Credit card industry may cut $2 trillion of lines

[Scott50]

http://news.yahoo.com/s/nm/20081201/bs_nm/us_finance_research_oppenheimer/print;_ylt=ArSmKHSxqrkFRBiN6fzWnh.b.HQA

[magyar123]

I think this would be pure crap!!! Here the govt bails out all these banks - supposedly to encourage more lending - and then they turn around and cut credit card limits. Exactly the opposite.
Personally I think that these banks are scared s..tless that Obama will reverse some of the 2005 bankruptcy laws provisions.

[chloe0724]

I don't think it has anything to do with a possible change to the laws. They are reversing the big mistakes they made in the past. I know many of us are here becuase it was way too easy to get huge limits on our credit cards.

The quicker we get all the bad stuff out of the way, the faster we can recover.

[banca rotta]

I think this would be pure crap!!! Here the govt bails out all these banks - supposedly to encourage more lending - and then they turn around and cut credit card limits. Exactly the opposite.
Personally I think that these banks are scared s..tless that Obama will reverse some of the 2005 bankruptcy laws provisions.

I still don't understand why all the outrage. So many here (not all), but a lot of members here feel that all of our problems are because of easy credit. Now they are doing something about it.

The only big deal as far as the banks doing any lending are things like small business loans, mortgages, etc. These are good debts if used wisely because in most cases the assets increase in value over time. This is why I want the Government to fix the broken banks and no other reason.

Other then that the last thing we need is for them to encourage more (unsecured) lending. We will only be back here and worse. I would love to see credit cards be slowly abolished or credit lines should be very small. It will bring all prices back to normal, but we will take a beating on the way there.

[shabam]

Good. The joke is on them because this will empower the American consumer while reducing their profits. Cash is king and always has been.

[Bandit]

Good. The joke is on them because this will empower the American consumer while reducing their profits. Cash is king and always has been.

No it is not always When depression hits again your cash will be worthless.

[shabam]

No it is not always When depression hits again your cash will be worthless.

The unemployment rate is quite low where I live so no depression in site here.

[Mi Bankruptcy]

I am glad they are pulling credit back. People like me that tried to do the honorable thing and pay them back. Since they have been jacking up rates they will finally give up and do a BK. The Banks will suffer due their boarder line loansharking(5% APR to 22%).

The stigma is quickly being removed about suffering financially. People such as me have said..enough is enough. For me.. the nail was my outrageous health care bills. And to think.. I have health coverage though my company..

[Bandit]

The unemployment rate is quite low where I live so no depression in site here.

Why do you think you will not be effected just because it is low at the moment where you live?

Your cash will be worthless in a depression. So make sure you have a lot of cash on hand.

[Bandit]

I am glad they are pulling credit back. People like me that tried to do the honorable thing and pay them back. Since they have been jacking up rates they will finally give up and do a BK. The Banks will suffer due their boarder line loansharking(5% APR to 22%).

The stigma is quickly being removed about suffering financially. People such as me have said..enough is enough. For me.. the nail was my outrageous health care bills. And to think.. I have health coverage though my company..

I am glad they are as well. Not because of credit but because people do not know how to use credit.

It was my accident as well. Health plans do not guarantee you wont go BK. It used to but now now.

[shabam]

Why do you think you will not be effected just because it is low at the moment where you live?

Your cash will be worthless in a depression. So make sure you have a lot of cash on hand.

Don't worry I have the Euro dollar.

[Bandit]

Don't worry I have the Euro dollar.

That wont make any difference when it is global.

[shabam]

That wont make any difference.

Why are they going into a depression as well?

What other economic predictions do you have?

[Bandit]

Why are they going into a depression as well?

What other economic predictions do you have?

It has happened before it can happen again.

[shabam]

It has happened before it can happen again.

As I have said to you before, not all parts of America have been affected equally. While it may seem like the Depression in Michigan, South Dakota is not doing too bad at all.