That's why we want to have our money supply managed by a highly professional and independent central bank that is insulated from partisan politics and short-term political affairs. And that follows a statutory dual mandate to manage both inflation and unemployment.
We have Argentina and Zimbabwe as examples of what happens when politicians get their hands on and politicize the operations of their central banks for short-term political gain.
1 x
A fool can throw out more questions than a wise man can answer. -RZehr
It helps the debtor. The inflation of the early 80s effectively reduced my student loan debt (Never more than the price of a cheap car anyway) to what I could pay off in a couple of paychecks.
Doesn’t help if they have variable rate loans, like credit cards and many student loans.
But most loans have caps on how much they can go up per quarter, how much they can go up through the loan term, this will prevent rate increases from fully correcting for hyper inflation.
It helps the debtor. The inflation of the early 80s effectively reduced my student loan debt (Never more than the price of a cheap car anyway) to what I could pay off in a couple of paychecks.
Doesn’t help if they have variable rate loans, like credit cards and many student loans.
But most loans have caps on how much they can go up per quarter, how much they can go up through the loan term, this will prevent rate increases from fully correcting for hyper inflation.
I would expect the banks to promptly find a way to “fix” that. My credit card’s current interest rate is north of 30%.
Doesn’t help if they have variable rate loans, like credit cards and many student loans.
But most loans have caps on how much they can go up per quarter, how much they can go up through the loan term, this will prevent rate increases from fully correcting for hyper inflation.
I would expect the banks to promptly find a way to “fix” that. My credit card’s current interest rate is north of 30%.
Mine is 21%. Mortgages generally have a limit as to how much they can go up per quarter. Credit cards generally do not.
Judas Maccabeus wrote: ↑Thu Sep 11, 2025 9:51 pm
But most loans have caps on how much they can go up per quarter, how much they can go up through the loan term, this will prevent rate increases from fully correcting for hyper inflation.
I would expect the banks to promptly find a way to “fix” that. My credit card’s current interest rate is north of 30%.
Mine is 21%. Mortgages generally have a limit as to how much they can go up per quarter. Credit cards generally do not.
I am paying 0% on all of my credit cards. I don't really pay attention when they adjust the rates, although I'm sure they do now and then.
JohnH wrote: ↑Thu Sep 11, 2025 10:04 pm
I would expect the banks to promptly find a way to “fix” that. My credit card’s current interest rate is north of 30%.
Mine is 21%. Mortgages generally have a limit as to how much they can go up per quarter. Credit cards generally do not.
I am paying 0% on all of my credit cards. I don't really pay attention when they adjust the rates, although I'm sure they do now and then.
ohio jones wrote: ↑Sun Sep 14, 2025 9:12 pm
I am paying 0% on all of my credit cards. I don't really pay attention when they adjust the rates, although I'm sure they do now and then.
I am in the same boat. They must hate both of us.
You'd think, but I never seem to have trouble getting approved for another one to add to the collection. The algorithm must value low risk over profit potential.
If only Heller's investors would have done the same.
Some folks think Heller ought to be put to work to pay for the losses he caused rather than just getting three hots and a cot the rest of his life. https://archive.ph/2VDQn
We no longer have debtors' prisons in America; likewise, it seems rather absurd to give someone life in prison for securities fraud. I don't think securities fraud is equivalent to premeditated rape or murder, and thus it should not merit the same punishment.
“As we became friendly and worked through the contract and continued our friendship, he (Hostetter) introduced me to this opportunity, both the ATMs and the cannabis opportunity,” Brandt said.
I find a victim particularly unsympathetic who was chasing a "cannabis opportunity". Lie down with dogs; rise up with fleas.