[quote=scaredyclassic]a major concern when retiring is outliving your $.

i wonder why more oldsters dont max out credit cards after, say, 80, to extend their monies when they exhaust or come closer to exhausting assets.

with good planning and credit, it wouldnt be unreasonable to run up 4 or 500k in credit card debt, and by ponzi scheming with cash advances, using that as living expenses for say 80 to 90+.

too much planning? ethics? seems like its risky for credit card cos. not to discriminate on basis of age when there are no assets as time is running out….[/quote]

Yes you can probably do this and get away with it. From what I know, almost all CC debt is unsecured and not guaranteed. That’s why I would imagine many young people and people with little net worth wouldn’t mind using CC to start new businesses with the thought of BKing in case things don’t work out as expected. This being said, I think that CC know this and probably run a fairly large sample size to differentiate characteristics to minimize default risk or to analyze the risk/reward relationship. I mean if microlending sites like Lending Club can do it, I’m sure companies like Visa and MasterCard have it perfected. Therefore, it is very likely (aside from just a FICO) that they probably already adjusted the risk as appropriate before you even realize. For instance, if I was thinking about cash advancing all my cards to leave the country, they would probably notice my purchasing history (travel magazines, fodor guidebooks) and put a stop on that in a matter of seconds.