JMan:
The United States government is trillions of dollars in debt, so how can we not expect our citizens to act the same way. At one time, and this still may be the case, the interest alone on the U.S. debt was the third largest expenditure in the annual budget just behind defense and social security. And the debt is increasing at an alarming rate as well as the budget deficit. Our government mirrors our citizenry.
The United States government is trillions of dollars in debt, so how can we not expect our citizens to act the same way. At one time, and this still may be the case, the interest alone on the U.S. debt was the third largest expenditure in the annual budget just behind defense and social security. And the debt is increasing at an alarming rate as well as the budget deficit. Our government mirrors our citizenry.
great point ted....but we can and need to do something about our selves...trust me i know my wife and i were up to our neck when we first got married....but decided to bite the bullet and come away clean...it was probably the most hated and gratifying 6 years of our lives....a very valuable lesson learned....now we have one with a 10,000 dollar limit on it setting in cabinet....each time we think about it all we have to do is laugh about what we went through....by the way my major was in communications and public relations.....thanks for the time jeffksu
I had credit card problems in college. Not severe problems... Charged up about $3000 worth of credit and ended up paying 10k to get it resolved.
I'm very saavy with money now because of that. I'm actually grateful that it happened to me so I could learn everything there is to know about managing my personal finances.
We need to start teaching the nations youth IN HIGH SCHOOL about credit, etc.
The best classes in high school are those that teach a young person how to manage their credit/finances, how to get a job, how to prepare for a job interview, etc.
Those are things that matter... I suppose it's good to learn about the War of 1812 and what X equals if X2=y7*3...but it doesn't really help you in the real world.
I'm very saavy with money now because of that. I'm actually grateful that it happened to me so I could learn everything there is to know about managing my personal finances.
We need to start teaching the nations youth IN HIGH SCHOOL about credit, etc.
The best classes in high school are those that teach a young person how to manage their credit/finances, how to get a job, how to prepare for a job interview, etc.
Those are things that matter... I suppose it's good to learn about the War of 1812 and what X equals if X2=y7*3...but it doesn't really help you in the real world.
You should also actually USE your credit cards. Having open credit does nothing for your credit report.
Use it once monthly and pay the entire balance to build a long history of succesful credit use.
Best thing to do with credit is...If you don't have the cash and you need something... Ensure that you can pay 90% of the item at your next billing date...and then the other 10% the month after. If you can't... Then you probably should walk away.
Cars and homes are obvious exceptions. Not everyone can fork over cash for either of these items up front. Credit is a necessity for some.
As long as we have credit in this country... The poor/ignorant (those who can't manage their money and live paycheck to paycheck) will continue to be poor and the rich (those who own credit companies and can manage their own finances) will continue to get richer.
A person's credit history is also a good indicator of their intelligence.
Use it once monthly and pay the entire balance to build a long history of succesful credit use.
Best thing to do with credit is...If you don't have the cash and you need something... Ensure that you can pay 90% of the item at your next billing date...and then the other 10% the month after. If you can't... Then you probably should walk away.
Cars and homes are obvious exceptions. Not everyone can fork over cash for either of these items up front. Credit is a necessity for some.
As long as we have credit in this country... The poor/ignorant (those who can't manage their money and live paycheck to paycheck) will continue to be poor and the rich (those who own credit companies and can manage their own finances) will continue to get richer.
A person's credit history is also a good indicator of their intelligence.
Fishhead said:
I have my wife filter my mail for me so I don't even get credit cards... And therefore never sign up for them.
Never needed one. Any emergency I'd have could be covered with a debit card and those are used same as credit so no need to even have a CC.
I actually have two which I use frequently and pay off balance monthly to keep my credit history going... But other than that credit cards are a neccessity of the unfortunate
I think credit cards are GREAT in the right hands.
1) I get a portion of my purchases refunded and/or accumulate points I can use for hotels/airfare.
2) I get a good record of paying debt so I can buy a house with someone else's money (mostly).
3) When I travel, I do not have to carry large amounts of cash/currency and/or travelers checks.
4) I can pay for items where the purchase price exceeds the amount I can charge via my debit card and do not have to carry cash.
5) I do not have to use checks and give personal information.
6) I do not have to use debit cards which instantly take money from my account since there are maybe 2 people in the world I would trust to have access to my bank account.
7) Related to the above, if I have a dispute with a merchant a company goes to bat for me without costing me a penny or limiting access to my funds.
My point is that for people who use credit wisely it is a great tool. For the record one of my biggest credit blunders is using a charge card for which I pay a fee. I have a few no fee cards but I like the charge card the best since it virtually ensures that I pay all my charges each month since it does not automatically revolve.
1) I get a portion of my purchases refunded and/or accumulate points I can use for hotels/airfare.
2) I get a good record of paying debt so I can buy a house with someone else's money (mostly).
3) When I travel, I do not have to carry large amounts of cash/currency and/or travelers checks.
4) I can pay for items where the purchase price exceeds the amount I can charge via my debit card and do not have to carry cash.
5) I do not have to use checks and give personal information.
6) I do not have to use debit cards which instantly take money from my account since there are maybe 2 people in the world I would trust to have access to my bank account.
7) Related to the above, if I have a dispute with a merchant a company goes to bat for me without costing me a penny or limiting access to my funds.
My point is that for people who use credit wisely it is a great tool. For the record one of my biggest credit blunders is using a charge card for which I pay a fee. I have a few no fee cards but I like the charge card the best since it virtually ensures that I pay all my charges each month since it does not automatically revolve.
