Posted on 04/08/2005 6:15:18 AM PDT by FlyLow
The Muslim world has strict prohibitions against usury. Medieval Europe similarly shunned it.
The abuse of credit leads to great evils. But the wise management of credit yields enormous benefits and fuels prosperity for everyone.
This argument totally sucks wind! In 1992, I was denied a mortgage of 50% of the price of my house on a 15 year mortgage, (primarily because I was in the military). The mortgage companies almost "demanded" a 30 year mortgage with no points and no down payment.
I ended up paying 50% down and a 15 year mortgage after going though 4 different motgage companies, due to my stubborness not to part with my hard earned dollars.
I would have loved to present my wife with a domicile that costed $300,000 or more on my military income.
Applpie,
I'm not sure why you are addressing this to me, I know exactly where you are coming from and agree with you! I was calling the credit card companies a bunch of lying thieves (which they are) and that they bought congress for 25 Million and that republicans should be tarred and feathered for this bill.. its an abomination.
I agree with you, banks have created their own messes, and now want government to bail them out of taking responsibility for them.
DEBT IS DUMB!!!! LIVE ON LESS THAN YOU MAKE!!
When you are praying to Jesus to help you improve your financial predicament, and a credit card comes in the mail.... I AM TELLING YOU.. JESUS DID NOT SEND THE CREDIT CARD! RIP IT UP AND THROW IT AWAY!
If you have credit cards, pay them off and cancel them.. tehre is absolutely no reason to have them anymore. The argument they are more convient than Cash died the day the debit card came about.
PAY THEM OFF, RIP THEM UP, AND FLUSH THEM DOWN THE TOILET!
(Yes I know some folks will argue they use credit/credit cards to make money... and yes a small percentage of folks do..... a VERY SMALL percentage. Most use them to create consumer debt on things they don't need!.. Save your money and pay cash for the toys and things you want in your life... don't borrow money for it.
It is odd that legislators who supposedly ask themselves WWJD vote for a bill HE would have detested.
It is odd that Ive stumbled across some guy on the internet who can read the mind of God and devine his thoughts on debt legislation.
Just curious, did I say something that moved you to write that?
Credit Cards don't help you get mortgages, in fact they can hurt you! If you have a credit card with open credit on it, the bank assumes that you will charge it up to the max (because guess what, MOST FOLKS DO.. they get a house and then go buy drapes, furniture etc etc etc to fill that new house and they do it on credit!) So large open balances on unsecured lines of credit can be a hinderence to finding a mortgage.
If you are currently living your life with no debt, I definately would like to A) give you Kudos, you are living on less than you make which is better than most of the american public! If you are doing this and saving for your retirement you are doing better than 95% of the american public... if you are doing this and you have a retirement savings of over 100k currently you are doing better than 99% of the american public!
Stay away from debt as much as you can... Yes I understand a mortgage may be needed to get a home, and that's fine... but please don't fall into the trap of consumer credit, or that you need credit cards etc to get a mortgage.
You should avoid debt as much as possible in your life.
(Yes some will make arguments about using debt to build wealth... that's an ENTIRELY different situation that 99.99% of people use debt for.. so please don't fall into the trap... you are not creating wealth buying big screen tv's on credit cards... unless you have a plan to sell them immediately for more than you paid for them).
No, you were just the last poster when I hit reply :-)
So if you promise to pay, you don't have to?
I had a 740 credit score when we bought our house 7 years ago, and I had no outstanding debt and a fairly large savings account. It's easy to pay off your monthly credit card debts when you have an extra $500 a month to pay them off. Instead, that $500 goes to Mortgage companies interest, taxes, and PMI.
I love living in a home, but don't let anyone tell you it isn't more expensive. My credit is still good since I still pay my debts on time, but my savings is nil because every time an unexpected expense comes up (brakes need fixing, plumber needs to be called, kid needs shoes) it came out of my savings and the credit card eventually was used for these things. Luckily it's not bad right now, but if there was and unexpected expense of $1000 or more, I would be screwed. I can see how people get into trouble and that's without being shop-a-holics.
Same here! I graduated two years ago, even worse is that when I changed states and had to find a new auto insurance policy I had to pay through the nose because I had been responsible and never taken on any debt (thus not generating a credit history).
Let me get this straight. You had to pay a higher auto insurance premium because you didn't have a credit history?
I should have included with 100% or greater financing.
"William S.: "Neither a borrower nor a lender be"."
First of all, that was Poor Richard (Ben Franklin).
Secondly, without debt, there would be vastly fewer homeowners, millions fewer vehicles, far, far fewer businesses, etc. By the way, what pays the interest on savings investments--that's right, debt. Without debt, TRILLIONS of interest-bearing products would simply not exist.
You say debt is bad. I say bad debt is bad, and that, without any debt, you would not recognize our world at all.
What the heck's a corporate spy do? And yeah, a private reply is just fine.
Many insurers are tying their rates to credit "scores;" have a low score and a perfect driving record, and you're still going to pay a high premium.
There is this consumer advocate on the radio by the name of Bud Hibbs. He is basically waging war against the credit/collections industry.
He was talking about how people in bad financial shape are stupid to file bankruptcy under the old or the new system. That provisions of various federal laws make it possible to simply stop paying most unsecured debt such as credit cards with very little that the companies can do in return. According to him this was prefferable to bankrucptcy because bankrucptcy was a public record that would haunt you for the rest of your life, while credit card "charge offs" will drop off your credit report in 7 years.
I've always paid my bills on time and am certainly not advocating this approach. But, I was wondering if anyone knew if it was true or not? I went to Mr. Hibbs website and he doesn't seem to be a con-artist (I.E. all his information is free).
http://www.budhibbs.com/
I just learned something, I guess.
Do you have any web based source for this practice? I'm not saying you are wrong, but I'm facinated by this claim and I'd love to look at it more closely.
With all due respect, I think you should read the LEGAL agreement which OBLIGATES each side to do certain things. It's a legal contract with obligations.
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