economy -

T

tygra

Cathlete
Just saw a report on the news that people not in trouble are rare. Without anyone getting too personal if they don't want, are many of you over your heads, sucked in by all the credit given in the past. I know we were....now we have a loss of job and a new house....scary - right now all is being paid, but who knows what credit cards can't get paid if things don't tune up. Which is why my thread on Black Friday, just going for normalcy, but won't buy anything.

Worried.
 
Yeah, the crap pretty much hit the fan for us. DH and I always made really good money but I am in real estate and with the housing crisis, it hit my business hard two years ago, sending me into a downward spiral of self destructive behavior. Things got progressively worse and then DH lost his job this summer.

We had over 40 % equity in our house but with foreclosures and short sales everywhere, our house value plummeted and we are now upside down :mad: therefore DH had to turn down several job offers which required to relocate. I had just started to dig my way out of the hole in my job when a medical crisis hit.

Never in my wildest dreams did I think the economy would hit our family, but here we are. On the other hand, I think we just have to make the best of it, and take it one day at a time. It will get better!

I know a lot of people got sucked into the American "consumerism". I am sure things will change a lot and it really will effect the American way of life or better the American way of borrow and spend. I don't know what they will do though, tighter lending guidelines, less credit, many people with dingies (or worse) on their credit report. Pretty soon there won't be many people left with great credit.

I am hopeful for the future but it sure is a very difficult time for many Americans. I hope things turn out well for you.

And you know, sometimes window shopping and dreaming about what you want to get is as much fun as actually buying it.

Take care,
 
We, thankfully, are doing OK. We refi the house in May, just before thing really went kaplooie. We cut about 200/month off the house payment and paid off my student loans. I still carry a credit card balance, but I can more than make the payments and the card isn't being used. Both DH and I have good credit, and have worked hard to build and maintain it. I quit my job in May, I was in subprime auto finance collections, and had recently switched offices and the new boss was a shady, illegal things doing, witch. I couldn't take it so I quit at the end of May. Probably wasn't a smart move, but I was going to end up in a straight jacket if I stayed any longer. I took me about 2 weeks to find a job in Medical Collections, and I am making about 10k less than I was, but its better than no job. There is also no stress, free medical ins, cheap dental ins, and a 40 hour work week. Before it was at least a 60 hour, salaried (read - free help) work week, filled with stress and not knowing if I'd have a job the next day. About 2 months ago, the evil witch boss was fired, and they called and offered me my job back. I almost accepted bc of the $$, but the industry is so unstable, I couldn't do it. There is no way they could guarantee I'd have a job in a month, and I have a family to consider. I need things to be as stable as possible. So I am making less $$$, but the bills are paid, DH's job is stable and life is less stressful.

I do miss having my play money and being able to spend mostly what I want when I want, however, having a paid roof over my head and a car to drive is more important. I am happy that gas is coming down, it only cost me $23 to flll the tank last weekend, and it was running about $50. So, things are a bit tighter, we don't go out to eat as much, we don't go shopping for something to do, we stay home most weekends, try to find cheaper things to do, but it mostly hasn't changed. Most of the doing was our own, when I cut the family income, but it had to be done. But the house payment fell at the same time, my student loan went away, and I put a lot less miles on my car, so that helps to even things out a bit. Things are all happy sunshine and roses, but I think we are better than a lot of people, and I thank my lucky stars for that.

All that being said, we never really lived beyond our means, except my one BIG credit card issue, which I am trying to not use and pay pay pay. I may carry a balance but it is always paid on time. We live in a small, 2 bedroom, 1 bathroom house, roughly 800 sq ft. There is no need for use to have a 2000 sq ft house, we bought our cars new, but they didn't cost 40k a piece and are relatively low payments (again, thank goodness for good credit, and trade-ins) and don't buy designer jeans, purses and $50 tee shirts. We try to live on our income and not what everyone else thinks we should live one. I could really care less about keeping up with the proverbial Joneses. I am also not saying that things couldn't go bad REAL quickly. I will admit, the savings is small, so if something bad does happen, we are not far off from trouble, either. If we HADHADHAD to, we could live on credit cards for probably a year, but I don't want to test that theory. So, things are easy, and they never were, but I don't think we have it nearly as bad as some people.

