To LOAN or not to LOAN?

@bhabytart (1116)
Philippines
May 4, 2009 10:43pm CST
A lot of company are offering loans. Some have low interest or zero interest for the first few months...Do these company help us by granting us loans or are they just burying us to a lot deeper dept....
1 person likes this
8 responses
• United States
6 May 09
"Let the buyer beware!" In troubling economic times, there are going to be those who will take advantage of those whose financial savy is not good. Those with less than stellar credit reports and credit scores will be preyed upon with very high interest rates, all in order to make money. It is my opinion that anyone with a less than average credit report has not learned that you must pay your bills, on time, each month. They also have not learned to live within their means, not spending more that they earn. They easily are duped into the "5 easy payments of $29.95" mentality. They overlook that they just paid $149.75 for an item that they could have bought for only $100.00 at a local department store, if only they had saved the money and had been patient. So it is always wise to keep paying off your debt than to go deeper into debt.
@bhabytart (1116)
• Philippines
6 May 09
wow you have a keen eyes and nice memory.... thank you for the comment....
• United States
5 May 09
I don't know about you, but I'm trying hard to get out of debt, not further in. Those introductory rates don't last, and the debt rises. Be very careful!
@bhabytart (1116)
• Philippines
6 May 09
thanks i will be very careful in loaning.. thank you for the comment
@rsa101 (16726)
• Quezon City, Philippines
5 May 09
It totally depends on how you will use the loans for. If you intend to put it in a business and earn profit from it all then you are doing the right thing to loan. But if there is no real intent for the loan better not get one since you will just be buried with it and make you poorer by it.
@bhabytart (1116)
• Philippines
6 May 09
thank you for the comment...
@ra1787 (501)
• Italy
5 May 09
My personal opinion is that a person should not live over his economic possibilities. If i don't have money to buy something i don't get debt, i just try to save enough money to buy it. I know some people who started buying unnecessary things (tvs, self-phones, cars) by monthly installments and now find theirself in dire straits. There are surely situation when we are forced to make debts (if someone loses his job he still has to manage to eat at the end of the day), but private person's should not get debts to buy non-vital goods. Debt is fine if it is made to start an activity or something like that but not to buy things.
@aikhong (662)
• Malaysia
5 May 09
For me, i dont really have much knowledge on financial issues. However, for loans, i believe those banks or financial companies which offer such good offer with low loan interest, they're getting the ROI (return of investment) in some other ways. We can't really say they're putting us into deeper debt however, depending in which perspective we're seeing it. Loans do help a lot of people out there for maintaining or expanding their businesses. Afterall, it's still depends on the loaner's judgement and dare to take the risk.
• Indonesia
5 May 09
I guess it's ok to loan if you want to start your own business. But if you use it for other purpose then you better make sure you have the money to pay the monthly loan installment or else the company will bury you with the interest and other penalty.
• United States
5 May 09
The conclusion I recently came to about loans or credit for that matter, is that it just gets us into more trouble. These companies make us feel special by telling us they will lend us money because we have great credit scores. This makes us want things that we may not have bought in the first place because we didn't have the money. It seems as if we as a country live outside of our means all the time. Companies that lend money are not in business to make your life easier, they are in business to make more and more money. Although, I think it is always a good idea to have one credit card to emergencies as this can help out alot in times of trouble.
@eltobh (231)
• Indonesia
5 May 09
Well, to be honest, I've been into this situation..and there was one time that I could not pay for the debt for a long time :(..This company offered me a loan with a very low interest, and just by providing a copy of my credit card..and voila..your loan is granted. I felt very down that time, especially when the debt collector kept chasing me, or calling me with sarcastic words. Until one day, finally I could pay my debt. So, I suggest, if you cannot pay for the installment, please don't take the loans, but if you can, then you might think otherwise, if necessary.