Originally Posted by
StanSeven
Maybe someone doesn't need a $5000 bicycle or a nice vacation but they want them. Shouldn't they decide how to spend their own money?
Of course, but when we're talking about credit we're talking about spending the bank's money.
For most people, I'm sure it would be fine if this is your only debt and your debt to income ratio is great and all that. If you have a $10k credit card balance, a mortgage that is a bit of a stretch, a $800/mo car payment, and no savings, this could be a disaster. I try to make major purchase decisions with the what-if-I-get-laid-off factor.