Consumer debt hit an all-time high last year

[Granfondo]

youngsyr said:

Granfondo said:

That's different to actually getting the money out of a 0% credit card?

Really, you can't figure out how to turn a CC balance into cash?

Even with the keyword for the process handed to you on a plate and the Internet at your fingers?

As I said, there really is no helping some people.

The question I asked was how do you get free cash OUT of a CC?

[youngsyr]

Granfondo said:

youngsyr said:

garagewidow said:

perhaps he's talking about 'stoozing'?

Bingo.

Another of your investment strategies?

Nope, just a basic aspect of consumer debt that you had absolutely no knowledge of prior to today.

Add that to the fact that you had no idea whether you could withdraw cash interest free on a credit card and it seems pretty clear to me that you don't understand even the basics of consumer debt.

Not that you let that stop you wading in and throwing your I'll informed opinion around.

ROFL indeed.

Edited by youngsyr on Thursday 29th June 22:48

[youngsyr]

Granfondo said:

youngsyr said:

Granfondo said:

That's different to actually getting the money out of a 0% credit card?

Really, you can't figure out how to turn a CC balance into cash?

Even with the keyword for the process handed to you on a plate and the Internet at your fingers?

As I said, there really is no helping some people.

The question I asked was how do you get free cash OUT of a CC?

And the answer is stoozing.

Christ, even with the answer you can't work it out!

[Granfondo]

youngsyr said:

Granfondo said:

youngsyr said:

Granfondo said:

That's different to actually getting the money out of a 0% credit card?

Really, you can't figure out how to turn a CC balance into cash?

Even with the keyword for the process handed to you on a plate and the Internet at your fingers?

As I said, there really is no helping some people.

The question I asked was how do you get free cash OUT of a CC?

And the answer is stoozing.

Christ, even with the answer you can't work it out!

But it's not getting money out is it?
It's leaving money in your savings account and spending on your card?
So tell us again how you get money out of a cc for free?

[crankedup]

youngsyr said:

crankedup said:

youngsyr said:

crankedup said:

Expect younger is up to his ne k in debt without a. are in the World. Seen and heard of so many people who overstretched themselves and then have the rug pulled from under them.

In the 80's/90's we had people buying houses with 100% mortgages, the gamble was that the house price would rise at a faster rate than the loan debt

Edited by crankedup on Thursday 29th June 19:02

Edited by crankedup on Thursday 29th June 19:03

Why are you attacking the person making the argument, rather than the argument itself?

Seems pretty clear to me that if you can borrow £XXX at 0% and stick it in the bank earning 2%, then it's a no brainer that you would do so. The bank is paying you to hold their money for them.

That situation is more than possible now, it wasn't possible in the 80s and 90s.

So, why are people tyring to use 30 year old data as proof that people are doomed today?

I find you to be an enigma, it's not an attack upon you more of a nudge to get under your skin in the hope to find what makes you tick with such an interest in this issue Nothing personal at all, I find you interesting, so far as this issue is concerned.

That's nice.

crankedup said:

Nobody is suggesting that the current crop is doomed, far from it, the World is a big place, go explore.

Whilst we're on the subject of our personal feelings about eachother, I find you to have a very short memory:

crankedup said:

Trouble is, as we know, if the BOE raised the rate untold people would go bankrupt and lose thier home. Just how many people are living on the edge?

Although I'm not sure why I need your permission to do anything, perhaps you could explain?

crankedup said:

If you wNt to take out loans to invest go ahead, you won't be the first nor last.

Nobody is suggesting the current crop of youngsters are doomed, but thier life is in thier own hands.

You don't need my permission to do anything at all, you seem to have misinterpreted what I was hoping would be a helpful.

Looking back on this thread it's obvious to me that the thread has run its course, so far as I am concerned.

[youngsyr]

Granfondo said:

youngsyr said:

Granfondo said:

youngsyr said:

Granfondo said:

That's different to actually getting the money out of a 0% credit card?

Really, you can't figure out how to turn a CC balance into cash?

Even with the keyword for the process handed to you on a plate and the Internet at your fingers?

