Credit Cards: The Business of Enslaving Poor People

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[@jaketran]

Sign up for Extra with our link extra.app/jaketran and start building your credit with a debit card--yes a debit card. 😈 Watch exclusive 40+ minute documentaries that too controversial to ever be released to the public: jake.yt/join 📹 Take a peak at all the private documentaries here: jake.yt/hidden-vids

[@Parras...]

Bruh

[@fireflymiesumae]

How do I sign up for your hidden videos

[@Parras...]

@@fireflymiesumae no

[@0akland510]

Have you ever tried covering Mexican Cartel finances and supply chain logistics? It’s like the black market version of Amazon and Meryl Lynch 😂

[@copecopter2118]

@@fireflymiesumae you join his KZbin channel you have to pay

[@flibbernodgets7018]

When I was young, maybe 9 or so, there was a video game I wanted to buy but didn't have the money for. My dad was like "hey, this would make for a great object lesson about credit cards! I'll buy it for you, but you have a month to pay it off and if you don't, you have to pay interest AND I take the game away." Of course, I agreed. My allowance was set up so I would get money per extra chore I did, and I was supposed to set aside 50% of whatever I earned into a savings account, and I was supposed to record it all like you would balance a checkbook. Well, after a month of playing the game a lot instead of doing chores I hadn't earned enough to pay off my dad, but I really didn't want to lose the game so I fudged the numbers on my record, taking money out of savings to exactly pay off the credit. My dad of course saw right through this, took away the game and added fraud/embezzeling to the credit card debt lecture. However, the lesson that debt could spiral away from you, make you make poor decisions, and lead to the loss of your property stuck with me, and that was the only time I ever paid interest on a credit purchase.

[@Bongobongobongobongo]

You have a great father. Give that man a firm handshake for me.

[@flibbernodgets7018]

@@Bongobongobongobongo yup, he's a pretty great guy.

[@MrVee24]

You had a great dad really :)

[@Gamesational1]

If it was a pc game, you could pirate it.

[@HughJass-jv2lt]

What was the video game? 🤣🤣

[@bad_money]

Also the quote that “you think you’re going to beat the credit card companies that study your behavior more than YOU study your own behavior” is now permanently etched into my brain.

[@denisl2760]

There's really not anything complicated about it, lots of people beat credit card companies. The math is simple. What's not simple is the psychology. The impulse buys is where they get you.

[@polyfloralhoney]

I just keep track of my credit usage for the month against my checking account. Also pay for everything in full and avoid payment plans

[@ghanaria7996]

I just use auto payments to pay in full for no interest, and since i have the money to pay everything off, I don’t have to worry about when payments are due.

[@jgw9990]

@@denisl2760 Not really. Studies show that on average people spend more with credit cards - even if you don't pay the card companies anything you've still ended up spending more than you would do normally so you've lost.

[@denisl2760]

@@jgw9990 "On average" yes you're right. But that doesn't mean that everyone is spending more. Some people can control their spending and only buy what they need.

[@MichaelSalo]

Getting into debt is one of the worst things I ever did; and getting out of debt is one of the best things I ever did.

[@NazriB]

Lies again? Change Cars USD SGD

[@andreathompson-bg4hl]

Me too

[@robbyrdog]

When I was a kid our church held classes with teens about the dangers of debt. Thank God I was taught at a young age and avoided these scammers.

[@bharatsadhnani4370]

Oh man I'm studying finance I hope people can make poor decision so I can make bank. But to be honest I feel horrible for people trapped in debt.

[@Primaeva]

Thank the Church!!

[@marlonnassajpoor3560]

@@bharatsadhnani4370 same

[@Rubenss1234]

There is nothing wrong in debts, right now with inflaciol flying high takin a comon (atleast in europe) 0% loan on a small agd/rtv can even Save u money

[@vodkaboy]

@@bharatsadhnani4370 "I hope people can make poor decision so I can make bank" people like you are the reason we're getting closer everyday to hell on Earth. glad you're almost aware of your role.

[@bad_money]

“There are two ways to conquer and enslave a nation. One is by the sword. The other is by debt.” ― John Adams 1826

[@SimGunther]

Or pretend that people on the Lolita Express will get their due but never actually punish them and seal documents that reveal who's on the Express

[@123Mathzak]

@Mike Rauch Fun fact: Jesus called the Pharisees practitioners of usury. It’s one of the biggest reasons why he was crucified.

[@jgw9990]

@Mike Rauch There are a lot of scum out there.

[@b2crazyeye]

@Mike Rauch cool it with the antisemitic remarks.

[@riwjin]

why not both then?

[@0akland510]

Credit Cards are like alcohol. A little bit with responsibility can result in a good time and fond memories. Too much will result in headache, regrets and a blurred memory 😂

[@michaelh13]

Bad example; a 2018 meta-study found that there is no healthy amount of alcohol, which means using that analogy would mean there is no healthy amount of debt

[@0akland510]

@@michaelh13 You sound like a fun person to be around during a party XD

[@0akland510]

@@michaelh13 also please include an actual resource to such a study instead of making broad generalizations. For hundreds of years humans have consumed alcohol, yet our average life expectancy has only increased. If alcohol presented such a problematic health hazard than no medical device, method or practice could reverse it's damaging effects. Yeah you are full of BS my dude XD

[@CA-ly7my]

@@michaelh13 remind me to not include you in my blunt rotation

[@michaelh13]

@@0akland510 Read the lancet paper, I've linked it twice and yet has been deleted. Also; "For hundreds of years humans have consumed alcohol, yet our average life expectancy has only increased", learn the difference between correlation and causation. Equally, humans used the drink much more in the past, weak beer was drank in lieu of water due to the bacterial footprint in unfiltered stagnant water.

[@jayjay9932]

This is so true. I work in credit card customer service and the people paying for interest are people with small income. I've talk to people crying over the phone about the debt on their cards. Customers paying cards with minimum payments every month for years and the balance hardly goes down because half of what they paid goes towards the interest, and the ones with more money are able to pay in full every month avoiding interest and they are also the one's with the lower interest. I just feel bad to people especially the old folks who are basically using social security money to enrich big banks, poor people, indeed a vicious cycle.

[@godofdeath8785]

Thats why i am poor and i glad i realized early that family bs i will never have it i better will have good friend, my parents annoying me as well and majority of people

[@ITRIEDEL]

People blaming the credit companies on their “enslavement” with a 4K 60 inch TV, brand new living room furniture set, a shiny new car, a new bed set, 100 empty Amazon boxes and daily food delivery is comical.

[@robertfitzpatrick1943]

The issue of usury has been a societal problem for centuries, credit cards are just the modern version. Most credit companies are charging exorbitant interest rates, and most people I know aren't using their credit cards for that. They're using it for medicine, or to cover a bill that their income doesn't cover, or for the groceries they need. Your anecdote is a straw man fallacy.

[@haveyouseengeorgehennen]

@@robertfitzpatrick1943 that's the problem people use credit cards as if it was "extra income" if you can't afford medicine, bills or even groceries you have to find a way to make more money not just borrow to pay, if so your already failing miserably in life because you're depending on a credit card which means if it wasn't for it basically they wouldn't eat or even have a place to sleep, which creates necessity and pushes you out of your comfort zone and income, only a few will understand that, and realize that most successful rich people stories start after they hit rock bottom.

