Zac Rios you still broke like them tho LMAO just cause you have no credit card debt or use it "responsibly", doesn't mean you're not a hamster spinning the wheel my nigga
@@mariec3527 some things increase in value, but if you calculate inflation in the equation then even the highest increase isnt actually that much - excluding things like: buying this magic the gathering pack and drawing the black lotus, leaving it in mint condition and selling it nowadays or drawing the glurak pokemon card and keeping it prestige, while selling it nowadays, those things are a different story, outliners, but stuff like shoes, cars etc., they dont increase in value that much
I had a bank rep at Chase talk me through all the details about how to pay off my credit card so I wouldn't accrue interest on my new student card. She was literally like "If you do not fully understand what I am telling you in this meeting, this card will ruin your life". Shoutout Vicky at Chase, someone give her a raise
People need to understand that influencers are showing off things that: -Companies are giving to them -Are returning it after making content -Are making a profit out of the content they create about it, so they have a return on investment. We are bombarded with this type of content and that makes us believe that this is a normal way to consume.
Great comment and a very valid explanation as to why some of us are influenced/ conditioned to spend. This especially is true for those who are feeling overwhelmed by life, even depressed... 😢
@@frankvonfrauner the influencers who are receiving products from companies are usually those with a large audience, and very pushed by the algorythms, so what we are seeing the most with the biggest chances to influence us. But yes you are right, the majority of people wishing to become influencers will use the "fake it until you make it" strategy, and with a oversaturated market, will end up in the red trying to impress.
I got 8 cards. I freaking love them! I carry a ZERO BALANCE and fly everywhere for FREE and have a tons of travel points banked. Treat that credit card like a debit card and all is good.
That's the best (and only) way to use credit cards: treat it like a debit card. So you only spend what you have in the bank, so at the end of each month you can pay it off completely. Not only will that mean you pay 0% interest (making it effectively free), you still accrue all the benefits (cashback, air miles, discount deals etc).
Yes that's a great way to put it. If you are a little savvy with your choice of cards, treating your cc as a debit card can *make* you money. With our combo of cards, we net about $1k in cash back per year, then use our Amex perks to get another $1k or so in reimbursements. That's not counting what we save on travel expenses. We use our CCs to pay for everything and autopay the full balance every month without exception.
That’s how I do it. I have 6 cards and don’t even use a couple of them because I don’t feel they do as much for me points wise. I pay them all in full monthly and I usually budget for myself and cut myself off from spending money and dipping into savings too much. I treat it like a debit card for the most part. I’ve gotten myself in trouble a couple times years ago but learned lessons from it. The only exception is I am currently paying down a 0% interest card that I put my dogs surgery on because they gave me a year at 0% before the interest accrues. I could pay it off tomorrow but I made a payment schedule and I’m sticking to it religiously and I’m gonna pay it off a month or two before the end of promotion period because I have it scheduled in my calendar to remind me but otherwise I always pay in full monthly.
@@fizzimajig That's the way to do it. Also, having 6 cards (I have 4) gives one a larger total credit. Thus, you are always using a lower percentage of your total, increasing your credit score and giving you access to more benefits.
5 years ago. I was $15,000 in credit card debt. I paid it off. And I was debt free for 2 years. Today. I was $5,000 in debt because it was a particularly hard year for me. Things came up that wiped out my savings. But I brought my debt down to $3,000. Im determined to be debt free again in a few months !
Idk what's happening down there in US but here in Canada we have like 4months worth of unemployment benefits. 650 CAD per week max/55% or gross earnings So basically ~2850 CAD gross per month. You can downsize to renting a room or something for time being and live off of that and make car payments if your car is cheap+ insurance gas and food.
brother I am at $2,500. I was at $2,9xx. I couldn't pay, and the bank called me everyday until they started taking away from my saving. LOL don't get into debt
I'm from South Africa. I'm 59 years old, retired in 2023. I have NEVER had a credit-card. Fully paid home and 2 vehicles. No debt. Golden rule, LIVE WITHIN YOUR MEANS.
absolutely buddy. some people like to think it is rocket science to have a good life. it is not, just go back to basics. spend less than you earn, it is that simple
With respect, South Africa is generally less expensive than the United States, with consumer prices 54.2% lower on average. In particular, rent in South Africa is 74.1% lower than in the US, and groceries are 63.5% cheaper. Edit copy and pasted from internet
Boomer, you have no idea how impossible buying a house and 2 cars is for someone entering work market now. You were born in the most privileged era of human history.
I worked at a casino years ago. This older lady came into High Limit table games pit, and pulled out a 4 inch stack of credit cards in a rubber band, many Platinum or better. She asked to start with 5K, and to "find her some money". The first 10 tried came back declined or over limit. Two came back as Seizure. We eventually found one card in the stack that worked for $4K, and she had to talk to the bank to get that. Such idiots!
Sadly people do care… but the ones that care are doing the exact same thing and they’re just running in circles, and the only winner is the million dollar companies
My husband and I just became debt free. Right after my daughter’s 1st birthday! We will do our best to set her up for success and keep her from making the same mistakes we did!
dude its crazy. i have 2k left on my car, pay 200 a month, and will be proud to never do that again in my life. bro people are making $1400 car payments while having several thousand in bad debt. it's scary!
@MichaelOrtega that is comparing apples and oranges. Mortgage builds equity over time and the interest rate for the mortgage is significantly lower than a credit card.
As a European, I find this CRAZY. In our banks we can set our own credit card limits but there is a max and there's no predatory spam emails about increasing them. My parents max is 800. I've also never seen anyone actually have so much money available to withdraw through a credit card. My parents have only 600 EUR readily available from which we usually would only take up to 300 EUR for survival - food, health products and deposit ALL of the taken money back when they get their salaries.
I was fortunate. My mother is an accountant and drilled into her children the importance of living below your means, having emergency savings and only buying things you can actually pay for upfront (minus car and house, of course). I am now like a f*cking hawk with my and my husband's finances as an adult. When we started saving for a house, I had to bring him down to Earth several times about the type of house we can *actually* afford. We could have bought twice the house we did but we wouldn't have had any breathing room for savings or emergencies. Thank you mom!
All good, except minus the cars part. Buy used cars with cash and skip the car payment. Car payments to the bank keep you poor. If you make a monthly $700 car payment to yourself instead of the bank for 40 years, invested in the stock market, it's 4 million dollars. Hope you enjoy those car payments.
My brother had £17,000 in credit card debt. They took him to court for non payment. I helped him cut up the cards and restructure the monies owed with a low interest loan. 2 years later they had re-issued the cards and he was back in debt. Sure, he is a fault here but credit card companies are debt vampires.
I can't understand how the card companies aren't even partially to blame. They see the person is struggling to repay what he owes, so they rise the limit to 'make it easier' for him.
It's crazy because these people could be smoking weed instead, which is actually cheaper and healthier. As somebody who smokes weed, these people are just degenerates 😂
Anything that involves the word "swipe" is bad. Swiping a credit card, swiping on tinder, "someone swiped my wallet", "someone side swiped me on my way to work". Avoid anything that can be swiped. Sound advice. 😅
If you have ever had credit card debt then you know how hard it is to pay it off. Cutting those cards up is the easy part. Buckling down in paying things off is where the rubber meets the road. For me, never again. Never again.
@@HaviccBLmao yea at $1,000 you’ll never be that down bad, currently in my early 20’s and have roughly 20k credit limit +5 for my business, that’s when you can actually start messing yourself up, it’s when you “can” spend half the average American salary while unemployed in college - btw get that limit up, hit your bank up every 6 months for an increase, denials are rare and won’t hurt you + it’s compounding percentages, and if you have 100k limit you can rates at bare bottom levels.
I had a friend who passed away with about $30,000 worth of credit card debt. That's about the only way some people get out of paying their debt I guess.
That and selling assets or getting a payment plan. But I worked for a bailiff once. If you start getting payment problems, and the bailiff gets on it, one small bill can spiral down to a five figure bill in a couple of years. Most of the money goes to the bailiff. And these bailiffs don't care about taking everything. I think it recently happened to Tori Spelling. A notorious shopping addict.
In the USA, it seems like you HAVE to HAVE a credit card for everything. In Europe, a credit card is still considered an extreme luxury because of the interest rate banks charge. They also look into your credit history to see if you've never failed a payment or to pay off a loan; they also check your wages (if you make less than a certain amount, your credit will be denied); if you're unable to pay off a credit/loan, you will be blacklisted for several years. Credit cards and loans are dangerous things and not to take lightly!
In the US they check your history and all that too. You'll either get denied or you'll end up with an insanely high interest rate if you're not good with credit. The credit core system has people believing they have to go into debt for credit. You don't. I own a house and didn't have a credit card until after I bought it.
It depends on where you are in Europe. It’s much easier to book flights etc, i got the option to get a creditcard with my bank. Pay the balance off every month IF ive used it and no interest. Nothing luxurious.
I gave a downpayment on a car i wanted to buy but the Rest is financed and i have about €10k to pay back, and of course i changed the time of payment where i can pay efficiently and tada! I can pay my loan on time and i can save money more flexible, i can even pay the interest for a car in the next two months ( saving 1000€ every month l, my interest is 3500€ for a car)
Like most people. I know people who have spent millions on stuff they never even wore. Shoes much more expensive than hers. Walls of boxes unpacked in houses. Mediocre but expensive cars with a 8% interest rate. All to impress people who only think you are a sad ageing shopaholic with a spending problem and a low paying job. I have far more repsect for humble people who know their place. There is something deeply romantic about a young person with a cheap car, a regular job, and a simple appartment, never worried about what others think. Slowly getting there. Sexy AF.
teaching myself about personal finance in my 20s has paid off massively. at this stage of life (mid-30s), the work of managing our household money easily nets us an extra $15k+ per year in the form of tax optimization, interest on cash savings, optimizing credit card cash back and benefits, and investment dividends. We started with nothing but a combined $40k in student loan debt and now have a $250k net worth. Other than making the effort to be financially literate, by far the most valuable thing we have done is consistently live below our means. If you can build that habit from the get-go, you are way ahead.
meanwhile here I am hesitating to drop $100 on a new pair of running shoes for daily use (dw guys I did end up purchasing some Skechers a dozen days ago)
Yeah, but thank your lucky stars you're on the smart side of the shoe fence. I guess yours are the definition of 'sensible shoes' in more ways than one. 😊 👍🏼
In 2006, my high school offered a finance class as an elective. I took it. 1) Most of the students clearly didn't pay attention. (They say it as an easy class to qualify for their diploma) 2) The curriculum itself sucked. It mostly focused on: -Balancing a check book (manually) -Estimating compounding interest from a savings account and the basics of a mortgage. No details on credit cards, student loans, investing, or how to avoid bankruptcy.
Same thing when i went through high school. They act like this is the 1980s where checkbooks are still in use. Most useless “elective” I ever took. Thankfully I learned all about finance properly and have avoided debts
Blaming bad finances on "I was never taught" is just another excuse. There's always an excuse for their self-destructive impulses they choose not to tame. Many people have actually been repeatedly exposed to financial education but still succumb to self-indulgent excesses they really can't afford. In an incredibly harmful sort of irrationality & dissonance, they voluntarily choose to delude themselves that they actually can afford their indulgences. It's perverse but "spending" makes them feel in control. Sadly, many people due to their self-indulgent behaviors never experience the far more satisfying sense of control & freedom that comes from having significant financial assets.
