Thread: Bill Collectors (rant warning)

Pay cash for everything but your house, and I would do that if I could. If I don't have the cash, I don't need the stuff.

Originally Posted by Alembic

Pay cash for everything but your house, and I would do that if I could. If I don't have the cash, I don't need the stuff.

...and I would add...make sure you can put at least 20% down on a house and the monthly mortgage payment is no more than 40% of your net income. Just an estimation.

In my profession, I deal with debtor/creditor issues all day everyday. This is the simplest, soundest advice anyone could give. It is amazing how many people live above and well beyond their means.

Originally Posted by Alembic

Pay cash for everything but your house, and I would do that if I could. If I don't have the cash, I don't need the stuff.

My grandfather never borrowed money for anything, it was always cash, even in the 30's during the Great Depression he paid 5oo$ cash for his first home. A two room structure. He said that if he did not have the cash, he did not need it. Thats a hell of a lot different from what we are told now. If you look at the financial woes of the world, it all revolves around borrowed money that has been spent, no one wins but the banks.

Originally Posted by nun2sharp

no one wins but the banks.

Ain't that the truth. There was a BBC documentary aired this week called "How the banks won", about how we all bailed them out and we're all suffering as a result with austerity this and austerity that, yet for the banks it's business as usual, continuing to coin it in.

Originally Posted by majurey

Ain't that the truth. There was a BBC documentary aired this week called "How the banks won", about how we all bailed them out and we're all suffering as a result with austerity this and austerity that, yet for the banks it's business as usual, continuing to coin it in.

To be fair, some banks failed miserably because of their irresponsible lending. Some banks "won" because they were bailed out by us via the Federal Government. So the banks that won were the ones with the most "political clout."

I blame the Government, not the banks.

Originally Posted by Fbones24

To be fair, some banks failed miserably because of their irresponsible lending. Some banks "won" because they were bailed out by us via the Federal Government. So the banks that won were the ones with the most "political clout."

I blame the Government, not the banks.

Who do you think owns/controls the government? Obviously it has not been the people.

Originally Posted by nun2sharp

Who do you think owns/controls the government? Obviously it has not been the people.

No it has not been and that is the sad part. Ownership and control are two different things. While nobody owns the government, I do agree with you that "private interests" control the government. Again, I still blame the government for allowing it to get to that point. However, to be fair, it is the people who elect their representatives and their leaders. So "the people" are not completely free from blame.

FWIW, I am a minarchist, so you get where I'm coming from.

OK, someone in his thread sated that paying early is just as bad as paying late. That is how you know banks suck. Just by that mere statement.
I Have NO credit card/ debt. Why? because credit card companies

SUCK THE LIFE OUT OF YOU!

I would be happy to pay reasonable fees for bank/credit card services. The problem is that they are no longer reasonable.

I stand by my statement.... Oh....I forgot, the BANKS forgot to live by their own standards, they spent too much and the US Government (my substantial tax money) had to bail them out.

I do business with a bank that did not take money from the government.

That is all!!

You guys.

All this talk of "buy only what you can pay for". Don't you know we live in a consumer driven society. If you don't spend, spend , spend how's the economy going to recover. How are rich guys like me going to be able to get our dividends and great interest rates and returns on our investments. Heck I just put a deposit down on another new Jet Aeroplane I gotta be able to pay for it on your backs afterall.

Originally Posted by Alembic

Pay cash for everything but your house, and I would do that if I could. If I don't have the cash, I don't need the stuff.

I agree with this in principle. That said, I use actual cash for a minimum of transactions, as my credit cards give me rewards (and I pay off every month). My dad has always made a habit of borrowing money any time he could get a lower interest rate than whatever he could "store" his money for. He financed several cars even when he had cash in the bank to pay for them, just because he could earn 6% and get a 4% finance rate.

My future father in law keeps a car payment, even though he can pay it off because it is a deterrent to him buying another car, and helps him budget.

I'd simplify the statement to "live within your means". Obviously if you only pay by check/debit/cash then you don't have any other option, but there are other savings to be found, so long as you don't go crazy.

For what it's worth, I'm only 24, and the only "bank" loan I have is for my house... I have a car loan too, but that's through the worlds best bank... bank of dad.