What Cheeses Me Off!!!!

typhoeus

Well-Known Member
Totally agree. I havent had


Totally agree. They are a money trap. Have not had one for 12 years now. Missus has never had one at all. I use a Visa debit card . When travelling I load up the debit card and put a few thousand away in the car for bush purchases. Stuff the banks..
It might be tough but if you can start another debit account and put in it what you put in the credit card each month. Then use that as your credit card. With the yearly fees and other traps, credit cards are an expensive convenience
 

phs

Well-Known Member
Well they can be used to your advantage

- keep your money in an offset account against your Loan
- use credit cards as a line of credit and pay them off before the due interest is due
- benefit from reward programs
 

callmejoe

Well-Known Member
I live on my credit card. If used wisely they are a great "tool" and can be of great benefit.

It records all transactions, great for tax time.
It give me confidence my $$ is safe, as if there's a fraudulent transactions that's the banks problem.
Pretty much everyone accepts them.
I get reward points (which i turn back into cash).
Best of all I get to use my $$ else where 1st to off set interest in other places.

I pay it out automatically everything fortnightly, the the only fees are the yearly chargers.

The trick is, if I don't have the money to start with, don't us it.
 

Colly18

Well-Known Member
I live on my credit card. If used wisely they are a great "tool" and can be of great benefit.

It records all transactions, great for tax time.
It give me confidence my $$ is safe, as if there's a fraudulent transactions that's the banks problem.
Pretty much everyone accepts them.
I get reward points (which i turn back into cash).
Best of all I get to use my $$ else where 1st to off set interest in other places.

I pay it out automatically everything fortnightly, the the only fees are the yearly chargers.

The trick is, if I don't have the money to start with, don't us it.
True. But the reality is many people have credit card debt they have to deal with. In these days of low interest rates, if it was me, I'd be looking at all options to pay off the credit card by financing through a lower interest paying option/loan.
I rarely use the credit card these days, preferring to use a debit card or EFTPOS from my chq or savings account, mainly because I believe the businesses/merchants will be slugged more by the banks for credit card transactions compared to other EFT options. It's not much, but it is a little I can do for Australian businesses.
 

Bigfish1

Well-Known Member
Excerpt from a July 2018 ABC News article...

" One in six consumers is struggling under a mountain of credit card debt that might never be repaid, according to alarming research by the corporate regulator.

Key points:
  • New report by ASIC shows that Australians owe $45 billion in credit card debt
  • More than one in six Australians — around 1.9 million people — are struggling to repay their debt
  • Despite new regulations in 2012, not all credit providers are proactive in countering persistent debt
The Australian Securities and Investments Commission (ASIC) report showed 18.5 per cent of consumers were overwhelmed by their credit card debt load with outstanding balances now totaling $45 billion.

The study said banks and credit card companies were in the midst of a revenue bonanza with interest being reaped on $31.7 billion of that $45 billion debt figure.

ASIC warned that enticing credit card offers — notably balance transfers from one card to another — were "a debt trap", with 550,000 people in arrears and 930,000 with persistent debt as of June 2017.

A review of 21.4 million credit card accounts opened in the five years to June last year estimated consumers could have saved $621 million in a single year if they had switched to a more appropriate credit card with fewer frills and a lower interest rate. "

Now this is about 30 months ago. Figures will be a lot worse now. If you are one of the very few that has never paid interest then your doing well. I hate being in any sort of debt to anyone. Everyone of my yearly bills I pay with at least 6-12 months in advance. I,m lucky to be in this position Borrowing to pay of more debt is a big, big trap that many fall into and things are not rosy on the economic outlook. Maybe if people thought more about what they need and not what they want they might get ahead at some stage. Easy to say, I know but it can be done to get off the interest trap lifestyle.
 

rogerazz

4x4 Earth Contributer
Credit cards are only good for the people who have money in other accounts and can make repayments before interest and other fees are charged. Interest rates are completely ridiculous in today's market.
They are good for convenience and keeping track of purchases only.
 

Bigfish1

Well-Known Member
Well no. credit cards are only good for the people who can manage their financial affairs and live within their means.
I agree. Too many have a champagne taste on a beer budget. Modern life can be very stressful but being up to your eyeballs in debt because you want the latest Toyota or the big high definition tv wont make you any better off. Aussies are among the most debt driven people in the world.
 

rogerazz

4x4 Earth Contributer
Well no. credit cards are only good for the people who can manage their financial affairs and live within their means.
Well I reckon people who can manage their financial affairs and live within their means mostly have finances to do so. Sure people on here who have commented live comfortable lives.
If you were to find stats on those who get into strife with credit cards, I reckon most are in deep sh*t , have no money, even to live life, and use them to survive.
My last job was credit repair, which was to get people out of financial trouble and had gotten bad credit ratings. Even after recovery could not even get rental, a mobile phone, borrow money, buy a car, a house because of their past record. Heaps and heaps of credit card debt. No food on the table and lived in sh*t holes.
Yes a couple were reasonably well of, however they suffered from addiction to betting, alcohol, had bi polar and other mental problems.
From the hundreds I tried to help , about 98% were the down and outers, living in poverty and facing court cases.
Many were at suicidal stage, so this was their last hope at getting out.
I did much work were I did not get a penny for it because I could not walk away, especially where kids were involved.
This was my last job after 45 years and I only lasted eighteen months before it got to me.
 

synchro

Active Member
I agree - you highlight people who should not have credit cards and with or without credit cards these people will have financial issues.
 

discomatt

Moderator
Its just how some people spend and behave with money, if you give some people 1000 they will say great and spend it on smokes, booze, a holiday or a TV some people will pay down dept or invest in their future, you just can not help some.
I know a family who earn well but spend heaps, they want to buy a new and bigger house so sold there old one and are looking, they are stuck with the prices and not having enough $$ for what they want but continue to buy coffee every day and she continues to get her eye brows done....
I was raised with look after the pennies and the pounds look after themselves but then you get the people who are penny wise and pound foolish, looking after the finances is a fine art and should be tought in school
 

Colly18

Well-Known Member
Wasn’t that why the government doubled the dole during covid ?
The majority of that money was spent immediately, keeping the economy rolling .

And paying off debt!? I wonder whether those who used government Covid relief to pay off debt, will end up back in the same predicament when things are back to 'normal' in a year or two? This US perspective indicates to me, "Maybe so!?"

 

mikehzz

Well-Known Member
Having a credit card to solve a financial problem just kicks the can down the road
Not sure meth and marijuana is taxable :p:D:D
The money still ends up in the cycle no matter who the first spender is and what they buy. If you spend $100, that gives the person you bought from $100 to spend, and they do spend it. The government gets one eleventh of it everytime any of the people in the conga line spend it, until they end up getting most of it back. It's a money go round. If big money sends it overseas then it's gone, out of the cycle.
 
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