RN here. I got my RN at a local community college and my BSN at a local university. I remember talking to other nurses with a debt of 140k+ and I paid maybe 20k altogether. They got the college experience apparently. Keep that experience lol I'll invest my money
Getting high quality shoes that will last you for years and years is worth the upfront cost. 20pairs of nonsense isn't even if it was "cheaper" and definitely not while incurring interest on the payment. You can have CC, but you need to pay the statement balance in full every time before the due date. I have CC, never paid a cent in interest and just collecting points or cash back. If you can't pay it in full, don't have it.
I pay for good leather boots so they tend to be expensive but they tend to last for years of daily use. I only own two pairs of boots , one pair black, one pair brown and goes with jeans and chinos well, then I own 1 pair of hiking boots and 1 pair of exercise shoes and 2 pairs of formal shoes, 2 pairs of sandals, 1 pair of slippers. That's 8 pairs in total and only the boots is a little over $100, rest are much less. I can't think of why I would want to buy $300+ for pair of shoes, that's crazy.
Have a 320$ dollar pair of work boots I'm like 1 month from 6yrs now and I use them as my daily wear too. Payed for themself after 3rd week with interest
If you can’t pay for it with the money you have today, then you can’t afford it. Period. Edit: obviously this doesn’t refer to a house. The video is talking about credit card purchases. If you can’t afford to pay for those shoes, a dinner out, vacation, etc. right now, then you can’t afford it.
@@MikeS-7 Dude, moreover it's not even "YOUR" debt.. You are Beneficiary.. All Debt is Due to the United States. They are the "Debtors". You already work for free.
The problem is people in the United States can’t afford basic necessities were talking, normal cars, normal homes food when a society cannot afford to pay for these basic 17:29 luxuries you are becoming a Third World country. The rich have always been the biggest liability in the United States. We’re always told that the enemies are foreign the enemy has always been here under our nose for over 200 years and we do nothing about it
Something that may give ya’ll a little hope: i follow the 3rd tiktoker featured here. she’s been on a no-buy and a debt-repayment journey since the start of 2024 and is spreading a lot of awareness about the dangers of shopping addiction and overconsumerism! i’m glad we’re having more convos about this on the internet. consumerism and normalization of detrimential debt are things our generation should start the process of leaving behind.
I maxed my credit card a few times (3k or so) and learned that lesson. Now what I do is put all my expenses on a card that gets points back on any purchase, but I never carry a balance on it from month to month and I keep track of every penny spent. The limit on a credit card is not free money.
I follow a TH-camr who does this with credit cards. He racked up a lot of travel reward miles this way and was able to fly overseas to visit family. He never carries a balance,. is very disciplined and tracks his income religiously.
@hahamasala ppl never seem to understand this concept. I'm pretty disciplined and use CC for almost everything I can including some bills that allow it but I pay everything in full by the end of the month. No % in my part and then turn my points into cash or travel incentives lol
As a european i find it crazy you guys have such easy access to credit card, i know that where i am it just basically doesnt exist, only debit card and honestly its probably for the better
"The Greatest Wealth is to Live CONTENT with little"- Plato - America SHOULD LEARN this quote & take it to heart and try to be content on what they’ve already have instead desiring more because this leads to a life of unhappiness Depression and a very sad existence….
@@EVA-ki5vw That maybe true but the Majority of Americans were not taught to save money but it’s not too late and we can look back @ recent history 100 years ago back in the Stockmarket crash of 1929 and the Great Depression that followed after and how people lived by surviving and what they did on what did they do to live through. What’s happening now?, happened many centuries from all other countries & cultures…..it’s just a Cyclical pattern.
@@one-shotrailgun8713 Well!?....Just listen to what the top financial analyst has quoted: "Americans were NOT WIRED to save money!"....You're gonna argue with a Professional Financial analyst!?
Live cheap in your 20s, avoid bad debt, save as much as possible and invest a lot, I did this instead of flexing, trust the process. Bought me a home in 2021, last year bought a newer Lexus in cash. Been on 9 nice vacations since 2022 and no credit cards were involved. Could not work for 6 years if i wanted to.
I agree with this but I use credit cards to make money. I use credit cards to get the cash back+ sign up bonuses,Borrowing the money at 0% Apr and investing what I owe into stocks outperforming 0% annually on average. I can pay off my credit card debt 10x over as I have assets worth a lot more than my credit card debt. I get 2-5% on all card purchases and mostly 5% on what I borrow. That's an immediate 5% gain compared to using cash , not counting the compound interest in the markets.
I wouldn't recommend anyone do this unless they know what they are doing though. I love finance cause it's like learning to play the game of life. If you got your strategy right you can absolutely win.
When I was broke, in college, eating rice and an egg as my only meal for the day I never took out a credit card. Never had one back then when I was dead - DEAD DEAD - broke, and I don't have one now that I am in a good financial position. If I don't have it I cannot buy it, and now that I can more than afford whatever I want I don't see the point in purchasing fifty pairs of shoes, a car that cost $200,000, expensive clothes and jewelry, etc. The only thing I splurged on was my house and a few acres around it, apart from that I still enjoy eating sardines, still enjoy rice with an egg and a bit of ketchup, still only have three pairs of shoes. I don't consider myself cheap, I just don't see the point in buying stuff just for the sake of buying stuff.
the thing about this though is a lot of people aren't even buying expensive shit. (except the car thing, some of y'all are insane buying a new car every 3 years or some shit) it's all dumb little purchases that add up over time until it balloons.
I splurge on travel, because I have the memories and education that it brings and broadens my horizons. Spending money on brand new cars and eating out every night doesn’t bring me memories that will last a lifetime
From $7K to $45K that's the minimum range of profit return every week I thinks it's not a bad one for me, now I have enough to pay bills and take care of my family.
Yes! I'm celebrating £32K stock portfolio today... Started this journey with £3K.... I've invested no time and also with the right terms, now I have time for my family and life ahead of me.
I'm favoured, $90K every week! I can now give back to the locals in my community and also support God's work and the church. God bless America,, all thanks to Ms Sophia Good day all from Australia cia
I have like $3900 in debt and it is killing me, I'm constantly thinking about it and it's always on my shoulders and I can't wait for it to be gone. I could not imagine having my annual salary in debt!!!!!!!! Wtf
You got this! I had $5000 in credit card debt in the beginning of this year and it took A LOT of discipline and sacrifice but I’m happy to say I paid it off finally last week!
I took out $4000 and the bank/debt collectors raised it up to 8k in 4 years. I didnt lose sleep, I ignored their calls and scratched my balls. The bank sold my "debt" to an indian collections company and I legally owe nothing now. My credit went down, but it means nothing because Im not getting a house in the next 5-10 years anyways. By then they clear your credit and you can rob them again or buy a house. Difference between men and women I guess, men dont lose sleep over nothing.
Success depends on the actions or steps you take to achieve it. Building wealth involves developing good habits like regularly putting money away in intervals for solid investments. Financial management is a crucial topic that most tend to shy away from, and ends up haunting them in the near future.., I pray that anyone who reads this will be successful in life!!
Starting early is simply the best way of getting ahead to build wealth , investing remains a priority . I learnt from my last year's experience , I am able to build a suitable life because I invested early ahead this time .
Until the Fed clamps down even further I think we're going to see hysteria due to rampant inflation. If you are in cross roads or need sincere advise on the best moves to take now with financial markets will be best you seek a fin-professional with fiduciary responsibilities who knows about mortgage-backed securities for proper guidance.
I used Dave Ramsey's snowball method to get from under 30K in cc debt. Since clearing that debt, I pay the cc's in full every month and live beneath my means. LOL @ the person who has their cc info memorized. That's one of the things that got me in trouble. That's old stuff now. Never going back! Debt free for life!!!!!
@@YouMissedBrosome do learn their lesson and now use credit responsibility aka paying the balance in full every month. I learned the hard way. While I was getting debt free, I researched how credit cards work, how the credit scoring "game" works and learned how to handle it responsibly. Today my score is 830, I have limits totaling 99.9k and I am under 1% utilization. Responsibility can be learned if the person is willing to put in the work
@@chrisalley6282 That’s because his course assumed everyone to be stupid, which most people are. But there is such a thing as being a responsible CC user, you know. Many people game the system.
I grew up in a very wealthy family. They and I (surprisingly) thought I had no clue at all about the value of money. So they sent me to a program where I had to live in a place with 5 other guys and we got $100 a week for food. Flipping out when I saw 10 hot pockets for $12, is when I started caring about my out of control spending.
100$ a week for food is really good actually 😅 you can get proteins and vegetables and properly eat. If you have to buy cleaning stuff and laundry detergent it's tense. But 100 only on food is far enough for one person if you focus on healthy things.
I have 8 pairs of dress shoes, the most expensive pair of shoes cost $1,100 (Crockett and Jones Handgrade) but I've worn them twice a week for ten years so far and they still look fantastic. Once I wear out the soles finally they can be rebuilt for a couple of hundred rinse and repeat. There's a very good argument to be made for having fewer items of higher quality
Absolutely. It helps if you sleep on big purchases too. Ask yourself if youre actually going to be using that thing a year from now. And is it serving you or is it just a dead weight that cost you a ton of hard earned cash?
Agreed, when considering clothing options, looking at the price per wear is essential, and higher quality items can usually be worn way more. However, 8 pairs of dress shoes still seems like a lot for a fewer items approach.
I mean, I guess I sort of have an alcohol budget if I go out. That budget is "I'm only having one or two pints because damn this shit is expensive". Seriously, £8.50 for a beer at the last concert I went to. And that was before covid 😰
I got 9 in total, 2 pairs of quality leather boots(brown and black), 2 pairs of sandals, 2 pairs of formal shoes, 1 pair gym shoes, 1 pair of slippers, 1 pair hiking boots. Apart from the boots(they last years) and formal shoes, the rest are cheap shoes.
Fr even when I do the pay later apps I choose to pay half that payment after the initial payment then the last half the next time I get paid. However people have been using it wild af and not paying installments
You are very wise I closed all cc accounts except for two max limit is 4k my balance is $2500 I work full time as an LVN my husband has disability income so we have to live within our means I am focused on paying off mortgage and car loan before I retire on social security (4years) for us two local trips a year. I would like to work part time for as long as I am able. I cringe about these people in such above their means debt to impress others? Shoes you mostly won’t wear 60 pairs? Ridiculous behavior
I stopped drinking in the 1990s because I was wasting too much money drinking, buying others drinks, etc. 3 years after I stopped wasting money on alcohol, I had enough for a down payment on a Miami Beach Condo. To make a long story short, I now own 4 properties after selling the Miami Beach Condo. Fact: The CEO of all the Alcohol companies does NOT care about you. It's too risky to drink alcohol because of the law, the police, etc.
@@ChArLie360115I’m lucky to live in an area where the older half of the population hasn’t updated their idea of garage/yard sale prices in about 20 years! I’d be happy spending what you are as well! I love doing it for my kid’s shoes, they grow so fast! When they grow out of them I resell them again at an annual kids consignment sale🫶🏻
Yeah for real I'm a gun enthusiast and the most I'll spend on a rifle is maybe 1000 bucks and that's once every three months maybe even once a year 😂 these people have serious problems
This is why parents should teach their kids about money. The younger, the better. I learned from my parents and older siblings who didn’t know how to manage their money and was always stressed out about it. I also happened to be just really good at math since I was born and have been explaining to my mom why she was always having problems with money.
