Prepping for the next finacial crash?

[xplosiv1]

can-kicking has definitely happened, and as far as I can see politicians of every hue are only doing anything, or saying anything, when they get caught out ignoring the situation.

That's the nature of the system they have set up for themselves, No president, prime minister or politician will ever take ownership of the situation they just blame the last guy and hope things don't get too much worse before the next election. If they had let the 2008 crisis run its course we'd a lot better off right now but they didnt they kicked the can and I think one day soon that can is going to stop, nations all over the world are currently in a much worse financial state than they were prior to 2008 the next crisis is inevitable and is goiong to make the great depression look like a bump in the road.

I find it baffling that whats required to fix economies around the world is the notion of "fiscal responsibility" on a personal level and yet we don't even teach this to children in school, they leave school knowing very little about money or even simple things like how to apply for a mortgage or car loan etc, this is all by design.

The political class and bankers thrive on the fact that 95% of the population don't understand banking, macro / micro economics or currency creation & debt etc, they make the system overly complicated and disjointed so that the left hand cant see what the right hand is doing to deter average citizens from understanding or interrogating the actions these so called "elite" are making on our behalf. then you add the fact that the media corporations who should be giving us a real unbiased account of what happening are in bed with the same politicians and bankers.

[Deeps]

can-kicking has definitely happened, and as far as I can see politicians of every hue are only doing anything, or saying anything, when they get caught out ignoring the situation.

That's the nature of the system they have set up for themselves, No president, prime minister or politician will ever take ownership of the situation they just blame the last guy and hope things don't get too much worse before the next election. If they had let the 2008 crisis run its course we'd a lot better off right now but they didnt they kicked the can and I think one day soon that can is going to stop, nations all over the world are currently in a much worse financial state than they were prior to 2008 the next crisis is inevitable and is goiong to make the great depression look like a bump in the road.

I find it baffling that whats required to fix economies around the world is the notion of "fiscal responsibility" on a personal level and yet we don't even teach this to children in school, they leave school knowing very little about money or even simple things like how to apply for a mortgage or car loan etc, this is all by design.

The political class and bankers thrive on the fact that 95% of the population don't understand banking, macro / micro economics or currency creation & debt etc, they make the system overly complicated and disjointed so that the left hand cant see what the right hand is doing to deter average citizens from understanding or interrogating the actions these so called "elite" are making on our behalf. then you add the fact that the media corporations who should be giving us a real unbiased account of what happening are in bed with the same politicians and bankers.

I don't really agree with your logic mate, I'm not sure its a big conspiracy, although I'm sure drawbridges have been pulled up over the years leading to where we are. Teaching 'practical' economics at the school is a great idea, but at the same time we need to stop filling our kids heads with nonsense that they can do anything and everything they want, that comes from parents, not the state.

A number of factors have led to where we are now, including the selling off of council homes without building replacements being a massive one but its been incremental as these things tend to be, something happens and then there's a reaction, then it happens again. I'm not arguing that the status quo is peachy, far from it but I don't think the fourth estate are in bed with the bankers, some are quite critical of the establishment.

[jansman]

Martin Lewis the Money Saving Expert,says that basic money issues should be taught in schools.As for the PTB being ( or not being in bed ) with the banks... Well that doesn't take an expert to work out!
http://www.independent.co.uk/news/uk/po ... 71346.html

I know we should not get political, but there is another crash or such coming,and we should understand the mechanics of it.

[Deeps]

Martin Lewis the Money Saving Expert,says that basic money issues should be taught in schools.As for the PTB being ( or not being in bed ) with the banks... Well that doesn't take an expert to work out!
http://www.independent.co.uk/news/uk/po ... 71346.html

I know we should not get political, but there is another crash or such coming,and we should understand the mechanics of it.

I agree about the funding being suspect, and in fairness, the Labour party get a fair whack from the trade unions which is equally suspect. I doubt we could get away from the funding being skewed, both sides have their core support and will have to pander to them. It just comes down to which side you have more sympathy with as to the relative fairness of it. I'm scunnered with the lot of them but as they have such a massive influence on us I still try and 'keep up'. Only voted last time to try and stop a party as opposed to my usual ballot spoiling.

[jansman]

The last crash came from irresponsible lending.The UK gvt in 2008 had ZERO influence on the demise of the likes of Goldman Sachs.The banks are lending willy nilly again.Even today Mark Carney has said the same.looks like interest rate will go up soon and good job too.

