h:

 

That couldn't be farther from the truth.

Do you really think that social programs exist so that people can say, "I don't feel like working anymore, I'm just going to live off welfare"?

The whole point is to help people that are working but for whatever reason are unable to pay for the necessities of their particular circumstance.

 

How would a company make money if they don't lend anyone money?

The higher the risk, the higher the interest rate. Simple as that.

 

They love those kinds of people because they make more than their money back on the loan or credit line.

When people default or fail to pay they repo the item and sell it again, usually for much more than is owed on the item.

Take a look at places like Rent-A-Center who make killings off of people in these situations. It allows them to look like they are on top of the world for $35 a week for one year...when the time is up they have paid more than the item is worth and also have a small balloon payment to take possession of the item.

Credit is not hard to build in this manner really. Get a basic credit card with say a $250 limit, charge $10 every month on it for a year and pay it off on time making only one mildly late payment, after that year if not sooner they will extend your credit guaranteed.

 

No i dont think that 100% but i do believe there are many people who dont feel like getting off of their asses and getting a job with Benefits.....Kerry wants to have insurance for nearly everyone. I Certainly dont want to pay for that

 

There's another thread I posted which explains the Kerry plan to give people health care, and unless you're making $200k a year your taxes aren't going up.

If you aren't going to be paying any more taxes, then what's the harm in using that money to help people out?

 

If you come to me asking for a loan of $500 with no way to pay it back even if I charge you 200% interest I still am going to be out $500.

Companies make money by lending it to people with a means to pay it back. People with good credit scores and low debt to income ratios get the best lines of credit and interest rates. Those that have poor credit scores and high debt to income ratios get lower lines of credit and higher interest rates. Those that have no income or extremely poor credit scores (especially ones with bankruptcies and serious delinquencies) do not get credit. At some point the risk gets too great for a company and they say no.

 

Because i will be paying more taxes.....Kerry will NEVER! be able to afford the increase based solely on 200K+ incomes. Everyone will end up paying more taxes....

 

so what you're saying is that you have a more accurate understanding of how the system works, given what you've seen on TV, and what you've read in papers, than myself, who has lived day in and day out with those people for over 17 years?

 

Companies love the people that will max out their credit card and pay the minimum. They hate the ones that max it out and never pay. Same for the car. Repoing a car usually nets less than what is owed on the car because the car has depreciated so much and is not profitable for the company but they do it because righting off part of the loan as a loss is better than writing the whole loan off.