Receiving harassing phone calls from credit card companies and collectors about late payments can be very embarrassing. Especially if you are caught off guard or can't talk in private.
So can credit card companies harass you at work? The Fair Debt Collection Practices Act (FDCPA) restricts the types of tactics that credit card companies or debt collection agencies may use. They are unable to call you at work if they know your employer prohibits these types of harassing calls. Once you tell the credit card companies or debt collectors that you cannot receive calls of this type at work, they have to stop calling you at work. It's best to follow up with a letter to them putting this in writing. Let them know you know your rights by informing them that under provisions 145 of the U.S. Code, section 1692b-c, the letter constitutes formal notice to stop all future communications with you except for the reasons specifically set forth in the federal law.
Collectors also cannot call your home so often that it would be considered to be harassment. They also cannot call you before 8:00 a.m. or after 9:00 p.m. To learn more about your rights under the FDCPA visit credit.com.
Tuesday, March 31, 2009
Americans Are Spending More
I am a big believer in saving money. Whether it is for a rainy day, retirement, buying a home, or for a vacation. I always use 10% as minimum guide for saving. But at this point in time we need a whole lot less saving and a whole lot of spending and it looks like we are beginning to do just that.
A Government report shows spending by individuals rises for the second month in a row even as incomes fall.
CNNMoney.com reports consumer spending rose in February, rebounding for the second month in row after falling for six straight months, according to government figures released Friday.
The Commerce Department said spending by individuals rose 0.2%, after increasing a revised 1.0% in January. February's results were in line with a forecast from Economists surveyed by Briefing.com.
"It appears the majority of the declines in consumption for this cycle are behind us," Adam York, an economists as Wachovia Economics Group, wrote in a client note.
February's spending uptick came as the Commerce Department reported personal income fell 0.2%. Income rose 0.4% in January, but last month's decline marks a return to the recent downward trend as unemployment has risen.
The report also showed that personal savings declined $27.4 billion in February to $450.7 billion. The personal savings rate, expressed as a percentage of disposable personal income, fell to 4.2% from 4.4 % in January.
"The personal saving rate remains near recent highs, as consumers attempt to rebuild their damaged balance sheets," said York. "However, weaker income growth is offsetting slower spending."
If you still have a job and your income hasn't changed keep spending. It's the only way we are getting out of the hole.
A Government report shows spending by individuals rises for the second month in a row even as incomes fall.
CNNMoney.com reports consumer spending rose in February, rebounding for the second month in row after falling for six straight months, according to government figures released Friday.
The Commerce Department said spending by individuals rose 0.2%, after increasing a revised 1.0% in January. February's results were in line with a forecast from Economists surveyed by Briefing.com.
"It appears the majority of the declines in consumption for this cycle are behind us," Adam York, an economists as Wachovia Economics Group, wrote in a client note.
February's spending uptick came as the Commerce Department reported personal income fell 0.2%. Income rose 0.4% in January, but last month's decline marks a return to the recent downward trend as unemployment has risen.
The report also showed that personal savings declined $27.4 billion in February to $450.7 billion. The personal savings rate, expressed as a percentage of disposable personal income, fell to 4.2% from 4.4 % in January.
"The personal saving rate remains near recent highs, as consumers attempt to rebuild their damaged balance sheets," said York. "However, weaker income growth is offsetting slower spending."
If you still have a job and your income hasn't changed keep spending. It's the only way we are getting out of the hole.
Financial Motivational Quote March 31, 2009
"Destiny is not a matter of chance, it is a matter of choice; it is not to be waited for, it is a thing to be achieved." Winston Churchill
Will My FICO Credit Score Be Hurt If My Credit Card Gets Cancelled?
The first thing you need to focus on is getting that credit card paid off. The lower your balance is the less it will hurt your FICO credit score if your card is cancelled.
A couple of things happen when your card is cancelled:
1. How it will affect your debt to credit limit ratio, which we have talked about before.
2. What will happen to the interest rate on your unpaid portion of the balance.
When you have a credit card that has a balance on it and is cancelled the credit card company will normally raise your interest rate up to as much as 30%. If this happens and you only pay the minimum payments you will never get out of debt.
A couple of things happen when your card is cancelled:
1. How it will affect your debt to credit limit ratio, which we have talked about before.
2. What will happen to the interest rate on your unpaid portion of the balance.
When you have a credit card that has a balance on it and is cancelled the credit card company will normally raise your interest rate up to as much as 30%. If this happens and you only pay the minimum payments you will never get out of debt.
Good News For Chase Credit Card Holders
If you have a credit card with credit card company Chase you may by getting a refund. Under pressure from New York Attorney General, JPMorgan Chase agrees to end $10 monthly fee for credit card holders.
CNNMoney reports that JPMorgan Chase & Co. agreed to stop charging a new $10 monthly fee to credit cardholders and agreed to refund the proceeds collected since the fee was first levied in January. Attorney General Andrew Cuomo said Monday.
Over 184,000 cardholders will receive $4.4 million in refunds as a result of the agreement, Cuomo said in a statement.
He said Chase Bank, one of the biggest U.S. credit card issuers, had offered promotional rates for several years for balance transfers or other loans put onto their Chase credit card accounts.
The offers made clear a one time transaction fee would be charged for this promotional rate, Cuomo said in the statement. But last November, the bank sent letters to over 300,000 consumers, saying it would start charging a flat $10 fee per month.
Following consumer complaints, the attorney general demanded that Chase cancel the charges and refund the fees collected. Chase has agreed to comply with the demand.
With U.S. credit card defaults at their highest level in at least 20 years, credit card companies are trying to protect themselves by tightening credit limits, raising standards and closing accounts. They have also been slashing rewards, raising interest rates and increasing fees to cushion losses.
If you have a credit card with Chase make sure you get what's coming to you in the form of a refund. Also, remember to check your credit card statements monthly for unusual fees.
CNNMoney reports that JPMorgan Chase & Co. agreed to stop charging a new $10 monthly fee to credit cardholders and agreed to refund the proceeds collected since the fee was first levied in January. Attorney General Andrew Cuomo said Monday.
Over 184,000 cardholders will receive $4.4 million in refunds as a result of the agreement, Cuomo said in a statement.
He said Chase Bank, one of the biggest U.S. credit card issuers, had offered promotional rates for several years for balance transfers or other loans put onto their Chase credit card accounts.
The offers made clear a one time transaction fee would be charged for this promotional rate, Cuomo said in the statement. But last November, the bank sent letters to over 300,000 consumers, saying it would start charging a flat $10 fee per month.
Following consumer complaints, the attorney general demanded that Chase cancel the charges and refund the fees collected. Chase has agreed to comply with the demand.
With U.S. credit card defaults at their highest level in at least 20 years, credit card companies are trying to protect themselves by tightening credit limits, raising standards and closing accounts. They have also been slashing rewards, raising interest rates and increasing fees to cushion losses.
If you have a credit card with Chase make sure you get what's coming to you in the form of a refund. Also, remember to check your credit card statements monthly for unusual fees.
Monday, March 30, 2009
Financial Motivational Quote March 30, 2009
"Our duty as men is to proceed as if limits to our ability did not exist. We are collaborators in creation."- Pierre Teilhard de Chardin
Sunday, March 29, 2009
If The Credit Card Companies Cancel My Credit Card Do I Have To Still Have To Pay The Balance?
Duh. Yes, you have to pay it. You made the charges, who else is going to pay it. If your credit card was cancelled it means the credit card company has labeled you as a credit risk. You have to remember what the credit card company is cancelling your ability to use you credit card in the future. But you are absolutely responsible for every nickel of that remaining balance.
Need A Job? Get LinkedIn.
People continue to find new and innovative ways to find employment. With more and more job seekers on the prowl, LinkedIn's traffic has doubled and its multiple revenue streams have turned into profit.
CNNMoney reports that LinkedIn in is giving Facebook and Twitter a run for the money. The professional social networking site LinkedIn, where activity from Lehman Brothers employees and ex-workers spiked 315% from August to September of last year, when the bank was going through bankruptcy proceedings. LinkedIn's fastest growing region? Detroit.
Unlike job seekers (and those fearing unemployment) that roll its jobs boards, LinkedIn is thriving in the recession: Overall, traffic has more than doubled to 6.9 million users in February from 3.3 million a year earlier.
For a short time it seemed LinkedIn's best days were behind it. After a big initial splash, especially with the professional set, LinkedIn seemed to lose buzz to fresher, jazzier sites such as Facebook, which has started to gain traction among Baby Boomers. (Facebook today has 175 million plus members). But it has something the the Facebooks and Twitters of the world do not: profits. For the best past two years, it has been in the black, according to remarks that founder Reid Hoffman made at the World economic Forum in Davos last January. With a billion dollar valuation, the company has raised close to $100 million so far. Hoffman told TechCrunch's Michael Arrington most of that cash has not yet been spent. "we can go public anytime we want to," he said.
