Skip to main content

Join the Koody Community!

Credit
Credit

Here, we talk about credit. Ask questions about credit, debt, loans, credit cards, payday lenders, P2P lending, ethical lenders and anything else. Feel free to talk about anything related to credit.

This answer won 500 Koody Coins

Hi Josh,

My advice would be not to bother. Unless you are 100% confident in what you are doing, taking on debt to invest is unnescarily risk.

On any loan, you will have interest to pay, let's say of 5%. That means just to break even (not make a return) your investment will have to return 5%.

If the stock market negatively fluctuates for a year (possible given recession out of COVID) you wouldn't make money in the market and would be losing money via interest payments on the loan.

Some people can use leverage effectively to invest but this... (More)

This answer won 500 Koody Coins

Yes it's possible - I save anywhere between 40-60% of my monthly income (including pension) depending on what I have going on that month.

Obviously, this depends to some extent on:

a) the amount you earn, the higher you earn, the easier it is to save a big % (as long as you manage to keep expenses constant as your income rises)

b) your semi-fixed expenses. For example, if you live in London or a big city, your rent or mortgage payments may make up a big % of your income which may mean it's difficult to save up to... (More)

Hi Tom, requesting a credit limit increase could trigger a hard credit check which is usually visible on your credit report. That being said, most lenders don't do a hard check on limit increases, but it's worth phoning them and asking just to be completely sure. Besides, the lender would most likely inform you before carrying out a hard check.