Widely Accepted Financial Habits That Make You Cringe

>using credit cards as an "emergency fund" instead of saving up one

>Financing new cars because used cars are all lemons. Trust me even though I can't even change my own oil you NEED a $30K car to get back and forth to work.

>Refinances on their mortgage for "free" money.

>Uses leftover student loan money to buy laptops, clothes, cars, etc.

>using credit cards as an "emergency fund" instead of saving up one

I don't understand this. I guess most people don't have an emergency fund in the first place. Why are people so dumb?

Never understood the whole financing new cars thing

You're basically renting someone else's Merc and pissing money down the drain just to look cool and wealthier than you actually are

My mother is from a poor country and even after living here for 20 years she cant get out of the habit of stockpiling meat/veggies in the freezer when there are deals in costco or the supermarket.
Its literally just her and my father in 1 house hut the refirgerator, freezer + large additionalfreezer all remain perpetually full of frozen chicken/beef/pork

She bluntly told me it was a mental issue from living in that sort of country but for some reason that annoyed me. Like it was unsolvable and a fact of life

t. Honda Civic driver

>majoring in civil engineering

>buying crypto

>reading Dave Ramsey

>thirty year old woman who buy 300 bucks worth of make up every month

Only a Veeky Forumsposter could criticise somebody who works to save money.

>>Financing new cars

This is actually good logic.

Not sure about 0 percent anymore, but you can get car loans for 1% if you have decent credit.

As long as you can earn more than 1% on your savings, financing a car under low interest makes perfect sense.

Again... what's hard to get? Honda still gives you 1 or 2% financing and many other auto dealers will match something close...

If you can finance something for less interest than you can earn, why wouldn't you?

>be me in college

>literally EVERYONE I talk to has shit financial skills

>"lol i'm so broke! it's fine tho, i'm living on ramen. i don't have time for a job haha" like they're proud of it

When they say they're broke, ask if a broke person owns a $2000 phone and computer. Then ask them what kind of iPhone and MacBook they own

Rekt

Whenever it's payday, normies squander all their money.

I don't understand how so many of my friends are "poor". I swear they all are. And by poor, I mean they just waste their money on stupid shit. I swear to God, children don't grow up, they just become adults with an income.

>If you can afford to rent a house instead of buying a mortgage, why wouldn't you?

Because you don't own shit and you're pissing money down the drain to perpetuate the farce of being wealthy.

Everyone wants to be a rich Hollywood celebrity and they're prepared to waste all of their money role-playing

My roommate makes $60K a year but blows most of it on in game purchases in mobile app games. I guarantee you he's spent at least $5,000 on Clash of Clans.

My Brother is the same exact way. He makes around $40K a year. Not bad and could live on his on, but he still lives with our Dad and spends his income on putting stupid shit in his beat up car. Just spent $1,600 on a touchscreen head unit when his car probably has a KBB value of $1,200.

KEK. Why is this so common? Are we really that brainwashed by the media. Do we really have to keep up with the Jones? That's why when I hear about how little savings the avg. American has I just laugh it off.

>Uses leftover student loan money to buy laptops, clothes, cars, etc.

Kek, I'm guilty of this years ago, I've paid it all off. My friend was even worse though, he bought stocks and lost big on student loan money.

I think you're stuck on the concept of ownership.
The guy gives a good example, if you can finance the honda for 1%, and use the money you would have used to buy it outright to make more than 1%, then you come out ahead. Ownership is a "feel", while money talks.

>what is the time value of money

Nah ownership is actually a legal construct that has value. Look at anyone who gets evicted or has had a vehicle repoed for falling behind on payments for whatever reason and tell them ownership is worthless.

Maybe it's not the most financially 'optimum' thing to do but I'm a firm believer that outright ownership of a vehicle and a shelter is a financial priority because I've seen too many people left with nothing when their investments tanked and they lost their job.

If you're talking about people that can't afford BMW's and financing them as the alternative, you're correct.

But even if you can afford a new BMW for example, its still a smarter choice to financing it rather than buying it out right.

Same goes if your financing a civic, with low interest rates, its smarter to finance it. No one tosses 20,000 out right on a car to save 2% interest unless you're retarded.

You can't truly understand poor people until you've lived around them.

Beer, cigarettes, and weed are the first line items on their budget on payday, before they ever even begin to think about food, rent, utilities.

Poor people buying food is an anomaly of nature. They only buy overpriced processed food, such as little debbie, frozen dinners, and frozen pizzas. The concept of vegetables is a joke.

They could buy half a years worth of healthier foods in bulk instead of spending it all on junk food, but they refuse to cook or meal prep

Their poor nutrition causes them to have horrible health, which leads to them requiring expensive health care.

