Debt x Interests - fm-suggestion

Hello;

One thing I notice for a long time is that sometimes, the club does not use money they have in the bank to rub off debts when the interest rates of money loaned are far bigger than the interests you receive for the money you have in the bank.

Example: at the moment, I have a 275 million debt due top a stadium I built. However, as I am a sort of academies freak, I seldom buy expensive players, preferring to nurture youngsters instead and placing them in the team or selling them. The result is that I have, available for transfers, basically half of the debt.

Wouldn't it be clever if the board would use this money to repay debt and diminish the parcels I have to pay monthly? And if I am a manager with great clout in the club, they ask me first if they can diminish my transfer budget to pay the debt instead?

Cheers

I'd like the board to pay off debts as well, I've brought this up before. I have one big stadium loan, but I also have a couple of other (1-2 million) loans from early on in the save, which I could easily have paid off from our balance.

The money in your balance is also for wages and transfers as well. It is to cover all running costs of the club. I understand if a new owner came in and whiped off the debts but not use what money you have to keep the club running to clear off debts that would clear if you got so far into the game.

Some boards do pay off debts when money is available.

You also need to understand that just because you have a loan doesn't mean you can pay off whatever you want. In the real world loans have a contract with a repayment schedule, this may or may not allow for additional payments.

So what's your bank balance? If you have a huge transfer budget but the bank balance is lower then it's unlikely they would pay of the debt earlier.

If you are regularly making a profit each month or are extremely financial stable then you would expect the board to increase repayments to lower the overall length of the debt, therefore reducing the interest payable.

FM really doesn't work like this. I think the only way they will pay off the debt is if the balance is far greater than the debt itself. So you would need 500mil or so in the bank for them to consider. I believe in FM they will only pay off the debt in full, never the odd increased payment here or there. I have only seen it once in FM10 where the board decided to pay off the 30mil debt we had. I think my balance was 150mil ish.

As you say, if you are club legend in game then it could introduce a new feature to suggest to the board to focus on paying of debts earlier as large reinvestment in the playing squad is not currently needed.

This feature would be good enough, but you could also suggest to use part of the balance and drastically decrease the transfer budget to bring the debt down (currently I have around 300 million in the balance and making money enough to keep it growing).

Cheers

So what's your bank balance? If you have a huge transfer budget but the bank balance is lower then it's unlikely they would pay of the debt earlier.

If you are regularly making a profit each month or are extremely financial stable then you would expect the board to increase repayments to lower the overall length of the debt, therefore reducing the interest payable.

FM really doesn't work like this. I think the only way they will pay off the debt is if the balance is far greater than the debt itself. So you would need 500mil or so in the bank for them to consider. I believe in FM they will only pay off the debt in full, never the odd increased payment here or there. I have only seen it once in FM10 where the board decided to pay off the 30mil debt we had. I think my balance was 150mil ish.

As you say, if you are club legend in game then it could introduce a new feature to suggest to the board to focus on paying of debts earlier as large reinvestment in the playing squad is not currently needed.