Attitudes

[dadofthree]

Now a days we don't make payments, we rent an apartment, put down one months rent and a small damage deposit and live there for six months to a year while the landlord works through the eviction process. We buy new cars and never make payments, we simply hide the car from the repo man.

Taxes, heck no, we steal a tag. Insurance

I heard some sound clips of the latest presidential debates and heard them talking about how in debt Americans have become and something about debt forgiveness legislation. Nothing is for free folks, tax payers and ( paying ) consumers pay for everything.

 

[Rylinkus]

I do understand where you're coming from Wag. I have some debt from school, but that's about it aside from the bike now. But I work with people whom have financed TVs, video game systems, etc. It is pretty scary to think about people making payments on a 27" TV. I'm not the best off guy in the world, but to go in debt for a TV???

 

[chrisjp]

ughh....loans and terms and banks .........oh my!!!!!

 

[Wag]

People who understand interest collect it. People who don't understand interest, pay it.

Okay, sometimes, as mentioned before, it's a necessary evil. Some people just seem to go looking for opportunities to make the banks wealthy!

--Wag--

 

[Mike.P175]

(4wd @ Aug. 20 2007,07:06) That's how I do it too. My Hayabusa costs me $85/mo for two years, then the balance due balloons. I plan to pay it off completely before the 24 months ends.

BTW, I am 55 years old, so what is my excuse? I've made payments all my life and sure don't plan on changing now. My credit is sterling, I think??!!

The Diff between you and the kid is you have a plan
to pay it off in a set amount of time, all the kid wants
is a payment he can afford. Most people will finance
but some don't understand intrest rates or how the
purchase price affects our payments.

 

[DaCol.]

(Mike.P175 @ Aug. 21 2007,03:52)

(4wd @ Aug. 20 2007,07:06) That's how I do it too. My Hayabusa costs me $85/mo for two years, then the balance due balloons. I plan to pay it off completely before the 24 months ends.

BTW, I am 55 years old, so what is my excuse? I've made payments all my life and sure don't plan on changing now. My credit is sterling, I think??!!

The Diff between you and the kid is you have a plan
to pay it off in a set amount of time, all the kid wants
is a payment he can afford. Most people will finance
but some don't understand intrest rates or how the
purchase price affects our payments.

Exactly  

and that makes a BIG difference  

 

[4wd]

My oh My!

Quote from Wag:

"People who understand interest collect it. People who don't understand interest, pay it"

That's pretty draconian thinking in my book. Or maybe I just don't understand what interest is??>?
Just look at how the US Government is legally stealing from Americans who have savings accounts. How you ask? INFLATION!!!!! Why should anyone save? Old folks are the only ones that have it and they are slowly loosing it for sure.

Nope, if these young bucks want to have a good time by buying a Hayabusa on time payments, more power to them. Payments are a fact of life, get used to them and the sooner the better. Anyone can establish a savings account, but not anyone can walk into a Suzuki dealership and buy a $10,000 Hayabusa with accessories with no down and sign up for the $85/mo Suzuki Credit payment plan. Now that guy is a good credit risk!

BTW, my car isn't paid for and neither is my super duty pick-up, and of course I have farm machinery loans, land loans, and a couple of personal signature notes to boot. Like I said my credit is sterling (I think)!!!

I'm not bragging, don't get me wrong, it just helps to have a 30+ year track record of making payments on time. It also didn't hurt me when I stuck my neck out back in the 80's and bought all the distressed sale farmland I could
by creative financing (contract sales). Now, that same land has gone up 500% So, it is all timing. And never be afraid of sticking your neck out to sign on a loan. If you want something bad enough you will make it work, and sometimes other external unseen forces such as the collapse of the US dollar help you pay off with cheaper dollars than the interest cost.

I love America!!!

 

[Wag]

I don't believe debt is entirely evil. On the contrary you can, and many people do, make a lot of money by buying with credit. But I do believe there is good debt and bad debt. It's just a matter of educating yourself about debt and how to manage it well.

