The effects of the virus on machinery dealers.

[Martin Holden]

Spending is all discretionary until you lock it in. Once you sign a finance contract you do just that. A majority of folk these days live up to what they earn and a good deal of that will be locked in.

Mortgage
Credit cards
Bank loans
Car finance
Phone contracts
Tv/broadband subscriptions
Etc, etc.

For many it doesn't leave much discretion.

Very few folk I have worked with could stand missing one paycheck without their lives starting to crumble.

That is the current way many live. Unfortunately the 20/30 year olds have not experienced high interest rates that we saw in the 80/90’s. That would stop them in their tracks. The ability to be able to “afford” everything now based purely on income is ok until crises like the current one strikes out of the blue. The car market has maintained volume due to low rate hire/finance availability; without those tools, the market would have been considerably less I suggest.

 

[Clive]

That is the current way many live. Unfortunately the 20/30 year olds have not experienced high interest rates that we saw in the 80/90’s. That would stop them in their tracks. The ability to be able to “afford” everything now based purely on income is ok until crises like the current one strikes out of the blue. The car market has maintained volume due to low rate hire/finance availability; without those tools, the market would have been considerably less I suggest.

the 20-30 year olds are more likely to experience negative interest rates than high ones ........... something that none of us have experienced yet !

 

[barleybasher]

That is the current way many live. Unfortunately the 20/30 year olds have not experienced high interest rates that we saw in the 80/90’s. That would stop them in their tracks. The ability to be able to “afford” everything now based purely on income is ok until crises like the current one strikes out of the blue. The car market has maintained volume due to low rate hire/finance availability; without those tools, the market would have been considerably less I suggest.

Yes very true, but those 20-30- year olds won't have a gold plated final salary pension scheme, and they won't get to buy a council house for £50 (figure of speech!) from the government like their parents might have and then cash in. That and house prices relative to wage etc.

There is definitely a degree of intergenerational unfairness, cuts both ways etc

 

[RainbowStalin]

I hope this situation with corona will end soon. Heard somewhere that Covid-19 is seasonal and it will end by May or June.

 

[Martin Holden]

Yes very true, but those 20-30- year olds won't have a gold plated final salary pension scheme, and they won't get to buy a council house for £50 (figure of speech!) from the government like their parents might have and then cash in. That and house prices relative to wage etc.

There is definitely a degree of intergenerational unfairness, cuts both ways etc

Yes it sure does. Those lucky enough to retire on FSPS are the lucky ones for sure!!

 

[holwellcourtfarm]

I hope this situation with corona will end soon. Heard somewhere that Covid-19 is seasonal and it will end by May or June.

Many speculate that because seasonal Flu declines in summer, hence "seasonal". However Covid-19 is running amok in countries hot and dry as well so does not appear to have received that memo..

 

[holwellcourtfarm]

Yes it sure does. Those lucky enough to retire on FSPS are the lucky ones for sure!!

I paid 7% of earning into mine for 23 years. Luck?

 

[Martin Holden]

the 20-30 year olds are more likely to experience negative interest rates than high ones ........... something that none of us have experienced yet !

What a thought. Having to pay to save money!! Probably better to buy land or classic cars or antiques!!

 

[Martin Holden]

I paid 7% of earning into mine for 23 years. Luck?

So did I but it was frozen as it closed down in favour of the newer type schemes.

 

[Celt83]

What a thought. Having to pay to save money!! Probably better to buy land or classic cars or antiques!!

Or perhaps the mattress isn't looking like a bad idea!

 

[kiwi pom]

Spending is all discretionary until you lock it in. Once you sign a finance contract you do just that. A majority of folk these days live up to what they earn and a good deal of that will be locked in.

Mortgage
Credit cards
Bank loans
Car finance
Phone contracts
Tv/broadband subscriptions
Etc, etc.

For many it doesn't leave much discretion.

Very few folk I have worked with could stand missing one paycheck without their lives starting to crumble.

I've seen plenty of situations where a company has had to pay wages a day or two late for some reason and its caused chaos with peoples finances.
Talking to a financial advisor a while ago and asked him how many people had a back up plan if their wages stopped for a couple of months.
Very few was the answer.

I've wasted plenty of money but have always had a plan B.
Bought my first new car nearly 3 years ago which makes me an idiot apparently, didn't use finance either which is even worse.
I did it because I always wanted a brand new one, probably wont have another, if I look after it, it might see me out

 

[7740 man]

Millionaires do not like spending money. I know a transport company who gave the drivers a phone but docked the cost of any private calls, including if they phoned their wife to say they would not be home tonight as given another load.

Billionaires are even worse to work for. My experience in life are those who have the least give the most

 

[nick...]

Agree with above 100%.poorer people pay instantly.the rich get chased and chased for money and are buggers to get money from them.probably why they are rich
Nick...

 

[Hooby Farmer]

@7740 man 100% agree look at the catholic church one of the wealthiest organisations in the world funded by the poorest peoples of the world.

 

[RainbowStalin]

Many speculate that because seasonal Flu declines in summer, hence "seasonal". However Covid-19 is running amok in countries hot and dry as well so does not appear to have received that memo..

Seasonal flus are seasonal not because of weather. They are seasonal because of viruses biorythm. Migratory birds migrates every winter, despite the weather. And with viruses - same stuff. They become passive in summer. It's not because of weather. It's a circle of life.

 

[Yale]

I just feel glad that the equipment and second hand tractor we bought last year are on my yard and ready to use.

Everything has just become that bit more difficult especially thinking about going to buy something in today’s climate.

 

[bumkin]

I've seen plenty of situations where a company has had to pay wages a day or two late for some reason and its caused chaos with peoples finances.
Talking to a financial advisor a while ago and asked him how many people had a back up plan if their wages stopped for a couple of months.
Very few was the answer.

I've wasted plenty of money but have always had a plan B.
Bought my first new car nearly 3 years ago which makes me an idiot apparently, didn't use finance either which is even worse.
I did it because I always wanted a brand new one, probably wont have another, if I look after it, it might see me out

a couple of years ago we bought a new pick up the first new vehicle i have ever bought !when i sat down to finalise the deal he asked do you want hp or a lease? i replied no i will pay for it, this left him stunned he was a man in his fifties had been in the trade for most of his life and he could not remember the last time someone had actually paid for a new car

 

[7740 man]

I have a relation who’s somewhere in the 200’s on the rich list, he’s never bought a car for himself for more than £1,000 and buys his clothes from charity shops.
When off on holiday he checked with the transport manager where lorry’s were going that day and hitched a lift with driver who was passing the airport.
A book could almost certainly be wrote on his money saving.

Rich people shouldn’t buy from charity shops. They are for people without the means to buy new. He sounds like an arse.

 

[TomD]

Rich people shouldn’t buy from charity shops. They are for people without the means to buy new. He sounds like an arse.

No charity shops are there to make money to support charities....

 

[Galcam]

I’m playing the devils advocate when I think out loud as follows. All you savers out there, you need spenders else the banks would have no use for your money. Is it a worry that your money is been lent out to people who “want” all this “good stuff” but may not be in a position to pay it back. Do you wonder why your driving a secondhand car/truck or tractor and your neighbour is enjoying the “new toys” with your hard earned money AND if push comes to shove he will hide it and use it till it’s repossessed and within a few months will be in another new one? Credit ratings are only for people who don’t have money!? All this risk to savers and no reward because anywhere you go now to buy a farm machine it’s 0% finance. Would u be better to spend your money on toys for you, enjoy your money rather than allowing someone else to enjoy for u? Just my thoughts.