We paid off all our debt. Cards and student loans first, then car, then mortgage. We now put a ton of money into high yield interest accounts and CD's. I still use my credit card for every purchase I can though, because of the cash back. I pay it off every week. My credit card literally pays me to use it.
@@viciouslee8009 Yeah but what can you do convince the US gov to ease off the quantitative easing and bring back the gold standard? If you know anything more reliable than the S&P 500 or government bonds then it's probably easier just to focus on earning more money.
@@chrisalley6282 doubt it he's a better leader than Boden but the FED and bankers are too powerful it will not happen unless their is major change to the US
My wife and I have had zero debt since we paid off our home in 1992. We lived on 70% of our income during our working years while investing the remaining 30%. We live in a middle class neighborhood and drive older cars. Our neighbors obviously view us as just two retirees struggling to get by like many retirees today. The reality is we never felt like we had to buy a bigger house or a fancy new car. We just purchase the things we need and not to impress others. We have credit cards because we use them for points for travel or for cash back but we have paid off our credit cards each month for over 40 years. We have had a good life and we remain frugal in retirement even though we have a net worth of more than $5 million dollars. We did this after starting out with less than $100 in the bank when we married 51 years ago.
People don't seems to understand lowering their living cost will stretch their income way longer than they think. if people saves 5% of their income, means they need 95% of their income to live. To reach 95% of their income to live for a month, they need to save for 19 months of their 5% savings. if people saves 25% of their income, means they need 75% of their income to live. To reach 75% of their income to live for a month, they just need to save 3 months of their 25% savings. Then there's me, with broke college kid lifestyle. My living cost is 20% of my net income. Work 1 month, get 4 extra months of living cost for free. invested 80% of my income instead. Work for 10 years, it'll cover 50 years of your life.
I used to have close to 8k in CC debt. Some of it was obligatory spending--groceries, dog stuff, etc. A lot was BS spending. Finally, I paid it off back in February and have not incurred any more interest charges since. Felt so much relief.
As someone born in a family with extreme poverty and still in, I'm glad that girl spoke of her experience. Mine was different I got in debt cause all out Money went to rent and we used credit card for food cause we had nothing left. We lived in my aunts basement and my family badly wanted me to go to college dispite being dead broke , not being a citizen so we can't get financial aid and not being able to get many scholarships for the same reason yet I still went cause it was seen as shameful to my parents, so I payed my classes through whatever money I made and used my credit card for books and tools cause I also can't get loans cause that's also for citizens. I'm trying to get out too sometimes we still need to use it for food but I'm paying majority of what I make to pay it off
I knew a chick who went to Thailand for vacation, put it all on credit and has been balance transferring that debt for years now. Like girl just Pay it!
I make the credit card company pay me every month instead of paying them.. I pay off my cash back card balance every month. Pay no interest. The industry calls me a deadbeat.
The credit card companies aren't paying you. That's not how cash back works, you're actually helping them make more money based on the products you're purchasing
They closed my cc account because I don't do interest ever. Next card was from my primary bank , they would only gave me 5% of what I was used to . Now upto 20% of my initial amount . I have travelled when younger . I like knowing all bills paid . I holiday at home as I prefer that to having a room mate.
Gen X here, credit card debt can happen to anyone bc things are ultra expensive atm. (option 1) use your credit card for regular purchases and pay it off every month with your paychecks (option 2) dont use the credit cards.
Paid off 7-8k in cc debt starting July 2023 after a particularly expensive vacation and fixing a bunch of issues with my old bmw. Took me to April 2024 and now the growth has accelerated and I'm sitting on about 12k plus 2k of gold I still haven't sold yet. Keep grinding, don't buy stupid stuff you don't need and you WILL get ahead!
You should do a break down on these "payday loan" companies and the people that get into a pretty much never ending cycle with it. The average interest on those is fucking 400%, which genuinly is shocking. But then there are places like Texas where apparently the usual percentage is something insane like 662%. If you already need that "payday loan" to pay for a large bill or expense, what are the chances you will be able to make enough money to not borrow again that month, and be able to make the payments on last momths loan. Its seriously like a vicious cycle
@@janaynmelis5250 i just couldn't believe it, and I remember in the video that the person did the math on just a $1500 loan. If they just did the minimum payments it would take that person almost 5 years to pay off and they would have paid $5993 by the time it ended. Shit should literally be illegal
I had a payday loan for about 3 years and was stuck in the vicious cycle of paying it down and then borrowing against it again. My balance at the height of the loan was $1,800. My minimum payment every two weeks was around $130 and of that only $20-$25 went towards the principle so you can see how long it takes to pay off an $1,800 payday loan if you're paying $260 a month and only $50 of that is going towards the principle. And don't forget that the loan accrues interest each day that you have the loan out. I was finally able to pay off the entire loan in 2022 which was about $1,600. It was painful to see my money disappear but it was worth it to no longer have the weight and stress of that debt on a daily basis.
I’ve actually gotta disagree with the alcohol budget take. Budgeting is about understanding your spending and where your money is going. It’s not about cutting out any and all bad habits and being a perfect human. Alcohol can be expensive, and if you’re the kind of person who enjoys a glass of wine after work, or has a few beers with friends on the weekends, those costs can add up. Creating a small budget of say, $15 per week dedicated for alcohol allows you the ability to drink, while also doing it in a controlled manner. DoD sponsored financial advisors on military installations even discuss this concept
@ Budgeting is not solely about restricting spending. It’s about understanding spending. Yes, often times you will place a restriction on your spending after tracking your expenses for several months, but this does not mean you have “a problem”. It simply means you need to ensure that you are setting aside a reasonable amount for the expense. Perhaps you go out drinking with friends regularly, and as apart of your budget, you suggest drinking at a friend house, saving money on bar tabs. Having a section of your budget allocated for drinks is the exact same as having a section allocated for restaurants, clothing, gaming, or anything else. In my area, a 6 pack of beers costs around $10. So setting aside $50 or so dollars a month specifically as your alcohol budget is the sign of a responsible drinker, not an alcoholic. Don’t throw a word around that you don’t understand.
The woman with the shoe obsession is crazy, none of those basic shoes are worth over a hundred dollars, they look like something id find on ebay or at a thrift store.
When it comes to credit cards there’s 2 forms of financial illiteracy. There’s the people who rack up debt and pay the minimum. Then there’s the people who denounce credit cards altogether and buy everything with debit/cash. Rewards cards literally give you free money and you don’t pay a dime in interest as long as you pay the card off in full each month.
I only used debit cards until I got with my gf. Then she gave me one of her credit cards to pay for our expenses, and she pays it off using our joint account. Every year, we get like 500$ of free stuff from the points.
We've netted *thousands* over the last 10 years using cash back credit cards. Responsible use of these cards eventually qualifies you for even better cards that give you even more back. Amex Blue Cash Everyday is an AMAZING card. You get 3% back on groceries, gas, and online shopping with no annual fee. That plus a flat 2% cashback card like Citi Double Cash for everything else.
Hope some people see this. If you want to use credit cards NEVER use paperless statements. If you get statements in the mail every month it’s a reminder to look through your statements. The banks will tell you to go paperless to save the environment and that’s total BS. They tell you to go paperless because you will be less likely to read your statement.
For me it's the opposite lol I have missed paying a toll or two, if I get it in the mail and end up paying a penalty. I have a bad habit of ignoring mails and trying to get better at it I try to put all bills and credit card on auto pay and budget expenses less than then my income
For the past two years I consistently had about $2k in cc debt and I thought THAT was bad. Then in July I decided to get serious with my gig side hustle, lived frugally for the month, and paid it all off at once. It was such a relief not having to deal with it anymore
I have had up to 100 pairs of shoes at one time and I admit, it is shameful, BUT I spend maybe an average of $50 per pair of shoes and have never been in CC debt. Still need to reel it in and do not need that many shoes. I don't wear most of them
Ummm then you can't... you have no credit then... you have to have a credit card for yrs before your score even counts...I loved being told having a 850 doesn't mean shit because I only had a card for 2yrs..
Yeah, unfortunately, you need one in America to do anything. You're going to be screwed when you try to move or buy a house. Of course there's some that will overlook you not having a score, but it will cause an issue. You'll have to have a cosigner if you don't start building a credit score.
@@ixwillxeatxurxbabiesno you don’t need a credit score to get a mortgage, you can have a mortgage broker do manual underwriting for you to get a mortgage. Manual underwriting is what used to be common, a lender reviews your ability to pay it back loans by reviewing your work history, current income and savings to determine you are approved for a mortgage. You don’t need a credit score for a mortgage but you would need a bank or company that does manual underwriting and it takes longer to be pre-approved.
So i have a credit card and I pay it off monthly. With Christmas and normal bills my statement balance for January is $2500. Obviously I can pay this off fine but my statement showed that if I just pay the minimum payment it would take me 11 years to pay off, at a final cost of $4000. Thats what people dont understand about credit cards. How exponentially explosive they get if you have no way to pay them back on time
My ex mother used to max out her credit cards all the time. I witnessed her getting her card declined at a grocery store. It had a limit of 80k. She had a total of 120k in credit card debt. His sister was the same. She had 50k in credit card debt but had 4 Chanel bags and drove around a new BMW. They all lived together in one house because their credit score was so shot, they couldn’t buy anything else. They have hardly any furniture inside but when they go out, they wear head to toe designer and expensive jewelry. You’d never know till a card was declined.
I’m 73 and retired, work about 25 hrs a week, get ss and a retirement, own my home, own 2 vehicles, own two properties. My main cc has a 1000.00 limit [never has been set higher] and it goes up and down from month to month. Currently it only has a couple hundred balance. My other store cards have zero balances. They stay locked up unless I need them. Just payed off my new Best Buy zero interest iPad. Next month I will have to get a new dishwasher as mine died 2 months ago. I’ll use my lowes card then. My wife was a spender while I was the saver but she was a teacher so she had money. Youve GOT TO BE RESPONSIBLE with money, food, alcohol, driving to have a good life. Play stupid games, win stupid prizes. Good video.
I got myself into a little trouble in the early 2000’s with credit cards. I got myself out of it and learned a valuable lesson. I still have and use credit cards but I pay them off literally 3-4 times a week. I have not paid a dime in interest in probably 20 years.
I grow up In Mexico, credit there its really expensive than here in USA, where I lived now, my parents basically rethink twice every credit decision, that lesson help me now understanding credit better and rethink twice on used credit for money I can afford. Never is late to take your financial control.
They really need to start teaching financial literacy and just basic living skills to these kids coming out of high school. How to budget, how to apply for a loan/credit card, different types of interest and how they accumulate, how to apply for student loans, how to change a tire, basic cooking skills. These kids are absolutely clueless about the world.
Well these kids have parents you know it's not up to the school to teach them how to wipe their own ass...also school kids don't listen so you can teach them everything and hardly any of it will stick until they are mature enough to work it out themselves in the real world
my mother is still paying off my father's credit card debt, luckily we have less than 1k left to go but this taught me from a young age to never spend money i dont own
@@hahamasala Debt is hereditary depending on the circumstances. If for example they're living in the father's home, or have their car, etc then they have to pay his debt to own it.