Poverty is as close to perpetual motion as you can get.

The left has convinced them that the evil business owner's are the reason they keep losing ground.

I'm talking about the people that can afford cash. You still finance. The math in the example I gave is pretty simple.

Dude, rich people all leverage up the ass... that's a part of why they're rich.

It's just ignorant to assume all debt or financing is bad.

I make $120k, literally twice as much, and wouldn't even spend past $100 on Clash of Clans.

Paying for streaming music and video services when piracy is free and second hand movies and cds are inexpensive and work out cheaper for the average consumer.

>Beer, cigarettes, and weed are the first line items on their budget on payday, before they ever even begin to think about food, rent, utilities.

So true. If you have liberal ideas about how poor people act you are wrong. Poor people know they will be able to eat somehow some way, they know they will be able to sleep somewhere. But hey the liquor store closes.

>Thinkpad from Christmas 2012
>iphone 4 I got for free because the screen was chipped and put a Tracfone card in it.

Nope, still broke.

>My roommate makes $60K a year but blows most of it on in game purchases in mobile app games. I guarantee you he's spent at least $5,000 on Clash of Clans.
wtf

>buy shitbox
>friend teaches me how to wrench
>never again cursed with the shitbox meme

>Refusing to open an account with a bank, rather dealing with cash anywhere and everywhere even for wire transfers, racking up massive handling fees, losing overview, inevitably getting their wallet stolen with their money for the whole month

>Being poor and having pets. Not *a* pet, multiple pets, usually dogs and exotic animals, and feeding them all with expensive canned food.

>Buying furniture, electronics and cars on financing/installments, not realizing they're easily paying 20-40% more over the course of a few months.

>Having debt and booking expensive exotic holidays at least once a year.

>Buying the shittiest products available (clothing especially) which last only a fraction of a slightly more expensive quality product.

>Spending big on entertainment (cable tv, tickets to some sporting team they're a die-hard fan of)

>Gambling.

Does it show that I'm a landlord in the bad part of town? It's fucking tough. With a little financial literacy you can literally *see* how they could pull themselves out of the slum. The money's there, they're just pissing it away, literally taking every opportunity they can to pay additional fees, not getting discounts, paying in installments, never buying in bulk, etc. I can see for a lot of people how it's a hamster wheel, how once they start, they can't quit living paycheck to paycheck. They're already beyond redemption before they start falling victim to payday loans or paw shops.

To each their own.
His freedom is the same as anyone making 60k.

Well goy, it's because all those poor people are working their minimum wage jobs. I mean, to create an emergency fund, they'd have to cut their NFL unlimited access package or stop going out to eat once a week. We can't ask them to do that. It'll be much better for our investors..err... I mean the common worker if they just get a credit card that puts them deeper in debt.

Same here. Holy fuck normies are retarded.

>classmate complains about not being able to save money efficiently
>he is hungry so I tell him to buy something cheap but healthy
>DOESNT LISTEN
>'I guess I'll buy a muffin instead :D!'
>piece of chocolate shit is overpriced
>'damn I wonder why do I fail to save money:('

Jesus Christ it's not even that hard. Same goes when they tip more than they should

My friends waste their money stupidly on LoL DLCs and weed.

But wasting your cash in Clash of Clans is pure stupidity.

>>Refusing to open an account with a bank, rather dealing with cash anywhere and everywhere even for wire transfers, racking up massive handling fees, losing overview, inevitably getting their wallet stolen with their money for the whole month
im 19 and i see adults do this
seriously wtf, some banks dont even require a deposit, and if they do its like 50 bucks.

>investing into any crypto, espetially russian scam that is etehreum

It sucks being poor, or close to being poor actually. My family lives from paycheck to paycheck and I blame my mother for the most part. She takes loans and buys useless shit, she's retired now and my father works his ass off and is overworked and getting sick because of it. I'm not sure how she's able to get loans anymore even. I think the total sum of debt is around 90 000€-110 000€. I'm planning to sell off their house when they die to pay off the debts. It should cover the debt and leave some over for me too.
Currently I only have about 10 000€ to my name thanks to grandparents putting some money into funds. That money is for when I enroll at a university. I've been investing a part of the money I have in stocks. It's too early to tell if my investments have gone well since most of my investments are on long term.

Anyways sorry for the long text. What can I do in this situation I'm in? I believe this situation is not too uncommon.

>fat women who buy makeup

You can slather on all the cover girl you want. It isn't going to hide your fupa and it isn't going to make any man want to fuck you. they'd be better served to carry flasks of vodka and give them out for free if they wanted a man to find them attractive.

