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Cost of living crisis

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57 minutes ago, Gambatte said:

If you are decent enough at math, you can easily work out all the equations for loan repayment etc etc. Very easily. Only need pen and paper. Without anyone ever teaching you 'finance'. I did it (in fact, I did it using ONLY math I learnt before Abi) and I bet everything that many others did it too.

 

Based on my experience, I think you will probably find yourself in a significant minority.  Many people just turn off when numbers come into the discussion and if one even utters the word "spreadsheet", they are "out the door"...

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3 hours ago, Gambatte said:

Come on, but this is not down to finance, this is down to being able to do elementary arithmetic...

One and the same. Yet, marketing often aims to skew sensible calculations.

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50 minutes ago, GaryC said:

 

Based on my experience, I think you will probably find yourself in a significant minority.  Many people just turn off when numbers come into the discussion and if one even utters the word "spreadsheet", they are "out the door"...

When I was 18, I got a job in a factory in Bonn. A Brummie, Mike, five years older than me, also worked there and rented a flat. We became friends and he offered to let me live in his flat, share the rent, food bills etc.

When I got my first pay, he made a shopping list, gave me his share of the money and asked me to do the shopping.

 

I came back with a cassette recorder and no food😂

He had a great sense of humour, thank God!

I had had no experience of money!!

I am a professional independent insurance broker and authorised advertiser. Contact me.
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3 hours ago, Gambatte said:

I very strongly disagree.

 

The shame is not that school don't teach finances. The shame is that, whoever the culprit, people turns into adult without learning math. If you manage math, finance is easy. If you're useless at math, no hope at finances and probably you will never be well off.

I know maths experts…a teacher and a professor yet both are hopeless with their own finances. There’s a difference between maths and personal finance general aptitude. 

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I never had a debt apart from a fiver in the first term at uni. And I remember it still...:lol:

 

Too damn stingy to pay any sort of interest for credit. Simple. Save up and wait until you have the money to pay for what you need. Exceptions being a house and possibly a car. I was lucky in that I struck gold at a fairly young age and didn t have to buy a house.

 

Cut your cloth according to your means. Debt destroys all peace of mind. Them s the roolz I grew up with. My (supposedly safe) investments were disastrous however. Stock markets gobble up small fry. 

 

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On 20/06/2022, 17:28:41, GaryC said:

Welcome to what was pretty normal until the mid 1990s.  Hands up those who remember 16.5% mortgage interest rates in the UK - me, me, me!!!

 

I miss the good old days of UK credit card ‘stoozing’ in the early to mid 2000‘s. Sadly, credit card companies broadly offering easy 0% interest caused people to do this multiple times to support their lifestyle. That often ended in significant financial difficulties with high interest rates when they couldn’t repay. I just made the most of earning money for nothing at zero interest rate repayments.

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19 minutes ago, emkay said:

I miss the good old days of UK credit card ‘stoozing’ in the early to mid 2000‘s. Sadly, credit card companies broadly offering easy 0% interest caused people to do this multiple times to support their lifestyle. That often ended in significant financial difficulties with high interest rates when they couldn’t repay. I just made the most of earning money for nothing at zero interest rate repayments.

 

I remember that too.  A former colleague of mine, now sadly deceased, had about £250,000 circulating on such cards and the same amount in the bank earning interest.  I think he had something like 50 cards and her reckoned it took him an hour a month to move all the funds.  With interest rates at the time he was earning something like £500 per month...  

 

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1 hour ago, emkay said:

I know maths experts…a teacher and a professor yet both are hopeless with their own finances. There’s a differences between maths and personal finance general aptitude. 

Fine with this if you mean they spend more than they should. Finance general aptitude.

But I don't think this is something that can be taught in a formal school settings.

 

Anyone half decent in math has all it takes to learn how to crunch the numbers for loan, interests, investment, taxation.

 

Then being successful at not overspending is a different thing.

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33 minutes ago, GaryC said:

 

I remember that too.  A former colleague of mine, now sadly deceased, had about £250,000 circulating on such cards and the same amount in the bank earning interest.  I think he had something like 50 cards and her reckoned it took him an hour a month to move all the funds.  With interest rates at the time he was earning something like £500 per month...  

 

Sorry about your colleague. I didn’t have that many cards nor that kind of sum. So easy to manage in those days. When I explained this to my German husband many years ago, he thought this was some kind of financial heresy! All legitimate though in those days. I also found another credit card loophole…sadly closed now too.

 

 

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Indeed.  I had about £10k floating around from memory but he literally took any cash advance he could, stuck it in the back and then moved that debt.  Similarly with his monthly shopping. Stuck it on the card, then put the money in the bank and moved the debt.  Took a year to get to his magic total.

 

Also in those days, Tesco would take any coupons from any shop as long as you had no more than £10 face value of any one coupon.  Some other supermarket was drowning its selves in various £1 coupons free to those with empty pockets.  Sort them into £10 bundles and off to Tesco it was.  It was like finding the pot of gold at the end of the rainbow.  He was a specialist in that one too, with a house full of non-perishable items.  I had fun too but did not have as much space as him, so had to be more selective, lol 

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17 hours ago, Gambatte said:

If you manage math, finance is easy. If you're useless at math, no hope at finances and probably you will never be well off.