[@robertfitzpatrick1943]

@@haveyouseengeorgehennen That last statement is blatantly false, every currently successful billionaire had all of their startup capital handed to them. Your response here shows a gross misunderstanding of the current economic situation for the vast majority of people.

[@haveyouseengeorgehennen]

@@robertfitzpatrick1943 alright maybe i spoke on that without having current knowledge of every billionaire, but my point is you can't blame the bank for loaning you money to pay off bills that your supposed to be able to handle on your own, nobody just gets a credit card handed to them, they have to apply for it, similar way you apply for a job or an apartment, you have full control of your decision whether you take it or not, there's to many options to just stay in the same position and situation. Edit: and i meant rich as in more reasonable figures like people who make 250-500k a year not billionaires obviously those people had way to much connections and power than the average person can have.

[@CurbHopper111]

@@robertfitzpatrick1943 Billionaires are not the only rich people. There's a study that found most millionaires today are self made and came from a poor or middle class background.

[@justindchaney]

I think it’s more depressing to realize most people know that they shouldn’t buy something they can’t afford, yet they do it anyway.

[@sotch2271]

Yk a lot of these don't do it because they want but because they need it Single parent family People with physical disability Or people with addiction that ruin them, like gambling smoking or drinking wich are really high priced when you know most of the addicts are from the poorest of the country People with illness (the cost in the US of medical stuff is a joke, you would never see that in another country) Or people in area with high unemployement

[@taxthesocialist2602]

It's human nature, not capitalism. Those uneducated and retarted idioits who think otherwise clearly have never spent time with people.

[@ryno4ever433]

Yea, imagine if you had no money but you needed life saving medicine for your disabled aunt. What's depressing is being placed in that position.

[@BranFlakes294]

Let's not forget that there's another reason people are more likely to use credit cards, the cost of living has increased drastically over the years and inflation of a fiât currency which decreases how far you can stretch what you do have. Everyone I know including myself has their debt because of things that were necessary like bills,food,rent, medical expenses,fill in the blank and we used credit to supplement whatever pittance we were making at our jobs atthe time. I can't think of a single person who has debt solely because they just had to have the latest handbag or whatever the stereotype is nowadays... You pay off smaller balances but still have larger ones. It's a start and that's all most of us can do if we're lucky especially nowadays.

[@Zyphera]

That's why the separation of pleasure and pain to different times is so dangerous.

[@xdbbe123]

I like how "Not spending money you don't have" becomes a neat trick that you learn

[@mpirokajosephmgcokoca2355]

Well said 👏

[@miriamllamas224]

I learnt that by watching my parents. It was well engraved in my brain when I was first introduced to cc.

[@jons4745]

Show me your checkbook and I'll show you your priorities.

[@zacharybenard1076]

I work as a debt collector…. I feel incredibly bad for the people that get entangled in this shit. Whatever I offer them for a payment option only has the company’s advantage at heart. Ask me anything, I’ll try to respond

[@jameswalsh5683]

do you have a cc and if so how do you use it?

[@dopatonin]

No one cares that you’re a debt collector

[@zacharybenard1076]

@@dopatonin you care enough to respond?

[@Pactastic042]

@@dopatonin why not it's a neat Job... I care

[@blake3376]

Ill pay you 25$ for that 350$ gym membership that’s in collections. Deal? . No but on a serious note what’s the salary for a job like that? Do you get commission or per hr?

[@deleted72636]

The Bible says in Proverbs: "The borrower is slave to the lender".

[@joshwingate1717]

Jake has to have 40 people in a sweatshop working on these videos non-stop in order to match this type of output and quality

[@cobraheli8444]

rumor is one of them may be over ten years old

[@jonjack5819]

Hes gonna have to make a video about his own channel lol

[@John-yx8px]

the most evil youtuber in the world 😂😂

[@princeofthehills3259]

A lot of KZbinrs surprisingly have team

[@xzxmemoxzx]

Really isn’t hard to do lol

[@Thebreakdownshow1]

Jake what drug are you on? (Speed) because I can’t keep up with your pace as a creator lol ever. Keep up the good work.

[@Parras...]

Cocaine

[@TheAmericanCatholic]

@@Parras... He has a massive adderall prescription

[@d3fc0n_]

it’s called December, the ad rates are insane. be back to less posting as soon as January hits

[@Parras...]

@@TheAmericanCatholic ah I see

[@corylowe5557]

Don't get burnt out

[@melodramatic7904]

Living overseas really opened my eyes to how crazy credit card debt is in the states. When I lived in Japan, my credit card would automatically withdraw the entire balance that I owed every month. If I wanted to buy something big that I couldn't afford to pay off at the end of the month, I could set up installments at the cash register. For example, I bought a really expensive refridgerator and, at the register, I told them I wanted to pay it off in two installments. So they punched some keys on thei register and I swiped my card. Italy is somewhat similar in that the entire balance is automatically withdrawn from your bank account at the end of each month. I don't think you can pay in installments like in Japan but I could be wrong. In that way they feel more like charge cards than credit cards, but it's also impossible to get into these type of debt traps.

[@33nyx]

so would that be auto debit or direct debit

[@FoxyBoxery]

Well in Europe, credit card do withdraw balance automatically, however it’s still possible to end up in a debt trap if you’re reckless enough

[@iamsean92]

you can do that in the US.

[@iamsean92]

that is just autopay

[@iamsean92]

you can always set up automatic full payment

[@RaleighLink]

Best decision I ever made was getting rid of all of my debt, closed all of my credit cards, paid my car in full, saving up to buy a house in full. The problem is not living within your means, people need to stop going into debt for things they can’t afford.

[@PuineaGip]

no, people need to go in debt for things they CAN afford, both diving into and avoiding debt is illogical

[@KaiserNightcoreMusic]

@@PuineaGip if they CAN afford, they don't need to go in debt, and if avoiding debt is illogical, then it is the first illogical thing that i've seen working just fine.

[@PuineaGip]

@@KaiserNightcoreMusic being able to afford it doesnt mean you have the cash for it......

[@debbieanne7962]

Saved up to buy my house in full. Here in Melbourne or Sydney you'd need to save 1 million dollars. Housing in Australia is insanely unaffordable

[@XanderROK]

​@@PuineaGip100% it's not all about how much money you have on hand it's how fast money comes in.

[@kentuckyfriedchildren5385]

The issue with credit cards for some people, is the lack of understanding of interest. Like when you buy something with planned payments, to some people it seems they are paying less since they see a smaller number, when actually you're paying for the product itself in full + whatever interest. The same goes for credit cards, don't buy anything you can't already afford, don't miss payments and you'll be fine. The only time you should take on debt of any kind is when you have no other choice, like buying a house or car, since you can't pay in full, the only way is with planned payments.