As I said, there really is no helping some people.

The question I asked was how do you get free cash OUT of a CC?

And the answer is stoozing.

Christ, even with the answer you can't work it out!

But it's not getting money out is it?
It's leaving money in your savings account and spending on your card?
So tell us again how you get money out of a cc for free?

Why? Are you categorically stating that it can't be done?

Genuinely what is the point of me spelling it out to you?

You've admitted you don't understand the basics, isn't that enough?

[Granfondo]

youngsyr said:

Granfondo said:

youngsyr said:

Granfondo said:

youngsyr said:

Granfondo said:

That's different to actually getting the money out of a 0% credit card?

Really, you can't figure out how to turn a CC balance into cash?

Even with the keyword for the process handed to you on a plate and the Internet at your fingers?

As I said, there really is no helping some people.

The question I asked was how do you get free cash OUT of a CC?

And the answer is stoozing.

Christ, even with the answer you can't work it out!

But it's not getting money out is it?
It's leaving money in your savings account and spending on your card?
So tell us again how you get money out of a cc for free?

Why? Are you categorically stating that it can't be done?

Genuinely what is the point of me spelling it out to you?

You've admitted you don't understand the basics, isn't that enough?

I an not stating it can't be done but asking HOW it can be done because "stoozing" as I read it is not taking money OUT?

[youngsyr]

Granfondo said:

youngsyr said:

Granfondo said:

youngsyr said:

Granfondo said:

youngsyr said:

Granfondo said:

That's different to actually getting the money out of a 0% credit card?

Really, you can't figure out how to turn a CC balance into cash?

Even with the keyword for the process handed to you on a plate and the Internet at your fingers?

As I said, there really is no helping some people.

The question I asked was how do you get free cash OUT of a CC?

And the answer is stoozing.

Christ, even with the answer you can't work it out!

But it's not getting money out is it?
It's leaving money in your savings account and spending on your card?
So tell us again how you get money out of a cc for free?

Why? Are you categorically stating that it can't be done?

Genuinely what is the point of me spelling it out to you?

You've admitted you don't understand the basics, isn't that enough?

I an not stating it can't be done but asking HOW it can be done because "stoozing" as I read it is not taking money OUT?

So again, what is your point?

You don't know how it's done, but you're not confident enough in your ignorance to state that it cannot be done.

How does that move the discussion on consumer debt forwards?

As I said before, you should have quite whilst you were behind.

[mjb1]

Granfondo said:

But it's not getting money out is it?
It's leaving money in your savings account and spending on your card?
So tell us again how you get money out of a cc for free?

You can't (get money out for free). Closest is that some cards offer a cash advance which has an interest free period, but then they charge an arrangement fee (typically 2% or so).

I suppose if you have a trading business with a card terminal (or have a friend that's prepared to do it), you could fake a purchase transaction. But then you'd be paying the card processing commission (could be as low as 0.75% for a cc), but could also be more. So it still isn't cash out for free. And the card companies are aware of such dodginess and have monitoring algorithms looking out for it.

[youngsyr]

mjb1 said:

Granfondo said:

But it's not getting money out is it?
It's leaving money in your savings account and spending on your card?
So tell us again how you get money out of a cc for free?

You can't (get money out for free). Closest is that some cards offer a cash advance which has an interest free period, but then they charge an arrangement fee (typically 2% or so).

I suppose if you have a trading business with a card terminal (or have a friend that's prepared to do it), you could fake a purchase transaction. But then you'd be paying the card processing commission (could be as low as 0.75% for a cc), but could also be more. So it still isn't cash out for free. And the card companies are aware of such dodginess and have monitoring algorithms looking out for it.

Oh it can be done.

Even if you accept Granfondo's childish semantic argument that spending on a credit card instead of in cash is not the same thing as taking money out of a credit card, you just sign up to an interest free credit card and a 0% fee balance transfer card and move the balance from the first to the second.

Bingo, you've just taken money out of one credit card and put it on another, all at 0%.

[inonthis]

youngsyr said:

Oh it can be done.

No it can't.

You said "you can borrow £XXX at 0% and stick it in the bank earning 2%".