LinkedIn has never billed itself as a place friends go to connect. It's about professional presentation. And with one member signing up for the site every second, it's growing increasingly useful to employers and employees alike.
In my own experience networking is the name of the game in business and LinkedIn is a great way to get started.
CNNMoney reports that LinkedIn in is giving Facebook and Twitter a run for the money. The professional social networking site LinkedIn, where activity from Lehman Brothers employees and ex-workers spiked 315% from August to September of last year, when the bank was going through bankruptcy proceedings. LinkedIn's fastest growing region? Detroit.
Unlike job seekers (and those fearing unemployment) that roll its jobs boards, LinkedIn is thriving in the recession: Overall, traffic has more than doubled to 6.9 million users in February from 3.3 million a year earlier.
For a short time it seemed LinkedIn's best days were behind it. After a big initial splash, especially with the professional set, LinkedIn seemed to lose buzz to fresher, jazzier sites such as Facebook, which has started to gain traction among Baby Boomers. (Facebook today has 175 million plus members). But it has something the the Facebooks and Twitters of the world do not: profits. For the best past two years, it has been in the black, according to remarks that founder Reid Hoffman made at the World economic Forum in Davos last January. With a billion dollar valuation, the company has raised close to $100 million so far. Hoffman told TechCrunch's Michael Arrington most of that cash has not yet been spent. "we can go public anytime we want to," he said.
LinkedIn has never billed itself as a place friends go to connect. It's about professional presentation. And with one member signing up for the site every second, it's growing increasingly useful to employers and employees alike.
In my own experience networking is the name of the game in business and LinkedIn is a great way to get started.
More Questions & Answers About The Homeowner Affordability and Stability Plan
More question have come regarding the Homeowner Affordability and Stability Plan. Here is what people are asking:
REFINANCING
What are the requirements in the refinance program?
- The home may be owner occupied, non owner-occupied or a second home.
- Borrowers current loan must be with Fannie Mae or Freddie Mac.
- Borrowers must be current with their loan and have not been more than 30 days late once on their mortgage payment in the last 12 months for Fannie Mae refinances. Freddie Mac will not allow any late payments within the last 12 months.
- The home's value must be near the current mortgage balance (between 80-105% is permitted).
- Mortgage insurance (MI) is not required if the existing mortgage does not require MI. Otherwise, MI coverage on the new loan must be the same as on the original mortgage. No minimum credit score required.
- There is no maximum TLTV (total Loan to value) ratio, however Relief Refinance Mortgages cannot be used to pay off or reduce subordinate liens.
Does the refinance require a borrower benefit?
These new refinance options are intended to assist borrowers by providing a benefit to ensure long term homeownership sustainability. Borrowers need to be receiving a benefit in the form of either:
- a reduced monthly mortgage principal and interest payment; or
- a more stable mortgage, for example, movement from an ARM to a fixed rate mortgage.
What happens to second liens and does the borrower have the ability to get a 2nd mortgage?
- New subordinate financing is not permitted.
- All existing subordinate financing must be re subordinated to maintain first lien priority of the new refinanced mortgage loan.
MODIFICATIONS
How does the loan modification plan work?
The loan modification initiative is intended to reduce mortgage payments to a target 31% front end debt to income ("DTI") ration to make the payments affordable and sustainable. This would be accomplished first by reducing interest rates down to a floor of 2%. If the rate reduction is not sufficient, then the term or maturity date of the loan would be extended up to 40 years. If that still is not sufficient to reach the target DTI., then they would forbear principal. Lenders and servicers also have other options, such as HOPE for Homeowners, forgiving principal and other loss mitigation programs for borrowers that are not eligible for this program.
What are eligibility and verification requirements?
-Loans originated on or before January 1, 2009.
- First lien loans on owner occupied properties with unpaid principal balance up to $729,750. Higher limits allowed for owner occupied properties with 2-4 units.
- All borrowers must fully document income, including signed IRS 4506-T, two most recent pay stubs, most recent tax return, and must sign an affidavit of financial hardship.
Property owner occupancy status will be verified through credit reports, tax returns and utility bills or other documentation; no investor owned vacant, or condemned properties.
Hope this helps. Keep the questions coming.
REFINANCING
What are the requirements in the refinance program?
- The home may be owner occupied, non owner-occupied or a second home.
- Borrowers current loan must be with Fannie Mae or Freddie Mac.
- Borrowers must be current with their loan and have not been more than 30 days late once on their mortgage payment in the last 12 months for Fannie Mae refinances. Freddie Mac will not allow any late payments within the last 12 months.
- The home's value must be near the current mortgage balance (between 80-105% is permitted).
- Mortgage insurance (MI) is not required if the existing mortgage does not require MI. Otherwise, MI coverage on the new loan must be the same as on the original mortgage. No minimum credit score required.
- There is no maximum TLTV (total Loan to value) ratio, however Relief Refinance Mortgages cannot be used to pay off or reduce subordinate liens.
Does the refinance require a borrower benefit?
These new refinance options are intended to assist borrowers by providing a benefit to ensure long term homeownership sustainability. Borrowers need to be receiving a benefit in the form of either:
- a reduced monthly mortgage principal and interest payment; or
- a more stable mortgage, for example, movement from an ARM to a fixed rate mortgage.
What happens to second liens and does the borrower have the ability to get a 2nd mortgage?
- New subordinate financing is not permitted.
- All existing subordinate financing must be re subordinated to maintain first lien priority of the new refinanced mortgage loan.
MODIFICATIONS
How does the loan modification plan work?
The loan modification initiative is intended to reduce mortgage payments to a target 31% front end debt to income ("DTI") ration to make the payments affordable and sustainable. This would be accomplished first by reducing interest rates down to a floor of 2%. If the rate reduction is not sufficient, then the term or maturity date of the loan would be extended up to 40 years. If that still is not sufficient to reach the target DTI., then they would forbear principal. Lenders and servicers also have other options, such as HOPE for Homeowners, forgiving principal and other loss mitigation programs for borrowers that are not eligible for this program.
What are eligibility and verification requirements?
-Loans originated on or before January 1, 2009.
- First lien loans on owner occupied properties with unpaid principal balance up to $729,750. Higher limits allowed for owner occupied properties with 2-4 units.
- All borrowers must fully document income, including signed IRS 4506-T, two most recent pay stubs, most recent tax return, and must sign an affidavit of financial hardship.
Property owner occupancy status will be verified through credit reports, tax returns and utility bills or other documentation; no investor owned vacant, or condemned properties.
Hope this helps. Keep the questions coming.
Financial Motivational Quote March 29, 2009
"There are some things you don't have to know how it works. The main thing is that is works. While some people are studying the roots, others are picking the fruit. It just depends which end of this you want to get in on."- Jim Rohn
Saturday, March 28, 2009
If The Credit Card Companies Lower My Limits Will It Hurt My FICO Credit Score?
Yes. You are measured by a series of calculations through your FICO credit score that determine how good a credit risk you are. How much debt you have accounts for 30% of your score and is one the biggest factors that makes up your FICO credit score. One of the primary ways this is done is by the debt to available credit ratio. Debt is how much you owe on all of your credit cards. Your available credit is total amount of credit lines that have been extended to you. The more debt you have the lower your FICO credit score. Your debt to available credit will get much worse if your credit limits are cut.
So if you have a $10,000 limit on a credit card and let's say you have a $2,000 balance owed on it. So your debt to available balance would be 20% ($2,000 is 20% of $10,000). Now let's say the credit card company lowers your limit to half of what it once was to $5,000. That would cause your debt to available credit ratio to double to 40% ($2,000 is now 40% of $5,000). This will undoubtedly have a negative consequence your FICO credit score.
The best way to keep your FICO credit score unaffected is to pay off your debt.
Friday, March 27, 2009
I Always Make My Credit Card Payment On Time, But Why Did They Reduced My Limit?
Making the minimum payment and on time is not good enough in this current market. AS the recession continues to go on, credit card companies are expecting consumers will have a tough time paying their bills. So even if you have always paid your bills on time it's what is going to happen next month that the credit card companies worry about. And when you are always only paying your minimum payment it is a red flag to your credit card company.It's a warning to them that you may be heading into trouble.
Only paying the monthly minimum payment alerts a credit card company to the fact that you may fall behind on payments during a recession and you will continue to let your balance grow if you fall on hard times. That is the last thing you are the credit cards companies want. So to keep you from doing that they reduce your limit.