[@mustafahafeez411]

Argument I’ve been made aware of is it’s better to borrow money than using your savings. That’s assuming your savings have much more earning potential then spending it. (This obviously assumes you have a good way to grow that savings as debt is cheap)

[@averagegymenjoyer]

@@mustafahafeez411 I work for one of the biggest banks in the world. We have insane interest on credit cards and short term loans. We are using poor people who have no idea of economic fundamentals and we design our conditions exactly how this video showed. Don’t finance your consume expenses via credit. Although I personal finance my investments in realestate and businesses via bank loans. The difference is that I have more Cashflow incoming than leaving my balance.

[@mustafahafeez411]

@@averagegymenjoyer Thanks for clarifying that point. Hadn't realized I made it sound like I support CC debt. I don't. I was referring to taking out loans against large expenses (such as an emergency). Specifically, to generate cash flow as you've mentioned you do yourself.

[@yudhiadhyatmikosiswono9082]

Agree, i am late in 30 and most of my friend are financially illiterate. Now almost all my friend have more credit card debt and they live work just only to pay it. Small portion of my friend know about financial or learn it hardway and now already redeem their debt or almost have zero debt. I don't know about younger generation today but i heard they have credit card even they are just high school or early in college for some reason.

[@mustafahafeez411]

@@yudhiadhyatmikosiswono9082 Isn't that super shady. Selling to high school/college students because they're most likely to default. How is that NOT infuriating and how is that legal...I'm not surprised it's legal.

[@FlorianWendelborn]

You’re unfortunately missing the big picture on this one. The reason you can get rewards "for free" is because the credit card company charges the company you buy from transaction fees using their credit cards. This means that they’re still making massive amounts of money off of your purchases. The more people that use credit cards, the higher the fees these companies get charged, and that gets reflected in the prices you pay for goods. You’re effectively distributing the burden of paying for your rewards on everyone, including yourself by using a credit card. Yes, a single person doesn’t make much difference and from a purely egoistical perspective it’s a good decision, but if you see the big picture then credit cards are nearly never a win-win situation.

[@nevisysbryd7450]

A falling tide lowers all ships.

[@vitsadelhole]

Well seeing as 90% of businesses don’t discriminate between card and cash your costs are off set

[@dagl8]

@@vitsadelhole Maybe I misunderstand Florian or your point, but isn't the whole point that since they don't discriminate between card and cash, and card leads to fees for the company, then using a credit card basically raises the price for everyone, including people that do not use the credit card. Thereby credit card use is increasing the price for people that don't?

[@YaYousef5]

@@dagl8 Yes. It raises the prices for everything and for everyone.

[@vitsadelhole]

@@dagl8 it increases the price for everyone meaning it increases the price for you less as you are being subsidized by others, though in reality its vastly vastly decreased the cost of literally everything by simplifying payment methods and lowering the amount of staff needed to run registers and by allowing businesses to scale in way previously unfathomable

[@sgonged]

I am 80% done paying off my debts. Some credit cards I have had for 15+ years!! I have paid thousands in interest I could have used to BUY what I needed but I had to use a credit card because I had debt. The lesson I hope ANYONE reading this is ...never borrow money.

[@royvirafayet6687]

How did you get so much debt

[@sgonged]

@@royvirafayet6687 Debt makes more debt. If you have to borrow money then you don't have money meaning you now have less money. In the event something else comes up now you have to borrow more money at a higher rate because you are now a risk.

[@badoing7390]

Most people bragging about having loads of credit cards and never paying interest then enjoying lounge access etc, are only one financial tragedy away from not being able to meet those payments, and then are only 3 - 6 months away from being in unmanageable debt.

[@AskSebby]

Thank you for having me in the video! :) Time to redeem some credit card points ✈💳

[@qlus]

🗿

[@theholydoge7616]

Gamer

[@Marinealver]

Congratulations, you can get a half a one-way ticket from LA to San Diego.

[@jaketran]

Glad to have you on bro 😎

[@WishySissy]

Love you Sebby! I’ve been following you for years! 🥰.

[@nosferatunoir2740]

Honestly, hearing horror stories about credit card debt makes me appreciate growing up with an accountant as a mother. My dad pretty much entrusted her with his salary and the budget of the family, and I've seen her work her magic with investments, credit card payments and other incredible smart moves with trading currency. I pretty much begged her to teach me how to build an excel sheet like the one she uses as well as some other advice she could give me and have never made a dumb decision with money in my life!

[@randomlygeneratedname7171]

Sounds like a recipe for a household in the millionaire brackets.

[@nosferatunoir2740]

@@randomlygeneratedname7171 Thank you! Honestly, with all the tools and knowledge they've given me I feel like I'd be doing them a disservice if I don't make it big lol

[@alsparkproductions7849]

How do I become a accountant?

[@nosferatunoir2740]

@@alsparkproductions7849 My replies are bugging so I dunno if my previous comments are showing up or no, but basically all you gotta do is study. Either get a degree in finance or law, if that's possible for you, or get into an online course and learn the basics of finance and the law. Either way, I'd suggest you start small as a bookkeeper or an assistant, and you climb the ladder and reach your goals! Whatever you do tho, keep learning! There's always a new law, new software or taxes that you gotta learn. If you keep learning about the area you're interested in, you'll be more attractive to employers and you'll always have an edge over the competition. Good luck! It's never to late to start!

[@rok2383]

One of my dumbest decisions with money is spending over £200 worth on sweets in the last few years. If you ask me, don’t follow that path.

[@AK-kf1om]

The problem is credit card companies target teenagers/college kids that don’t have a sustainable form of income yet but are encouraged to use a credit card to “build their credit”. This coupled with a general lack of financial education and awareness, means more people end up in trouble before they truly understand what they are signing up for. I don’t agree with using credit cards “for the perks” because those perks are paid for by the insane interest and fees stacked on the those with a revolving balance. It’s a terrible business model I don’t think people should support at all.

[@myheartiswriting]

After watching my ex step"father" accrue debt like it was a kind of compeition, teaching me that finanical abuse is absolutely a thing (getting credit cards in my moms name without her knowledge, stealing my disablilty while I was in a mental insitiution, getting our childhood home foreclosed on, trapping my mom by trying to force her to be responsible for his college debt, you know, the little stuiff) plus all the typical horror stories brushed upon in this video, I have developed a deep distrust in both credit card companies and the majority of the human population to appropriately manage themselves pertaining to credit cards. Some of that is projection, of course. I myself am self aware enough to never want a credit card.

[@rogergeyer9851]

Why blame the credit card companies for your father's bad behavior? And good for you that you realized your behavior can influence outcomes, and I'm sorry you were unfortunate enough to have a father who did that stuff.

[@chancerobinson5112]

“There is no price too high to pay for the privilege of owning yourself.” - Friedrich Nietzsche

[@NdifonNtui]

One benefit of being in Nigeria. Your only option is a debit card. If you want something, you work for it. This would destroy alot of people if it was available in Nigeria

[@chukwumaubanesse6605]

Bro it's slowly entering our country but via so called loan apps

[@favour55]

FCMB has started theirs🤦🏽‍♂️

[@NdifonNtui]

@@chukwumaubanesse6605 we all know only reckless people accept those loans

[@NdifonNtui]

@@chukwumaubanesse6605 like I said, it is already ruining people. Not to talk of the embarrassment of them calling people you might know to talk rubbish.

