OT: what is your credit card debt?

[delekkerste]

This is frightening and underscores why I think consumer discretionary spending is bound to fall dramatically over the next 5 years. In the environment that I foresee coming, tying your money up in HG comics is so not the right thing to do...

 

 

Posted on Mon, Mar. 15, 2004

 

U.S. Debt Burden Is Higher Now than During Depression, Study Says

By Danielle DiMartino, The Dallas Morning News Knight Ridder/Tribune Business News

 

Mar. 14 - The United States is shouldering a greater debt burden today than it did during the Great Depression.

 

The total amount owed – by consumers, businesses, governments and financial institutions – totaled $34.4 trillion at the end of 2003, according to the Federal Reserve. The economy produced $11.3 trillion of output.

 

That makes the nation's debt triple its gross domestic product. In 1933, debt was about 2 1/2 times GDP, according to a study by the Gabelli Mathers mutual fund.

 

Then, the toxic mixture of investing with borrowed money, a stock market bubble and a shaky banking system proved too vulnerable to a sharp economic slowdown. Deflation rendered debt burdens unmanageable.

 

All those factors are not in place today. But the debt situation is unhealthy, experts agree.

 

Consumer debt has doubled in the last 10 years, to a record $9.4 trillion.

 

Corporate debt is at a record $5 trillion. Federal debt is $4 trillion but set to jump to $10 trillion by 2014. Financial institutions ($11.4 trillion) account for most of the rest of total debt.

 

This debt bubble comes with the lowest interest rates in four decades.

 

When rates inevitably rise, the burden will worsen.

[Bonds25]

Consumer debt has doubled in the last 10 years, to a record $9.4 trillion.

 

Corporate debt is at a record $5 trillion. Federal debt is $4 trillion but set to jump to $10 trillion by 2014. Financial institutions ($11.4 trillion) account for most of the rest of total debt.

 

This debt bubble comes with the lowest interest rates in four decades.

 

When rates inevitably rise, the burden will worsen.

 

That's crazy!

[Murph]

They were rising, albeit briefly, middle of Summer last year.. It didn't really affect anything much, but it was short lived so that probably wasn't a long enough indication.

 

Brian

[uclapeterg]

I am, not surprised at all. In LA, everyone is seen with Lexuses and the like. Everyone is living beyond their means wishing/hoping that the low interest rates will last forever. The bubble will indeed burst when we start to see inflation rise (which we will).

[Murph]

I don't know about you but I'm enjoying the low interest rates.

It has affected renting though, you can buy for about the same price as it costs to rent right now.

 

Brian

[tilleycs]

Sometimes I wonder if consumer spending will ever REALLY go down that much. People will continue to live well beyond their means regardless of whether they have the money and can afford it or not.

 

The economy could be in the tank, and people will STILL pay fifty bucks (and more) apiece to go see concerts, pro sports, plays, and even to eat one meal. I don't even pay full price to go see a MOVIE, much less pay to go see stuff like that.

 

I have zero credit card debt. I hate being in debt. Absolutely hate it. So I don't get in it. I use my one credit card to pay for everything (hardly ever carry cash with me) because I have a rewards card and get 1% cash back (3% on gas). I pay it off every month. Chase/MasterCard may hate me, but they need me a lot more than I need them. I just use the card for the convenience.

 

I also don't spend a lot on comics. I'm a collector/reader and not an investor/speculator, so I doubt I'll ever sink a lot of money into one comic. I'd rather have a full/long run than one comic. That's just my preference. And I'd rather have everything paid off and money in the bank and my retirment accounts than have a lot of valuable comics.

[OldSchoolTerry]

Don't you know collectors/readers have no place on these boards?

 

Go and max out all your credit cards on slabs already, willya?!?

[joe_collector]

That's just my preference. And I'd rather have everything paid off and money in the bank and my retirment accounts than have a lot of valuable comics.

 

You are shaping up an one mighty unpopular dude here on the forums.

[tilleycs]

You are shaping up an one mighty unpopular dude here on the forums.

 

Meaning?

[Clark Khaos-migration]

You are shaping up an one mighty unpopular dude here on the forums.

 

Meaning?

 

(I think that was Joe's backhanded way of paying you a compliment! )

[joe_collector]

(I think that was Joe's backhanded way of paying you a compliment! )

 

Pretty well, as responsible finances and actually collecting comics (as opposed to investing in them) have never been popular stances around these parts.

[tilleycs]

Pretty well, as responsible finances and actually collecting comics (as opposed to investing in them) have never been popular stances around these parts.

 

Oh, o.k, I gotcha. I wasn't sure how to take that, whether you were saying I was becoming unpopular with you in particular, or if my views would be unpopular here in general.

 

I have to say, in general, I agree with you. I have no problem with other people worshiping at the altar of CGC and living or dying by the grades that CGC gives stuff, it's just not me. It's surprising, though, when I see people who are so obsessed with the "hobby" (and I use the term loosely in their case, because it doesn't seem like a hobby to them any more) that they become narrowminded and can't understand that there are people who don't share their views and/or practice slab-worship, and automatically label everyone who disagrees with them as wrong, ignorant, etc. (I'm not saying this is true of everyone who collects/buys/sells CGC books)

 

I do feel pretty out of place sometimes as a collector/reader, but I guess it's to be expected on a *CGC board*, huh? I came here (and have stayed here) because I love comics. Maybe I should have done it based on whether I loved CGC or not?

[Clark Khaos-migration]

Amen, brother!

 

You are not alone. :::cue X-Files theme:::

[OldSchoolTerry]

Pretty well, as responsible finances and actually collecting comics (as opposed to investing in them) have never been popular stances around these parts.

 

Oh, o.k, I gotcha. I wasn't sure how to take that, whether you were saying I was becoming unpopular with you in particular, or if my views would be unpopular here in general.

 

I have to say, in general, I agree with you. I have no problem with other people worshiping at the altar of CGC and living or dying by the grades that CGC gives stuff, it's just not me. It's surprising, though, when I see people who are so obsessed with the "hobby" (and I use the term loosely in their case, because it doesn't seem like a hobby to them any more) that they become narrowminded and can't understand that there are people who don't share their views and/or practice slab-worship, and automatically label everyone who disagrees with them as wrong, ignorant, etc. (I'm not saying this is true of everyone who collects/buys/sells CGC books)

 

I do feel pretty out of place sometimes as a collector/reader, but I guess it's to be expected on a *CGC board*, huh? I came here (and have stayed here) because I love comics. Maybe I should have done it based on whether I loved CGC or not?

 

Moderators, I think we have an agitator here!!! I think you should be banned immediately!! How dare you not worship the mighty plastic slab!!

[tilleycs]

Moderators, I think we have an agitator here!!! I think you should be banned immediately!! How dare you not worship the mighty plastic slab!!

 

, Terry! I guess I just haven't been "converted" yet. I'm a CGC atheist! Maybe I should write it "cgc" (lowercase) since I don't worship it. Think that will gain me popularity points around here?

[FlyingDonut]

I have no credit card debt. I used to, but I don't now. I also have no car debt, school debt or other consumer debt. I have a big mortgage, but its manageable. I do spend a lot of $ on comics, but who cares? Mrs. Donut and I save 25% of our gross income every year, we have college funds set up for both kids that are well-funded, and have a lot of nice stuff.

[comicmankev]

Thats the life FD