HOW bad does it need to get before an average American willingly goes frugal ?

[NJBest]

Originally Posted by Info Guy

If you are paying interest and paying minimum amount then then borrower is not fully responsible. Creditors like this.

By that definition, majority of homeowners and new car owners are irresponsible borrowers.

I disagree with your statement. Context matters. If you're paying more than the minimum, that leaves you with less capital leverage. In many cases, as you may have learned in accounting 101, it is better to have cash and debt than no cash and no debt.

[Info Guy]

Originally Posted by NJBest

By that definition, majority of homeowners and new car owners are irresponsible borrowers.

I disagree with your statement. Context matters. If you're paying more than the minimum, that leaves you with less capital leverage. In many cases, as you may have learned in accounting 101, it is better to have cash and debt than no cash and no debt.

They sure are if they are paying high interest and/or interest for a long time. Good for creditors.