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(Time)   Most Americans still have no idea how much interest their credit cards actually charge them   (time.com) divider line
    More: Facepalm, financial crisis, Late-2000s recession, new study, basic financial literacy, National Capability Study, Americans, FINRA Foundation, unpaid medical debt  
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3643 clicks; posted to Main » and Business » on 14 Jul 2016 at 12:16 AM (4 years ago)   |   Favorite    |   share:  Share on Twitter share via Email Share on Facebook



Voting Results (Funniest)
View Voting Results: Smartest and Funniest

 
2016-07-14 2:04:29 AM  
12 votes:
img.fark.netView Full Size
 
2016-07-14 3:22:16 AM  
11 votes:
So the article says only 37% of Americans can pass a basic financial literacy test.

At least that's still more than half.
 
2016-07-13 11:14:47 PM  
7 votes:
Face it, such details most Americans do not find...interesting
 
2016-07-14 12:25:15 AM  
6 votes:

chicken nugger: Sure I do, it's 7.50%, the lowest rate of any card around.


Mine is 7.49%...you're such an interest loser. Big L.
 
2016-07-14 12:30:28 AM  
5 votes:
I was told there would be no math.
 
2016-07-14 12:25:04 AM  
5 votes:

Satanic_Hamster: Just pay it off every month.


Wait. You're telling me that the card I got in the mail isn't free money? That's crazy talk.
 
2016-07-14 9:23:00 AM  
3 votes:

Bullseyed: Quick: If you take out a $1000 loan that has a 20% rate, how much will you owe a year in interest? Answer: $200. But if you got that wrong, you're not alone.

Apparently not alone, as TFA got it wrong too.


I thought that was funny too. In general I love the idea of writing "quick!" in front of a question like that. What is this, a child's frisbee that just flew out in front of your car? No, it's a farking loan. Calm the fark down and open a spreadsheet.
 
2016-07-14 12:50:02 AM  
3 votes:
I lived an extravagant lifestyle funded by credit cards for years. Then I lucked into buying house t just the right time. House prices skyrocketted in SoCal, so I started to use the equity as a piggy bank. Then, my income tripled over the next few years, so I was able to spend more money on credit cards. At one point, I bought a $10k motorcycle on a credit card. I saw the house bubble burst coming, so I sold my house in 2006 for a $250k profit, and paid off my student loans and credit cards, and still walked away with over $100k, so I moved to Portland. I decided to not work for a couple of years, and blew the $100k and ran up another $20k in credit card debt., so I had to get a job.
 
2016-07-14 12:35:34 AM  
3 votes:
img.fark.netView Full Size

I said it. I meant it. I stole your mother's credit.
 
2016-07-13 11:24:42 PM  
3 votes:
I used to have Capital One. They had a pretty low rate, then for no reason they jacked up my rate ridiculously high to somewhere around 17-18%.  I have fantastic credit and never did I miss a payment.  I don't carry much of a balance at all which I'd like to imagine is part of the problem, but in reality it's not. They're just farking greedy.  So instead of making the 3% interest on all my charges and a nominal monthly amount, now they get zero.  Fark them.  I moved my credit cards and now I'm paying down around 8% on the times when I do carry a balance.

Go fark yourselves, Capital One.  Fark yourselves with a big stick of salt-encrusted razors.
 
2016-07-14 4:36:57 PM  
2 votes:

Harry_Seldon: Nogale: I'm always tempted to fill out an application using the dog's information and her paw print signature and see if they'll send her a card. She's not a minor in dog years. Would that be fraud?

Is your dog capable of making informed consent?


Depends if peanut butter is involved.
 
2016-07-14 12:43:40 PM  
2 votes:

Gary-L: Speaking of tools, look in the mirror.

Credit cards are a stupid game keep on keeping on without worrying. game. Your post is a great example of people who play this stupid game of chasing points and freebies all in the name of the almighty FICO score. you borrow money to raise your score so you can borrow more money. Then, when the economy takes a hit, and you lose your job, the whining starts about how unfair it is bills and obligations can't be met. Meanwhile, those of us who don't play the game live in smug comfort.


I fly to Europe once a year on CC points, I never pay a red dime in interest.

