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trajectory
17th June 2005, 14:38
Debt Article (http://www.fool.co.uk/news/comment/2005/c050617d.htm?ref=foolwatch)

How much un-secured debt do people have on this board?

I've got none (and no secured debt either). :smokin

OwlHoot
17th June 2005, 14:50
I love the way that doomladen article ends with an ad: Avoid paying interest: get a 0% credit card today! :lol

JR in "now I'm off to wade through all the replies to my question on audio conversion" mode

WageSlave1
17th June 2005, 14:52
Just under £4k. And a pikey flat to boot.

Debbie Reinvented
17th June 2005, 14:53
none and not much secured either. got caught before and almost went the bankruptcy route ... not going to happen again

DimPrawn
17th June 2005, 14:57
No mortgage but £37K on 0% interest credit cards, so my debt costs me nothing and earns me some money...:D

trajectory
17th June 2005, 14:58
Make the most of it Dim, they're tightening up on that stuff now I see.

rootsnall
17th June 2005, 15:17
Zero and zero. Just flogged the Mrs mortage free old house this morning so rolling in it as of lunchtime today, going out to celerabrate with a couple of halves and a spritzer for the Mrs. Roll on doom and gloom !!!!!!!!!!

AtW
17th June 2005, 15:25
Got none.

ALM
17th June 2005, 15:42
£0.00

thunderlizard
17th June 2005, 15:56
The 'up to the eyeballs' community keeping quiet on this one. I paid off the Student Loan at last a couple of weeks back, so no debt for me (bar a couple of small gambling ones). Precious few assets either.

DimPrawn
17th June 2005, 15:59
It's true you can boast about your zero debts and large assets, but it only take one or two divorces to make things look very different.

sasguru
17th June 2005, 16:05
Over 250K outstanding on mortgages for various properties :eek - nominal value of them is 600K though.
6K on a zero interest credit card.

WageSlave1
17th June 2005, 16:08
SG, I thought you were loaded?

dazza12
17th June 2005, 16:08
About 8 grand. Was up to about 25 a few years ago. 3 CCJs, 2 satisfied, and about 10 defaults, 8 satisfied.

Still stitched up though, can't get a business bank account. Unless of course anyone know anybody who specialises in non status accounts?

I know things are bad, when even companies like Capital One turn me down for a guaranteed card.

sasguru
17th June 2005, 16:10
Well WS, theoretically. If I sold my flats.
The 6K is being cleared this month.

Unfortunately any wealth I have is dependent on the property market:(

AtW
17th June 2005, 16:11
dazza12 - this is pretty fecked up, surely one can't do anything wrong with a bank account that has zero overdraft and a debit card?

DimPrawn
17th June 2005, 16:14
Interesting point for those with a large property portfolio. When you come to sell you will be hit with capital gains.

Now if you are not-ordinary resident (i.e. you bugger off) in Cyprus for example, you don't pay CGT in the UK and there is no liability in Cyprus either.

You can buy a cheap apartment out there for £60K, so when the time comes, move out there for a few yrs, sell you properties and pay no tax.

HTH (somebody).

sasguru
17th June 2005, 16:17
DP was thinking along those lines myself, if I can persuade the missus to move. Was thinking South Greece though. Fell in love with the islands a long time ago.
Does this dodge work if you are in Greece as well?

Debbie Reinvented
17th June 2005, 16:20
Interesting point for those with a large property portfolio. When you come to sell you will be hit with capital gains.

Start talking to your IFA about self administered pension plans. From next April you can shelter residential property in a SIPP.

dazza12
17th June 2005, 16:30
surely one can't do anything wrong with a bank account that has zero overdraft and a debit card

That's all I'm after. The timing of this thread couldn't be more appropriate. I was in the bank this morning, getting various things done, and moaning at them because despite having an account with them for 17 years, I still can't get a business account, or anything more than a basic Solo debit card.

If I want to trade any shares, I've got to do it in the branch, and pay the higher charges. If I want to buy something in the shops, I can only do this with companies who take Solo. I can't have my expenses put on a credit card as I can't have one. And because I can't have one, I can't book hotels or hire cars, or even purchase items from abroad like software. Even my Xbox Live account is in the Mrs name, because they only take Visa or Mastercard.

At the moment, I'm putting all business transactions through a separate personal account, that's only there for business use. It's apparently ok with the IR, but I'd still be happier with a specific business account. Even a passbook account, or one that guarantees an account opened with an opening balance would be ok. So long as they aren't looking for too much, say a grand or two.

I've seen a couple of companies that claim to guarantee accounts opened if you bung them a few quid, but nobody seems to know anything about them.

DimPrawn
17th June 2005, 16:32
Have you tried Cater Alan Private Bank?

AtW
17th June 2005, 16:33
Its pretty fecking unreasonable to deny basic account that can't be overdrawn. Perhaps their logic is that despite lack of risk of losing money, they won't be making money money of you since banks want people to get in debt and them milk them?

rootsnall
17th June 2005, 16:49
You have to sell the property to put it into a SIPP so I think you'll cop for capital gains if its been rented only. If you've made a decent capital gain I reckon its worth moving in and making it your main residence while you sell it ie. 100K gain, save 40K in tax.

DimPrawn
17th June 2005, 16:52
More of a problem if you have say 3 properties that you want to sell at the same time. Just move abroad, sell and reap the tax free benefits....You might find however you never want to return....you have been warned.....

OwlHoot
17th June 2005, 17:16
> 3 CCJs, 2 satisfied, and about 10 defaults, 8 satisfied.

Dazza, putting it bluntly, I think your problem is that 3 - 2 and 10 - 8 are both positive.

I make no secret of the fact that I'm a prole with money (like most of the population these days it seems) and I have a couple of CCJs on account of tax debts that crept up to spectacular levels a couple of years ago - nearly 100K. But after selling one of my properties I satified them all, and I haven't had any problem with credit cards or business bank accounts.

Caesar Augustus once quipped about some debtor that he'd pay a fortune for the guy's pillow, because anyone who could sleep soundly with that much debt hanging over him must have a magic pillow. Maybe I should have put mine up for sale on Ebay.

DimPrawn
17th June 2005, 17:18
Another pillow biter....:rolleyes

allfinished
17th June 2005, 17:34
Zero debt of any sort...., just assets

keeping my powder dry so I can buy vast swathes of labour voting housing when the economic ballon goes up, then I get to laugh at the scum and make money out of their misfortune/ignorance/stupidity.

Seldom will wealth/revenge/punishment combine in such a poetic way.

Lucifer Box
17th June 2005, 17:49
As the old saying goes, "if you owe the bank a thousand pounds you've got a problem, if you owe the bank a million pounds they've got a problem." So is the moral of the story fill your boots and damn the consequences?

ASB
17th June 2005, 18:31
DP,

The strategy is basically sound but ISTR that there are some changes such as if you become resident again in the next 7 years you get stiffed for the tax anyway.

Also if you happen to own the properties via a company now would be a very good time to read up on the exit charge for companies.