But but but... BOOTSTRAPS!

[dwer.livejournal.com]

Comments

Re: Yep, that sounds like democrats.

[dwer.livejournal.com]

I am personally responsible for about $3,300 of written off debt thanks to a bankruptcy about 6 years ago.

Lucky for you that happened before the bankruptcy rules were changed.

Re: Yep, that sounds like democrats.

[donkeyjon.livejournal.com]

To be fair, it really isn't that difficult to file bankruptcy these days either. The big change has been that people HAVE to go through credit counseling first (and it's really a formality), and they have to file a lot more paperwork, etc.

What does this mean? It means that it will likely cost you about $1500 with a lawyer and $100 with a credit counseling company to go bankrupt. However, if you actually need bankruptcy protection, it's still available. As it should be. Bankruptcy is one of the few programs out there that is actually a legitimate second chance without an easy way to exploit it.

Re: Yep, that sounds like democrats.

[dwer.livejournal.com]

Lucky Ducky!

Re: Yep, that sounds like democrats.

[dwer.livejournal.com]

Re: Yep, that sounds like democrats.

[dwer.livejournal.com]

truth hurts, doesn't it.

Re: Yep, that sounds like democrats.

[dwer.livejournal.com]

At the same time, the terms of credit contracts are greatly in the favor
of these companies, and they depend on their clients (like me) not fully
understanding the terms of those contracts.

I also feel like they don't fully assume the risk of loaning money to the
clients they target. The poor are a terrible credit risk, like you said.
But they target them anyway, because it's difficult to file a bankruptcy,
and relatively easy to hound people with collections agencies, and
employment, obtaining shelter, buying large items without cash-in-hand is
very hard to do without credit, which you need to assume debt to obtain.
The same power arrangement and level of responsibility demanded does not
exist in reverse.

This. Very much this.

So yeah, while credit companies operate within the letter of the law, I think they are sleazy as hell for some of their tactics.

Of course they operate within the law. They WROTE the law.

Re: Yep, that sounds like democrats.

[roseofjuly.livejournal.com]

The fine print for most credit cards is the same. Minor details my differ - the amount of interest, how much it goes up if you fuck up, that sort of thing - but any credit card has in their terms that they can raise your interest and slash your limit if you default somewhere else/your credit dips.

Plus, it's one thing to know what good terms are and how to read the fine print of a credit card contract when you're older and have experience with these kinds of things. Credit cards companies set up tables at colleges and give out free shit for filling out applications. 18-year-olds are not going to read the fine print and they are not encouraged to, either. I remember when I was filling out an application at 19, I read EVERYTHING I sign, and the guy doing it was getting really impatient and trying to rush me through by "summarizing" the contract.

Not that it's not their fault and they should bear the responsibility for the loan - and not that I think credit cards are evil, either. They are very, very useful, and the terms aren't always unfavorable, provided you don't get into any emergency situations.

Re: Yep, that sounds like democrats.

[roseofjuly.livejournal.com]

I currently do not have a credit card, and bad credit due to that bankruptcy I mentioned, and I live in an apartment just fine. I had to have a co-signer the first year, but no problem renewing after that. I'd imagine something similar would have to happen with loans

You had the good fortune to know someone else who had good credit and collateral for that guarantor agreement.

Re: Yep, that sounds like democrats.

[dwer.livejournal.com]

he pulled them out of the ground by their bootstraps.

Re: Yep, that sounds like democrats.

[roseofjuly.livejournal.com]

That's like saying, "You had the good fortune to live within walking distance from a grocery store,"

This is true too - haven't you heard of the grocery gap before?

Re: Yep, that sounds like democrats.

[dwer.livejournal.com]

public transportation has nothing to do with bootstraps, silly!

Re: Yep, that sounds like democrats.

[roseofjuly.livejournal.com]

Until they get caught in the closing train doors.

WHAT THEN?

Re: Yep, that sounds like democrats.

[dwer.livejournal.com]

pull faster. :P

Re: Yep, that sounds like democrats.

[roseofjuly.livejournal.com]

I'm not your "sister."

Newsflash, sister, everything's a gap.

That's my point. You may not give a shit, but there are a lot of people who do.

Re: Yep, that sounds like democrats.

[dwer.livejournal.com]

yes, but to him, those people are stupid, and the fact that they want the government to care is wrong.