Bank Interest Rise , How Will It Affect You ?

[oowee]

1 hour ago, 100milesaway said:

Tesco bank,2 year fixed savings account, 4.67 interest paid monthly.Best rates I have found this month.from Auntie.

I can see 4.8 on 2 years and 5 on 2+ but I reckon they will go up next week. 

[Lloyd90]

11 hours ago, Westley said:

Yes, I have baled out 2 of the Grandkids, BUT, I made them arrange an affordable standing order monthly, in an effort to teach them that there are consequences to the 'must have it now' syndrome   !

 

Bailed them out from what? Why? 

Interested to know what you mean ... 

[Mungler]

And this is why economics should be a mandatory GCSE subject. My first economics lesson was that everything has to be paid for and nothing is free.

Next is the realisation that government has no money, and that the money it has it collects from us through taxation.

The bill for the pandemic and other fiscally reckless events is now coming over the horizon and it’s going to be a miserable 10 years for most and everything is going to cost more.

Inside the M25 you can’t rent a basic 2 bed 1 box room family house for less than £1500 a month and so buying is still cheaper than renting. 

One of the interesting conundrums about inflation is that where interest rates are high but still under the rate of inflation, anyone with a bricks and mortar capital asset is still likely to be winning as the value of the capital asset accelerates at a faster rate than the real value of the money mortgage debt.

There’s a generation that have never seen a recession and I don’t think they know what it’s going to be like because everyone has got used to having pretty much everything (wrapped in a monthly payment). 

I’ve always said that anyone who has lived through a recession are the first to refuse to pay £6 for a coffee from the likes of Starbucks - that to my mind is just beyond mental.

[Westley]

8 hours ago, Lloyd90 said:

 

Bailed them out from what? Why? 

Interested to know what you mean ... 

Baled them out of debt, they had built up quite a large amount on credit cards. I helped by killing those debts,  BUT it was never going to be a 'gift'. I set up a payment plan they could afford until they paid back the loan. Why, well I think that is self explanatory.  They could find it difficult to obtain any future loans for mortgage etc. IF it had been a 'gift', how would they learn anything from it  ?

[Westley]

4 hours ago, Mungler said:

 

I’ve always said that anyone who has lived through a recession are the first to refuse to pay £6 for a coffee from the likes of Starbucks - that to my mind is just beyond mental.

WHICH is beyond mental,  £6 for a cup of coffee, or refusing to pay that for it  ?

[TOPGUN749]

15 minutes ago, Westley said:

WHICH is beyond mental,  £6 for a cup of coffee, or refusing to pay that for it  ?

Anything over £1 is too much for a coffee! What is it after all a few pennies for ingredients and half pint of boiled water?

[harrycatcat1]

23 minutes ago, Westley said:

WHICH is beyond mental,  £6 for a cup of coffee, or refusing to pay that for it  ?

I'd sooner let my tongue drop out than pay £6 for a coffee.

[oldypigeonpopper]

Hello, around Abingdon market place we have 6 coffee shops come food outlets, 🤔

23 hours ago, Westley said:

Like the above posts I too had my first mortgage in 1967. We spent the first 12 months of marriage living with In-Laws, which enabled us to save the deposit on a house. We filled it with mainly second hand furniture. The only 'debt' we had was the mortgage. 12 months later and we had the first child, so we now relied upon just a single income. Yes we struggled, ate so many pigeons, rabbits and wildfowl in season, BUT we still only had the mortgage debt. I did not see a need to cover my body in artwork that resembled the Walker Art Gallery and cost about as much to obtain. I was not paying extortionate amounts to have the latest mobile phone, or in excess of £1000 for a blooming electric bike. I had no need for the latest computer game (or the availability) I tended to fall asleep in an armchair after a hard day at work. If we could not afford to buy something for cash, we did without. Both of our Parents helped out with various things, food included and used household goods. I have NEVER been out of work since 1961 and when I joined the Police in 1974, I was having to do a second job just to survive . My 2 Daughters, both now in their 50's have followed on with a similar life pattern. Their only debts being a house and car. Shame I am unable to say the same about the Grandkids ranging from 17 to 37. They want the lot NOW, 2 of them have standing orders to my bank account,  paying back money that bailed them out of credit card debt. Yes, I feel sorry for the younger generation,  but a lot of their suffering is of their own making. If you can not afford it, wait until you can  !

