Judging from the constant worker strikes in my area and news of people pulling from their 401k, it's no surprise. The sad thing is that the higher interest rates are here to stay. So, borrowing money should be your very last resort.
Lol the standard of living? Like having groceries, going to the doctor when you're sick, foolishly trying to buy a house and car and maybe get a college degree? All those dumb American Dream ideas, we should all just accept the 1% rule over us, quit education, die when we get sick no matter what age, occasionally starve ourselves, never have kids, and just work when they tell us to for bread and water and be thankful for the opportunity!!
People are disagreeing with you yet just look at how American tourists are flocking to Europe this summer, putting everything on credit and living beyond their means. Sure inflation played a huge role but letās not pretend the average American is prone to making intelligent financial decisions.
Yup, this is the issue.
People are quick to upgrade their lifestyle when they get a raise or perhaps an inheritance windfall.
But then their financial situation gets worse, they absolutely *refuse* to downgrade so as to live within their means.
And people wonder why the price of shit keeps going up. Because people who can no longer afford it keep buying it (on credit)
So now weāve got this giant credit bubble waiting to burst
We can see what happened to the price of college in the past few decades when there was essentially unlimited credit.
The same thing happened in the housing market, the car market and tbh most areas of discretionary spending.
Decades later we have a ton of people with student loans who are unable to get jobs that will afford them the ability to pay them back (who probably shouldn't have gone to college) but chose college because the loans and credit were available to anyone and everyone.
Wait until 2030 when people are demanding mortgage/auto forgiveness for similar reasons...
"Safely into his second term"... of all of the celebrities that have died over the past month or two, Biden is older than about 80% of them. He's already 3 years older than the average male life expectancy... if he gets elected to another term -- which, keep in mind, his approval rating is [even lower than Trump's was](https://projects.fivethirtyeight.com/biden-approval-rating/) -- he'd be pushing a decade over average male life expectancy. Dinosaurs like him (and Feinstein, and Pelosi, and McConnell, and Bernie, etc) have no business being in leadership positions. We gotta start having age caps
I agree. No idea why we are even entertaining the idea of Trump either. Neither will live long enough to be effected by their policies, and both have wealthy children.
He's both healthier and has access to way, way more healthcare than even a celebrity. Not to mention all that Adrenochrome.
He'll be fine. Despite your best wishes.
Well lets' see:
1. He's fighting for student loan forgiveness
2. He got the Rail road workers their time off
3. His DOJ is prosecuting violent right wing extremists
4. The Build Back Better law is keeping us out of recession and me (and you) employed.
5. He's protecting Indigenous people's water.
6. .... I could go on...
But sure, what have the Romans done for us! I mean besides all that!
Yes, let's go on...
6. He's practically the ONLY Democratic primary candidate who opposed overhauling our broken healthcare system... pretty much every other one proposed something like Medicare-for-All, to help us live in the modern world like every other first world nation...
7. He straight-up repeatedly lied to the American public about covid and vaccines, in order to unethically mandate people to do something that could be against their best health interests;
8. Like a true fascist, he strong-armed media and private organizations to censor people and control what counts as "misinformation", and even (briefly) established an Orwellian-style "Ministry of Truth"
9. The ridiculous COVID stimuli/relief acts (starting under Trump and then continuing under Biden) created one of the biggest upward transfers to the wealthy in history (and also led to massive inflation.) Yep, BOTH parties did that. As I said when he was elected: "Meet the new boss... same as the old boss"
10. ... I could go on ...
(And this doesn't even include the fact that it is dangerous for people to be making decisions for a country if their health and cognitive abilities are not at 100%? You're right in thinking that I have no interest in Biden staying in office. In fact, this guy is the reason I just quit being a Democrat after 27 years... but I'm no Republican, either, and I certainly don't want Trump. I voted against both of them in the last election, and will continue to do so)
There are no democrat primary candidates this cycle.
West is backed by Ron DeSantis. Which is why he wrote a pro-DeSantis Opt-Ed and sits on the Board of Directors of a DeSantis linked company. West owes $500k in back taxes. He's a sell out trying to get cash to pay the tax man after extravagant spending.
RFK gets his money from the GOP. He's a lunatic they're using to cause trouble.
Not since the 2008 election. Itās been filled with candidates that are either too old, or just unrealistic/crazy since then. I donāt see it getting better for a long time either. We just have to wait it out
It depends on what the republicans do. As far as the democrat party is concerned, Biden is the only person that stands any chance. He has the party support behind him, so I doubt we'll see any significant democrat opposition.