Thursday, March 26, 2009
Financial Motivational Quote March 26, 2009
"Put all your eggs in one basket and watch the basket."- Andrew Carnegie
Wednesday, March 25, 2009
Financial Motivational Quote March 25, 2009
"Failure is the condiment that gives success its flavor."- Truman Capote
Tuesday, March 24, 2009
Financial Motivational Quote March 24, 2009
"Life begets life. Energy becomes energy. It is is by spending oneself that one becomes rich."- Sarah Bernhardt
Monday, March 23, 2009
Questions & Answers About The Homeowner Affordability and Stability Plan
With the Homeowner Affordability and Stability Plan (HASP), also known as the Making Home Affordable Plan, getting under way we are starting to get a lot of questions on how the program works.
How does this plan work?
Making Home Affordable has two primary initiatives:
- The refinance program allows eligible borrowers with Fannie Mae and Freddie mac loans to refinance their first mortgages at Loan to Values(LTVs) up to 105%.
- The loan modification plan allows eligible borrowers to reduce their monthly mortgage payments to affordable and sustainable levels to ensure they can stay in their homes and avoid foreclosure.
Who will NOT qualify for this program?
- Refinancing: Borrowers who do not have a Fannie or Freddie mortgage, or who have not been current on their payments in the past twelve months, Fannie does allow one 30 day late payment in the preceding 12 months but Freddie Mac does not permit any late payments.
- Modifications: If you have a mortgage greater than $729,750 (or higher limits for 2-4 unit properties), the loan originated after 1/1/09, the loan is not a first lien loan, the home is not the primary residence, or you are a current borrower, you are not in imminent default.
For the refinancing program, does the property have to have to be an owner occupied primary residence?
No. Non-owner occupied and second homes are eligible under the Fannie Mae and Freddie mac refinance programs.
What options are available to current borrowers who are experiencing financial difficulties?
The Making Home Affordable plan includes a refinance option and a loan modification option. Borrowers will be assessed to determine the right option fro them. Current borrowers need to be in imminent default in order to qualify for a loan modification, which means changes in circumstances or facing mortgage payment increases that create hardship.
What tips do you suggest for borrowers considering a refinance with this program?
Borrowers will have the opportunity to refinance if they have a conforming loan owned, guaranteed or securitized by Freddie Mac or Fannie Mae. There are a number of factors to consider in order to ensure that refinancing is the right decision for the consumer:
- Equity - Homeowners need to have an understanding of their equity position in their home to refinance. Equity is the difference between the home's value and the amount owed in mortgage debt. With the new refinance program, homeowners can refinance up to 105% of their home's current value.
- Property Values- To self asses their equity position, homeowners should have a good idea of what the home is worth in today's market, based upon sale of similar properties in the neighborhood.
- Affordability- Before starting the refinance process, consider how a new loan payment will affect overall financial health and goals. Free online calculators can help determine what a new payment might look like. Add that to the total paid each month to other debt payments to determine total debt. A lender will take this ratio, called a debt-to-income ratio into consideration during the approval process.
Hope that answers some of your questions. I am sure there are a lot more out there, let us hear from you.
How does this plan work?
Making Home Affordable has two primary initiatives:
- The refinance program allows eligible borrowers with Fannie Mae and Freddie mac loans to refinance their first mortgages at Loan to Values(LTVs) up to 105%.
- The loan modification plan allows eligible borrowers to reduce their monthly mortgage payments to affordable and sustainable levels to ensure they can stay in their homes and avoid foreclosure.
Who will NOT qualify for this program?
- Refinancing: Borrowers who do not have a Fannie or Freddie mortgage, or who have not been current on their payments in the past twelve months, Fannie does allow one 30 day late payment in the preceding 12 months but Freddie Mac does not permit any late payments.
- Modifications: If you have a mortgage greater than $729,750 (or higher limits for 2-4 unit properties), the loan originated after 1/1/09, the loan is not a first lien loan, the home is not the primary residence, or you are a current borrower, you are not in imminent default.
For the refinancing program, does the property have to have to be an owner occupied primary residence?
No. Non-owner occupied and second homes are eligible under the Fannie Mae and Freddie mac refinance programs.
What options are available to current borrowers who are experiencing financial difficulties?
The Making Home Affordable plan includes a refinance option and a loan modification option. Borrowers will be assessed to determine the right option fro them. Current borrowers need to be in imminent default in order to qualify for a loan modification, which means changes in circumstances or facing mortgage payment increases that create hardship.
What tips do you suggest for borrowers considering a refinance with this program?
Borrowers will have the opportunity to refinance if they have a conforming loan owned, guaranteed or securitized by Freddie Mac or Fannie Mae. There are a number of factors to consider in order to ensure that refinancing is the right decision for the consumer:
- Equity - Homeowners need to have an understanding of their equity position in their home to refinance. Equity is the difference between the home's value and the amount owed in mortgage debt. With the new refinance program, homeowners can refinance up to 105% of their home's current value.
- Property Values- To self asses their equity position, homeowners should have a good idea of what the home is worth in today's market, based upon sale of similar properties in the neighborhood.
- Affordability- Before starting the refinance process, consider how a new loan payment will affect overall financial health and goals. Free online calculators can help determine what a new payment might look like. Add that to the total paid each month to other debt payments to determine total debt. A lender will take this ratio, called a debt-to-income ratio into consideration during the approval process.
Hope that answers some of your questions. I am sure there are a lot more out there, let us hear from you.
Financial Motivational Quote March 23, 2009
"It takes 20 years to make an overnight success."- Eddie Cantor
Sunday, March 22, 2009
Alliance Announced To Help Preserve Homeownership In Multicultural Communities
Communities across the United States have undergone significant economic change over the past several months. As a result, individuals and families are in need of information and support programs to help them during this challenging time. At times like this, it's critical to come together, identify viable solutions and offer those solutions to help communities.
As part of the $35 million neighborhood preservation and foreclosure prevention package announced last year, Bank of America introduced, on March 14, a 2.5 million Alliance for Stabilizing our Communities. With help from the bank, the alliance -- led by the National Urban League, the National Council of La Raza and the National Coalition for Asian Pacific American Community Development -- was created to assist multicultural homeowners facing foreclosure to identifying and procuring the best housing solutions.
To reach as many individuals and families as possible, 40 rescue fairs in 24 communities will offer home retention services. the fairs will provide extensive on site counseling services by alliance nonprofit partners, and use newly created multilanguage outreach materials.
Bank of America home retention associates will work with the nonprofits at the fairs to review loans and determine refinancing, modifications or other options. In addition, associates can support their communities by volunteering at a local rescue fair (see sidebar). Working with nonprofit affiliates, translators will be available for ethnic communities as needed.
In addition to the rescue fairs, the funding will be used to:
-Hire additional home retention counselors in local markets.
-Train new and existing counselors.
-Develop multilanguage marketing and outreach tools to reach families and inform them of events in their communities.
-Provide a new resource guide to help communities respond to foreclosure challenges.
"Bank of America understands the impact of the foreclosure crisis across our communities. Along with our nonprofit partners, the bank is committed to offering innovative solutions to help homeowners remain in their homes. The alliance demonstrates this commitment through outreach opportunities for our multicultural communities," said Global Community Impact Executive Andrew Plepler.
More and more help is out there for people who want it. Don't give things are getting better.
As part of the $35 million neighborhood preservation and foreclosure prevention package announced last year, Bank of America introduced, on March 14, a 2.5 million Alliance for Stabilizing our Communities. With help from the bank, the alliance -- led by the National Urban League, the National Council of La Raza and the National Coalition for Asian Pacific American Community Development -- was created to assist multicultural homeowners facing foreclosure to identifying and procuring the best housing solutions.
To reach as many individuals and families as possible, 40 rescue fairs in 24 communities will offer home retention services. the fairs will provide extensive on site counseling services by alliance nonprofit partners, and use newly created multilanguage outreach materials.
Bank of America home retention associates will work with the nonprofits at the fairs to review loans and determine refinancing, modifications or other options. In addition, associates can support their communities by volunteering at a local rescue fair (see sidebar). Working with nonprofit affiliates, translators will be available for ethnic communities as needed.
In addition to the rescue fairs, the funding will be used to:
-Hire additional home retention counselors in local markets.
-Train new and existing counselors.
-Develop multilanguage marketing and outreach tools to reach families and inform them of events in their communities.
-Provide a new resource guide to help communities respond to foreclosure challenges.
"Bank of America understands the impact of the foreclosure crisis across our communities. Along with our nonprofit partners, the bank is committed to offering innovative solutions to help homeowners remain in their homes. The alliance demonstrates this commitment through outreach opportunities for our multicultural communities," said Global Community Impact Executive Andrew Plepler.
