Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Ok. Here's my vent. I am getting a bit tired of reading all the threads about how the drying up of credit is a good thing. Every single post seems to refer to credit being used to purchase luxuries like hi-def tv's.
What about the small businesses that use credit to buy inventory, or tools to do their job? They NEED this credit to make the money to then PAY OFF the credit plus pocket the income that helps them survive.
Why is this overlooked and the only thing that seems to be mentioned is the irresponsible use?
Now I have doubts about whether the people with good credit scores will be affected by no bail out, but then again Im not sure of it either.
So the point is, this does NOT come down only to people who stretch their credit limit to buy luxuries. There are TONS of businesses who use credit to make their money and then pay that credit back on a month by month basis.
Let's not forget that.
Now on to the bailout. I have no qualms about it weeding out the irresponsible users of credit, but when it starts affecting those with the good credit scores and good payment history, a serious problem comes in to play. Now whether this will actually happen is up for debate. Same goes for whether any bailout will actually help things.
So the point is, this does NOT come down only to people who stretch their credit limit to buy luxuries. There are TONS of businesses who use credit to make their money and then pay that credit back on a month by month basis.
I happen to like using my VISA and paying it off at the end of the month instead of writing checks or using a debit card, but I can survive without it.
I happen to like using my VISA and paying it off at the end of the month instead of writing checks or using a debit card, but I can survive without it.
Businesses can do the same thing.
Do you own a business? Do you use that Visa to buy inventory which you then turn into income? There is a difference between using a CC to purchase groceries for every day life and using it to purchase inventory which you sell, turn into cash and then pay that debt back.
Im not saying that the bailout will help this or that it won't, im just stating that a lot of people on here seem to be classifying the use of credit as a horrible thing and in most cases that simply isn't true.
I happen to like using my VISA and paying it off at the end of the month instead of writing checks or using a debit card, but I can survive without it.
Businesses can do the same thing.
We own a business and we need our credit cards to order test kits, medical supplies, etc. This has NOTHING to do with writing checks or not...this has to do with being able to have supplies that our patients need in a timely manner and if we cannot get them in a timely manner they will go elsewhere!
So, if you want to compete as a business owner you have to have the items needed to run the business...
Sadly though, just like in the residential area, the good guys are getting shafted as well.
We will have to pay for other peoples financial mistakes.
I do hope you honest business owners that play by the rules are able to make it through this fiasco.
We own a business and we need our credit cards to order test kits, medical supplies, etc. This has NOTHING to do with writing checks or not...this has to do with being able to have supplies that our patients need in a timely manner and if we cannot get them in a timely manner they will go elsewhere!
So, if you want to compete as a business owner you have to have the items needed to run the business...
Business Owner 1 makes a decent living of $48,000 per yr.
In order to make this $4,000 a month this owner needs to SPEND $10,000 a month on inventory, supplies, etc...
This is not a rare situation.
Please explain sterlinggirl how this person is going to spend that $10,000 a month to bring in $14,000 without credit?
There is some VERY short sighted thinking going on in regards to this bailout.
Once again I will state that Im not entirely sure that people with good credit will be affected if there is no bailout. I have my doubts that they will be, but Im also not sure they won't be and if they are? There will be SERIOUS problems in this country.
Sadly though, just like in the residential area, the good guys are getting shafted as well.
We will have to pay for other peoples financial mistakes.
I do hope you honest business owners that play by the rules are able to make it through this fiasco.
I hope we can make it too. Unfortunately, the "bail out" seems to be a necessary evil. When the Dow was down 700+ points yesterday we lost more than one trillion dollars...700 billion pales in comparison, huh?
We own a business and we need our credit cards to order test kits, medical supplies, etc.
A debit card gets stuff just as fast, and the only caveat is that you need to keep some money in the account to pay for it up front instead of at the end of the month.
A debit card gets stuff just as fast, and the only caveat is that you need to keep some money in the account to pay for it up front instead of at the end of the month.
What's so hard about that?
If a small business makes $50,000 a year but needs to spend $100,000 or $150,000 or $200,000 to make it how are they going to do this? Certainly that business that turns a $50,000 profit is by no means a failure, but with your method it would NOT BE POSSIBLE.
Say that business is a 1 person business who has a mortgage at home and family at home.
So each month they need to spend $10,000 to bring in $14,000. They also have a $1,000 mortgage and a car payment of $300 plus other expenses totaling $2000. Bringing home $24000 a year debt free (12*2000) is nothing to sneeze at in most regions of the country. Yet with your method this person would be unsuccesful and have to find another job.
A debit card gets stuff just as fast, and the only caveat is that you need to keep some money in the account to pay for it up front instead of at the end of the month.
What's so hard about that?
We are not talking about a five and dime...we are talking about several hundred thousand dollars for new xray machines, diagnostic tools, etc. Do you have disposable money like that on your darling little debit card? What a joke. Maybe I'll just keep my money tied up to a debit card. Good idea! Here's how it works...we buy the things we need, the patients come and their insurance pays us, we pay our creditors...does that make sense??? I have only had a balance on my card ONCE...ONCE in my life. Don't preach to me about credit when you are obviously still wet behind the ears.
So, next time you need to go to the doctors and they do not have the equipment needed to treat you, maybe they will have some snake oil, an aspirin, or a sweet pat on the back. It takes spending money to make money...do you understand that?
Go start a business and get back to us... or better yet, continue to pump gas for a living.
Last edited by mrstewart; 09-30-2008 at 09:49 PM..
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