@@calliastah4115 You're half right. Debt is not hereditary, but your assets must go against your debt when you die. If your father passes away, owns nothing, and has $1,500 in cc debt, then you do not inherit that debt. But if your father passes away, owns a house worth $200,000, then you'll either have to pay $1,500 to keep the house or sell it, pay the $1,500, and keep the rest of the cash.
I'm tired of working full time, with three other extra jobs 7 days a week with nothing left to put in my savings after paying the bills. This cycle never ends.
I work in the flim/TV industry and have been out of work due to the strikes and change in the industry and racked up $20,000 in credit card dept. I just landed a full time long term job and can afford to pay $5K per month on paying off my dept and should be debt free over the next 5 months.
I would cringe watching customers at my last job (auto glass replacement) thumb through DOZENS of credit cards when it was time to pay. I am lucky, I was raised by parent who had one credit card. I opened my first credit card when I was 28. I still have the one card and I pay it off every month. Watching financial audit made me realize how Americans are addicted to debt.
You would be better off with more than one credit card. That will increase your available credit which will improve your credit score. Having a credit card does not mean you have to use the card. Using more than one credit card does not mean you cannot pay them off every month.
@@jerrylundegaard2592Exactly. I learned from my dad to have a portfolio of credit cards with varying closing dates. Use the ones that just had their billing cycle end to give yourself more time to pay interest-free. I have 15 credit cards, but I'm not actively using all of them at the same time.
@@jerrylundegaard2592 HORRIBLE advice. The only reason to improve your credit score is to go further into debt. It's a scam. Grow your wealth, not your credit.
To be honest people keep blaming credit cards but people don’t read anything it’s in your disclosure!!! People know exactly what they are doing they just say “I’ll pay it back next month😂
As someone who didn't grew up with financially literate parents. I'm happy I did my own research on best budgeting practices. I purchased a financial literacy book that showed me the ropes. I also know someone who's family funds them while studying in a different city and working a part-time job. They travel everywhere and afford expensive items.
I have under $10k in credit card debt, I can't imagine being in anything ten or twenty times more than that. In an ideal world, credit cards and lottery tickets wouldn't exist.
I am at 40k credit card debt but I make 80k a year and 10k in invest money yeah it sucks but I have the means to pay off the debt my car is paid off rent is 1140 month and currently paying off two cards both around 8k my most expensive card is 17k 😂 I am single and realize how much of a hole i am in but at least I have the means to pay them off in the next 8 months
Why it's just a tax on people who don't understand mathematics or statistics. No one forced you to play the lottery or get a credit card. Make better financial decisions, having capital is very important in American society.
Have a friend who is studying to be a nurse. Thankfully they have asked me to teach them how to budget properly. I'm just a simple janitor, yet I have zero financial issues due to knowing how to manage money.
It never ceases to astonish me how people without the disposable income to justify owning lots of expensive things, believe voluntarily going into debt will make them appear to be living comfortably and "better" than most others.
Yeah lol. Downgrade to Chase Sapphire Preferred. It's still $95, but it pays for itself in a way. If has practically the same benefits, but you need to figure out hotel credits.
@@metalheadami123 I just assume she already has a Chse Trifecta? Most people go Chase Freedom Unlimited/Freedom Flex than annual free xD? What kind of psycho goes to $550 annual free travel cards first?
Honestly I’m so grateful to my mom She always taught me that only things you can be in debt about are - mortgage and MAYBE car Of course student loans and emergency health stuff too, but the main lesson is - if you can’t afford new iPhone or vacation - choose cheaper options or save up. Living in debt is scary and often not necessary.
I have 2500 in credit card debt within 3 cards. This video makes me feel better. A little bit. I can’t even imagine being 10k or 50k in debt on just one card ..
Car Repo’s are EXPLODING in 2024… It’s Out of Control th-cam.com/video/fgJNzVHA-e0/w-d-xo.html
Respect, another Newcastle United Fan
Repo man is always intense 😮
Zac Rios you still broke like them tho LMAO just cause you have no credit card debt or use it "responsibly", doesn't mean you're not a hamster spinning the wheel my nigga
These are my favorite.😂
@@chrispaul1117im my country a repo man was shot and people instead call someone just scratch the paint of the repo-truck until police arrive hahaha
60 pairs of shoes is a good investment, she will be walking a lot when she goes homeless
😅
Also things tend to lose value , even designer stuff
Centipede?
Yall are so creative lmfaooo😭😭
@@mariec3527 some things increase in value, but if you calculate inflation in the equation then even the highest increase isnt actually that much - excluding things like: buying this magic the gathering pack and drawing the black lotus, leaving it in mint condition and selling it nowadays or drawing the glurak pokemon card and keeping it prestige, while selling it nowadays, those things are a different story, outliners, but stuff like shoes, cars etc., they dont increase in value that much
Dang spent all that money on shoes and half of them look exactly the same lol
I was thinking the same thing. But they're probably by different designers. 😅
Right. Pretty stupid there lol mostly look all the same.
@@hahamasalashe could still at least get different looking shoes from each designer
and 2 look just like Chuck Taylors wich at least used to be the cheapest sneakers around lol.
Noticed that, too.
I had a bank rep at Chase talk me through all the details about how to pay off my credit card so I wouldn't accrue interest on my new student card. She was literally like "If you do not fully understand what I am telling you in this meeting, this card will ruin your life". Shoutout Vicky at Chase, someone give her a raise
A raise for making chase less money?
@@Bantallas bro I just want the best for her
@@dylanschang6386 i get that. But your expectation will get disappointed.
@@Bantallas not that serious dawg
@@dylanschang6386 woof
Paid off 10k credit card debt in the last 3 years,1.5k to go 🙌
Congrats. Same here.
Good for you keep going bud
Keep going. No matter what you’re tempted with, not paying that interest is CONSTANTLY rewarding. Keep going…
What job?
You're not even trying
People need to understand that influencers are showing off things that:
-Companies are giving to them
-Are returning it after making content
-Are making a profit out of the content they create about it, so they have a return on investment.
We are bombarded with this type of content and that makes us believe that this is a normal way to consume.
Great comment and a very valid explanation as to why some of us are influenced/ conditioned to spend. This especially is true for those who are feeling overwhelmed by life, even depressed... 😢
They are also selling the free stuff that were gifted by brands.
No, most influencers are running up credit cards just like this. The ones you're talking about are a tiny percentage of influencers
@@frankvonfrauner the influencers who are receiving products from companies are usually those with a large audience, and very pushed by the algorythms, so what we are seeing the most with the biggest chances to influence us. But yes you are right, the majority of people wishing to become influencers will use the "fake it until you make it" strategy, and with a oversaturated market, will end up in the red trying to impress.
This is true. I had an influencer ask me to give away product to her as trade for her pitching it in a tik tok.
I got 8 cards. I freaking love them! I carry a ZERO BALANCE and fly everywhere for FREE and have a tons of travel points banked. Treat that credit card like a debit card and all is good.
That's the best (and only) way to use credit cards: treat it like a debit card.
So you only spend what you have in the bank, so at the end of each month you can pay it off completely.
Not only will that mean you pay 0% interest (making it effectively free), you still accrue all the benefits (cashback, air miles, discount deals etc).
Yes that's a great way to put it. If you are a little savvy with your choice of cards, treating your cc as a debit card can *make* you money. With our combo of cards, we net about $1k in cash back per year, then use our Amex perks to get another $1k or so in reimbursements. That's not counting what we save on travel expenses. We use our CCs to pay for everything and autopay the full balance every month without exception.
Yeah this is the way. Such a simple concept yet people still somehow feel comfortable just spending money they don't have
That’s how I do it. I have 6 cards and don’t even use a couple of them because I don’t feel they do as much for me points wise. I pay them all in full monthly and I usually budget for myself and cut myself off from spending money and dipping into savings too much. I treat it like a debit card for the most part. I’ve gotten myself in trouble a couple times years ago but learned lessons from it. The only exception is I am currently paying down a 0% interest card that I put my dogs surgery on because they gave me a year at 0% before the interest accrues. I could pay it off tomorrow but I made a payment schedule and I’m sticking to it religiously and I’m gonna pay it off a month or two before the end of promotion period because I have it scheduled in my calendar to remind me but otherwise I always pay in full monthly.
@@fizzimajig That's the way to do it.
Also, having 6 cards (I have 4) gives one a larger total credit.
Thus, you are always using a lower percentage of your total, increasing your credit score and giving you access to more benefits.
5 years ago. I was $15,000 in credit card debt. I paid it off. And I was debt free for 2 years. Today. I was $5,000 in debt because it was a particularly hard year for me. Things came up that wiped out my savings. But I brought my debt down to $3,000.
Im determined to be debt free again in a few months !
Idk what's happening down there in US but here in Canada we have like 4months worth of unemployment benefits.
650 CAD per week max/55% or gross earnings
So basically ~2850 CAD gross per month.
You can downsize to renting a room or something for time being and live off of that and make car payments if your car is cheap+ insurance gas and food.
Don't give up ! You can do it !
Go for it! Such a relief when it is gone.
You've already conquered a bigger debt. That's proof that you have the discipline to be debt-free again🔥
brother I am at $2,500.
I was at $2,9xx.
I couldn't pay, and the bank called me everyday until they started taking away from my saving. LOL
don't get into debt
I'm from South Africa. I'm 59 years old, retired in 2023. I have NEVER had a credit-card. Fully paid home and 2 vehicles. No debt. Golden rule, LIVE WITHIN YOUR MEANS.
absolutely buddy.
some people like to think it is rocket science to have a good life. it is not, just go back to basics. spend less than you earn, it is that simple
@@MinkieWinkle so true. The easiest thing in life. If you have $100 in cash, cannot spend $101.😎😎😎😎
That, and in South Africa, have an FN-FAL, G36, or AR with stacks of ammo (seriously, good job on the early retirement)
With respect, South Africa is generally less expensive than the United States, with consumer prices 54.2% lower on average. In particular, rent in South Africa is 74.1% lower than in the US, and groceries are 63.5% cheaper. Edit copy and pasted from internet
Boomer, you have no idea how impossible buying a house and 2 cars is for someone entering work market now. You were born in the most privileged era of human history.
I worked at a casino years ago. This older lady came into High Limit table games pit, and pulled out a 4 inch stack of credit cards in a rubber band, many Platinum or better. She asked to start with 5K, and to "find her some money". The first 10 tried came back declined or over limit. Two came back as Seizure. We eventually found one card in the stack that worked for $4K, and she had to talk to the bank to get that. Such idiots!
Casinos shouldn't accept credit cards, like you cant even pay with credit for lottery tickets.
They were hers?
Its an addiction, treat it as such
@@jamesconnolly741 yes, all in her name. We were required to check name and signature against I.D. or passport.
Spending money they don't have to impress people who don't care.
Probably working a job they hate too...
(George Carlin, Fight Club etc.)
So true
Oh trust me those people care…
Dat dopamine tho
Sadly people do care… but the ones that care are doing the exact same thing and they’re just running in circles, and the only winner is the million dollar companies
My husband and I just became debt free. Right after my daughter’s 1st birthday! We will do our best to set her up for success and keep her from making the same mistakes we did!