Not at all. I guess you never lived in the Soviet Union and the post-Soviet countries. We used to have the best math courses in the world. Actually, math and physics (+astronomy) were the only two good courses at the typical Soviet school. 

 

And we have zero financial literacy. The moment the Soviet Union collapsed, the Ponzi schemes epidemic began. People had zero clue. 

 

16 hours ago, Gambatte said:

If you are decent enough at math, you can easily work out all the equations for loan repayment etc etc. Very easily. Only need pen and paper. Without anyone ever teaching you 'finance'. I did it (in fact, I did it using ONLY math I learnt before Abi) and I bet everything that many others did it too.

...If you first understand the 50 pages of legal gibberish. Sorry, no, this is totally not about equations. 

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On 22/06/2022, 16:41:44, Gambatte said:

I very strongly disagree.

If you manage math, finance is easy. If you're useless at math, no hope at finances and probably you will never be well off.


Most of my pre-motherhood career revolved around support, training and specification of bespoke financial computer software. Even a short time assisting computerised audits for PW. After my daughter was born, I became self employed. One service was bookkeeping. As certifications help to acquire clients, I quickly got a distinction certificate from a prominent financial institution.
 

Yet, I’m ridiculously hopeless at maths!

 

I recall attending an interview with the Catholic Church. They required a freelance bookkeeper and property auditor. My interviewer was a lovely elderly accountant. To my horror, he presented me with a maths test. No, problem I thought and got my calculator at the ready. That wasn’t allowed. Goodness knows how I did though we both had a good laugh and I was offered the job anyway. 
 

Maybe I’m  just weird, And, I’ve never been too badly off ;)

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Was surprised to find this past weekend, when I went to buy some burgers for the BBQ, the frozen block house burgers I normally buy had gone up from 4.99 Euros to 8.49 Euros. That's 70% more than a few weeks back. Looking in the fresh section, I saw both pork and beef mini-steaks had also increased considerably. I guess meat in general now becomes far more expensive.

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3 hours ago, scook17 said:

Was surprised to find this past weekend, when I went to buy some burgers for the BBQ, the frozen block house burgers I normally buy had gone up from 4.99 Euros to 8.49 Euros. That's 70% more than a few weeks back. Looking in the fresh section, I saw both pork and beef mini-steaks had also increased considerably. I guess meat in general now becomes far more expensive.

The Bio Blockhouse burgers cost 8.49.  Not the regular ones.  

 

Edit.  Just been shopping.  The 2 pack of burgers which used to cost 4,99 not there.  The 4 x 125 g ones were 6,47.  And the 2 bio ones 8,49.  

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Letter from the gas company arrived: they up our monthly gas bill from 60eur to 170eur.

Not that I didn't know about current energy inflation. But it still felt like a huge shock.

 

In our Edeka:

the most expensive bresaola costs 68.91 eur/Kg (it looks posh and there's probably much profit margin in it, but stilll.)

I bought tin sardines: least expensive 12 eur/Kg, most expensive 45 eur/Kg. I though tin sardines was like the cheapest food. How the hell are customers willing to pay 45 eur/kg for tin sardines...:o

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21 minutes ago, Gambatte said:

Letter from the gas company arrived: they up our monthly gas bill from 60eur to 170eur.

Not that I didn't know about current energy inflation. But it still felt like a huge shock.


That’s the prepayment, not the bill. It’s worth checking out the details as you can change the amount if necessary. In our case, the price per kWh doubled (for the next 12 months)  but the prepayment was tripled. After a phone call they quickly agreed with me and reduced it by 30%.

 

I’m not spending much gas anyway, and in any case I prefer to owe them money than having them owing me a large sum, as the company may go bankrupt and then the money is gone.. I know some people to whom this has happened in the past.

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14 minutes ago, mtbiking said:

That’s the prepayment, not the bill. It’s worth checking out the details as you can change the amount if necessary. In our case, the price per kWh doubled (for the next 12 months)  but the prepayment was tripled. After a phone call they quickly agreed with me and reduced it by 30%.

 

I’m not spending much gas anyway, and in any case I prefer to owe them money than having them owing me a large sum, as the company may go bankrupt and then the money is gone.. I know some people to whom this has happened in the past.

Yes, sure, prepayment.

In fact, already did, I immediately logged online and lowered my prepayment from 170 to 70. Still shocked.

 

Agree. I also prefer owing them gas money than the other way round.

 

 

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A Mass in some Munich beergardens easily costs €10 now. A local newspaper mentioned the ones with prices between €7-8. You can still bring your own food.

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3 hours ago, Gambatte said:

Yes, sure, prepayment.

In fact, already did, I immediately logged online and lowered my prepayment from 170 to 70. Still shocked.

 

Agree. I also prefer owing them gas money than the other way round.

 

 

 

If Nord Stream 1 is not switched on this Thursday, the Euro will crash and Gas will sky rocket.

 

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25 minutes ago, RenegadeFurther said:

If Nord Stream 1 is not switched on this Thursday, the Euro will crash and Gas will sky rocket.

 

Maybe true.

After all wars do have nasty consequences on many fronts.

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