Yet another newbie question about the current economy

[shadowninja]

I was wondering what would happen if I was in debt up to my eyeballs, eg had mortgaged my house to the limit and just blew the lot on cars, champagne and holidays? Or bought a house on 100% mortgage/15x salary plus a bit more for the fun lifestyle?

And then got made redundant?

I am guessing, my house would be sold off for 10p to pay creditors, then I can get various benefits and enjoy daytime TV?

If so, why don't more people do this? Live for the moment, etc...

What I am wondering is should I have just been irresponsible with money? Savers are in trouble now...

[johnfm]

Yes, but savers are probably in less st than 'wasters'.

Ultimately though, savers cannot go to 'the other side'. Playing the benefits system requires a certain mindset - a bit like those businesses that run up huge debts, shut down and start up again the next day and continue trading. You need an ethical screw loose to do it - and many people just cannot do it.

[tamore]

i think there's an old saying..........

in the world of the skint, the one eyed cock is in charge.

i'm pretty sure that's how it goes.

[shadowninja]

johnfm said:

Yes, but savers are probably in less st than 'wasters'.

Ultimately though, savers cannot go to 'the other side'. Playing the benefits system requires a certain mindset - a bit like those businesses that run up huge debts, shut down and start up again the next day and continue trading. You need an ethical screw loose to do it - and many people just cannot do it.

Fair point on the ethics, but you really think savers are in a better position? I just get the feeling that the last to be affected will be the professional unemployed until nobody pays taxes cos we're all out of work and then funds dry up.

[shadowninja]

tamore said:

in the world of the skint, the one eyed cock is in charge.

I thought Gordon Brown had a problem with his throat not his eye.

[marsred]

shadowninja said:

johnfm said:

Yes, but savers are probably in less st than 'wasters'.

Ultimately though, savers cannot go to 'the other side'. Playing the benefits system requires a certain mindset - a bit like those businesses that run up huge debts, shut down and start up again the next day and continue trading. You need an ethical screw loose to do it - and many people just cannot do it.

Fair point on the ethics, but you really think savers are in a better position? I just get the feeling that the last to be affected will be the professional unemployed until nobody pays taxes cos we're all out of work and then funds dry up.

Come the next boom (of which there will be one) the wasters will still be wasters whereas the workers will be able to make hay whlie the sun shines. Difference is they might actually save some of that hay this time.