Posted on 02/27/2012 6:49:58 AM PST by upchuck
Edited on 02/27/2012 6:51:05 AM PST by Admin Moderator. [history]
More American households are falling back into the debt hole, this time without the safety net of home values to help bail them out, the New York Post reported Sunday.
Last year, total US consumer debt reached its highest point in a decade, according to a credit card industry observer.
(Excerpt) Read more at myfoxdc.com ...
MAKE MONEY FROM YOUR CREDIT CARDS
A few generations ago many businesses, even gas stations, offered discounts for making purchases with cash. But the credit card companies put a stop to that by not authorizing use of their cards by businesses that offered cash discounts.
Now it has come full circle and many credit card companies themselves have some kind of rebate or cash back program for using their cards.
Since we cannot commonly get discounts for buying with cash we use credit cards that give us a rebate or cash back. We charge everything possible unless there is a fee attached - like local taxes, etc. And we pay the full balance at the end of every month. RELIGIOUSLY. We never pay interest or any kind of membership fee.
So we use the credit card company to float our purchases interest free and to give us a small amount back in lieu of a cash discount.
This is a good startegy for anyone with the self control to avoid carrying a balance over into the next billing period. It is not for those too far in debt or too weak willed to avoid running up large balances they cannot pay off immediately.
The growing debt is less a matter of people spending beyond their means, but rather, a consequence of the rising costs of fuel and food and declining wages. Many people are living at the margin and from pay check to pay check.
You make entirely too much sense. But as long as there are food stamps, bread lines and welfare, fewer people will take the responsibility of life seriously.
“Live a debt-free life.”
###
Why?
The losers and parasites are forgiven REPEATELY, dragging conscientious, fiscally honest citizens down with them.
That is the message being sent by the Tribal Administration.
Your advice USED to be very sage.
I remember in the 80’s that every night CBS news would end the broadcast with the story about the rebounding economy and then follow up with a story about some family living in their car.
Keep living like no one else and you can avoid being bitten by these snakes!
Dave Ramsey Fan Ping List.
If you would like to be added to the “Live like no one else, so that you can LIVE like no one else” list, feel free to Freepmail me.
Nice feeling, isn’t it? Serenity.
Keep living like no one else and you can avoid being bitten by these snakes!
Dave Ramsey Fan Ping List.
If you would like to be added to the “Live like no one else, so that you can LIVE like no one else” list, feel free to Freepmail me.
To Max out your credit card seems to be a badge of honor in today’s society. Only nerds pay their cards in total at the end of the month. I’m a nerd, thank you, but a nerd without debt. Let’s teach the kids that Heather has two mommies but let’s not teach them anything useful like debt management.
So that’s the secret, “stop spending” how simple.
The big key is restraint. My lenten sacrifice has to do with spending money. I eliminated “choices”(although I still have better choices than half the world’s population).
Although it’s only been a few days, it’s gotten me to stop and think about how much is going to stuff I really don’t need and how often I make thoughtless small purchases.
I also noticed in the comments on the original article that some one is blaming the banks and the loans. For the bulk, had they figured out what they could REALLY pay before going into the banks, mortgage companies, etc. and stuck to it, the banks would have a harder time being predators.
And then there is congressional pork......
Thanks for pinging the list.
Where you been?
Knowing the simple difference between, need and want would serve many people well. But too many people see everything as a need and that attitude is followed by debt.
What that report shows for December 2011 is that in 2008 debt grew 6.0%, in 2009 debt grew only 3.0%, and in 2010 debt grew 4.1%, and 2011 is looking at about 3.5%.
So, this article seems to be an alarmist type article that is typical of the liberal media.
You make too much sense.
Not so long ago the government encouraged people to be prudent, purchase wisely and save their money.
But over the last 30 years or so the government has changed course, encouraging overspending, purchasing what you don't need, borrowing beyond your means, getting into debt and not saving.
I knew for certain we were heading for another disaster when I heard (supposed conservative) Pres. George Bush's post 9/11 exhortation to get out there and spend (If we stop spending and buying the muzzies win!).
Now Obama has carried that insanity to its natural conclusion by punishing the responsible, the prudent and the saver while rewarding the irresponsible, the spendthrift and the debt ridden.
I agree with you that our educational system is basically failed when people don’t learn about basic finances. However, if schools actually taught this their students might think for themselves and realize that their education is over priced and drop out.
I’ve been working hard lately, but now I have a smart phone so I access FR at night. I’ve not yet figured out how to store and use a ping list from the smart phone....I guess it hasn’t made me smarter after all!
Thanks for your patience FRiends....
Same here. I have not had one of those damn ‘credit’ cards for many, many, many years.
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