😊😊😊
Yay you! That's amazing! Being debt-free is one of the best feelings in the world. Celebrate that together with your little girl's birthday :)
Well done! Good for you guys.
@@madinp1177 thank you!
@@kayep2616 thank you!
Makes me feel better about my $1500 credit card debt. Im paying down $250 a month, though. The finish line is near.
You should be down to $750 by now, best of luck.
This is NUTS!!! I have a little over $2k in CC debt and that alone is burdensome. I can’t imagine 5 figure debt.
dude its crazy. i have 2k left on my car, pay 200 a month, and will be proud to never do that again in my life. bro people are making $1400 car payments while having several thousand in bad debt. it's scary!
you can’t help but think the whole thing’s gonna crash
You and I both friend
@@skaterzrule4 facts I have 2700 left on my car, never again I cant wait for that weight to be lifted off my shoulders
@MichaelOrtega that is comparing apples and oranges. Mortgage builds equity over time and the interest rate for the mortgage is significantly lower than a credit card.
I’m three payments away from being done with my credit card debt 🎉 these are motivating
Well done!! 🎉
Cut it up!
As a European, I find this CRAZY. In our banks we can set our own credit card limits but there is a max and there's no predatory spam emails about increasing them. My parents max is 800. I've also never seen anyone actually have so much money available to withdraw through a credit card. My parents have only 600 EUR readily available from which we usually would only take up to 300 EUR for survival - food, health products and deposit ALL of the taken money back when they get their salaries.
I was fortunate. My mother is an accountant and drilled into her children the importance of living below your means, having emergency savings and only buying things you can actually pay for upfront (minus car and house, of course). I am now like a f*cking hawk with my and my husband's finances as an adult. When we started saving for a house, I had to bring him down to Earth several times about the type of house we can *actually* afford. We could have bought twice the house we did but we wouldn't have had any breathing room for savings or emergencies. Thank you mom!
Bloody legends, well done💪
You must be a barrel of laughs at parties.
@@marks2997 anyway who cares
Thats what all parents should do. 👍
All good, except minus the cars part. Buy used cars with cash and skip the car payment. Car payments to the bank keep you poor. If you make a monthly $700 car payment to yourself instead of the bank for 40 years, invested in the stock market, it's 4 million dollars. Hope you enjoy those car payments.
If credit cards vanished tomorrow, consumer spending would collapse
Facts
@@IcedMachiattoFact
People would default on payments more to.
True lol
Yapping. Credit cards are nowhere near as big in Europe and their economies function
My brother had £17,000 in credit card debt. They took him to court for non payment. I helped him cut up the cards and restructure the monies owed with a low interest loan. 2 years later they had re-issued the cards and he was back in debt. Sure, he is a fault here but credit card companies are debt vampires.
I can't understand how the card companies aren't even partially to blame. They see the person is struggling to repay what he owes, so they rise the limit to 'make it easier' for him.
Spends 20k on shoes. "why i am in debt? cc companies so predatory".
No accountability
@@YouMissedBroEver heard of consumerism?
@@TheLegitAlpha ever heard of how accountability is a woman's kryptonite?
@@merrittpalmer4349 same for men
She seemed pretty accepting of she was at fault...
At least in this clip
you wouldn’t think alcohol wouldn’t cost that much but it does, and it steals health and happiness. But no one can tell anyone that.
It's crazy because these people could be smoking weed instead, which is actually cheaper and healthier. As somebody who smokes weed, these people are just degenerates 😂
Same w. Weed...
That is so true.That's why I only take benzos
You're not wrong but good bourbon does pair well with a decent cigar and if I'm going to ingest poison I like to at least make sure it is expensive.
You can say That again! Soo true!!
Anything that involves the word "swipe" is bad. Swiping a credit card, swiping on tinder, "someone swiped my wallet", "someone side swiped me on my way to work". Avoid anything that can be swiped. Sound advice. 😅
Swiper out of Dora the Explorer. What a b**tard.
Yes and no. I put everything on my cashback CC, pay it off in full each month, and get around $50 a month cashback. That's $600 a year.
@@PB-or2fd💀 Bruh you need help.
😂😂😂😂😂
If you have ever had credit card debt then you know how hard it is to pay it off. Cutting those cards up is the easy part. Buckling down in paying things off is where the rubber meets the road. For me, never again. Never again.
I have 1000 limit and only spend what I can pay off in a month. Live in a small town and ordering online saves us money.
Don’t do the crime if you can’t do the time.
I've never paid a cent in cc interest.
@@HaviccBLmao yea at $1,000 you’ll never be that down bad, currently in my early 20’s and have roughly 20k credit limit +5 for my business, that’s when you can actually start messing yourself up, it’s when you “can” spend half the average American salary while unemployed in college - btw get that limit up, hit your bank up every 6 months for an increase, denials are rare and won’t hurt you + it’s compounding percentages, and if you have 100k limit you can rates at bare bottom levels.
Same! Never ever again
I had a friend who passed away with about $30,000 worth of credit card debt. That's about the only way some people get out of paying their debt I guess.
That and selling assets or getting a payment plan. But I worked for a bailiff once. If you start getting payment problems, and the bailiff gets on it, one small bill can spiral down to a five figure bill in a couple of years. Most of the money goes to the bailiff. And these bailiffs don't care about taking everything. I think it recently happened to Tori Spelling. A notorious shopping addict.
They will take everything you have before your probate is done. Your kids or family will feel that loss of money
I think that's how people think. They'll run it up and die. Then, who is gonna check them?
@@MPPG663 Possibly so but in the case of my friend he was only 53 and loved life but he had a stint fail causing a second heart attack.
Damn dude, kinda brutal there don’t ya think
Thanks, Zac. When I got offer to work in U.S., thinking of making credit card, and then I found your movies. You made me awake! Love from Japan.
In the USA, it seems like you HAVE to HAVE a credit card for everything.
In Europe, a credit card is still considered an extreme luxury because of the interest rate banks charge. They also look into your credit history to see if you've never failed a payment or to pay off a loan; they also check your wages (if you make less than a certain amount, your credit will be denied); if you're unable to pay off a credit/loan, you will be blacklisted for several years.
Credit cards and loans are dangerous things and not to take lightly!
Paying the full statement off every month keeps the interest away 😉
But most people aren't built for that...
In the US they check your history and all that too. You'll either get denied or you'll end up with an insanely high interest rate if you're not good with credit. The credit core system has people believing they have to go into debt for credit. You don't. I own a house and didn't have a credit card until after I bought it.
Credit card is a luxury in europe? That's a good one. I am from europe and i don't know what you are talking about.
It depends on where you are in Europe. It’s much easier to book flights etc, i got the option to get a creditcard with my bank. Pay the balance off every month IF ive used it and no interest. Nothing luxurious.
I gave a downpayment on a car i wanted to buy but the Rest is financed and i have about €10k to pay back, and of course i changed the time of payment where i can pay efficiently and tada! I can pay my loan on time and i can save money more flexible, i can even pay the interest for a car in the next two months ( saving 1000€ every month l, my interest is 3500€ for a car)
That girl with the shoes. Just throwing her money away on utter shit. .
That's mostly what women buy.
Carrie Bradshaw 2024.
She was like. This is why ''BIG'' I.. NOBODY CARES ABOUT YOUR EGO MISTAKES. WTF behave and just repay what you owe. People are so shitbrains.
And most were black. Why have so many similar black boots and shoes?
Like most people. I know people who have spent millions on stuff they never even wore. Shoes much more expensive than hers. Walls of boxes unpacked in houses. Mediocre but expensive cars with a 8% interest rate. All to impress people who only think you are a sad ageing shopaholic with a spending problem and a low paying job. I have far more repsect for humble people who know their place. There is something deeply romantic about a young person with a cheap car, a regular job, and a simple appartment, never worried about what others think. Slowly getting there. Sexy AF.
teaching myself about personal finance in my 20s has paid off massively. at this stage of life (mid-30s), the work of managing our household money easily nets us an extra $15k+ per year in the form of tax optimization, interest on cash savings, optimizing credit card cash back and benefits, and investment dividends. We started with nothing but a combined $40k in student loan debt and now have a $250k net worth. Other than making the effort to be financially literate, by far the most valuable thing we have done is consistently live below our means. If you can build that habit from the get-go, you are way ahead.
meanwhile here I am hesitating to drop $100 on a new pair of running shoes for daily use
(dw guys I did end up purchasing some Skechers a dozen days ago)
i got to the nike clearance cause im scared of that too even though i can comfortably buy a pair of shoes 150 or more lol
Same.
Yeah, but thank your lucky stars you're on the smart side of the shoe fence. I guess yours are the definition of 'sensible shoes' in more ways than one. 😊 👍🏼
If you’re going to actually use them often and can afford it then get them.
Who cares…buy the quality pair of shoes and have them for close to a decade. Your feet will thank you. 👣🎉
In 2006, my high school offered a finance class as an elective. I took it.
1) Most of the students clearly didn't pay attention. (They say it as an easy class to qualify for their diploma)
2) The curriculum itself sucked.
It mostly focused on:
-Balancing a check book (manually)
-Estimating compounding interest from a savings account
and the basics of a mortgage.
No details on credit cards, student loans, investing, or how to avoid bankruptcy.
Another important one is how to manage and file your taxes which a lot of people also don’t know how to sadly
@crystallix611 Not sure what its like for real grown ups but i use cashapp during tax season and get my taxes done completely free on there.
i've never seen a checkbook in real life
Same thing when i went through high school. They act like this is the 1980s where checkbooks are still in use. Most useless “elective” I ever took. Thankfully I learned all about finance properly and have avoided debts
Any finance class should immediately start with how the IRS taxes different types of income. That’s guaranteed to get their interest.
Blaming bad finances on "I was never taught" is just another excuse. There's always an excuse for their self-destructive impulses they choose not to tame. Many people have actually been repeatedly exposed to financial education but still succumb to self-indulgent excesses they really can't afford. In an incredibly harmful sort of irrationality & dissonance, they voluntarily choose to delude themselves that they actually can afford their indulgences. It's perverse but "spending" makes them feel in control.
Sadly, many people due to their self-indulgent behaviors never experience the far more satisfying sense of control & freedom that comes from having significant financial assets.
People are either left/right brain some right brain people live their whole life there because they’ve found an enabler.
RN here. I got my RN at a local community college and my BSN at a local university. I remember talking to other nurses with a debt of 140k+ and I paid maybe 20k altogether. They got the college experience apparently. Keep that experience lol I'll invest my money
Smart.
Smart!! Good for you!!
Similar experience put when I got my bsn the hospital I worked for reimbursed me for the tuition cost.
Was thinking of going to nursing school and this definitely made me look at community colleges instead. Thank you so much
The only time I've spent more than $100 dollars on a pair of shoes is my work boots, I can't imagine 60 pairs of $300+ shoes.
Well the shoes may have cost $300 at the store. But not after 8 months of 24% interest. They cost much more than $300 in the long run
Yup! If you live in the Northeast, you're not likely to get a quality winter boot if they aren't $100+.
Getting high quality shoes that will last you for years and years is worth the upfront cost. 20pairs of nonsense isn't even if it was "cheaper" and definitely not while incurring interest on the payment. You can have CC, but you need to pay the statement balance in full every time before the due date. I have CC, never paid a cent in interest and just collecting points or cash back. If you can't pay it in full, don't have it.
