How much money do you earn? And how do you spend it?

[Pyro]

Careful that you dont get hit with a penalty for paying the car off early. Home loans are different in this sense. I have heard that if you pay a car off in 2 vs 5 years for example there may be a penalty.

Pretty sure there was no penalties on mine. Pretty standard 'give us 3 months notice' type of thing, and the only penalty would've been relatively small.

 

[jman]

I'm 26, recently started working in CIB. I'm on around 55k CTC per month. Take home in the mid 30s. Was well below that before the transfer. I haven't been through a bonus or increase cycle just yet, so don't know how that would affect my annual CTC.

My costs are around rent and household for about 7000, insurance for 2000, food for 3000 and car payments of about 9000 (about 6k more than required so I can pay my little Ford off quickly).

I like to live simply. Until I earn enough to buy a Cayman...

What do you do in CIB?

 

[HibiscusTunes]

Pretty sure there was no penalties on mine. Pretty standard 'give us 3 months notice' type of thing, and the only penalty would've been relatively small.

This is correct. 3 months notice for settlement, or immediate settlement along with 3 months interest. Very simple to understand and should be in the credit agreement that was signed.

I wonder if there are any institutions that levy additional penalty fees, and if its legal?

 

[akescpt]

This thread always has me reevaluating my life choices.

 

[Curious_Al]

You also get people that actually work, and those that play the game to climb the ladder without having to do their actual job.

Tell me about it... working with someone like that at the moment.

 

[xrapidx]

Careful that you dont get hit with a penalty for paying the car off early. Home loans are different in this sense. I have heard that if you pay a car off in 2 vs 5 years for example there may be a penalty.

No such thing. Maybe long ago - but not recently.

 

[d0b33]

No such thing. Maybe long ago - but not recently.

Was about to say the same. Never heard of this. My contract states I'm allowed to make additional payments.

 

[johnjm]

Was about to say the same. Never heard of this. My contract states I'm allowed to make additional payments.

And if it’s settled early? Most agreements have a penalty.

 

[PsYTraNc3]

And if it’s settled early? Most agreements have a penalty.

Only if outstanding balance is more than R250k

 

[R13...]

And if it’s settled early? Most agreements have a penalty.

The new credit act disallows early settlement penalties I think.

 

[PsYTraNc3]

Taken out of my finance contract

Early settlement of the Agreement
9.1. If this Agreement is a small or intermediate agreement you may settle
this Agreement in full at any time, with or without notice, by paying the
settlement value owed to us. The settlement value will be calculated as follows:
9.1.1. the unpaid balance of the Principal Debt; and
9.1.2. the unpaid interest and all other fees and charges payable by you to us
until the settlement date.
9.2. If this is a large agreement, you may settle this Agreement in full at any
time, with or without notice, by paying the settlement value owed to us. In such
event, the settlement value will be calculated as follows:
9.2.1. the amounts referred to in clause 9.1. above; and
9.2.2. an early termination charge which may be prescribed from time to time,
or if no charge has been prescribed, a charge equal to no more than the
interest that would have been payable under the Agreement for a period equal
to the difference between 3 (three) months and the period of the notice of
settlement if any, that was given by you.

 

[HibiscusTunes]

Only if outstanding balance is more than R250k

The new credit act disallows early settlement penalties I think.

It allows for it, and is applicable if the principal debt is more than R250K, not the outstanding.

 

[Pyro]

There might be some admin fees that could be justified for early settlement, but even the interest is a bit of a grey area.

If interest is based on the outstanding balance, and it's settled, the interest is effectively 0.

3x0=0

 

[johnjm]

There might be some admin fees that could be justified for early settlement, but even the interest is a bit of a grey area.

If interest is based on the outstanding balance, and it's settled, the interest is effectively 0.

3x0=0

No, it's the interest that would have been paid over the next three months if it wasn't settled, unless you had less than 3 motnhs to go.

 

[PsYTraNc3]

It allows for it, and is applicable if the principal debt is more than R250K, not the outstanding.

Wasn't specific enough but that's what I meant.
Outstanding principal balance and not contractual balance.

It's Friday and too early in the year to get this technical though.
What am I doing???

 

[cguy]

Found out today. Up approx 25% from my previous highest. No complaints.

 

[Jchan11hk]

It is average to be around R100k CTC pm for a mechanical engineer who specializes in its field and either got Pr. Eng. or GCC. It can be done, but normally you will have your own set of problems and will most likely not living in the big cities.

 

[GoB]

Found out today. Up approx 25% from my previous highest. No complaints.

That's the problem with styrofoam ceilings.

Anyway congrats man and well done.

 

[cguy]

That's the problem with styrofoam ceilings.

Anyway congrats man and well done.

Thanks. I’ve received much higher increases before (over 100% year on year), but now I’m at a point where my income will only grow with increased revenue.

 

[grim101]

No one getting a raise?