Althought stocks are dropping, especially the ones in europe and asia, but evan the US has some dificulties, people are starting to apply again for loans. In fact in my opinion this is the way the market will always go.
Our market is one based on consumption and we all want to have good things but unfortunatelly we can not afford all that we want so be loan money from banks and loans agencyes and so on to get everything that we need and we want. Now that the economy is almost back on track people got positive again and they almost forget about the last crysis.
Think what happens if some stock investors think to check out, or if one bank goes bankrupt. What will happen then?
Worst case scenario: you lose your job. Who is going to pay for your loans then? The best thing that you can do then is to go bankrupt and it won’t be pretty.
My point is that we must consider loans as a way of investment not as a way to make our own pleasures, because in the second way we will only loose more and more money and I hope nobody wants this.
Keep in mind that if stocks continue to drop we will have a bigger issue.
I know that some of you will say that the europe countryes are having a way much harder time, but think like this: all the contryes in the europe are a little bit more stronger than the US, at least in my opinion.
Think before you loan.