I pay for good leather boots so they tend to be expensive but they tend to last for years of daily use. I only own two pairs of boots , one pair black, one pair brown and goes with jeans and chinos well, then I own 1 pair of hiking boots and 1 pair of exercise shoes and 2 pairs of formal shoes, 2 pairs of sandals, 1 pair of slippers. That's 8 pairs in total and only the boots is a little over $100, rest are much less. I can't think of why I would want to buy $300+ for pair of shoes, that's crazy.
Have a 320$ dollar pair of work boots I'm like 1 month from 6yrs now and I use them as my daily wear too. Payed for themself after 3rd week with interest
Twenty minutes to eat a meal. Eight hours to digest it. Fifteen years to pay it off.
If you can’t pay for it with the money you have today, then you can’t afford it. Period.
Edit: obviously this doesn’t refer to a house. The video is talking about credit card purchases. If you can’t afford to pay for those shoes, a dinner out, vacation, etc. right now, then you can’t afford it.
@@jh26pt2 exactly. Well said.
If you can't pay for it many times over with the money you have today you can't afford it.
With the exception of a house and maybe a USED car!
@@MikeS-7 Dude, moreover it's not even "YOUR" debt.. You are Beneficiary.. All Debt is Due to the United States. They are the "Debtors". You already work for free.
The problem is people in the United States can’t afford basic necessities were talking, normal cars, normal homes food when a society cannot afford to pay for these basic 17:29 luxuries you are becoming a Third World country. The rich have always been the biggest liability in the United States. We’re always told that the enemies are foreign the enemy has always been here under our nose for over 200 years and we do nothing about it
Watching this after paying off 1 of three credit cards today. I made so many stupid decisions and I'm just now getting myself on track.
Same! 😭
Great to hear. It’s such a great feeling to pay them off
Youre doing good
The hit of dopamine I experienced when I paid off my credit card debt was better than any purchase I think I’ve ever made.
Same here!! No purchase will ever feel as good as being debt free and having an awesome credit score feels.
Something that may give ya’ll a little hope: i follow the 3rd tiktoker featured here. she’s been on a no-buy and a debt-repayment journey since the start of 2024 and is spreading a lot of awareness about the dangers of shopping addiction and overconsumerism! i’m glad we’re having more convos about this on the internet. consumerism and normalization of detrimential debt are things our generation should start the process of leaving behind.
I’m shocked at the correlation between being a superficial TikToker and materialism…. 😉😉
I maxed my credit card a few times (3k or so) and learned that lesson. Now what I do is put all my expenses on a card that gets points back on any purchase, but I never carry a balance on it from month to month and I keep track of every penny spent.
The limit on a credit card is not free money.
It’s better to pay everything in cash with the exception of bills ( which could be done electronically) It keeps you disciplined
I follow a TH-camr who does this with credit cards. He racked up a lot of travel reward miles this way and was able to fly overseas to visit family. He never carries a balance,. is very disciplined and tracks his income religiously.
Better discipline is to have a credit card that you pay off monthly@@Navy35
@@Navy35If you're already disciplined, you can use credit cards to your advantage.
@hahamasala ppl never seem to understand this concept. I'm pretty disciplined and use CC for almost everything I can including some bills that allow it but I pay everything in full by the end of the month. No % in my part and then turn my points into cash or travel incentives lol
As a european i find it crazy you guys have such easy access to credit card, i know that where i am it just basically doesnt exist, only debit card and honestly its probably for the better
This video randomly popped up as “recommended” and after watching it I cancelled a MacBook order that I was about to put on my credit card
Nooooo....... BUY BUY BUY!
Was the macbook an investment or for recreational use?
If the Macbook is the only debt and you pay it off quickly, it's not that bad. Otherwise, probably a good choice.
I use a 10 year old 150 dollar mac mini with a free monitor for my main computer 😂
laptops are garbage the moment you buy thdm, macs are even more trash 😂 Fools and their money are soon parted.
"The Greatest Wealth is to Live CONTENT with little"- Plato - America SHOULD LEARN this quote & take it to heart and try to be content on what they’ve already have instead desiring more because this leads to a life of unhappiness Depression and a very sad existence….
America is rotten to the core in 2024. Sinking ship
We're 341 Million Americans and these bunch of tiktoks don't represent us, obviously.
@@EVA-ki5vw That maybe true but the Majority of Americans were not taught to save money but it’s not too late and we can look back @ recent history 100 years ago back in the Stockmarket crash of 1929 and the Great Depression that followed after and how people lived by surviving and what they did on what did they do to live through. What’s happening now?, happened many centuries from all other countries & cultures…..it’s just a Cyclical pattern.
@@joelabella750how do you know that most Americans weren't taught to save money?
@@one-shotrailgun8713 Well!?....Just listen to what the top financial analyst has quoted: "Americans were NOT WIRED to save money!"....You're gonna argue with a Professional Financial analyst!?
I took a finance class in high school and I’m thankful for it. Having no debt besides a mortgage is a blessing.
Live cheap in your 20s, avoid bad debt, save as much as possible and invest a lot, I did this instead of flexing, trust the process.
Bought me a home in 2021, last year bought a newer Lexus in cash. Been on 9 nice vacations since 2022 and no credit cards were involved. Could not work for 6 years if i wanted to.
You are the man
I agree with this but I use credit cards to make money. I use credit cards to get the cash back+ sign up bonuses,Borrowing the money at 0% Apr and investing what I owe into stocks outperforming 0% annually on average. I can pay off my credit card debt 10x over as I have assets worth a lot more than my credit card debt. I get 2-5% on all card purchases and mostly 5% on what I borrow. That's an immediate 5% gain compared to using cash , not counting the compound interest in the markets.
I wouldn't recommend anyone do this unless they know what they are doing though. I love finance cause it's like learning to play the game of life. If you got your strategy right you can absolutely win.
When I was broke, in college, eating rice and an egg as my only meal for the day I never took out a credit card. Never had one back then when I was dead - DEAD DEAD - broke, and I don't have one now that I am in a good financial position. If I don't have it I cannot buy it, and now that I can more than afford whatever I want I don't see the point in purchasing fifty pairs of shoes, a car that cost $200,000, expensive clothes and jewelry, etc. The only thing I splurged on was my house and a few acres around it, apart from that I still enjoy eating sardines, still enjoy rice with an egg and a bit of ketchup, still only have three pairs of shoes.
I don't consider myself cheap, I just don't see the point in buying stuff just for the sake of buying stuff.
the thing about this though is a lot of people aren't even buying expensive shit. (except the car thing, some of y'all are insane buying a new car every 3 years or some shit) it's all dumb little purchases that add up over time until it balloons.
What year did you go to college?
Sounds like a good live.
I splurge on travel, because I have the memories and education that it brings and broadens my horizons. Spending money on brand new cars and eating out every night doesn’t bring me memories that will last a lifetime
Dude you know you can just pay off your credit card, right? You can do it every day if you want.
From $7K to $45K that's the minimum range of profit return every week I thinks it's not a bad one for me, now I have enough to pay bills and take care of my family.
Wow that's awesome
But I still love my mentor Sophia
Yes you are right I have been trading under Mrs Sophia for a year now, and I can say she really made me who I'm today ❤
Yes! I'm celebrating £32K stock portfolio today... Started this journey with £3K....
I've invested no time and also with the right terms, now I have time for my family and life ahead of me.
I'm favoured, $90K every week! I can now give back to the locals in my community and also support God's work and the church. God bless America,, all thanks to Ms Sophia Good day all from Australia cia
These people truly embody the YOLO attitude
I have like $3900 in debt and it is killing me, I'm constantly thinking about it and it's always on my shoulders and I can't wait for it to be gone. I could not imagine having my annual salary in debt!!!!!!!! Wtf
You got this! I had $5000 in credit card debt in the beginning of this year and it took A LOT of discipline and sacrifice but I’m happy to say I paid it off finally last week!
I took out $4000 and the bank/debt collectors raised it up to 8k in 4 years. I didnt lose sleep, I ignored their calls and scratched my balls. The bank sold my "debt" to an indian collections company and I legally owe nothing now. My credit went down, but it means nothing because Im not getting a house in the next 5-10 years anyways. By then they clear your credit and you can rob them again or buy a house. Difference between men and women I guess, men dont lose sleep over nothing.
I have OCD, wanna trade?
@@CanadaCanPrank bruh what a wack way to live
Success depends on the actions or steps you take to achieve it. Building wealth involves developing good habits like regularly putting money away in intervals for solid investments. Financial management is a crucial topic that most tend to shy away from, and ends up haunting them in the near future.., I pray that anyone who reads this will be successful in life!!
Starting early is simply the best way of getting ahead to build wealth , investing remains a priority . I learnt from my last year's experience , I am able to build a suitable life because I invested early ahead this time .
Until the Fed clamps down even further I think we're going to see hysteria due to rampant inflation. If you are in cross roads or need sincere advise on the best moves to take now with financial markets will be best you seek a fin-professional with fiduciary responsibilities who knows about mortgage-backed securities for proper guidance.
Could you possibly recommend a CFA you've consulted with?
Her name is “Rebecca Nassar Dunne’” can't divulge much. Most likely, the internet should have her basic info, you can research if you like
I just looked her up on the web and I would say she really has an impressive background in investing. I will write her an email shortly.
I used Dave Ramsey's snowball method to get from under 30K in cc debt. Since clearing that debt, I pay the cc's in full every month and live beneath my means.
LOL @ the person who has their cc info memorized. That's one of the things that got me in trouble. That's old stuff now. Never going back! Debt free for life!!!!!
Great job!
If you still have cc's, then you failed Dave Ramsey's course
Still using credit cards = you're not following Dave Ramsey's babysteps. You just did a debt snowball
@@YouMissedBrosome do learn their lesson and now use credit responsibility aka paying the balance in full every month.
I learned the hard way. While I was getting debt free, I researched how credit cards work, how the credit scoring "game" works and learned how to handle it responsibly.
Today my score is 830, I have limits totaling 99.9k and I am under 1% utilization. Responsibility can be learned if the person is willing to put in the work
@@chrisalley6282 That’s because his course assumed everyone to be stupid, which most people are. But there is such a thing as being a responsible CC user, you know. Many people game the system.
I grew up in a very wealthy family. They and I (surprisingly) thought I had no clue at all about the value of money. So they sent me to a program where I had to live in a place with 5 other guys and we got $100 a week for food. Flipping out when I saw 10 hot pockets for $12, is when I started caring about my out of control spending.
100$ a week for food is really good actually 😅 you can get proteins and vegetables and properly eat. If you have to buy cleaning stuff and laundry detergent it's tense. But 100 only on food is far enough for one person if you focus on healthy things.
@@typical_snowflake Yeah I had to buy everything that wasn’t rent or utilities. Had to pay for internet too.
I have 8 pairs of dress shoes, the most expensive pair of shoes cost $1,100 (Crockett and Jones Handgrade) but I've worn them twice a week for ten years so far and they still look fantastic. Once I wear out the soles finally they can be rebuilt for a couple of hundred rinse and repeat. There's a very good argument to be made for having fewer items of higher quality
Absolutely. It helps if you sleep on big purchases too. Ask yourself if youre actually going to be using that thing a year from now. And is it serving you or is it just a dead weight that cost you a ton of hard earned cash?
