We spend money on self gratification. The following are areas in which Hispanics tend to spend most of their money: Trucks, Weekend Entertainment, Jewelry, Televisions, Stereos, Expensive Food, Alcohol, Clothing and mortgages just to name a few. You’d be suprised how many Hispanics do not have a checking account and cash checks on pay day. You don’t believe me, here’s a fact that i’m throwing out because I know it’s true, ready, Hispanics spend more with cash than they do with checks and credit cards. That is why outdoor Flea Markets are successful with the Hispanic population. So how is debt rising? Well the credit card companies have made it easy for Hispanics to apply for a VISA. Hispanics fall for the cash back scheme which is appealing since we handle cash more than we do checks.
So when Hispanics receive the credit cards, they take out cash advances because thats how they spend money. All the while they are racking up credit card debt with every cash advance. Since a lot of Hispanics live for the weekend, its not unusual for them to take out a Pay Day Loan. Another example is how Hispanics pay for their vehicles. Hispanics pay their monthly car payments with cash because its easier for Hispanics to pay with cash at the dealership than to mail in a check. If I owned an auto dealership I would set up a plan that would help Hispanics to pay with cash, I guarantee, more Hispanics would purchase vehicles from that dealership. At the end of the day even with most Hispanics paying with cash, purchasing on credit is becoming easier for Hispanics and so debt continues to rise with the growing Hispanic population. -Debt Free Hispanic
Hey that’s what my dad does in his dealership, cash only. You should open up a small business someday because you have a lot knowledge about MONEY!! -Gerardo