In all honesty, I feel bad for the people who just got the short end of the stick, in bad industries, medical issues, etc. But for those who just spent, spent, spent and charged, charged, charged when things were good, and bought huge houses and cars, I don't feel bad. They did it themselves. Call me mean, but that's how I feel. Something are beyond our control, others are well within it.

Woosh, that was long,
Nan
 
We are struggling. DH is in real estate and has been hit hard. I have been looking for work since the summer. Never ever thought I would have trouble finding work, that's never happened to me before. We are carrying credit card debt for the first time in our married lives.

On the positive side, being frugal in general has helped. We had some savings put aside (gone now) and have tapped into our retirement. That's awful of course but it has essentially saved us. We also own 3 rental units that we have good equity in; the rents from there almost pay both our mortgages.

I have no idea what we are going to do in say, six months, if I can't get work and the market doesn't shift some. DH hasn't had a closing in months. He *has* clients, it's just that nothing is moving. It's frustrating because as I said above we ARE frugal and always have been. We think "where can we cut expenses?" and have no idea. We've already ditched cable ( a great thing, BTW) and I do almost all our food from scratch. We never go out to eat, and the last movie we saw was The Dark Knight. A splurge for him is to buy a cigar every now and then and for me it's to buy a shirt that isn't second-hand! If we were taking elaborate vacations and had a luxury boat in the yard I would understand. Sigh.

Oh and get this. You all have heard how Citi Corp is/was about to tank, and the gov is going to save them? We've had a Citi card for years, always paid in full - now, pay on time, since we can't pay in full - been good customers, all that. They sent customers a letter saying they are effectively doubling our interest rate! Can you stand it? I guess they've never heard of a balance transfer. Geez.

Sorry so long. It's nice to share. :) Too all of us struggling remember, this too shall pass!!!

Sparrow
 
Please don't hate - we are doing same as we always were. DH is in the computer business but can fix anything - cars, tvs, radios, etc. so whenever we need money he is very resourceful and always finds things to do, but he doesn't have to do it often. He actually had to work harder to make money before the economy spiraled, years ago, than he does now. He has worked hard to make a reputation for himself so he always has something to do. I am extremely grateful that he works so hard to take care of us, that he is in a career that is steady and very much needed and that we have made wise financial decisions in the past. Gosh, I hope that doesn't sound bad.

ETA that he "trades" with people, eg: dental work or roof work for computer work/oil changes, with our neighbors and friends, so everyone is taken care of.

Missy
 
Last edited:
We have our own business--antiques and art gallery--and we have been hit hard. We own the building and there is no mortgage to worry about. We have virtually no personal credit card debt and the business has limited debt. But right now our income is really down and we just have to be careful about what we buy. Thre are no splurges and I am really glad that I preordered STS because now I would hesitate. Let's just pray that this starts to turn around but I have a feeling it is going to get worse before it gets better.
 
pink_fortitude said:
Please don't hate - we are doing same as we always were. DH is in the computer business but can fix anything - cars, tvs, radios, etc. so whenever we need money he is very resourceful and always finds things to do, but he doesn't have to do it often. He actually had to work harder to make money before the economy spiraled, years ago, than he does now. He has worked hard to make a reputation for himself so he always has something to do. I am extremely grateful that he works so hard to take care of us, that he is in a career that is steady and very much needed and that we have made wise financial decisions in the past. Gosh, I hope that doesn't sound bad.

ETA that he "trades" with people, eg: dental work or roof work for computer work/oil changes, with our neighbors and friends, so everyone is taken care of.

Missy
Click to expand...

Missy, why would anyone hate you for doing well in this tough economy? I think that's *great.* :) Good for you!!

