The F-bomb

So I've definitely been in a few situations where I've been having a casual conversation with someone and they'll just say "fag" like it's no one's business, yet I can't say that I was particularly offended. I have a gay friend who doesn't fail to correct anyone who uses that word, but to me, it doesn't seem necessary. Anyway, I was just wondering what you all do when people say "fag/got" around you. Is there any correct way to handle this situation?

might I add that I'm not out yet, and people wouldn't guess.

>>14 Errr, you don't avoid words to 'censor your ideas'. If your ideas involve using predujaces against people based on things they can't help, the concern is not over your choice of words but the ideas themselves, and saying words like fag/got queer or else in a derogatory sense is an indication of one's ideas and values.

And some (many?) gay people do care when others use words like that. I know a few.