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To: benwood who wrote (24163)	2/23/2005 1:17:20 PM
From: redfish	Respond to of 116555

I agree and I don't think a sharp pullback in consumer spending is avoidable. Insolvency is pretty traumatic for most people imo and they aren't going to risk it twice. Once you are in deep to the credit card companies there is no hope.

To: benwood who wrote (24163)	2/23/2005 1:31:31 PM
From: oldgrey	Respond to of 116555

Ben I believe the term for that is Kiting.(Kite-ing) It's supposed to be illegal I think. CHEERS OLDGREY

To: benwood who wrote (24163)	2/23/2005 2:03:53 PM
From: Elroy Jetson	Respond to of 116555

I'm sure there are any number of people with shockingly high credit card balances, but $300k is the most I've ever heard of. If someone charged their card to the max and kept it for six years at 20% interest, the bank can charge off the balance in bankruptcy and will still have collected 4% interest per year, plus the 2% inter-bank fee on the charges. If I charged up my Visa cards, I doubt the banks would cancel my cards or lower my credit limit - they'd probably raise the limits. But I'm fairly certain my FICO credit score would drop from 835 to something more like 580 - and deservedly so.