Are we missing something?

[Edbear]

http://i704.photobucket.com/albums/ww48/Edbearnz/net_worth.jpg

[slofox]

Tell me about it...

[cc rider]

yes, connectivity to each other (too deep?) :rolleyes:

[Hitcher]

This cartoon appears to advocate the same philosophy that some political parties ascribe to: encourage generosity with borrowed money. Nine years of the last administration appears to have taught some very little indeed.

[mashman]

So, if you want to mug someone, the richest is the homeless guy... time to go pay the 2 dollar woman a visit and introduce myself as Robin Hood!!!

[Maha]

So, if you want to mug someone, the richest is the homeless guy... time to go pay the 2 dollar woman a visit and introduce myself as Robin Hood!!!

Seems so, hes the only one with the cash!!!

[ManDownUnder]

Missing something? HELL YES!

Interesting how the richest among us are the money lenders innit? VISA "allow" shop owners the convenience of giving customers credit and take a cut on all spending.

So what do they actually do?
1) Charge $100/annum for a bit of plastic and a ton of automated systems
2) Charge the retailer a margin on all money spent
3) Charge high interest rates on any moies not paid off in full each money

... so at the risk of repeating myself... what do they actually do?

Boad of lollix! What a suprise the credit crunch hit with such a punch

[Edbear]

I did notice that net worth is a calculation of debt v. assets which isn't mentioned in the cartoon. So even though some may have debt, it may be outweighed by their assets and they may have the disposable income to service the debt.

Many are in the position of being asset-rich but cash-poor which places their assets at risk, ie: forced to sell.

Too many people have been living beyond their means for too long and the piper wants to be paid. How long can you spend $1.20 per $1.00 earned and not hit the wall?

We have been virtually ambushed over the years by lender's wanting us to take out extra loans/mortgages to have our "dreams now" and "put it on the house"! I've always said, "Yeah, but we have to pay it back out of our income."

So rather than pay off an expensive vehicle and not have the cash to put gas in it, we drive an older free-hold one and don't think about the HP payments, there are none. Sure we haven't been overseas for a while but then we haven't put a trip "on the house" and be struggling to pay it off after being laid off from my last job.

I can afford to work for cheap at the moment while I help build my daughter and son-in-law's business as Manager knowing I'll get the financial rewards in due course. (sorry Spank, but www.hotwatercylinder.co.nz and www.plumbers.co.nz :rolleyes:) Then we'll have our overseas trip.

We may not be flash, but we sleep better.

[3L4NS1R]

I did notice that net worth is a calculation of debt v. assets which isn't mentioned in the cartoon.

I thought that too, but then the cartoonist must've thought that too, because none of the loans are specifically for 'assets'. (ie. car loan, credit card, personal loan etc.)

smart cookie.

[Edbear]

I thought that too, but then the cartoonist must've thought that too, because none of the loans are specifically for 'assets'. (ie. car loan, credit card, personal loan etc.)

smart cookie.

Good point!

[Mikkel]

... so at the risk of repeating myself... what do they actually do?

They back your claim to credit. If you came to me with a piece of plastic and said "some guy gave me this and said you'll give me stuff provided you let him know how much I spend" I'd probably be wanting to know that this "some guy" would indeed be able to make good on that promise.

Not too different, in a way, from how the currency is backed by some wealthy institution (The Reserve Bank).

Not to mention that they provide a long list of securities in regards to the service.

[ManDownUnder]

reminds me of seomthign I read years ago...

When you meet the bank manager for coffee and owe the bank 10,000.. you pay the bill

When you meet them but owe 100,000,000... they pay the bill.

Them with the least to lose... win!