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How much money would it take for you to be 100% debt free?

beaverretriever

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This thread proves what I've been telling RD for years now. RDP is not a realistic view of normal life. It's rich white guys with boats. Look how many people have their house paid for. You can look online and see how many of your neighbors have a loan on their house. :rolleyes:

My parents don't have any debt, no money either and in general are pretty broke. Some of the poorest people I know have zero debt.

Management of debt is the most important; meaning does your debt have liquidity? Can your debt be sold, traded or moved into equity or positive cash flow? Unfortunately most people with debt are screwed as their debt are not investments such as their primary residence, boats, new cars (not 65 Shelbys that seem to gain value even in rough economies).

I made the joke earlier in the thread about 2006 when everyone had a 20 year zero down loan on a Magic 28 foot deck. Now that is debt that is probably not the best to have.

I'll never forget when I lived in Manhattan Beach in the late 90s and started seeing 310 Motoring lic plate frames. They started out leasing or renting high dollar chrome wheels to people who couldn't afford to pay cash for them. Now that is debt that should probably be illegal :D
 

LargeOrangeFont

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My parents don't have any debt, no money either and in general are pretty broke. Some of the poorest people I know have zero debt.

Management of debt is the most important; meaning does your debt have liquidity? Can your debt be sold, traded or moved into equity or positive cash flow? Unfortunately most people with debt are screwed as their debt are not investments such as their primary residence, boats, new cars (not 65 Shelbys that seem to gain value even in rough economies).

I made the joke earlier in the thread about 2006 when everyone had a 20 year zero down loan on a Magic 28 foot deck. Now that is debt that is probably not the best to have.

I'll never forget when I lived in Manhattan Beach in the late 90s and started seeing 310 Motoring lic plate frames. They started out leasing or renting high dollar chrome wheels to people who couldn't afford to pay cash for them. Now that is debt that should probably be illegal :D

When you have debt on something you put no money down on I’d argue you effectively have 0 debt on it as well. You already have negative equity the moment you take possession (even RE as the asset costs money to sell) and you can walk away from it with minimal consequence and no financial consequence at any time.
 

beaverretriever

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When you have debt on something you put no money down on I’d argue you effectively have 0 debt on it as well. You already have negative equity the moment you take possession (even RE as the asset costs money to sell) and you can walk away from it with minimal consequence and no financial consequence at any time.
Absolutely, but again reinforces my comment about some of the poorest people I know have zero debt. The saying goes, it takes money (or debt) to make money.

I am not condoning getting in to debt; but I guess it depends on what you are spending your money on.

If you are getting 0% financing on a large purchase, it usually doesn't make sense to pay cash for it.
 
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GRADS

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I'll never forget when I lived in Manhattan Beach in the late 90s and started seeing 310 Motoring lic plate frames. They started out leasing or renting high dollar chrome wheels to people who couldn't afford to pay cash for them. Now that is debt that should probably be illegal :D
Ha! I had a 310 Motoring t-shirt! Loved that shirt, wore it into the ground.
 

LargeOrangeFont

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Ha! I had a 310 Motoring t-shirt! Loved that shirt, wore it into the ground.
You don’t wear a 310 Motoring shirt.. it wears you!

Looked a lot better than “Rent A Wheel” T shirts lol.
 

LargeOrangeFont

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Absolutely, but again reinforces my comment about some of the poorest people I know have zero debt. The saying goes, it takes money (or debt) to make money.

I am not condoning getting in to debt; but I guess it depends on what you are spending your money on.

If you are getting 0% financing on a large purchase, it usually doesn't make sense to pay cash for it.
Agreed 100%
 

RCDave

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When you have debt on something you put no money down on I’d argue you effectively have 0 debt on it as well. You already have negative equity the moment you take possession (even RE as the asset costs money to sell) and you can walk away from it with minimal consequence and no financial consequence at any time.
That position is perhaps ethically suspect. Both the lender providing 100% financing with no skin in the game for the borrower and a borrower that would take on such debt with the half baked intent to walk away and let the lender foreclose....
 

LargeOrangeFont

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That position is perhaps ethically suspect. Both the lender providing 100% financing with no skin in the game for the borrower and a borrower that would take on such debt with the half baked intent to walk away and let the lender foreclose....
It is a bad decision all around, but people are going to look out for number 1 (themselves) when the light gets turned on and they have to scatter.

Just like stealing bread to feed your family.
 

calkid

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0-zero.....everything is paid off. We have lived pretty conservatively most of our 41 years together and business has been good.
 

supernick

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360k between my wife and myself with student loans and a mortgage.
 

GRADS

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Unfortunately we're about to find out who was telling the truth in this thread. This was post #161...let's see how many get deleted.
 

rivrrts429

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Unfortunately we're about to find out who was telling the truth in this thread. This was post #161...let's see how many get deleted.

You’re continuing to root for terrible things upon people...
 

Icky

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Post #12, I was telling the truth 🙂
 

stoker

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Unfortunately we're about to find out who was telling the truth in this thread. This was post #161...let's see how many get deleted.
Sounds like a smart car might be for sale here pretty soon. I am a cash buyer for $1300.00
 

havasujeeper

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Sounds like a smart car might be for sale here pretty soon. I am a cash buyer for $1300.00
It would cost more than that to steam clean the slime and demoshit from the interior of that thing.
 
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