The next crisis

[expat]

Credit card companies.

They depend on people paying their card bills, but not paying them off. If too many people pay them off or don't take on new debt, their income drops. If too many people default, they lose.

Both will happen a lot more soon. All those people putting it on the plastic and covering it from Home Equity are on the point of dramatically changing their ways. Everybody else is rightly scared by the credit crunch into not taking on so much debt. Those who don't buy a new house because they are waiting for a price drop, are also waiting before dropping 5k at IKEA on the plastic. And finally, those marginal customers that even the credit card companies will now reject, will perforce not profit those companies any more.

[sasguru]

Indeed. Although given their usurious interest rates, I would suspect profits would fall rather than they would go bust.

[Incognito]

And they're restricted to charging £12 for penalty charges now.

[NetwkSupport]

Everybody else is rightly scared by the credit crunch into not taking on so much debt

In my wife beauty salon credit card payments for treatments are up 60% since february.....perhaps there is a lack of available cash that is still fuelling borrowing

[Ruprect]

There was an advert on facebook recently for a card with 39.9% apr

Jeez you'd need to be desperate to go for that. Wonder if they use their profits to buy baseball bats

[rootsnall]

Jeez you'd need to be desperate to go for that. Wonder if they use their profits to buy baseball bats

Things have moved on from baseball bats !

A mate who runs a firm that supplies builders was telling me one of the services offered by his 'security' man he employs occasionally was to have the debtor 'bummed' if they don't pay up.

[Spacecadet]

There was an advert on facebook recently for a card with 39.9% apr

You know how those facebook ads work don't you?

They use your facebook login info to credit check you, then find the best deal going which you can apply for.. these are the adverts you see

[Bob Dalek]

Things have moved on from baseball bats !

A mate who runs a firm that supplies builders was telling me one of the services offered by his 'security' man he employs occasionally was to have the debtor 'bummed' if they don't pay up.

An interesting and insane policy, yet likely to win favour with the Plain English Campaign.

[Bob Dalek]

There was an advert on facebook recently for a card with 39.9% apr

Jeez you'd need to be desperate to go for that. Wonder if they use their profits to buy baseball bats

My first car was on 25%!!! Well, I was 17 and no credit history... bastards!

[chef]

There was an advert on facebook recently for a card with 39.9% apr

You know how those facebook ads work don't you?

They use your facebook login info to credit check you, then find the best deal going which you can apply for.. these are the adverts you see