What happend to personal responsbility?

[Apostrophe Spacemonkey]

http://www.nzherald.co.nz/personal-finance/news/article.cfm?c_id=12&objectid=11500706

She applied for and got a credit card with a limit of $500 and within a year or so she excitedly told me the bank had sent her an unsolicited letter increasing her amount to $10,000.

I was horrified, but fathers know nothing to teenage daughters, and I sneaked into her room and watched the balance grow to $10,000 over a couple of years. My father passed away and I gave my children $10,000 each and she paid off the bank.

She spends 10,000 on a credit card and they blame the bank? Don't go blaming the bank. I think people need more personal responsibility. It's a persons own decision to get a credit card in the first place, and it's their decision to accepts the banks offer to increase the limit (in my experience if a bank sends me a letters asking if I want an increase and I don't respond, they will leave my limit as is). And most importantly, it's a persons own decision to spend that money.

Guy needs to teach his daughter about money.


And this is worse.

A friend of mine was much smarter. His daughter went to university, got the credit card with a $500 limit, and the bank then increased this to $10,000. She had no job.

She hit the limit of $10,000 and the bank demanded repayment. My friend was alerted to his daughter's plight and he told the bank to "bankrupt her, and she will be out of bankruptcy in a couple of years, and a good lesson to both of you".

How the hell is that "smarter"?

[toofast]

I also find it fairly hard to believe a bank would allow a 10k limit on a card where the person had no job.

[Retardobot]

I also believe that it should be made harder for minors to have such easy access to money that there is no way they can pay back.

[Xenolightning]

My tolerance for stupid is really low, this would be well under that tolerance.

Maybe the parents should have taught their children about how money in the real world works...


There is a point of view that the bank shouldn't be doing what they are by offering increased credit limits, but it's like saying "do you want fries with that?"

If I wanted to make money in lending, and was a heartless cunt, I'd do the same thing. We all probably would, the only thing stopping us is a conscience.


#StopTheStupid #Educate

[Apostrophe Spacemonkey]

Maybe the parents should have taught their children about how money in the real world works...

Their children were taught a lesson. If you have money problems, your Granddad will always be there to help you out, by dying.

Second lesson is, if you owe the bank lots of money, "threaten" them with bankruptcy. That's bankruptcy for yourself, not the bank.


Those kids are going to do well in life.


Also, I don't understand why he was sneaking into his daughters room.

[Apostrophe Spacemonkey]

However, I do think there should be a personal finance class taught in high school, which is compulsory.

Covering topics like Income tax, interest, personal loans, credit cards, mortgages, budgeting etc.

[DarkVirus]

However, I do think there should be a personal finance class taught in high school, which is compulsory.

Covering topics like Income tax, interest, personal loans, credit cards, mortgages, budgeting etc.

Agree with this.


I left school knowing how to math and england.


But doing taxes, mortgages etc. was something i had to learn the hard way, and often it seems like a waste of time until you understood it alot better than 'You just sign up to buy a house, then slowly pay the bank off'

[The Demon Lord]

All I am going to say on this is that recently a Bank with whom I have a Credit card, I noticed a new Credit Card on my account appear one day.

Cue one phone call to the bank

"Who has authorised this new Credit Card"
"Oh we have a deal with a CC company, we are moving to use exclusively their CC, so we are setting this new one up and trasnferring the balance"
"Like Fuck you are, I did not request this, I don't want this, Don't touch or make changes to my account without my authorisation"
"but wouldn't you like to he..."
"No. Cancel it, put my account back the way it was"

Whilst the people may have been silly, I take a dim view of the banks changing your account details without your permission, this IMO comes under this and so the Banks have a massive part to play in this.

[Apostrophe Spacemonkey]

I've had credit cars with both ANZ and Westpac, in both cases they offered me a limit increase, but it will still my decision to accept it. They would not raise it without my agreement.

I assume other banks work the same. I'm pretty sure in this case the daughter would have had to accept the limit increase. (correct me if I'm wrong)

You can also ask to decrease the limit anytime you want.

[Tiwaking!]

My credit card limit is $500. The bank sent me the letter saying they would increase the limit to $10,000 but I went to the bank and told them "No". In fact, I didnt even want a credit card but it came free with the ANZ student pack thing that they were promoting at the time.

Recently I got a letter saying I can get a personal loan for anywhere from $1000 - $100,000.
What kind of monkeys run banks these days?

[Xenolightning]

What kind of monkeys run banks these days?

Space.

[Apostrophe Spacemonkey]

My credit card limit is $500. The bank sent me the letter saying they would increase the limit to $10,000 but I went to the bank and told them "No". In fact, I didnt even want a credit card but it came free with the ANZ student pack thing that they were promoting at the time.

Recently I got a letter saying I can get a personal loan for anywhere from $1000 - $100,000.
What kind of monkeys run banks these days?

What's wrong with that? They're a bank, credit cards and loans are the products they sell.

Would you be offended if you walked into a shoe store, and someone tried to sell you a pair of shoes?

[The Demon Lord]

My credit card limit is $500. The bank sent me the letter saying they would increase the limit to $10,000 but I went to the bank and told them "No". In fact, I didnt even want a credit card but it came free with the ANZ student pack thing that they were promoting at the time.

