Lolcow Andrew Peter Carlson / Anaiah Carlson / Tamarlover / Xtamarlover - Jewish/Christian Wannabe Cult Leader, Stalker, Ugly af, dogfucker, mayor of spitsville

[Jaded Optimist]

I spent $3000 because it was a shitty year and wanted something nice to make me feel better. Not something I would do all the time.

Seriously? 1 step forward, 2 steps back. Why would you splurge ($3000 no less!) When you are in debt to several people and creditors. A bit of friendly advice, don't buy anything frivolous until you have paid your debts fully and have 3 full monthes of income in savings in case of emergency.

 

[Diana Moon Glampers]

$3000 was more than 20% of your post-tax income for last year. It's absolutely insane to spend that kind of money because you just felt like it. $3000 is on par with what middle class, two-income families spend on a week-long vacation for two adults and two kids.

And the worst part is, you didn't just spend $3000. If you're making minimum payments on a card with the kind of interest rate I'm sure you qualify for, that $3,000 will end up costing you $4500-6000 before it's paid off. That's going well into "people with six-figure salaries don't spend that much on their major splurges" territory. You could literally have spent two months floating from island to island in the South Pacific on a cruise ship for that expenditure.

I'm not even opposed to a little bit of retail therapy for the down-at-heart, but throwing down 20% of your income in a single credit card splurge isn't retail therapy, it's financial suicide.

 

[Anaiah Carlson]

Seriously? 1 step forward, 2 steps back. Why would you splurge ($3000 no less!) When you are in debt to several people and creditors. A bit of friendly advice, don't buy anything frivolous until you have paid your debts fully and have 3 full monthes of income in savings in case of emergency.

Even the worst way to look at my financial issues, I think getting over Melinda and moving on and behaving myself in that area is like 10 steps forward, not 1. so more like 10 steps forward, 2 steps back. The issues I had I think are far worse than wasting $3000. Money is only money. Not a big deal in the grand scheme of things. If you win the lottery and then waste it all, you are no worse off than you were before you won the lottery. So being in debt a few thousand is not that big a deal in my opinion since it is pretty easy to get out of that debt.

 

[Diana Moon Glampers]

Spoken like someone whose mom and dad are still footing all the bills.

Are they aware you're quitting jobs, incurring debt, and paying people to do research for you while you're unemployed?

 

[KimCoppolaAficionado]

Even the worst way to look at my financial issues, I think getting over Melinda and moving on and behaving myself in that area is like 10 steps forward, not 1. so more like 10 steps forward, 2 steps back. The issues I had I think are far worse than wasting $3000. Money is only money. Not a big deal in the grand scheme of things. If you win the lottery and then waste it all, you are no worse off than you were before you won the lottery. So being in debt a few thousand is not that big a deal in my opinion since it is pretty easy to get out of that debt.

As someone who's family is "of money", let me explain to you what compounding interest is.
So you have a loan for $3000: I'm going to assume this is an unsecured personal loan with no collateral, but somehow you have good enough credit to get a 9% monthly interest rate. So, every month you owe $270 dollars. But let's say that groceries and rent don't leave you with enough to pay that for one month. So now you owe $3270. Next month rolls around, and you assume you still owe $270. But, gasp! You actually owe $294.33 now, because that 9% interest rate is calculated from the total debt, not from the initial loan. You don't have enough to pay that, so now you owe $3564.33. Which means that you're now going to be paying $320.79 per month without making a dent in your actual loan. Miss another month? Now you owe $3885.12, are paying $349.66 per month, and are entering the realm of defaulting on your loan: to translate that, that means the bank gets to come and take your shit to repay the loan. The whole thing, not just the interest. They'll impound the valuable stuff first, so that means your fancy toys, like a computer, cell phone, nice stereo system: if your bankers are real pieces of shit, they'll run up late and handling fees on you until they can justifiably take your car or put a lien on your house (that means they own part of your house until you pay them back). Hint: bankers are almost always bloodthirsty pieces of shit.
And all of this is ignoring late fees or the fact that I honestly believe that with your history you aren't ever getting a loan under 15%. Let's do the math on that one right now, shall we? (once again, disregarding late fees):
Month 1: $3000, $450 monthly.
Month 2: $3450, $517.50 monthly.
Month 3: $3967.50, $595.13 monthly.