How exactly do you get the cold hard cash out of the CC and into the bank?

[youngsyr]

speedy_thrills said:

My opinion might be bias because I work within an associated industry but generally the more household debt a nation takes on the more economically successful it becomes. Household debt as % GDP. Sneering about debt is misunderstanding simple economics, credit growth is part of economic growth. If credit growth is matched by income growth all will be well but where you get into a declining, no or low income growth economy you'll end up with loans in arrears or defaulting entirely.

What's remarkable about the current housing "situation" (although the same could be said for other asset classes) isn't that prices are rising, that's actually historically quite normal. What's remarkable is that it's happening at a time when the wider economy has almost flat-lined and incomes are falling in real terms.

Sorry, I missed this in all the juvenile bickering.

It's an interesting point and of course the answer to why we have an asset bubble despite flat-lining incomes is mainly QE. I suspect the political instability in the Middle East, Russia, North Africa and parts of South America has also led to a "flight to safety" of wealth from those areas into the UK (particularly London).

[oldbanger]

inonthis said:

youngsyr said:

Oh it can be done.

No it can't.

You said "you can borrow £XXX at 0% and stick it in the bank earning 2%".

How exactly do you get the cold hard cash out of the CC and into the bank?

If you put all your spending onto a cc, and keep the money you'd have spent in the bank, you can then do a 0% balance transfer from one card to pay off another and bank the interest of the unspent bank balance until it comes to the time to pay it off.

It only works if you don't spend the money in the meantime.

You can do similar with cheap loans and offset mortgages, providing you get a cheap enough loan. Again it only works if you don't spend the money on anything other than loan repayments.

Edited by oldbanger on Friday 30th June 09:40

[youngsyr]

inonthis said:

youngsyr said:

Oh it can be done.

No it can't.

You said "you can borrow £XXX at 0% and stick it in the bank earning 2%".

How exactly do you get the cold hard cash out of the CC and into the bank?

Why do you need "cold hard cash" to put money into a bank account earning 2%?

When you open a savings account, do you literally walk into a high street bank with a suitcase full of cash to make the deposit?

My statement you quoted is word for word correct. It doesn't mention anything about cash.

[Ari]

youngsyr said:

Ari said:

youngsyr said:

Why are you attacking the person making the argument, rather than the argument itself?

Seems pretty clear to me that if you can borrow £XXX at 0% and stick it in the bank earning 2%, then it's a no brainer that you would do so. The bank is paying you to hold their money for them.

That situation is more than possible now, it wasn't possible in the 80s and 90s.

So, why are people tyring to use 30 year old data as proof that people are doomed today?

Two questions, if I may?

I'd be fascinated to know how old you are. I'm guessing early-mid twenties?

I'm even more fascinated to learn about these 2% interest rate bank accounts please!?

Not sure why my age is relevant, my argument either stacks up or it doesn't surely?

As for 2% interest rate bank accounts, I can do better than that: how about a 3% one?

http://www.tescobank.com/current-accounts/

There are monthly savings accounts currently available that offer up to 5%.

Yeah, thought so. Its relevant because, as you'll one day learn, there is much more to this world than Googling a few numbers.

And 3% capped to £3K?

Woo. Hoo.

[garagewidow]

why get the cc in the first place?

just walk into the bank open an account,tell them there's 10k in it and you would like to withdraw the interest,thankyou very much.

[youngsyr]

garagewidow said:

why get the cc in the first place?

just walk into the bank open an account,tell them there's 10k in it and you would like to withdraw the interest,thankyou very much.

And here was me thinking this was a place for adult discussion. Oh well.

[youngsyr]

Ari said:

youngsyr said:

Ari said:

youngsyr said:

Why are you attacking the person making the argument, rather than the argument itself?

Seems pretty clear to me that if you can borrow £XXX at 0% and stick it in the bank earning 2%, then it's a no brainer that you would do so. The bank is paying you to hold their money for them.

That situation is more than possible now, it wasn't possible in the 80s and 90s.

So, why are people tyring to use 30 year old data as proof that people are doomed today?