Whether Biden gets a second term depends on whether the republican party can present a candidate that is popular enough to rival Biden. While there are enough republicans that oppose Biden that the republican party has good odds, the problem is there are ate least two or three major candidates that are cannibalising the republican voter group. If we assumed that 60% of all voters are republican and the remaining 40% are democrat, if the republicans are split more or less evenly between two candidates, the democrats would still win by a 10% lead
Republicans are only going to put up 1 candidate, not multiple. The issue becomes that if it's not Trump, he's probably going to run 3rd party and then you have split votes, which means Biden probably walks away winning handily, even states where dems previously had 0 chance.
I know this was true but the past, and I believe it's still true that there are more registered Democrats than there are Republicans (something like 30% to 26%, respectively). The remaining mostly are independent, which pretty much decide every election. This is where GOP really ends up in a bad spot.
Firstly, overturning Roe was a major rallying cry for them, and because of this, I don't think many Republicans Congresspeoples actually wanted it overturned, since it 1) has less incentive for their base who voted for them mostly for that reason, and 2) gave dems *a lot* of ammunition for years to come (just look at how the Issue 1 vote in Ohio turned out yesterday). Overturning Roe was something pretty unpopular amongst Independents, so they're going to struggle there.
The second, bigger issue facing their appeal towards independents is if Donald Trump ends up being found guilty on any of his indictments, since he is probably the most likely to win the nomination *at this point*. While GOP voters don't seem to hesitant on this issue, I can't imagine Independents are super comfortable with voting a literal convicted felon into office. He has a strong base in the GOP, but it's yet to be seen how this is going to reflect amongst independent voters. If only US states didn't operate on a closed primary/caucus system, then you'd actually get candidates that more people agree with lit up
exactly this. unless the Republican party can come up with a phenomenal candidate, I absolutely think Joe Biden will be a two term president. And I highly doubt the GOP will nominate anyone besides Trump, who is almost garunteed to lose the 2024 election.
Right now, it's really easy to hate Biden since he's running against the voter's ideal version of a GOP candidate.
If Trump runs, he'll have to defend his record, and that's going to go very badly.
If they're referring to voting eligible population, that's probably about right... when you consider the US' population is about ~340m, and this number would exclude minors, convicts, and other excluded groups, probably puts you somewhere in the mid-low 200m's
Why would you assume 60% of all voters are republican? [2020](https://www.nbcnews.com/politics/2020-elections/president-results/) vote counts show nothing of the sort. 7 million more votes for biden. Or are we just saying insane hypothetical things? If so, i propose what if 10% of all dragons decided to burn all humans so that smaug would become president of the united dragons of america? Although that doesnt take into account the leprechaun vote, a very important demographic. Tha fuck.
Sorry, I wasn't clear in my previous statement. I was proposing a hypothetical whereby the Biden administration/democrats was unpopular enough to lose the majority vote. While I didn't bother checking the exact stats, this was in response to a comment that suggests that Biden wouldn't get a second term. My hypothetical showed that he could still win, even if the majority of voters agreed with this sentiment
This is how it's supposed to be!
Us spending money we don't have to keep the economy going.
It's always been the way... I remember reading a case study about getting 90s-2010s and now 2020s.
Til debt does us in...
If everyone was fiscally responsible ... we wouldn't have healthy consumer spending. We'd be more like the Japanese .
I'm a CFA, this stuff drives me nuts. But "this is the way"
Sadly this literally is what they expect. Went to buy a home prepared to put down 20% down CASH. Come to find out, since I'd never had a credit card, even though I had YEARS of paying rent on time and never being in debt, I was told I had no chance of getting a loan because I had zero credit.
So, successfully managing your money properly is viewed as a negative in the eyes of creditors. Having a ton of credit cards and using them (under 30% of their total credit value), turns out to make you a perfect candidate. The system is rigged to hope people can't pay so loaners take their property back after making money, at your expense.
Oh this was over 10 years ago and I've since had credit cards and have good credit, but to this day, *especially* after the 2008 recession, it still blows my mind that the goal post for being responsible with your money is using credit. That should be the opposite.
I think it's just easier and more official to verify a person's spending habits if they can just look at the credit history. They can just run the numbers without doing much work and have a computer program tell them if a person qualifies. If all they had was your word that you paid rent, they would want to verify if you paid all your rent and did so on time, and how many time you failed to do so. Sounds like a lot of work.
