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Steves Credit Experience or "Cash is King"

In the late 70s and early 1980s I had a specialty retail store and a bank operating line of Credit, Credit Cards, leased truck and owned a house and life was good.

Then the early 80s recession Mortgage and Credit rates went to between 19% to 21% literally over night.

The Bank called the line of credit because at 19% my monthly carrying cost had gone through the roof and as I had secured it with savings they decided to not allow the risk and took my savings.    Our house mortage went to $4000.00 a month and we lost that . . in the collapse my CC's got held and the bank covered those balances from my savings and the leasing company under economic pressure to sell their assets repossessed "my" truck.  I sold my shop equipment and stock for pocket money and worked at night to pay off back store rent.

I found myself penniless, unloved, alone and on the street.

I vowed to never get myself in that sort of situation again.   Where my life can go up in a puff of smoke and now I carry no bank loans, no credit cards or mortages . . is it possible Yes Definately Is it easy Not on your life

The credit world is so seductive and almost impossible to resist expecially when times get tough . . . the "oh Ill get a CC as security" makes so much sense and doesn't work . . . did I do this all myself because Im some special being?. . . NO I did it because I lost access to credit because of this incident and had a zero credit rating, so I had to work with what I had , no choice and I learned Credit is Not Necessary to be successful and in fact was distorting my judgement & decisions.

This is why I work in a way where stores sell my jewelry then pay me . . . If times get tough I want them and me to have some money in the bank and credit literally sucks any money you have, out of your bank account!

I also don't want them to suffer and Im ok because I have their money . . . that would be counter to the lesson I learned,  for me it must be a win-win which is why I work this way. 

I compare my credit experience to putting my hand on a hot stove.   I won't be doing that again!

"Cash is King"


 

                            

 


Crystal Earth Studio LLc  Naples, Fl.  Phone: 1-866-345-1910     Fax: 1-866-422-0002