ETA: since your DH can fix anything, please send him over to deal with my finances!! :D
 
being a little wise and knowing when and how to shop as well as planning my driving carefully has helped me keep things in check. we definitely feel a pinch(especially since our utility company was just approve to raise rates 19.5%) but luckly dh has worked hard and two jobs and i have not spent anything i didn't need(other then a couple bucks here and there trading exercise videos). for christmas shopping if i couldn't buy it with cash then i just DIDN'T buy it that week. everything is cash cash cash! no credit cards b/c we are having enough of a time trying to pay down(stupid interest and fees) so the last thing i need to do is charge more and make it harder. we have done pretty well thus far and i am truly thankful. in a way the economy has really helped us see how we were wasting our money especially since we decided to buy a house. we keep things in perspective.dh still likes to get what he wants but we really fight about it more now. usually things work out better when i get him to see my way of things!

to those hit hard(be it in real estates or just lay offs) our prayers go out. it really hurts me more to hear about ppl struggling. i fear what will happen if things don't get better but i really really feel for everybody out there now. i know we have been hit a bit but a change in ideas really has helped(along with family helping each other). i really pray things work out and we all have taken a lesson to not take things for granted in this country b/c its really out of our hands in some things.

kassia
 
I'm doing fine for now. I'm single and share a house with my sister. The mortgage is the only debt right now. I live on a budget. I have accounts and keep track of everything in a 3 ring binder. My budget is based on 20K less than what I'm making. The extra money goes either in savings or helps out with emergency expenses. I make a good salary (better than most in this area) and I've been saving as much as I can. I opened an ING savings account 2 years ago and right now I'm still getting decent interest on it.

My only concern is my job. We are a small company that lives on bank credit. So if the bank goes, I'm sure we will go with it. I'm grateful for this job and I'm saving as much as I can.
 
We are fortunate to be doing the same as we always were. DH is fantastic with money (thank God, because I'm not!), and both of us make really good money at our jobs. We work at the same company, and both of our roles are essential to business, so layoffs are unlikely.

We have 2 mortgages, because we haven't been able to sell our old condo - no surprise in this economy. But we're in the position that we can afford to pay both.

So as long as both of us keep our jobs, we're doing great. We've tightened the belts a bit, to be on the safe side. But overall, we're fine.
 
I have been broke throughout my entire youth.. clients I meet that are in college tell me about trips around the world and I could never even fly to florida for a weekend!

I had *just* gotten to a point in my life where things were looking good.. my credit (despite being broke and struggling) was perfect grade A credit. I had a job that i could finally rely on to bring me "X" every week and I had just gotten a loan consolidation to reduce my monthly debt and open my lines of credit.. seems perfect eh?

Then I figured I could get an apartment (I was living very cheaply with a relative), so I got a beautiful apartment that I absolutely loved!
Roommate of course (I wasn't that well off yet :)

I later got some beautiful furniture and I was planning on gradually furnishing the whole place and making it "home", maybe even the following year have the money to have the place to myself.

Then it happened overnight: I "lost" my job and my paycheck got cut in half (or less).
Subsequently I couldn't afford my modest apartment I shared with a complete stranger. The gas bill (which im still paying on it and I moved out in the spring!) was getting out of control.
I used my paid off credit cards to get me though until things "got back to normal".. but they never did.

So here I am, living with relative (a little pathetic at my age)..
-apartment is gone
-furniture is gone (sold for peanuts)
-credit cards are maxed
-more debt than before (add loan for consolidation)
-paycheck is still less than half what it used to be

Id say I got hit, thankfully I have no kids to care for or a house to have repossessed.
I cancelled my last two dentist cleanings, Im driving a broken car with faulty vent (no heat sometimes) and every other month get harassed by debt collectors. I get caught up and then the $$ just doesn't come in and then I get all those fees all over again.

Its embarassing as all hell. Ive *always* been very reasonable and responsible and this hurts my ego a bit.
Granted I was always broke and never had much, but the bills got paid.

I had a lot of projects I wanted to start, both for perosnal fulfillment and for business enhancment, but everything has been on hold for over a year now, and might never happen.

I even had to go two weeks without protein powder!! (grr :mad:)

I quit a few social things I did regularily cuz I couldn't afford to pay the dues, I was embarassed!

My entire life plans have been completely turned upside down.. I didn't want to spend the 'best years of my life' with no money and nothing to do (everything costs money).
I had goals and ambition and I have to put it all on hold until I have the money to pursue. Once I can get ahead enough to breathe, then I will consider what I need to secure the next months bills, then I might be able to think about all the rest :-\
Its very frustrating but yes, I feel for you all!
 
