Living within your means and over your means ?

[lauren]

Originally Posted by emily445455

Unforunately, it's easy as pie here. I think it's how banks want it.

We got our card with our bank but my mother was able to get a credit card with a 7000 euro limit with one of the department stores ....thankfully she decided to get rid of it .

I cannot imagine how tempting it would be to be handed a credit card with that kind of limit on it or if realistically i would be able to use it wisely

I think i would regret getting it big time !

[KRD]

Originally Posted by lauren

Ok im understanding it all much better now Thanks !

My confusion came from the guidlines that we had to have in place when we obtained and recieved a credit card . We only were intitled to a small limit and although we could pay back a minimim payment each month it was at least 10 per cent per bill so with a very small limit ( 500 euro ) it would be hard to get into high debt .

Even at 500 it could soon mount up if you are only paying off 10%. You would be paying interest on 450. My credit card has a 19.95% interest rate so the monthly interest is $7.50 per month and $90 per year. It will soon start to mount up if that is all you pay back.

Originally Posted by lauren

We got our card with our bank but my mother was able to get a credit card with a 7000 euro limit with one of the department stores ....thankfully she decided to get rid of it .

I cannot imagine how tempting it would be to be handed a credit card with that kind of limit on it or if realistically i would be able to use it wisely

I think i would regret getting it big time !

I agree that it is way too easy to a get a credit card with a large limit. I have a large limit on my card (which is only in my name) yet I have no source of income. I don't use anywhere that amount.

However I am a big user of my credit card to take advantage of the interest free period. The big difference for us is we have it set up to pay the entire amount off every month on due date. I had to go looking for the interest rate (above) as I have never paid interest on my credit card.

Also I think it depends on what sort of person you are in relation to money.

[lauren]

We had our credit card set up to be paid out of dd in the full amount each month when we were living in Malta .

If we are looking to be serious about moving to Australia early next year we will have to get really tight with our budget .

After speaking to friends over there i have found out the qualified childcare workers are needed and wanted in Oz and they recieve a nice salary ( nicer then here ) .....

Visa's and flights are going to be expensive . with me back working some hours at the creche i can put some money away ....i am wanting to move without needing a loan.

It is hard now we are back in Ireland we are getting invited to lots of events and nights out etc ....weddings here are expensive for guests as a couple is expected to give 200 euro to the married couple ( here they write on the invited asking for no gifts just money )

[mom_of_3_blessings]

Originally Posted by lauren

We had our credit card set up to be paid out of dd in the full amount each month when we were living in Malta .

If we are looking to be serious about moving to Australia early next year we will have to get really tight with our budget .

After speaking to friends over there i have found out the qualified childcare workers are needed and wanted in Oz and they recieve a nice salary ( nicer then here ) .....

Visa's and flights are going to be expensive . with me back working some hours at the creche i can put some money away ....i am wanting to move without needing a loan.

It is hard now we are back in Ireland we are getting invited to lots of events and nights out etc ....weddings here are expensive for guests as a couple is expected to give 200 euro to the married couple ( here they write on the invited asking for no gifts just money )

Wow that is a lot of money! We have learned that we can't be at every event and that is okay. We are learning to say no and save for what is most important for us.

[KRD]

Originally Posted by mom_of_3_blessings

Wow that is a lot of money! We have learned that we can't be at every event and that is okay. We are learning to say no and save for what is most important for us.

Often the weddings we get invited to require travel so really adds to the cost. We have had to made decisions about what is important.

200 euros that is ridiculous. We would normally do $25-30. We often go in with a group of friends for a present. The last wedding we went to we gave them a voucher for a department store and book on communication in marriage.

[lauren]

Originally Posted by mom_of_3_blessings

Wow that is a lot of money! We have learned that we can't be at every event and that is okay. We are learning to say no and save for what is most important for us.

Originally Posted by KRD

Often the weddings we get invited to require travel so really adds to the cost. We have had to made decisions about what is important.

200 euros that is ridiculous. We would normally do $25-30. We often go in with a group of friends for a present. The last wedding we went to we gave them a voucher for a department store and book on communication in marriage.

Irish weddings are absurd ! The idea in this country ( a greedy idea ) is to make money on the wedding .

Here a couple will spend 30 grand on a wedding ..and invite maybe 250 - 500 guests ....so the wedding pays for itself and most likely the honeymoon aswell !

Also here you need to consider travel , outfits ( weddings are held on grand hotels here ) babysitting ( often the hotel provides this and you pay )

An irish wedding starts at the church at 1pm and ends at maybe 4am at night ....

Its madness .

[TammyinVA]

Wow...those weddings must be something else and the money is crazy! We just returned from living in Germany for the last 7 years and the euro rate was crazy expensive!

We are working this year to be debt free by next May. We sold our high dollar BMW and Volvo for brand new trucks and reduced our expenses greatly. We had also been supporting our mid-daughter and children while they lived with us over the last year while her husband was deployed. Our oldest daughter is now at home living with us and getting ready to have a baby any day. We certainly didn't see any of this happening a couple of years ago..but are glad we were able to help even though we had to use our credit cards. We will have them paid off by December with only one more bill to pay Jan-May and then we will only owe on our vehicles (which we will double pay to pay off early). I really detest owing money to anyone, but it was necessary this time.

[lauren]

Originally Posted by TammyinVA

Wow...those weddings must be something else and the money is crazy! We just returned from living in Germany for the last 7 years and the euro rate was crazy expensive!

We are working this year to be debt free by next May. We sold our high dollar BMW and Volvo for brand new trucks and reduced our expenses greatly. We had also been supporting our mid-daughter and children while they lived with us over the last year while her husband was deployed. Our oldest daughter is now at home living with us and getting ready to have a baby any day. We certainly didn't see any of this happening a couple of years ago..but are glad we were able to help even though we had to use our credit cards. We will have them paid off by December with only one more bill to pay Jan-May and then we will only owe on our vehicles (which we will double pay to pay off early). I really detest owing money to anyone, but it was necessary this time.

you sound like an awesome mom !!!

[Michelleld]

I had some debt when we got married, I was not wise with my money and credit cards are FAR too easy to come by! Fortunately we were able to pay it off with wedding money (I had paid it down before we got married) and have used tax returns (we always claimed zero, hubby still does even with a child) to pay off debt so a couple of years ago we paid off my small school loan and hubby's larger one. We do take out car loans but use the longest loan period for the lower interest rate (and put down as much as possible so the loans are small) pay them off years early (usually with tax returns or any large amount of unexpected money like a bonus).

We are down to only our mortgage. We do live quite a bit below our means but we are saving to buy a bigger house (and we'll have to cover a loss on this house more than likely). Once we are in our next house, in which we'll plan to be in for awhile, we will likely be more comfortable to spend a bit more and save a little less (while still saving and keeping a cushion)