>buying a rapidly depreciating asset brand new
>not waiting for the depreciation dip in the lifecycle

What a retard. Doesn't matter if it's financed or not, new cars are for morons.

I never understood living paycheck to paycheck. And I make well below the poverty line. Like just manage to save up one week's worth of paycheck, bam, problem solved forever. Personally I have 6 months of living expenses saved.

This. Poor people deserve to be poor, 100%. It blows my fucking mind... We never had food when I was a kid, or money to turn the heater on, because my fuckwit parents bought cigs, booze, movie tickets, lottery tickets, and impulse buys instead.

>multiple pets

Every poor person has like 3 cats and 2 dogs. Not to mention the inevitable vet bills that come "so sudden and unexpected! Who knew this old-as-balls cat would get ill!" and bankrupt them.

>Buying the shittiest products available (clothing especially) which last only a fraction of a slightly more expensive quality product.

Feels bad. This is my dad. He has roughly 35 flashlights and none of them work. He does this shit with everything. He even bought shitty walmart knives. I was using one and the blade separated from the handle and flew back at me, impaling into the floor next to my feet. I could have died. That was years ago and I'm still salty about it. Some things are worth spending slightly more money on, jesus christ.

It is only a saving if you actually end up eating it.

Frozen food does still have a shelf life, so there is a risk of significant waste. Also, one power outage and she could lose both freezers worth of food.

She could very easily end up losing more money than she is "saving".

>I'm planning to sell off their house when they die to pay off the debts. It should cover the debt and leave some over for me too

debt is not inheritable in first world countries
You might need to move
Or keep a cash stash that you don't tell either parent

Pic unrelated

Can't get it taken by the Feds if it never hits the bank.

Enjoy your wage garnishment and/or federal prison courtesy of the IRS

The only way for that to be true is you get paid "under the table", and the IRS does not fuck around with their tax revenue

Then again that shortsighted way of thinking is why many become/stay poor

Agreed, a poor person who isn't a complete fucking idiot won't be poor for long.

I was born in the USA, in a rich family and I still do this.

Bet your mom's Asian or indian

when I got my first job I thought my pay was pretty high because of how easy it was to make my budget work, but I calculated it and I was wayyy under the poverty line. most people there probably dont even make a budget.

>fresh outta college boys who have to buy a new car from the showroom, instead of buying low miles used and saving heaps
>people who have a morning coffee, bug breakfast and lunch, spends $40 on food at work
>new phones
>new clothes

I really dont get peoples obession with just buying new shit. Like new clothes. you should know what clotehs you have and what you need. Wtf going to the shops and just buying shit cos your bored

Not that guy but my mom is Asian and does this. It's very annoying. I even let her know I'll never eat that meat when I can walk to the store and get fresh meat.

I guess my impatience makes it hard to see the big picture. I see a new thing and I want it now right now I can not wait. I am starting to learn to be patient and if you don't have it in cash you can't afford it idea.

> Doing anything but buying a car in cash
> Buying a new car (unless you have "fuck you" money in which case, buy away

> making anything over $50k a year and still living paycheck to paycheck
> always assuming there will be another job so you just spend what you have

> Still using a debit card, when we now have 2% back credit cards, like hello people it's free fucking money.

> going to college and getting anything other than a rock solid job ready degree

i only started getting somewhat financially responsible when i got into my early 30's. before that i blew everything on booze and shit cars.

i think a lot of it is a maturity thing, unfortunately it took me a long time to grow up. i also moved cities, which i think gave me a new start.

saving is like working out - easy to do once youve already got a year's worth of results and are keen to see more. starting sucks and its just so much easier not to

I am an Asian immigrant now residing in the USA. My family still has a hard to shake habit of financial instability. My parents work in the medical field as nurses and private, in-home nurses. They both make around $70K annually.

But we all live paycheck to paycheck. They were born poor and had tons of siblings. The habit is hard to break because if you grew up poor, that's all you've understood and known to be true.

Just dumb shit like randomly spending an entire Saturday shopping and buying random expensive bullshit just to spruce up the house when the house is already filled with furnishings. I buy a $2K 90s wannabe racecar bullshit car and put $4K in dressing it up. My brother buys brand new clothes when he doesn't even go out to meet people much and buys top of the line PC hardware every year.

None of it is going towards the advancement of our careers or the betterment of our lives. It's the sheer high of being "free" in a capitalist country which gets you. It also bleeds into the abundance of food and health problems. We're learning, albeit slowly. I am leading the charge as the first to actually attempt college education. It's definitely a challenge, especially if you aren't white. White people seem to have this logical instinct embedded into their upbringing which is completely different to other cultures.