More and more help is out there for people who want it. Don't give things are getting better.
How Has The Economy Affected You?
A RealSimple.com poll was conducted via SurveyMonkey.com from February 18 to March 12asking: "How has the economy affected you"? The answer: the economy has had a tremendous impact on spending habits. But as always there are ways to adapt and make it through until improvements come our way.
Here are the survey results:
STAYING IN IS IN
What areas of your life have you cut back on most?
Break out the slow cooker. People are reining in their restaurant budgets; 37 percent of people who answered this question are cutting back primarily on eating out. Nineteen percent of respondents say that their foremost cutbacks are on clothing, while 15 percent say their main trims are in entertainment and 11 percent point to travel. Through 65 percent of responders say they would cut back wherever necessary, there are certain everyday indulgences some are apt to keep; Transportation, gas, taxis, and household services (like child care and cleaning) lead them.
CREATIVE GIFT GIVING IS A MUST
Are you buying fewer gifts as a result of the economy? How has the economy affected your charitable giving?
It's not shocking that the philanthropic spirit has taken a backseat to survival mode. Sixty percent of responders say they are, in fact, buying fewer gifts; another 24 percent reported that they are buying the same number of gifts, but spending less on them.
People are split on their goodwill giving: Through more than half of respondents (52 percent) aren't making as many donations to charity, 43 percent say the economy hasn't impacted their charitable giving. (surprisingly, 5 percent say they're giving more.)
SAVING IS ON EVERYONE'S MIND
If you had $10,000 what would you do with it? How has the economy affected your mood? Do you think you or your partner more significantly?
Things may not be s bleak as they seem. In this classic what if game, nearly half of those surveyed (48 percent) say they would put the money in the bank. Another 38 percent would use it to pay off debts, while an impressive 10 percent are looking toward the future and would invest the money in home improvement.
On a scale of being scared, worried, or unaffected, the middle road was the most popular choice: 67 percent say that they're a little worried about the state of the economy. But the majority of the respondents - 69 percent - answered that they are taking the economic blows harder than their significant other.
THINGS ARE LOOKING UP
How has the economy affected your long term plans? When do you think the economy will start to turn around?
Though unsurprisingly money problems are in the forefront of everyone's mind, a good number aren't worried about the future: 47 percent of respondents say that the economy hasn't affected their long terms plans. Still, 23 percent are deeper in debt, and many other respondents voice concern about their ability to pay for college. But there is hope, as 34 percent foresee an economic uprising in a year.
COUPONS ARE KING
How has the economy affected your shopping habits? Do you use coupons more because of the economy?
Not even the ubiquitous sale signs are enticing respondents to spend. While 18 percent of those surveyed say they are shopping more to take advantage of bargains, about 67 percent are shopping less to save money. It's no secret that a good way to trim your bill is to use coupons, and 26 percent of those surveyed have always used them and will continue to do so. Thirty-eight percent are now following suit, using coupons more, while 36% are skipping the clipping.
It's great to see that there is optimism that thngs will be turning around. It's just what we will need to get things turned around. I am also glad to see people aren't just throwing in the towel and are actually finding ways to be creative and save money. The thing that would be great is after we are all through this that people continued to be creative and put money aside for the next rainy day. Remember...This has all happened before and it will happen again. Let's all be ready the next time.
Here are the survey results:
STAYING IN IS IN
What areas of your life have you cut back on most?
Break out the slow cooker. People are reining in their restaurant budgets; 37 percent of people who answered this question are cutting back primarily on eating out. Nineteen percent of respondents say that their foremost cutbacks are on clothing, while 15 percent say their main trims are in entertainment and 11 percent point to travel. Through 65 percent of responders say they would cut back wherever necessary, there are certain everyday indulgences some are apt to keep; Transportation, gas, taxis, and household services (like child care and cleaning) lead them.
CREATIVE GIFT GIVING IS A MUST
Are you buying fewer gifts as a result of the economy? How has the economy affected your charitable giving?
It's not shocking that the philanthropic spirit has taken a backseat to survival mode. Sixty percent of responders say they are, in fact, buying fewer gifts; another 24 percent reported that they are buying the same number of gifts, but spending less on them.
People are split on their goodwill giving: Through more than half of respondents (52 percent) aren't making as many donations to charity, 43 percent say the economy hasn't impacted their charitable giving. (surprisingly, 5 percent say they're giving more.)
SAVING IS ON EVERYONE'S MIND
If you had $10,000 what would you do with it? How has the economy affected your mood? Do you think you or your partner more significantly?
Things may not be s bleak as they seem. In this classic what if game, nearly half of those surveyed (48 percent) say they would put the money in the bank. Another 38 percent would use it to pay off debts, while an impressive 10 percent are looking toward the future and would invest the money in home improvement.
On a scale of being scared, worried, or unaffected, the middle road was the most popular choice: 67 percent say that they're a little worried about the state of the economy. But the majority of the respondents - 69 percent - answered that they are taking the economic blows harder than their significant other.
THINGS ARE LOOKING UP
How has the economy affected your long term plans? When do you think the economy will start to turn around?
Though unsurprisingly money problems are in the forefront of everyone's mind, a good number aren't worried about the future: 47 percent of respondents say that the economy hasn't affected their long terms plans. Still, 23 percent are deeper in debt, and many other respondents voice concern about their ability to pay for college. But there is hope, as 34 percent foresee an economic uprising in a year.
COUPONS ARE KING
How has the economy affected your shopping habits? Do you use coupons more because of the economy?
Not even the ubiquitous sale signs are enticing respondents to spend. While 18 percent of those surveyed say they are shopping more to take advantage of bargains, about 67 percent are shopping less to save money. It's no secret that a good way to trim your bill is to use coupons, and 26 percent of those surveyed have always used them and will continue to do so. Thirty-eight percent are now following suit, using coupons more, while 36% are skipping the clipping.
It's great to see that there is optimism that thngs will be turning around. It's just what we will need to get things turned around. I am also glad to see people aren't just throwing in the towel and are actually finding ways to be creative and save money. The thing that would be great is after we are all through this that people continued to be creative and put money aside for the next rainy day. Remember...This has all happened before and it will happen again. Let's all be ready the next time.
Tips For Maximum Energy Savings
Although, it is officially Spring and Las Vegas has been enjoying some 80 degree weather lately it still feels like Winter in many parts of the country. It's a little chilly again here in Las Vegas today so I thought I would give some energy savings tips once again as Winter comes to a close.
Thermostat - Set your thermostat between 65-68 degrees during the winter months, health permitting. You can save about 20% on your heating bill for each degree you lower the thermostat.
Fireplace Damper- Since most building codes now require damper stops for gas fireplaces, keep the damper and glass doors on your fireplace closed when it's not in use.
Limit Use Of Exhaust Fans- In just one hour, exhaust fans in your bathroom or kitchen can deplete a house of its warm air. Turn fans off as soon as they have completed their jobs.
Don't Forget Your Water Heater- Water heating is the third largest energy user in your home. To reduce your water heating costs, turn the dial on your water heater and set it to "low" (120 degrees Fahrenheit), use an approved water heater insulated blanket (unless manufacturer indicates otherwise), and insulate the water pipes at the top of the water heater if located outdoors.
Use Household Appliances Efficiently - Washing full loads when using your dishwasher and washing machine saves time, detergent, and energy. Make sure you clean the lint filter in your dryer after every load to save energy and speed drying time.
Dryer Exhaust System- Improve the efficiency of your dryer by ensuring that the exhaust system is installed correctly. The exhaust system should always vent to the outside. Metal ducting should be as short and straight as possible. Do not use foil, plastics or vinyl ducts. They will not hold up to the high temperatures of the dryer, and tend to kink and sag, creating pockets where lint or condensation can accumulate. These steps will provide better airflow, shorter drying time, and improve the overall efficiency of your dryer.
Financial Motivational Quote March 22, 2009
"You are the only one who can use your ability. It is an awesome responsibility."- Zig Ziglar
Saturday, March 21, 2009
Heroes...No, Make That Angels Of The Economy.
With the continued "Doom and Gloom" still irresponsibly being spread like wildfire here are more uplifting stories from Financial Elite.
CNNMoney covers the story of 6 people making personal sacrifices to help the economy to help others out of the doom and gloom. From saving a stranger's home to feeding needy families.
Rob Katz- To prevent layoffs, he decided to take the biggest cut himself. Unlike the AIG executives taking big bonuses and salaries, Katz cut his $840,000 a year salary down to $0 for 2009, and he will take a 15% cut when it is reinstated.