Are you seeing what happens here? Once you start falling behind, it becomes increasingly hard to keep up with the interest, which puts you deeper in the hole, until the bank comes and takes your shit to get the money they've invested in you back.
Here's a dirty secret about money: it's not just money. It's the food you eat, it's the car you drive to work, it's the roof over your head. And when you start treating it lightly, it fucks you in the ass and leaves you hungry, rained on, and using the old Marathon Express.

 

[Anaiah Carlson]

As someone who's family is "of money", let me explain to you what compounding interest is.
So you have a loan for $3000: I'm going to assume this is an unsecured personal loan with no collateral, but somehow you have good enough credit to get a 9% monthly interest rate. So, every month you owe $270 dollars. But let's say that groceries and rent don't leave you with enough to pay that for one month. So now you owe $3270. Next month rolls around, and you assume you still owe $270. But, gasp! You actually owe $294.33 now, because that 9% interest rate is calculated from the total debt, not from the initial loan. You don't have enough to pay that, so now you owe $3564.33. Which means that you're now going to be paying $320.79 per month without making a dent in your actual loan. Miss another month? Now you owe $3885.12, are paying $349.66 per month, and are entering the realm of defaulting on your loan: to translate that, that means the bank gets to come and take your shit to repay the loan. The whole thing, not just the interest. They'll impound the valuable stuff first, so that means your fancy toys, like a computer, cell phone, nice stereo system: if your bankers are real pieces of shit, they'll run up late and handling fees on you until they can justifiably take your car or put a lien on your house (that means they own part of your house until you pay them back). Hint: bankers are almost always bloodthirsty pieces of shit.
And all of this is ignoring late fees or the fact that I honestly believe that with your history you aren't ever getting a loan under 15%. Let's do the math on that one right now, shall we? (once again, disregarding late fees):
Month 1: $3000, $450 monthly.
Month 2: $3450, $517.50 monthly.
Month 3: $3967.50, $595.13 monthly.

Are you seeing what happens here? Once you start falling behind, it becomes increasingly hard to keep up with the interest, which puts you deeper in the hole, until the bank comes and takes your shit to get the money they've invested in you back.
Here's a dirty secret about money: it's not just money. It's the food you eat, it's the car you drive to work, it's the roof over your head. And when you start treating it lightly, it fucks you in the ass and leaves you hungry, rained on, and using the old Marathon Express.

At the worst of it, my debt as of last month was as follows:

maxed out:
$2000 credit card
$700 credit card
$600 credit card
$500 credit card
$500 credit card
$450 credit card
$300 credit card
$300 credit card
$300 credit card
$200 credit card
$600 loan
$800 I owe my dad
$5000 I owe a friend

 

[KimCoppolaAficionado]

At the worst of it, my debt as of last month was as follows:

maxed out:
$2000 credit card
$700 credit card
$600 credit card
$500 credit card
$500 credit card
$450 credit card
$300 credit card
$300 credit card
$300 credit card
$200 credit card
$600 loan
$800 I owe my dad
$5000 I owe a friend

You have 10 maxed-out credit cards?! And you think this is no big deal?!
I'd advise you to call up an accountant if I thought you would take their advise.
Look, all 10 of those cards likely have compounded interest, and when the companies start seeing how many different people you owe money to during the serious delinquency process (which, according to your story, will begin next month) they're going to go DEFCON 1 to collect their debts. Allow me to give you an analogy:

Your finances and all assets are the duck. The splashing in the water is your array of debts entering serious deliquency. The piranhas? Those are the credit card companies.

