4 ms·

If you have credit, you're not really poor. The comment I responded to said poorest that seems even worse.

by narag 3y ago

karaterobot 3y ago
I don't know where you got that information, but you were misinformed. It is the case that most credit cards have minimum bank balances, but they aren't high enough to stop people from getting them. A lot of households with bank accounts are considered 'underbanked', a euphemism meaning they've got enough money for a bank account, but also use services like payday loans, pawn shops, money orders, and so on. These are poor people, unless you arbitrarily choose the cutoff for poverty as "cannot get a credit card", which I don't think anybody does. And the majority of these household have credit cards. This is from an FDIC survey summary: > Underbanked households were less likely to have a credit card and were more likely to have both bank and nonbank personal loans than fully banked households in 2021. For example, 62.4 percent of underbanked households had a credit card, compared with 76.6 percent of fully banked households. (https://www.fdic.gov/analysis/household-survey/index.html https://www.fdic.gov/analysis/household-survey/index.html) And here's another source, from the Federal Reserve Bank of NY, saying: > Credit card debt is the most commonly held debt across all income groups, yet only half of low-income households have access to a credit card. (https://www.newyorkfed.org/medialibrary/media/press/the-state-of-low-income-america-credit-access-debt-payment-march-2022 https://www.newyorkfed.org/medialibrary/media/press/the-stat...)
- narag 3y ago
  For context, please read the original comment I was replying to. It's a criticism to luxury brands preying on the poorest. If someone is really poor and buys B&O products instead of using the little credit they can access to cover basic needs, the problem is supposed to be B&O greed? It's more a problem of banks' policy or maybe mental health. Should B&O refuse to sell to poor people? When I've seen B&O mentioned, it's usually people bashing them for being mediocre audio quality sold more based on form than substance. That seems to be their business model, maybe a problem for those that have a lot of money to burn. But for the poorest? It's like saying that the problem with Lamborghini is how they squeeze the working class with their prices. There is people addicted to shopping that spends way too much in cheap stuff. Mountains of useless shiny things. This is not about price.

If you have credit, you're not really poor. The comment I responded to said poorest that seems even worse.

by narag 3y ago

If you have credit, you're not really poor. The comment I responded to said poorest that seems even worse.

I don't know where you got that information, but you were misinformed. It is the case that most credit cards have minimum bank balances, but they aren't high enough to stop people from getting them. A lot of households with bank accounts are considered 'underbanked', a euphemism meaning they've got enough money for a bank account, but also use services like payday loans, pawn shops, money orders, and so on. These are poor people, unless you arbitrarily choose the cutoff for poverty as "cannot get a credit card", which I don't think anybody does. And the majority of these household have credit cards. This is from an FDIC survey summary: > Underbanked households were less likely to have a credit card and were more likely to have both bank and nonbank personal loans than fully banked households in 2021. For example, 62.4 percent of underbanked households had a credit card, compared with 76.6 percent of fully banked households. (https://www.fdic.gov/analysis/household-survey/index.html https://www.fdic.gov/analysis/household-survey/index.html) And here's another source, from the Federal Reserve Bank of NY, saying: > Credit card debt is the most commonly held debt across all income groups, yet only half of low-income households have access to a credit card. (https://www.newyorkfed.org/medialibrary/media/press/the-state-of-low-income-america-credit-access-debt-payment-march-2022 https://www.newyorkfed.org/medialibrary/media/press/the-stat...)

narag 3y ago
For context, please read the original comment I was replying to. It's a criticism to luxury brands preying on the poorest. If someone is really poor and buys B&O products instead of using the little credit they can access to cover basic needs, the problem is supposed to be B&O greed? It's more a problem of banks' policy or maybe mental health. Should B&O refuse to sell to poor people? When I've seen B&O mentioned, it's usually people bashing them for being mediocre audio quality sold more based on form than substance. That seems to be their business model, maybe a problem for those that have a lot of money to burn. But for the poorest? It's like saying that the problem with Lamborghini is how they squeeze the working class with their prices. There is people addicted to shopping that spends way too much in cheap stuff. Mountains of useless shiny things. This is not about price.