0.25 interest rate hike

[evince]

I REALLY hope not but my instincts are telling me that by this time next year we will be looking back at these times today fondly as THE GOOD TIMES. I think we get hit with the double whammy of war and a cratering economy. Like Hawkeye always says.......Buckle up.

You have never been correct in retrospective


Your instincts are driven by hate and lies

 

[Althea]

Should be a real blast for all those sub prime D's needing to buy a car or wanting to buy a home..... Good luck with all that!

If you can't afford either, don't buy one. That's the point.

 

[Althea]

HOORAY!! It lowered the jar of peanut butter by 20 cents but added another 1800.00 in interest to the car you want to buy! From 3.6 % when this shit began to over 8% now. Im sure all those peeps in your HOOD are gonna LOVE IT!

You must have a terrible credit rating

 

[evince]

This is how people are rescued from the market.

T Bills are now paying about 5%.

Same for CDs

Same for most money market accounts.

It's a great time to have cash

Good points



https://ycharts.com/indicators/3_mo...4.59%, compared to,long term average of 4.17%.



Look at that rise in T bills

 

[Althea]

Raising the rates again simply notes that inflation is still high and not controlled. Pretending this is a good thing is just pretense. The poor are hurt the most by this insanity, and you have idiots (on this very site) who have literally said that you can "just print more money" to get out of it as if they simply do not understand the impact of that on inflation. Inflation is monetary and cannot be separated from that.

Whereas this inflation will not be cured by interest rate hikes alone, I'm loving the fact that I can earn real interest on my idle cash.

The poor aren't buying cars or homes. They probably don't have credit cards. Unless you are referring to those who earn $50,000 as 'poor'.

 

[evince]

If you can't afford either, don't buy one. That's the point.

This nation just doesn’t teach kids economics


We need to have each high schooler take a mandatory class in economics


One that teaches them sound proven ideas

Then no one will be an Austrian school idiot

 

[Althea]

I think the answer now is Automatic adjustable loan rates and Credit Card rates that mirror the fed increases or decreases.

There needs to be an incentive for the lending industry to be able to compete anyhow.

Because adjustable loans and rates would give more buyers an incentive to buy now, without signing their souls to the devil.

The economy is not static, and neither should loan and credit card rates be.

I think people learned about the perils of ARMs in '08.

That's a bad idea, unless you believe that we have hit the top of the interest rate hikes (probably so) and they have nowhere to go but down?

 

[Althea]

I REALLY hope not but my instincts are telling me that by this time next year we will be looking back at these times today fondly as THE GOOD TIMES. I think we get hit with the double whammy of war and a cratering economy. Like Hawkeye always says.......Buckle up.

The economy is strong. The market might be pissed that the Fed stopped pumping billions into corporations, though.

 

[Althea]

Outside of Federal express which is mostly for prime borrowers the other CC companies are getting hammered now with uncollected debt and charge offs. Lower middle and working poor are back to living off of their CC just to get by with daily needs. They are caught in the debt trap now,......They are fucked. It doesnt end well.

Ridiculous. Did they get a salary decrease?

 

[Althea]

I agree! We probably can't do anything with the loans that already exist, or the credit card contracts already signed.

But, if people could refinance their old loans and cancel their old credit cards with those frozen rates, new flexible rate loans and credit card contracts with flexible rates could easily replace them!

But unless the lending industry wants to do this, it just won't happen.

I don't understand? Loans that already exist are just fine.

All CCs have adjustable rates of interest. Unless trump changed it, old balances cannot be subject to random rate hikes.

 

[Stone]

You must have a terrible credit rating

It should be OBVIOUS that when we are talking about such things we are not talking about our own individual selves but instead the country as a whole. RIGHT? C.mon man.....get with it. Enuff of the partisan bullshit.

 

[Althea]

This nation just doesn’t teach kids economics


We need to have each high schooler take a mandatory class in economics


One that teaches them sound proven ideas

Then no one will be an Austrian school idiot

Agree. And not just kids. When I met my GF many years ago, she liked to put a big chunk of money from every paycheck into the bank. She was building a nest egg, which is a good idea.

Then she financed a huge chunk of change for a car at 7.99%. She was making her payments, and ignoring me when I told her that saving at .75% while paying almost 8% interest is a bad idea.

She refused to listen, so I let her continue to pay $400/month for the car for about 1 1/2 years.

I told her to call up and see what the payout was. Then I told her to add up all of her car payments to date.

She almost puked.

She paid the car off with her idle cash within a year, effectively earning 7.99%

This isn't rocket science. But as you say...people should be taught.

 

[evince]

It should be OBVIOUS that when we are talking about such things we are not talking about our own individual selves but instead the country as a whole. RIGHT? C.mon man.....get with it. Enuff of the partisan bullshit.

You don’t know anything worth listening to loser


Your whole world is driven by racist hate and lies

 

[Althea]

It should be OBVIOUS that when we are talking about such things we are not talking about our own individual selves but instead the country as a whole. RIGHT? C.mon man.....get with it. Enuff of the partisan bullshit.

The country as a whole is fine. The problem is more about the fact that there is a shortage of cars due to China supply chain issues on chips. Which is finally going to be remedied.

It would say that paying $2000 more for a car due to semi fabricated shortages by dealers is worse than paying another point or two in interest.

The majority of customers can simply put down more cash and finance less.

If they can't, then they don't need a new car.

 

[evince]

Agree. And not just kids. When I met my GF many years ago, she liked to put a big chunk of money from every paycheck into the bank. She was building a nest egg, which is a good idea.

Then she financed a huge chunk of change for a car at 7.99%. She was making her payments, and ignoring me when I told her that saving at .75% while paying almost 8% interest is a bad idea.

She refused to listen, so I let her continue to pay $400/month for the car for about 1 1/2 years.

I told her to call up and see what the payout was. Then I told her to add up all of her car payments to date.

She almost puked.

She paid the car off with her idle cash within a year, effectively earning 7.99%

This isn't rocket science. But as you say...people should be taught.

If we had the right regulations and people knew the basics there would not be so many people getting screwed by the financial system


It’s why the right wants to short fund public education and deregulate everything

The last thing they are is the friend of the little guy

 

[Stone]

Ridiculous. Did they get a salary decrease?

No. They over borrowed in the good times, common mistake, and now are hit with much higher prices for daily living expenses due to inflation. Also,....if they do not own a home and have to instead pay rent then they are being hit with higher costs there as well.

 

[evince]

The country as a whole is fine. The problem is more about the fact that there is a shortage of cars due to China supply chain issues on chips. Which is finally going to be remedied.

It would say that paying $2000 more for a car due to semi fabricated shortages by dealers is worse than paying another point or two in interest.

The majority of customers can simply put down more cash and finance less.

If they can't, then they don't need a new car.

I have purchased very few NEW vehicles in my life


I often let someone else take that new car hit

 

[evince]

No. They over borrowed in the good times, common mistake, and now are hit with much higher prices for daily living expenses due to inflation. Also,....if they do not own a home and have to instead pay rent then they are being hit with higher costs there as well.

Which is what the rate hikes are intended to do fool


Stop the over heating

 

[Stone]

If they can't, then they don't need a new car.

I totally agree. Now tell that to the tens of millions of idiots out there trying to live large when they should be living within their means. Good luck....

 

[evince]

No. They over borrowed in the good times, common mistake, and now are hit with much higher prices for daily living expenses due to inflation. Also,....if they do not own a home and have to instead pay rent then they are being hit with higher costs there as well.

What school of economics do you adhere to?