[@honestman3918]

That’s not a benefit that’s a disadvantage man

[@Amamoo.]

This popped at the right time🤣 I just closed my credit card yesterday and paid all of the pending outstanding amount I had, having a credit card is literally like having a devil hiding in your wallet telling you to buy things you don't even need, I've learned my lesson and I would rather spend my own money rather than a credit card

[@Srcccfy]

Yeah but cancelling credit cards lowers your credit score.

[@dogedude9537]

Just keep a card open and buy minimal expenses you would already pay for and then pay it off in full and get a card with no annual fees, then you won't lose your established credit history on that card.

[@2009polostar]

Why do you need credit? That means you don't have any money. Instead of building credit by barrowing money, start saving money without paying interest and fees by budgeting.

[@rogergeyer9851]

@@Srcccfy: So what? If you don't use credit you don't need it. And if you responsibly use it ONLY when you need it (like for big things like cars and houses), you improve your credit score over time. If you don't waste money, you don't NEED much credit. My father and I never had debt, aside from my one credit card I pay off on time every month (for convenience), and my first new car. People don't "need" a huge credit score. They NEED self discipline re finances far more.

[@jazlyn7590]

If I were to get a credit card, there's this one major rule that I'm planning to follow. Don't use the card for things that you don't have the money for. Like if I wanted to buy a laptop and have the exact money in hand or bank, only then will use credit card to pay for it to build up credit score, make use of the benefits and able to pay it off every month. Of course this may not apply for big purchases like cars but I think might help in reducing or avoiding huge debt.

[@yivunqp963]

Even for big amount borrows. Just have a plan to pay it back and stick to it.

[@sergpie]

Glad I was part of the last class that had a home economics and personal finances course in high school; taught us everything from balancing checkbooks, calculating interest on loans, and how to sew.

[@user-gd7ed1pc7h]

My math teacher would take a class every week to teach us this and it is really starting to show. I’m so grateful

[@Vizulize]

Imagine hearing they're stopping those classes and thinking "this is fine"

[@muhammadshahzaib7057]

My father did that job so glad he did. I just randomly asked him what a credit score is and well he started educating me.

[@miguelito5602]

At our high school we have a consumer education class that mandatory to graduate, we learn about credit cards, budgets, and im pretty sure I’ve heard not to go into debt like 1000 times

[@BalaenicepsRex3]

Not teaching personal finances is intentional in almost every country. Credit as we know it would likely stop existing if all costumers became informed consumers.

[@Motoboo_Marine]

I really wish high schools would incorporate a class on how credit and loans work. Too many people get out into the world and don't really understand this stuff until it's too late, if at all. Some that are aware of the dangers just swear away from them altogether, and don't try to realize the benefits because they think it's too hard to understand. The guy you interviewed said it best. Just like a knife, it's a tool. Yes it can get you into a lot of trouble if you're irresponsible, but if you just follow some basic rules, it can really help you out. I got into the 700's just from using my card to buy gas every month, and always paid it on time.

[@hippybecca]

My parents never used credit and taught me it was horrible. Now I am 25 and can only get a credit limit of $500 because I have no credit history. I should have started earlier but I didn't know any better. It's not like I would have racked up debt either I know how to be smart with money.

[@wclifton968gameplaystutorials]

They don't teach financial education in schools on purpose, mainly because lecturers and head teachers/school CEOs would think that students would find it boring but also because if school students had any proper understanding of economics and especially personal finances then the big banks would see their wealth growth slow down and people would start to rise up against the big financial institutions and the government

[@vitsadelhole]

A lot more high-schools offer these classes than you think personal finance classes that go over exactly this are not all that rare and even better you could just use the internet…

[@white_devil73]

@@hippybecca use your card like cash. Pay it off every day. If you do carry a balance, never use more than 30% of your credit limit. Do this for a few months and your card issuer will up your limit and you'll get offers galore.

[@rocketsmall4547]

ya u wish

[@OroborusFMA]

You're missing the other half of the equation. Since 1980 increases in worker productivity have not been paid back to labor in the form of better wages. It's been siphoned upwards to the rich and ultra rich. But the memory of a true middle class lifestyle is still there and people are using credit to cover what is, in fact, their stolen wage increases. My most recent credit score was 837 (out of 850) and I never pay a penny in interest. Last year I took in over $800 in cash back rewards. Even more this year.

[@randomstuff-qu7sh]

When I did customer service (over the phone) for a credit card company, I talked to quite a few people trapped in that debt spiral. They'd pay the credit card balance down with their paycheck and then immediately take the money out again as a cash advance so they could pay their other bills. Cash advance is probably one of the worst ways you can use a credit card. Not only do you get hit with a fee, but there's also no grace period and the interest rate tends to be higher than the rate for regular purchases. Making the problem worse, that behavior can trigger the security software and cause a hold to be put on the funds for a few days. When these people are counting on being able to turn around and use that money to immediately pay their other bills, that delay of a few days can be very expensive, since they get hit with late fees and penalties from their other creditors.

[@wbmc1]

Credit cards are a great tool when used responsibly -- the best way to treat them is to use them like debit cards. Treat it as your own money, pay it off every month and you'll come out better for it. Also, don't get suckered into spending more because of 'rewards' -- you're still spending money. If you use credit responsibly, it can save you 10s of thousands on a future mortgage or auto-loan with lower rates. Many people don't use them responsibly, however, which is why they end up in huge amounts of debt.

[@1Letter23Numbers.]

I use rewards cards for everyday spending like groceries, gas, phones, insurance, etc. I get the rewards deposited to my accounts for savings or use it towards the balance. Either way it makes sense to me to get paid for purchases I have to make anyway.

[@davidfence6939]

The problem is the VAST majority do not use them responsibly. And most of those people never will do so. Why? It's their nature and you'd have to fundamentally change them to break the habit. It's better if they avoid credit. The fact our financial society is predicated on a stupid credit score is a major black eye on our existence. Credit scores only show so much and do little to tell of the character of a person. A person of upstanding, good character will eventually rid themselves of a debt. They won't skip out on payments. Etc. However, a bad credit score ruins any chance of multiple things for them.

[@thewinner4319]

@@davidfence6939 BATMAN agrees 👍

[@thewinner4319]

BATMAN agrees 👍

[@jyla1266]

Maybe it's a personal thing. I'm still young, and came from a poor family growing up, but I still use credit cards responsibly and I love the convenience. I almost don't have any cash at hand nowadays.

[@caelansmith]

In Australia, our major banks now offer “interest free” credit cards to combat ‘buy now, pay later’ services, however you pay a monthly subscription based on your credit limit. However it comes with no rewards so it’s definitely a win for the major banks

[@acctsys]

This sounds more reasonable to me.

