Credit-card delinquencies hit record - Good read I thought.

AJ · 09-28-2005

http://money.cnn.com/2005/09/28/pf/d...ex.htm?cnn=yes

I gotta say for a lot of people alreayd living paycheck to paycheck that's exactly true. And I don't know where they get this average as last I checked we drop at least $60 a month into the tank on our little Prizim.

Outlaw1 · 09-28-2005

After reading that article I can understand why some people are having problems paying their bills. It takes about $60 to fill up my F150 Supercrew and I only get 320-350 miles out of a tank.

CDeutsch · 09-28-2005

What a bunch of dip shits. They didn't even mention anything about the bankruptcy law that takes affect Oct 17. The number of bankruptcies in the last few months has sky rocketed. And what do you do when you plan on filing for bankruptcy? You stop paying your debt.

You really have to wonder what kind of agenda a site like that has. I scanned some of their tips on getting out of debt and not one mentions bankruptcy. Apparantly they want to make sure you pay that 20% interest until you debt is clean or your dead (and then they'll probably go after your family). I guess they don't want to report the real problem of how out of control credit is in this country.

Credit can be such a scam. People need to be more careful about it because the government is making it harder to get out of it for those that are way over their head. Big chains like Marshall Fields are obsessed with it. I know people that work their, and even if they sold $10,000 in merchandise their managers wouldn't give a shit. They only care about how many credit cards their employees open because that's where the real money is. They even force their employees to use their credit cards to take advantage of store discounts in the hope you'll pay them back 10 fold in interest. It makes me sick. Don't ever open a store credit card.

Outlaw1 · 09-28-2005

Quote:

Originally Posted by CDeutsch

Credit can be such a scam. People need to be more careful about it because the government is making it harder to get out of it for those that are way over their head. Big chains like Marshall Fields are obsessed with it. I know people that work their, and even if they sold $10,000 in merchandise their managers wouldn't give a shit. They only care about how many credit cards their employees open because that's where the real money is. They even force their employees to use their credit cards to take advantage of store discounts in the hope you'll pay them back 10 fold in interest. It makes me sick. Don't ever open a store credit card.

It's hard to buy everything with cash, that's what I try to do though. Interest is just money thrown away. What blows me away is interest paid on home loans. Shocking.

LaunchHard · 09-28-2005

I totally agree with you on all that. And when they mentioned other companies can give you a penalty on your card from paying a seperate card late even if your payments are current, thats total bull-shit

CDeutsch · 09-28-2005

I'm as bad as anyone with pissing money away on interest (the last two years I bought my winter cars using a CC and the second mortgage on my home has a minimum payment that's interest only), but I'm trying to put an end to that.

I don't mean to overshadow the screw job on gas prices, but that bankruptcy law couldn't come at a worse time with the huricanes, war, gas prices etc. It'd be nice if the govenment could start helping people help themselves instead of waiting for them to have nothing and then trying to support them. But they're too busy helping the rich get richer.

Outlaw1 · 09-28-2005

Quote:

Originally Posted by CDeutsch

I don't mean to overshadow the screw job on gas prices, but that bankruptcy law couldn't come at a worse time with the huricanes, war, gas prices etc. It'd be nice if the govenment could start helping people help themselves instead of waiting for them to have nothing and then trying to support them. But they're too busy helping the rich get richer.

You are correct, that's a huge problem. We have the resources, just not the ambition to establish programs to help the people who are really in need. Hell, even some of the people in need don't have the ambition it takes to get back on their own two feet.
And as far as gas prices, what's the use in going into a POS country and blowing it to hell if we can't even get some cheap fuel out of it?

**Halon** · 09-28-2005

Ya, let's sit here and point out every flaw in our government because that makes us winners! Or maybe you should just learn to budget and not count on the government to bail you out of everything. Take control of your own life and quit depending on outside help for every little thing. I spend an extra maybe $20 a month on gas due to the increase. I don't think that is going to make me deliquint on payments.

CDeutsch · 09-28-2005

So you're prepared to take care of yourself if we get wiped out like New Orleans?

For the most part I agree with the "take care of yourself" principal, but when 1/3 of my income goes to "not helping myself" I'd expect that to go to good use. When it's being used inappropriately I'm going to bitch.

**Halon** · 09-29-2005

No one can be fully prepared for that. But I won't sit and insist that the government owes me something because of it. I'm sure I'll get relief from Red Cross type stuff, but I won't expect the government to make sure I get the same life back that I had before. I'll take the help I can get, but for the most part take responsibility for my own life and work hard to get back what I can.

I also don't carry a huge debt(my only debt consists of $200 I owe on my VISA). I budget my money, and keep myself out of debt, and have money in savings as backup. If I have $5000 for a car, I buy a car for $5000, I don't put a $5000 downpayment on a 20k car and be 15k in debt so when a storm comes and wipes it out, I have this huge debt to worry about. That's how I live because it just makes sense to me.

ABV · 09-29-2005

Quote:

Originally Posted by CDeutsch

I don't mean to overshadow the screw job on gas prices, but that bankruptcy law couldn't come at a worse time with the huricanes, war, gas prices etc. It'd be nice if the govenment could start helping people help themselves instead of waiting for them to have nothing and then trying to support them. But they're too busy helping the rich get richer.

The government is forcing the hand of CC companies to raise the minimum amount due each month. Most companies are raising it from 2% to 4%. It might sound bad, but it will help people get rid of thier CC debt faster, and maybe, hopefully, make them think twice about racking up all that debt. They have also talked about putting a warning/notice on everyones statement. Think of it as kind of a surgeon generals warning on a pack of cigarettes. It just tells the consumer that if they only make the minimum payments, that it will take them xx months, and they will pay $xxx.xx in interest.

