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    (Original post by Illusionary)
    Actually, that statistic at least was right: http://www.guardian.co.uk/money/2008...onsumeraffairs. As has been discussed though, that 'over 100%' figure includes mortgage debt, which is going to be a large part of the total.

    Are you looking at the same thing? The reference was to 'consumer' debt rather than 'public' debt (which usually refers to government debt).
    You have to realise that the level of consumer debt is meaningless when compared to the UK's GDP because it is privately funded, which negates national relevance by default. We have such significant amounts of debt because the UK has such a significant international reputation, and because our debt is manageable.

    If you want to discuss the health of our economy then you have to discuss public rather than private debt.
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    (Original post by evantej)
    You have to realise that the level of consumer debt is meaningless when compared to the UK's GDP because it is privately funded, which negates national relevance by default. We have such significant amounts of debt because the UK has such a significant international reputation, and because our debt is manageable.

    If you want to discuss the health of our economy then you have to discuss public rather than private debt.
    I don't disagree with any of that - but the debate here is whether credit cards are a good thing for personal finances, hence the OP's mention of the consumer debt statistic.
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    (Original post by Illusionary)
    I don't disagree with any of that - but the debate here is whether credit cards are a good thing for personal finances, hence the OP's mention of the consumer debt statistic.
    I suppose I was meandering off topic a little, but the implication still stands. Credit cards should not be banned just because of the high level of personal debt. :p:
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    (Original post by evantej)
    I suppose I was meandering off topic a little, but the implication still stands. Credit cards should not be banned just because of the high level of personal debt. :p:
    No argument from me - I was just pointing out that the statistic quoted was correct. Like you, I disagree with the OP's inference that credit cards should be banned because of this, particularly when mortgage debt makes up the majority of the figure.
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    (Original post by rajandkwameali)
    People need places to live.

    In terms of everyday purchases, few are absolute necessities like shelter.

    Besides, the fact mortgage debt is high, no matter if the debt is serviceable or not, shows how screwed up the economy was under Blair/Brown. Brown, for all of his ostensible "genius", has not sought to contain or remedy this debt.

    As for the person who says what is the right level of debt, well debt per se is not inherently good or bad. But after a time, there is a limit as to when debt is not serviceable.
    Well the debt is currently serviceable, so no problem.

    Are you saying houses would physically disappear if mortgages were banned?
 
 
 
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