[@jessicakakern4571]

That's terrible. Id rather take all the benefits(cash back), then immediately pay it off rather than using my debit card lol

[@naif8493]

@@acctsys It's not more reasonable. The monthly subscription is the interest in disguise, and if your credit score is bad (like most people) you'll end up paying a lot for monthly subscription which doesn't give you any reward. You're essentially paying for nothing

[@acctsys]

@@naif8493 I see it as a line of credit that one pays the service fee for. What I like about it is that the incentive is for them to keep me, the customer, from taking a lot of credit. It has negative feedback to keep things stable.

[@sillymesilly]

@@acctsys that’s dumb

[@doragary3717]

Most people venture into investments to be a millionaire meanwhile I just want to be debt Free

[@haydencraig7149]

That's very practical and smart goal a wise man once said do everything in your power to get out of debt one of his tips on getting rich

[@jeremygood3246]

Just do the right thing by trading with an expert trust me you will be successful and debt free

[@christopherhobb7702]

I'm looking for something to venture into on a short term basis, I have about $6k sitting in my savings

[@thomasdooley3702]

Starting early is the best way to getting ahead of build wealth, investing remains the priority

[@popsarah7805]

Obviously trading in bitcoin is very volatile and risky to trade that's the reason most traders trade with a company

[@BurningSorrows]

This is why I stick to Debit cards, if I don’t have enough money then it doesn’t over draft, if I have to overdraft for any reason then I’ll let it go as far as -$20 but always pay it back. So good on me

[@Nuxi10.]

jake is pumping so much content recently, wow. now we need evil business of big tech

[@NicoTheCinderace]

@@nichole4684 Stop.

[@GameFuMaster]

@@NicoTheCinderace youtube decided that removing dislikes was more important than battling spammers. I mean, it really shouldn't be that hard to track who's spamming

[@akira28shima32]

That’s a political topic. GOP talking points.

[@TheSamuraiShowYT]

I'm starting that on my channel if you're interested. Currently working on one...

[@alsparkproductions7849]

@@GameFuMaster lots of [HYPERLINK BLOCKED] round here

[@GudieveNing]

Always remember turning up at Fresher's Fair at Stanford University in the early 1990s. A Brit clueless as to how American capitalism was 10 years ahead of ours. 'Ahead' not implying a good thing. Stalls featuring Visa, Amex etc encouraging students to start building their 'credit rating' from day one. I had always bought my stuff cash, saving up over the years, including my stereo and cars. I encourage viewers to stick to this unless you have a guaranteed failproif income over the term of your credit agreement. Stay free.

[@alexanderjackson7815]

If you manage your spending in a credit card, that’s even better

[@GudieveNing]

@@alexanderjackson7815 Why is it better? Who are you shilling for?

[@PatrikKron]

I agree, I don't like having dept that I don't have a guaranteed way of covering. Although, for a house I won't be able to guarantee that, but I can at least have a long "runway" to be able to get another job in time. I do use a credit card, but I have more money in the bank than my credit limit, and I only use what I'd otherwise buy. I mainly have it for the cashback, otherwise I would not use a credit card. I intend to never finance a purchase unless it makes it a lot cheaper (sometimes buying a phone with a contract is cheaper than otherwise) and I have put the money I owe on a separate account beforehand. Essentially paying it before.

[@TDOTSE1]

yep I had a similar shock when I was trying to pay off modelling agencies and other businesses they insist on credit

[@DaybreakPT]

@@alexanderjackson7815 Until you lose your primary income stream, usually your job, and start racking up tons of debt while you are unemployed, given most people work low tier retail jobs to keep our consumerist society running, most people are at risk of suddenly losing their job and being unemployed for long stretches of time. I'm sure paying for everything with credit is a no brainer if you are a doctor/lawyer/engineer and can afford the time off to fly around and vacation several times a year though.

[@spaRKLES88604]

Credit cards in my opinion were the start of the affordability crisis. governments and corporations can simply keep raising prices because they know you have a credit card you can use to “buy now and pay later” . Now it’s gotten to the point where people are paying rent, groceries and other stuff on credit

[@lashellanderson7773]

I still pay with my debit card for everything credit cards are the devil. If I did have one it would be $25 I would pay each month 😂😂😂😂. I'll be the cheapest person with a credit card 😂😂😂😂😂.

[@henryn5445]

"You can run away from a bounty, but you can never run away from a bank." - Uncle

[@SharmV]

Rule #1 - never buy something you can’t afford.

[@Polostar79]

Most people can’t afford a house outright. Using your logic they should never buy one, right?

[@japantarzan3551]

Then with current real estate abnormal boom compounded with inflation, 90% will end-up being long-term renters in the United States. Only the ultra-wealthy and of course Corporations will be able to buy property outright. Do you people want this America???

[@SharmV]

@@japantarzan3551 bro I been on min wage for like 5 years fam and I can afford a cheap house lol, if you save your money and don’t cum all of it on stupid shit like partying and food and all that dumb bullshit like flexing to other people - you can afford a fucking house.

[@benstark2895]

rule#1 live life how you want to live it

[@godofdeath8785]

@@dumpu8936 i mean cancer kinda means guaranteed death nah?

[@namtrof01]

I just kinda saw how debt can kill a person before they can even get started. I mean I'm only 23. First time I got a loan I literally lost my job a week later due to seasonal layoffs. So I was automatically at a bad spot for feeling good. Ever since then, I've strived to avoid debt at every turn, and so far I'm not disappointed

[@reez1728]

That's the lesson we all should be getting- to avoid debt at all costs unless absolutely necessary. Instead, Einsteins like to talk about "debt management" and "paying off on time". You should never get anything you can't pay off right away.

[@namtrof01]

@@reez1728 exactly, and I can't lie I moved up into a secured credit card, but I normally don't spend any more thanlike 20 percent of my credit limit, so it's definitely not spending what I can't afford (at most like 60 bucks)

[@godofdeath8785]

I am 22 yo guy and i want so hard to buy 1440p monitor i thought sometimes about get credit but still didn't make that but problem that I can't earn money while and i gonna buy this monitor from second-hand market

[@impyrobot]

@@godofdeath8785 why do you need a 1440p monitor anyway?

[@Theartofhappytravels]

I used to have 21k of credit card debt. I was very asleep behind the financial wheel. No idea what I was paying in interest per month. I was the kind of guy credit card companies loved. When it finally realized how much I was paying in interest. I got really angry with myself for how it could have become so bad. So I aggressively paid it all off. Canceled two card and now have one. It stays at a balance of 0. The moment I use it to buy anything and it hits my card. Is the moment I pay it. I’m grateful to have woken up to it, but wish it didn’t take me so long for me to do so. I wish there was a class in high school that went over these things in life.

[@barefootincactus]

Yes, I pay mine as soon as it posts.

[@jonbanks653]

When I was in the military as an officer, I heard my fellow officers make fun of people who had majored in "soft sciences". Yet I have to laugh because the so called "softies" that study human behavior and are able to show big companies how to use our own nature against us for profit get the last laugh all the way to the bank

[@iwasanMBTInerd]

You think they're overcompensating for something? 😂

[@kombuchas4684]

Oij0⁰bk9uì9ui9ukll

[@libertarian4323]

You think most scientist/engineer types are the folks typically wallowing in debt? Thats cute.