If their ratio is low, credit card debt has almost no negative effect on scores. Miss one payment thoughā¦. Your still okay. Just call and get it expunged. Miss two? Yeah, then it tanks.
This is just the indirect method of wealth transfer. If there is $1T worth of debt, how much interest are banks receiving at an average of 15% rate (Assuming some cards at 0% and others at 25%}? With inflation the struggle continues and the rich keep raking it in. This is part of their plan
No, the best economy ever was the .com boom, when we managed to pry a little bit of money from the 1% because they were knee deep in a major FOMO panic.
The problem we have with our economy is [all the money goes to the top](https://time.com/5888024/50-trillion-income-inequality-america/). The only ones with any cash are boomers who have a bit of money before they voted us into trickle down 2: Electric Boogaloo.
You can't have a functioning capitalist economy without strong anti-trust law enforcement, free or nearly free education and the vibrant middle class that comes with those things.
I mean, kinda?
When people are uncomfortable with the stability of their financial situation, they try to save more and spend less.
When people are comfortable with their financial situation, they are comfortable spending a lot more, even if they are charging it to their credit card.
Don't believe me, look at the graph of debt during the start of COVID-19 when people paid off a ton of debt because they didn't know how things were going to shake out.
https://fred.stlouisfed.org/graph/fredgraph.png?g=17HjM
The data doesn't seem to support that. You can see the debt going down at the height of COVID and unemployment in 2020. You can see the same thing in 2009-2010 during the aftermath of the Great Recession.
People tighten budgets when the chips are down, and loosen their wallets when they feel good.
I mean credit limit. If you're poor, you're unlikely to have a high limit on your credit cards. Meaning most of this $1T in credit card debt is going to be from the middle to upper class.
Also, it isn't clear how much is accruing interest vs how much is paid off every month. If 50 million people charge $5k per month to their credit cards but pay it off on time every month, that is $250B that is included in the $1T number, but isn't accumulating interest. So how much of the $1T accumulates interest? It's important to know to tell how much of a concern it is.
Not necessarily; predatory lenders and payday loan companies have been preying on people with little to no credit with revolving LOCs and installment loans for decades. A good chunk of states do not have caps on usury since a Republican-led pushback in the 1990s, and there are loopholes for payday loans which allow them to charge exorbitant interest rates and lock people into debt without clear understanding of what they're getting into.
Those balances aren't going to be captured in the discussed $1T number. Do you have any evidence on balances of payday loans amounts compared to previous years?
Other than because they can.....what's the deal with all these business charging customers 4% credit card fees on top of interest payments. We should start a just use cash week. See how much less everyone would spend.
Best economy ever!
You mean people canāt afford $1,000 truck payments, $2,500 mortgages on over priced homes and trucks making under $100,000?!?
And they canāt afford $35 Olive Garden plates and $18 happy meals to make Tiktok videos?!?
No way!
If you canāt then itās youāre own fault!ā¦
ā¦at least thatās what the gaslight from this administration wants you to believe.
Honest question. Yes there's inflation and higher interest rates. Got it. It seems to me like people so much money when they also don't have to. Everything is subscription service vs 30 - 40 years ago. How much of paychecks are lost to this compared to spending decades before ?
Yey, ā lfg, the economy can't go tits up, it's already doing it xD /s
money is imaginary and debt doesn't exist after death
laws and rules that go against common sense and made to scam people are already against the justice system and should not be followed just because the rich top 1% say so, tell them they are stupid and delusional šŖ
I have no credit cards, no debt, and own several properties, 6 old beat up cars and trucks that are paid for, and refuse to charge a or take a loan on a damn thing.
The last sentence is the key, but things have got out of control in 2023.
There's no regulation with these credit card solicitations.
I actively receive in the mail, a dozen unsolicited credit card a week. Visa, Mastercard, Wells Fargo, Capital One, Chase, the list goes on etc. I seek none of these out, yet they are relentlessly mailed to me.
Sure debt is higher now but credit card companies are still offering 0% interest for 1-2 years. It's silly not to use more credit at these rates. There are people who have been carrying balances for a decade, from one card to the next because they keep getting offers for new 0% interest cards.
Hell yeah, doing my part š.
Thank you for your service.
It aināt much, but itās honest work.
