Posted on 08/26/2011 7:11:11 PM PDT by Clintonfatigued
Credit card users are so focused on keeping their accounts in good standing that they've driven the rate of late payments down to its lowest level in 17 years.
The national credit card delinquency rate, or rate of payments 90 days or more past due, fell to 0.60% in the second quarter, down from 0.92% a year ago.
That's the lowest rate since 1994, according to credit reporting agency TransUnion.
Delinquencies were expected to drop, but the improvement in that April to June period was faster than forecast.
And the improved payment habits came despite increased use of credit cards, based on quarterly data reported by banks that issue Visa and Mastercard-branded cards and data from American Express Co. and Discover Financial Corp.
(Excerpt) Read more at mainstreet.com ...
Amen.
I do not own a credit card. I never will. I do have a debit card for convenience. I still owe on the house because I’m just still to young to hope to pay it off and I have a vehicle payment because I stay in newer vehicles under warranty. They are both on time if not early. People are depending upon that money just as I am my own paycheck.
That’s it. That’s all. And it’s still plenty.
I have no other debt. No one else own’s my time. Everything I have is mine and no one can take it away from me without assurance of return fire. Plan, save, and control yourself.
I have taken a downgrade in my personal financial life in Obama’s Recession as so many of my fellow Americans have. I make 60% of what I did 3 years ago. It sucks, but, going on credit has not been part of my plan to deal with it. Downgrade the cable service, eat out less, buy less frivolous items, patronize the dollar stores.......etc.
It can work and I am damned determined to see myself through this Great Recession in at least the same shape we went into it if not marginally better. No credit cards involved.
Late payments kill your score, raising your interest/lowering your limits... a vicious cycle.
So this is good news. The bad news in the article is that balances went up $20.
Tomorrow money is worth less but easier to make than today money. And yesterday money was harder to earn and worth more than today money. So if I buy something today with money I saved from yesterday it costs me more. If I buy something today and pay with money I will make tomorrow it costs me less.
If you are paying lots of interest then you are a knucklehead, but otherwise, I really don't see why people feel "free" without a credit card. I have one credit card payment, big deal. Far outweighed by electric, water, garbage, phone, blah blah blah.
I have no sympathy for the non-Americans that are hurt by us acting responsibly; we should do a “Hugo Chavez”, and not pay anything to anyone that doesn’t live here.
I'm in favor of limiting government ~ somebody gave weights and measures to the federales!
I'm in favor of limiting government ~ somebody gave money to them too.
Amen. I haven’t had a late credit card payment for many years. Could be because I don’t have a credit card.
Dave Ramsey rocks (we’ll be debt free in less than a year).
Living on credit is not good, pretty simple. The banks love it though.
States can handle usury laws. There are so many approaches, and well-meaning but misguided efforts that 50 experiments will give more benefit that one hard fought Congressional compromise.
I won't say that they are "knuckleheads" for it but I charge $3000 to $4000 per month on my credit card and pay zero interest. My card company pays me back $30 to $40 per month for using it. That's 1% cash back for purchases I would have made anyway, with or without a credit charge. In the mean time my credit union is offering .17% (Note the decimal point) on pass book savings accounts.
I'm getting paid, comparatively handsomely for using that credit card and the credit card company makes money by charging a merchants fee to acceptors of credit card purchases. The merchant, to recover those charges, charges everybody a little more, therefore, non credit card users are subsidizing my purchases and cash back arrangement with the credit card company.
I charge just about everything that's chargeable, including gasoline for two cars, groceries, phone bill etc. I tried to charge a new car purchase, the dealer wouldn't go along with it and I paid cash, same when I recently spent $5100 on a new furnace and air conditioner, they just wouldn't take a credit card. I don't blame those individuals, it would cost them about 3% of the purchase price to accept credit cards but hey! I use it when I can.
I don't even know any more what the interest rate on my card is, nor do I care.
Problem is the interest rate rules of the state where they do business (South Dakota, North Dakota, Delaware) prevail. Those states see credit card operations as nothing other than sources of employment.
There’s always a “problem” that needs solving to justify unconstitutional federal overreach.
Is there some problem here that you don’t understand? The federales have the power to “make money” ~
Is there some problem here that you don’t understand? The federales have the power to “make money” ~
If you’re going to be a conservative, you might study what it actually means.
For example, the Constitution empowers Congress to "To provide and maintain a Navy" ~ which certainly means build ships, build cannon, use armor, etc. That doesn't mean Congress has a monopoly on shipyards, but it obviously means they can do whatever is necessary to "provide" a Navy. States, BTW, are not allowed to keep Ships of War during a Time of Peace WITHOUT Congress' approval.
Most interesting. Only knowledge of that doctrine would have given the Founders the foresight to prohibit states from having warships just sitting about.
So, when it comes to money, we have to look at the ordinary usages of money ~ and right there in the "post office clause" we find the power of Congress to create a bank savings system ~ a common enough understanding of post offices worldwide ~ and that includes paying or receiving interest. Implicit with that we find "setting the rates".
Set all the rates you want, but don’t put me and my neighbor in jail for setting our own rates.
Done.
Yes, we will jail you for 30% ~ and maybe for 20% ~ possibly 16% ~ but you get down around 12% you’ll get out in time for next Christmas.
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