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1   everything   ignore (1)   2018 May 20, 4:00pm   ↑ like (0)   ↓ dislike (0)   quote        

That median cashout is spiking some, last time some pals were doing that to pay off their credit cards, or buy vehicles and stuff. I've seen friends with the most beautiful property only owing 100k on a loan totally blow it and lose the place with nothing to show for it. I'm seeing commercials for reverse mortgages again. Higher home prices definitely help keep the consumer economy rolling, that is until it doesn't. I still think we are pulling off another 2008, but on the sly. As long as the money creation machine can keep going we should be fine for, I don't even think a recession is possible until possibly the end of trump presidency.
2   Tenpoundbass   ignore (11)   2018 May 20, 4:24pm   ↑ like (1)   ↓ dislike (0)   quote        

Look how wide the car note spread has gotten since 2003

It's gone from 16K for a starter car to 24K but by time you are out the door it's more like 30K because they have to tack on all of the upfront financing and dealer fees.
Which have gone through the roof unchallenged by the office Faux a Hauntus at the CFPB.
3   APOCALYPSEFUCKisShostikovitch   ignore (32)   2018 May 20, 4:45pm   ↑ like (4)   ↓ dislike (0)   quote        

Tenpoundbass says
upfront financing and dealer fees


Car dealers are loan brokers. The cars have been beside the point forever.

Anyone with an interest in cars is at the Police auction.
4   TrumpingTits   ignore (0)   2018 May 20, 4:47pm   ↑ like (1)   ↓ dislike (1)   quote        

Tenpoundbass says
Which have gone through the roof unchallenged by the office Faux a Hauntus at the CFPB.

The UNCONSTITUTIONAL CFPB...for as long as it is not legally required to have oversight by Congress.
5   Logan Mohtashami   ignore (0)   2018 May 20, 5:09pm   ↑ like (0)   ↓ dislike (0)   quote        




Huge difference between the cash out cycle now and the previous one


1. It isn't going to low quality credit Americans

2. Volumes are light compared to 2004-2006

3. Debt is as vanilla as possible No exotic loan structure out there

4. LTV's are a lot lower in this cycle

6   Strategist   ignore (1)   2018 May 20, 5:17pm   ↑ like (1)   ↓ dislike (0)   quote        

Patrick says


Mortgage is OK.
Student loans are OK.
Auto loans - maybe OK
Credit cards Not OK
7   Logan Mohtashami   ignore (0)   2018 May 20, 5:27pm   ↑ like (1)   ↓ dislike (0)   quote        

Strategist says
Credit cards Not OK


CC utilization rates are low actually, since this will be the longest economic expansion every recorded in history the low levels of delinquencies on lower quality debt should be expected

If anything debt expansion is light

Fixed debt cost vs income are near multi decade lows

8   Strategist   ignore (1)   2018 May 20, 5:54pm   ↑ like (0)   ↓ dislike (0)   quote        

Logan Mohtashami says
Strategist says
Credit cards Not OK


CC utilization rates are low actually, since this will be the longest economic expansion every recorded in history the low levels of delinquencies on lower quality debt should be expected

If anything debt expansion is light


Yeah, I see that. With the economic boom that is just beginning, the credit card debt is sure to increase. Incomes, prosperity, net worth will increase too, making the higher debts affordable. I said it before, and I say it again......Worldwide economic boom that is upon us will take everyone by surprise. It will be led by no other than the great USA, as usual.
9   Strategist   ignore (1)   2018 May 20, 5:56pm   ↑ like (0)   ↓ dislike (0)   quote        

Hey Logan, you need to educate the naysayers on Patnet more often. Do some good for mankind.
10   Patrick   ignore (0)   2018 May 20, 6:02pm   ↑ like (0)   ↓ dislike (0)   quote        

Strategist says
Student loans are OK.


I disagree. They are going to strangle the economy. Newly graduated students won't be able to buy anything. And total student loan debt just keeps growing quickly.

Which is by design, of course. Debt is slavery, and the rich need slaves.
11   TrumpingTits   ignore (0)   2018 May 20, 6:20pm   ↑ like (1)   ↓ dislike (1)   quote        

Patrick says
Newly graduated students won't be able to buy anything

Like houses.

So let's see:

1) Obama/Pelosi/Reid nationalize the student loan industry*.
2) The student loan industry (the government) now life indebtslaves young adults long before the credit card and mortgage companies ever even get their shot to do so.
3) This leads to a situation that a) increases the tuition inflation universities engage in, b) allows the government to buy votes via 'forgiving' the student loans so the kiddies can go on to become c) mortgage slaves anyway.

Thing is: Step part B of Step 3 is dependent upon political parties in power of a certain ideology or, over time, simply enough of them to be bought by the Banksters who pull all the strings anyway. So for the GOP, expect some sort of 'community service' or something to throw at its taxpaying voters to get them off their backs when they 'forgive' the debt. For the Democrats, they will simply call it 'universal college education' or some such drek.

So don't worry. The Scam is in. The banksters will get their rightful slaves. That you can be sure of.

*Except for a few politically connected 'non-profit' lending groups, most of the student loans are now owned by the government.
12   APOCALYPSEFUCKisShostikovitch   ignore (32)   2018 May 20, 6:41pm   ↑ like (0)   ↓ dislike (0)   quote        

Patrick says
They are going to strangle the economy


I heard brokers complain about threat of student debt in 1991.
13   Logan Mohtashami   ignore (0)   2018 May 20, 7:51pm   ↑ like (0)   ↓ dislike (0)   quote        

Do some good for mankind.



