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BobWang

The Master Credit Cards Do NOT Equal Debt Thread

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I charge thousands and thousands of dollars every month, not one penny of which creates any indebtedness.

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I charge thousands and thousands of dollars every month, not one penny of which creates any indebtedness.

+1000

 

:lol:

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Now, would somebody please explain this to the underwriters at Penfed? Maybe then they will stop issuing denials for pyramiding credit. :P

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Unfortunately, before the crash in 2008, credit cards did equal debt for many people. That happened to me personally, and I have learned a lot from the experience.

 

Now, I lose sleep if I can't pay my card in full.

 

The truth is, some people just can't handle the responsibility of a credit card. For those people, they should probably only use a small credit card that can keep them from getting into trouble, but still have the security of a credit card.

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This thread needs to be bumped.

Any ideas who should do that? :P

Do you want to do it or should I do it? :D

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This thread needs to be bumped.

Any ideas who should do that? :P

Do you want to do it or should I do it? :D

 

 

Maybe should start a poll. :lol:

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Call me pedantic, but this just isn't true. Just because you don't pay interest doesn't mean you're not in debt.

 

"The master 0% financing does not equal debt thread"

 

"The master carrying a balance on a 0% promo does not equal debt thread"

 

"The master borrowing money from a friend does not equal debt thread"

Edited by Vireo

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Call me pedantic, but this just isn't true. Just because you don't pay interest doesn't mean you're not in debt.

 

"The master 0% financing does not equal debt thread"

 

"The master carrying a balance on a 0% promo does not equal debt thread"

 

"The master borrowing money from a friend does not equal debt thread"

Nobody here is talking about 0% BT offers. Of course that is debt.

 

Having available credit and PIF, however, is not debt.

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You're in debt from the moment you make the purchase to the moment you pay in full. I understand the point, I just think it's rationalization.

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You're in debt from the moment you make the purchase to the moment you pay in full. I understand the point, I just think it's rationalization.

I'm not willing to agree with a DR view on credit.

 

I have the money sitting in the bank for all the charges on my cards.

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You're in debt from the moment you make the purchase to the moment you pay in full. I understand the point, I just think it's rationalization.

 

Technically true, but in the context of affordable amounts that are always paid in full every statement or less, you really start splitting hairs when insisting on it being debt when a credit card is used and PIF as opposed to when a debit card is used.

 

Playing that game, we would have to call eating at restaurants as being in debt from the time you ordered until the time you paid.

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So confused, so the counter argument now is I charged it therefore it's debt? Doesn't matter if I pay the credit card same day?

The argue for the sake of argue in the guise of flawed logic has to stop.

Edited by RecoveredDebtaholic

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It's a slippery slope. It's easy to think "it's not debt!" then find yourself in a situation where you can't actually pay in full because of an unexpected emergency or poor budgeting. Debt is debt whether you have the assets to pay it immediately or not.

 

Maybe I am coming at this from a different perspective since I have debt problems, but I don't think it's healthy to provide a pithy one-sentence simplification like this for people who might not have the financial discipline to budget and stick to it. It's not a piece of advice I would offer to anyone. You are in debt, but you are using that debt in an intelligent way for financial gain.

 

Credit and debt go hand-in-hand. Where there is a creditor, there is a debtor.

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Where there is a creditor, there is a transactor. < pithy My user name is my user name for a reason, lessons learned, debt is burden. I am now a credit card companies worst type of customer, a transactor. Well cept for the M$'ers, bet they hate them more but they are transactors extraordinaire.

 

But you are absolutely correct, without discipline, it's going nowhere good.

 

Recognizing a weakness in yourself to slip in to debt is a great step, kudos for that, you CAN change. Need/Want

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It's a slippery slope. It's easy to think "it's not debt!" then find yourself in a situation where you can't actually pay in full because of an unexpected emergency or poor budgeting. Debt is debt whether you have the assets to pay it immediately or not.

 

Maybe I am coming at this from a different perspective since I have debt problems, but I don't think it's healthy to provide a pithy one-sentence simplification like this for people who might not have the financial discipline to budget and stick to it. It's not a piece of advice I would offer to anyone. You are in debt, but you are using that debt in an intelligent way for financial gain.

 

Credit and debt go hand-in-hand. Where there is a creditor, there is a debtor.

Right, so credit is NOT the problem. Lack of self discipline is a problem. And that is for all areas of life.

 

So reducing credit will not save one from oneself. As lack of self discipline will cause problems in all aspects.

 

Focus on fixing self discipline. Don't apply a bandaid :wave:

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You're in debt from the moment you make the purchase to the moment you pay in full. I understand the point, I just think it's rationalization.

 

so? cash is subprime and DEBIT is dangerous.

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Vireo, you're on a slippery slope to Dave Ramsey land. I think you might need an intervention. :wave:

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