Recently I got a letter saying I can get a personal loan for anywhere from $1000 - $100,000.
What kind of monkeys run banks these days?

What's wrong with that? They're a bank, credit cards and loans are the products they sell.

Would you be offended if you walked into a shoe store, and someone tried to sell you a pair of shoes?

No, its more the fact that you have a pair of shoes, they then send you a pair of designer shoes without your authorisation and then charge you for the wear and tear.

I'm not saying the students aren't muppets in this case (they are) they should have like Tiwa told the banks to Piss off, but the banks are also partially responsible

[Zarkov]

Nothing wrong with having a high limit, just don't use it, I've always accepted any increase.

You never know when you may need some quick bridging finance, and a platinum card gives you good reputation in all sorts of situations.

[Apostrophe Spacemonkey]

You never know when you may need some quick bridging finance, and a platinum card gives you good reputation in all sorts of situations.

And you'll achieve that sense of stature, as your influence expands.
To the high financial strata, that established credit now commands.

[Retardobot]

My credit card limit is $500. The bank sent me the letter saying they would increase the limit to $10,000 but I went to the bank and told them "No". In fact, I didnt even want a credit card but it came free with the ANZ student pack thing that they were promoting at the time.

Recently I got a letter saying I can get a personal loan for anywhere from $1000 - $100,000.
What kind of monkeys run banks these days?

What's wrong with that? They're a bank, credit cards and loans are the products they sell.

Would you be offended if you walked into a shoe store, and someone tried to sell you a pair of shoes?

That is a silly analogy/comparison. Shoes can't bankrupt you if you make an ill informed choice. Hannah's wont send a pair of shoes to you saying "we're giving you these shoes, you'll have to give us back better shoes to repay the cost of them".

What has become apparent here is that the younger folk don't have enough financial understanding to be able to look at a CC and say "nah, that's dangerous". I personally believe that credit cards should not be so easily accessible by under 20's.

[Tiwaking!]

My credit card limit is $500. The bank sent me the letter saying they would increase the limit to $10,000 but I went to the bank and told them "No". In fact, I didnt even want a credit card but it came free with the ANZ student pack thing that they were promoting at the time.

Nothing wrong with having a high limit, just don't use it, I've always accepted any increase.

You never know when you may need some quick bridging finance, and a platinum card gives you good reputation in all sorts of situations.

True.

But if you need the bank to increase the limit then you can go and ask them. Its not hard. The problem I have is that it appears the banks have a franchise wide policy of automatically increasing the limit regardless of who owns the credit card.

Recently I got a letter saying I can get a personal loan for anywhere from $1000 - $100,000.
What kind of monkeys run banks these days?

What's wrong with that? They're a bank, credit cards and loans are the products they sell.

Would you be offended if you walked into a shoe store, and someone tried to sell you a pair of shoes?

[Apostrophe Spacemonkey]

But if you need the bank to increase the limit then you can go and ask them. Its not hard. The problem I have is that it appears the banks have a franchise wide policy of automatically increasing the limit regardless of who owns the credit card.

Odd, my Bank has never increase my limit unless I agree to it. The letters I get always states that they will do nothing unless I response and accept the limit increase (either by post, or online). It's easy sure, but still my decision. I would be interested in hearing if people have had their limit increase without their authorization.

However I do agree, there should probably be stricter rules around offering credit limit increases to minors. But education regarding how money and credit cards work is the best thing, and there's not enough of it. I assume many parents don't teach their kids about this stuff because they don't know themselves.

[Xenolightning]

Nothing wrong with having a high limit, just don't use it, I've always accepted any increase.

You never know when you may need some quick bridging finance, and a platinum card gives you good reputation in all sorts of situations.

Platinum Master race

 

[Retardobot]

I would love schools to implement a 'life skills' curriculum. Basic stuff like car maintenance, taxes, budgeting, shit even things like nutrition; home economics doesn't properly teach healthy eating habits, handing out a stupid photocopied worksheet of an outdated food pyramid does not teach an understanding of nutrition.

[Pigdog]

home economics doesn't properly teach healthy eating habits,

The economics of eating?

[Xenolightning]

I would love schools to implement a 'life skills' curriculum. Basic stuff like car maintenance, taxes, budgeting, shit even things like nutrition; home economics doesn't properly teach healthy eating habits, handing out a stupid photocopied worksheet of an outdated food pyramid does not teach an understanding of nutrition.

How to create user accounts on PC's to secure data.

[Pigdog]

Something tells me that you're rustling RI's jimmies.

[Retardobot]

Yeah, it's pretty cute. Poor fella.

[420fairy]

Wow! Admitedly yes some banks are little too trigger happy pointing the debt gun.
At 16 and without even asking Westpac gave me two cheque accounts with $500 overdraft limits on each account. That was at 16.
At 17 they tried to give me a credit card - I laughed and went no damn way thanks

Im 35 now - I have never ever had a credit card, I do own a debit card. What i own is bought cash outright. I save or pay shit off. I know I am very irresponsible when it comes to money and a credit card is way to easy to get carried away with.