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View Poll Results: What is your debt to total asset ratio?
I have no debt whatsoever, not even a credit card bill 149 51.03%
<10% 98 33.56%
10-19.99% 27 9.25%
20-29.99% 10 3.42%
30-39.99% 5 1.71%
40% or greater 3 1.03%
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Old 09-25-2016, 01:09 PM   #81
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Originally Posted by Mulligan View Post
I have been in some type of credit card debt (long term, not paid off monthly) since 1987 and retired at 45 seven years ago. I am here! It may get all paid off in 2 years, or maybe not. The 2% I pay them yearly is less than my 6% income generated from money I would have to pay it off with, so my desire level isn't high.
If you have found a credit card that charges 2% interest, more power to you.
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Poll: what is your debt to total asset ratio?
Old 09-25-2016, 01:19 PM   #82
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Poll: what is your debt to total asset ratio?

Quote:
Originally Posted by Meadbh View Post
If you have found a credit card that charges 2% interest, more power to you.


No power or effort needed....They mail access charge CC checks 2-3 times a month. The interest is zero but access fee is 2% for 15 months. So I guess if I wanted to get to the minute level it is not 2% but slightly under even allowing for the upfront payment of the 2% fee of course.
Heck one time about 15 years ago, another CC had 2% access fee and 0.99% annual rate with no time limit. I know they regretted that offer as I milked them for about 10 years on that one. Never saw that offer again.
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Old 09-25-2016, 01:20 PM   #83
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This is really getting silly.
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Old 09-25-2016, 01:38 PM   #84
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This is really getting silly.
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Old 09-25-2016, 01:57 PM   #85
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Zero. No mortgage and pay off CC every month. I suppose for some portion of the month I have some small percentage on CC...until the bill comes and I pay it off.
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Old 09-25-2016, 02:40 PM   #86
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At 7.8% which includes a mortgage and small car loan. Paying off the mortgage is something I consider but it being a 3.25% loan and only having about 4 years left from the original 10 year loan I'm not sure it would make it worthwhile.

Definitely will be happy when it's paid off!
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Old 09-25-2016, 02:49 PM   #87
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0% since paying off the mortgage some 10 years ago, 5 year prior to FIRE. We use a credit card for most of our purchases, which is then paid off at the end of each month, because 1) I am not comfortable using a debit card other than for ATM withdrawals - way too many data breaches by companies I used to consider 'safe,' and 2) we much enjoy getting 2% in cash back rewards for using our credit card vs our debit card.

If this disqualifies us from the 0% club I guess we'll have to live with that.
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Old 09-25-2016, 03:18 PM   #88
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Life is pretty cheap when you have zero debt.

I like this quote.

I'll see if I can explain this to family members.....
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Old 09-25-2016, 03:49 PM   #89
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.

I have no debt. My house was paid off years before I retired.

I do use a credit card for the cash rewards. I pay it off every month so I pay zero interest and zero fees. Actually the cc company is paying me to use their card.
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Old 09-25-2016, 03:50 PM   #90
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I guess I am in second place at about 25%. Like a workerbee I have a mortgage with 20 years to go and a car payment slapped on a zero percent CC with 2% access check fee I roll over every 15 months.
The debt was there when I retired and my pension take home income was about same as take home paycheck. No real reason to change. Even with the debt payments I dont spend 70% of my monthly pension income. I am just not a big spender. It will get paid off one of these years, or not...Who knows.
Think I just moved ahead of you at about 30% or so... 400K mortgage at 3.25%, and just took a 28K note on a car for DW at 1.8%. Dealer gave us 250 bucks to take the financing, we can pay it off in 4 months with now penalty just accrued interest. No cc debt as we pay it off each month. Ditto on the no reason to change.
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Old 09-25-2016, 04:00 PM   #91
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400K mortgage at 3.25%


I'd have a heart attack if I had a 400k mortgage !!

HGTV routinely shows people shopping for houses costing more than 400k.

I could never afford one of those. But I could afford to retire early debt free with a nice nest egg because I lived frugally in a much less expensive part of the country.

25 years ago, I bought my first 1100 sqft 3 bedroom house for $35,000. 15 years ago I upgraded to a 2200 sqft 4 bedroom house in a nice neighborhood for $135.000.

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Old 09-25-2016, 05:02 PM   #92
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Overall, on average about 0.15%. That's my average credit card indebtedness at any one time (paid off each month) divided by net worth (using only cash and investments, not personal property).

Last year for the first time, when we bought a new car for my wife we paid in cash -- just wrote a check for the entire amount. It felt great to drive away without car payments for years in our future!
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Old 09-25-2016, 05:34 PM   #93
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I answered <10%, per the definition, but my actual debt (cc paid monthly) is less than 0.10%
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Old 09-25-2016, 05:39 PM   #94
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Last year for the first time, when we bought a new car for my wife we paid in cash -- just wrote a check for the entire amount. It felt great to drive away without car payments for years in our future!

I'm still driving my old Honda I paid off right before I retired. I hope to drive it a few more years... then pay cash for a new one.

I've heard it is better not to tell the car dealership in advance that you are paying cash. Is that right ??
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Old 09-25-2016, 07:12 PM   #95
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8.3% = comprising the mortgage on our home, mortgages on investment properties, cc debt (paid off in full each month) and monthly accruals for larger expenses like taxes, holidays and a sinking fund for home renovations. 7.8% if you exclude the monthly cc debt and the accruals.

All the mortgages are P+I so the balance goes down each month.

Quite frankly, I consider our gearing to be too low. If/when local property prices become more reasonable, we would likely borrow to buy another property.
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Old 09-26-2016, 05:49 AM   #96
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Only debt is two car loans - one will be paid off when I retire, while the other will be paid off 2.5 years later (0% APR). Total debt is 2.1% of NW.
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Old 09-26-2016, 07:22 AM   #97
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If refinancing goes smoothly this week, will be going into retirement with 2.75% mtg. that constitutes ~4.5% of our assets. Monthly credit cards can at times add another .5% or so, depending upon travel plans and where we are in the billing cycle.
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Old 09-26-2016, 07:44 AM   #98
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6.9% total debt includes a mortgage (2.5% rate) and credit card balance paid in full each month
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Old 09-26-2016, 08:52 AM   #99
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We're about 18%, with mortgages on our townhouse and our cabin; we are in our mid-40s and about 10 years to retirement.
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Old 09-26-2016, 10:24 AM   #100
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At 17% with a mortgage on our primary residence(2.5% rate).
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