Remember When
August 10th, 2018 at 2:56:06 PM permalink | |
Evenbob Member since: Oct 24, 2012 Threads: 146 Posts: 25010 |
It was my dads first charge account, he was very proud of the card. If you take a risk, you may lose. If you never take a risk, you will always lose. |
August 10th, 2018 at 9:30:16 PM permalink | |
zippyboy Member since: Oct 24, 2012 Threads: 2 Posts: 665 | I believe the first credit card was Diner's Club. People at the time couldn't believe they could just leave the restaurant without paying, they could "put it on their card", whatever that meant. |
August 11th, 2018 at 12:03:55 AM permalink | |
Pacomartin Member since: Oct 24, 2012 Threads: 1068 Posts: 12569 |
That is more or less true. Diner's club was a "charge card", and not a "credit card". Diners Club Card,debuted in 1950. In the early 1900s, a few U.S. department stores and oil companies took credit one step further by issuing their own proprietary cards, the precursor to modern-day store cards. Such cards were accepted only at the issuing merchant and designed less for convenience than to promote customer loyalty and improve service. Bank-issued charge cards originated in 1946 when a Brooklyn banker named John Biggins launched the Charg-It card. Charg-It purchases were forwarded to Biggins’ bank, the middleman that reimbursed the merchant and obtained payment from the customer. Purchases could only be made locally and only bank customers could obtain a Charg-It card. The American Express card, launched in 1958. But then a lightning bolt struck. The real profits would come from interest, and not just convenience! The Credit card was going to replace the charge card. Bank of America also debuted in 1958, mailing unsolicited BankAmericard credit cards to select California markets. In 1966, BankAmericard went national to become the nation’s first licensed general-purpose credit card. It would be renamed Visa in 1976. In 1966, a group of California banks formed the Interbank Card Association (ITC), which would soon issue the nation’s second major bank card, MasterCard. The slang deadbeat was used in British and American English from early 19th century to mean worn out. After the civil war in American English it started to mean "worthless sponging idler". At some point, in a sort of joke, the credit card industry began calling people who pay off their balance every month deadbeats. |
August 11th, 2018 at 4:10:39 AM permalink | |
AZDuffman Member since: Oct 24, 2012 Threads: 135 Posts: 18136 |
IIRC some exec had clients out for dinner and was short, couldn't pay. Embarrassed he decided there had to be a better way. The President is a fink. |
August 11th, 2018 at 11:05:46 AM permalink | |
Evenbob Member since: Oct 24, 2012 Threads: 146 Posts: 25010 |
In the early 60's my dad had to get a small loan when he wanted something that cost a couple hundred. There were loan shops downtown where you could borrow as little as $50 at reasonable rates. The CC put them out of business. A CC is just a loan, without having to leave the house to get it. If you take a risk, you may lose. If you never take a risk, you will always lose. |
August 11th, 2018 at 12:04:26 PM permalink | |
AZDuffman Member since: Oct 24, 2012 Threads: 135 Posts: 18136 |
$50 then is like $500 now. Impossible to make money at those levels unless you charge 3-20% a week in interest. The President is a fink. |
August 11th, 2018 at 12:20:56 PM permalink | |
Fleastiff Member since: Oct 27, 2012 Threads: 62 Posts: 7831 | Pawn shops and union halls were often a source of 'a few extra bucks' for some special need. Later, small loan companies became available and of course their rates were steep but their collection methods did not involve "legbreakers". The vocabulary says it all. "Credit" means debt. "Credit History" means debt history. The thrifty who paid off their credit cards each month were 'deadbeats' because they paid no interest. People with zillions of entries in their savings accounts were also deadbeats because they kept no money in a checking account. Those without a credit history couldn't get loans. Now. Even the Jewish Free Loan Society closed its doors. |
August 11th, 2018 at 12:23:23 PM permalink | |
Evenbob Member since: Oct 24, 2012 Threads: 146 Posts: 25010 |
I remember on year my dad got a $50 loan from Beneficial Loan for Xmas presents. That's $425 in today's money. This is a page from a 1961 Xmas catalog. You could get a lot of toys for $50. If you take a risk, you may lose. If you never take a risk, you will always lose. |
August 11th, 2018 at 12:40:20 PM permalink | |
AZDuffman Member since: Oct 24, 2012 Threads: 135 Posts: 18136 |
There are some crowd-lending sites online, but the same problem. You need to charge mafia rates to make a profit. Then the problem that people who need so little money have a very high default rate. Meaning you have to charge a higher rate. Pawnshops with physical collateral and high rates end up being the better solution. The President is a fink. |
August 11th, 2018 at 1:01:50 PM permalink | |
Evenbob Member since: Oct 24, 2012 Threads: 146 Posts: 25010 |
In 1959, $200 was a car loan. You could get a very decent used car for $200 and the loan company was on the title until you paid it off. Hell, I was buying cars in the late 60's and into the 70's for $50 and driving them till they quit and buying another. I remember getting a high mileage 67 Dodge in 1972 for $50. High mileage then was 80,000. I loved that car because it had a 426 and went like a raped ape, as we used to say. If you take a risk, you may lose. If you never take a risk, you will always lose. |