as best I can.

 

[9lives]

6,000 from loans from being taken to court by ex could not get legal aid. It was 10.000 two years ago so feel I am making progress. 100 on Next. I am trying to be debt free end of 2021. Feels suffocating and I want to buy my own home for my child as i am a single parent. My close friend advised me not to file for bankruptcy in 2018 and I am so grateful to her. Sometimes when your debt seems to you impossible you need some independent advice. She knew my dream was to get a mortgage and sometimes debt can make is act very emotional and rash. Good luck to any one clearing their debt, it takes time but when you see it reducing it's a wonderful feeling.

 

[Belulah]

I’m curious how much of debt comes from poor money education. I’ve recently been helping my mum with her finances and they are a mess. All through my teenage years I remember my dad throwing money around- though we had none and then my mum getting into debt to clean up his messes.
I lived in my OD all the way through uni up until I was in my late twenties. It was only when I had my baby I sorted my money out. I do have bits and pieces of debt (car loan etc) but I know what I have now when for years I wouldn’t even check my bank balance because money made me so terrified.

 

[9lives]

Belulah, totally
Its considered still taboo to talk about money but also particularly debt. We are taught various mathematical equations at school but nothing on APR and about management of money. I am not conspiratorial but I often think its deliberate. debt fuels the economy like getting drunk at a party does. If everyone saved and stopped purchasing until they had saved I think the UK economy would sink.

 

[Marshallmum1982]

Way too much but not as much as I was 2 years ago! I've always been bad with money since I was 20, using credit cards and not clearing them. Then adding 2 lots of maternity leave to the pot and and continuing to try and live as I was while working caused an absolute tit storm. My husband didn't know the half of it until I added it all up one day and it was £40k! I felt sick, had to confess and it wasn't pretty. Luckily my husband is amazing with money and helped me devise a payback plan and cleared my overdrafts for me. I owe about half that now, and some days I can feel myself slipping back into the overspending ways but I just have to think back to how dissapointed my husband was when I confessed and how hard he works to make sure we have a nice house and and can have holidays. He actually offered to pay off most of the debt but I wanted to do it myself- my mess, my responsibility! Its so easy to do but the feeling I had on the day of realisation was so horrendous I couldn't go through that again.

 

[hlgray]

I’m curious how much of debt comes from poor money education. I’ve recently been helping my mum with her finances and they are a mess. All through my teenage years I remember my dad throwing money around- though we had none and then my mum getting into debt to clean up his messes.
I lived in my OD all the way through uni up until I was in my late twenties. It was only when I had my baby I sorted my money out. I do have bits and pieces of debt (car loan etc) but I know what I have now when for years I wouldn’t even check my bank balance because money made me so terrified.

I definitely think poor money education has a lot to do with it. I grew up poor, with my parents living to pay check to pay check. They would argue about money constantly, but were terrible at sticking to a budget. I am now trying to learn how to manage my money and budget etc

 

[bobby88]

I find this thread so interesting, I'm a nosy cow and love seeing other people's financial situations, probably because it's quite taboo and nobody really talks about it with their friends and family!

I have 2 mortgages with my partner - one for around £80k on the first property we bought together which we now rent out and about £170k on the property we live in. I don't really count these as 'proper debt' though as I don't really think about them, the direct debits go out every month and I've accepted this will be the case for a long time!

We owe my mum about £9k (was £15k initially!) as she lent us some money for home improvements and we're currently paying her back £500 per month between us - I'm extremely grateful for this and realise how lucky we are to have been able to borrow interest free from a family member and not had to take out a loan.

My partner and I both have about £400 each on our own credit cards, I pay off a little bit of mine every month but am not too concerned about it as its currently interest free and I don't need to use it that often but its comforting to know its there for emergencies.

 

[Blessed]

Just my mortgage and car, I still have nearly £1.5k a month fun money after all bills are paid. I have CC’s and accounts with Next & Very but I always pay it off and the mortgage is overpaid every month. We have plenty in savings so in summer we will get rid of the car and buy a newish one outright with savings.

8 years ago I was in £25k debt and renting. Lots of hard work and savings and we now have a good saving pot and our own house. We have had several promotions, bonuses and 2 redundancy pay outs along side a year of saving £1k a month (it was a killer but so worth it!) to help. No outside help, all done on our own.

