if we didnt have CREDIT we would never survive on our salaries so why is everything so expensive that we have?

Question

to have credit to afford them.

I DONT HAVE A CREDIT CARD OR ANY CREDIT I BUY WHAT I CAN AFFORD WITH CASH AND GO WITHOUT TILL THE END OF THE MONTH IF NEED BE

Answer 1

The fact that people use credit is a major cause of higher prices. If everyone only paid cash, many companies would be forced to reduce prices or never sell their products.

Answer 2

Everything always was too expensive. The trouble with us is that we must have everything now. In the past when there were no credit cards and hire-purchase was strictly controlled by the government. (Post war, to stop inflation whilst the Country was paying off the war debt) people just did not have `consumer goods` there was not a great deal of `luxury` items available to buy anyway. What you could not afford, you did without, like everyone else. To buy goods on hire-purchase you needed a large deposit, and if you were not a home-owner, you had to get a guarantor who was. Unless they knew you well,they would not do this, because if you didn`t make a payment ,the company could make them pay the full price of the goods immediately.I am not advocating that we return to those frugal ways, but there should be more control over companies that give credit to people who quite obviously cannot afford to repay it. If a few of those companies were forced by the courts to cancel the debts of people that they "miss-loaned" to,then I am sure they would not be so keen to get people into debt in future dealings.We must all try not to want everything we see. Both for financial and ecological reasons.

Answer 3

The interest rates on your credit card is expensive enough as it is. The only way to make things less expensive is to spend less. That sends a clear signal to the market to drop their prices. For example, if you are being ripped off by the power utilities, turn off your hot water and shower at the gym. Cut off your phone line and use your cellphone and internet cafes. Stop buying fast food and make your own breakfasts, lunches, dinners.

Answer 4

It is horrible isn;t it!

It;s so hard to make enough money just to pay for our expenses let alone save money to invest in the future. Though, it;s our own faults isn;t it? We live beyond our means.

Do we need the cell phone? Do we need the call display? Do we need the car and the premium insurance? Do we need to get our hair done? Do we need to buy those jeans? Do we need the computer and the internet? Do we need the cable and the flat screen?

If we lived with only the bare minimum of what we needed, we would probably do just fine, but none of us want that. We want more, and the only way to get more is credit.

Answer 5

I dont buy stuff on credit, never have done, I just save up. If I can't save up and by it, then it's out of my price range and I do without. I think half the things people own is because credit is available, if it wasn't then we'd still manage just fine. I have acar, washing machine, dishwasher, computer... all the usual things, none of it bought on credit. It can be done, just means budgeting.

Answer 6

It's ppl like you who make the banks rich. Credit isn't free money. It's your own money, paid back to you from future payments, with interest subtracted. Relying on revolving credit to make day-to-day transactions and paying the astronomical interest rates is detrimental to your financial health. Have you tried saving up *before* making a purchase?

Now, if your question is soley related to housing expense, that's a different question that involves market forces like supply and demand.

Answer 7

someone is making a big profit......today the average person spends more than they earn....even those who earn 100,000 a year and up!....credit cards have interest rates of up to 24%....the banks and credit companies love your debt and want to keep you there for your entire life, and you have to stay since you already owe them your next paycheck...and that's exactly how they planned it.

reasons things are so expensive;

CEO's make big bucks.
Banks make big bucks.
Insurance companies make big bucks.
Greed

Buy now and pay later....and pay....and pay.....

Answer 8

Because we keep buying them. Supply and demand. Stop buying a particular product on mass and see what happens to the price.

Answer 9

It's britain- total rip-off

Answer 10

So the rich can get richer.