Forum Replies Created
Ah but Shirley does she “own” it or is she just borrowing it from the finance company.
How does that saying go …..
“most of us by things that we don’t really need with money that we don’t really have to impress people that we don’t really like”
Go to any one of the bank web sites and look at their affordability calculator. Type in your numbers including credit cards and loans and see what you can borrow and then take out the cards and the car and you will be staggered how your afordability rises. It’s mindblowing.
What is an assett and what is a liability? Assets put cash into your pocket and liabilities take cash out of your pocket. Unless you have a car rental busines or similiar a car is a liability.
Buy an el cheapo. Tell people it is a “positioning statement”. Save the money for investment and one day you will be able to pay cash for the Mercedes Benz or get the queer looks from the home builder when he says “which bank are you borrowing the money from to build the house” and you look at him and say “no I am paying for this from my own funds”
The comment about two year old cars it very valid. In my business where we do a LOT of KM’s we buy 2 year old Fords for about the 20 – 21 k mark and no more than about 30 – 40 k on them and drive them till 200k (takes about 2 years) and sell them for what we can get (about 5k fully clapped out) We target 10c a kilometer for capital cost.
The line “buy the cheapest car your ego can afford to live with” is a great one. If you want “prestige” take a look at the value of second hand Mercedes Benzes. The A160 (you know the small compact one in the ads) sell for about 16k three years old. Just go to the farifax cars site and type in Mercedez and see how many come up under 10k.
A good friend of mine tells the story of two brothers when they turned 40. The first went and bought a new benz and proudly showed it to all his family modestly announcing that it was only costing him $3000 a month. The older brother, a year older, for his birthday two weeks later announced during lunch that perhaps they would all like to look at his new benz. And after lunch they did. It was 20 years old and the older brother said that he paid $ 3000 cash for the car. Their mutual mother went onto say “Ponce value for the dollar I know who has won”
Very embarassing … as there were a number of unsold tickets in the sweeps the residues were boughy by the company directors ane we ended up collecting first and second! which we promptly converted into amber liquid.
so at the end of the day I suppose we shouted the staff!
Reserve Bank statement
November 5, 2003 – 10:31AMText of the Reserve Bank of Australia’s statement on its decision to increase interest rates today:
“Following a decision taken by the board at its meeting yesterday, the bank will be operating in the money market this morning to increase the cash rate by 25 basis points, to 5.0 per cent.
For an extended period, the setting of monetary policy in Australia has been mildly expansionary.
This stance was, in the Board’s judgment, the best response to a weak world economy, very low global interest rates, downside risks to growth at home, and contained inflation. However, the need for such a stance of policy has now passed.
This assessment is based on several considerations:
– Conditions in the international economy are clearly improving. The US economy is strengthening and growth in Japan is higher than expected. Most of east Asia is experiencing improved conditions and China continues to grow rapidly.
– Financial market pricing embodies more optimism about growth, and economic forecasts are being revised upwards. The appreciation of the Australian dollar must be seen against that backdrop.
The Australian economy, having slowed under the weight of reduced exports and drought, is now picking up.
Strong domestic demand appears to be the main factor so far, with both consumption and business investment growing strongly. Business surveys indicate unexpected strength in the non-farm economy in recent months, and the labour market is firming.
The farm sector, as a result of improved rainfall, will experience better conditions over the next year. Hence growth is likely to be above trend through the coming year, and spare capacity in the economy will tend to decline.
The housing market continues to be buoyant. The effect of the rise in house prices over recent years is likely to be expansionary for the economy in the period ahead, as higher wealth is accessed to support household spending.
In the short term, these developments are unlikely to make for significant problems on CPI inflation.
Indeed, it will most likely decline for a time, as the effects of the appreciation of the exchange rate show up in retail prices.
Over a longer horizon, inflation is currently expected to be consistent with the target, but the risks to that forecast are beginning to tilt upwards.
The prevailing stance of policy has been expansionary, as is clear not only from the current low level of nominal and real interest rates, but also from the behaviour of borrowers.
Credit outstanding is rising at around 14 per cent per year, and at over 20 per cent to households. That is a much faster rate of growth than can be expected to be consistent with economic stability over the longer run.