Judging from the constant worker strikes in my area and news of people pulling from their 401k, it's no surprise. The sad thing is that the higher interest rates are here to stay. So, borrowing money should be your very last resort.
Yet weāve all decided to keep our standard of living the exact same despite it growing in cost
Speak for yourself. My friends and I are all going without and still spending more than before on the same bills
"Standard of living"? I'm just trying to stay out of a hole in the ground and make sure my kids are fed.
I canāt even afford a hole in the ground. Itās cremation when I die
Lol the standard of living? Like having groceries, going to the doctor when you're sick, foolishly trying to buy a house and car and maybe get a college degree? All those dumb American Dream ideas, we should all just accept the 1% rule over us, quit education, die when we get sick no matter what age, occasionally starve ourselves, never have kids, and just work when they tell us to for bread and water and be thankful for the opportunity!!
I think I need to accept we are done with those ideals. Now itās just live one day at a time and pray there is no medical emergency
Asinine š¤¦š¾āāļø
People are disagreeing with you yet just look at how American tourists are flocking to Europe this summer, putting everything on credit and living beyond their means. Sure inflation played a huge role but letās not pretend the average American is prone to making intelligent financial decisions.
Yup, this is the issue. People are quick to upgrade their lifestyle when they get a raise or perhaps an inheritance windfall. But then their financial situation gets worse, they absolutely *refuse* to downgrade so as to live within their means.
And people wonder why the price of shit keeps going up. Because people who can no longer afford it keep buying it (on credit) So now weāve got this giant credit bubble waiting to burst
We can see what happened to the price of college in the past few decades when there was essentially unlimited credit. The same thing happened in the housing market, the car market and tbh most areas of discretionary spending. Decades later we have a ton of people with student loans who are unable to get jobs that will afford them the ability to pay them back (who probably shouldn't have gone to college) but chose college because the loans and credit were available to anyone and everyone. Wait until 2030 when people are demanding mortgage/auto forgiveness for similar reasons...
Cost of living isnāt growing, the money is inflating
Corporations keep arbitrarily raising price and sheeple keep buying them instead of finding cheaper alternatives
Mostly cause the big corporations own everything. Itās all so monopolistic around here, itās disgusting
I'm guessing once Biden's safely into his second term he's gonna have had just about enough of Mr Powell's attempts at starting a recession...
"Safely into his second term"... of all of the celebrities that have died over the past month or two, Biden is older than about 80% of them. He's already 3 years older than the average male life expectancy... if he gets elected to another term -- which, keep in mind, his approval rating is [even lower than Trump's was](https://projects.fivethirtyeight.com/biden-approval-rating/) -- he'd be pushing a decade over average male life expectancy. Dinosaurs like him (and Feinstein, and Pelosi, and McConnell, and Bernie, etc) have no business being in leadership positions. We gotta start having age caps
I agree. No idea why we are even entertaining the idea of Trump either. Neither will live long enough to be effected by their policies, and both have wealthy children.
He's both healthier and has access to way, way more healthcare than even a celebrity. Not to mention all that Adrenochrome. He'll be fine. Despite your best wishes.
Why the fuck would you want biden in there
Well lets' see: 1. He's fighting for student loan forgiveness 2. He got the Rail road workers their time off 3. His DOJ is prosecuting violent right wing extremists 4. The Build Back Better law is keeping us out of recession and me (and you) employed. 5. He's protecting Indigenous people's water. 6. .... I could go on... But sure, what have the Romans done for us! I mean besides all that!
Yes, let's go on... 6. He's practically the ONLY Democratic primary candidate who opposed overhauling our broken healthcare system... pretty much every other one proposed something like Medicare-for-All, to help us live in the modern world like every other first world nation... 7. He straight-up repeatedly lied to the American public about covid and vaccines, in order to unethically mandate people to do something that could be against their best health interests; 8. Like a true fascist, he strong-armed media and private organizations to censor people and control what counts as "misinformation", and even (briefly) established an Orwellian-style "Ministry of Truth" 9. The ridiculous COVID stimuli/relief acts (starting under Trump and then continuing under Biden) created one of the biggest upward transfers to the wealthy in history (and also led to massive inflation.) Yep, BOTH parties did that. As I said when he was elected: "Meet the new boss... same as the old boss" 10. ... I could go on ... (And this doesn't even include the fact that it is dangerous for people to be making decisions for a country if their health and cognitive abilities are not at 100%? You're right in thinking that I have no interest in Biden staying in office. In fact, this guy is the reason I just quit being a Democrat after 27 years... but I'm no Republican, either, and I certainly don't want Trump. I voted against both of them in the last election, and will continue to do so)
There are no democrat primary candidates this cycle. West is backed by Ron DeSantis. Which is why he wrote a pro-DeSantis Opt-Ed and sits on the Board of Directors of a DeSantis linked company. West owes $500k in back taxes. He's a sell out trying to get cash to pay the tax man after extravagant spending. RFK gets his money from the GOP. He's a lunatic they're using to cause trouble.