If you really want to stick it to the CC companies, pay off all your CC debt, and use a rewards card, to get freebies from the company. Just make sure you pay it off every month. I currently have about $4,000 on a CC at 0% interest until June. I could pay it off pretty quick if I wanted to, but I'd rather borrow the money for free, and use my savings to make money instead.

One last thing. Bankruptcy is not a "Tip" for getting out of debt. It's just a way to pass your own debt onto other consumers who actually pay thier bills.

CDeutsch · 09-29-2005

Quote:

Originally Posted by RoboBot

One last thing. Bankruptcy is not a "Tip" for getting out of debt. It's just a way to pass your own debt onto other consumers who actually pay thier bills.

I agree with everything but you're last statement.

Bankruptcy is a very viable option for those that are in way over their head (no it's not for everyone, "way over" is the key word here). I used to think the same way you do, until you meet someone whose in that situation. For them, there at the point where it's bankruptcy and have a fresh start and can actually work and have money to live, or start trying to qualify for government assistant where you get money for doing nothing. Now which would you recommend? Have the tax payers pay for god knows how many years, or have the "poor, incocent credit card compnies" right it off. Sure it was their own fault for ending up in that situation, but regardless they're there and those are the options.

**JET** · 09-29-2005

I agree with Mark. If they go bankrupt they won't just go delinquent on their CC, but also their other loans and bills. That costs the rest of us consumers money because we have to make up for them. It is just like people being on welfare, the rest of us pay for it.

I am a hard ass when it comes to things like that, if you rack up the debt, you pay for it. What ever happened to being responsible for your own actions?

Outlaw1 · 09-30-2005

Last year at this time I was paying half of what I pay for fuel now. My fuel bill has doubled, and that's more than $20 a month difference for me. Just for reference sake, I have driven more than 31,000 miles in the last year. Luckily I make enough money and I can absorb the cost easily. What about those people that are just getting by? It's easy to say "get a better job", but that's not the only solution. I don't see how raising the fuel prices could help anyone, except the people selling oil/gas and the government that taxes them. I am onsite at the 7th largest refinary in the United States and I have not found anyone that could justify the price of oil/fuel. Maybe I'm asking the wrong people. Within the last two days the price of fuel has gone from $2.56 to $2.76 at the gas station close to my house. Who is that helping? Not me.

CDeutsch · 09-30-2005

The only good thing that could come of the high prices are maybe people will stop commuting in Trucks and SUVs.

Outlaw1 · 09-30-2005

Quote:

Originally Posted by CDeutsch

The only good thing that could come of the high prices are maybe people will stop commuting in Trucks and SUVs.

I'm from Texas, we all drive trucks. I own several. Ya gotta have a vehicle that can pull a gooseneck horse trailer, haul firewood, make it down a dirt road in the rain while pulling a trailer without getting stuck and still keep the family comfortable while pulling your fifth wheel travel trailer out of town for a weekend get away. I'm still kinda shocked there's so many people with little cars here. I was here for nearly two weeks before I saw my first Ford SuperCrew. From conversations I've had with the locals and my neighbors (BTW very nice people), the majority of people here are "city slickers". Nobody cuts their own firewood, no hunting leases, no four wheelin', no horses/cattle... I really thought it was gonna be the exact opposite since there's so much open country up here.

CDeutsch · 09-30-2005

Key word here is "commuting". I'm from ND and the people who own trucks and SUVs there actually use them like you describe and then some and I'm not against that. Here people use them to drive to their office job. They always say "well it's nice to have, because we tow our boat once a month, blah, blah, blah". In reality it's used as a utitlity vehicle 2% of the time and as general transportation 98% of the time. Here's an idea, get a truck AND a car and use the right one for the right job. Seriously get a Honda and stop fucking up traffic, parking, etc with your oversized, overprized, gas wasting land yaht. The bad thing is they've gotten so "buick like" that idiots actually think these vehicles stop and handle like cars.

**Halon** · 09-30-2005

I drive a 4cyl galant, gets on avg 27mpg. My uncle drives what I consider to be a fairly big truck. He has a Dodge Ram Cummins Diesel. When I was working with him this summer, he avg right around mid-low 20's with the truck full of painting crap, and towing his big trailer full of painting stuff. That big truck was getting about the same mpg as my dad's buick. That's pretty good I think.

Maybe it's because I came from japan where they payed around $4/gallon a year ago. So I can't imagine what they pay now. So even though are prices are up, they still are no where near what they are paying so I still consider myself lucky. Or again maybe I don't blame things going wrong in my life on the government. I like to think I am in control of my life and so I just work hard to make sure that I am OK instead of counting on some agency or the government to come to my rescue.

Outlaw1 · 09-30-2005

Quote:

Originally Posted by CDeutsch

Seriously get a Honda and stop fucking up traffic, parking, etc with your oversized, overprized, gas wasting land yaht.

I'm not driving a Honda.

Hell, I feel like half a sissy boy driving my DSM. You have a good point though, and that is exactly what I do. My FWD DSM got over 30mpg and I'm hoping I can average somewhere around 25MPG in the AWD car. If not I will pull the t-case/driveshaft and FWD around until snow is on the ground and the AWD will be a benefit.

CDeutsch · 09-30-2005

Smart man.

I don't so much care about the mileage they get (as long as the owner doesn't bitch). I just think they're too large for everyday driving and they're defintely not helping traffic any. Most of it is probably because I can't F'n see around them and they're driving in the left lane like they own it.