Can someone explain to me how the American debt card work?

Based

Americans dont have debt collectors who would beat you up and put your front door on fire?

Genodile↗

Americans dont have debt collectors who would beat you up and put your front door on fire?

Really?

Asoori↗

>Get stuff and put it on the debit card.
>Never pay the debt
>you won't go to jail.
>Bank goes bankrupt
>Government bails it out by printing more money
How is this not communism?!
You literally get free stuff and the entire nation pays for it geg

Credit cards have an overdraft limit, where you can "maxx out" your credit card by for examle, being -7000$
the overdraft limit depends on the specific card, and it doesnt mean you cant go lower than the overdraft limit, the interest still gets charged on that card, you just cant make any more purchases with it
additionally APR doubles when youre over the overdraft limit
this is meant to keep spending in check but many mutts will have multiple credit cards so who cares

The way american banks deal with this bad debt is by bundling credit card debt with mortgages and selling it to the fed/a third party
this more secure debt inflates the value of the bad debt
it is a form of socialism, essentially, subsidized through inflation and not taxes

>

Yamazaki↗unverified

Credit cards have an overdraft limit, where you can "maxx out" your credit card by for examle, being -7000$
the overdraft limit depends on the specific card, and it doesnt mean you cant go lower than the overdraft limit, the interest still gets charged on that card, you just cant make any more purchases with it
additionally APR doubles when youre over the overdraft limit
this is meant to keep spending in check but many mutts will have multiple credit cards so who cares
The way american banks deal with this bad debt is by bundling credit card debt with mortgages and selling it to the fed/a third party
this more secure debt inflates the value of the bad debt
it is a form of socialism, essentially, subsidized through inflation and not taxes

Thanks for the info man

Asoori↗

>Get stuff and put it on the debit card.
>Never pay the debt
>you won't go to jail.
>Bank goes bankrupt
>Government bails it out by printing more money
How is this not communism?!
You literally get free stuff and the entire nation pays for it geg

Debt slavery. Banks don't go bankcrypt because government (FED especially) prints money out of thin air with low interest rates. The money is backed on nothing and they decide it worth. But it comes at a cost of rising inflation but they just continue printing money. AKA Satanistic Banking.

No

communism is when free stuff so actually it is communist.

idk i dont work