Splitit’s Post

What we ignore is the fact that credit card companies continue to charge egregious interest rates of 20% - 29.99%. Why is this legal when for the last 25 years (until last year) banks were borrowing money from the Fed at or near 0% ? While banks fed their shareholders huge profits, the lower and middle class lost access to credit, while those able to secure credit, paid for it with usury interest rates. As a small business owner for almost 40 years, limiting access to credit most certainly limits your ability to grow your business. This is one of the many unspoken threads of fascism in this country; give giant corporations access to all the capital they need but limit access for the small business. https://lnkd.in/eraiyFgU

Credit cards have ‘never been this expensive,’ the Consumer Financial Protection Bureau (CFPB) says. Consumers who carry a balance on their credit cards paid an average annual percentage rate of 22.8% at the end of 2023, according to federal data. Card issuers have also been increasing their profit margins, according to the CFPB. One possible solution to combat these high credit card interest rates is to use your home equity to consolidate the debt. Typically, the interest rate on a home equity loan or line of credit is substantially lower than credit card rates. I’m happy to provide you with a cost analysis to see if tapping your home equity makes sense. Reach out today. #creditcarddebt #creditcard #creditcards #creditgoals #financialfreedom #creditcarddebtfree #debtfreecommunity #homeequity #refinance #equity #homeequitylineofcredit #debtconsolidation #debtrelief #debtmanagement #debtfreegoals #debtpayoff #debtfreeliving #debtfreelife #homemortgageexpert

In a recent report by the Consumer Financial Protection Bureau (CFPB), it’s revealed that U.S. consumers paid a staggering $105 billion in #creditcard interest and an additional $25 billion in fees in 2022. In this blog, CFX Labs takes a look at: 💳 Current debt trends in the U.S. 💳 Financial burden on the American consumer 💳 Fintech’s power to create change #creditcarddebt

💳🤔 Debit vs. Credit Cards: The Great Personal Finance Debate 🤔💳 The question of whether to use a debit or credit card is a classic in personal finance circles. Let's break it down: 🔑 Credit Cards: They come with perks like rewards and enhanced fraud protection, which can be a game-changer for your finances. But, and it's a big but, they require discipline. I've seen the pitfalls of credit card misuse leading to overwhelming debt. The golden rule? Treat your credit card like a debit card. Only spend what you can pay off immediately. If you're confident in clearing your balance each month, credit cards can be a powerful financial tool. 🔑 Debit Cards: The safer bet if you're wary of overspending. Debit cards keep you within your financial limits, as you can only spend what you have. They're straightforward and help avoid the debt trap that can come with credit cards. The bottom line? It all boils down to your spending habits and financial discipline. 📊 So, what's your choice? Are you team credit card for the rewards and protection, or team debit card for the straightforward spending? Share your thoughts and experiences in the comments! #CreditVsDebit #PersonalFinanceTips #SmartSpending #FinancialHealth #MoneyManagement #LegacyMutualMortgage #WilliamAdamsHomeLoans #TheAdamsTeam

Why do you think banks offer interest on their accounts? Is it to make you wealthy? (Come on, you can be honest.) The answer is clearly no. Here's how it works. It's simple and utterly brilliant... You deposit $1,000. They offer you a small return for holding your money. Meanwhile, they're loaning that $1,000 out to other people at a far higher interest rate. Check this. Suppose you deposit money at a bank and earn a 2% interest rate. Using the Rule of 72, you estimate that your money will double in 36 years! (The Rule of 72, if you're new here, is 72 ÷ Interest Rate = Years to Double.) But what if you get approved for a credit card from the same bank? They might charge you an 18% interest rate. So, using the Rule of 72, they'll double their money in just four years. The bank is incentivized to offer you as little interest as possible while charging you as much interest as possible. But here's a secret—they're counting on your ignorance to make this system work. Once you realize how stacked the odds are against you, you'll avoid credit card debt like the plague, and you'll start asking a simple question... Where can I go to actually grow my money? #howmoneyworks #financialliteracy #ruleof72 #saving #creditcards #debt

Why do you think banks offer interest on their accounts? Is it to make you wealthy? (Come on, you can be honest.) The answer is clearly no. Here's how it works. It's simple and utterly brilliant... You deposit $1,000. They offer you a small return for holding your money. Meanwhile, they're loaning that $1,000 out to other people at a far higher interest rate. Check this. Suppose you deposit money at a bank and earn a 2% interest rate. Using the Rule of 72, you estimate that your money will double in 36 years! (The Rule of 72, if you're new here, is 72 ÷ Interest Rate = Years to Double.) But what if you get approved for a credit card from the same bank? They might charge you an 18% interest rate. So, using the Rule of 72, they'll double their money in just four years. The bank is incentivized to offer you as little interest as possible while charging you as much interest as possible. But here's a secret—they're counting on your ignorance to make this system work. Once you realize how stacked the odds are against you, you'll avoid credit card debt like the plague, and you'll start asking a simple question... Where can I go to actually grow my money? #howmoneyworks #financialliteracy #ruleof72 #saving #creditcards #debt

