Author Topic: PSA: Don't swipe recklessly for others  (Read 267603 times)

Offline Miami

  • Dansdeals Bronze Elite
  • *
  • Join Date: Apr 2017
  • Posts: 37
  • Total likes: 2
  • DansDeals.com Hat Tips 0
    • View Profile
Re: PSA: Don't swipe recklessly for others
« Reply #2550 on: February 25, 2019, 12:43:38 PM »
Pidypn shvuyim is next :-[
Amazing how he doesn't give his last name but when you scroll to the bottom of the page it says "created by" with the full name

Offline shnozolla

  • Dansdeals Silver Elite
  • **
  • Join Date: Jun 2011
  • Posts: 63
  • Total likes: 1
  • DansDeals.com Hat Tips 0
    • View Profile
Re: PSA: Don't swipe recklessly for others
« Reply #2551 on: February 25, 2019, 12:44:43 PM »
It's not a measly 2%, depending on how fast they pay back, it can be anywhere from 12%-24%. That's a pretty hefty return.

Or 60% - 120% in the 5% category, that is a pretty good return, perhaps not good enough for the amount of risk involved! But still, enough to cause many (including myself) to bury my head in the sand.

Offline S209

  • Dansdeals Lifetime Platinum Elite
  • *******
  • Join Date: Jun 2016
  • Posts: 1297
  • Total likes: 130
  • DansDeals.com Hat Tips 0
  • Gender: Male
    • View Profile
    • Gowns By Shevy
  • Location: Lakewood, NJ
  • Programs: Marriott Gold, SPG Gold, Ritz Carlton Gold, *G, Hyatt Explorist, Hertz PC, National EE, Rock Royalty Wild Card, Wyndham Diamond, MLife Gold, Total Rewards Diamond, Hilton Diamond, Uber VIP, IHG Platinum Elite, DDF Platinum Elite, American Express Platinum
Re: PSA: Don't swipe recklessly for others
« Reply #2552 on: February 25, 2019, 12:45:25 PM »
Or 60% - 120% in the 5% category, that is a pretty good return, perhaps not good enough for the amount of risk involved! But still, enough to cause many (including myself) to bury my head in the sand.
I'm pretty sure 120% is a good enough return to handle any risk in the world.

Still, you're fooling yourself if you think you're getting anywhere close to even 60% on a significant amount of money, short of signup bonuses, let alone 120%. There are caps on any major category spending.
Gowns By Shevy
732-806-1136
info@gownsbyshevy.com

Offline Dan

  • Administrator
  • Dansdeals Lifetime 50K Presidential Platinum Elite
  • **********
  • Join Date: May 2008
  • Posts: 53992
  • Total likes: 2530
  • DansDeals.com Hat Tips 16441
  • Gender: Male
    • View Profile
  • Location: CLE
  • Programs: UA Global Services, AA Lifetime Plat, DL Dirt, SPG Plat, Hyatt Diamond, Fairmont Lifetime Plat, Hilton Diamond, Priority Club Plat, Avis Chairman, National EE, Hertz PC
Re: PSA: Don't swipe recklessly for others
« Reply #2553 on: February 25, 2019, 12:48:34 PM »
Yet banks frequently lend at this rate on unsecured, non-recourse lines of credit (translation: credit cards) based on nothing but your credit score and stated income
Then why are they not lending these businesses (not buying groups) the capital they need?
Save your time, I don't answer PM. Post it in the forum and a dedicated DDF'er will get back to you as soon as possible.

Offline shnozolla

  • Dansdeals Silver Elite
  • **
  • Join Date: Jun 2011
  • Posts: 63
  • Total likes: 1
  • DansDeals.com Hat Tips 0
    • View Profile
Re: PSA: Don't swipe recklessly for others
« Reply #2554 on: February 25, 2019, 12:54:49 PM »
Then why are they not lending these businesses (not buying groups) the capital they need?

The business is growing? Owners cards are already being used? Credit card companies don't give unlimited credit lines?
Some businesses are in transition mode and not yet structured to receive a line of credit from the bank. e.g. a business that started on amazon and branches out to become a traditional business.

Offline joey89

  • Dansdeals Platinum Elite
  • ****
  • Join Date: Mar 2011
  • Posts: 389
  • Total likes: 64
  • DansDeals.com Hat Tips 0
    • View Profile
  • Location: New Orleans
Re: PSA: Don't swipe recklessly for others
« Reply #2555 on: February 25, 2019, 12:56:17 PM »
Yet banks frequently lend at this rate on unsecured, non-recourse lines of credit (translation: credit cards) based on nothing but your credit score and stated income
They peg the apr on the assumption that x amount of loans will default, however most dont default and the profit margin from the performing loans cover the loans that defaulted. In short they can spread their risk over many many customers. You are lending to one person so you have an inordinate amount of exposure. (Same idea as insurance paying out benefits which makes that specific policy a loss, however most policies our BH never claimed).
There are actuaries that get paid very well to price the risk, odds of default, etc.

Offline sruly

  • Dansdeals Lifetime Platinum Elite
  • *******
  • Join Date: Feb 2011
  • Posts: 1985
  • Total likes: 43
  • DansDeals.com Hat Tips 5
    • View Profile
Re: PSA: Don't swipe recklessly for others
« Reply #2556 on: February 25, 2019, 12:57:38 PM »
Not true, they have millions of dollars of funding from investors, they may run behind during busy times but they're primary purpose for using you is not for your cash flow.
agreed that their primary need is not your cash flow but they definitely do not have enough cash on hand to cover  everything.

