Right, but it's GOVERNMENT who sees "too much savings" as evil. As usual, it's not "savings are the problem"... it's GOVERNMENT. If the government spent within its means and ran no deficits, the "savings rate"... whether high or low... would be of no consequence.
Companies want you to spend all of your money. That way, it increases their sales, and you get to keep working forever being a debt slave just to keep up with the damn Jones family. I can't stand the Jones family. I rather save and invest; let the Jones family go broke buying a mcmansion, granite countertops, a new inground pool, and a new car every 2 years. How do they do it? They are in debt up to their eyeballs.
Only $12,000? I had $11,500 in debt when I worked at a grocery store for $8.50 an hour. If I can pay off my debt with that kind of wage, anyone can. Cancel the cable and cellphone. Don't go to the bar(unless someone else is buying). Conserve your driving. Be responsible and put your life on hold for two years while you stop being a douchebag and man up. That grocery store job isn't good enough for you? Nobody want's to hear it. No excuses. Get a job. They are out there, even during these times. It's not that hard. Simply pay $500.00 + interest each month. That will only take you 2 years to pay that $12,000 off. Move in with mom if you have to.
What the hell have you been smoking??? IF you were so driven to really make a change in yourself you would not have to get a job at 8.50. Why dont you take all those drastic measures, get a degree and find a real job. Maybe you wont even need to have debt at all. Never In my life did I work for such a low wage.
'ya know... I defaulted and learned so much about how to not pay, how to clean up credit records, who to countersue.... If I default again and make a small fortune doing it and write a book about it, I suppose that would incriminate me if intent could be proven... but the penalties might be more than offset by the rewards... hmmm... could be fun.. or I could just enjoy my new squeaky clean credit reputation and let it go at that.... it's a tough choice really... My relationship to the reporting agencies, the lenders, the collectors, etc.. is the same as that of Jessee James to the Railroads and he wound up shot so maybe I'll go with the satisfaction of having a great credit report... I'm reading these posts by these self righteous people here and thinking "yes, one of them would shoot you in the back" I'm sort of seeing that the Lord has given a lot of people a Jubilee year... people are living without paying mortgages[at least for a time], getting debts cancelled... it's sort of cool...
People didn't use financing to buy houses so much in the early 20th century, the average age of a first time homebuyer was 51 years... then it progressed to borrowing to buy, then it further progressed to borrowing on the equity and even speculating on future equity... it's more than most people can cope with... I'd sleep better in a paid for house and that's my goal... I have a rental with a mortgage that's a little upside down but breakeven on cash flow and I'm happy with that but the one I live in should be paid for...