>Why would you buy "X" expensive thing when-
>Why would you do that and spend on that?
>etc

That's a redpilled activity though.

>buying the latest smartmemephone because it has X new feature than the last one
>costs $2000 instead of $1200 last model

>Buying and hoarding $500 sneakers for the hype
>yfw not realizing you're getting jewed for thin layers of fucking foam and Chinese child labor

>eating any fast-food
>ever

>watching shitty generic AAA movies at the theatre at release
>At the fanciest theatre and fanciest IMAX display too and falling for the 3D meme

>buying a brand new car and only having it serviced at the dealership
>getting jewed for tires and shitty Mexican handiwork in the back

>buying the latest smartmemephone because it has X new feature than the last one
>costs $2000 instead of $1200 last model

>eating any fast-food
>ever

>watching shitty generic AAA movies at the theatre at release
>At the fanciest theatre and fanciest IMAX display too and falling for the 3D meme

Holy shit I can not emphasize how much I have seen this shit happening.
And the thing that really gets me is when they see you as the weird one when you don't do any of that shit because you know it's not a good idea.

>hurr durr I don't care what car I drive, as long as it gets you from A to B

I HATE people like you, looking down upon people who try to make their morning commute a little more fun. Here's a thought for you:

Life is also just going from A to B, you go from birth to death. That doesn't mean you can make the journey a little more fun.

There are ton of things you can spend money on that make life more fun that either hold their value or appreciate in value.

All expensive cars (that you drive constantly) do is become worthless over time. Also this isn't the board that caters to the mentality your referencing, which shouldn't come as a shock.

You can buy a car that you will enjoy without buying a new car. Equally buying a new car is not always a bad financial decision.

Spending extra on a car can be ok, provided you can afford it. Going into debt over a car is a poor decision.

Do people really cash their student loan refunds?

I always let that shit rot until it expires then the school emails me saying they're returning the money. Rather pay now than later if I'm not investing that money.

How does buying a new mercedes make commuting more 'fun'?

Are you really so insecure?

Sales come often enough that they are wasting money on the electricity running multiple freezers, especially with only two old people. Fuck, if they just dedicated the rest of their lives to exhausting the stockpile they might still not make it.

Nigger they work a side job for cash or they cash checks at Big Frank's money for nuttin Ghetto Emporium while collecting welfare. The IRS thinks they're broke, the court system thinks they're broke, but in reality they smoke $50 of weed everyday and get their meals delivered by federal workers.

Banks are just another snitch.

Brand new cars in general. There is no reason to get one at all, buy one at 3 years old and let someone else take the massive depreciation hit while enjoying a pretty nice new car that will last for years if you buy sensibly and keep up with routine maintenance.

>"my 3 year old car is getting unreliable, it needed tyres and brakes. Better get shot of it and get a new one"

Reminder that if you don't consume 24/7,
buy cars and $1000 phones on credit,
you're a virgin loser who will never get laid,
and American Jesus hates you too

It doesn't get to become worthless over time, because after 2/3 years the dealership offers you a new car, in Britain at least.

I have no idea how that system works, so I won't comment on it. There is no such thing here though.

I live in New York, make 28K a year (at my full time job) but I more than double that working 80 hours a week, I invest in the stock market and work on the side buying and selling cars, I own my own house and I'm 21. Being poor now is almost not even about how much you make, it's how you use it. Every single person I know thinks I make over 125k a year, but I dont. I rent the basement of my house out, I use that wrapify shut around my commuter car for an extra 600 a month, I day trade (sort of) through Robin hood. I buy cool shit that I like for much less than it'd worth, and sell it for more if the time arises. I make shifty click bait YouTube videos, the house I bought was cash only, where I lied, took out a personal loan, fixed that shit up on my own time with materials from my place of work. Being poor is a choice. It really is.

They don't exist. No degree is career-assured. In today's world, it all depends on bullshit like networking/contacts, relevant work experience, work placement/internships, grades, extracurricular engagement, university attended and so on.

Basically you lease car a car and after a few years they offer you an upgrade, so you get a newer car for the same cost or a better car for a little bit more. You never own a car but you always have a new/ish car, and the dealerships happy because they're getting revenue forever

Used cars are cheaper in the long run.
Never buy a car less than 2-3 years old.

The point is, you don't need to keep upgrading to a newer car after a few years. (The same is true of iphones, TVs etc - it's all a con to keep you spending).

You would be better off buying a used car and keeping it until it dies.

>If you can afford to rent a house instead of buying a mortgage, why wouldn't you?

