[speaker001:] okay um do you want to start do you have a
[speaker002:] well credit cards um I think think they are wonderful but um uh I think you have to have a lot of restraint um I have never been in trouble with credit cards but uh my youngest daughter is and a friend of mine is and I think it is terrible that they can uh you know wipe out a max in uh such a short time
[speaker001:] um-hum
[speaker002:] uh I never pay interest charges I value my money too much to uh line somebody else's pockets with my money
[speaker001:] um-hum
[speaker002:] and I always um pay it off before um I am charged any interest on my balance
[speaker001:] so you never let it run up on you
[speaker002:] never
[speaker001:] that is wonderful that is wonderful I am uh I I kind of uh uh I'm just do very you know just just all depends that it when I have everything all paid off and then I start wanting something and I don't really have enough well don't have enough in savings savings you know like for a big purchase
[speaker002:] um-hum
[speaker001:] then uh sometimes I I uh lose sight of it you know it's it just it is just is easy to use and then uh after a while I I am like you I hate paying those people interest and then I make
[speaker002:] um um-hum
[speaker001:] I make I I added like uh uh wrote uh an addition to to my car loan through the credit union which I knew was lower interest just to pay them all off and then I swore I would never use them again
[speaker002:] um-hum right you really have to show a lot of restraint but if you look at if you look at the time frame on that uh you will find that you have about six or seven weeks
[speaker001:] um-hum
[speaker002:] before you have to make that payment back to the credit card company without being charged any interest
[speaker001:] the only thing is you have to make sure that you don't charge more than you know you are going to be able to pay
[speaker002:] that's correct yeah you
[speaker001:] at a given time and
[speaker002:] um-hum your budget has to be so that you can uh you know summarize what your balance is going to be at a particular time and I can do that
[speaker001:] yeah and the problem the problem is especially with young people is they they want things now they don't want to have to wait for them and credit cards are the way to do that
[speaker002:] that's right
[speaker001:] and then then they're in trouble
[speaker002:] well that's what the you know that's what that's what it is geared for advertisement you know is uh to wet you appetite and give you that
[speaker001:] um-hum
[speaker002:] oh I've got to have that I can't live without that and that's the image that the younger generation has you know
[speaker001:] I have a I have a friend who uh well she is old enough to know better but uh she she did it and she got really in bad shape she ended up going into bankruptcy
[speaker002:] um-hum
[speaker001:] Palley Royal is her downfall and there is no limit on those things
[speaker002:] on that
[speaker001:] they just let you come and spend and you know run it up run it up so I don't know
[speaker002:] who was that that could
[speaker001:] Palley Palley Royal
[speaker002:] is that a department store
[speaker001:] uh-huh
[speaker002:] oh okay that's probably
[speaker001:] I I do not know if I don't know if it is local
[speaker002:] no it is not in uh in Dallas huh-uh no we we have Dillard's and uh Sanger Harris and Macy's and
[speaker001:] no Palley Royal
[speaker002:] Neiman Marcus and things like that and I am sure that they probably would not have a problem either
[speaker001:] I know I know a lot of people who uh some gals some ladies at work who don't have any problems with money or anything but they they really love Palley Royal so you know they it is just hard you know you got stay away or else you might end up you just can't help yourself and buy
[speaker002:] well self-control yeah self-control though is the key
[speaker001:] self-control is the key my daughter has my daughter is twenty and she got a Sears credit card when she was about eighteen
[speaker002:] um-hum um-hum um-hum um-hum
[speaker001:] and uh Christmas before last she and her boyfriend her boyfriend had gotten one too I believe and they gave some of the most wonderful gifts to everyone in their family I mean they spent lots of money on they gave each other these beautiful things they gave stuff to all of us and we were going
[speaker002:] um oh dear
[speaker001:] I can't believe you all did this you should not have done this and they got angry and said we wanted to do it
[speaker002:] um-hum um-hum
[speaker001:] okay now she is still paying on that Sears charge she has now you know she's learned and she she is uh definitely paying it off paying paying on it and not running it back up but you can't tell them