Marilyn Mock- In November, Mock set up the Foreclosure Angel Foundation to help those in similar circumstances to Orr. Thus far, the foundation has been fueled mainly by Mock's own savings and profits from her business, a company that builds rock retaining walls. FAF has helped three families in Florida, Pennsylvania and North Carolina stay in their homes.
Pam Koner, Jamie Raskulinecz, and Linda Vargas- Through her program Family to Family, more than 700 families have been linked to together. But Koner never expected she'd nee to focus her efforts on her own town. Then layoffs began to hit the middle class community in Hastings on Hudson, N.Y., and she knew she needed to talk action.
Rich Salon- "The business's social responsibility should not end when it announces liquidation," Salon says. "Even if an employer is going out of business, it can and should continue to help it's employees."
Mike Heritage- His company, London Real Estate Group, has a 66,244 square foot mixed use complex on the north side of town that is only 70% leased. So Heritage is offering up the remaining space as office space for local small businesses -- free of charge.
Scott Haag- To get by, he's had to institute a wage and hiring freeze, though he hasn't yet resorted to layoffs. Still, he wanted to help those around him -- and try to bolster the local economy. So Haag offered $2,000 to any employee purchasing a new car, or $1,000 for buying a used car.
Kudos to these folks doing what they can to help the economy. For those folks just walking away from their homes just because they are upside down should be ashamed. Let's hear from everyone. Tell us your stories and let us know if your a economy hero or in my book an angel.
CNNMoney covers the story of 6 people making personal sacrifices to help the economy to help others out of the doom and gloom. From saving a stranger's home to feeding needy families.
Rob Katz- To prevent layoffs, he decided to take the biggest cut himself. Unlike the AIG executives taking big bonuses and salaries, Katz cut his $840,000 a year salary down to $0 for 2009, and he will take a 15% cut when it is reinstated.
Marilyn Mock- In November, Mock set up the Foreclosure Angel Foundation to help those in similar circumstances to Orr. Thus far, the foundation has been fueled mainly by Mock's own savings and profits from her business, a company that builds rock retaining walls. FAF has helped three families in Florida, Pennsylvania and North Carolina stay in their homes.
Pam Koner, Jamie Raskulinecz, and Linda Vargas- Through her program Family to Family, more than 700 families have been linked to together. But Koner never expected she'd nee to focus her efforts on her own town. Then layoffs began to hit the middle class community in Hastings on Hudson, N.Y., and she knew she needed to talk action.
Rich Salon- "The business's social responsibility should not end when it announces liquidation," Salon says. "Even if an employer is going out of business, it can and should continue to help it's employees."
Mike Heritage- His company, London Real Estate Group, has a 66,244 square foot mixed use complex on the north side of town that is only 70% leased. So Heritage is offering up the remaining space as office space for local small businesses -- free of charge.
Scott Haag- To get by, he's had to institute a wage and hiring freeze, though he hasn't yet resorted to layoffs. Still, he wanted to help those around him -- and try to bolster the local economy. So Haag offered $2,000 to any employee purchasing a new car, or $1,000 for buying a used car.
Kudos to these folks doing what they can to help the economy. For those folks just walking away from their homes just because they are upside down should be ashamed. Let's hear from everyone. Tell us your stories and let us know if your a economy hero or in my book an angel.
Financial Motivational Quote March 21, 2009
"Your success and happiness are forgiven you only if you generously consent to share them."- Albert Camus
Thursday, March 19, 2009
Make Tax Time Pay
Tax return is still in full swing and Financial Elite is finding interesting ways to increase your tax return all the time.
Did you earn less than $41,646 last year? If you did, the Earned Income Tax Credit (EITC), a refundable federal income tax credit for low-income working individuals and families, could pay you as much as $4,824 and additional credits could pay you even more. You don't have to owe Federal taxes to receive this money, but you do have to file. Individual credit and refund amounts will vary. Visit IRS.gov to estimate your refund.
Taxpayers who qualify and claim the credit, could pay less federal tax, pay no tax, or even get a tax refund beyond the amount of tax withheld. To qualify, a taxpayer must meet certain eligibility guidelines and file a tax return.
Two programs, Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE), offer FREE tax help to low-to moderate-income (generally, $39,000 and below) taxpayers, and are often located in community and neighborhood centers, libraries, schools, shopping malls, and other convenient locations.
For more information about EITC and to get FREE tax filing help, visit the IRS Web site, IRS.gov, keyword: EITC, or call 1-800-829-1040.
Wednesday, March 18, 2009
Huge Announcement From The Federal Reserve Today!!!
The Federal Reserve wrapped up there two day meeting today with an awesome announcement. They have decided to expand there purchase of Mortgage Backed Securities by an additional $750 billion for a total of $1.25 Trillion. They also announced they are buying up to $300 billion of Treasury Notes.
Mortgage Bonds have staged a HUGE RALLY on this news up just over 100 Basis Points. We should see a significant improvement in mortgage rates as a result of these moves by the Fed.
We should see some additional improvements in interest rates. But the great news is this move by the Federal reserve should insure that 30 year mortgage rates remain at or below the 5.00% range for extended period of time.
This should definitely help the housing market. Let's keep the good news coming. This is it folks. We are going to make a come back.
Financial Motivational Quote March 18, 2009
"The important thing to recognize is that it takes a team, and the team ought to get credit for the wins and the losses. Successes have many fathers, failures have none." Philip Caldwell
Tuesday, March 17, 2009
Bank of America Helps Customers Add It Up.
We have discussed previously how various credit cards can help you save in our post "Reward Cards May Help You Save". Bank of America's Keep the Change program is another great way to save. Every time you use your debit card, Bank of America rounds up to the nearest dollar. For example, if you make a purchase for 15.42, Bank of America will make deposit to your savings account for 58 cents. May not sound like a lot, but how many times do you use your debit card? Bank of America has a new way of helping you save more too.
As consumer and small business customers continue to look for ways to save in a challenging environment, Bank of America remains committed to developing innovative products and enhanced offers to help them make the most of their finances and save money. The launch of the Add It Up program is another money saving offer as part of the broader Go America Save! initiative.
Add It Up is a secure online shopping Web site that allows enrolled customers to earn up to 20% cash back on their purchases at more than 207 online retailers, including top names such as Walmart.com, BestBuy.com. and Barnes & Noble.com. Customers with a current Bank of America credit card or Check Card who are enrolled in Online Banking can resister for free at www.bankofamerica.com/additup.
In addition to up to receiving 20% cash back from participating online retailers, customers who shop through the Add It Up program benefit from features such as:
- Cash back earnings that are deposited into a checking or credit card account.
- The ability to combine Add It Up cash back with existing deals and discounts from retailers and other Bank of America programs such as Keep The Change and BankAmericard Rewards.
- Tracking and awards history information availability any time on the Add It Up Web site.
- No limit to how much can be earned in cash back.
- An option to pay with either a current Bank of America consumer or small business Check card or consumer credit card.
Bank of America also is offering customers other enhancements as part of Go America, Save! including:
- A special interest rate offer on new 7 month or 9 month Risk free CDs or new 12 month CDs through June 2009.
- A special interest rate offer on new promotional money market savings accounts through June 2009.
- A premium offer for most new personal checking accounts opened by customers who enroll in direct deposit and meet an average balance requirement.
- A new Tiered Interest Checking account that allows customers to earn interest on their checking account balance.
"As people are managing their budgets more closely, they're weighing every financial decision and making every dollar count -- from meeting their savings goals to searching fro the best deals on the purchases they need to make," said David Owen, Bank of America checking and debit executive. "With Add It Up, Bank of America is giving customers a new way to stretch their money by getting cash back on purchases from hundreds of retailers they do business with regularly, and letting them do it online at their convenience."
Financial Motivational Quote March 17, 2009
"Success in business implies optimism, mutual confidence, and fair play. A business man must hold a high opinion of the worth of what he has to sell and he must feel that he is useful public servant."- R.H. Cabell
Monday, March 16, 2009
What Homeowners Should Be Doing For 2009
With the first quarter of 2009 coming to a close if you are a homeowner you should be thinking about a few things:
-Push your lender for a "mortgage modification" if your current home is to expensive.
-Do not use credit cards or retirement funds to pay for a too expensive home.
-Stay informed about new programs, from lenders and the government, in the months ahead that aim to keep more homeowners out of foreclosure.
-Build a real savings fund; a HELOC should not be used for your safety net.
-Focus on your home's long term values, not its price change from month to month.
Sunday, March 15, 2009
It's Tax Time...Slashing Your Tax Bill.
It's that time of year again everyone and new rules and a new President have changed the tax game. CNNMoney suggests to use these strategies to save on your 2008 tax bill and reap even bigger savings in the years to come.