I’m curious how much of debt comes from poor money education. I’ve recently been helping my mum with her finances and they are a mess. All through my teenage years I remember my dad throwing money around- though we had none and then my mum getting into debt to clean up his messes.
I lived in my OD all the way through uni up until I was in my late twenties. It was only when I had my baby I sorted my money out. I do have bits and pieces of debt (car loan etc) but I know what I have now when for years I wouldn’t even check my bank balance because money made me so terrified.

I agree, if financial literacy was taught in schools, from a young age everyone will learn the basics of how to budget, save, invest and shop reasonably. Although debt helps the economy, writing off debt doesn’t. A lot of debt is written off due to poor management, false advertising, lack of knowledge, etc.

If financial literacy was taught in schools, I believe we will have a healthy robust economy as not all debts are bad.

My husband and I have a mortgage of around £680k (we bought our first home this year), we have credit cards but always pay it off in full. We both save and invest and plan to pay off our mortgage in 15 years time God willing.

I am grateful for my upbringing and have always saved and lived within my means.

 

[summersuzy]

My parents were extremely wise with money both working class but never ever lived extravagantly. I am wise now because I have to be but would have been very much an emotional spender and only recently realised it was a thing ! I’m loving the minimalism pages and actually think in a world that strives for more i am aiming for less. I want a smaller house and smaller mortgage and a bit more security. Has anyone else downsized and lessened their mortgage?

 

[Belulah]

I’m curious about paying more on a mortgage. Mine is crazy low and I could afford double if not triple. Are there any negatives?

 

[Blessed]

I’m curious about paying more on a mortgage. Mine is crazy low and I could afford double if not triple. Are there any negatives?

It does depend on your mortgage agreement and how long you have left. Some mortgagees do penalise early repayment depending on how early. Speak to your mortgagee and find out if you can repay early.

 

[summersuzy]

I’m curious about paying more on a mortgage. Mine is crazy low and I could afford double if not triple. Are there any negatives?

Overpaying might be an option if you’re tied in some lenders allow 10% overpayment a year before there’s a penalty if you log into your bank that your mortgage is with you’ll be able to find out

 

[Happy35]

We have 150k mortgage on a 370k house, and a car loan each of around £7000 no other debts.

We are planning on paying the mortgage off early and I will probably keep my car after it is paid for, OH won’t as he changes his every 3-4 years.

 

[Mrs McCarthy]

Mortgage of about 90k on a 120k flat and around 30k that we owe to our in-laws and my parents. It was not a bank of mum and dad, it is a debt and we are slowly paying it off.
Visas and renovation are expensive things!

 

[Mycuppatea]

We're in our mid 40s. I don't work due to illness (but I dont get any benefits) and my husband earns £40k.

We owe £48k on mortgage and have no other debts, largely because I was raised to be terrified of debt and DH is very conservative. We never holiday and drive an old banger and live very simply. I wish we had a better quality of life and more little treats. I have no idea where the money goes, to be honest!

 

[50sGirl]

Good grief, what sort of uni course means racking up £50K of student debt? Genuinely interested, not being critical. I know some courses take years - veterinary surgeon 7 years, for example.

Tuition fees are over £9000 per year now. If you get the full maintenance loan (no longer a grant so now needs paying back) that’s a further £8-9000 per year. A Masters is 4 years.
£18000 x 4 = £72000.
My son changed university after year 1 so at the end of it he will have been studying for 5 years and accrued about £87000 worth of debt.
I find it sad because we, as his parents, have zero debt and he will be starting out in life with such a huge student debt. Plus they get charged interest from day 1, even though they are unable to start paying it back until after they graduate.
I dread to think how much it will be once that is added on.

 

[Countrybumpkingirl]

Tuition fees are over £9000 per year now. If you get the full maintenance loan (no longer a grant so now needs paying back) that’s a further £8-9000 per year. A Masters is 4 years.
£18000 x 4 = £72000.
My son changed university after year 1 so at the end of it he will have been studying for 5 years and accrued about £87000 worth of debt.
I find it sad because we, as his parents, have zero debt and he will be starting out in life with such a huge student debt. Plus they get charged interest from day 1, even though they are unable to start paying it back until after they graduate.
I dread to think how much it will be once that is added on.

I have a huge amount of student debt however after 30 years they write it off. It is hardly a big payment per month and doesn't affect credit history so really I would never worry about it or try and pay it off early. I think per month I pay 50 quid or something. As it comes straight from my pay I don't really think about it. It is similar to pension etc to me