I don't believe, however, that payments are a fact of life, either. Payments can and in many households, should be disposed of. Debt for a necessary car to go back and forth to work and debt to buy a necessary home are a lot different from debt for toys. Paying interest on a 10,000 bike on the Suzuki credit program will end up costing the guy about $16,000 by the time it's all over and worse yet, the mandatory insurance only adds to the cost. Oh, wait. Seems I remember you don't need insurance with that payment plan.

Excess bad debt is causing our current economy to have some major problems right now. I'm hoping to snag some deals when people's mortgages get yanked out from under them. Should be interesting times ahead.

--Wag--

 

[cosmo]

(4wd @ Aug. 21 2007,11:12) My oh My!

Quote from Wag:

"People who understand interest collect it.  People who don't understand interest, pay it"

That's pretty draconian thinking in my book. Or maybe I just don't understand what interest is??>?
Just look at how the US Government is legally stealing from Americans who have savings accounts. How you ask? INFLATION!!!!! Why should anyone save? Old folks are the only ones that have it and they are slowly loosing it for sure.

Nope, if these young bucks want to have a good time by buying a Hayabusa on time payments, more power to them. Payments are a fact of life, get used to them and the sooner the better. Anyone can establish a savings account, but not anyone can walk into a Suzuki dealership and buy a $10,000 Hayabusa with accessories with no down and sign up for the $85/mo Suzuki Credit payment plan. Now that guy is a good credit risk!

BTW, my car isn't paid for and neither is my super duty pick-up, and of course I have farm machinery loans, land loans, and a couple of personal signature notes to boot.  Like I said my credit is sterling (I think)!!!

I'm not bragging, don't get me wrong, it just helps to have a 30+ year track record of making payments on time. It also didn't hurt me when I stuck my neck out back in the 80's and bought all the distressed sale farmland I could
by creative financing (contract sales). Now, that same land has gone up 500% So, it is all timing. And never be afraid of sticking your neck out to sign on a loan.  If you want something bad enough you will make it work, and sometimes other external unseen forces such as the collapse of the US dollar help you pay off with cheaper dollars than the interest cost.

I love America!!!

And the "distressed property" (cute PC jargon there) you bought became distressed how?

 

[dadofthree]

(cosmo @ Aug. 22 2007,23:12)

(4wd @ Aug. 21 2007,11:12) My oh My!

Quote from Wag:

"People who understand interest collect it. People who don't understand interest, pay it"

That's pretty draconian thinking in my book. Or maybe I just don't understand what interest is??>?
Just look at how the US Government is legally stealing from Americans who have savings accounts. How you ask? INFLATION!!!!! Why should anyone save? Old folks are the only ones that have it and they are slowly loosing it for sure.

Nope, if these young bucks want to have a good time by buying a Hayabusa on time payments, more power to them. Payments are a fact of life, get used to them and the sooner the better. Anyone can establish a savings account, but not anyone can walk into a Suzuki dealership and buy a $10,000 Hayabusa with accessories with no down and sign up for the $85/mo Suzuki Credit payment plan. Now that guy is a good credit risk!

BTW, my car isn't paid for and neither is my super duty pick-up, and of course I have farm machinery loans, land loans, and a couple of personal signature notes to boot. Like I said my credit is sterling (I think)!!!

I'm not bragging, don't get me wrong, it just helps to have a 30+ year track record of making payments on time. It also didn't hurt me when I stuck my neck out back in the 80's and bought all the distressed sale farmland I could
by creative financing (contract sales). Now, that same land has gone up 500% So, it is all timing. And never be afraid of sticking your neck out to sign on a loan. If you want something bad enough you will make it work, and sometimes other external unseen forces such as the collapse of the US dollar help you pay off with cheaper dollars than the interest cost.

I love America!!!

And the "distressed property" (cute PC jargon there) you bought became distressed how?

Exactly, I was thinking about 1980 farmers as I was reading the post and then wham, he states it.

Inflation does eat your lunch in passbook savings accounts, but wisely investing vs. being in maximum debt makes for a better retirement day