Credir card debt --staggering

Discussion in 'Economics' started by NY_HOOD, Dec 18, 2008.

  1. heavy credit card debt affects many other areas of your credit life.

    And in this chaotic, depression-possible economy, sound financial heath is one step away from unexpected disaster. Try reading what happened to Brandon regarding his health tragedy and medical insurance situation.
     
    #71     Dec 20, 2008
  2. ET873

    ET873

    My view is that weaknesses in the lending system should be brought up first, and then if nothing is done, exploited to such a point that change must happen. It's the same thing that happens with computer viruses. A lot of hackers do publish and warn about the exploits found before creating a virus to exploit. A lot of hackers only create viruses because viruses are the most effective methods for fixing security problems. If no one exploited security vulnerabilities, operating systems, web applications, etc. would be a lot less safe than they are today.

    Second, consider who benefits by allowing weaknesses to exist in the credit system, only the bad people. If someone is allowed to take a huge debt and not repay it, who does pay for it ultimately? The people who do repay their debts and interest. The worst type of system is the one where the worst people benefit at the expense of higher costs (in any form) applied to those who make the system work. It's really an inefficiency that should be removed.
     
    #72     Dec 20, 2008
  3. I love it when people talk about how Americans are living way beyond their means without ever pointing out what the alternative is. Yes many people bought homes they couldn’t afford. But can you blame them? The American dream was slipping away and mortgage lenders offered them a way to buy a house. Where I live at the height of the housing boom, even a condo or townhouse still cost over 300k. Now, they are still over 200k. The mortgage payments alone are over $2000 a month. How can an average guy making $10 or even $20 an hour ever afford this? How would they have ever saved 50k to put down a 20% down payment? If they go to school to get a better job, they have to take out more loans to afford it.

    As far as credit card debt, yes many people bought big screen tv’s, but a lot of it is simply higher cost of living. Again, can you blame the guy making $10 an hour because he wants health insurance that cost hundreds a month? Rent where I live is still over $900 for a 1 bedroom apartment. Then the CC companies jack their rates to 24% even though they have perfect payment history. Then they’ll never be able to pay it off because all of the payments go to interest. It’s a vicious cycle.

    I for one am hoping housing prices continue to crash. Homes are meant to be places to live, not investments and ATM’s. Those who paid too much can still eventually pay off their mortgage, those who can’t will get foreclosed on and the banks will take the loss, and who really cares about them?
     
    #73     Dec 20, 2008
  4. no offense but you were born a slave, you will live a slave and in all probability will die a slave

    there is no land of opportunity there never was and so long as most humans don't find another entity to replace the slaves they are, there never will be. To believe otherwise is just utter nonsense, you just want to believe it so you can have hope for the future

    no one wants to admit their life is crap, when it really is. Because then there remains no reason to live

    for the sake of simplicity we will assume god created this universe, this god is rather incompetent he knows he created a fucked up shitty system, he knows there is no way for everyone to have life in this system, but only a few can live while others work, but because of his pride he wants to keep this crappy system running at whatever the cost, and that cost comes at the expense of your life

    if i can't live why should anyone else or if i can't live i will work so others can live or ..., you choose
     
    #74     Dec 21, 2008
  5. OK so I guess you are proving my point. People lived beyond their means because they saw no other way to finally get ahead.

    Somebody told me a few years ago that God only helps bad people and punishes good ones. I didn’t believe him, but I have slowly realized that it’s true. Bad people win, good people loose. This has been hard for me to realize. I was raised a Christian and taught to always do the right thing etc.

    I hope to one day to take down just one bad company and put them out of business. Hopefully it will be a big credit card company, but I would be satisfied if it were some local restaurant franchise that treats their employees like crap.

    I’ll admit my life is crap, but I’m not quite ready to give up, close, but not yet.
     
    #75     Dec 21, 2008

  6. Interesting thoughts..............

    For the sake of discussion, lets look at this created world:

    I believe that every minute we breath air, we have possibilities, potential, options........

    Look to nature.......a bird is designed to fly in the air and to walk on the ground.......it has massive potential to seek food and water...both from the heights and from the ground......but if it never left the nest, it would die.....

    So it is with us.....if we never make use of the potential and possibilities in front of us, we will never reach our fullest development, and indeed would become a "slave" to fear or sloth.

    I will take "hope" any day of the week.
     
    #76     Dec 21, 2008
  7. On the contrary. They lived beyond their means because they wanted instant gratification, they felt entitled and were unwilling to put in the time and effort to earn what they wanted legitimately. Unfortunately they were enabled by greedy lenders, etc. Now everyone's getting what they deserve.
     
    #77     Dec 21, 2008
  8. What a pathetic victim's mentality. Do you also think it's McDonald's fault for "making people fat?"

    Nobody forced the borrowers to borrow and they're the ones who are breaching their side of legal agreements.

    We need debtors' prisons and a sense of personal responsibility in this country.
     
    #78     Dec 21, 2008
  9. Your obviously not getting my point. Why do you people always give the “work harder” answer to everything. How is someone starting out now ever able to save enough to put down 20% on a 200 or 300k mortgage? By the time you save 50k, the house will go up another 100k, and then you’ll have to save even more.

    How is someone who makes $8 an hour ever able to afford anything beyond a 1 bedroom shack and Cup O’Noodles? If they work 40-50 hours a week, are they not working hard? Oh I forgot, they’re the scum of the earth working low wage jobs. They deserve to live in poverty because they’re not educated. If you worked 2 jobs just to pay the bills, don’t you think you would think you’re “entitled” to a few luxuries?

    Tell the person who racked up the credit cards to pay for outrageous medical expenses that they should work harder. Tell the person paying hundreds a month on health insurance, they should work harder. Tell the student who just graduated with 50 or 100k in student loans to work harder.

    The baby boomers who taut this “you don’t work hard enough” crap did relatively little to deserve their wealth. They were blessed with good paying jobs before corporations shipped every job to Mexico and the government shipped Mexican’s to take the rest of our jobs here. They rode the inflation boom since the late 70’s when the Dow was at 500 and a 5,000 square foot home was $50,000. And they will get their social security and pension checks that are paid for by my generation through taxes that I will never benefit from, and inflation that I pay for through higher prices.

    So now maybe you’ll rethink why people hit up the credit cards. Bring down the cost of living and you’ll bring down debt. Bring back good, productive jobs, and you’ll bring down debt. Otherwise we will never fix the root of the problem.

    And you guys wonder why people voted for Obama. You tell them to work harder, he gave them hope, or at least the illusion of it.
     
    #79     Dec 22, 2008
  10. hughb

    hughb

    And nobody forced lenders to lend. They shotgun out mass loan applications and never bother to check if any of them actually have the ability to pay.

    We need creditor's prisons and a sense of corporate responsibility in this country.

    Fuq the moneylenders.

    And fuq you for chopping up my post to meet your corporate asskissing agenda.
     
    #80     Dec 22, 2008