Borrowing money to show off and support an unsustainable life style


sup3rm2n

New Member
Dec 20, 2008
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#6
we are already in debt as soon as we graduated from school. Have to repay poly loan and uni loan, it quite impossible to be debt free in this time and age. Even want to have a HDB house also have to repay debt till 50 years old.
 

ManWearPants

Senior Member
Jul 14, 2008
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#7
Just look at the take up rate of new properties and new cars on the road. Money don't grow on trees. So have to come from loans. Are there other big ticket items on a personal level that might require loans?

"Households had borrowings worth 151 per cent of their annual income last year,"

I am sceptical of this comment. Look at the recent JGateway launch. Most units are $1.2 mil and above. Does it mean that those who purchased from there have combined household income of $800k per annum?
 

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manalishi

New Member
Oct 6, 2004
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#8
we are already in debt as soon as we graduated from school. Have to repay poly loan and uni loan, it quite impossible to be debt free in this time and age. Even want to have a HDB house also have to repay debt till 50 years old.
these are 'good' debts. Those that are suffering are those with heavy credit card debts and car loans to show off their flashy lifestyles.
 

diver-hloc

Moderator
Staff member
Apr 17, 2007
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#9
we are already in debt as soon as we graduated from school. Have to repay poly loan and uni loan, it quite impossible to be debt free in this time and age. Even want to have a HDB house also have to repay debt till 50 years old.

While its 'impossible' for most of us to be totally debt free... it really depends on what debt you are talking about...

For me... I'm debt free to all 3 of my Credit Cards... I pay on time every month... don't owe them what I can't repay.

As for HDB... its a necessary debt... you could of course rent instead of buying to be debt free... but that would put you at risk and uncertainty to market rates and at the mercy of your landlord. As for repaying till you are in your 50s... My point of view is at least you'll own the property when you are in your 50s... you could rent your house till you are in your 90s and yet NEVER OWN YOUR OWN HOME....

Btw... I took a 30yr loan from HDB... did a one time top up recently and cut my remaining loan time from 16yrs 2mth to 4yrs 4mths... but I should be able to finish it in 2yrs time... so, took me less than 20yrs to settle my loan... I'll be in my very early 40s... :bsmilie:
 

diver-hloc

Moderator
Staff member
Apr 17, 2007
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#11
With current income vs HDB price ratio, I guess so.
My FIL, now retired, but last time worked as gardener, can fully paid his 4-room HDB. Me? I doubt so.

You'll be surprise... I also never thought it was possible for me to repay my loan (hopefully) in less than 20yrs... but it did happened... I don't earn alot as a Public Transportation Sector worker... but I don't spent what little I already have on things like Car or Motorcycle... don't even have license for it... the amount saved is incredible...
 

kei1309

Senior Member
Apr 12, 2010
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#12
You'll be surprise... I also never thought it was possible for me to repay my loan (hopefully) in less than 20yrs... but it did happened... I don't earn alot as a Public Transportation Sector worker... but I don't spent what little I already have on things like Car or Motorcycle... don't even have license for it... the amount saved is incredible...
i have a bike. still ok though.
 

ManWearPants

Senior Member
Jul 14, 2008
4,198
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#13
Btw... I took a 30yr loan from HDB... did a one time top up recently and cut my remaining loan time from 16yrs 2mth to 4yrs 4mths... but I should be able to finish it in 2yrs time... so, took me less than 20yrs to settle my loan... I'll be in my very early 40s... :bsmilie:
Struck lottery?
 

anavrinsea

Deregistered
Jul 3, 2013
57
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Singapore
#14
the worse thing about pple like this is it encourages more pple to act like this and those who dont feel inferior when you see everyone wearing nice stuff :(
 

diver-hloc

Moderator
Staff member
Apr 17, 2007
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Somewhere North
#16
Word of advise... the interest rate for my 30yrs loan is really punishing... I may be paying very low monthly installments (low $400+) a month... but I only found out that they are charging me almost $2000 ($1970) a year...

I loan only about $90K++... but at $2K a year for 30 years... that's almost $60K !! 2/3 of my loan is returned as interest !! :eek:
 

fotoudavid

Senior Member
Mar 11, 2005
2,157
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#17
Word of advise... the interest rate for my 30yrs loan is really punishing... I may be paying very low monthly installments (low $400+) a month... but I only found out that they are charging me almost $2000 ($1970) a year...

I loan only about $90K++... but at $2K a year for 30 years... that's almost $60K !! 2/3 of my loan is returned as interest !! :eek:
same as mine... i would say pay as much as possible if have cash....
 

ManWearPants

Senior Member
Jul 14, 2008
4,198
6
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Singapore
#18
Word of advise... the interest rate for my 30yrs loan is really punishing... I may be paying very low monthly installments (low $400+) a month... but I only found out that they are charging me almost $2000 ($1970) a year...

I loan only about $90K++... but at $2K a year for 30 years... that's almost $60K !! 2/3 of my loan is returned as interest !! :eek:
Else why you think anyone will give you a loan?
 

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