Posted on 03/10/2005 4:06:42 PM PST by West Coast Conservative
It's not like they don't have access to their credit history. Banks loan to high risk people because they know they can get a high rate and charge higher fees. Banks pass out credit cards like candy and now have the feds to clean up their mess.
I am all for personal responsibility but this soon to be law is for special interest only. Did you know Attorneys will be liable for any undisclosed assets of the filer. <p.
Have you once thought why this law is being passed. Credit Card companies are not going out of business. CC companies earn large profits even with the bad debts. Historic low interest rates and still many with effective rates exceeding 25%. I only stating facts so don't start calling me a liberal. The government has not business protecting the free market with special interest laws.
Pay off every month. Don't let the bastaads -- the credit card companies -- charge you interest. I agree they're pirates, but I'll take their 30-day interest free loans any day. It's when you borrow longer than that -- and let them stick you with interest and jerk you around -- that you're asking to get suckored.
Sandy I have been in banking and finance all my life.
Even co founded a bank in the 80's. MBNA will NOT lower rates. They are little better than loan sharks, and spent tens of millions to buy this vote on capitol hill. Please read post 32 for the TRUTH about bankrupcies.
Yeah, but one or two years after a bankruptcy, there are still banks that will line up to offer mortgages to them. So I am not sure where the lesson is.
LOL!!!!
At a minimum debt that is already incurred should continue to be treated under the deal you signed up for. And any new additional debt with that company should be treated under the new terms. They shouldn't be able to change the terms on the debt you already have.
Source please? Why not add in 4) the wage earner was killed while saving a kitten from a tree, 5) the wage earner was pre-occupied with helping tsunami and hurricane victims, 6) the wage earner gave all his money to help street urchins, ...
Losing one's job is something that one must consider when using credit to buy the vacation, or the snowmobile, or the big-screen TV, or anything for that matter. Credit is not a right, you are promising someone a piece of your future earnings for some of their present accumulated earnings. It should be difficult to steal their money and give nothing in return.
If you die or are ill, then you should have had insurance to assist your family. Sounds heartless? People that plan ahead and are in control of their lives are much happier than those that worry about each and every bill and where the money will come from.
At the end of the day, it comes down to living within your means, and borrowing only to pay for things that will generate additional income, any other strategy in the long run is disaster.
People believe they must have a microwave oven, two cars, a VCR, multiple TV's, $2,000.00 vacuum cleaners (yes, it's true), computers, etc., to keep up with the Joneses. So they charge it, instead of saving for it, and get in over their heads. Allowing the purchase of groceries on credit did not help matters either. Many consumers are foolish and easily led (thus the success of advertising).
The credit card companies are in the business of giving people credit. They (the credit card companies, et al) created the credit reporting agencies so they could keep track of people's credit histories, and determine credit-worthiness. Sometime in the late seventies, early eighties, it appears that the credit-worthy were not bringing in enough revenue and an effort was made to get more money by offering more credit to people who were already over-extended (the un-credit-worthy). I believe usury laws were also loosened sometime around then, allowing creditors to charge higher interest rates (although that may be a state thing). And so on and so on. I've been in the bankruptcy world for nigh on fifteen years. It's gone from medical and tax debt to tax and credit card debt. It started in the eighties when the economy was "so good." It was all based on credit. No actual money changed hands.
Man, I can go on and on.
Maybe so, and I don't know the details of the bill, but if Ted Kennedy is for it, there must be something wrong with it.
As I understand it, the key provision of the new law says that if your income is above the median income for your state, you cannot file Chapter 7 (get out from under debt), but must file Chapter 13 (live on a super tight budget - beans, rice, cornbread) and pay the debt back under court supervision.
Seems to me that real bad medical problems, death of the principal wage-earner in the family, etc., would drop the income for the family, likely below the median for the state. Of course, I don't have all the details on the final bill.
I call this the "Loan Shark Enablement Act".
I didn't know that attorneys will be liable for any undisclosed assets of the filer. Does that mean what I think it does?
Why do you think this law was passed. I've paid scant attention to it because it sounded like a good thing. Too many people run up their credit cards deliberately, don't want to pay it back and declare bankruptcy.
Excellent slam, my man.
On this point, I will agree with you.
Luck has nothing to do with it. It is about decisions you make in your life. Every decision is important. Every single one.
Yes, the credit card industry paid a few million and got perhaps $1 billion in profits in return, without having to change their predatory behavior one iota.
And I am so glad the Congress rushed to take care of this CRITICAL issue...border security, tort reform and ANWR are not nearly as important. The FBI Director is saying terrorists are coming across the border? Put it on hold...we have to reward our corporate donors. Doctors are leaving medicine and refusing to perform risky surgery because of John Edwards and his ilk raping them blind? Put it on hold, only a few kids will die because a less skillful surgeon performs their brain surgery...we've got to foreclose on a family who just lost their dad to cancer. Hooray!!!
I pay what? Please clarify.
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