Why does no one save up for things?

Question

Cars can be bought on credit, OK if it is zero percent but if you have to pay some of the exhorbitant amounts they charge, why not save up?

Answer 1

I rather save up than be in debt, HP etc.

Sometimes I have to wait for things, but they become just that little more special when I eventually get them.

Having had a relative who was badly in debt, and all that entails with bailiffs and so on, I would never go down that road.

And if I can't afford something, I just don't get it.

Makes for a less stressful life.

Answer 2

The thing is that when people have their families now, they give them everything, deny them nothing.
Thence when they leave home to begin standing on their own two feet they still want everything like they had at home. They have no idea of managing without things because they never had to do that.
The credit companies are aware of all this, and loan the money to fund this "standing on my own two feet" lifestyle. What people are actually doing is spending what they haven't got, and struggling to pay it back.
Make do and mend has gone out of fashion. My family can do it, because we did not want to live on credit all our lives. We only spent what we earned, and still do. So do all our grown up children with their own children.

Answer 3

I'm saving right now - every spare penny is going into a savings account to save for my postgraduate degrees and travelling. It's going well actually...even though I'm working all the hours god sends to be able to do it!! lol I don't believe in getting yourself into debt over material things - if you can't afford it, don't get it. I've been in debt before and got myself out of it. I've now grown up a bit and learned some hard lessons, hence the saving now!!

Answer 4

For a mortgage, well, saving up several hundred grand can be tough.

As for why people don't save up, well, simply put, people rather use the money they have now for something fun instead of showing self control and lead a "boring life" waiting for something they truely want or need.

Answer 5

I have a mortgage and car on credit, however all normal things I will save for, if I cant afford it now, i'll wait until I can

Answer 6

Because like us, some people are on rubbish wages and can't afford to save up. We have all on trying to save for a summer holiday. And now we are told that we have to save towards a pension. I'd love to know how we are supposed to do that on the minimum wage and tax credits ?

Answer 7

We save for anything we need. Went to Australia in 2005 and saved for 3 years to do that. Now saving for another trip and to get bathroom done. We don't agree with going into debt for something. If you cannot afford it don't buy it!

Answer 8

cause they addicted to "cheap crap"!




According to the Bureau of Labor Statistics.....


1965 8.5%
1975 10.5%
1985 11%
1995 5%
2005 -0.4%

the savings rate in January 06 was a negative 0.7%...

that is, the average!

American household spent 0.7% more than it made.








Now.......... the kicker!

Do you know how much of the gross domestic product is attributable to consumer spending?









A whopping 70% ...

or so the economists tell us.






Now we have the "catch 22"..........

If the American people start to save......

say 10% of their income.....







thats gonna be 10% less the consumer is gonna buy .....





which means Companies sell less...............










"UNLESS".... Wages go up!.......


but with the all time high in Corporate profits in the past few years and a good part going to CEO's and insiders.....


a 10% increase ain't gonna happen soon!










SO!.........retirement is out of the picture if the American people don't save they have to keep working!



NOW........the flip side!




we can thank Mircosoft, Warren Buffet, General Motors, General Electric, Motorola and Ford for pouring billions of dollars into China......................










China saves 50% of their income!



In search of better wages and a better life,300 million Chinese peasants will move to the cities in the next 15 years. This means China must build a new city the size of Philadelphia every 30 days. China is now constructing the most advanced rapid transit system in the World.

Each year for the next 20 years, China will consume as much structural steel as would be needed to construct every building in Manhattan.

According to Professor Jeremy Siegel of the Wharton School of Business, "In the not too distant future, the economy of China will be nearly twice as large as that of the US, an equal to the combined economies of all of North America, Europe and Japan".

Already China is the world's largest maker of toys,clothing and consumer electronics and is swiftly moving up the ladder in car production, computer manfacturing, biotechnology and telecommunications,thanks to low-cost workers and high-tech factories.

Author Ted C. Fishman writes in China, Inc., "The Country is closing in on a 30-year run during which its economy has doubled nearly three times over. The surge has no equal in modern history. Neither Japan's nor South Korea's postwar booms come anywhere close."

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and they say..........this growth trend is unstoppable!


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In 1776 a few fat farmers got together and with the penmanship of a poet wrote down on a piece of paper....







the American dream!
















Now..............young people in America..........










think $10 an hour....a ipod, computer games and flipping burgers is...................












that American dream!

















support your town..........shop around!

Answer 9

I've always worked on the basis that "if you can't afford it, then you can't have it". All very well, but what's the result? I've got everything I want and am NOT in debt, and all those who couldn't afford it have got it and are now PAYING THROUGH THE NOSE for it in interest!
Oh how I laugh when I see questions like "What happens when the bailiffs come round" ! ! !

Answer 10

I live for today .... always have done. It's a cliche, but I might get run over by a bus tomorrow. I do have savings for emergencies but I enjoy spending money and having a good time ..... No point being stinking rich when i'm 85 - what am i gonna spend it on when i'm that age???