1. 2008 return: Profit from your pain (Part 1)-The losses from stocks, bonds or mutual funds sold in 2008 can offset gains elsewhere in your portfolio.
2. 2008 return: Snag New Credits- Three new tax breaks most likely to reward you this year: Larger Homeowner Standard Deductions, First Time Home Buyer Credit, and Stimulus Rebates.
3. 2008 return: Take Advantage of Extra Breaks- Some popular deductions that were due to expire were extended: The State Sales Tax Deduction and College Tuition Deduction.
4. 2008 return: Fund Your Retirement- You have until April 15 to send the check for a 2008 IRA, and you can sock $5,000 away, up from $4,000 last year.
5. 2008 return: Profit From Your Pain (Part 2) - If you were 1 of the 3 million people who lost their jobs last year, don't forget you can write off the cost of job hunting.
6. 2009 and beyond: Harvest stock losses - Even if you sold some losers last year, there's no reason not to do so again.
7. 2009 and beyond: Don't Tap Those Retirement Accounts - For this year only the required minimum distributions for these accounts has been waived.
8. 2009 and beyond: Maximize Tax Breaks - Want a greener home? Installing new insulation or buying eco-friendly appliances appliance will get you a $500 credit.
9. 2009 and beyond: Stay Vigilant-Keeping an ear out for upcoming changes could pay off.
If you have already done your taxes you may want to double check for these deductions. If you haven't already done your taxes check into these tax breaks.
Bank of America Releases Study of High-Net-Worth Philanthropy
My company deals with several charitable organizations, namely Aid for AIDS of Nevada (AFAN), and the consensus is contributions and donations are down and the current economic situation is being the blame. But a new study shows us what's going on.
On March 4, 2009 Bank of America released the 2008 Bank of America Study of High-Net-Worth Philanthropy, which offers new insights into the giving behaviors of America's wealthiest donors. Conducted for Bank of America by The Center on Philanthropy at Indiana University, the 2008 research follows up and expands upon an initial landmark study published through this partnership in 2008 -- the largest survey of wealthy Americans ever conducted on this topic -- which has become a leading resource for the philanthropy industry for understanding these important donors.
The new 2008 study followed much of the same methodology as the initial 2006 study in order to identify key trends and to provide even deeper insights into the motivations and attitudes of wealthy donors. The study is the result of randomly surveying over $20,000 households in high-net-worth neighborhoods across the country. It reflects the responses of nearly 700 respondents with household income greater than $200,000 and/or net worth of at least 1,000,000.
In discussing the need for the new study, Cary Grace, head of Bank of America Philanthropic Management, said, "Our clients are taking a more proactive approach to integrating philanthropy into their wealth management strategies. We are noticing that the turbulent economic environment has motivated these individuals to play a more active role in charitable decisions in terms of what they give, to whom and when. Our 2008 research breaks new ground and uniquely positions our philanthropic management experts across the country to help facilitate greater understanding and communication between donors and the nonprofit institutions they support."
For nonprofit professionals, volunteers and charitable advisers, this study offers new information about what high-net-worth donors: expect from nonprofit organizations, hope to achieve through major gifts and the reasons why they stop giving to particular organizations. The 2008 report also reveals new information on the role that charitable advice and the utilization of charitable giving vehicles.
Highlights include:
-Locally and personally motivated. Wealthy philanthropists' motivations for giving demonstrate a strong desire to "give back to the community" (81.2%) and to make an immediate difference (66.9%) in the world around them, according to the survey. Other leading motivations include these individuals' social (70.4) and political (58.5%) beliefs, as well as their royalty to certain causes and organizations (70.7%) -- many of whose missions seek to remedy an issue that may have affected the donor personally or someone close to them (57.5%).
Great expectations. In continuing trend from the 2006 study, the 2008 research finds that wealthy donors have high expectations of charitable organizations, ranking the following factors among those most important when determining which to support sound business practices (93%), spend appropriate amount on overhead (88.3%), acknowledgement of contributions (including receipts) (83.7%), protection of personal information (82.7%) and full financial disclosure (77.7%).
Why did my wealthy donors stop donating? n an environment where nonprofits are competing for a shrinking pool of gifts, it's critical to recognize the factors that can cause them to stop giving, and to develop strategies for stemming the outflow. In 2007, more than 40% of survey respondents indicated that they stopped supporting on or more to a particular charity include; no longer feeling connected to the organization (57.7%), deciding to support other causes (51.3%) and feeling they were being solicited too often (42.3%).
Raising philanthropic children. According to the survey, setting and example for children or other young people is an important motivator for donors (45.6%), with more and more parents involving their young and adult age children in decisions about grant-making (40.8%) and he charitable organizations they choose to support (53.2%). In fact, the vast majority (95.9%) of the next generation of philanthropists learn about philanthropy and the value of giving from their parents, with more than 60 % of wealthy donors actively educating their children about philanthropy.
Volunteerism. Volunteering and giving remain part of the philanthropic efforts of wealthy individuals. High-net-worth individuals volunteered an average of 241 hours in 2007. Among high-net-worth volunteers, more than 43% volunteered at least 100 hours per year, compared to 31% who gave fewer than 100 hours of their time in 2007. Those who volunteered between 10 and 50 hours in 2007 gave, on average, $45,318; those who volunteered more than 200 hours gave $132,315.
Bank of America, one of the nation's largest corporate donors and provider of a full array of charitable services to individuals, families and nonprofit institutions, sponsored the study.
On March 4, 2009 Bank of America released the 2008 Bank of America Study of High-Net-Worth Philanthropy, which offers new insights into the giving behaviors of America's wealthiest donors. Conducted for Bank of America by The Center on Philanthropy at Indiana University, the 2008 research follows up and expands upon an initial landmark study published through this partnership in 2008 -- the largest survey of wealthy Americans ever conducted on this topic -- which has become a leading resource for the philanthropy industry for understanding these important donors.
The new 2008 study followed much of the same methodology as the initial 2006 study in order to identify key trends and to provide even deeper insights into the motivations and attitudes of wealthy donors. The study is the result of randomly surveying over $20,000 households in high-net-worth neighborhoods across the country. It reflects the responses of nearly 700 respondents with household income greater than $200,000 and/or net worth of at least 1,000,000.
In discussing the need for the new study, Cary Grace, head of Bank of America Philanthropic Management, said, "Our clients are taking a more proactive approach to integrating philanthropy into their wealth management strategies. We are noticing that the turbulent economic environment has motivated these individuals to play a more active role in charitable decisions in terms of what they give, to whom and when. Our 2008 research breaks new ground and uniquely positions our philanthropic management experts across the country to help facilitate greater understanding and communication between donors and the nonprofit institutions they support."
For nonprofit professionals, volunteers and charitable advisers, this study offers new information about what high-net-worth donors: expect from nonprofit organizations, hope to achieve through major gifts and the reasons why they stop giving to particular organizations. The 2008 report also reveals new information on the role that charitable advice and the utilization of charitable giving vehicles.
Highlights include:
-Locally and personally motivated. Wealthy philanthropists' motivations for giving demonstrate a strong desire to "give back to the community" (81.2%) and to make an immediate difference (66.9%) in the world around them, according to the survey. Other leading motivations include these individuals' social (70.4) and political (58.5%) beliefs, as well as their royalty to certain causes and organizations (70.7%) -- many of whose missions seek to remedy an issue that may have affected the donor personally or someone close to them (57.5%).
Great expectations. In continuing trend from the 2006 study, the 2008 research finds that wealthy donors have high expectations of charitable organizations, ranking the following factors among those most important when determining which to support sound business practices (93%), spend appropriate amount on overhead (88.3%), acknowledgement of contributions (including receipts) (83.7%), protection of personal information (82.7%) and full financial disclosure (77.7%).
Why did my wealthy donors stop donating? n an environment where nonprofits are competing for a shrinking pool of gifts, it's critical to recognize the factors that can cause them to stop giving, and to develop strategies for stemming the outflow. In 2007, more than 40% of survey respondents indicated that they stopped supporting on or more to a particular charity include; no longer feeling connected to the organization (57.7%), deciding to support other causes (51.3%) and feeling they were being solicited too often (42.3%).
Raising philanthropic children. According to the survey, setting and example for children or other young people is an important motivator for donors (45.6%), with more and more parents involving their young and adult age children in decisions about grant-making (40.8%) and he charitable organizations they choose to support (53.2%). In fact, the vast majority (95.9%) of the next generation of philanthropists learn about philanthropy and the value of giving from their parents, with more than 60 % of wealthy donors actively educating their children about philanthropy.