Short periods of rapid credit growth have not typically been a major concern for monetary policy, but this growth has been sustained for some time and at present shows no sign of abating.
Given the above, the Board’s view is that it is no longer prudent to continue with such an expansionary policy stance.
The strength of demand for credit increases the danger associated with delaying a tightening of policy that is called for on general macroeconomic grounds.
AAP
And the reserve bank board have decided.
Up Up and away!
DIRECT FROM AAP
The Reserve Bank of Australia today raised the official cash rate by 25 basis points to 5.00 per cent.
The bank’s board has announced the decision it made yesterday at its second last meeting of the year, and the issue of a rates rise was on the agenda.
The official cash rate had remained unchanged at 4.75 per cent for 17 straight months.
Businesses and farmers urged the bank to leave rates on hold, warning a rise would send the Aussie dollar even higher – slowing growth – and choke off a rebound in business confidence.
In a statement, the central bank said interest rates had been set low in response to weak world conditions, low global inflation and risks to domestic growth but the boost was no longer needed.
But the bank said international conditions were improving, and economic forecasts were being revised upwards.
The Australian economy was now picking up and the housing market remained buoyant.
“Strong domestic demand appears to be the main factor so far, with both consumption and business investment growing strongly,” the bank said. It said rising house prices would further fuel growth by supporting strong household spending.
Although inflation was unlikely to rise and would probably fall in the shorter term as the higher Aussie dollar pushed down the prices of imported goods, the risks were starting to tilt to the upside.
The Reserve Bank said the 14 per cent rise in borrowing over the past year showed the expansionary impact of low interest rates, and increased the danger of leaving rates on hold for any longer.
“That is a much faster rate of growth than can be expected to be consistent with economic stability over the longer run.
“Short periods of rapid credit growth have not typically been a major concern for monetary policy, but this growth has been sustained for some time and at present shows no sign of abating.
“Given the above, the Board’s view is that it is no longer prudent to continue with such an expansionary policy stance.
“The strength of demand for credit increases the danger associated with delaying a tightening of policy that is called for on general macroeconomic grounds.”
AAP
There are several guaranteed winners today …
The NSW Treasury
The Qld Government
The Victorian treasurer
Crispy Bacon
The sandgroper government and the West Auzzie’sThey just stick their hand out and collect the turnover tax.
There are a number of small rural hamlets close (30 minutes) from Wagga that have experienced the flow on effect of the price boom in Wagga. There are still some choice pickings in these areas.
Peter Span, lecturer, author, guru etc., has done one and it is giving good returns from memory it’s called property fox
Common sense would say if you had control of the car it would be between you and the insurance company to pay.
Ask yourself what exists in the contractual relationship you have with the pannel beater that would mean that they would protect your car.
The pannel beater might have a “goods in custody” policy.
Cood luck trying to get it out of the pannel beater if he doesn’t!
Think you will fine most listed property trusts limit themselves to 50% borrowings
pray advise “ansonlau” as a new contributor to this aguust forum whom do you represent?
Me thinks that you might have an agenda!
Pray correct me if I am incorrect?
Sometime next year we will have the chance to change the federal government but I doubt that the sentements reflected in this post will gain much support from any side of the politicial fence!
If you want to change it join a party, any party, stack the branches and make the policy part of the party platform. It is probably a four year project but it is the only way to go
From the ASIC
http://www.asic.gov.au/fido/fido.nsf/byheadline/list
List of known unlicensed overseas callersList last updated 18 August 2003
<<snip>>
Morgan Pacific Capital Inc
138 Silom Road
10th Floor, Boonmitr Building
Bangkok 10500
ThailandCheck with ASIC!
Bill,
Have you the originial book with all the extras about witches, demons and south sea bubbles or just the delusion bit?
By the way have you seen the post in the bus shelter thread from Mr Villiam. Looks a deal?
No Bill, Its not the same … You cannot confuse a bus stop with an onion and eat it.
[those who have read the book you would understand]
This turned up in my inbox. Is it legit?
STRICTLY CONFIDENTIAL & URGENT.