Agreed, when considering clothing options, looking at the price per wear is essential, and higher quality items can usually be worn way more. However, 8 pairs of dress shoes still seems like a lot for a fewer items approach.
The lady in the video don't even wear the same shoes twice a week. Prolly just hoarding and bragging the 'vast' collection.
Having an alcohol budget is wild 💀
I had never heard of an alcohol budget.
Yeah most alcohlics don’t bother to budget for it, they just buy it
I remember being in my 20s 😂
I mean, I guess I sort of have an alcohol budget if I go out. That budget is "I'm only having one or two pints because damn this shit is expensive". Seriously, £8.50 for a beer at the last concert I went to. And that was before covid 😰
This is so helpful! When I see influencers, it’s hard to realize a lot of them are struggling with so much debt.
I have 3 pairs of shoes. Dress shoes, work boots and a pair of sneakers. And no credit card debt.
I have work shoes, regular day sneakers, and flip flops. Zero debt, multiple investment accounts.
I got 9 in total, 2 pairs of quality leather boots(brown and black), 2 pairs of sandals, 2 pairs of formal shoes, 1 pair gym shoes, 1 pair of slippers, 1 pair hiking boots. Apart from the boots(they last years) and formal shoes, the rest are cheap shoes.
got like 8 but 3 of those were free from work, and I think that's too many.
I have 1 pair. My work shoes, that my boss obviously bought me lol
This is why I only have a debit card, i don’t won’t to imagine if my implosive ass had a credit card.
smart move.
Fr even when I do the pay later apps I choose to pay half that payment after the initial payment then the last half the next time I get paid. However people have been using it wild af and not paying installments
You are very wise I closed all cc accounts except for two max limit is 4k my balance is $2500 I work full time as an LVN my husband has disability income so we have to live within our means I am focused on paying off mortgage and car loan before I retire on social security (4years) for us two local trips a year. I would like to work part time for as long as I am able. I cringe about these people in such above their means debt to impress others? Shoes you mostly won’t wear 60 pairs? Ridiculous behavior
“Implosive ass”? That sounds painful. 💣😮
I hope you meant “impulsive”, lol.
If your ass is imploding on the regular you may need a trip to the doctors.
I never include alcohol in groceries. It's so expensive and skews the category. I always counted it in the entertainment category of my budget.
I stopped drinking in the 1990s because I was wasting too much money drinking, buying others drinks, etc.
3 years after I stopped wasting money on alcohol, I had enough for a down payment on a Miami Beach Condo.
To make a long story short, I now own 4 properties after selling the Miami Beach Condo.
Fact: The CEO of all the Alcohol companies does NOT care about you. It's too risky to drink alcohol because of the law, the police, etc.
imagine spending $20000 on shoes when you only need to spend like $49.99
Yes! Even less if you’re fine with lightly worn ones. I pay $1-5 for VERY nice shoes at garage sales of people who overconsume!
@@hayleyhellbound9513 damn $1-$5 is crazy cheap. I nornally run 5 pairs til their dead. get them second hand £30-£40
@@ChArLie360115I’m lucky to live in an area where the older half of the population hasn’t updated their idea of garage/yard sale prices in about 20 years! I’d be happy spending what you are as well! I love doing it for my kid’s shoes, they grow so fast! When they grow out of them I resell them again at an annual kids consignment sale🫶🏻
The people who overconsume create affordable lightly worn secondhand goods for me. I've been using secondhand shoes for years!
Yeah for real I'm a gun enthusiast and the most I'll spend on a rifle is maybe 1000 bucks and that's once every three months maybe even once a year 😂 these people have serious problems
This is why parents should teach their kids about money. The younger, the better. I learned from my parents and older siblings who didn’t know how to manage their money and was always stressed out about it. I also happened to be just really good at math since I was born and have been explaining to my mom why she was always having problems with money.
We paid off all our debt. Cards and student loans first, then car, then mortgage. We now put a ton of money into high yield interest accounts and CD's. I still use my credit card for every purchase I can though, because of the cash back. I pay it off every week. My credit card literally pays me to use it.
You're getting rekt through debasement with the money printing. If your not earning at least 10-15%, you're not even treading the water.
@@viciouslee8009 I have my reasons where I need it to be liquid, and I don't want to take on risk.
@@viciouslee8009 Yeah but what can you do convince the US gov to ease off the quantitative easing and bring back the gold standard?
If you know anything more reliable than the S&P 500 or government bonds then it's probably easier just to focus on earning more money.
@@impyrobot Vote Trump!! He'll fix everything and bring us back to the gold standard! 🙄🤣
@@chrisalley6282 doubt it he's a better leader than Boden but the FED and bankers are too powerful it will not happen unless their is major change to the US
My wife and I have had zero debt since we paid off our home in 1992. We lived on 70% of our income during our working years while investing the remaining 30%. We live in a middle class neighborhood and drive older cars. Our neighbors obviously view us as just two retirees struggling to get by like many retirees today.
The reality is we never felt like we had to buy a bigger house or a fancy new car. We just purchase the things we need and not to impress others. We have credit cards because we use them for points for travel or for cash back but we have paid off our credit cards each month for over 40 years.
We have had a good life and we remain frugal in retirement even though we have a net worth of more than $5 million dollars. We did this after starting out with less than $100 in the bank when we married 51 years ago.
That's how you do it.
People don't seems to understand lowering their living cost will stretch their income way longer than they think.
if people saves 5% of their income, means they need 95% of their income to live. To reach 95% of their income to live for a month, they need to save for 19 months of their 5% savings.
if people saves 25% of their income, means they need 75% of their income to live. To reach 75% of their income to live for a month, they just need to save 3 months of their 25% savings.
Then there's me, with broke college kid lifestyle. My living cost is 20% of my net income. Work 1 month, get 4 extra months of living cost for free. invested 80% of my income instead. Work for 10 years, it'll cover 50 years of your life.
Our family bought stock in all the Credit companies and we got very rich Thank you
Remember when people had savings?
The system is setup to encourage debt slavery.
Ohhh the good times…. Now is who has less debt
I have real savings. My boss and I were having a moment and I said pay me or don't pay, it won't make any difference in my life.
My savings had interest this tax season 😂
I used to have close to 8k in CC debt. Some of it was obligatory spending--groceries, dog stuff, etc. A lot was BS spending. Finally, I paid it off back in February and have not incurred any more interest charges since. Felt so much relief.
As someone born in a family with extreme poverty and still in, I'm glad that girl spoke of her experience. Mine was different I got in debt cause all out Money went to rent and we used credit card for food cause we had nothing left. We lived in my aunts basement and my family badly wanted me to go to college dispite being dead broke , not being a citizen so we can't get financial aid and not being able to get many scholarships for the same reason yet I still went cause it was seen as shameful to my parents, so I payed my classes through whatever money I made and used my credit card for books and tools cause I also can't get loans cause that's also for citizens. I'm trying to get out too sometimes we still need to use it for food but I'm paying majority of what I make to pay it off
I knew a chick who went to Thailand for vacation, put it all on credit and has been balance transferring that debt for years now. Like girl just Pay it!
Sounds like she is waiting for a sugar daddy to pay it for her. Unfortunately there are some simps out there who will do it.
Only if my crush would want me as a suggar daddy
I make the credit card company pay me every month instead of paying them.. I pay off my cash back card balance every month. Pay no interest. The industry calls me a deadbeat.
I use my CC so infrequently I got a letter this month saying that if I didn't use it by October they'd close my account.
The credit card companies aren't paying you. That's not how cash back works, you're actually helping them make more money based on the products you're purchasing
@@cs8712Then why did you waste your time getting one. That isn't a flex
They closed my cc account because I don't do interest ever. Next card was from my primary bank , they would only gave me 5% of what I was used to . Now upto 20% of my initial amount . I have travelled when younger . I like knowing all bills paid . I holiday at home as I prefer that to having a room mate.
Same, I use debt to my advantage. I have made thousands off of unsecured debt. Now I don't get approved lol
Gen X here, credit card debt can happen to anyone bc things are ultra expensive atm. (option 1) use your credit card for regular purchases and pay it off every month with your paychecks (option 2) dont use the credit cards.
Paid off 7-8k in cc debt starting July 2023 after a particularly expensive vacation and fixing a bunch of issues with my old bmw. Took me to April 2024 and now the growth has accelerated and I'm sitting on about 12k plus 2k of gold I still haven't sold yet.
Keep grinding, don't buy stupid stuff you don't need and you WILL get ahead!
You should do a break down on these "payday loan" companies and the people that get into a pretty much never ending cycle with it. The average interest on those is fucking 400%, which genuinly is shocking. But then there are places like Texas where apparently the usual percentage is something insane like 662%. If you already need that "payday loan" to pay for a large bill or expense, what are the chances you will be able to make enough money to not borrow again that month, and be able to make the payments on last momths loan. Its seriously like a vicious cycle
Yes they make credit card debt look like NOTHING the interest rates are criminal. 😢
@@janaynmelis5250 i just couldn't believe it, and I remember in the video that the person did the math on just a $1500 loan. If they just did the minimum payments it would take that person almost 5 years to pay off and they would have paid $5993 by the time it ended. Shit should literally be illegal
I had a payday loan for about 3 years and was stuck in the vicious cycle of paying it down and then borrowing against it again. My balance at the height of the loan was $1,800. My minimum payment every two weeks was around $130 and of that only $20-$25 went towards the principle so you can see how long it takes to pay off an $1,800 payday loan if you're paying $260 a month and only $50 of that is going towards the principle. And don't forget that the loan accrues interest each day that you have the loan out. I was finally able to pay off the entire loan in 2022 which was about $1,600. It was painful to see my money disappear but it was worth it to no longer have the weight and stress of that debt on a daily basis.
I’ve actually gotta disagree with the alcohol budget take.
Budgeting is about understanding your spending and where your money is going.
It’s not about cutting out any and all bad habits and being a perfect human.
Alcohol can be expensive, and if you’re the kind of person who enjoys a glass of wine after work, or has a few beers with friends on the weekends, those costs can add up.
Creating a small budget of say, $15 per week dedicated for alcohol allows you the ability to drink, while also doing it in a controlled manner.
DoD sponsored financial advisors on military installations even discuss this concept
People put budgets on things to restrict their spending.
If you have to restrict your spending of alcohol, then you have an alcohol problem.
@ Budgeting is not solely about restricting spending. It’s about understanding spending.
Yes, often times you will place a restriction on your spending after tracking your expenses for several months, but this does not mean you have “a problem”.
It simply means you need to ensure that you are setting aside a reasonable amount for the expense.
Perhaps you go out drinking with friends regularly, and as apart of your budget, you suggest drinking at a friend house, saving money on bar tabs.
Having a section of your budget allocated for drinks is the exact same as having a section allocated for restaurants, clothing, gaming, or anything else.
In my area, a 6 pack of beers costs around $10. So setting aside $50 or so dollars a month specifically as your alcohol budget is the sign of a responsible drinker, not an alcoholic.
Don’t throw a word around that you don’t understand.
Thanks Zac for your wonderful videos. Life can be hard sometimes, but I feel better knowing at least I don't have debt to deal with.