How does that happen? Well, for one thing, vendors increased their prices to cover CC fees. Funny bit is, you pay those prices as well. In effect, part of that plane ticket is generously sponsored by those who live in "smug comfort". So - thanks.
 
2016-07-14 10:16:19 AM  
2 votes:
img.fark.netView Full Size
 
2016-07-14 4:07:15 AM  
2 votes:

Harry_Seldon: Nogale: I'm always tempted to fill out an application using the dog's information and her paw print signature and see if they'll send her a card. She's not a minor in dog years. Would that be fraud?

Is your dog capable of making informed consent?


That's what he claimed in court.
 
2016-07-14 1:11:43 AM  
2 votes:

FormlessOne: No, I'm supposed to curate my credit score because it's increasingly used to measure my value as a person, instead of merely indicate how much of a profit margin I'd give a creditor. Fark that.


You sound like a Redditor curating your karma.
 
2016-07-14 12:36:17 AM  
2 votes:
The comments in this thread make it look like the average Farker is fiscally responsible. There are a couple explanations that come to mind, but I'm going with "the average Farker is fiscally responsible". It's good to see you have ignored the lessons and examples your family, friends, and government have been providing all these years.
 
2016-07-13 11:57:18 PM  
2 votes:

bdub77: RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.

I have no idea either for that exact reason. I pay off my credit card every month on the due date.


You wait til the due date? Are you poor? I pay mine off weekly.

/kidding about the poor thing
 
2016-07-13 10:31:39 PM  
2 votes:
I dont know and no, i dont pay mine off every month.    *shrugs*
 
2016-07-13 10:10:58 PM  
2 votes:
THIS JUST IN: Americans suck at personal finance.
 
2016-07-14 3:09:06 PM  
1 vote:

RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.


Mine could be 436% and I wouldn't know. I just pay the balance every month and save up the points for free stuff.
 
2016-07-14 12:35:26 PM  
1 vote:

Bullseyed: Quick: If you take out a $1000 loan that has a 20% rate, how much will you owe a year in interest?
Answer: $200. But if you got that wrong, you're not alone.

Apparently not alone, as TFA got it wrong too.

The answer to the question is that there is not enough information to provide an answer. We are not given the amortization schedule for the loan, and it even goes as far to say "rate" instead of "APR".

Since the subject is credit cards, we assume compounding occurs monthly. This means at the end of one year, if we make no payments until then, we would owe $1,219.39.

If we make monthly payments of equal value that will lead to the loan being paid off in one year, we'd pay $92.63 per month, leading to a total interest payment of $111.61 on the $1,000 loan.


So glad I'm not the only one getting an eye twitch over that. Rate per what?
 
2016-07-14 12:15:54 PM  
1 vote:

Gary-L: Speaking of tools, look in the mirror.

Credit cards are a stupid game keep on keeping on without worrying. game. Your post is a great example of people who play this stupid game of chasing points and freebies all in the name of the almighty FICO score. you borrow money to raise your score so you can borrow more money. Then, when the economy takes a hit, and you lose your job, the whining starts about how unfair it is bills and obligations can't be met. Meanwhile, those of us who don't play the game live in smug comfort.


LOL. I'm  guessing the "smug comfort" of not having a home? I'll take my debt, which amounts to a mortgage on a two-family house I rent out to (more than) cover said mortgage.

Actual comfort + profit > smug comfort
 
2016-07-14 11:11:57 AM  
1 vote:

FormlessOne: Telos: OK, fine, sure - I can see that they're not going to get a lot of money from me, so I'm not as desirable a customer. They want to see 21+ credit accounts for an "excellent" rating. Who in the hell is maintaining twenty or more credit lines? That's ludicrous.

Yes, that would be ludicrous. Which is why it isn't true. I have an 800+ credit score with, like, 2 credit cards, a mortgage and a home equity line of credit.

It's not like I'm making it up... the fact that other factors come into play doesn't make what I said somehow incorrect.

[i64.tinypic.com image 590x463]


Yes and no. If you were to go open 20 more accounts, it would lower your average account age, which would also impact your score. This impact would be worse than the impact of having few accounts.
 
2016-07-14 11:00:53 AM  
1 vote:
Not only do I not own a TV, I drive an environmentally sound vehicle, and I pay my balance in full (if I have one) every month.  *shrug*

/I'm just better than you.
/Sorry.  Don't hate the player, hate the game.
 