We are OK. We have a mortgage and have about 40% equity, we have a car loan under 10,000 only because a young lady crunched up the one I had just paid off last May...:( The new car gets 30 MPG though and I use an incentive program at the grocery store to get cents off my gas, so paid .379 to fill up yesterday. No credit card debt, have college 529 for the kids. My 401K looks like crap, and so does DH's, but I had moved an old IRA out of the market last January to a CD at a bank, so it is doing well and we have time to recover. Jobs look stable at this point, but after the stuff we went through a few years ago, we have quite a lump of cash readily available in case something bad happens on that avenue.

We have always been extremely frugal, and have taught our kids the same, so hopefully we are good. I have co-workers who are struggling and it is sad....nuff said, gotta work to keep this job!
 
I work in one of the supposedly "recession proof" industries where there is a lack (at least in our area) of qualified and talented people that do what I do so my job is as secure as it was before the downturn. My DH, however, is in sales and his business has gone down the tubes. He will probably make less this year than he has in 8 or 9 years and this is definitely taking a toll on him. We are fortunate that we are not both in the same business.

We didn't max out our mortgage when we bought our house a few years ago and bought just before the market went haywire so we didn't overpay for it, we pay off our cc each month and our cars are paid off so we are okay to hunker down for awhile, hopefully not for too long.

Good wishes to those struggling right now. I'm hopeful we'll see a turnaround sooner rather than later.
 
doing good here too.
dh works hard to bring in the bucks and i work hard/budget to keep em in our pockets.
we have an auto-deduct program to save 20% of what he makes. really helps to have the "forced" savings.
we have no debt except for our mortgage (vehicles are paid for) and we have never had a credit card balance.
 
Last edited:
We started out broke when we first married, so the habits we were forced to cultivate for those first 10 years ended up helping us down the road. We continue to live below our means.
 
As long as my dh isn't laid off this winter, we'll be fine. Thankfully, we have never lived off credit cards. We bought our house 11 years ago, the old fashioned way... with blood.:p;)
 
I feel your pain for all of you having a rough go of it. I too, am having a tough time. I have been laid off for the second time within 12 months...and it's upsetting and frustrating. I am a designer and the architecture/Design field has all but collapsed during these tough times. I have been unemployed for 2 months now...keep applying for the few jobs that are available, but with no luck. Luckily I have no credit card debt and really saved some money from last Dec. when I was previously laid off. Hubby's job is ok for now...they will re-evaluate his position after the 1st quarter of next year. Because I was laid off before Xmas last year, we didn't exchange any gifts in 2007; same goes for this year. Unfortunately, we won't be helping our economy by spending money on gifts this year

It's also good to hear that some of you are doing well!!! Makes me feel that there might be hope someday.

Anyway, I still have so much to be thankful for and am aware of that on a daily basis!!! Happy Thanksgiving everyone!!!

Rhonda
 
My Dh is a self-employed handyman. He is usually slow during the holidays and rainy weather (which we get a lot of in Oregon :p) We have been able to pay our bills, but no savings or extra. We have always lived paycheck to paycheck and always seem to have just enough. If things get too bad, we'll have to do something drastic, like move in with his parents!!! :eek: But at least we do have family that would help in that way. Best of luck to all of you and kudos to those who are doing well and have been able to save for the tough times!!!! :)
 
I was maxing-out on overtime for months when I paid one credit card late. At that point, all my interest rates quadrupled. Then ALL the overtime was cut out and that was it for me. The really sick part? I can't file C7 until next April because, with all the overtime I used to work, I made "too much money" to qualify to apply now. Meanwhile, I'm doing the best I can to stay affloat, while taking phone calls. My late mother, who passed four years ago, used to say "I don't know what THEY think people are going to do." I'm actually glad she's not around to see this. If misery loves company, the room's at maximum occupancy. At least half of this is my fault (how many times was I warned not to RELY on overtime) but it's a bit late to cry over my puddle of milk now.
 
Last edited:
You must log in or register to reply here.

Our Newsletter

Get awesome content delivered straight to your inbox.

Top