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Realistbear

High Earners In Ireland Go Without Food And Heat

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http://www.breakingnews.ie/2006/03/22/story250432.html

Warning about debt and rising interest rates

22/03/2006 - 09:19:28

The Money Advice and Budgeting Service has reportedly warned that many people could find themselves struggling to make ends meet in the event of further interest-rate rises.
Reports this morning said a significant
number of people seeking help from the service were earning more than the average industrial wage of €30,000
.
Some of these people are reportedly being forced to
cut back on food and heat
because they are struggling with repayments on mortgages and personal loans.
The Central Bank has been warning for several months about the high levels of debt in Ireland and the effect this could have in the event of an economic slowdown.
This morning's reports said the MABS was now warning that
expected increases in interest rates
during the rest of this year could leave many people unable to meet their day-to-day living expenses.

So much for the wealth and happiness that HPI has brought to Ireland. How is it any different in the UK? Its coming to an end and there is going to be a terrible price to pay in terms of ruined lives and a debt hangover the extent of which will blow people's minds. It will take generations to recover.

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http://www.breakingnews.ie/2006/03/22/story250432.html

Warning about debt and rising interest rates

22/03/2006 - 09:19:28

The Money Advice and Budgeting Service has reportedly warned that many people could find themselves struggling to make ends meet in the event of further interest-rate rises.
Reports this morning said a significant
number of people seeking help from the service were earning more than the average industrial wage of €30,000
.
Some of these people are reportedly being forced to
cut back on food and heat
because they are struggling with repayments on mortgages and personal loans.
The Central Bank has been warning for several months about the high levels of debt in Ireland and the effect this could have in the event of an economic slowdown.
This morning's reports said the MABS was now warning that
expected increases in interest rates
during the rest of this year could leave many people unable to meet their day-to-day living expenses.

So much for the wealth and happiness that HPI has brought to Ireland. How is it any different in the UK? Its coming to an end and there is going to be a terrible price to pay in terms of ruined lives and a debt hangover the extent of which will blow people's minds. It will take generations to recover.

mate have you been drinking? CUT back on food and heating is what it said NOT GO WITHOUT!!! so why the exaggerated title to this thread AGAIN...

Edited by beenhearingthisforyears

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The Central Bank has been warning for several months about the high levels of debt in Ireland and the effect this could have in the event of an economic slowdown.

Where were the warnings over the last few years that may have prevented people (and the economy) for gettting in this mess in the first place?

If you are not part of the solution you are part of the problem.

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And we've only had two tightens of the credit screw so far....four more to go, then armageddon.

It's not too late to sell that three bed-semi in Dublin, bank your million Euro and go around the world. By the time you get back you won't recognise the place.

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And we've only had two tightens of the credit screw so far....four more to go, then armageddon.

It's not too late to sell that three bed-semi in Dublin, bank your million Euro and go around the world. By the time you get back you won't recognise the place.

That is just so darn true

Someone should tell the speculators you only gain when you cash in.And ireland just now looks in a worse state than the uk, there housing rose faster and higher.

The real trouble though with housing debt is most people would sell there grandmother first before losing there home.So before the crash everything else is bound to happen.Unsecured debt taken to the max, 2 jobs then 3.everything being sold on ebay, even the wedding rings will be pawned, and the parents will be begged as hard as is possible to bail out.There will be switching of mortgages, claiming of benifits, fiddling of tax and taking in of lodgers.

I think were already in the desperate stages with all above already been done or getting done by many.And i believe the crash is already underway

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mate have you been drinking? CUT back on food and heating is what it said NOT GO WITHOUT!!! so why the exaggerated title to this thread AGAIN...

He is just using a bit of VI spin. Why not?

If they have cut back on food and heat then there is in fact food and heat that they have gone without so it is not an exaggeration. Just depends on how you look at it :)

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well in that situation first thing ya do realy is dump all the cc and tell the companies you cant pay.

This is what is so frightening about MEW, its secured debt, if you cant pay your credit cards well you just get a ccj, This is why banks love MEW.

edit

In fact if your in the house you will keep for life, and your happy there and its paid off, quite frankly you are as well to take out as much unsecured debt as you like and then just dont pay it off, have a free ball on it.I think that loads of people have done just this.

Edited by homeless

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mate have you been drinking? CUT back on food and heating is what it said NOT GO WITHOUT!!! so why the exaggerated title to this thread AGAIN...

Well technically speaking CUTTING BACK can mean going without certain food stuffs. In fact it can mean they live off nothing but porridge and water and for heating they put extra clothes on and jump up and down on the spot.

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He is just using a bit of VI spin. Why not?

If they have cut back on food and heat then there is in fact food and heat that they have gone without so it is not an exaggeration. Just depends on how you look at it :)

I could not have responded better!

Cutting back means exactly that. There will be times during the day when heat is turned off and a meal skipped--thus going without on those occasions. :)

Again, the POINT is that HPI is causing some very serious an unforseen hardships and when people go without food and heat to pay off their mortgage it triggers some awoogas here and there.

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mate have you been drinking? CUT back on food and heating is what it said NOT GO WITHOUT!!! so why the exaggerated title to this thread AGAIN...

Go without sounds much more promising than cutting back. He should have gone another step, and said that the Irish were starving to death!

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I could not have responded better!

Cutting back means exactly that. There will be times during the day when heat is turned off and a meal skipped--thus going without on those occasions. :)

Again, the POINT is that HPI is causing some very serious an unforseen hardships and when people go without food and heat to pay off their mortgage it triggers some awoogas here and there.

I seriously doubt they will miss a meal to save money.