[@HyperMario64]

As a guy living in France, there is no such thing here as a credit card. All we got is debit cards. You can go into negative balance if you are crazy enough, but you will get insane fees on every purchase plus you cannot usually get deep into debt (around -500€ max most of the time) so it's a no brainer. I always keep several hundreds euros on my checking account to stay as far away as possible from this dangerous line. What we have is more like traditional loans with very predictable payback rates, usually you don't mess with this money. Also like everybody else, a lot of businesses offer to pay as small amount multiple times, but I never got tempted. I just pay for what I can comfortably afford.

[@duret-robertlouis2973]

French here too. I don't think we have anything close to the American credit card here

[@andrewlim300]

Interesting how predatory industries did not take root in a free country like France

[@Jeren6924]

Buying products through financing is on the uprise though. In the end you'll pay that TV about 3 times over.

[@HughRBA]

@@Jeren6924 or get a 0% promo on a CC and get interest free financing. It's handy in emergencies to have 0% financing available but I fear they're set up to trap spend happy people

[@RealBullbear]

@@Jeren6924 yeah we got that in germany too. But some cellphone providers offer up to 4 years interest free though on contract by being a longtime user. You can buy cellphones, notebooks, consoles and other electronics.

[@Nahaintnoway]

I think a video on payday loans would be fantastic. Such a predatory business.

[@keepitrealkev5552]

Like loansharks? Or like what all these mobile apps are doing with “$100 front”

[@rocketsmall4547]

john oliver did it

[@rocketsmall4547]

@@keepitrealkev5552 yoo those r straight up scams. i heard people get ripped off hardcore from those

[@ASSKETCHUP666]

Lmaooo like da earnin app n shiett

[@graytonw5238]

Yeah, been there, done that. At one time having almost 16k in credit card debt and paying only the interest and a few bucks extra, I was fortunate enough to get extra side work. I applied almost every dollar to that card, and I can't tell you what a feeling of relief that is when you finally see that zero balance. I still have a credit card, and I damn well pay it off every month. When you do that on a card that gives points, it's worth it. It's hard for me to judge people who fall into that trap of debt, having been there myself, but I can only hope it's not too hard of a lesson for them to learn if or when they get out from under it.

[@pengu6335]

I'm currently trying to pay off a bunch of money I spent on my girlfriend. I got a little too carried away and now I'm stuck paying it off for about six months. Lesson learned from all of it. At least there won't be any temptations from now on.

[@leonrobinson8180]

​@@pengu6335 NEVER go into debt to impress a girl. She'll leave. The debt stays.

[@XanderROK]

It's a pretty braindead move to go into debt buying useless shit. 😂😂😂

[@studytoreachsuccess]

thank you for spreading awareness

[@nsbahtaiwnsftuwfahahs7636]

Not necessarily, if you possess any form of financial literacy, you’ll understand that you can leverage credit to build your credit score as well as access to great perks as long as you know you’re able to consistently repay IN FULL the amount you spend monthly.

[@SJtoTHE13]

He said this literally 3 minutes into the video

[@syzler8664]

its almost as if credit cards are targeted at people with no financial literacy just like phone call scams target the elderly

[@TheMattj88]

@One Two Making things like this about race is playing directly into the hands of the divide and conquer strategists who control these systems. They keep smallbrains arguing about race while they race to the bank.

[@itheuserfirst3186]

@@syzler8664 Someone has to be the victim in the game of life.

[@itheuserfirst3186]

@@danjoredd Wel, that's their fault. This info is not hard to come by.

[@oliviastratton2169]

Yeah, I use my credit card to buy groceries once or twice a month. Always pay it off. No credit card debt or interest payments and my score goes up steadily. Definitely the strategy I'd recommend.

[@linecraftman3907]

What if something unexpected happens to you and you are no longer able to follow the same strategy?

[@oliviastratton2169]

@@linecraftman3907 I put almost half my salary in savings, so it would have to be a very expensive "unexpected" event for it to affect my credit card activity. But I suppose anything could happen. If I suddenly got a $30,000 hospital bill or something, I might need to max out my credit card.. I don't really understand what you're getting at.

[@dexzero]

If everyone did this, Bank wouldnt offer credit cars

[@briantimbal8711]

i love how the whole concept/video delivers it's message effectively!!!

[@ramdaddy8557]

Always so informative. I love your channel

[@nasmurph5453]

To be honest, if you choose to pay the minimum and getting charged 20-30% interest rate every month it's the choice you'll make. I'm not rich but I never had any issues with my cards and they definitely give me more financial flexibility.

[@Adeply11]

I have a question. Having more interest rate is better? For buying a car/CC/house? I’m 18 and don’t know shit

[@lordunhold5381]

@@Adeply11 the lower the better

[@lordunhold5381]

@@Adeply11 i would never agree of anything above 10% ... and for anything bigger don.t go above 5%

[@TheIslandRiders]

Agreed. Only use credit cards in complete emergency situations or when going on a trip and the only payment method is via credit card.

[@skitlus335]

@@TheIslandRiders I always use cc for trips because they provide free travel insurance. Also, since I'm not retarded, I pay off the balance within the 30 day interest-free period.

[@TheNamesFathom]

I can’t put into words how grateful I am for your channel, learning all of this at 15 will be an enourmous help in my life and you’re to thank. Keep it up, Jake!

[@GudieveNing]

Kash is king!

[@kkronical]

great to see one alike around my age watching important videos like these. Schools touch on these topics very little or even never, so best take valuable lessons from these vids bro

[@MarkWTK]

wow that's awesome dude. you're ahead of the curve

[@TheNamesFathom]

@@MarkWTK it’s one hell of a curve too, man I’m lucky

[@-AxisA-]

Good luck to you man, I hope you achieve your life goals and happy new year!

[@LordPoppy]

I'm an early stage debt collector. I'll tell you right now people do NOT know how credit cards work. I have people tell me they weren't even aware they had to pay it every month or that they had to pay it back at all

[@daleviker5884]

If there are people out there that are so stupid then nature will deal with them, credit cards or no credit cards. I use credit cards responsibly and haven't had an issue in 40 years, and never will. Society shouldn't be run at the level of the lowest common denominator.

[@toddaustin2198]

TY for another awesome video, Jake!

[@Hierax415]

I paid interest on my credit card once when I didn't hit confirm on my online payment. It was like 15 years ago and I'm still mad about it.

[@AwokenEntertainment]

Is it bad that this makes me want to start buying things with my credit cards 😂😂

[@mobilephil244]

Nice dose of realism. We, the people, need more of this kind of teaching. In Britain though, it isn't credit cards that enslave people in the worst way, it is property speculation and the mortgage scene that holds people in drudgery and debt. Same psychology I guess.

[@nathanmoak1515]

i have NEVER had a credit card! i pay cash or use a debit card only. the only time i borrowed money was to buy a house 30 years ago and i paid it off early. my mother raised 6 children on minimum wage and she did have a store card. i learned how to manage money from her, but i never trusted banks. they used to send me offers in the mail and i tore them up and put them in the trash. i have not owed anyone money in 22 years. now i live off my pension and savings. live within your means.

