 | Blogs > hopskipRUN > Through lavender fields > Why credit lenders want this bail-out |
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If I go to the store and pay $100 cash for a dress. The store makes money off me and I have a dress to wear. Decades ago, this is how we shopped. Or we could put the dress on lay-a-way and make payments and take the dress home when it was paid for. Credit card companies have inserted themselves into the formula. Instead of paying cash for the dress, we can charge it and pay it off in installments. The store can charge us more money for the dress, because we don't need to have the money in our pocket to pay for it. (In fact the store has to pay the credit card company fees for each charge sale and stores must pass that cost on to ALL of us, whether we use credit or not). Credit card companies can charge us interest and penalties on our dress if we don't pay it off in 30 days. We can end up spending many times more than the original cost of the dress. So who is the government helping out? Us? No. The credit card companies--who are stinking wealthy. In addition, if you call a credit card company about your bill, chances are you are speaking to someone in India. We citizens of America are not worthy of employment by the credit card companies. They want to save money and not pay workers comp, or a decent salary to us. Do you really want to bail out these leaches? People and companies who cannot operate without credit often fail. Credit is a big hole that we dig ourselves into and sometimes cannot get out. The only people who should use credit are the ones who don't really need it. The ones who can pay it off monthly and live without it. Credit is a monster if you cannot pay it off quickly. Credit card companies need to be bailed out so they can make money off us US!!! They have mismanaged, overshot the mark, gouged us too much, and now we're going to make them well again so they can insert themselves into our purchases???? Crazy. |
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10/2/2008 4:17 pm |
.....I agree on principle but our economy is like a runaway train. If you slam on the brakes it will lock up and really get out of control. We need to brake a little and let up brake a little and let up and keep doing this until the runaway train of credit comes to a safe stop. Only the American people can do that and I doubt that it will happen... what a great thing it was to be a U S Marine... I'll be one till I die." ....Ted Williams
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10/2/2008 6:31 pm |
hopskipRUN.... yes, it is crazy! I don't know exactly when it happened, but this has become a society full of individuals who think it is OK to - NOT TAKE PERSONAL RESPONSIBILITY for their own actions (living the large life on credit). As someone who has never charged any luxury item I couldn't afford to pay cash for, I resent having to bail out everyone who has enjoyed the fancy large home, new luxury car, huge wall-size TV, jewelry, clothing, every electronic toy ever invented.... so here I am on a rant  
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10/2/2008 10:01 pm |
The Banks have been pushing credit for quite awhile ever since the banks were deregulated by the current administration, Auto loans with Nothing down and 0% interest but the price of the vehicle was elevated so some got backwards on their car loans? Credit Cards with 24% Interest! Sub Prime Mortgages, Mortgages for 25% of equity, Home Equity loans to pay off credit cards. Interest Only Loans on Homes for 5 years just until they gained some equity and then they could refinance. Our own Country so deep in debt we will never see daylight? Young families with $300,000 to $500,000 homes with two kids in daycare and two incomes barely making ends meet? I have to wonder if they know what a lay Away is? So ep the economy was booming but it was a great big bubble just waiting to pop and Pop it has. Our own country just this year has borrowed 1 Trillion Dollars from China? Sure lets bail out these Banks and Mortgage lenders! Where is the end are we just delaying the inevitable?    The tears happen: Endure, grieve, and move on. The only person who is with us our entire life, is ourselves. LIVE while you are alive.
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10/3/2008 7:58 am |
Credit existed before there were credit card companies. Banks gave loans for cars, houses, and furniture purchases. Retailers theselves extended credit to customers. I lived in a poor area of Montreal as a kid. The small stores in the area let people buy on credit, and pay up at the end of the month. Credit cards like Visa and Mastercard certainly made it much easier to get credit and to buy stuff. This led to greater consumption, which made the economy grow, and made us all wealthier. The risk, as always, was that if people got in over their heads, they would suffer. And that's what happened. Caveat emptor.
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