Why do you think banks offer interest on their accounts? Is it to make you wealthy? (Come on, you can be honest.) The answer is clearly no. Here's how it works. It's simple and utterly brilliant... You deposit $1,000. They offer you a small return for holding your money. Meanwhile, they're loaning that $1,000 out to other people at a far higher interest rate. Check this. Suppose you deposit money at a bank and earn a 2% interest rate. Using the Rule of 72, you estimate that your money will double in 36 years! (The Rule of 72, if you're new here, is 72 ÷ Interest Rate = Years to Double.) But what if you get approved for a credit card from the same bank? They might charge you an 18% interest rate. So, using the Rule of 72, they'll double their money in just four years. The bank is incentivized to offer you as little interest as possible while charging you as much interest as possible. But here's a secret—they're counting on your ignorance to make this system work. Once you realize how stacked the odds are against you, you'll avoid credit card debt like the plague, and you'll start asking a simple question... Where can I go to actually grow my money? #howmoneyworks #financialliteracy #ruleof72 #saving #creditcards #debt

Why do you think banks offer interest on their accounts? Is it to make you wealthy? (Come on, you can be honest.) The answer is clearly no. Here's how it works. It's simple and utterly brilliant... You deposit $1,000. They offer you a small return for holding your money. Meanwhile, they're loaning that $1,000 out to other people at a far higher interest rate. Check this. Suppose you deposit money at a bank and earn a 2% interest rate. Using the Rule of 72, you estimate that your money will double in 36 years! (The Rule of 72, if you're new here, is 72 ÷ Interest Rate = Years to Double.) But what if you get approved for a credit card from the same bank? They might charge you an 18% interest rate. So, using the Rule of 72, they'll double their money in just four years. The bank is incentivized to offer you as little interest as possible while charging you as much interest as possible. But here's a secret—they're counting on your ignorance to make this system work. Once you realize how stacked the odds are against you, you'll avoid credit card debt like the plague, and you'll start asking a simple question... Where can I go to actually grow my money? #howmoneyworks #financialliteracy #ruleof72 #saving #creditcards #debt

Do you have a pesky credit card balance that you feel like you can’t get ahead on? High interest rates might be hindering your progress. In fact, on average, the credit card annual percentage rate in 2023 was 21.47% according to the Federal Reserve. This means if you are carrying a balance month to month, your payments might be primarily going to interest, costing you thousands in the long run. 🏃♂️ However, there is a solution that can consolidate credit card payments and eliminate interest all together for a specified time. We’re talking about credit card balance transfers. By transferring balances from high-interest cards to ones with lower rates or introductory 0% APR periods, you can effectively reduce your interest expenses and pay off debt more efficiently. It should be considered that opening a new line of credit can affect your credit score. 📊 Some interest-free periods can last up to 18 months, but the monthly payment may need to be increased from the minimum to ensure full payment before the interest restarts. Additionally, most cards will charge a low percentage fee (ex: 1-5%) to complete the transfer. This should also be assessed to ensure the transfer is worth the cost. #Debt has become an everyday juggling act for most Americans, but intentionality and proper planning can help you get ahead. Ultimately, credit card transfers can #empower you to take control of your financial wellbeing and reduce your debt burdens. ✔️ The information provided is not written or intended as tax or legal advice. Investment advisory services offered through DWD Portfolio Solutions Inc. an SEC Registered Investment Adviser.

Do you have a pesky credit card balance that you feel like you can’t get ahead on? High interest rates might be hindering your progress. In fact, on average, the credit card annual percentage rate in 2023 was 21.47% according to the Federal Reserve. This means if you are carrying a balance month to month, your payments might be primarily going to interest, costing you thousands in the long run. 🏃♂️ However, there is a solution that can consolidate credit card payments and eliminate interest all together for a specified time. We’re talking about credit card balance transfers. By transferring balances from high-interest cards to ones with lower rates or introductory 0% APR periods, you can effectively reduce your interest expenses and pay off debt more efficiently. It should be considered that opening a new line of credit can affect your credit score. 📊 Some interest-free periods can last up to 18 months, but the monthly payment may need to be increased from the minimum to ensure full payment before the interest restarts. Additionally, most cards will charge a low percentage fee (ex: 1-5%) to complete the transfer. This should also be assessed to ensure the transfer is worth the cost. #Debt has become an everyday juggling act for most Americans, but intentionality and proper planning can help you get ahead. Ultimately, credit card transfers can #empower you to take control of your financial wellbeing and reduce your debt burdens. ✔️ The information provided is not written or intended as tax or legal advice. Investment advisory services offered through DWD Portfolio Solutions Inc. an SEC Registered Investment Adviser.