[@joshuad1716]

Jake when was the last time you got 8 hours of sleep bro, there’s no way you’re sleeping, this work pace is insanity

[@thundageon5962]

As a Muslim, credit cards and interest were extremely prohibited and now because I watched this video, I was shocked by how insidious this is. Thank you for this video Jake.

[@nettieharris]

It’s still a shame your freedom is legally gagged Including the freedom to fail

[@Robert.Smith6969]

@@nettieharris what "freedom" are you talking about? The freedom to enslave yourself in debt for the rest of your life? Because that's not freedom

[@DSP-gh5ei]

​@nettieharris What did you smoke? In what world does debt equal freedom, the borrower is always slave to the lender

[@henriquegrassi3234]

Where are you from? I imagine that every country have credit cards

[@MahoneyBadger]

@@Robert.Smith6969laughs in fee shit.

[@1lelepontes]

The quality of your videos 👏🏼👏🏼👏🏼

[@autonomous8108]

I got my first CC when I was 18. Never paid a cent in interest either, and always had an amazing credit score. I basically treated it as a debit card. I didn't spend what I didnt have, and I would pay it back immediately. I know that kinda kills the point of a credit card, but it's been working out well for me

[@d3vilman69]

Great job being a disciplined consumer. This should be the way cc are used for, though banks would highly prefer we overspend and end up in debts.

[@pbroski92]

The fact that EXTRA‘s service is an outstanding thing on the American market has me mortified speaking from a perspective of a German person. The concept of building credit points in order to qualify for credit is so outlandish. Keep up the good work Jake, once again an outstanding video! Best regards from the other side of the pond ✌️

[@scottguffie7759]

As a UK citizen I feel exactly the same way and I personally have lived by the motto that I shall remain as debt free as possible.

[@hippybecca]

Yah I didn't have any student loans or anything. I tried to get a credit card so I could start building some credit so I can get a house mortgage one day. They only gave me a limit of $500. I couldn't even buy my laptop with that. And so I was trying to follow the rule of only using 30% of your limit, which prevented me from using it much or getting the cashback rewards. Then when I asked for a credit line increase they told me I wasn't using enough of my current limit and I didn't need it. But if I was to use more of that limit it could drop my credit score. And if my credit score drops too much they won't want to raise the limit. It is a vicisous cycle and I am honestly not sure where to go from here.

[@wclifton968gameplaystutorials]

@@hippybecca Just don't use a credit card then and just pay for everything in cash or with a Debit card and then your "credit score" cannot go down unless you go into debt i.e. your savings or checking account goes negative...

[@alainga10]

Keep putting out quality content. Much appreciated!!

[@namanish450]

Thanks for taking the title advice, we appreciate knowing what we're in for.

[@yivunqp963]

I still remember years back when I got my first credit card. One time I share with a friend of mine that I always paid my credit bills in full every month and he laughed at me for being stupid. That I should just pay the minimum amount every month and that is good enough. Just saying that is the kind of attitude towards credit card that people have back in those days and the type of people who got themselves into credit debt and made a demon out of credit cards.

[@zeno6567]

you should have millions of subscribers by now, the effort and consistency you put into your quality content is insane and so rare on youtube.

[@BrotherB1ackHeartSavage]

It’s crazy how adults don’t understand how easy it is to obtain and maintain a high credit score

[@JapanLiveToday]

As usual, a seamless transition from the topic into the sponsor's ad. Very cool!

[@plr2473]

I used to work for a major credit card company in their customer service department. Credit cards make a lot of their money from the transactional fees they charge the vendor. The vendor is thus paying for the customer's convenience of paying with credit to encourage them to spend more. It is an enormous convenience. As long as you are responsible with your card you benefit. But some people spend more than they have or can pay back. That is largely their own fault. Especially nowadays where it so easy to pay off a balance or minimum due with a phone app, no one should be defaulting on their payments if you spend within your means. And if you do keep a balance you will pay interest. That is the cost of borrowing money. Doesnt matter it its with a credit card company or a bank. Learn to live with it. Another thing is many credit cards give customers cash back reward points. Usually 1 to 3% based on what the customer buys. These cards will also typically charge an annual fee, but people who use their credit card for all purchases, especially for a household, will come out ahead and actually make money by using a credit card. Reward points can also go toward travel and other perks for even more value as we saw with the guy in the video. Use wisely and win!

[@jake10386]

Hey Jake! Another Jake here watching this as I work at Chase Bank! I've learned alot about investing, banking, and managing my money ever since I first watched your Blackwater and Inflation videos during my lunches at the bank! Keep up your amazing work! -Another Jake whose life you've changed

[@Noname0039]

I've been watching this chenel for quite some time and I can tell, that it it takes a huge amount of bravery and balls to talk so clearly about this kind of stuff.

[@pinkipromise]

seems similar to ordinary things

[@ErectkyleDysfunction]

I like the fact that you enhanced the factor of human greed rather than to all out blame credit card companies like your title suggests.

[@zoidsfan12]

That's a really good analogy. These cards are like alcohol or knifes. And that is all that I needed to hear to go "yeah never getting one of these". Because I have an extremely addictive personality. Alcohol poisoning at 15, 5 years of being a wake and bake stoner accomplishing nothing, and a lifetime of addiction to video games (IE 10 hours a day). I think I'm good, I think I'll actually call myself lucky that the few times I applied for credit cards I was denied.

[@Devinn504]

Jake is the definition of what the grind is!

[@tucfd2245]

I’m absolutely loving these daily uploads. I like your content a lot and it helps me not only learn about the true intentions of company’s but help me with business. Thank you.

[@MichaelOblitey]

I couldn’t agree more, he is pumping out crazy content! I love jakes channel a lot! He inspires me so much with my channel! I thank him too, well said!

[@anubisgod23]

Its been proven by econominists and finance experts over and over that even the most diligent people who pay off their credit cards are not "winning" or getting any significant financial benefit

[@zachcrawford5]

I remember when my bank offered me a "rewards" credit card. They had it at something like 29% I.P.A. which was ridiculous in it's own right but there was also an annual fee on it. I did the math, even if I always paid the card in full (so accruing no interest) and spent every penny I made in a year with that card the "value" of the points I would have made wouldn't have even covered the annual fee. Obviously I declined the offer lol.

[@libertarian4323]

There are scads of reward cards with no fee.

[@serenityssolace]

There are 2 kind of thieves, amateurs and professionals. The amateurs will threaten you with a gun. The professionals will ask you to sign here

[@aquafishsoup]

Gave up using credit card 7 years ago, best decision ever I own myself thank you.

[@redbean9410]

Why’d u stop? If u pay on time might as well reap the benefits

[@fambam6935]

Must be irresponsible with credit cards 🤷‍♂️

[@user-tz5uq2bt1s]

Before I knew it, I had a credit card through my credit union, an apple card, an amazon credit card, and a costco credit card. I just finished cancelling all of them today except the credit union credit card. I've had that one for over 10 years so I'm watching the statement for a bit to look for any recurring charges I might have forgotten about before I cancel it.

