Surprise surprise, yet another article on household debt at an all time high. $1.5 Trillion to be exact. Just more evidence that people are still not getting the hint. Why are people not getting the hint? The allure of cheap interest rates (Which will not last), uneducated people along with that instant gratification are what I think to blame.
I won’t go into the full details of the article as it’s pretty much the same if not worse as I’ve blogged about before. Go check out the article over at CTV News. I also read Gath’s blog which I read all the time where he talks about how home prices in the US just passed the Great Depression in terms of collapsing values. Don’t think that will at least affect Canada? Give your head a shake. There may be pockets in Canada where housing “may” be looking good, but that won’t last and you really REALLY need to get educated on where things are going. That doesn’t mean listening to your real estate agent. You need to check out blogs like Garth’s or people like Harry S Dent who are actually in tune with the markets and in a lot of cases are in agreement with many economists around the world with how we are in a Global Recession. But again do your own research.
Anyway I’m curious how long people will expect to live with huge debt loads, huge mortgages they can barley afford (just watch when the interest rates go up and how many people ditch), and feeling of entitlement to having what they want when they want. People need to shift their mentality to long term thinking and figure out where they will be when they retire at that special age of 65. Oh wait, that’s IF you can even retire at 65. So many people carry debt loads right into their retirement, so much for that pile of cash at the end of the rainbow you were hoping for.
I’m not saying you need to build an Amway business, I don’t need to convince people to do what we do and never will, but you better have a good plan B and start making it your plan A. Your job at the old factory or wherever you work isn’t going to give you the retirement bliss your hoping for, and neither will that tiny tiny pension plan you have “building up”. You need to take your retirement (whatever that looks like for you) into your hands now and start making chances so you go into retirement without debt, heck start living today without debt. Just get smart about it.
I’m sure next month or the month after we will see yet another news article on debt and how it’s higher or something like that, you need to ask yourself what are you going to do today to provide for the future?
