Re: Who can give me information somthing about that?

You can just ditto Bill's response verbatim for me. Saves me a bunch of
typing.

--
Steve Barker







"Neon John" <no@xxxxxxxxx> wrote in message
news:8uf4735obfb906ble0m4qr2s8fut4olc46@xxxxxxxxxx
On Thu, 14 Jun 2007 21:18:24 -0500, "Steve Barker"
<ichasetrains@xxxxxxxxxxxxxx>
wrote:

I don't see how you figger "you pay more". We use a discover card for
99.5%
of everything we buy, and get a big kickback bonus each year. If credit
cards are used like they were originally meant to be used, then they are a
very good money management tool.

Two reasons. One, according to the industry itself, plastic users spend
on average
about 10% more than otherwise similar people who pay with cash or check.

Two, The term some shrinks use is the "lack of severance pain". IOW, you
don't feel
the pain of forking over that dough. You hand 'em a card, some FM happens
and you
get your goodies. There is a strong element of self-moderation built into
the
process of counting out dollars. Much less but still some in writing a
check and
having to write out the dollar amount twice. None with plastic.

"As they were originally meant to be used" >WAS< to get you to spend more
than you
otherwise would. To reduce your natural aversion to being in debt to
someone. To
get you obligated to pay THAT bill instead of going out and buying
something else
with the cash you have available.

Credit cars were simply a more convenient embodiment of the old fashioned
store
credit or store tab. the merchant knew that if he offered to let
customers run a tab
and his competition didn't, then he'd get the mid-week business when the
customer had
spent all his paycheck but payday wasn't til Friday.

It's interesting to go back and read some of the trade literature from the
turn of
the last century and a little after, basically up to the Depression. The
language
wasn't couched in mealy-mouthed BS like it is today. The objective WAS to
get the
customer locked in and they said so. House credit, house credit cards,
revolving
credit, all were and are tools to hook the customer. The only difference
today is
that people are enslaved to Citibank and Discover instead of Sears and
Roebuck.

Have you ever gotten to the checkout at, say, Home Depot and decided that
you really
didn't need certain items rather than fork out all the cash that you were
having to?
I certainly have, either because I didn't have enough cash on me or
because I
realized that I was spending money for things I didn't need. Ever done
that with
plastic? Probably not. I can't recall a time when I did.

Ever notice how many folks cover up the total when they're signing the
slip? A lot.
I like to study people in check-out lines and watch their attitudes toward
money. A
lot of folks just figuratively "duck their heads and run for it",
intentionally
ignoring everything but the signature line.

That's what the banks want you to do and is where they make money even on
folks like
you who never carry revolving debt.

John
---
John De Armond
See my website for my current email address
http://www.neon-john.com
http://www.johndearmond.com <-- best little blog on the net!
Cleveland, Occupied TN
I love cats ... they taste just like chicken.



.

Relevant Pages

  • Re: Removing Cap Virtually Eliminates SS Funding Gap
    ... Not all that difficult to see that the money has been created from thin ... bonds as well as dollars) to expand into oblivion. ... >>never run a credit card balance up close to your credit limit? ... > Where did this trillion dollars worth of cash enter the scene? ...
    (sci.econ)
  • Re: Credit Card Hearings in Congress
    ... Used their credit responsibly. ... If a customer suddenly becomes a greater risk, ... Then they should simply stop lending that customer more money. ...
    (misc.consumers)
  • Re: Removing Cap Virtually Eliminates SS Funding Gap
    ... >debt quadrupled. ... >>run a credit card balance up close to your credit limit? ... Printing cash, printing bonds. ... the repayment does not result in any significant disruption of money ...
    (sci.econ)
  • Re: In Search of the Perfect Credit Score
    ... pay on credit than they do paying cash. ... The rich always make money off other people's money. ... balance on their credit card each month. ... not the balance is paid off at the end of the month or not. ...
    (misc.consumers)
  • Re: Can someome explain the mentality...
    ... you could always pay with a money order. ... Still less convenient and no cash back. ... I get 1-5% cash back on anything I charge to my credit cards. ... they pay you money back for using your credit card? ...
    (rec.sport.pro-wrestling)