Two questions, if I may?

I'd be fascinated to know how old you are. I'm guessing early-mid twenties?

I'm even more fascinated to learn about these 2% interest rate bank accounts please!?

Not sure why my age is relevant, my argument either stacks up or it doesn't surely?

As for 2% interest rate bank accounts, I can do better than that: how about a 3% one?

http://www.tescobank.com/current-accounts/

There are monthly savings accounts currently available that offer up to 5%.

Yeah, thought so. Its relevant because, as you'll one day learn, there is much more to this world than Googling a few numbers.

And 3% capped to £3K?

Woo. Hoo.

So your argument is that it's irrelevant because I googled the answer? Well that's a new one on me, especially seeing as I didn't use Google.

And when asked to provide an example of a 2% interest rate bank account and I gave you one offering 3%, that doesn't count because it's capped at £3k?

You do realise you can open more than one savings account, don't you? You can open two of those accounts per person, plus a joint one if you're married at Tesco alone, so for a couple that's £30k right there. Not to mention the other accounts which offer similar rates, but perhaps they don't count either?

Really, this place is like an infant's school today.

[nikaiyo2]

Granfondo said:

I am sure you are an expert in personal debt but surely you could just tell us 80's dinosaurs with no debt how to get 0% "cash" to invest in Tescos bank to make £40-50?

Honestly I get 2 offers EVERY month from Barclaycard offering 0% balance transfers and 0% cash advances for terms varying from 24-32 months, one for the Visa card and one for the MC I hold with them, both currently have £0.00 outstanding. I think there is a 1.5% fee for both transactions. Limit on those combined is £15+k.

I get a similar offer from MBNA but usually with 2 or 3 month longer 0% period. Again card held with £0.00 outstanding, limit £20+K this i think is fee free, the last offer was.

I get a similar offer from TSB, again card held on £0.00 balance £7+K limit. Fee 0.5%

Nat West, card held £0.00 balance £10+K limit 3% fee for 24 months!!!

Amex try to get me to take one of their credit cards with 0% offers ALL the time, I will take it out when they do a point incentive as opposed to a 0%

I think to get the best rates the banks like to know who they are lending to, that it is a safe bet, a lot of interest is risk priced...

So to get money out you log into your account, go to my offers (or similar page, assuming your credit profile gives you access to such offers) put the account details you would like the money sent to in, within about 30 minutes you have however much you asked for sitting in your current account. The balance on your CC is then increased by the cash advance + the fee.

To be honest I don't use CC borrowing to put into interest baring current accounts, as tbh I cant be arsed, but its doable.

[Granfondo]

nikaiyo2 said:

Granfondo said:

I am sure you are an expert in personal debt but surely you could just tell us 80's dinosaurs with no debt how to get 0% "cash" to invest in Tescos bank to make £40-50?

Honestly I get 2 offers EVERY month from Barclaycard offering 0% balance transfers and 0% cash advances for terms varying from 24-32 months, one for the Visa card and one for the MC I hold with them, both currently have £0.00 outstanding. I think there is a 1.5% fee for both transactions. Limit on those combined is £15+k.

I get a similar offer from MBNA but usually with 2 or 3 month longer 0% period. Again card held with £0.00 outstanding, limit £20+K this i think is fee free, the last offer was.

I get a similar offer from TSB, again card held on £0.00 balance £7+K limit. Fee 0.5%

Nat West, card held £0.00 balance £10+K limit 3% fee for 24 months!!!

Amex try to get me to take one of their credit cards with 0% offers ALL the time, I will take it out when they do a point incentive as opposed to a 0%

I think to get the best rates the banks like to know who they are lending to, that it is a safe bet, a lot of interest is risk priced...

So to get money out you log into your account, go to my offers (or similar page, assuming your credit profile gives you access to such offers) put the account details you would like the money sent to in, within about 30 minutes you have however much you asked for sitting in your current account. The balance on your CC is then increased by the cash advance + the fee.

To be honest I don't use CC borrowing to put into interest baring current accounts, as tbh I cant be arsed, but its doable.

So in all cases it's not free?