Credit Card and Stock Market

By Arya
@yoalldudes (35042)
Philippines
August 28, 2018 1:53am CST
How much is the interest rate for credit cards? Would we profit if we advance money through credit card and put into stock market for stock price appreciation?
9 people like this
12 responses
@moichan (666)
• Philippines
28 Aug 18
Not a good idea. Credit cards has high interest. Usually 3% + monthly fee.
3 people like this
@yoalldudes (35042)
• Philippines
28 Aug 18
I'll stay away from credit cards. Thanks for the information.
@porwest (78702)
• United States
14 Mar 21
Hell. 3% would be cheap. Credit cards here run upwards of 30% interest.
@pitstop (12969)
• India
28 Aug 18
This is asking for trouble. Interest rates on credit card dues are guaranteed. Any profit on stock markets are never guaranteed.
3 people like this
@yoalldudes (35042)
• Philippines
28 Aug 18
It was a crazy idea, I know now.
1 person likes this
@rsa101 (37952)
• Philippines
28 Aug 18
For me it would not be good since they charge you higher interest than that of what out can earn in stocks. Stocks grow slow so you cannot easily earn that much on a monthly basis. While Credit cards will surely get interest from you once you fail to pay on time. Excess cash is the best way to acquire stocks.
1 person likes this
@yoalldudes (35042)
• Philippines
28 Aug 18
It's a bad idea then. Thanks for the info.
1 person likes this
@rsa101 (37952)
• Philippines
28 Aug 18
@yoalldudes I never used loan money for investment. I save then I buy with my extra money. This is more safe.
1 person likes this
• Philippines
28 Aug 18
@rsa101 so what do you invest in, rsa?
@rakski (112993)
• Philippines
28 Aug 18
I think there is a high interest rate for credit card per month. if you want to have some cash advance to invest in stock market, just make sure you have money to pay the card monthly. The stocks cannot earn so much in a month time.
2 people like this
@yoalldudes (35042)
• Philippines
28 Aug 18
I see. Then it is not advisable the,
@ridingbet (66861)
• Philippines
29 Aug 18
no credit card for me. besides, (in my own opinion) i am not a shopper. hahah!
1 person likes this
@ridingbet (66861)
• Philippines
30 Aug 18
@yoalldudes but house needs are prioritized. good thing none of us at home are so into shopping spree
@yoalldudes (35042)
• Philippines
30 Aug 18
@ridingbet Sometimes people are confused with what is a need and what is a want.
@yoalldudes (35042)
• Philippines
29 Aug 18
If we want our homes to be clutter-free, our bank fuller, stay away from the stores lol
1 person likes this
@sunrisefan (28650)
• Philippines
28 Aug 18
That's definitely a losing proposition. Credit card rates go as high as 3.75%. Good thing if there's a big bad news and the market suddenly drops as a knee-jerk reaction and goes up again in the following days as I've experienced a very few times before. It's the principle they call "buy when there's blood in the streets".
1 person likes this
@sunrisefan (28650)
• Philippines
28 Aug 18
@yoalldudes That's good :)
@yoalldudes (35042)
• Philippines
28 Aug 18
With all these info from you guys, I will definitely stay away from credit card and stick to slow saving.
1 person likes this
@yoalldudes (35042)
• Philippines
29 Aug 18
@sunrisefan Aside from saving, we can also earn extra income. That is something I keep looking into especially passive income. As of now, I'm starting with bitcoins. It's very risky but the potential return is woah.
1 person likes this
@amirev777 (4117)
• India
28 Aug 18
I would certainly not advise that since stock markets are very volatile. One should only invest in stock market if he has a sound knowledge of the market behavior and it is not meant for novices, unless you invest an amount which you can afford to lose.
@yoalldudes (35042)
• Philippines
29 Aug 18
Credit card money is definitely not something I can afford to lose lol
@May2k8 (17978)
• Indonesia
28 Aug 18
you will be charge to pay the interest on credit card if you cannot manage it so you will be overwhelmed, and I do not have a credit card that I have only savings and deposits.
1 person likes this
@May2k8 (17978)
• Indonesia
28 Aug 18
@yoalldudes no problem
@yoalldudes (35042)
• Philippines
28 Aug 18
There's no going around saving lol
1 person likes this
@toniganzon (72317)
• Philippines
28 Aug 18
How could you profit from a borrowed money with interest?
1 person likes this
@toniganzon (72317)
• Philippines
28 Aug 18
@yoalldudes better borrow from your family without interest. Like all other investments, investing in stocks involves risk. So to borrow money with interest is never a great idea.
1 person likes this
@yoalldudes (35042)
• Philippines
28 Aug 18
If the interest of the borrowed money is less than the interest from invested money. I learned from this discussion that credit card rates are high so my idea is not feasible. I never had a credit card so I have no concrete idea about credit card interest rates.
1 person likes this
@yoalldudes (35042)
• Philippines
29 Aug 18
@toniganzon Yes, maybe I can borrow from my mother.
1 person likes this
@jstory07 (133739)
• Roseburg, Oregon
28 Aug 18
I have money in my saving and when I make a big purchase I pay the money back to the savings. I only use credit cards if we have an emergency and not enough money in savings.
@yoalldudes (35042)
• Philippines
28 Aug 18
I'm happy that you have been smart moneywise.
@anya12adwi (6012)
• India
28 Aug 18
I donot feel credit cards are necessary for one..
• India
28 Aug 18
@nomus24g Yes, that's why I had said those are unnecessary.. Debit cards are fine.. it makes you stay in your limits..
@yoalldudes (35042)
• Philippines
28 Aug 18
I wish have more savings.
1 person likes this
• India
28 Aug 18
@yoalldudes Don't your bank issue debit cards??
@porwest (78702)
• United States
14 Mar 21
No. Never, ever do this. Never, ever. I mean, not ever. Just don't do it. I am quite savvy in the markets and can make about 15% a year through various means. Share appreciation, covered call options contracts premiums, dividends, and other things. I would never ever borrow money to do this, nor should anyone with any financial savvy need to. If one is not already good at saving and using that money to build a portfolio... Maybe investing is not the game to play until one has gotten their financial house in order and learned all they can about saving and investing.