Volunteerism. Volunteering and giving remain part of the philanthropic efforts of wealthy individuals. High-net-worth individuals volunteered an average of 241 hours in 2007. Among high-net-worth volunteers, more than 43% volunteered at least 100 hours per year, compared to 31% who gave fewer than 100 hours of their time in 2007. Those who volunteered between 10 and 50 hours in 2007 gave, on average, $45,318; those who volunteered more than 200 hours gave $132,315.
Bank of America, one of the nation's largest corporate donors and provider of a full array of charitable services to individuals, families and nonprofit institutions, sponsored the study.
You Can Live on $300 A Week.
Previously in our post, "Couple Lives On $1 a Day...Economic or Diet Experiment," we talked about and the story of Christopher Greenslate and Kerri Leonard. Living on a $1 a day may be a little rough, but it can be done. If you feel you can't live on $1 day how about we give you a raise to $300.
There is always somewhere you can cut back, but you have to be willing to do it. CNNMoney discussed Life On Unemployment telling the stories of six families who are living on $300 a week.
Jim Kelley- "Suzanne and I can, have and will continue to make the sacrifices. We have want to do the little things we can do to protect our children from "adult problems" of the current economic situation. We know we'll land on our feet. With our children at such a critical stage in their development, we just want to make sure they do, too."
Robin Sherwood- "We've been racking our brains to come up with extra money. I've been working on a children's e-book, and I'd like to start selling it online soon. Ron and I might start selling motorcycle parts, and I've already sold some things on eBay. It's little opportunities, but we're trying."
Jon Mikres- "I've cut back on everything. I eliminated going out for lunch and going out on the town on weekends. I go out about once every two months now."
Jason Rohrick- "Unemployment has allowed my family to retain a humble, but comfortable, lifestyle. We are able to pay all our bills, and we're actually netting more money than when I had a job, since w don't have to pay a small fortune for daycare. One of my daughters stays home with me and the other attends only part time now."
Gregory Prescott- "We've cut back on eating out, and we get Netflix instead of renting movies.Stephanie and didn't do anything for our anniversary, and we didn't exchange gifts at Christmas. We cancelled a partial season ticket package for the Washington Nationals."
Tim Pukis- "We've started cooking more at home, which has saved us so much money. I was spending $200 a month on lunch just for myself. I've also started using public transpiration. COBRA health insurance is an expense that can crush you when you're unemployed, so I'd recommend a lot of research if you're worried about being laid off."
These are all great examples that it can be done. We have all been spoiled for so long. Getting whatever we want by the use of credit. The creativity these folks is amazing. I know it sucks, but if you really ant something can achieve it, through hard work and sacrifice. A great re-structuring is going to becoming from our current economic situation, but in the long run it will be worth.
There is always somewhere you can cut back, but you have to be willing to do it. CNNMoney discussed Life On Unemployment telling the stories of six families who are living on $300 a week.
Jim Kelley- "Suzanne and I can, have and will continue to make the sacrifices. We have want to do the little things we can do to protect our children from "adult problems" of the current economic situation. We know we'll land on our feet. With our children at such a critical stage in their development, we just want to make sure they do, too."
Robin Sherwood- "We've been racking our brains to come up with extra money. I've been working on a children's e-book, and I'd like to start selling it online soon. Ron and I might start selling motorcycle parts, and I've already sold some things on eBay. It's little opportunities, but we're trying."
Jon Mikres- "I've cut back on everything. I eliminated going out for lunch and going out on the town on weekends. I go out about once every two months now."
Jason Rohrick- "Unemployment has allowed my family to retain a humble, but comfortable, lifestyle. We are able to pay all our bills, and we're actually netting more money than when I had a job, since w don't have to pay a small fortune for daycare. One of my daughters stays home with me and the other attends only part time now."
Gregory Prescott- "We've cut back on eating out, and we get Netflix instead of renting movies.Stephanie and didn't do anything for our anniversary, and we didn't exchange gifts at Christmas. We cancelled a partial season ticket package for the Washington Nationals."
Tim Pukis- "We've started cooking more at home, which has saved us so much money. I was spending $200 a month on lunch just for myself. I've also started using public transpiration. COBRA health insurance is an expense that can crush you when you're unemployed, so I'd recommend a lot of research if you're worried about being laid off."
These are all great examples that it can be done. We have all been spoiled for so long. Getting whatever we want by the use of credit. The creativity these folks is amazing. I know it sucks, but if you really ant something can achieve it, through hard work and sacrifice. A great re-structuring is going to becoming from our current economic situation, but in the long run it will be worth.
People Determined NOT To Walk Away From Their Homes
In our series, "No Excuses For Going Into Foreclosure or Not Making Your Credit Card Payments", we discuss there are many ways to save your home: get a second job, sell material items, or rent out a room.
CNNMoney.com had a recent article of people who were not going to just walk away from their home. Big, big, big kudos to these folks.
A basic cost cutting analysis predicts people who are underwater will abandon their homes and accept foreclosure. But there is little data measuring whether that logic holds true. In fact, Eric Johnson, a business professor at Columbia University, believes it doesn't. After years of studying behavioral economics-essentially the economics of choice-he argues that people will simply not make such rational decisions.
The next few individuals are some of those who decided to stay in their homes. My hat's are off to them.
Rich Foretich- Walking away is not in my nature. I borrowed the money. I built the house. I owe the money. As long as I have the means to pay it back, I plan to do so.
Pat Conroy- If I walk away, I would look at it it as a business decision. But I also look at it from a responsibility viewpoint, and as long as I can afford my mortgage, I'll pay it.
Ben Franklin- While it seems like the government is only helping the irresponsible folks who are able to stay in their homes while not paying their mortgage, families like mine are equally affected but our moral standards don't allow us to not send out that monthly check.
Mike Files- I'm sure I'm underwater, but I would never walk away due to the damage that would do to my credit score.
Those of you just walking away from your homes need learn from these individuals. These homeowners and others like them seem to still have morals and pride. So many homeowners are just walking away and contributing to the continuing downward spiral of the economy. Do what you have to do and save your homes. Stop making things worse.
CNNMoney.com had a recent article of people who were not going to just walk away from their home. Big, big, big kudos to these folks.
A basic cost cutting analysis predicts people who are underwater will abandon their homes and accept foreclosure. But there is little data measuring whether that logic holds true. In fact, Eric Johnson, a business professor at Columbia University, believes it doesn't. After years of studying behavioral economics-essentially the economics of choice-he argues that people will simply not make such rational decisions.
The next few individuals are some of those who decided to stay in their homes. My hat's are off to them.
Rich Foretich- Walking away is not in my nature. I borrowed the money. I built the house. I owe the money. As long as I have the means to pay it back, I plan to do so.
Pat Conroy- If I walk away, I would look at it it as a business decision. But I also look at it from a responsibility viewpoint, and as long as I can afford my mortgage, I'll pay it.
Ben Franklin- While it seems like the government is only helping the irresponsible folks who are able to stay in their homes while not paying their mortgage, families like mine are equally affected but our moral standards don't allow us to not send out that monthly check.
Mike Files- I'm sure I'm underwater, but I would never walk away due to the damage that would do to my credit score.
Those of you just walking away from your homes need learn from these individuals. These homeowners and others like them seem to still have morals and pride. So many homeowners are just walking away and contributing to the continuing downward spiral of the economy. Do what you have to do and save your homes. Stop making things worse.
Saturday, March 14, 2009
Financial Motivational Quote March 14, 2009
"Success is the study of the obvious. Everyone should take Obvious 1 and Obvious 2 in school."- Jim Rohn
Friday, March 13, 2009
Bank Of America's Ken Lewis Discusses Bank Myths
The Wall Street Journal ran an article written by Ken Lewis, CEO of Bank of America, discussing the current beliefs about banks and how nationalization would undermine confidence in the financial system.
Just as we have shown in our on going series, "All this has happened before and it will happen again," Lewis discusses the story of our economic crisis mirrors every great market bubble in history. Clearly, banks were key participants, but they were not alone. Mortgage lenders, borrowers, regulators, policy makers, appraisers, rating agencies, investors and investment bankers all played a role in pushing economic excesses forward. The institutions that gave in completely to the frenzy are no longer with us. Those that balanced the need to compete with the need to lend prudently survive today and are helping to stabilize the system.
Lewis has provided some clarity on a few key claims that have been repeated so often they are now taken to be fact. They are not.
-The banks aren't lending. This claim is simply not true. Yes, banks have tightened lending standards after a period in which standards were too lax. But according to Federal Reserve data, bank credit has actually increased over the course of this recession, and business lending is trending up modestly so far in 2009. Also, mortgage finance volume is booming as a result of low interest rates. What's gone from the system is the easy credit that got us into the mess, unregulated non bank lenders have disappeared, and the market for many asset backed securities has all but dried up. Most banks are making as many loans as we can responsibly can, given the recessionary environment.