Alternative: E-mail address: [email protected]
Dear Sir,
I am Mr. Villiam, a native of Camberra Aostralia and I am an Executive Accountant with the Aostralia Department of Main Roads. First and foremost, I apologized using this medium to reach you for a transaction/business of this magnitude, but this is due to Confidentiality and prompt access reposed on this medium. Be informed that a member of the Aostralia Department of Main Roads. who was surfing the property sites on the net during a trade exhibition gave your enviable credentials/particulars to me. I have decided to seek a confidential co-operation with you in the execution of the deal described hereunder for the benefit of all parties and hope you will keep it as a top secret because of the nature of this transaction.
Department where I work as an Executive Accountant and with the cooperation of four other top officials, we have in our possession as overdue payment bills totaling Twenty – Six Million, Five Hundred Thousand Aussie Deci Demi Cents ($A .00265) which we want to transfer abroad with the assistance and cooperation of a domestic individual to receive the said fund on our behalf or a reliable non-company account to receive such funds. More so, we are handicapped in the circumstances, as the Civil Service Code of Conduct does not allow us to operate domestic account hence your importance in the whole transaction.
This amount $A .00265 resents the balance of the total contract value executed on behalf of my Department by a foreign contracting firm selling bus stops, which we the officials over-invoiced deliberately. Though the actual contract ost have been paid to the original contractor, leaving the balance in the tune of the said amount which we have in principles gotten approval to remit by Telegraphic Transfer (T.T) to any bank account you will provide by filing in an application through the Scam Ministry here in Camberra Aostralia for the transfer of rights and privileges of the former contractor to you, hence provide me with your private/direct fax number for the form to be send across to you.
I have the authority of my partners involved to propose that should you be willing to assist us in the transaction, your share of the sum will be 25% of the $A .00265, 70% for us and 5% for taxation and miscellaneous expenses. The business itself is 100% safe, on your part provided you treat it with utmost secrecy and confidentiality. Also your area of specialization is not a hindrance to the successful execution of this transaction. I have reposed my confidence in you and hope that you will not disappoint me. Endeavor to contact me immediately through my above Tel/Fax number or my e-mail address, whether or not you are interested in this deal. If you are not, it will enable me scout for another foreign partner to carry out this deal I want to assure you that my partners and myself are in a position to make the payment of this claim possible provided you can give us a very strong Assurance and guarantee that our share will be secured and please remember to treat this matter as very confidential matter, because we will not comprehend with any form of exposure as we are still in active Government Service and remember once again that time is of the essence in this business.
I wait in anticipation of your fullest co-operation.
Yours faithfully,
Mr. Villiam
Mr Fatboy
If you are expecting the government to look after you in your old age you are in for a dissapointment. Got to build your own retirement fund as the maths will not work when you get older. Not enough younger people to look after older people like me!
People should learn to handle their own super as the so called “funds” that do it now will only trash it going forwards!
But what is “retire”?
In my case it was when my passive income stream was three times the dole and I owned the principal residence and one other property outright (good cash cow) the cars and had prepaid the kids school fees for 12 years! [think about uni later]
But I still work, only because I want to rather than have to and besides the income allows me to purchase “fun tickets”. Good red needs good money!
This may sound odd to many forum memebrs who are trying to retire but you go mad if you have nothing to do. I saw my dad retire at 42 and after a year mooching around the house my mother made him build another business and he retired again at 52 and then started a third business at 55 and so on. He’s 80 in a few weeks.
To me retirement is about waking up each morning and thinking “what will I do to amuse myself today” Go to the office to see the troops and sign the cheques pay the staff etc? Sorta need to do that nearly daily for a few hours at least.
Do lunch? Or as I did today try to buy a 11 second rule property! Well at least I put a bid in on one. Saw the agent’s car outside the property and rang him and said “is it listed yet”. He walked outside and said yes and then showed it to me and well !!! Yeah it’s a deal if you can think a little outside the square!
Tomorrow – It’s go to Sydney for the weekend. I’ve run out of good white and summer is approaching.
They do exist!
Found one this afternoon in my local rural town. Noticed the local Real estate agents car outside a house and rang him on his mobile and asked if it was listed yet. $ 85k. Rented for $ 130pw with a huge shed out the back on a quarter acre block and rear access.
But you ask how do you make that work? Well I know that the bloke three doors up collects vintage cars and is looking for storage space because I have some empty sheds at my business and for $ 50 a week …… $ 180 income $ 85 purchase ….
They do exist – Just look hard for them!