The problem is that we are a society obsessed with (a) property ownership and ( b) debt. The two go hand in hand.Chuck in shiny new cars/phones/credit cards etc.then we have a very unsustainable economic model.

There is gonna be a lot of pain.

[Deeps]

The last crash came from irresponsible lending.The UK gvt in 2008 had ZERO influence on the demise of the likes of Goldman Sachs.The banks are lending willy nilly again.Even today Mark Carney has said the same.looks like interest rate will go up soon and good job too.

The problem is that we are a society obsessed with (a) property ownership and ( b) debt. The two go hand in hand.Chuck in shiny new cars/phones/credit cards etc.then we have a very unsustainable economic model.

There is gonna be a lot of pain.

Aye, its all about having the shiny NOW and there will be a consequence. Mark Carney has tried to bluff the financial institutions into doing what he wanted but has now pretty much said interest rates WILL be going up. Because the last crash was so recent I'm hoping we collectively realise we don't wanna do that shit again, I suspect I'm more hopeful rather than expectant on that front though, you can only look to have your own house in order I guess.

[MAiwick]

I graduated straight into the last crash. I'm very cynical when it comes to money, and lending, and maintaining a good credit score.

That being said, it's easy to get sucked into an insecure financial state by taking what you think is good advice. When I bought my car, I wanted to get it on finance so that I could build a good credit rating, so that one day I'd be able to get a mortgage. My cousin had never even had a credit card because he wanted to avoid debt - but then couldn't get a mortgage because the banks had no history of debt management to judge him on.

My parents convinced me to let them buy the car outright, and I could pay them back instead. At the time I was both grateful and a bit miffed (I know, I know!) but now I realise what they did for me. I'm in no danger of having my mobility taken away by a bank if there's another crash, or if I lose my job.
My dad sees families as a financial team. What he invests in me now, he knows I'll invest in my own children one day. He and my mum realise how lucky they are to have paid off their mortgage and want to make me and my brothers financially independent as soon as possible for our own good, not because they want to cut us off! Resilience is the name of their game.

[izzy_mack]

My cousin had never even had a credit card because he wanted to avoid debt - but then couldn't get a mortgage because the banks had no history of debt management to judge him on.

My son had the same problem, because he lived at home and paid his way as he went, he even had a payg phone, he had no credit score and the bank was making it difficult to get a bank account, refused any overdraft facility, which he didn't really want but that was beside the point. He took out a phone contract and starting paying things differently now but it seems stupid to me that responsible spenders get penalised for NOT running up bills/debts.

As for being ready for a financial crash, no not really. I already prep as far as I can for financial hiccups, supplies to see us through, cash for immediate vital needs (like fuel to get into town) and enough to pay rent/council tax for 3months at least. But as self employed who are barely hanging on, not so much by our fingertips as by the tips of our fingernails, there is not the resources to put a huge buffer aside. The preps I do have get used, have had to resort to them a few times and then replenish as soon as I can. I've always been very glad they were there and would love to sort our finances out big time - maybe someday.

[Wood cutter]

When I read about this in the general media, or on this forum, there seems to be a very strong bias simply towards preparing not to be a victim of such things. Reducing detrimental effects can only get you so far.

How many of you here are actively preparing to benefit from such a financial crash?
Do you think that you can spend so much time preparing not to be a victim, that you completely miss opportunities?

Personally, I'm pretty much crash proof, and have plans to further strengthen my position when the next crash occurs.

[Brambles]

When I read about this in the general media, or on this forum, there seems to be a very strong bias simply towards preparing not to be a victim of such things. Reducing detrimental effects can only get you so far.

How many of you here are actively preparing to benefit from such a financial crash?
Do you think that you can spend so much time preparing not to be a victim, that you completely miss opportunities?

Personally, I'm pretty much crash proof, and have plans to further strengthen my position when the next crash occurs.

I think on a personal level the ability, maybe even need to insulate yourself against financial meltdown is worthwhile. However capitalising on opportunities is something I have little interest in, simply because to make a gain in such circumstances you need to be prepared to accept a certain amount of risk. Obviously you can, but a lot of us either can't or won't. At the moment I'm happy having insulation, I don't have enough spare to afford to lose it if the risk backfires.