2016-07-14 10:03:44 AM  
1 vote:
I pay mine off each month, too.

img.fark.netView Full Size
 
2016-07-14 9:31:14 AM  
1 vote:

bdub77: RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.

I have no idea either for that exact reason. I pay off my credit card every month on the due date.


I used to float a balance for one billing period, once in a while, then pay it off in full. That actually helps your credit rating.

My CR is pretty much the max now, so no need anymore.
 
2016-07-14 8:39:50 AM  
1 vote:

usafdave: Wow, based on this thread, every Farker out there is a slice of the most responsible life.  (I sound like I have crippling debt... no, but I do have sharp knees).

/one 15 year old credit card
//balance is higher than I'd like but 8.9%, thanks USAA
///don't get engaged... but certainly don't get married (whew)
////slashies like slashing that debt... 7 months to go


People who have a job where they can spend all day on Fark probably meet certain demographic criteria.
 
2016-07-14 8:37:39 AM  
1 vote:
Quick: If you take out a $1000 loan that has a 20% rate, how much will you owe a year in interest?
Answer: $200. But if you got that wrong, you're not alone.


Apparently not alone, as TFA got it wrong too.

The answer to the question is that there is not enough information to provide an answer. We are not given the amortization schedule for the loan, and it even goes as far to say "rate" instead of "APR".

Since the subject is credit cards, we assume compounding occurs monthly. This means at the end of one year, if we make no payments until then, we would owe $1,219.39.

If we make monthly payments of equal value that will lead to the loan being paid off in one year, we'd pay $92.63 per month, leading to a total interest payment of $111.61 on the $1,000 loan.
 
2016-07-14 5:45:37 AM  
1 vote:

jtown: chicken nugger: jtown: The fact that you can't get it now doesn't mean I don't have it.

So, no proof then?  Got it!  Cards don't just up and stop offering a certain rate, please go somewhere else with that BS.

Christ, you're a farking idiot.  I posted a picture of my APR from a recent statement.  WTF do you mean "cards don't just up and stop offering a certain rate"?  Offers come and go all the time on cards.  You're an idiot.


chicken nugger: jtown: Christ, you're a farking idiot.  I posted a picture of my APR from a recent statement.  WTF do you mean "cards don't just up and stop offering a certain rate"?  Offers come and go all the time on cards.  You're an idiot.

Yeah, offers such as a certain APR for a certain period and such.  No card gives a certain rate for those people who signed up in a certain year and another for those that didn't.  You're claiming to be grandfathered into a lower rate and that's flat out bullshiat.  You posted something from a new card, that's what you did.

Also, keep name calling, bro.  It's how we know who the cool kids are.


Now kiss.
 
2016-07-14 5:28:58 AM  
1 vote:

chicken nugger: jtown: Christ, you're a farking idiot.  I posted a picture of my APR from a recent statement.  WTF do you mean "cards don't just up and stop offering a certain rate"?  Offers come and go all the time on cards.  You're an idiot.

Yeah, offers such as a certain APR for a certain period and such.  No card gives a certain rate for those people who signed up in a certain year and another for those that didn't.  You're claiming to be grandfathered into a lower rate and that's flat out bullshiat.  You posted something from a new card, that's what you did.

Also, keep name calling, bro.  It's how we know who the cool kids are.


Do you have a diagnosis for the type of retarded you are?

Welcome to the "ignore" list.  You're number 1 on my list.  As in the only person on it.  It's an exclusive club.  And, no, I'm not going to show you proof.
 
2016-07-14 4:46:18 AM  
1 vote:

Nogale: Harry_Seldon: Nogale: I'm always tempted to fill out an application using the dog's information and her paw print signature and see if they'll send her a card. She's not a minor in dog years. Would that be fraud?

Is your dog capable of making informed consent?

She's certainly capable of deciding what she does and does not want to do. Admittedly not great with finances, but probably not very much worse than most two-legged Americans.


That's just because there hasn't yet been made an ad targeting her demographic:

"Who wants to be a good girl?! Who wants to be a good girl!? YOU can be a good girl if you shop at K-mart! You're a good girl and you are always welcome!"
 