[@FreemanBgTV]

This video was really interesting . Nice work mate

[@mcfrisko834]

Credit cards are no different than many other things in life. Just know the rules of the game and use them to your advantage. That's how you win in the end.

[@CA-ly7my]

exactly. nothing wrong with credit cards.

[@97Ant]

You can also get damn near anything off of your credit report if you're relentless enough. It really is all a game.

[@jgw9990]

@@CA-ly7my Except for all the people that end up debt slaves. It only takes one misfortune.

[@SquallTheBlade]

@@CA-ly7my By using credit cards, you support a industry that takes advantage of those who cant, for some reason or another, handle their finances. Secondly, if you can handle paying your credit card bill every month, then you should have no trouble using just debit/cash. You dont need the credit, and hence you dont need to support the industry.

[@honestman3918]

@@Zeerich-yx9po just learn how to invest or start a business and credit is used to make you a lot more money. Knowledge is free. Discipline is free. Understand what you are doing b4 you do it and don’t just be automatically negative and you will understand credit is a blessing that has taken many people from poor to rich by investing , starting a business… whatever it is. Doesn’t make credit companies bad people. The consumers just didn’t know any better.

[@kaiaballobey4239]

I’d rather be debt free than own a credit card. To this day, I still don’t own a credit card.

[@dwaynebell7705]

The premium cards discussed usually are yearly costs. However f you get cash back or points it can easily offset that cost. 5 cards is a bit much but it’s not entirely bad as long as you are disciplined in paying them off. I prefer one good card that is really flexible and my credit Union not only offered the best interest rate and cash back percentage but also had great travel points that did not expire and had many airlines you could chose from. Citi was pretty good as well. But. Have a pretty high credit score so that helps also! American Express was the WORST!!!

[@quasarleon4645]

Been binge watching your content over the last two days . Keep it up .

[@angrydragon4574]

I just wanted to say that anyone who makes less than 50K a year already knows what debt slavery is. Low wages, high rent, etc.

[@lordunhold5381]

You are a spoiled american 35k is in most nations solid middle-class

[@lordunhold5381]

If live in nyc is to expensive move away ... the only reason living cost is so high is that everybody moves ther

[@angrydragon4574]

@@lordunhold5381 LOL, you clearly don't know anything about America if you think that 35K is a lot in America. You're clearly not living in any first world nation.

[@lordunhold5381]

@@angrydragon4574 german here ... a 4 head family is considered middleclass with a total income of 35k

[@angrydragon4574]

@@lordunhold5381 Yeah, a fake German...

[@haveyouseengeorgehennen]

I don't know if we're born with or develop it but I'm so grateful for having common sense, because it's crazy to me how many people put themselves in such stressful and horrible situations than blame it on "nobody told me" or "i didn't know" i learned about credit and money management the same way i learned how to apply for a credit card "ASKING" and "READING" the banks, I'm currently 19 and got my credit cards at 18 the moment i started generating income, i used my credit card instead of my debit card and just payed it off that same week, and for a balance i just left 9-15 dollars just to show than pay it off, even at my lowest without having my parents near to help common sense kicked in and made me think that even if i don't have shit at least i don't owe nobody 🤷🏻‍♂️

[@two_toned_rooster]

I was taught by my parents not to get into debt with credit cards but still get all the benefits from them. Plus you have to have one to do a lot of things nowadays. I’ve also never payed interest on a credit card but every girlfriend I’ve had, had at least $1000 of credit card debt when we got together.

[@drgr33nUK]

House prices in the UK are crazy high ATM. Most are paying £200000+ for a two to three bed small house and are taking out 40 year loans to pay for them. Completely unsustainable.

[@seerar1]

what if you could pay for 15 years for a reduced price? no intrest? is that a good deal?

[@drgr33nUK]

@@seerar1 that is also an option but to clear £200k within 15 years even with a reduced interest rate would be a challenge for the average person/couple. Even with 0 interest, £200k would require you to pay ~£1150pcm. Not saying that's unachievable but it's unrealistic to say that there would be 0 interest as no one is making any money. With an average interest rate of 4%, that monthly bill goes up to £1550pcm. If you're young and at the start of your career, that would nearly be 100% of your income just on a mortgage! Add inflation on top of that and what chance do our children have? That's why I say it's completely unsustainable.

[@seerar1]

@@drgr33nUK I have been saving that much hence why I said potentially peopel could but I agree with you with the inflation and property valuation rising. We will pretty much be in an age where homeowner ship is by the super rich and companies like black rock etc.

[@drgr33nUK]

@@seerar1 if you've been able to save that much for a while then you're in a very lucky position in life. Most of the people I know find it hard to save more than £800 per month. I was saving £1300 per month for all of 2021 since I've not been spending as much working from home but the house prices are rising faster than I can save right now. It's very disheartening :( Good luck with the saving 👍

[@seerar1]

@@drgr33nUK I think I got a solution and if I can make it a reality I’ll be able to help people become homeowners. No interested , no rent increase same rent and no hidden fees

[@spectreshot8536]

I used to not have credit (at 34). I lived with the motto that if I can’t buy a thing, I don’t need that thing. Credit is too important now so got a secure card to build Credit, Capitol one raises my limit after 5 months of fully paying everything off money to month. Got approved for first non secure card because of my many months with no interest payments. It opens up a lot of avenues.

[@iart2838]

Low wages leads to debt. Period

[@jgdooley2003]

When I got a credit card back in the early 1990's There was a section on the application form which allowed you to pay off the entire monthly amount 100% each month. I never went into debt with my credit card and also have a charge card which sometimes cannot be used especially for online and foreign purchases. The bank manager tried to talk me out of it and I get offered large amounts of credit without any fuss or hassle. They do not make much money out of my credit card but make a fair amount on fees. Banks are now charging people to hold money in a deposit account ( negative interest fees ) and capping the amount that they will allow people to hold in each account. Ireland now has very high levels of public and private debt. So much so that the often inflated figures for per capita income, among the highest in the world, do not reflect the reality for most people in this debt-ridden expensive island. Ireland has little or no "old money" or any safety net for most people, only a fairly good social welfare system prevents real poverty, homelessness and hunger, for many.

[@alphaeligon9540]

Another great documentary, Jake! I know the do's and don't of a credit card! So your segment is ADDITIONAL Canon Fodder for knowlege AMD more! All the best for 2022...including you too,Jake!

[@Lena-vw6ye]

Thank you for making this video. It was always astonishing to me how people would just take huge loans or wrack up a huge amount of debt on stuff they didn't really need. "I needed that house, I needed that car, I needed those kitchen appliances". I've always had over 800 - 875/900 credit, and I've never missed a payment even once. I know this guy that just buys cars on the worst interest rates and there were more than 2 cars he financed that he didn't pay back on the car and his credit is just absolutely terrible. Unless there's something medical or of emergency that put you in debt, it's honestly mostly emotional people or people without a pre-planning skills that get crushed by financial issues.

[@jamais412]

This vid is an absolute gem.

[@broccolii6827]

Idk how u do it but u make ads not boring and not painful to watch and u actually make ppl want to buy wat ur advertising too I think u have a really good talent there but keep it up✌️