MasterCard on fire, again

Some people are truly ignorant, such as the statement food and water are the only necessities..quote:

“and you can pay a day’s worth of food (only true necessity that costs anything, water is free) with even an hour or two of work at minimum wage”

Umm no in numerous, numerous places in the US alone water is NOT free. Almost anywhere city water is gotten it is for a charge, and not a cheap charge either.

And an hour or two of work at minimum wage does not buy a husband wife and three kids food for a day, sorry.

Furthermore, if the only necessity is food and water (and food prices are on the biggest rise in US history), both of which normally do cost money, there where are these people living. DID WE NOT LEARN IN SCHOOL HAVING SHELTER IS A BASIC NECESSITY, EVEN FOR THE SIMPLEST OF HUMANS?? I am not saying people have to live in expensive houses, but they must live somewhere, and housing of any type is indeed expensive.

And lets not forget clothing is a necesitty if you plan on working.

So your comment is rather ignorant and blatantly wrong. Necessities are food, water, clothing, and shelter. All for the most part cost money, and all of these prices are climbing. An hour or two of work at minimum wage will not pay these for anyone let alone a family.

This leaves people getting into debt, and then failing to pay it. Yes there are numerous people that overextended themselves which I am not defending, but there are numerous others that had to get credit just for the necessities of life, and now cannot pay, they are not at fault, our failing system is to blame for that so lonfg as they are actively searching for a job in the battered job market.

Take responsibility for your own actions: you overextended and went for that home loan that foreclosed, you went sky-is-the-limit into your credit cards, you bought into the Escalade SUV lifestyle, and YOU VOTED BUSH IN!

The difference between a $50K SUV and a $28K hybrid is a LIFETIME (or ~10 years) of paid-gas in the hybrid too!

You guys are funny. Blaming Bush for pushing of the responsibility of people spending money acutally paying for it. Then Bush turns around and bails them out by giving low housing rates out.

If people can’t pay off thier CC then they shouldn’t of bought thier $40,000 cars that get 10 mpg that they park in their $500,000 house just because the Jones down the road can do it. Just live with in your means and you don’t have to worry about CC interest rates and fee. People need to actually pay for what they buy.

As a side note MC don’t set any of the rates, terms, or fees. They are simply there to do transactions.

Of course credit card companies will be making money hand over fist. Thank President Bush for his payoff to the credit industry in 2005: http://www.democracynow.org/2005/4/15/debt_slavery_congress_approves_bushs_bankruptcy

While Bush tried to wrap this as a gift to the lower class of getting credit more available to them, what it really does is shifts responsibility completely away from the companies and to the individual. Even bankruptcy does not protect them now….the companies WILL get their money. ANd late fees, over limit fees, annual fees, and other padded fees are used indiscriminately to pad their bottom line. Dont get me wrong…I have bought MA and V stocks and am making money off it. But I am hoping the democratics will change this back….yet another reason to vote OBAMA or HILLARY. Not McCain.

Michelle,
You don’t know what Visa and Mastercard do. They just process the transactions. They don’t make the rates or the credit card rules that trap people into debt. You need to be mad at the banks like Bank of America.

If you think it’s such a ripoff, don’t use credit cards. It’s that simple. I’m sure you didn’t have complaints when you were out there buying stuff with your credit card instead of paying cash. these companies are businesses. they are not nonprofit organizations giving away free money to people. Instead of blaming others for your irresponsible spending habits, spend less than what you make.

No doubt that c-card cos are seeing higher amts of debt racked up by AMericans — less frivolous spending and more use of c-cards on the necessities of life. I am at a debt settlement law firm and I hear tales of woe like this daily with the housing bubbling deflating and continuing to deflate.

No one is forced to use a credit card. What did people do 40-50 years ago when there weren’t credit cards around? You lived within your means. Americans have forgotten what that means in the greedy rush for “bigger is better”. It’s time to face reality and reap what we have sown.

If people in America knew how to save instead of impulse buying of unnecessary items then they wouldn’t have to use credit cards. But then again, when people save, it’s bad for the economy.

Mastercard and other credit card companies are making a killing off gasoline retailer by charging them 2 or 3% for accepting credit card and then the consumers for using them. Almost as if their double-dipping.

Please, then dont use them. I am in baby!

Credit cards are a choice. Until someone is willing to give unsecured money to folks (many of whom are high risks) in another manner, credit cards will indeed profit. The choice is clear, either use credit cards and let someone else get rich, or invest in them, and get rich off of others poor planning/choices.

“Forced to turn to credit cards just to make ends meet”…please. Go out, get a job, and live a lifestyle that you can afford. Nobody is forcing you to do anything except pay taxes, and you can pay a day’s worth of food (only true necessity that costs anything, water is free) with even an hour or two of work at minimum wage, with all the remainder left over for rent!

Here’s an idea. Live within your means to the point to where you can save. Take that savings and invest in Mastercard and take advantage of others’ inability to do so instead of whining about it.

I use my card for all payments, I am down to three checks a month. I love the automatic debit and auto pay convienience. A charge card is a tool, not a loan(interest too high). Credit cards require a lot of discipline and responsibility. Lack of those qualities are the reason people get in trouble, not the card companies.

