NEW AND IMPROVED
This blog is now sugar FREE, fat FREE, gluten FREE, all ORGANIC and all NATURAL!!
Friday, July 19, 2019
It Is My Money And I Need It Now
It Is My Money And I Need It Now
“It is my money, and I need it now!”
TV is saturated with this commercial for people receiving a monthly payout or a future annuity who want to collect a lump sum of money now.
This is a great idea if you placed a bad bet on the Super Bowl and a guy named Bruno wants a bunch of money or he is going to break your leg.
It is a great idea if you need a major car repair in order to get to work every day.
It is “Your money”, but do you really NEED it now, or do you just want it now? Do you want to give up on a steady income or future retirement funds so you can get a riding lawn mower, or vacation in the Dominican Republic, or spend money like a big shot?
I don’t know how these deals work. I assume the company factors the amount of money promised over a period of time and current interest rates, places a lump sum value on the payout and delivers that lump sum minus a large commission in exchange for those payouts.
It’s your money, and you are selling a big chunk of it because you WANT it now!
If you could reject Social Security and replace it with a personal investing program, you could retire in style when the time comes instead of receiving a pittance. The problem with that plan is so many people will NEED/want that money now, and it will never make it to retirement.
Too many young people do not contribute to 401K plans, because they NEED/want that money now.
Build up equity in your home? Reverse mortgage…it’s your money and you NEED/want it now.
We are saddled with debt these days. We are bereft of savings.
When I graduated from college, I received a Visa card from my bank. It was good for whatever money was in my account. After a year I had a credit line of $300.
Today people graduate with massive student loans, and significant lines of credit. Many use this credit to the max because “They NEED/want the money now.”
I wonder, is the high expense of College a function of the ease to pay for it through credit? Are we going into debt to become “Relationship Experts” or “Historians of Diversity in America?”
Are credit cards maxed out because we NEED/want expensive vacations, fancy cars, the best of everything?
There are many people driving a Lexus, a BMW, or other high-end car at 2 or 3 hundred dollars a month more than a Honda? How many of those people have debt and zero savings? How much nicer is that car that you pay through the nose even though you have debt and no savings?
It is easy to get credit; it is also very expensive to get it. I suppose there is plenty of time to pay it back.
It will be your money someday, and you probably NEED/want it now!
Thanks to massive money spent on anti-smoking campaigns use of tobacco is rapidly declining. It is no longer cool to smoke. There is no longer peer pressure to smoke. Couldn’t we also educate people about the scourge of debt? We should make un-needed debt the same pariah that we have made smoking.
Maybe the Government will bail people out and simply pay for it further down the road.
I wonder where that money will come from? If it is MY money, I want it now!