I would say...sorry i can't. I know you are having difficulties but I don't want to be responsible for paying off someone else's credit card if you can't.

Selling possessions is a good response. Tell them to have a giant garage sale.

My parents would never co-sign anything for us. They said "if you want it bad enough-work for it".

SamKaren
your resident DJ

I agree with Samkaren. I wouldn't encourage anyone to get a credit card if they have bad credit and can't afford to pay the card. Also, my parents never co-signed for me. I have also never co-signed anything for my daughter and hope I never have to.

I would politely decline and only offer advise if I was asked.

Nice analogy, Joyful. I'm pretty sure we are going to get the extra credit card. I'm watching the proceedings on TV. It's like watching a dog chase its tail.

If your friend had 20 dependent children who were relying on food in the next week or face going without, it makes things a little more complicated. Sure, your friend can sell things off, get a second job, but these things take time. Meanwhile, the dependent children, through no fault of their own, are going to go hungry until she figures out her finances. Why should they go hungry because she's irresponsible? She needs to find a way to feed them first, and then figure out the debt.

I think more people and government agencies should start watching Suze Orman on TV She'd say "Denied"

It just baffles me that people don't seem to understand the implications of defaulting and not being able to pay the bills. Not only the support of millions and millions of people, but our military, our economic status, our currency, our interest rates, the loss of our credit rating. These are huge with massive effects that will be felt for a very long time. Yes, increasing the debt isn't ideal but it's much better than defaulting.

I would say nada, nope, ABSOLUTELY NOT! I would not suggest any help, because he has probably heard it all before. My dad use say this..."Never give advice...wise men do not need it, and fools will not heed it." Best "advice" I ever heard.

I agree, Chi83. Raise ceiling, cut spending. Not so sure about the balanced budget amendment.

I agree with you 100 percent OJ. We were discussing this with friends at dinner the other night and I used a very similar analogy.

I had that very situation happen to me about a month ago. One of my kin folk came to me and asked me to co-sign for a credit card.

I politely told her that I am already extended to my limits and I could not take on any more risk at this time.

I would "never" co-sign for a credit card, cell phone or anything else for anyone.. If children were involved I would help with food but I would not hand over money.. If they can't handle their own money how do you think they are going to handle mine??

The "kids" in my analogy are the millions of people who paid into the system and who are entitled to their social security and risk going without or having late payments cause of the government. I'm curious how you would give them food but not money? Food stamps?

Things were getting tight, and the divorce wasn't scheduled yet... and I was getting very worried.

I went out, and got a job. I changed jobs since then, to one that pays a bit better.

No, I really would prefer not going to work every day at this time of my life, but to get to where I want to be... I have to work.

No unpaid bills for me.

I wish, the government could figure out how to cut back. Everyone can do with less most of the time.

Moni

Yes, chi83. It's a mean game of chicken that a certain faction started, using the debt ceiling for use in blackmail. Raising the debt ceiling has nothing to do with spending/cutting/taxing. It does boggle the mind how few people don't know anything about anything going on right now. Check out Hot Topics if you're interested.

No, I would not give help to buy another credit card, because you know that very quickly it would be up to its limit too. Tough Love is in order here. Your friend would have to learn to prioritize his spending and stop spending money on luxuries that are not important. Downsizing would be a good step. The gimme gimme, you owe me that mentality would have to go. One doesn't need the biggest house or the fancy expensive car, fancy vacations. Instead I would guide my friend in better work ethics, perhaps an extra part time job where the money is set aside and used to pay down the debts already incurred. If my friend refused a job because he/she thought they were worth more money than the job offered.....well too bad, take the job. Some money is better than no money and free handouts. Oh and by the way, if the friend has family, perhaps the whole family should work together united in paying off the debt. Tell the family the truth about what is owing and why they got into the financial mess in the first place and work together to get out of debt. Even small steps in economy will add to a better future.

Chi83 is right. The implications from defaulting on the national debt are staggering.

This starts off as a question about a person then turns into politics. OK. AFAIC, there's a gigantic difference between personal finances, corporate finances and nations' finances. They don't get handled the same way IMO.

My opinion, companies and nations responsibly handling debt can and will be successful. People can, but these days few are responsibly handling debt. A business and a country (or a state) needs short term cover loans until the accounts receivable come in. Individuals usually work on a cash accounting rather than accrual accounting method, though these days, people keep trying to convert.

But when one is deep in the hole ... isn't it wise to stop digging?

And maybe look for a way to start filling up the hole?

When one is going deeper in debt, year by year ... where is it to end up?

And let's not forget that there are a number of Boomers about to retire, feeling entitled to pension/income ... and they have never been used to doing without ... and have got used to getting their way.

Medical services will be overtaxed when they become the big wave of seniors, also.

Seems to me that there are large increases in rather necessary spending, coming down the pipe.

With any increases in income? Many seem to pooh-pooh that.

And the numbers in the middle class, traditionally the main contributors to goverrnment income, is shrinking.

Seems to me that the days of strong political partisanship, if they continue, may well drag the country into third world status.

Time for statesmanship to trump political posturings, no?

ole joyfuelled

OJ, I thought you were using a parable. Were you, or were you referring to individuals?

This has always been a political analogy. There is no friend with a credit card.

And yes, welcome to the US. Where some people care more about who wins the next election than the well-being of the entire country. Where many, many people vote not on the issues but because of their hatred of certain parties. Where our elected officials fight like stubborn pre-schoolers while we're left helpless with nothing to do but watch.

It's just way too over simplistic to just say "well stop spending" because that doesn't solve the problem right now, which is that in exactly 2 days we could have a crisis. People who depend on social security checks might not get them. Loss of our credit rating means car loans, mortgages, all interest rates will shoot up. Our dollar will fall even lower than it is now. All the people who depend on social security, that they paid into, will risk defaulting on their own mortgages and bills because they don't get their check on time.

This painful recession will be nothing compared to what will happen if the US can't pay it's bills and loses it's top credit rating. Anyone who relies on social security, on medicare, on medicaid, on disability, on military pensions, on any kind of government assistance will not be able to rely on that income anymore. Everyone is saying "Don't spend more!" but where do you think these checks come from? And trust me, social security will NOT be the first thing the US pays if it has to pick and choose bills.

Figuring out the debt, raising taxes, cutting spending...that's all fine and well but those things take time. We don't have time.

I hope everyone who relies on this money has a back up plan.

Correct - OJ's post wzs about the debt ceiling from the beginning. He was trying to make a point by comparing it to a friend needing another credit card and trying to teach an economy lesson. I get the point.

I agree with posters that we in the US are in deep trouble if our leaders, etc. don't figure this out and come together somehow on it. We're effectively out of time now.

No,No.No I have helped sooo many people Only to get stabbed ,its gonna stop no more,if you do get it in writing forwhen youll have to sue...Make sure they sign & date.

why not ask the koch brothers for a loan or norquist..they seem to dish out plenty of tea bags...

I wouldn't borrow or lend to a friend or relative. I am currently in debt (dumb,I know) on credit cards but I'm paying them off slowly but surely and I'll be out of their grasp within 3 years. I once borrowed $1000 from my Mom to buy a car for work, but I paid her back (with intetest) within a year.

Chi83, IMHO you are so right in everything you've said so far. But if we default, if won't be just our country that suffers.

Cynic, since you seem to know, will you please explain to me why you think there's a big difference in whether it's a citizen being able to pay his bills or a government? I've read that myself, but nobody ever explains just what the difference is. Explain in English, if you don't mind. I'm sure I'm not the only one that fails to see the difference.