 

[Anaiah Carlson]

You have 10 maxed-out credit cards?! And you think this is no big deal?!
I'd advise you to call up an accountant if I thought you would take their advise.
Look, all 10 of those cards likely have compounded interest, and when the companies start seeing how many different people you owe money to during the serious delinquency process (which, according to your story, will begin next month) they're going to go DEFCON 1 to collect their debts. Allow me to give you an analogy:

Your finances and all assets are the duck. The splashing in the water is your array of debts entering serious deliquency. The piranhas? Those are the credit card companies.

As long as i make minimum payments I am fine. I havent missed a payment once yet. And i plan on paying off the cards asap. I can pay them off in 5 months.

 

[KimCoppolaAficionado]

As long as i make minimum payments I am fine. I havent missed a payment once yet. And i plan on paying off the cards asap. I can pay them off in 5 months.

No, you aren't fine, you're just delaying the inevitable. You're creating a serious drain in your finances by paying all of these debts, and if you continue to borrow money like this, you will end up delinquent and default, and the massive pile of debt at the end will fuck you, and your parents (since they're supporting you) in the ass.
I earnestly hope you can manage your financial situation, but your own testimony suggests you struggle at personal fiscal responsibility.

 

[Diana Moon Glampers]

You have over $6000 in credit card debt and $5800 in personal loans, son. How the fuck are you getting dug out from that in five months, exactly, by paying minimum payments? You realize paying the minimum won't pay off your debt in 6 months, right?

Lolcow math is really the best math. Your credit is undoubtedly tanked right now from your ratio of maxed-out cards to available credit. That would be an amount of credit card debt that would be challenging to pay off for most people making $50,000-100,000 per year.

You're saying you could pay it off in five months, but that's if you put every dollar you had into it, and if it wasn't compounding interest in the meantime.

Let me ask you something: how many of the credit cards were taken out so you could pay off other credit cards?

 

[Shugo]

He literally spent $3000 he didn't have because he wanted to reward himself for quitting a job and getting a 2-week seasonal stint at a warehouse. How is that better than not saying no to Fingerhut?

Earlier in the thread he said he was going to be a millionaire within 5 years because he was able to save a "huge" amount of his sub $30k/year paycheck and invest it like a genius because he has a huge IQ and brain.

He didn't even make it 2 years of being employed before he got impatient with saving money, and took out a bunch of debt to spend money he "earned" which he didn't really earn it yet if he has to take out a loan for it.

I spent $3000 because it was a shitty year and wanted something nice to make me feel better. Not something I would do all the time.

Yes, it is something you will do all the time because you cannot think ahead. This year was bad for you? You want to feel better? Will spending money really make you feel better with your life? Why do you think next year will be any different?

Spending money is not the solution to unhappiness and it's scary that people like you think it is.

 

[KimCoppolaAficionado]

You have over $6000 in credit card debt and $5800 in personal loans, son. How the fuck are you getting dug out from that in five months, exactly, by paying minimum payments? You realize paying the minimum won't pay off your debt in 6 months, right?

Lolcow math is really the best math. Your credit is undoubtedly tanked right now from your ratio of maxed-out cards to available credit. That would be an amount of credit card debt that would be challenging to pay off for most people making $50,000-100,000 per year.

You're saying you could pay it off in five months, but that's if you put every dollar you had into it, and if it wasn't compounding interest in the meantime.

Let me ask you something: how many of the credit cards were taken out so you could pay off other credit cards?

Pretty sure he thinks he can just get Good Boy Points Trust to bail him out when the bank comes calling.

 

[Anaiah Carlson]

You have over $6000 in credit card debt and $5800 in personal loans, son. How the fuck are you getting dug out from that in five months, exactly, by paying minimum payments? You realize paying the minimum won't pay off your debt in 6 months, right?

Lolcow math is really the best math. Your credit is undoubtedly tanked right now from your ratio of maxed-out cards to available credit. That would be an amount of credit card debt that would be challenging to pay off for most people making $50,000-100,000 per year.

You're saying you could pay it off in five months, but that's if you put every dollar you had into it, and if it wasn't compounding interest in the meantime.

Let me ask you something: how many of the credit cards were taken out so you could pay off other credit cards?

