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To: John Jorsett
My dad explained that if he paid off our family mortgage with 200.00 payments when he made 400.00 a month, we immediately would have had lots more money to spend. We would have spent it.
Since he let the loan go for the full 30 years, that 200.00 payment didn't look so bad when we were earning 2000.00 a month. Isn't this the plan in the long run?

Just asking.
10 posted on 02/07/2004 4:42:22 PM PST by netmilsmom (Homeschooling 1/5/04-6 yr.old now 2nd Gr./3 yr old now K)
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To: netmilsmom
Isn't this the plan in the long run?

If there's a "plan" in this beyond spending whatever you have plus 50%, I don't see it. Why is it essential that the federal government pay for a municipal swimming pool in East Armpit, LA, or a Museum of Spaghetti Strainers in Wisconsin? If the money were all going to worthy ends, it would be less bad, but a lot of this spending is just a bunch of kids whacking at the Washington pinata so they can grab whatever falls out.

14 posted on 02/07/2004 4:48:55 PM PST by John Jorsett
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To: netmilsmom
I hold the opposite philosophy.

Pay off the debt now, so that you aren't throwing thousands of dollars away in interest. Wouldn't you rather have that thousands of dollars in interest saved in your bank account for a rainy day, then going to the bank?

In other words, pay off the debt sooner, rather than later.

There are times when incurring debt is a good or necessary thing. Unexpected medical bills (borrowing from my personal experience) to saved a loved one's life. Borrowing money for college to ensure a higher earning potential in the future. Borrowing for a more secure, more reliable car so you can get to work on time.

But, again, the sooner you pay these off, the less money going to other people than your bank account.

Only one problem with the Dems. They won't pay off the debt, either. They fought the Republican Congress tooth and nail against a balanced budget amendment, spent money like crazy, and still fought us on the war on terror. They won't "save" money in a "rainy day" fund for us, they will spend it. And they certainly cried like they were pulling money out of their *own* darn pockets when President Bush wanted to give some back to the very people who earned it in the first place!

156 posted on 02/07/2004 7:02:10 PM PST by TheWriterInTexas (With God's Grace, All Things Are Possible)
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