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Brian -
What a terribly biased article. "lots of Americans simply didn't have any choice" That's ridiculous. Nobody is forcing anyone to spend a certain amount on holiday gifts.
The reason spending is up is because the economy is strong and consumer confidence is up. When people are more confident, they're willing to spend more and take on more debt because they believe they'll be able to pay it off. When times are tough, they pull back and spend and borrow less.Steve
* Despite the high cost of living, it remains very popular.
* Why should I pay for my daughter's education when she already knows everything?
* There are no shortcuts to anywhere worth going. -
DS, the article does mention that about 3/4 the way down. But that's the problem...folks read the headline and think the sky is falling and everyone is broke because of the price of eggs and gas.
But let's call it what it is. It's NOT a good thing. Interest rates on cards are elevated so people will have to spend more to service that debt until they pay it off, money they probably shouldn't have spent on holiday junk in the first place.
On the flip side, big holiday spending will boost some numbers and those of us who would rather invest than spend are set up to benefit.History will judge the complicit.Comment
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Well that's true but certainly nothing new. People have always overspent for the holidays and the whole credit card industry is dependent on consumers spending money they don't have to buy things they don't need.Originally posted by ua_guy View PostSteve
* Despite the high cost of living, it remains very popular.
* Why should I pay for my daughter's education when she already knows everything?
* There are no shortcuts to anywhere worth going.Comment
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I saw this while doom-scrolling the internet-
Credit card company net profit margins at 50%. Extraordinary.
That being said, compound interest can either work for you or against you. Choose wisely.“Compound interest is the eighth wonder of the world. He who understands it, earns it … he who doesn’t … pays it.”Comment
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