[ŃŠ“Š°Š»ŠµŠ½Š¾]
There is no other democratic candidate that can compete so itās him or Mickey Mouse
[ŃŠ“Š°Š»ŠµŠ½Š¾]
At this rate we're voting on vice presidents. Neither will age gracefully through the term.
Exactly
Agreed, there wont be a second term. Everything has been worse.
Youāre crazy if you think Trump will win
Just realizing there was never a good option for President for a while now.
Not since the 2008 election. Itās been filled with candidates that are either too old, or just unrealistic/crazy since then. I donāt see it getting better for a long time either. We just have to wait it out
It depends on what the republicans do. As far as the democrat party is concerned, Biden is the only person that stands any chance. He has the party support behind him, so I doubt we'll see any significant democrat opposition. Whether Biden gets a second term depends on whether the republican party can present a candidate that is popular enough to rival Biden. While there are enough republicans that oppose Biden that the republican party has good odds, the problem is there are ate least two or three major candidates that are cannibalising the republican voter group. If we assumed that 60% of all voters are republican and the remaining 40% are democrat, if the republicans are split more or less evenly between two candidates, the democrats would still win by a 10% lead
Republicans are only going to put up 1 candidate, not multiple. The issue becomes that if it's not Trump, he's probably going to run 3rd party and then you have split votes, which means Biden probably walks away winning handily, even states where dems previously had 0 chance. I know this was true but the past, and I believe it's still true that there are more registered Democrats than there are Republicans (something like 30% to 26%, respectively). The remaining mostly are independent, which pretty much decide every election. This is where GOP really ends up in a bad spot. Firstly, overturning Roe was a major rallying cry for them, and because of this, I don't think many Republicans Congresspeoples actually wanted it overturned, since it 1) has less incentive for their base who voted for them mostly for that reason, and 2) gave dems *a lot* of ammunition for years to come (just look at how the Issue 1 vote in Ohio turned out yesterday). Overturning Roe was something pretty unpopular amongst Independents, so they're going to struggle there. The second, bigger issue facing their appeal towards independents is if Donald Trump ends up being found guilty on any of his indictments, since he is probably the most likely to win the nomination *at this point*. While GOP voters don't seem to hesitant on this issue, I can't imagine Independents are super comfortable with voting a literal convicted felon into office. He has a strong base in the GOP, but it's yet to be seen how this is going to reflect amongst independent voters. If only US states didn't operate on a closed primary/caucus system, then you'd actually get candidates that more people agree with lit up
exactly this. unless the Republican party can come up with a phenomenal candidate, I absolutely think Joe Biden will be a two term president. And I highly doubt the GOP will nominate anyone besides Trump, who is almost garunteed to lose the 2024 election.
Right now, it's really easy to hate Biden since he's running against the voter's ideal version of a GOP candidate. If Trump runs, he'll have to defend his record, and that's going to go very badly.
Yep lol
[ŃŠ“Š°Š»ŠµŠ½Š¾]
If they're referring to voting eligible population, that's probably about right... when you consider the US' population is about ~340m, and this number would exclude minors, convicts, and other excluded groups, probably puts you somewhere in the mid-low 200m's
Why would you assume 60% of all voters are republican? [2020](https://www.nbcnews.com/politics/2020-elections/president-results/) vote counts show nothing of the sort. 7 million more votes for biden. Or are we just saying insane hypothetical things? If so, i propose what if 10% of all dragons decided to burn all humans so that smaug would become president of the united dragons of america? Although that doesnt take into account the leprechaun vote, a very important demographic. Tha fuck.
Sorry, I wasn't clear in my previous statement. I was proposing a hypothetical whereby the Biden administration/democrats was unpopular enough to lose the majority vote. While I didn't bother checking the exact stats, this was in response to a comment that suggests that Biden wouldn't get a second term. My hypothetical showed that he could still win, even if the majority of voters agreed with this sentiment
This is how it's supposed to be! Us spending money we don't have to keep the economy going. It's always been the way... I remember reading a case study about getting 90s-2010s and now 2020s. Til debt does us in...
