TiggerLottie

ok,

what would you guys do?

We are in the process of selling our scabby little terrace house in grimsby, not going to make a fortune on it, maybe 15k then will be cashing my endowment in and maybe make another 8 - 10k which leaves us with round about 23 -25k

we have outstanding debts of 7k my dilemma is should i take out a loan to clear all credit cards and loans andhave one payment to make and make the payments from new zealand and use all our money to start our new life in nz or pay off everything, go to nz with less money, but be debt free and start off with a clean slate knowing we left UK owing nothing and work hard to start a fresh life in NZ ( hubby does have a job waiting so it will make it easier )


So, what do you guys think we should do, you can ask the audience or phone a friend if ya like !

MrsDagboy

From experience - paying off anything in the UK is NOT easy from Aust/NZ. You will struggle to come up with the money as it will be a large chunk out of your wages each month (two & a half times what it would be in the UK remember) as well as the fact that you will have to pay money to transfer it (banks will charge you for the privelege of even breathing their air over here), will be at the mercy of exchange rates (coming down now, but no good if they go back up) & will be paying interest on the money borrowed.
If you want to borrow money for a mortgage or credit card etc in NZ, the loan in the UK will affect your borrowing power. So you will end up with less money. And no, you cant get away with not telling them LOL.

PAY OFF THE DEBT!!

bondipom

Mrs Dagboy is correct. Clean slate is better. As MDB points out there are the transaction costs involved in sending the money back. Plus any loan in the UK will have an interest rate higher than what you would receive on the money down under.

Why give money to the banks when you do not have to?

markcrute

for what its worth I think if your gonna start a new life start it with a clean slate and cut your financial ties with the uk
all the best

bondipom

I would keep the credit cards and bank accounts as they are useful for internet shopping for Xmass presents. I would also clear the debts as they will be expensive to pay off from down under.

chris hogan

Ditto

Sandra

Another vote for clear the debts! Keep the cards and spend wisely

WBB

have to agree, clear the debt and start with a clean slate

chris hogan

I would ditch all the plastic as well.I have never held a credit card and have no intention of ever having one.I've wittnessed people close to suicide over the debts incurred with the flexible
"friend".

MrsDagboy

A credit card is "universal" these days, close the ones in the UK & if you need one over here open one but with a small limit (I think the min they do these days is $1000?). Do agree with bondi about keeping an account (not credit) in the UK, handy for gifts & some situations, but only if you can do it without incurring fees, otherwise the monetary advantage is lost & you may as well buy stuff over here & ship it.

bondipom

In Oz I find the credit card reduces my exposure to bank fees. Eftpos counts as a transaction towards my monthly limit whilst credit card transactions are unlimited and fee free.

I pay it off every month and never bite off more than I can chew. I also earn interest on the savings that I use to pay off the credit card.

I pity those who commit financial suicide and I get annoyed at the banks for letting them get that way but in todays on line society the visa card is indespensible for me.

I would not have been able to book the flights, hotels and bullet train tickets for my next trip without my bit of plastic.

Sandra

Agree totally - with good financial planning and juggling credit can work out cheaper because of bank charges here. I would be lost without my plastic, still have accounts in the UK for credit and banking, allows us the flexibility when travelling. But then we also have Sterling in the UK to help pay for it.

I still find it funny it is better for me to take out large sums of cash each week than use the eftpos here. I rarely carried cash in the UK apart from the trip to the pub!

Cheers

Akaubear

Looks like you should have done a poll!

I agree with all the above - clear the debts! They will seem HUGE when you are paying with NZ dollars.

Nicola.

Andiii

CLEAR THE DEBTS!

Goodpubmisser

Why don't you disapear to New Zealand and don't tell them where you are going? That way you will be debt free as soon as you leave England!!!