People are trying hard not to get into debt again after the global financial crises (GFC) back in 2008. So they are opting to save money before making that purchase that they would have just took out a loan for previously. And they are also opting for a cheaper version of what they would have bought. For example, a young family may have bought a nice new BMW with the whole thing financed to the max, whereas now they may still buy a new car, but go for a Ford purchased with cash or mostly with cash and a small section of it financed.
So what are some other things we used to need loans for but generally no longer take out a loan for these products / services?
Buying A Boat
People used to spend upwards of a million dollars on a nice boat. That being said, they weren’t spending much of their money, most of it was borrowed. And when the GFC hit, they lost their boats and often homes as they were out of the job and were making no money. They were unable to make the repayments. Nowadays, people are opting for smaller boats and again, they are less likely to spend so much on such a large boat and will opt for a much more reasonably priced one. And in the process, people are taking out a much smaller loan or no loan at all.
Brest Augmentation Surgery
Brest augmentation surgery is a very expensive procedure which can cost up to around $20,000. So what many women are doing is opting to have the surgery done in a third world country such as Thailand, Mexico, etc. The idea is that they get a holiday and the cost of the surgery for far less than the price they can get it done in the US. However, these surgeries can often cause problems in these places such as infections or even a very unattractive job. For a cheaper option that is not as risky as breast implant surgery in a third world country, try breast enhancement creams. They are a far cheaper and safer option than breast implant surgery.
Sending Your Kids To A Private School
It used to be far more common for kids to be sent to private school. However, after the GFC, private school rates have actually dropped off and parents are opting to take their kids to public school instead. While some public schools are better than others, kids can still get a good education but may need more input from their parents in form of tutoring.