Credit Card Debt

kennyboy66_2

Amongst the pearls of wisdom posted here have been the following.

1) People are paying their mortgage on their credit card
2) There will be massive write offs by the banks for all the credit card debt that cannot be repaid.

If these are both true, then why do "we" owe less on our credit cards now than in April 2008, April 2007, April 2006 and even April 2005 (and almost certainly April 2004 although the stats don't go that far back) ?

http://www.creditaction.org.uk/june-2009.html

Dan:_4

I worked it out the other night that I currently owe 27K on credit cards :eek:
Luckly, I have the funds to settle up tomorrow if I wish.

pickles110564

kennyboy66 wrote: »

Amongst the pearls of wisdom posted here have been the following.

1) People are paying their mortgage on their credit card
2) There will be massive write offs by the banks for all the credit card debt that cannot be repaid.

If these are both true, then why do "we" owe less on our credit cards now than in April 2008, April 2007, April 2006 and even April 2005 (and almost certainly April 2004 although the stats don't go that far back) ?

http://www.creditaction.org.uk/june-2009.html

Thanx Kenny, another quality post.
This is good news for everyone.

pickles110564

Dan: wrote: »

I worked it out the other night that I currently owe 27K on credit cards :eek:
Luckly, I have the funds to settle up tomorrow if I wish.

Dan, for creditwise people like yourself this is no problem however what worries me are the people that are not that savy and just keep getting themselves deeper and deeper in debt.

Dan:_4

pickles110564 wrote: »

Dan, for creditwise people like yourself this is no problem however what worries me are the people that are not that savy and just keep getting themselves deeper and deeper in debt.

Spot on, it worries me also.

EDIT: My Sister is a prime example of this - she blows here wages in the first 2 or 3 weeks then gets through the rest of the month using credit cards. No plans on how she will ever pay back this money - and will she listen to me - not a chance.

JonnyBravo

Dan: wrote: »

Spot on, it worries me also.

EDIT: My Sister is a prime example of this - she blows here wages in the first 2 or 3 weeks then gets through the rest of the month using credit cards. No plans on how she will ever pay back this money - and will she listen to me - not a chance.

Women eh??

Generali

kennyboy66 wrote: »

Amongst the pearls of wisdom posted here have been the following.

1) People are paying their mortgage on their credit card
2) There will be massive write offs by the banks for all the credit card debt that cannot be repaid.

If these are both true, then why do "we" owe less on our credit cards now than in April 2008, April 2007, April 2006 and even April 2005 (and almost certainly April 2004 although the stats don't go that far back) ?

http://www.creditaction.org.uk/june-2009.html

I think that people have been paying the mortgage on the credit card in the States.

As so often happens, people get excited and translate the news to the UK despite the absence of any actual evidence (journalists have been known to do this too - take something happening in the US, find an annecdotal example in the UK and handily forget that annecdote isn't data, it's a datum point).

StevieJ

Generali wrote: »

I think that people have been paying the mortgage on the credit card in the States.

As so often happens, people get excited and translate the news to the UK despite the absence of any actual evidence (journalists have been known to do this too - take something happening in the US, find an annecdotal example in the UK and handily forget that annecdote isn't data, it's a datum point).

I don't think they would let me pay my mortgage on my credit card, too small an amount

Really2

StevieJ wrote: »

I don't think they would let me pay my mortgage on my credit card, too small an amount

I thought you were only aloud to use debit cards to pay debt not credit cards.

I paid off my Argos card yesterday as it was coming to the end of the interest free period.
They would only accept debit card.

Dan:_4

Really2 wrote: »

I thought you were only aloud to use debit cards to pay debt not credit cards.

I paid off my Argos card yesterday as it was coming to the end of the interest free period.
They would only accept debit card.

You can't pay a credit card with a credit card (unless you do a balance transfer), but some mortgage products allow credit card payments, often with a fee.

Really2

Dan: wrote: »

You can't pay a credit card with a credit card (unless you do a balance transfer), but some mortgage products allow credit card payments, often with a fee.

So it would not be wise to do sow as surely the alarm bells will be ringing at the mortgage company then.

I did a quick read up on wiki (OK so it most probably wrong) and you are right it seems that most won't take them and if they do they charge a fee.