Author Topic: PSA: Don't swipe recklessly for others (Read 862315 times)

Menachem613 · « **Reply #1780 on:** January 31, 2019, 08:38:34 PM »

Quote from: sruly on January 31, 2019, 08:30:49 PM

I wouldnt say a $1000 loss is life altering for most buyers.

$250k on the other hand.....

$1k is a drop in the bucket for me too but don't fool yourself, there are many people living paycheck to paycheck and yes, $1k may be the difference between feeding a family or not.

zale · « **Reply #1781 on:** January 31, 2019, 08:43:22 PM »

Quote from: gozalim on January 31, 2019, 08:37:07 PM

http://www.ch10.co.il/news/437550/#.XFOiL1VKiUk

@chbochur was that guy playing the market with it?

I know this story but was not aware that this story had anything to do with credit card swiping. This was a straight-up scheme, and most of the investors were wealthy people.

ib3 · « **Reply #1782 on:** January 31, 2019, 08:51:22 PM »

Quote from: Menachem613 on January 31, 2019, 08:38:34 PM

$1k is a drop in the bucket for me too but don't fool yourself, there are many people living paycheck to paycheck and yes, $1k may be the difference between feeding a family or not.

+1. The proof? That people are ready to do something as crazy as letting someone swipe your card to rack up the points. Desperation leads to bad decisions.

12HRS · « **Reply #1783 on:** January 31, 2019, 08:53:01 PM »

FTR buying groups is not the same thing. Not saying there is no risk or its not high risk even but its not comparable at all.

zale · « **Reply #1784 on:** January 31, 2019, 08:54:50 PM »

Quote from: gozalim on January 31, 2019, 08:30:08 PM

you need to keep in mind:
never invest/lend what you cannot walk away from and afford to loose. come up with that number and don't deviate.

This statement is a little too generalized. It really depends on the type of investment.

An investment into an asset such as real estate is generally considered safer. I would argue that it’s safe to borrow money for such an investment, but only if it’s your personal investment, not giving it to someone who claims to be buying a property.

Any investment not backed by hard assets is risky. You should never invest more money than you can afford to lose into stocks or start-up businesses.

Buying groups land somewhere in the middle. Based on posts in this thread, I will definitely agree with you that it’s best to err on the side of caution and only buy what you can afford to lose, or at least what you can afford to pay off within 1 year if something catastrophic were to happen.

gozalim · « **Reply #1785 on:** January 31, 2019, 08:56:55 PM »

Quote from: zale on January 31, 2019, 08:43:22 PM

I know this story but was not aware that this story had anything to do with credit card swiping. This was a straight-up scheme, and most of the investors were wealthy people.

I don't think it involved cc.
I do think it's what he was taking about

yesitsme · « **Reply #1786 on:** January 31, 2019, 09:03:05 PM »

Quote from: yesitsme on January 22, 2019, 05:17:25 PM

whats with the latest bad investment/investor?

gingyguy · « **Reply #1787 on:** January 31, 2019, 10:16:36 PM »

Quote from: 12HRS on January 31, 2019, 08:53:01 PM

FTR buying groups is not the same thing. Not saying there is no risk or its not high risk even but its not comparable at all.

the only similarity is that people go in to buying groups thinking that nothing can go wrong the same way they swipe their cards for other people thinking nothing can go wrong. but the risk is definitely significantly lower by buying groups

whYME · « **Reply #1788 on:** January 31, 2019, 10:24:43 PM »

Quote from: gozalim on January 31, 2019, 08:56:55 PM

I don't think it involved cc.
I do think it's what he was taking about

+1

12HRS · « **Reply #1789 on:** January 31, 2019, 11:02:37 PM »

Quote from: gingyguy on January 31, 2019, 10:16:36 PM

the only similarity is that people go in to buying groups thinking that nothing can go wrong the same way they swipe their cards for other people thinking nothing can go wrong. but the risk is definitely significantly lower by buying groups

agreed with the bold.

risk with buying groups is they don't pay or decide not to take your product or product goes missing with a signature. but I would argue that risk is involved in many different business where you sell a product and send an invoice, client can mess you over in lots of industries. I was actually thinking of buying specialized insurance just for this reason.

Yehuda57 · « **Reply #1790 on:** January 31, 2019, 11:31:05 PM »

Quote from: 12HRS on January 31, 2019, 11:02:37 PM

agreed with the bold.

risk with buying groups is they don't pay or decide not to take your product or product goes missing with a signature. but I would argue that risk is involved in many different business where you sell a product and send an invoice, client can mess you over in lots of industries. I was actually thinking of buying specialized insurance just for this reason.

The difference is that buying group buyers are not looking at this as a business move or doing any sort of risk assessment. Many are unaware that there is any risk at all. Some are singles in Yeshivah without income doing it for points, others are people living paycheck to paycheck also looking for a few extra points/dollars wherever they can get them. An article by Dan alerting them to the risks, even if the risks are lower than just swiping for someone, would be very beneficial, IMNSHO.

YesThatsMe · « **Reply #1791 on:** January 31, 2019, 11:35:24 PM »

Quote from: zale on January 31, 2019, 08:54:50 PM

This statement is a little too generalized. It really depends on the type of investment.

An investment into an asset such as real estate is generally considered safer. I would argue that it’s safe to borrow money for such an investment, but only if it’s your personal investment, not giving it to someone who claims to be buying a property.

Any investment not backed by hard assets is risky. You should never invest more money than you can afford to lose into stocks or start-up businesses.

Buying groups land somewhere in the middle. Based on posts in this thread, I will definitely agree with you that it’s best to err on the side of caution and only buy what you can afford to lose, or at least what you can afford to pay off within 1 year if something catastrophic were to happen.

+1, although I would also argue that Bonds (debt) are also asset backed (Investment Grade).

Stocks from the S&P 500 are the next tier, safe, but don’t take the margin if you can’t afford the loss.

chbochur · « **Reply #1792 on:** February 01, 2019, 01:18:23 AM »

Quote from: gozalim on January 31, 2019, 08:37:07 PM

http://www.ch10.co.il/news/437550/#.XFOiL1VKiUk

@chbochur was that guy playing the market with it?

To be honest I don't know if anyone is totally sure as to what he did with it.
(This coming from people who lost over a million dollars in that story)

ludmila · « **Reply #1793 on:** February 01, 2019, 01:44:36 AM »

Quote from: chbochur on February 01, 2019, 01:18:23 AM

To be honest I don't know if anyone is totally sure as to what he did with it.
(This coming from people who lost over a million dollars in that story)

The CH10 article in Hebrew claims over $13 million.

gozalim · « **Reply #1794 on:** February 01, 2019, 01:59:39 AM »

Quote from: ludmila on February 01, 2019, 01:44:36 AM

The CH10 article in Hebrew claims over $13 million.

you're talking total he's talking per single investor

churnbabychurn · « **Reply #1795 on:** February 01, 2019, 06:46:41 AM »

Quote from: chbochur on February 01, 2019, 01:18:23 AM

To be honest I don't know if anyone is totally sure as to what he did with it.
(This coming from people who lost over a million dollars in that story)

Article says he's a degenerate gambler