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Debt, debt and even more debt

The credit habits of Generation Y have been explicitly explored in todays New Zealand Herald following a report from Veda Advantage, New Zealand's largest supplier of credit information. Associated Budgeting Consultants Network chairman, Darryl Evans is quoted as saying "I believe living in debt is a learned behaviour.....at the moment I'm working with four generations of the same family. That says something". Darryl Evans said that he was'nt surprised at any of the report's findings. Well nor am I! Generation by generation our people have been getting further and further into debt. None of us can escape the burden of debt, it does not matter how financially literate we are. One way or another every New Zealander is servicing debt, whether it be their own debt or the debt loaded on the prices they pay for goods and services. And of course we pay tax to service the government's debt and we pay rates or rent which helps service local government debt. Unfortunately, under the current financial system, increasing debt is a given just for our economy to stay still. An even greater growth in debt is required to make it grow. The barrage of advertisements in all forms of the media are designed to "Lead us into temptation" to buy, buy and buy. They encourage and show us how to buy on the "never never". Can you imagine the levels of unemployment, the closed shops and businesses if there was no sales fuelled by debt? We openly abhor debt. We loathe the amount of interest we pay, and we feel fear when we get caught in the clutches of compounding interest. Under the current system we will be in debt until we die. The literal meaning of 'mortgage' is 'the grip of death'. Our futures are well and truly mortgaged!
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