Cutting back implies 'buy cheaper food"

Have you never heard of Irish Stew?

It's a cheap meal...

http://en.wikipedia.org/wiki/Talk:Irish_stew

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He probably means turning down the thermostat by one degree and substituting Tesco’s finest Chicken with Pancetta & Mozzarelle and an Italian Pinot Grigio with some healthy home cooked Irish Stew. Absolutely shocking to be reduced to this by HPI! ;)

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And we've only had two tightens of the credit screw so far....four more to go, then armageddon.

It's not too late to sell that three bed-semi in Dublin, bank your million Euro and go around the world. By the time you get back you won't recognise the place.

Don't forget the SSIA splurge that will dampen the IR rises.

Calling time on a bubble is the hardest game in the world.

High earners are defined as above average earners????

I thought high earners would be in the top quartile at least. 30k yoyos wouldnt get you a nice shiny new car in Ireland.

From todays irish indo

Higher earners forced to cut back spending

Paul

Melia

THOUSANDS of high-earning couples are being forced to cut back on food and heat because they are struggling to make ends meet.

The Irish Independent has learned that a growing number of couples earning up to €60,000 a year are being forced to cut back on basic household essentials because they are unable to make monthly mortgage repayments and car and holiday loans.

Yesterday the Money Advice and Budgeting Service (MABS) warned that if mortgage interest rates rose further - as they are widely expected to do - many people could find themselves unable to meet their day-to-day living expenses and could find themselves with unserviceable debt.

The Society of St Vincent de Paul said people were so financially stretched that it was 'scared witless' of a hike in interest rates or widespread job losses.

Our growing indebtedness - we owe over €115bn according to the Central Bank - means that if the economy slows down, the implications could be catastrophic for thousands of families.

Over a third of the 16,000 new clients which come to MABS every year are people earning more than the average industrial wage of about €30,000 per year.

However a spokesman said that some families were so cash-strapped they were forced to cut back on essentials like food and heating.

Most have borrowed heavily in order to secure a mortgage, as well as taking out loans for a car or to furnish their home, while also juggling lifestyle and childcare costs.

But apart from servicing loans, other day-to-day living expenses - such as school fees, gas and electricity bills, transport costs, fuel, health insurance and weekly shopping bills - take the remainder of household incomes meaning that in the event of an emergency, there is no spare cash.

Meanwhile, President Mary McAleese warned yesterday that many people were still suffering despite Ireland's economic success over the past few years.

The poverty and mass emigration that was a familiar part of Ireland's story has rapidly changed over the past decade.

"But just as these successful times did not appear overnight or without considerable hardship on the way, neither are they a comfort blanket which covers everyone," Ms McAleese said, as she addressed the 10th Anniversary Conference of Clann Credo, the Social Investment Fund at the Park Inn Hotel in Dublin's Smithfield.

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High earners are defined as above average earners????

THOUSANDS of high-earning couples are being forced to cut back on food and heat because they are struggling to make ends meet.

The Irish Independent has learned that a growing number of couples earning up to €60,000 a year are being forced to cut back on basic household essentials because they are unable to make monthly mortgage repayments and car and holiday loans.

€60,000 per couple is €30,000 each which is only just over £20K salary. And it says 'up to' €60,000 so not even earning that much.

Since when has £20K made you a 'high-earner'?

Stating that people earning under £20K in Ireland are struggling is not surprising.

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€60,000 per couple is €30,000 each which is only just over £20K salary. And it says 'up to' €60,000 so not even earning that much.

Since when has £20K made you a 'high-earner'?

Stating that people earning under £20K in Ireland are struggling is not surprising.

Wouldn't a £40k per annum household be well above average in most parts of the UK?

Correct Flash if he is wrong.

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Don't forget the SSIA splurge that will dampen the IR rises.

Calling time on a bubble is the hardest game in the world.

Been thinking this one through.

The biggest beneficiaries of SSIA money will be those that could afford to save the most money. i.e. not highly indebted young folk, but the older cash-rich people.

Will those maxed-out, young first time buyers be saved from the effects of ECB rate rises by their SSIAs? Austin Hughes and co. would love us to believe that, but I just don't buy it.

Edited by Flash

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HPI is heating up again in Ireland:

http://investing.reuters.co.uk/news/newsAr...CES-IRELAND.xml

Irish house prices up in February

Wed Mar 22, 2006 1:42 PM GMT

Printer Friendly | Email Article | RSS

DUBLIN (Reuters) - Irish house prices rose 11.1 percent in the year to February, up from 10.2 percent the previous month, figures published on Wednesday showed, indicating an
anticipated slowdown is still some way off.

Looks like the Irish may see HPI go on for awhile longer as the debt levels rise with them. Its all going to come to grief eventually and when it does they may find that cutting back on food and heating to pay debts off is the least of their worries.

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Been thinking this one through.

The biggest beneficiaries of SSIA money will be those that could afford to save the most money. i.e. not highly indebted young folk, but the older cash-rich people.

Will those maxed-out, young first time buyers be saved from the effects of ECB rate rises by their SSIAs? Austin Hughes and co. would love us to believe that, but I just don't buy it.

Some FTB's will be getting SSIA payouts from their parents or will have had their contributions put in by parents. I know a few people in this position.

Wouldn't a £40k per annum household be well above average in most parts of the UK?

Correct Flash if he is wrong.

Dublin's more expensive than any part of the UK barring London.

Bear in mind tax as well, the 42% rate starts at Eur31,500 which is substantially lower than in the UK. In effect higher tax rate starts at the average salary, and less than the average Dublin salary. Eats into the take home pay quite unpleasantly.

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  • 302 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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