How does credit work?

basically you sign a contract with a bank saying you'll start paying them interest and they make a ledger transaction in your name creating 'x' amount of dollars. essentially the endgame is getting you to pay interest on all of the purchases you make, forever.

to buy a credit card to improve my credit

You have no history

I have some books

usury is a sin

Just because it IS

Only viable options
Also you don’t even want to take a big loan for long term investment (e. g. boomer mortgage)
If it really has to be one episodic necessity don’t even bother having bad credit: just pay off the loan the faster you can and start saving in order not to need consumer credit anymore

Historically money was only loaned with collateral, aka, "I'll lend you up to 80% of the value of your house with your deed as a guarantee". Even a huge interest % of profit is wiped out if one person refuses to pay so SOMETHING is needed to put skin in the game.

"Credit" has existed in some degree since the Roman times, certified "bonafide" people would carry around a credit card of sorts signed by a bank guaranteeing the person is good for the IOU, but these were only for the wealthiest and most fiscally responsible of people. In the late 80s, credit became popular initially in the US for the masses (and later to the rest of the developed world). This credit uses the "good name" of the person as collateral (which can be elevated or lowered based on a "score" by credit bureaus). Credit is the greatest thing ever for the few people responsible enough to wield it... fuck the people without self control.

It's not, it proves the bank that you can handle credit and pay it off. Remember the bank's business model is to give you just enough rope to hang yourself... barely. So by taking out loans and paying them, you prove the bank they can lend you even MORE money at better rates... hoping you'll fall behind on your debts but not bad enough to default on your loans.

save up $100-500 and get a secured credit card. you give them the money to hold in case u don't pay. Then pay regularly all the time and they'll increase the limits and u start building credit

I have 80k in shares at 21, isn't that enough for them? Why do I need to pay shares to prove I'm not retarded with my money

underrated post
thanks for the contribution

No. It only proves you can attain revenue... not that you can be trusted with credit. You have to prove you can handle economic temptation. There's plenty of moronic niggers that MAKE plenty of money and lose it all due to poor fiscal responsibility.

>bank creates money out of thin air for you
>if you pay your full balance every month, they get 1-3% of all your purchases
>if you pay minimum payments every month, they collect big interest
>if you just dont pay, after 3 months they quickly sell the debt to a partner
Its free money and the banks never lose money on credit lending. They only ever lose money making stupid bets on nonsensical financial products.

idk they just give me a card and say it has credit
how do they put the credit in the card? is it made from plastic too? I don't know

Investing demonstrates fiscal responsibility

I need to take out loans with interest instead of paying for things with saving to "demonstrate fiscal responsibility" - do you know how dumb that is

You never need to pay a single penny of interest payments. Get credit/charge cards buy stuff during the month and pay off the balance in full, keep climbing the credit card ranks until your credit score is high enough.

The People are the credit of the Nation. Your ssn, and berth certificate are financial instruments on deposit with the FED. Credit is secured by this straw man. The DOJ now persecutes attempts to access this private system, which used to be possible. Pay yo bills with your account at the fed. This is why muds are so valuable to attorneys, here and not in turd world. Each person secures the State millions per year of credit for the State. The FED is a bucket shop for securities.

they press the button and *VRRRRRRRRRRRRRRRRRRRR* money comes out

imagine actually believing this

1933 Congressman Mc Fadden Floor Speech