Majority of student loan debt is under 15K

Less than 3% are over 100K

Majority of student loans delinquent are from college drop outs, avg balance under 10K

Don't feel bad for college graduated Americans, they make money, especially Grad students who borrower the most and make up 40% of all student loan debt

14   Strategist   ignore (1)   2018 May 20, 8:23pm   ↑ like (0)   ↓ dislike (0)   quote        

Patrick says
Strategist says
Student loans are OK.


I disagree. They are going to strangle the economy. Newly graduated students won't be able to buy anything. And total student loan debt just keeps growing quickly.

Which is by design, of course. Debt is slavery, and the rich need slaves.


Logan Mohtashami says


OK Patrick here is a choice....Pick one:
1. No college. No student loans. Low income for life.
2. College. Student loans. High income for life.
15   Strategist   ignore (1)   2018 May 20, 8:26pm   ↑ like (0)   ↓ dislike (0)   quote        

Debt, when used to increase your income or wealth is good.
Debt, when not used to increase your income nor wealth, is bad.
16   lostand confused   ignore (0)   2018 May 20, 8:29pm   ↑ like (0)   ↓ dislike (0)   quote        

Is gold digging included in this-marry somebody who makes money and divorce him after the long term marriage clause is over and then get lifetime alimony and half of all assets.
17   Strategist   ignore (1)   2018 May 20, 8:33pm   ↑ like (0)   ↓ dislike (0)   quote        

lostand confused says
Is gold digging included in this-marry somebody who makes money and divorce him after the long term marriage clause is over and then get lifetime alimony and half of all assets.


I would include that in the category of scams, ripoffs, and fraud.
18   TrumpingTits   ignore (0)   2018 May 20, 9:47pm   ↑ like (1)   ↓ dislike (0)   quote        

Strategist says
2. College. Student loans. High income for life.


Riiiightttt.....Do you think it is too late in life for me to rush to college to sign up for a huge student loan to get my BS in Penis Oppression Studies?

19   everything   ignore (1)   2018 May 21, 7:44am   ↑ like (0)   ↓ dislike (0)   quote        

It's true, even though CC debt is at all time highs, it's all just rollover debt. Although the small banks have rising delinquencies, they are the places that have small max credit limits, small potatoes. As far as the trillion in CC debt, we all know allot of that will never be paid off, I mean do you think the biggest shorter of the dollar (the fed) ever plans on paying it back, ha!, banks will suckle off the interest like they always do.

I'm seeing more baby boomers putting the down payments into the millennials starter homes, sometimes even buying them outright. With the runup in equities most of the baby boomers are loaded. Still, some of that equity is due to higher prices! My condo value went from 100k to 130k in less than 4 years and it's junk, with a 2.625% loan I don't even think about paying the loan down anymore even though I could pay it off right now. AND, more investor owners, own properties, although home ownership is increasing again, it's not really ownership it just looks like it!, the investors let some go (the junk).

I have middle aged friends who stuck with it, no college at all!, don't make all that much money (ok 60k a year), are millionaires on paper. Other people I know, they make double what I was making when we were making equal 20 years ago!, that's the difference between health care and IT (oops).

This debt cycle is a little different than previous, debt matters less, and it's easy to service and rollover options are plenty. Bankers are more careful than prior, they want all forms of collateral documented. Some are a little more careful with debt.

Student loan debt is an awesome thing, you can defer paying it off long enough to where inflation eats the value of it up, this is what happened with mine, but I only owed 10k. Some won't pay it back, they have other issues, often health keeps them working, still others found out chosen career sucked, or they never wanted to work to begin with, maybe no work ethic. For the men raised by women, in feminist society, yeah some are lost as a result.

I didn't use to be so optimistic, it is a debt ridden society, but where does the money come from to keep floating all this! Well .. my paychecks are going down as I continue to work same job, through health care monopoly. Skimming is rampant now, ER rooms and plumbers charge by the minute, I equate it to the legal mob mentality. I just work more to keep up.
20   KgK one   ignore (0)   2018 May 21, 9:04am   ↑ like (0)   ↓ dislike (0)   quote        

Great analysis
Doctorate and professional household make 173 k? Docters make 300k but PhDs usually make lot less.
Guessing phd make about 130 k but guessing their spouse are also educated n both together make 173k avg.

What is your recommendation on where to invest for next few years, stocks? Which one.
Also what side hustle might give extra dough
21   Strategist   ignore (1)   2018 May 21, 9:17am   ↑ like (0)   ↓ dislike (0)   quote        

everything says
I'm seeing more baby boomers putting the down payments into the millennials starter homes, sometimes even buying them outright. With the runup in equities most of the baby boomers are loaded. Still, some of that equity is due to higher prices! My condo value went from 100k to 130k in less than 4 years and it's junk, with a 2.625% loan I don't even think about paying the loan down anymore even though I could pay it off right now.


In some regions home prices are so high, a millennial will not be able to buy a home without their parents help. It's OK as long as the kid is responsible.
I made sure my daughter got her own OC condo 3 years ago when she was 23. She rents out 2 of the bedrooms to roommates which covers most of her payments. I'm making the same offer to my 22 year old son, but he is more interested in starting his own business.
22   everything   ignore (1)   2018 May 21, 12:58pm   ↑ like (0)   ↓ dislike (0)   quote        

College loan tidbits.. Keep in mind, a trillions and billions don't mean much anymore, and debt doesn't matter, especially if you put paying it off. The last girl I dated got her ex husband to pay hers off, before she left him.
https://www.marketwatch.com/story/womens-student-debt-could-hit-1-trillion-within-the-next-year-2018-05-21?siteid=bigcharts&dist=bigcharts




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