But but but... BOOTSTRAPS!

[dwer.livejournal.com]

Comments

Re: Yep, that sounds like democrats.

[zombiesmustdie.livejournal.com]

I haven't really made this clear but my main bone to pick with the credit card companies is the overly inflated interest rates. I agree that its good to have the option of credit as it allows people to purchase necessities which they are unable to pay wholly out of pocket.

I'm confused what your point is. Do you think that because the credit card companies are lending the money they should be able to charge whatever interest rate they choose? Is 40% interest too much? 50%? Do you think 25% interest (which seems to be current average) is fair?

Re: Yep, that sounds like democrats.

[zombiesmustdie.livejournal.com]

But its not a voluntary transaction if its a necessity and there are no viable alteratives (be they not making the transaction or getting credit through an alterative source)

Re: Yep, that sounds like democrats.

[zombiesmustdie.livejournal.com]

That's not what I said at all but good job beating on that strawman.

Re: Yep, that sounds like democrats.

[zombiesmustdie.livejournal.com]

50 years ago the gap between average income and the cost of necessities like shelter was not as great, thats why they got along fine without them.

As a general principal its true that if you dictate the terms then you must be free to dictate the offer yes. However credit is not a luxary in our current economic system. Its all but short of a necessity. Therefore I think its immoral to make the kind of profits credit card companies make off of a necessity.

I can't explain any better that the choice between massive debt and failing out of college or job loss is a non-choice and therefore not voluntary. The argument is therefore not moot.

Re: Yep, that sounds like democrats.

[zombiesmustdie.livejournal.com]

just as an example of the income/cost gap in 1950 average income was $3210 per year and the average cost of a new house was $8450 (2.6 years of income)

in 2007 (the latest year i could find) average income was $40,405 and the average cost of a new house was $299,1000 (7.4 years of income)