Good post 👍

[oldypigeonpopper]

10 minutes ago, oldypigeonpopper said:

Hello, around Abingdon market place we have 6 coffee shops come food outlets, 🤔

Good post 👍

Hello, the cost of living does not seem to effect the many I see around here filling up the cafes and pubs on a weekend, even the new cafe charging £12 per person for afternoon tea, I cannot remember the last time I sat in a cafe for coffee, would be a big no no at £6 🤔, a treat for me is a sausage roll from the Cornish shop in Oxford and my own flask of coffee 🤔😁

[Westley]

10 minutes ago, oldypigeonpopper said:

Hello, the cost of living does not seem to effect the many I see around here filling up the cafes and pubs on a weekend, even the new cafe charging £12 per person for afternoon tea, I cannot remember the last time I sat in a cafe for coffee, would be a big no no at £6 🤔, a treat for me is a sausage roll from the Cornish shop in Oxford and my own flask of coffee 🤔😁

I recently stayed in a hotel where afternoon tea was £35/ person. Extra if you wanted alcohol too.

Forgot to mention it was fully booked daily  !

Edited November 5, 2022 by Westley

[London Best]

What’s a debt?

Other than buying the house (£10k mortgage on a £14k house) I have never in my life bought anything I could not pay for with cash.

[Yellow Bear]

6 hours ago, Mungler said:

And this is why economics should be a mandatory GCSE subject. My first economics lesson was that everything has to be paid for and nothing is free.

Next is the realisation that government has no money, and that the money it has it collects from us through taxation.

The bill for the pandemic and other fiscally reckless events is now coming over the horizon and it’s going to be a miserable 10 years for most and everything is going to cost more.

Inside the M25 you can’t rent a basic 2 bed 1 box room family house for less than £1500 a month and so buying is still cheaper than renting. 

One of the interesting conundrums about inflation is that where interest rates are high but still under the rate of inflation, anyone with a bricks and mortar capital asset is still likely to be winning as the value of the capital asset accelerates at a faster rate than the real value of the money mortgage debt.

There’s a generation that have never seen a recession and I don’t think they know what it’s going to be like because everyone has got used to having pretty much everything (wrapped in a monthly payment). 

I’ve always said that anyone who has lived through a recession are the first to refuse to pay £6 for a coffee from the likes of Starbucks - that to my mind is just beyond mental.

Pretty much exactly this.   When I started work income tax was 8s3d in the pound (41.5%) and when I traded up from starter to family house income tax was  34% and interest at 17%.  I know prices are higher but rates are not that high and tax , comparatively low still.

[Mungler]

2 hours ago, Westley said:

WHICH is beyond mental,  £6 for a cup of coffee, or refusing to pay that for it  ?

Paying £6 for a cup of coffee is off the chart mental. I love to waste money but I have to draw the line somewhere 😆

[Westley]

43 minutes ago, Mungler said:

Paying £6 for a cup of coffee is off the chart mental. I love to waste money but I have to draw the line somewhere 😆

IF, you enjoy wasting money..........get yerself some Grandkids   !   🤣

[oldypigeonpopper]

Hello, I think if your around my age or older you have to forget the good old days when beer was 50p a pint, and a family house was £10,000, young people live in a different life and time, while some do think money grows on trees, not willing to work at any job despite wanting a career, or go from one job to another,  the vast majority are harding working for themselves and their families, 

[Mice!]

2 hours ago, Westley said:

I recently stayed in a hotel where afternoon tea was £35/ person. Extra if you wanted alcohol too.

Forgot to mention it was fully booked daily  !

