Wednesday, March 11, 2009

I just learned the secret

Aaron and I have made a few unwise spending decisions in our time of unemployment and are now digging out of the hole. With some credit advice and a new strict spending plan we are on a roll to being debt free. But in light of our recent struggle to come up with a plan I found this. Very funny but soberingly true.

6 comments:

The Six of Us said...

So true. Thanks SNL!

Another (on this line) thought that often goes through my head is "as long as we have debt, even if I have money at the time, it is still as though I am putting it on a cc." Yikes.

JPB said...

Well ... manageable and managed debt is just a modern economic tool. It's unmanaged debt that's a problem.

In an broader economic context we should praise God for debt because without it none of us would have a house. And the sound underlying principles of the Grameen bank and microfinance as instruments of relieving poverty is that you can't make money without money and that's precisely the problem in the third world.

On the other hand, when you're talking about basic personal finance, or 'lifestyle debt' the video is right on.

JPB said...

and funny.

The Six of Us said...

I actually came home from the third world thinking this. Our driver could not even think of owing a car because there was not way for him to "get ahead" that much. Let alone improve his housing situation, etc. The ones who are building, investing, etc are "foreigners who have money to do it" (as our driver told us.)
So do you think debt could be a way of helping to relieve the poverty of the third world?

In a way, debt is a handout with responsibility attached.

Sheri said...

And I was just going to call you about buying our car! Oh well, easy come, easy go....

pam/mom said...

What a concept!