[quote=earlyretirement]Wait. Are you actually saying you don’t find anything wrong with small time retail investors using their credit cards to fund their investment accounts and stock purchases or the speculative currency markets????
It sounds like the Commodities Futures Trading Commission is also probably going to ban credit cards so it sounds like it’s an issue there as well.
AN, do you find anything wrong with the case I listed of a guy using credit card cash advance checks depositing these into his margin trading account and using it to trade and buy/sell stocks?
Everyone in life is trying to get themselves “financially independent but most reasonable people don’t gamble like this. I mean, what limits do you have on how far is too far? I didn’t expect anyone to try to justify someone using their credit cards to sink it in the stock market so I have to admit this surprises me.
What about someone that takes out a HELOC and sinks it in the stock market? If this guy is trying to “increase his spending pot” is it ok or justified?[/quote]
Do I think it’s a wise thing to do? No. Would I do it myself? No. But again, it’s their freedom to do whatever they want with the opportunity available. I don’t see them as any different than the millions who spend well beyond their means through credit.
Not everyone in life is trying to get themselves financially independent. The vast majority goes to work and spend every dollar they make and use credit card to spend even more.
Keep in mind that my limit is different than yours which is different than these people. I’m not going to say my limit is the right limit and everyone else’s limit is wrong. They have to decide for themselves what their limit is.
I think you fail to see most don’t have the kind of pot you have. Most don’t have a pot at all. I’m not trying to justify anyone else’s behavior. I simply state those who borrow $ from credit card to invest is not that different that those who borrow $ from credit card to buy junk. I’m sure you wouldn’t borrow $ from credit card to buy junk that you can’t afford. But Millions of Americans do.