I know I’m not where I’m supposed to be financially at my age, but at least I’m not in debt. These people make me feel better about my situation
The woman with the shoe obsession is crazy, none of those basic shoes are worth over a hundred dollars, they look like something id find on ebay or at a thrift store.
I think she's lying 😂 I swear I feel like some of thses stories are embellished for whatever social media algorithm they are on
Yeah, most of those shoes look very Marshall-y or Macy's like 😂
Theyre giving shein flash sale
both of my parents never had a credit card and they have also been telling us 4 siblings to never have a credit card….i truly understand them now.
When it comes to credit cards there’s 2 forms of financial illiteracy.
There’s the people who rack up debt and pay the minimum.
Then there’s the people who denounce credit cards altogether and buy everything with debit/cash.
Rewards cards literally give you free money and you don’t pay a dime in interest as long as you pay the card off in full each month.
I only used debit cards until I got with my gf. Then she gave me one of her credit cards to pay for our expenses, and she pays it off using our joint account. Every year, we get like 500$ of free stuff from the points.
We've netted *thousands* over the last 10 years using cash back credit cards. Responsible use of these cards eventually qualifies you for even better cards that give you even more back. Amex Blue Cash Everyday is an AMAZING card. You get 3% back on groceries, gas, and online shopping with no annual fee. That plus a flat 2% cashback card like Citi Double Cash for everything else.
I don't like using credit cards because the whole industry is immoral. Your "points" are paid for with someone else's desperation.
Hope some people see this. If you want to use credit cards NEVER use paperless statements. If you get statements in the mail every month it’s a reminder to look through your statements. The banks will tell you to go paperless to save the environment and that’s total BS. They tell you to go paperless because you will be less likely to read your statement.
Paperless doesn’t matter if you have the discipline to not overspend
Cost you nothing to open the app/website to see your statements. The same way, its easy to not read your mail
For me it's the opposite lol
I have missed paying a toll or two, if I get it in the mail and end up paying a penalty. I have a bad habit of ignoring mails and trying to get better at it
I try to put all bills and credit card on auto pay and budget expenses less than then my income
For the past two years I consistently had about $2k in cc debt and I thought THAT was bad. Then in July I decided to get serious with my gig side hustle, lived frugally for the month, and paid it all off at once. It was such a relief not having to deal with it anymore
I have had up to 100 pairs of shoes at one time and I admit, it is shameful, BUT I spend maybe an average of $50 per pair of shoes and have never been in CC debt. Still need to reel it in and do not need that many shoes. I don't wear most of them
That's still 5000$.. for shoes
I'm in my 30's... I've never had a credit card. My parents always said : credit is only to buy a house.
Ummm then you can't... you have no credit then... you have to have a credit card for yrs before your score even counts...I loved being told having a 850 doesn't mean shit because I only had a card for 2yrs..
Yeah, unfortunately, you need one in America to do anything. You're going to be screwed when you try to move or buy a house. Of course there's some that will overlook you not having a score, but it will cause an issue. You'll have to have a cosigner if you don't start building a credit score.
Demonizing credit cards serves no purpose. Just spend within your means and pay it off every month. It will build the credit score.
@@ixwillxeatxurxbabiesno you don’t need a credit score to get a mortgage, you can have a mortgage broker do manual underwriting for you to get a mortgage. Manual underwriting is what used to be common, a lender reviews your ability to pay it back loans by reviewing your work history, current income and savings to determine you are approved for a mortgage. You don’t need a credit score for a mortgage but you would need a bank or company that does manual underwriting and it takes longer to be pre-approved.
@@Veste7182 wait seriously? You need cc's in america?
So i have a credit card and I pay it off monthly. With Christmas and normal bills my statement balance for January is $2500. Obviously I can pay this off fine but my statement showed that if I just pay the minimum payment it would take me 11 years to pay off, at a final cost of $4000. Thats what people dont understand about credit cards. How exponentially explosive they get if you have no way to pay them back on time
My ex mother used to max out her credit cards all the time. I witnessed her getting her card declined at a grocery store. It had a limit of 80k. She had a total of 120k in credit card debt. His sister was the same. She had 50k in credit card debt but had 4 Chanel bags and drove around a new BMW. They all lived together in one house because their credit score was so shot, they couldn’t buy anything else. They have hardly any furniture inside but when they go out, they wear head to toe designer and expensive jewelry. You’d never know till a card was declined.
Then she goes. Please try again and cashier only rolls her eyes 😂
I’m 73 and retired, work about 25 hrs a week, get ss and a retirement, own my home, own 2 vehicles, own two properties. My main cc has a 1000.00 limit [never has been set higher] and it goes up and down from month to month. Currently it only has a couple hundred balance. My other store cards have zero balances. They stay locked up unless I need them. Just payed off my new Best Buy zero interest iPad. Next month I will have to get a new dishwasher as mine died 2 months ago. I’ll use my lowes card then. My wife was a spender while I was the saver but she was a teacher so she had money. Youve GOT TO BE RESPONSIBLE with money, food, alcohol, driving to have a good life. Play stupid games, win stupid prizes. Good video.
I hope you're still working by choice and not out of necessity...
I got myself into a little trouble in the early 2000’s with credit cards. I got myself out of it and learned a valuable lesson. I still have and use credit cards but I pay them off literally 3-4 times a week. I have not paid a dime in interest in probably 20 years.
I grow up In Mexico, credit there its really expensive than here in USA, where I lived now, my parents basically rethink twice every credit decision, that lesson help me now understanding credit better and rethink twice on used credit for money I can afford. Never is late to take your financial control.
They really need to start teaching financial literacy and just basic living skills to these kids coming out of high school. How to budget, how to apply for a loan/credit card, different types of interest and how they accumulate, how to apply for student loans, how to change a tire, basic cooking skills. These kids are absolutely clueless about the world.
I think life skill classes should be a thing in high school starting 10th grade
The schools are the way they are by design. TPTB want you helpless, angry, and stupid.
Well these kids have parents you know it's not up to the school to teach them how to wipe their own ass...also school kids don't listen so you can teach them everything and hardly any of it will stick until they are mature enough to work it out themselves in the real world
that used to be a thing. something got lost and some generation raising things kids decided to just not raise them anymore
finance is literally 1st grade math, addition and subtraction... how do people mess it up
my mother is still paying off my father's credit card debt, luckily we have less than 1k left to go but this taught me from a young age to never spend money i dont own
I'm assuming your father passed away? Sure to hear that, but if so, she may not be responsible for his credit card debt. Check into it
@@hahamasala Debt is hereditary depending on the circumstances. If for example they're living in the father's home, or have their car, etc then they have to pay his debt to own it.
@@calliastah4115 You're half right. Debt is not hereditary, but your assets must go against your debt when you die. If your father passes away, owns nothing, and has $1,500 in cc debt, then you do not inherit that debt. But if your father passes away, owns a house worth $200,000, then you'll either have to pay $1,500 to keep the house or sell it, pay the $1,500, and keep the rest of the cash.
@@hahamasala i should mention im greek, in greece laws are diferent
@@calliastah4115not in most of the world it's not inherited !!
I'm tired of working full time, with three other extra jobs 7 days a week with nothing left to put in my savings after paying the bills. This cycle never ends.
Same😢
thank feminisim, you gotta work and protect yourself from muggers 🤣
I work in the flim/TV industry and have been out of work due to the strikes and change in the industry and racked up $20,000 in credit card dept.
I just landed a full time long term job and can afford to pay $5K per month on paying off my dept and should be debt free over the next 5 months.
Well done be proud, you truly earned it
I would cringe watching customers at my last job (auto glass replacement) thumb through DOZENS of credit cards when it was time to pay. I am lucky, I was raised by parent who had one credit card. I opened my first credit card when I was 28. I still have the one card and I pay it off every month. Watching financial audit made me realize how Americans are addicted to debt.
You would be better off with more than one credit card. That will increase your available credit which will improve your credit score. Having a credit card does not mean you have to use the card. Using more than one credit card does not mean you cannot pay them off every month.
@@jerrylundegaard2592Exactly. I learned from my dad to have a portfolio of credit cards with varying closing dates. Use the ones that just had their billing cycle end to give yourself more time to pay interest-free. I have 15 credit cards, but I'm not actively using all of them at the same time.
@@jerrylundegaard2592 HORRIBLE advice. The only reason to improve your credit score is to go further into debt. It's a scam. Grow your wealth, not your credit.
Multiple credit cards don't that @@jerrylundegaard2592
To be honest people keep blaming credit cards but people don’t read anything it’s in your disclosure!!! People know exactly what they are doing they just say “I’ll pay it back next month😂
As someone who didn't grew up with financially literate parents. I'm happy I did my own research on best budgeting practices. I purchased a financial literacy book that showed me the ropes. I also know someone who's family funds them while studying in a different city and working a part-time job. They travel everywhere and afford expensive items.
I have under $10k in credit card debt, I can't imagine being in anything ten or twenty times more than that.
In an ideal world, credit cards and lottery tickets wouldn't exist.
Hold up, if you cancel lotteries how will these people pay off their debt without a lottery win lol.
I am at 40k credit card debt but I make 80k a year and 10k in invest money yeah it sucks but I have the means to pay off the debt my car is paid off rent is 1140 month and currently paying off two cards both around 8k my most expensive card is 17k 😂 I am single and realize how much of a hole i am in but at least I have the means to pay them off in the next 8 months
Why it's just a tax on people who don't understand mathematics or statistics. No one forced you to play the lottery or get a credit card. Make better financial decisions, having capital is very important in American society.
@@impyrobot what does it matter when I can pay it off I am single and make 95k net take home it’s just money 😂
i pay my cards off and get the cashback, never miss a payment. YOU can be a winner alot easier than a lottery.
Have a friend who is studying to be a nurse. Thankfully they have asked me to teach them how to budget properly.
I'm just a simple janitor, yet I have zero financial issues due to knowing how to manage money.
It never ceases to astonish me how people without the disposable income to justify owning lots of expensive things, believe voluntarily going into debt will make them appear to be living comfortably and "better" than most others.
One chick cutting a card was cutting a card that has a 550 dollar annual fee. Downgrade it or cancel it or you’ll forget your paying for it
Yeah lol. Downgrade to Chase Sapphire Preferred. It's still $95, but it pays for itself in a way. If has practically the same benefits, but you need to figure out hotel credits.
@@baconoftheark yeah or you can downgrade it to a freedom card and it has no fee what she’s down is just crazy lol
Venture x is nice because its only like $5 after travel credits@@baconoftheark
@@metalheadami123 I just assume she already has a Chse Trifecta? Most people go Chase Freedom Unlimited/Freedom Flex than annual free xD?
What kind of psycho goes to $550 annual free travel cards first?
I love the quote, don't spend money that you don't own
Honestly I’m so grateful to my mom
She always taught me that only things you can be in debt about are - mortgage and MAYBE car
Of course student loans and emergency health stuff too, but the main lesson is - if you can’t afford new iPhone or vacation - choose cheaper options or save up. Living in debt is scary and often not necessary.
I have 2500 in credit card debt within 3 cards. This video makes me feel better. A little bit.
I can’t even imagine being 10k or 50k in debt on just one card ..
It’s like how
Well at least it's all on one card and in one place people having multiple cards with smaller amounts here and there makes even less sense
@@ykook7000 um, I’d rather my situation over having one card I owe 10’s of thousands of dollars on ..