[speaker002:] wow sure well experience is the best teacher and sometimes you know uh a lot of us have have to learn by experience and and uh if you can learn by someone's else's past mistakes then you are very wise
[speaker001:] that's right
[speaker002:] if you can heed to advice given
[speaker001:] um-hum the only good thing one good thing about credit cards though uh especially in business if you uh you have to you know you are going to be reimbursed by your company
[speaker002:] that's true yes I am yeah um-hum
[speaker001:] and then uh in fact I know of a man who is in uh he is in a he he he he well he he is in an oil pipe pipe line selling kind of a thing and he has to he has to live on credit cards and then he gets commission you know later on but if he did not have credit cards he could not exist because a lot of those you know because he knows
[speaker002:] um-hum
[speaker001:] six weeks down the road he is probably you know he is going to get the money to pay for it but he really does so sometimes I think
[speaker002:] sure oh credit cards are you know really a blessing
[speaker001:] um-hum
[speaker002:] uh but you have to be wise when you use them
[speaker001:] that's true
[speaker002:] and uh I have nothing against them other than you know people abusing it and then they get themselves in hot water and you know they're just hurting theirselves and when you uh have a bankruptcy uh it takes you I think about eight years to wipe that off your record
[speaker001:] oh yeah yeah
[speaker002:] and so you know that is the shame about that is uh and people won't touch you and you've got to live that down
[speaker001:] um-hum that is true that's really true
[speaker002:] so you have to be very cautious about how you use your credit I mean it is a wonderful thing but don't abuse it
[speaker001:] right uh you know like emergencies or something that you do not have the ready cash that you do not have cash and you have to
[speaker002:] oh absolutely sure
[speaker001:] your car breaks down or you have to you have to have something
[speaker002:] um-hum sure
[speaker001:] it is a real it's you know you do not have the mo ney in savings so it really is a lifesaver at times when you do have to use it but but like you say use it wisely
[speaker002:] that's right
[speaker001:] only in you know when you really have to or knowing that you are going to pay it off every every month so that is that is something about American Express if you only use American Express you do not have a choice
[speaker002:] well there is a lot of people that uh know exactly what they are doing and they will run into tho usands and thousands of dollars into debt and they will deliberately do this so that they can go into bankruptcy and they they have a way of uh diverting all of the things that they've bought and put it like in hiding
[speaker001:] you're kidding
[speaker002:] no I have heard uh uh there was a radio program in Dallas that we listen to and I well it in fact it's nationwide and I was shocked at some of the stories that came out of that uh program about these people that really you know they bought all these wonderful things and then they went bankrupt
[speaker001:] and they were knowing they were going into bankruptcy
[speaker002:] and they knew that yes they knew that they were going to do that and they just um-hum
[speaker001:] so they it was planned
[speaker002:] and uh they said you know it was worth the uh jeopardizing their credit for that amount of time because they still had the stuff you know and they could write it off you know they can only um be responsible for a certain percent and not the full uh amount that they owed and I do not know who um determines uh the percentage rate that they have to repay but it is not surely what they are were indebted for
[speaker001:] oh no right
[speaker002:] um-hum so it it they use it as a scam instead of uh to me they were criminals and they used that that in a in a really bad situation
[speaker001:] yeah
[speaker002:] and that has kind of snowballed I guess around so I do not know maybe the courts and lawyers are working on that to cover you know cover all the loopholes that might exist but I've never been in that situation and hope I never have to be
[speaker001:] yeah me too really well I guess we covered it
[speaker002:] okay
[speaker001:] do you have any do you have anything else you want to add
[speaker002:] no I can't think of anything I am sure that we haven't covered everything because that is uh that is a great big uh a ball
[speaker001:] well if you have got any other thoughts
[speaker002:] uh credit
[speaker001:] throw them out
[speaker002:] I can't think of anything right now well listen thank you for calling and you have a good day
[speaker001:] well thank you Catherine bye
[speaker002:] bye-bye