Are you fucking retarded? Financing a car means you own it at the end of the loan, just like a house with a mortgage. Sounds to me like you have no idea what you're talking about.

Have you ever driven a new merc? Its an entirely new experience compared to driving a beater my guy. Its more relaxing, less noise, overall just a better drive.

Fraud and theft? Well done mate


(Fraud lying to get the personal loan and theft robbing from your work)

You cant grt Personal contract hire, business contract hire or hire ourchase on houses m8. 'On finance' could be any of those three

>mfw my 2002 Honda Civic only has 2 doors

Leasing a car and financing aren't entirely the same thing. When someone says "finance" a car it is generally assumed that they signed a contract for an installment loan to pay off the car. If they leased it then they would just say they leased it.

I've only heard of it being called contract hire in the UK, I think in the US we just call it a lease.

the middle class west is fucking finished. Stuck between retard gibs below them and globalist elites above them. No wonder it's being hollowed out.

"fresh"
Its been in storage freezers, then truck freezers, then store freezers, its around as fresh as the one your mom stores you ungrateful fuck

Who are you to tell someone what is or isn't fun for him? Remember that a lot of people a car isn't a means to an end, the car IS the end. Buying a nice, expensive car is for a lot of men THE incentive to make money.

Who the hell said anything about a Mercedes?

>friend wants to buy $900 gold grillz
>mfw

It's fucking mind blowing to think about how people just blow money on useless shit

fuck your friend in the ass

>worrying about being such a fuckwit that you can't pay on time

>financial priority

I think your financial priority should be a vasectomy you retard.

>live in Sweden
>you can't rent apartments here (except second hand)
>people buy condos in the middle of a bubble
>"but it's an investment! the prices can only go up, people need somewhere to live, just think of all the immigrants!"
>mortgage rates at 1,7%
>if they go up by 1%, we will have a major financial crisis
>meanwhile, people don't want to invest in the stock market or any other funds than bonds, because, "it's risky, what if it goes down"

>Paying for a data plan.
Just live off the free wifi you get around every corner.
>Buying every new product from X company
>Just straight up buying a new car that will lose 50% of its original value in a year

Lol no having a nice car is good. Its people who are idiots are fall for the NEW THINGS impluse decisions and dumbasses who think buying on credit is good

>drive a ford fiesta ST
>cost $17000
>retails new at $28000
>bought it with 3000Kms on the clock
>flew to a different state to get it
>friend on same salary
>buys a brand new BMW 2 series
>one fianace $300 a week
>car is like $40K retail new
>dropped 5K just because it new and he gotta pic the interior colours
>my car is faster in a straight line, faster around corners and has more room
>BUT MINES NEW AND HAS A SHINY BMW BADGE

This user knows the truth

>Ford Fiesta ST
>$28,000 new

What a fucking rip off.

>The point is, you don't need to keep upgrading to a newer car after a few years. (The same is true of iphones, TVs etc - it's all a con to keep you spending).

I disagree. The lifespan of a well maintained car is like 20 years. The lifespan of a phone is like 3-4 years. You do not need to upgrade your phone every year, but it is definitely worthwhile to do it every 3 or so years. Just the same with a car, you don't need to always buy brand new, but upgrading every 5-10 years can keep you in a far better vehicle for a relatively minimal extra spend.

Marginal utility is a more useful concept than absolute cost.

enjoy your garbage stiff-suspension that takes years off your life by adding stress to your commute while he lives longer and gets the pretty girl in his cushy ride

>Insurance

Because if you got out more than you put in then insurance companies wouldn't be for-profit, you're literally taking a gamble that Statisticians and Actuaries with PhDs are trying to make the slimmest chance possible

Insurance is only good as forced savings if you have no willpower

Firstly insurance companies typically operate like banks, in that the money that they take from customers is reinvested with the intention of deriving profit. You are not necessarily paying more than the value you receive because the insurance company can in all likelihood manage that capital for a greater return than you could manage on your own.

You buy insurance to protect against a significant negative downside. It is like an inverse lotto ticket, where you are guaranteed that you won't lose big.

> debt is not inheritable

Errrr, many countries have laws where you can choose to inherit.
If you choose to inherit you get both assets and debts

whats wrong with civil engineering?

Graduating in May and have job line up in subdivision site design

>just to look cool and wealthier than you actually are

Welcome to how the vast majority of people think. Fucking morons the lot of them

Why would you ever choose to inherent if the estate debt was greater than the assets?

Generating higher returns than you could on your own inclusive of the salaries they're paying out to their employees?

I don't think so user, not even bringing into it them declining claims

E M O T I O N S

value is subjective
Maybe grandpa has a really nice old timer but 50k of debt.