Offline Dan

  • Administrator
  • Dansdeals Lifetime 50K Presidential Platinum Elite
  • **********
  • Join Date: May 2008
  • Posts: 53992
  • Total likes: 2530
  • DansDeals.com Hat Tips 16441
  • Gender: Male
    • View Profile
  • Location: CLE
  • Programs: UA Global Services, AA Lifetime Plat, DL Dirt, SPG Plat, Hyatt Diamond, Fairmont Lifetime Plat, Hilton Diamond, Priority Club Plat, Avis Chairman, National EE, Hertz PC
Re: PSA: Don't swipe recklessly for others
« Reply #2557 on: February 25, 2019, 12:59:31 PM »
The business is growing? Owners cards are already being used? Credit card companies don't give unlimited credit lines?
Some businesses are in transition mode and not yet structured to receive a line of credit from the bank. e.g. a business that started on amazon and branches out to become a traditional business.
That thought process is exactly how tens of millions of dollars vanished.
Save your time, I don't answer PM. Post it in the forum and a dedicated DDF'er will get back to you as soon as possible.

Offline mmgfarb

  • Dansdeals Lifetime Presidential Platinum Elite
  • *********
  • Join Date: Dec 2015
  • Posts: 7881
  • Total likes: 710
  • DansDeals.com Hat Tips 4
    • View Profile
Re: PSA: Don't swipe recklessly for others
« Reply #2558 on: February 25, 2019, 01:00:54 PM »
agreed that their primary need is not your cash flow but they definitely do not have enough cash on hand to cover  everything.
And you know that this is definitely true, how exactly?
"JS [is] a fetid cesspool of unvarnished linguistic manure, with lots of useless drivel and post-padding." -Moishebatchy

Offline S209

  • Dansdeals Lifetime Platinum Elite
  • *******
  • Join Date: Jun 2016
  • Posts: 1297
  • Total likes: 130
  • DansDeals.com Hat Tips 0
  • Gender: Male
    • View Profile
    • Gowns By Shevy
  • Location: Lakewood, NJ
  • Programs: Marriott Gold, SPG Gold, Ritz Carlton Gold, *G, Hyatt Explorist, Hertz PC, National EE, Rock Royalty Wild Card, Wyndham Diamond, MLife Gold, Total Rewards Diamond, Hilton Diamond, Uber VIP, IHG Platinum Elite, DDF Platinum Elite, American Express Platinum
Re: PSA: Don't swipe recklessly for others
« Reply #2559 on: February 25, 2019, 01:05:02 PM »
And you know that this is definitely true, how exactly?
See comments by @Markmann20 in the Buying Group thread, although that was busy season as you said
Gowns By Shevy
732-806-1136
info@gownsbyshevy.com

Offline 12HRS

  • Dansdeals Presidential Platinum Elite
  • ********
  • Join Date: Jun 2013
  • Posts: 4785
  • Total likes: 289
  • DansDeals.com Hat Tips 6
    • View Profile
Re: PSA: Don't swipe recklessly for others
« Reply #2560 on: February 25, 2019, 01:18:36 PM »
And you know that this is definitely true, how exactly?

they clearly do not.

Offline chayal101

  • Dansdeals Platinum Elite + Lifetime Silver Elite
  • *****
  • Join Date: Oct 2013
  • Posts: 696
  • Total likes: 89
  • DansDeals.com Hat Tips 2
  • Gender: Female
    • View Profile
Re: PSA: Don't swipe recklessly for others
« Reply #2561 on: February 25, 2019, 01:28:50 PM »
Yes. As of two months ago. Hence I cannot take advantage of any of the ink offers, etc.

Those are the banks that I settled with. They have me flagged in their system for eternity.
So I'm just curious... You're better off NOT settling and rather declaring bankruptcy or waiting 7 years (if no banks summons)?
Chaya L.

Online Redbull3

  • Dansdeals Presidential Platinum Elite
  • ********
  • Join Date: Dec 2011
  • Posts: 3203
  • Total likes: 81
  • DansDeals.com Hat Tips 1
    • View Profile
Re: PSA: Don't swipe recklessly for others
« Reply #2562 on: February 25, 2019, 02:13:53 PM »
The business is growing? Owners cards are already being used? Credit card companies don't give unlimited credit lines?
Some businesses are in transition mode and not yet structured to receive a line of credit from the bank. e.g. a business that started on amazon and branches out to become a traditional business.
Why don't banks give unlimited credit lines? Maybe because they have risk departments telling them not to? Do you?

Offline Menachem613

  • Dansdeals Lifetime Platinum Elite
  • *******
  • Join Date: Jun 2012
  • Posts: 1007
  • Total likes: 44
  • DansDeals.com Hat Tips 0
  • Gender: Male
    • View Profile
  • Location: NYC
Re: PSA: Don't swipe recklessly for others
« Reply #2563 on: February 25, 2019, 02:14:20 PM »
agreed that their primary need is not your cash flow but they definitely do not have enough cash on hand to cover  everything.


He implied as much.

Online Redbull3

  • Dansdeals Presidential Platinum Elite
  • ********
  • Join Date: Dec 2011
  • Posts: 3203
  • Total likes: 81
  • DansDeals.com Hat Tips 1
    • View Profile
Re: PSA: Don't swipe recklessly for others
« Reply #2564 on: February 25, 2019, 02:14:38 PM »
Like said earlier, when banks say no and you say yes, you are betting on being smarter than a bank.