The 5800 isnt actually personal loans
They are unregulated loans without a clear cut due date. I am paying back $2000 of that in five months. The remaining $4000 i dont plan on paying back till some later date. The credit cards i plan on paying all off in 5 months, but the final card with $2000 on it i might decide to take my time with.

My expenses are near zero so i can put almost all my money into it. 1500 every month. Times 5. 7500. More realistically 6500 when you subtract other minor expenses.

The plan was to put $2000 into stocks every month contingent on my friend investing with me. My friend stopped sending me money for a long time now. So that is tying up my money and preventing my get rich plan from coming to fruition. Liie always i have to do everything myself. Annoyingly. So its a delay in my goals

 

[Rumpled Foreskin]

Lol ten maxed out credit cards. Ten. Lol.

 

[Diana Moon Glampers]

The 5800 isnt actually personal loans
They are unregulated loans without a clear cut due date. I am paying back $2000 of that in five months. The remaining $4000 i dont plan on paying back till some later date. The credit cards i plan on paying all off in 5 months, but the final card with $2000 on it i might decide to take my time with.

My expenses are near zero so i can put almost all my money into it. 1500 every month. Times 5. 7500. More realistically 6500 when you subtract other minor expenses.

So in order to spend $3000 to make yourself feel better, you stopped investing your friend's money (so he's not going to be sending you any more), and have put yourself into a debt position where you're now a peon working off your indebtedness without spending money on anything else for the next six months.

Do you realize that if you'd saved $500 a month for 6 months, a mere portion of your salary, you'd have had $3000 free and clear to do what you'd like with it?

 

[gummy]

What did you buy with the $3000?

 

[Shugo]

The credit cards i plan on paying all off in 5 months

How? How do you expect to do this paying the minimum payments?

maxed out:
$2000 credit card
$700 credit card
$600 credit card
$500 credit card
$500 credit card
$450 credit card
$300 credit card
$300 credit card
$300 credit card
$200 credit card

This is $3850 before you add the fucking $2000 card. How do you expect to pay these all off in 5 months? You make 1500 a month sure, but what about whatever get-rich-quick schemes you come up with where you take out another $5,000 in debt to put into stocks or whatever risky plan you have? How will you fund that when you have a record of not being able to stop from spending your own money, but even taking on debts from multiple people just to fund your schemes, and maxing out 10 credit cards in the process?

What did you max these credit cards on?

Why do you think you can stop yourself and dedicate $770 a month to paying off your credit cards when you accrued over $5850 in credit card debt within a year, not including your $3000 feel-good splurge or whatever. You have no self control when it comes to finances.

What did you buy with the $3000?

Did it make you feel happy? Was it worth the $3000? I understand wanting to reward yourself but you need to understand that spending money will not make you happy for very long at all. You already spent so much money, you have so much owed to your personal friends too, but you still insist on borrowing and spending even more.

You're a lost cause if you have 10 maxed credit cards, several personal loans from close friends, and you still are talking about how you need to borrow more money.

 

[Jaded Optimist]

So what happens if you get fired and can't find work? What about if you get hurt, or sick?

 

[Anaiah Carlson]

So what happens if you get fired and can't find work? What about if you get hurt, or sick?

I could take $5000 from the stocks and use it to pay off credit cards. That would mean I don't have the money my friend lent me though so that's not ideal.

What did I spend the 3000 on?

Books, video games, and dvds.

I have expensive taste in books. Three volume set was $300. Another book was in the $200s. A few books were in the 100s. A few slightly less than $100. Then further I bought around 30 video games, as well as bought two nintendo 3ds, a Wii U, a VCR around $100, about 20 dvds, and I bought some clothes, went to see some movies in the theater, and had fancy dinners with my girlfriend. One such dinner was at a fancy place called texas de brazil and the price came to over $100 for dinner of two i paid for both of us. I also bought a christmas present for my parents, and a wedding gift for my brother. Thats the main gist of what i spent.

 

[Rumpled Foreskin]

Holy shit you spent three fucking grand on books and vidya and dvds ?!