Nobody is forcing people to use credit cards. The card companies are providing a service that you can choose not to use if you don’t like it.

No one forces people to live beyond their means.

Just wait until all of those people using the card to pay for food and utilities can’t make the payments…then we’ll see who’s on fire! MasterCard will get what’s coming to it.

It’s a shame that people in general have made such poor life decisions that they would put themselves in the position of having to turn to credit.

Michelle, Mastercard does not carry the debt the banks do. Mastercard only processes the transaction for a fee that is passed on to the banks. You should be thanking them as they are the means you are able to access the funds in the first place.

They also give cards to students with part time jobs or no job at all! Young people are financialy irresponsible and quickly accumulate debt they have no chance to pay back. Then creditors charge them late fees, over the limit fees and default interest rates on top of it. I think government should do something about it.

Michelle,
I hope you understand that this is a Card Association and not a Credit Card Company such as Capital One, Chase or CitiBank. MasterCard and Visa are the PROCESSORS not the issuing banks that are hitting you with the 29.99% interest.

Well they also deserves the Credit for helping the Poor Citizen. Without them they will will never be able to survive in this economy.

And people complain about the OIL companies!! These credit card companies are (for the most part) charging higher and higher interest rates, keep finding new ways to make you pay higher rates, and refuse to lower the rates.

Yes, they’re getting rich off all the ripoff charges they hit the consumer with. Forget Big Oil, these guys should be the ones hit with a winfall profits tax.

It isn’t their fault that people who are struggling to pay their bills use there service to stay afloat. It also isn’t the companies responsibility for the current state of the economy. The only thing that might be considered highway robbery is how much they charge businesses to run a customer’s card. Although a strong arguement can be made for the service fee, since it helps prevent fraud, overdrawn checks, collection, etc.

I say good on Mastercard make your money.

Credit Card Companies pulling in big profits. Lets do the math. The economy is struggling. People can’t buy food, gas and pay rent but MasterCard is doing well…big whoop

Michelle,
Mastercard and Visa are credit card transaction processors meaning they do not lend money. They take a fee from the merchant when you swipe your credit/debit card. You can have a debit card issued by a bank and if you don’t enter your pin the merchant pays mastercard/visa. Don’t blame them for “credit cards” with revolving accounts its not the same.

Michelle,

Please do your homework before publicly displaying your ignorance. Mastercard and Visa do not make money on people who default on their creditors, they make their money from what is essentially licensing fees from the banks they issue the cards to. The banks collect most of the profit when deadbeats default on their creditors. And by the way, since when does it become the fault of the creditors that people are reckless and irresponsible with their credit and finances?

Using credits cards is a choice.

Those who have credit card issues, i can guarantee you, are the very same people who are living outside of their bounds.

I doubt very much that a person who buys only the necessities has credit card debt. If anything credit cards are a plus for those who needs to buy essentials such as GAS, groceries, etc because you get between 2-5% cashback on those purchases.

Credit cards are not a tool to live above your means….>

They make their money in online debit transactions by processing cash and charge transactions. This increase has nothing to do with consumers increasing their credit usage but shows more companies are adopting online payment systems that mastercard can charge per use.

In response to Michelle, not a rip off but a great stock. Same goes for Visa. And the struggling citizens you speak are probably all driving new cars and watching plasma TVs. Living above your means is a choice and if living off of credit because of that choice is the situation that you’re found in, that’s a you problem, not a Mastercard problem.

Stop using credit cards then, since deadbeats run up a debt and leave the rest holding the bag. Credit cards are not a way to make ends meet-getting an education and a job is!!!!

Mastercard and Visa make money off of transactions, which include not only credit cards but also debit cards. Mastercard and Visa do not have the exposure to the credit card market like say the big banks (B of A, Chase, HSBC, etc.). They do not guarantee or lend,they only process the transaction and take their cut.

Oh yeah, its the credit card companies fault that people need to charge basic living expenses. How about laying some blame at the people who are charging food, gas, etc on their credit cards due to their inability to live within their means.

For all the convenience they bring, Credit Card companies are nothing more scam artists ripping off people too inept to manage their own lives. They encourage people to live above their means, to satisfy their greed, rather than manage their money wisely –and with restraint.

It makes sense that mastercard is growing…. with the dollar going to crap, i find it easier to carry one plastic card then to carry $400 bucks to pay for my gas and food each week.

Hey Michelle,
Stop Complaining! Don’t use cards or be part of the profit machines, invest some.

Stop whining Michelle… MA isn’t ripping anyone off & most of the people struggling these days are struggling due to the fact that they lived beyond their means when times were good and didn’t prepare for a rainy day. Simply put, Americans don’t save. Yes I realize that’s not the case for everyone, but too many Americans buy more than they should (ipods, suv’s, whatever) and now it’s time to pay the piper.

I make the median income and have managed to save a years worth of my salary in just over two years because I drive an older used car and don’t get sucked into consumerism. Try spending less and I think you’ll find you have less to whine about too :).

Yeah Mastercard and other credit card companies are going to be growing faster…they are getting rich off the struggling citizens who are being forced to turn to credit cards just to make ends meet and pay bills on their cards. What a rip-off