<p>regulation in the way they advertise themselves? i believe there are guidelines for advertising already. i’m not sure what you mean. a credit card is a credit card. you borrow money from a company and if you don’t pay it back on a certain date you get charged interest. and when you apply there’s a packet containing all the information about interest rates and fees that get applied. if college students can’t read that, then it’s not the credit card companies fault.</p>
<p>agree with the above mentioned posts… plus the one about actually making money from credit cards… I charge pretty much everything… keep my money in my savings account all month, earn that interest… and then pay the bill at the end of the month… have never in my life carried over a balance… and i’ve had credit cards for like 10 years now… plus i get back cash back on my purchases… so not only am i getting back 1% on everything i buy but i am also making 2% ish interest on the money that i otherwise would be spending in cash during that month. It’s a win win. </p>
<p>People just are stupid.</p>
<p>That’s funny. I’ve never been in debt. I am working my sixth job full time that I’ve had for over one year, and I always have several thousand dollars in cash equivalents. yet since I am not a student presumably, I can’t get a credit card (never been accepted).</p>
<p>Credit card companies are very willing to lend sub prime credit to college students because they frequently have parents that are willing to front the bill.</p>
<p>The debt and credit system all together is often detrimental. Cash is better. I probably will not be able to open a line of credit until after the liquidity crisis is over, now.</p>
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<p>We’re all in debt. Federal, state, and trade.</p>
<p>^ That really depends how you look at things.</p>
<p>It affects you every day. When our debt increases, the value of our currency declines against other currencies so that we need to pay more for our imported goods.</p>
<p>Yeah, but it’s not as if I could directly pay off this “debt”, as I could with a credit card or loan.</p>
<p>The United States of America being in debt does not make myself in debt. For one thing, you don’t even know what country I’m a citizen of. </p>
<p>“our currency” anyone living in the US can operate foreign exchange and gain capital by placing bets predicting the US dollar’s loss of value. So in that case, if one is making thousands of euros off of the dollar losing slight value, certainly they aren’t in debt.</p>
<p>You can be in debt but have a positive net worth.</p>
<p>I have three credit cards, </p>
<p>But I keep them all under control, no debt so far, have them for about 2 years now.</p>
<p>I don’t see anything wrong with a college student having lots of debt. If you can go to school, get a education and as a result make a good income afterwards then anything up to 15K in credit card debt is not even that bad. I had a cousin graduate with 13K in credit card debt, ge got a job and paid off 35K in student loans and the 13K in cc debt all in 1 year. That allowed him to go to school for 4-5 years and survive as well as get a education which allowed him to make around 60K a year.</p>
<p>^^^
How did he pay off $48K in one year when he only made $60K before taxes?</p>
<p>^ It’s possible. He just has absolutely no money to his name and lives paycheck to paycheck.</p>
<p>He went home and lived with his mom for a year. paid everything off and was free. Not much of a sacrifice for 4 years of fun and education.</p>
<p>i’m pretty sure, but someone can back me up on this, that paying off your student loans that quickly isn’t good for your credit score. so i’ve been told anyways. i’ve planned something similar though.</p>
<p>a co-worker of mine told me that in some cases it may not make sense to pay off your loan right away even if you have the money because you could just take that money and invest it in something else to make more money which would allow you to not only pay off your loan but also make money in the process.</p>
<p>It is not good for your Fico for the reason that you simply haven’t attained greater debt. So if you were to lets say start paying it back and then buy a car with credit then your Fico score would jump. Though if you no longer have debt then your score will slowly decrease. Its a bit more complicated then you are making it. Though you will gain a good number of points paying back student loans over the years. Remember different companies use the fico score and the report in different ways. No one bank does everything the same. </p>
<p>You simply base whether you are paying back or not on the interest of your debts. If you have credit card at a rate of lets say 17% and your investments only top out at 9%, you are loosing money buy not paying. </p>
<p>There is no one rule for everybody/</p>
<p>“a co-worker of mine told me that in some cases it may not make sense to pay off your loan right away even if you have the money because you could just take that money and invest it in something else to make more money which would allow you to not only pay off your loan but also make money in the process.”</p>
<p>Sure, you could have put it in the NASDAQ in 2000 and lost 75% of your cash in addition to having a loan to pay off.</p>
<p>The idea of a metric to measure your credit score is a little dumb but so is the idea to manipulate your credit score to try to beat the metric.</p>
<p>Dr.Horse: i was referring to investing it in the stock market. gaining returns higher than the interest rates on credit cards would be quite the feat. student loans for the most part have a much lower interest rate so it wouldn’t be out of the realm of possibility to make more money by investing in the market.</p>
<p>BCEagle91: well i’m not talking about manipulating your credit score. that may be one side effect of investing your money elsewhere and paying the loan off as scheduled, but it isn’t really the intent. the idea is simply opportunity value at work. do i pay off the loan as schedule and make no return on that money paid off, or do i invest that money to get a higher return? personally i would just pay it off as scheduled, i’m not a risk taker so the stock market isn’t for me.</p>
<p>of course it’s up the person to know when to get out of the market. my guess is that for every ‘crash’ in the market, there are more years in which the market is growing. pretty good odds if the person knows what they’re doing.</p>
<p>CC interest rates run 18 to 30 percent. If you have a guaranteed rate of return that’s higher, I’m sure that Bernie Madoff would be interested.</p>
<p>“of course it’s up the person to know when to get out of the market. my guess is that for every ‘crash’ in the market, there are more years in which the market is growing. pretty good odds if the person knows what they’re doing.”</p>
<p>The NASDAQ’s high was around 5K. It may very well never make it back there. The Nikkei was around 40K. It’s under 10,000 right now. It’s been in the dumps for a very long time.</p>
<p>Study Kondreytieff waves. You might learn something.</p>
<p>BCEagle91: “You might learn something.” First off, you don’t have to get condescending. I don’t believe I said anything of that manner toward you.</p>
<p>As to the rest, I am not talking about credit card interest rates. I’m talking about student loan interest rates because they generally have lower interest rates. Hence why I said, it would be quite the feat to higher returns than the avg CC interest rates.</p>
<p>I don’t get what showing those numbers prove. Just because the market hasn’t been as good as it was once at its high, does not mean that people can’t make money. In a 20 year period of course the market probably won’t look as good it was at its highest point, but if we’re talking a 1-3 year period, it might not be that bad for the person investing. That’s the point I was making. From 2004 to 2007 anyone investing in the market could have made money.</p>
<p><a href=“http://money.cnn.com/quote/chart/charts.popup.html?ClientID=44711&symb=nasdaq&sid=3291&pg=ch&time=all&freq=1dy&maval=60&lf=1&type=2&mocktick=1&symbtype=0&country=US&rtsid=1000003291&style=2108&size=3[/url]”>http://money.cnn.com/quote/chart/charts.popup.html?ClientID=44711&symb=nasdaq&sid=3291&pg=ch&time=all&freq=1dy&maval=60&lf=1&type=2&mocktick=1&symbtype=0&country=US&rtsid=1000003291&style=2108&size=3</a></p>
<p>This illustrates what I mean. There are more years in an upward trend than there are years in a downward trend.</p>
<p>Anyways that’s the last thing I say on this thread.</p>