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What would happen if we all cut up our plastic and switched to cash? And what would happen if people started saving for items they needed, rather than buying into the consumer mind-set? Would people live more simply and live happier more fulfilled lives?
Listen to this story and tell me what you think.
{ 7 comments… read them below or add one }
I already made the switch. I do not intend to ever use consumer credit again. Perhaps for property someday, but that is not my 1st choice either.
Here Here…I cut up my last credit card months ago and haven’t missed it! It’s the ultimate in simplifying in my opinion and was an essential step in getting ready to move around the globe! Now I’m culling my camping gear…if you’re in Seattle and need anything, let me know!
Jesse – that is awesome! We still use credit cards, but only once in a while and pay the bill ASAP. Credit comes in handy when we rent cars. Without a credit card, renting a car is a rough process.
Good luck going through your camping gear. We donated some of our camping stuff last year and that was so hard!
Thank you for reading the blog. I truly appreciate it.
I should clarify, I do have a debit card. I don’t consider that credit, since if the money’s not there…well, you know.
To answer your questions.
1) The velocity of money would drop causing momentary deflation after which prices would stabilize at a new lower level.
2) Interest rates would drop.
3) Hehe, if you think people are capable of making deliberate choices, the answer is no, they would not, since they now have fewer options to manage their money. And vice-a-versa.
Hey Jacob – thanks for leaving a comment. I love your blog!
Hehe is right! I continue to dream of puppies and rainbow’s and hope that people will make deliberate choices, rather than being sheep. But I continue to be disappointed.
We use our credit card to buy everything, from groceries to bills….and we pay it off every single month, we never have to pay an interest rate or do the payment plans. We never buy more than we have and we save even more. I think we are not as addicted to stuff and things as other people so that make it easy for us. I know some people use credit cards as a loan type thing and then never are able to pay it off. That sounds really scary to me (and since I know a lot of people who have been crushed by dept I hope I never have to deal with that!!).
Unfortunately I think credit makes the world work and that is the way our economy is set up. One thing that buying everything on our credit cards does is builds us up to have awesome credit…although I dont know what that gets us really sometimes…
Tina