you do have a valid point, but it assumes the banks are on your side. they aren't.
the banks engineer their shit to maximize profit, which is never in the consumers best interest. add to that the fact that they are virtually unrestricted, can change the terms at will, and you get no say in the matter.... your point breaks down somewhat.

you still need to have some basic understanding of how it works, need to know how to drive it, need to to know how to maintain it, etc...

after 10k miles your engine fails because you failed to change the oil, then the car company is to blame because you bought a car and failed to familiarize yourself with the maintenance requirements?

the point erodes entirely when viewed from a sociological perspective as well. the simple fact is as i mentioned earlier, we all are sheep to some degree, if not a large degree. we are told to have a kitchen with all the appliances, 2 nice cars, 2.3 kids and keep up with the joneses. that lifestyle has typically been built on credit. the average price of a car/home refridgerator, television, etc., et al, on & on, is beyond the amount the typical person can pay cash for.

the system is predicated on those factors.

Quite a few people I know got their limits cut when all of this was going down...the general consensus is "fuck you, you just cut down my limit, why would I go back to you?"

They're also seeing offers for credit increases, but also interest rate increases going along with them...so they're saying "no thanks"

of course they are not on your side, it's a business, their goal is to make money...
they probably do push the legal limits, and milk their consumer's as much as they can get away with...
(not much different than what many porn paysites do with crossales, etc)

all along I'm just pointing out that if you choose to do business with them, you have to play by their rules... if you don't understand the rules and choose to do business with them anyway, it's only your own fault...

that's the problem. often times, we have no idea what their rules are going to be from one week to the next. should you have to hire a lawyer before signing a credit agreement for a $500 limit gas card?

if that was the case, there would be no need for regulatory acts such as the dodd-frank banking regulation passed in july

http://www.journalofaccountancy.com/...p/20103108.htm

People don't have basic financial skills so they have problems. You guys saying 'cash only' are about as stupid as the people that used credit without understanding it.
Using credit to get assets rather than liabilities is the reason it exists. Abusing credit to purchase liabilities without adequate cashflows to cover the costs are where people get into trouble it's not rocket science just common sense most people lack.

the other problem woj, is that they advertise everywhere, tv for example, with images of baseball games and children and all that crap, but never warn of consequences, never recommend using credit responsibly... even beer commercials tell you to drink in moderation. the cc's only focus is to try to get you spend, spend, spend.

when was the last time you saw a CC commercial talking about financial responsibility?

the odds are stacked against you no matter how much you try to understand their fine print or their risks. there is so little to be gained, and so much to lose, when all that has to be done is simply don't accept their offers.

that won't change anything anyway, people will still live beyond their means, so they will still get fucked on fees/interest, and banks will still be evil... :2 cents:

and I managed to double my credit with a new card during the peak of the financial crisis. I pay my cc off monthly and actualy make money from mine with cash back rewards and my new cc gets me other perks. So cc managed properly can actually be profitable!

51 evil banks :)

that's not only a piss poor reason to use a credit card, but it's also one of their best hooks.

"rewards"

spend a shit ton of money, go into debt with us, and we'll mail you a toaster.

i'm sure there are teams of brainiacs on wall street finding dozens of loopholes in it all. :1orglaugh

http://blogs.venturacountystar.com/g...redator601.gif

there's a local chinese place that is cash only. Instead of paying the CC companies a percent to process, they make money off the atm fees.

you might be right, if you are not comfortable with their rules or the way they do business, not using credit cards is a fine choice...

I think credit cards are a useful tool if used correctly, there are certainly some risks involved but some benefits too, for me the benefits outweigh the risks...

let's not forget to figure in the dramatic difference between average growth of income v. average cost of living. i believe i've read that ave income increase is .4% while the ave cost of living increase is 8%. that is massive.


massive.

btw, i also don't play in the casinos. the odds are always in the house's favor. :)

edit: well that's not entirely true. if I do decide to play at a casino, i set a limit, ($100 bucks or whatever) and consider it lost money, right up front. basically like, paying for entertainment. there's no way to get ass-raped or disappointed when you intend on it being gone at the end of the day.

at least with casinos, you know it's a gamble. :1orglaugh

Hope you crossed out your details first?

I find it quite satisfying to scribble "NO THANKS" over the return reply bit pretty much as soon as I receive the offer, knowing that if I falter in the future - sheet of paper still in the "to shred" pile - the offer will be be void anyway.

yeah.... that's a good method. I used to do that. I had a big rubber stamp made with red ink "Shred It".... but then I thought, why not help out the USPS at the same time I can cost the bank money. :)