What's up Sheem
Credit cards is just like drugs, after one use of it, you'll be hooked. Credit cards can destroy your life, if you don't know how to use them. I call them debt cards, cause over 95% of people today are in debt to $2000 to $1,000,000 bucks, and that's no joke.
The first words you will say if you get a credit card is
"I can handle it, I'll just pay it off little by little". Before you know it, you'll be buying things all the time. Then you'll become
a cyber slave to that credit card company for years. These credit card companies know that most people can't afford nice things. They make it so easy for consumers to purchase what they want now, and pay for it later. You got that right, your going to pay for it later, big time.
Have you ever wonder why they recommend that you pay only the minimum payment on your balance? Cause they want to keep you in debt as long as possible man.
Want to know why they ask how much money you make in a year? They ask this question so they will know how long it will take you to get out of debt, if you have to payback like $5,000 buck. If they know you only make $27,000 a year, and your in debt to like $5000 buck, your in big trouble man.
For example: If you make $27,000 a year, let me show you how this all works.
Out of your $27,000 you have to pay rent or house mortgage, food bill, home phone, cell phone bill, cable tv bill, car loan bill, school loan debts, internet service, children bills, child care, hospital bills, plus clothes for you and your children and more. Not only that, but you have to pay your light bill and gas bill to. Your car is going to need gas also, cant forget that. I almost forgot, your going to need a lot of furniture for your new crib. Now lets add all this stuff up and see what we get.
Apartment Rent at $800 a month = $9600 a year.
Light Bill at $100 a month = $1200 a year.
Gas Bill about $600 for the year.
Home Phone Bill $95 a month = $1140
Cell Phone $110 a month = $1320
Monthly food bill $600 a month = $7200
Car Loan $350 per month = $4200
School Loan debt of $15,000 $100 per month = $1200
Clothing bills $450 per month clothes for yourself = $5400
Mc Donald's #1 with large fries, that you buy everyday $5.00 a day = $1825 a year.
Cable TV Bill $70 buck a month = $840 a year.
All that will cost you over $34,525 for just that year. Notice, You went over your $27,000 a year pay, now your in trouble.
I'm going to stop with just that. If you notice, I did not add the cost of childcare, hospital bills, clothes for your kids, if you have any, furniture for your new apartment. We did not even get into the recording gear you would like to have in your home studio. So, lets say you got your new card with a credit line of $3000, and max the card out on recording gear. You will be in debt for a long long long time. Now your credit will be ruined because of late payments, and you will remain a cyber slave for the next 10 to 15 years.
The above example is a problem many people face today, but they act like they have no problems. Some people will look like they have it all, but their in debt big time. Some people have like 10 to 12 credit cards max out, and have $70,000 of credit card debts. Also, those 12 month interest free plans are all traps to get you in debt. They want your money now, these companies can't wait for you to save money for gear, cause they know you don't have no money to save in the first place.
Why do you think these companies give these credit cards to young people in high school and college? Cause they know you have to pay off a bigtime school loan. So they trap you now, while your young and fresh with a student loan. Just like slave owners did in the pass to my black people, they get you while your young. Sorry for the long post man, but it's the truth. I'm not saying don't get a credit, but use it wisely.
It's your choice.
Peace.
Ringo