2016-07-14 3:44:20 AM  
1 vote:

Public Savant: Whe the fark don't americans just use debit cards?!

You only spend what you have.
What's not to get?


Some do, but debit cards in the US aren't always chipped. Credit cards usually offer better protection. My parents have been the victims of identity theft a few times and the CC company was right on top of things.

Since I use their address for US recordkeeping purposes, even though I've been a dual citizen living abroad since 1994, CC offers continue to come to me at their house. 30% interest or more. I'm always tempted to fill out an application using the dog's information and her paw print signature and see if they'll send her a card. She's not a minor in dog years. Would that be fraud?
 
2016-07-14 2:33:02 AM  
1 vote:
Moreover, most Americans don't know that TimeTM is the only corporate entity left that actually knows how to be a proper American. Once Trump is president we'll do away with all the whiners who think the police are abusive. We'll stop Mexicans and Mooslums from...umm...keeping this once great land from taking it back from someone. Yea that's it, TAKE BACK OUR COUNTRY dosh garnit.
 
2016-07-14 1:36:00 AM  
1 vote:
Wow, based on this thread, every Farker out there is a slice of the most responsible life.  (I sound like I have crippling debt... no, but I do have sharp knees).

/one 15 year old credit card
//balance is higher than I'd like but 8.9%, thanks USAA
///don't get engaged... but certainly don't get married (whew)
////slashies like slashing that debt... 7 months to go
 
2016-07-14 1:18:04 AM  
1 vote:
I don't carry a balance, but I also don't live a lifestyle that is prone to huge surprise bills, i.e., no house, car, kids, etc. No medical issues. I'm also liquid AF because I keep way more money in my checking account than is necessary.
 
2016-07-14 1:15:50 AM  
1 vote:
Hey, aren't European banks now paying negative interest rates? Could I get a credit card from one of them and get paid to carry a big balance?
 
2016-07-14 1:11:29 AM  
1 vote:

FormlessOne: "What good is math to me?", they say...

TwowheelinTim: The comments in this thread make it look like the average Farker is fiscally responsible. There are a couple explanations that come to mind, but I'm going with "the average Farker is fiscally responsible". It's good to see you have ignored the lessons and examples your family, friends, and government have been providing all these years.

Yeah. Paid off my mortgage, paid off & canceled my credit cards, and my reward? A lowered credit score, because, hey, I clearly won't make a bank any money if they give me a line of credit. Never mind that I have an 80+ spread between credit scores depending on which agency I ask, or that one agency still thinks I work at CIGNA, a company at which I haven't worked in 18 goddamned years.

No, I'm supposed to curate my credit score because it's increasingly used to measure my value as a person, instead of merely indicate how much of a profit margin I'd give a creditor. Fark that.


welltheresyourproblem.jpg
 
2016-07-14 1:08:58 AM  
1 vote:
"What good is math to me?", they say...

TwowheelinTim: The comments in this thread make it look like the average Farker is fiscally responsible. There are a couple explanations that come to mind, but I'm going with "the average Farker is fiscally responsible". It's good to see you have ignored the lessons and examples your family, friends, and government have been providing all these years.


Yeah. Paid off my mortgage, paid off & canceled my credit cards, and my reward? A lowered credit score, because, hey, I clearly won't make a bank any money if they give me a line of credit. Never mind that I have an 80+ spread between credit scores depending on which agency I ask, or that one agency still thinks I work at CIGNA, a company at which I haven't worked in 18 goddamned years.

No, I'm supposed to curate my credit score because it's increasingly used to measure my value as a person, instead of merely indicate how much of a profit margin I'd give a creditor. Fark that.
 
2016-07-14 12:44:57 AM  
1 vote:
 
2016-07-14 12:44:31 AM  
1 vote:
Done in one.

/ two, six and seven
 
2016-07-13 10:32:49 PM  
1 vote:
Or you could, you know, pay of your Dog Damned credit cards.

/ sometimes, I think that some people need minders
 
2016-07-13 10:21:01 PM  
1 vote:
zero interest - I pay off the balance every month
 
2016-07-13 8:59:16 PM  
1 vote:
And I like to keep it that way -  by never getting to the point where they charge me interest.
 
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