A debt perspective

[jamesqf]

Originally Posted by darcane

One problem with our housing market over the last... 15 years or so is that your experience is the exception, not the rule. You saved up to put 20% down and almost nobody does that on their first home.

Should the fact that many other people act less than wisely dictate my actions? Any more than the fact that a lot of people sold stocks at a loss in the '08 crash (thereby causing the crash) kept me from buying in the low market? Or that I've been consistently making a profit from credit cards when most people pay interest?

[freebeard]

The problem with the housing market is the product sucks. Not up to Bucky Fuller standards.

Why shouldn't my home shelter me, feed me, and put money in my pocket. Why?

Not buying into that.

[spacemanspif]

Funny stories about credit card dept. Tracking my score on my discover card, my credit rating skyrocketed to something around 850 becuase I forgot about a $3 bill on my account for a couple months. They were charging me $0.50 a month in interest. I think it was in conjunction with a move and I didn't get a bill for that time. Anyway, I paid off the now $4.50 bill and my credit rating dropped to 730ish. Credit card companies are rewarding people who carry debt with this new "credit score" currency.

2nd story: everyone in my family pays off their credit cards every month. My mom forgot the date and was a couple days late one month recently. She called up saying how long she's been a customer and asked for the late fees and interest to be waived and to pay the bill on the phone. They told her that they couldn't waive anything for her becuase she's always paid off her bill every month. In other words, "we haven't made any money off you, this is our 1 shot and we are taking it".

[MetroMPG]

^ Ha! I've done that! (2nd story) Same response from the company.

[oil pan 4]

Debt is the new currency.
Some how it all just seems wrong to me.

[Frank Lee]

Debt can be a useful, productive instrument but like anything it can be misused and abused.

[redpoint5]

Debt, like most things, can be used responsibly or irresponsibly. Starting a business or buying a home often requires debt. When utilized wisely, the burden of paying off the debt is more than offset by profits or reduced expenditures.

Think of it this way; if you were to begin earning an income as an Uber driver, you could rent a car with cash on hand without going into debt, but pay more in the long run. Or, you could take out an auto loan, which has a high upfront cost, but in the long run is the cheaper option.

Debt becomes irresponsible when it's used to pay for nonessential goods such as flat-screen TVs or trendy clothing.

[freebeard]

Or groceries.

Originally Posted by Google

debt
det/
noun
noun: debt; plural noun: debts

something, typically money, that is owed or due.

the state of owing money.

a feeling of gratitude for a service or favor.

u·su·ry
ˈyo͞oZH(ə)rē/
noun
noun: usury

the illegal action or practice of lending money at unreasonably high rates of interest.

[Fat Charlie]

Debt is like the Force, it has a light side and a dark side...

[oil pan 4]

To me debt is voluntary servitude, if you know what you are getting into. I don't think a lot of these people really know what they are getting into.