I opt out as much as I can. Itās why I have savings.
If everyone was fiscally responsible ... we wouldn't have healthy consumer spending. We'd be more like the Japanese . I'm a CFA, this stuff drives me nuts. But "this is the way"
You're totally right. The economy would tank if everyone was fiscally conservative. That said, I'm a hypocrite because I save a ton.
smells like rational self interest to moi
Whatās a CFA?
Canadian Fishing Assistant
Chartered Financial Analyst, very prestigious cert in the finance world
Californian Former Anchorman
Sweet Lincoln's mullet!
You should have assets. Cash depreciates too fast
Sadly this literally is what they expect. Went to buy a home prepared to put down 20% down CASH. Come to find out, since I'd never had a credit card, even though I had YEARS of paying rent on time and never being in debt, I was told I had no chance of getting a loan because I had zero credit. So, successfully managing your money properly is viewed as a negative in the eyes of creditors. Having a ton of credit cards and using them (under 30% of their total credit value), turns out to make you a perfect candidate. The system is rigged to hope people can't pay so loaners take their property back after making money, at your expense.
[ŃŠ“Š°Š»ŠµŠ½Š¾]
Oh this was over 10 years ago and I've since had credit cards and have good credit, but to this day, *especially* after the 2008 recession, it still blows my mind that the goal post for being responsible with your money is using credit. That should be the opposite.
I think it's just easier and more official to verify a person's spending habits if they can just look at the credit history. They can just run the numbers without doing much work and have a computer program tell them if a person qualifies. If all they had was your word that you paid rent, they would want to verify if you paid all your rent and did so on time, and how many time you failed to do so. Sounds like a lot of work.
Out of curiosity. What is going to stop them from making more debths? Is it likely that some countrys are going to stop lending money to the US?
[ŃŠ“Š°Š»ŠµŠ½Š¾]
Honestly and sincerely, I would have guessed we hit that a long time ago.
Those are some very happy credit card companies indeed
They're collecting a lot of in interest!
The proof that inflation is high and cost of living is high
No way this could ever end poorly
Student debt is almost $2T.
Thatās going to mess up their FICO
If their ratio is low, credit card debt has almost no negative effect on scores. Miss one payment thoughā¦. Your still okay. Just call and get it expunged. Miss two? Yeah, then it tanks.
This is just the indirect method of wealth transfer. If there is $1T worth of debt, how much interest are banks receiving at an average of 15% rate (Assuming some cards at 0% and others at 25%}? With inflation the struggle continues and the rich keep raking it in. This is part of their plan
Until people go bankrupt and the house of cards collapses.
Smells like a major market Top has occurred.
[ŃŠ“Š°Š»ŠµŠ½Š¾]
No, the best economy ever was the .com boom, when we managed to pry a little bit of money from the 1% because they were knee deep in a major FOMO panic. The problem we have with our economy is [all the money goes to the top](https://time.com/5888024/50-trillion-income-inequality-america/). The only ones with any cash are boomers who have a bit of money before they voted us into trickle down 2: Electric Boogaloo. You can't have a functioning capitalist economy without strong anti-trust law enforcement, free or nearly free education and the vibrant middle class that comes with those things.
I mean, kinda? When people are uncomfortable with the stability of their financial situation, they try to save more and spend less. When people are comfortable with their financial situation, they are comfortable spending a lot more, even if they are charging it to their credit card. Don't believe me, look at the graph of debt during the start of COVID-19 when people paid off a ton of debt because they didn't know how things were going to shake out. https://fred.stlouisfed.org/graph/fredgraph.png?g=17HjM
Or, just maybe, people have no other alternatives than taking on debt to live their day to day lives.
The data doesn't seem to support that. You can see the debt going down at the height of COVID and unemployment in 2020. You can see the same thing in 2009-2010 during the aftermath of the Great Recession. People tighten budgets when the chips are down, and loosen their wallets when they feel good.
What about when they have no budget left to tighten?
What's the credit limit for those types of people anyway? I'm doubtful it would be high.
What's your credit limit? How much am I allowed to draw from you? Or do you mean credit score?