As much as we keep getting told things are hard, costs are rising people still have money to spend and want to enjoy themselves. 

I don't get to the pub very often,  but that's my choice,  but when I get out it's always busy, same with a lot of cafes you see.

8 hours ago, Mungler said:

I’ve always said that anyone who has lived through a recession are the first to refuse to pay £6 for a coffee from the likes of Starbucks - that to my mind is just beyond mental.

It certainly is when MacD charge about a quid I think, £6 I'd want a pot of tea, proper cup, piece of cake and a nice little table to sit at, £6 😅😅

[Walker570]

I occasionally call in at my local town and see the wobbly tattos walking down the street and sitting supping £3 coffees then glancing through the window to see them sat having their nails groomed etc etc etc plus the bookies always seems busy.  Priorities gone out of the window obviously not struggling.

I tend not to worry about anyhting I cannot do anyhting about.

Edited November 5, 2022 by Walker570

[old'un]

6 minutes ago, Walker570 said:

I occasionally call in at my local town and see the wobbly tattos walking down the street and sitting supping £3 coffees then glancing through the window to see them sat having their nails groomed etc etc etc plus the bookies always seems busy.  Priorities gone out of the window obviously not struggling.

I tend not to worry about anyhting I cannot do anyhting about.

One word I hate that the media has latched onto is “poverty”

[Westley]

54 minutes ago, Mice! said:

As much as we keep getting told things are hard, costs are rising people still have money to spend and want to enjoy themselves. 

I don't get to the pub very often,  but that's my choice,  but when I get out it's always busy, same with a lot of cafes you see.

It certainly is when MacD charge about a quid I think, £6 I'd want a pot of tea, proper cup, piece of cake and a nice little table to sit at, £6 😅😅

Blooming eck  !   I'd want B & B for that  😄

[Lloyd90]

14 hours ago, Westley said:

Baled them out of debt, they had built up quite a large amount on credit cards. I helped by killing those debts,  BUT it was never going to be a 'gift'. I set up a payment plan they could afford until they paid back the loan. Why, well I think that is self explanatory.  They could find it difficult to obtain any future loans for mortgage etc. IF it had been a 'gift', how would they learn anything from it  ?

I hope they realise how lucky they are to have you 👍🏻🙏🏻

[Westley]

9 hours ago, Lloyd90 said:

I hope they realise how lucky they are to have you 👍🏻🙏🏻

THANKFULLY I have not had to bail them out of a court.............yet   !    😄

Mind you, I'm taking FIVE of them clayshooting today and that is not cheap now. They each do a 50 birder, when we go. They buy their own 50 cartridges each, I pay for the clays. They are all working, even the 2 who are at college/University have part time jobs and I admire them for that.

Edited November 6, 2022 by Westley

[henry d]

20 hours ago, Mice! said:

As much as we keep getting told things are hard, costs are rising people still have money to spend and want to enjoy themselves...

I was thinking the same last night, the barrage of fireworks was immense, constant multiple bangs and whooshing for 3-4 hours! Plus £5-20 a pint at the rugby and £5-80 in a student pub in a posh part of Newcastle. One pint and out...

[matone]

We have a younger generation who cannot discriminate between `need` and `want` and have been lead there by media hype and successive Governments on behalf of their corporate masters.Look around,you see corporate gluttony everywhere ,and the public are paying for the fat cats to get even more cream on their whiskers...

[Mice!]

5 minutes ago, henry d said:

I was thinking the same last night, the barrage of fireworks was immense, constant multiple bangs and whooshing for 3-4 hours! Plus £5-20 a pint at the rugby and £5-80 in a student pub in a posh part of Newcastle. One pint and out...

I nearly said this last night, but it will be all weekend with the fire works, not just one night, there are organised displays on plus loads of people letting them off in gardens,  if your spending a £100 on fireworks then you aren't concerned about the rising cost of anything.

[Rupert]

Re the fire works and other niceties in life, the rise in cost of living is not affecting everyone the same.