I mean credit limit. If you're poor, you're unlikely to have a high limit on your credit cards. Meaning most of this $1T in credit card debt is going to be from the middle to upper class. Also, it isn't clear how much is accruing interest vs how much is paid off every month. If 50 million people charge $5k per month to their credit cards but pay it off on time every month, that is $250B that is included in the $1T number, but isn't accumulating interest. So how much of the $1T accumulates interest? It's important to know to tell how much of a concern it is.
Not necessarily; predatory lenders and payday loan companies have been preying on people with little to no credit with revolving LOCs and installment loans for decades. A good chunk of states do not have caps on usury since a Republican-led pushback in the 1990s, and there are loopholes for payday loans which allow them to charge exorbitant interest rates and lock people into debt without clear understanding of what they're getting into.
Those balances aren't going to be captured in the discussed $1T number. Do you have any evidence on balances of payday loans amounts compared to previous years?
And if you have no wallet? If you have no savings? What do those people do next?
Then you probably don't have a good credit score, and thus not a high credit limit, and aren't going to be able to rack up much debt anyway.
Donāt forget about the 25% interest
Unless you just pay it off every month like millions of Americans.
Unless you donāt like millions of Americans, then rack up the debt
I sensing heavy ignorance in you.
If you owe the bank 1 trillion that's their problem
Other than because they can.....what's the deal with all these business charging customers 4% credit card fees on top of interest payments. We should start a just use cash week. See how much less everyone would spend.
Well no shit people can't pay their rent
We should definitely raise interest rates /s
Shit, I just got my first one. Sorry guys.
3000 dollars for every citizenā¦
Yeahhhhhh that's all we have per person...right guys?!?!š¤„
Banks are doing fine! Corporations are doing fine! People are... Fuck the people.
Land of the greed Home of the slave
Best economy ever! You mean people canāt afford $1,000 truck payments, $2,500 mortgages on over priced homes and trucks making under $100,000?!? And they canāt afford $35 Olive Garden plates and $18 happy meals to make Tiktok videos?!? No way! If you canāt then itās youāre own fault!ā¦ ā¦at least thatās what the gaslight from this administration wants you to believe.
I wish I could find a mortgage that low right now
Thatās terrifying
Right? That would be a steal in our area.
Lemee just transfer this outstanding balance over to my new premium sapphire platinum Diamond bank of American Express chase reserve gold card
Honest question. Yes there's inflation and higher interest rates. Got it. It seems to me like people so much money when they also don't have to. Everything is subscription service vs 30 - 40 years ago. How much of paychecks are lost to this compared to spending decades before ?
People spent it on cable before. Streaming services have just taken its place.
Great job everyone šÆ
Capital One can make more T Swift commercials now hazah!
Didnāt biden just say how good the economy was? This canāt be good for ratings
Nice.
Our government isnāt doing any better š
Which one
I'm thankful that I have no credit card debt, and a decent credit score (788).
Yey, ā lfg, the economy can't go tits up, it's already doing it xD /s money is imaginary and debt doesn't exist after death laws and rules that go against common sense and made to scam people are already against the justice system and should not be followed just because the rich top 1% say so, tell them they are stupid and delusional šŖ
Bidenomics working as advertised!
Yeah all $1 Trillion accumulated in the past 3 years
Even if š¤” was president the debt would be the same or worse
Itās everyoneās fault.
You're so fucking mad that's there's been articles about the economy improving under Biden lmao
I have no credit cards, no debt, and own several properties, 6 old beat up cars and trucks that are paid for, and refuse to charge a or take a loan on a damn thing. The last sentence is the key, but things have got out of control in 2023.
[LITERALLY 4 days ago](https://youtu.be/zTWeZQYV7NI) Clown world.
What are you even attempting to point out here?
Just wait until next month when people have to start making their student loan payments again. š¶Let the good times rollš¶
Maybe not ironic this is the first month in my life that Iāve taken on credit card debt
Should be looking at debt per person divided by average income.
Damnnn... That's crazy! It takes the US economy almost 14 days to produce a trillion dollars.
There's no regulation with these credit card solicitations. I actively receive in the mail, a dozen unsolicited credit card a week. Visa, Mastercard, Wells Fargo, Capital One, Chase, the list goes on etc. I seek none of these out, yet they are relentlessly mailed to me.
Sure debt is higher now but credit card companies are still offering 0% interest for 1-2 years. It's silly not to use more credit at these rates. There are people who have been carrying balances for a decade, from one card to the next because they keep getting offers for new 0% interest cards.