-The banks are insolvent. In the past 18 months, we have seen fewer than 50 bank failures, That compares to about 2,000 failures or closings of commercial banks or savings institutions between 1986 and 1991. Thee may be more to come, but the vast majority of banks will weather this economic storm.
-The Troubled asset Relief Program (TARP) hasn't worked. Not true. Last October, when the Tarp was enacted, systematic risk threatened our entire financial system and economy. The point of the program was to stabilize surviving banks, prevent a total meltdown, and enable banks to lend more. The TARP and other government programs have worked, and banks are making more loans as a result.
-Taxpayers have given the banks billions and won't get their money back.TARP funds are not charity. Banks that received TARP funds will make about $13 billion in dividend payments to the U.S. Treasury this year. TARP funds are loans yielding anywhere from 5% to 8% interest. This is a win-win. Banks are getting the capital they need, and taxpayers are getting a strong return on their investment.
-The banks that caused this mess must be held accountable. In fact, while all banks participated in the bubble economy to some degree, the companies that did the most to cause this mess are gone. The managers and shareholders of those institutions have been held accountable by the toughest, most unforgiving master of all: the free market.
-The only way to fix the banks is to nationalize them. This is a misguided premise. The announcement of nationalization would undermine confidence in the financial system and send shudders through the investment community. Politicizing lending decisions and the credit allocation process would be destructive for the economy. Nationalization also would give the false impression that all banks are insolvent. We agree with Federal Reserve Chairman Ben Bernake's statement that nationalization of banks is not necessary to stabilize the banking system.
Getting our facts straight as we debate the important issues will help us rebuild a healthy financial services sector that can better support economic growth.
I agree with Ken Lewis as he continues to discuss in the article that one of the greatest challenges right now is the need to extend credit with the need of households to pay down excessive debt. Our economy had become too dependant on debt driven consumption to create growth. This may be the beginning of a serious and long over due cleansing for us all.
Just as we have shown in our on going series, "All this has happened before and it will happen again," Lewis discusses the story of our economic crisis mirrors every great market bubble in history. Clearly, banks were key participants, but they were not alone. Mortgage lenders, borrowers, regulators, policy makers, appraisers, rating agencies, investors and investment bankers all played a role in pushing economic excesses forward. The institutions that gave in completely to the frenzy are no longer with us. Those that balanced the need to compete with the need to lend prudently survive today and are helping to stabilize the system.
Lewis has provided some clarity on a few key claims that have been repeated so often they are now taken to be fact. They are not.
-The banks aren't lending. This claim is simply not true. Yes, banks have tightened lending standards after a period in which standards were too lax. But according to Federal Reserve data, bank credit has actually increased over the course of this recession, and business lending is trending up modestly so far in 2009. Also, mortgage finance volume is booming as a result of low interest rates. What's gone from the system is the easy credit that got us into the mess, unregulated non bank lenders have disappeared, and the market for many asset backed securities has all but dried up. Most banks are making as many loans as we can responsibly can, given the recessionary environment.
-The banks are insolvent. In the past 18 months, we have seen fewer than 50 bank failures, That compares to about 2,000 failures or closings of commercial banks or savings institutions between 1986 and 1991. Thee may be more to come, but the vast majority of banks will weather this economic storm.
-The Troubled asset Relief Program (TARP) hasn't worked. Not true. Last October, when the Tarp was enacted, systematic risk threatened our entire financial system and economy. The point of the program was to stabilize surviving banks, prevent a total meltdown, and enable banks to lend more. The TARP and other government programs have worked, and banks are making more loans as a result.
-Taxpayers have given the banks billions and won't get their money back.TARP funds are not charity. Banks that received TARP funds will make about $13 billion in dividend payments to the U.S. Treasury this year. TARP funds are loans yielding anywhere from 5% to 8% interest. This is a win-win. Banks are getting the capital they need, and taxpayers are getting a strong return on their investment.
-The banks that caused this mess must be held accountable. In fact, while all banks participated in the bubble economy to some degree, the companies that did the most to cause this mess are gone. The managers and shareholders of those institutions have been held accountable by the toughest, most unforgiving master of all: the free market.
-The only way to fix the banks is to nationalize them. This is a misguided premise. The announcement of nationalization would undermine confidence in the financial system and send shudders through the investment community. Politicizing lending decisions and the credit allocation process would be destructive for the economy. Nationalization also would give the false impression that all banks are insolvent. We agree with Federal Reserve Chairman Ben Bernake's statement that nationalization of banks is not necessary to stabilize the banking system.
Getting our facts straight as we debate the important issues will help us rebuild a healthy financial services sector that can better support economic growth.
I agree with Ken Lewis as he continues to discuss in the article that one of the greatest challenges right now is the need to extend credit with the need of households to pay down excessive debt. Our economy had become too dependant on debt driven consumption to create growth. This may be the beginning of a serious and long over due cleansing for us all.
Financial Motivational Quote March 13, 2009
"Experience shows that success is due less to ability than to zeal. The winner is he who gives himself to his work, body and soul." Sir Thomas Fowell Buxton
Thursday, March 12, 2009
Good News for GM
It's what we like to hear around here...Good News. GM the troubled auto maker says it has more cash on hand than expected and no longer needs a $2 billion government loan this month.
CNNMoney.com reported today that General Motors announced Thursday that cost cutting efforts had improved its cash position enough to allow it to get by without $2 billion in additional federal loans later this month.
GM, which has already received $13.4 billion in government loans, is not trimming its request for up to $16.6 billion in additional Federal help through 2011, however.
But GM chief financial officer Ray Young said in a statement that "the $2 billion of funding previously requested for March would not be needed at this time."
The company also announced that members of the Canadian Auto Workers union have ratified a contract to cover hourly workers at its plants there. GM did not have an estimate for how much money that will save the company.
This has been a good day. Banks are paying back their TARP funds, GM says it doesn't need the money, and retail sales are up. Let's keep this going. Good News=Good economy.
CNNMoney.com reported today that General Motors announced Thursday that cost cutting efforts had improved its cash position enough to allow it to get by without $2 billion in additional federal loans later this month.
GM, which has already received $13.4 billion in government loans, is not trimming its request for up to $16.6 billion in additional Federal help through 2011, however.
But GM chief financial officer Ray Young said in a statement that "the $2 billion of funding previously requested for March would not be needed at this time."
The company also announced that members of the Canadian Auto Workers union have ratified a contract to cover hourly workers at its plants there. GM did not have an estimate for how much money that will save the company.
This has been a good day. Banks are paying back their TARP funds, GM says it doesn't need the money, and retail sales are up. Let's keep this going. Good News=Good economy.
Financial Motivational Quote March 12, 2009
"Men are failures, not because they are stupid, but because they are not sufficiently impassioned." Struther Burt
Wednesday, March 11, 2009
And The No. 1 Credit Card Lender In Europe Is...Bank of America
Bank of America has retained its title as the largest credit card lender in Europe with a 9.4% market share, according to a recent independent study by research organization Euromonitor. This ranking is one re example of Bank of America being a market leader not only in the U.S. but also around the world.
First named as the largest credit card lender in Europe in 2007, the bank's share of the market has remained stable compared to other major issuers such as Barclays, RBS and HSBC, who have lost ground.
Ian O'Douhgerty, president of Europe Card Services, said "Bank of America's dominance of the U.K. market---with 19% share--remains key to our overall position in Europe. Given the turbulent economic environment in recent months, this is a fantastic achievement, and one which we should all be proud of."
The customer research commissioned by Bank of America was conducted between September and October 2008. The research methodology combined published sources of market and company data with trade interviews of leading issuers, trade association and government statistical offices to access the latest data and opinion.
A division of Global Cardservices, Bank of America's European credit card business was established in the U.K. in 1993, Ireland Card Services opened for business in Dublin in 1997 and has grown to become the No. 3 credit card provider in the country, with a 26% share. Spain Card Services was established in 2002 and has an estimated market share of 13% in revolving credit cards.
Bank of America Global Card Services is the largest credit card lender in the world with more than $226 billion in credit card and other unsecured loans, serving approximately 70 million customers across operations in the United States, Canada, the United Kingdom, Ireland and Spain.
First named as the largest credit card lender in Europe in 2007, the bank's share of the market has remained stable compared to other major issuers such as Barclays, RBS and HSBC, who have lost ground.
Ian O'Douhgerty, president of Europe Card Services, said "Bank of America's dominance of the U.K. market---with 19% share--remains key to our overall position in Europe. Given the turbulent economic environment in recent months, this is a fantastic achievement, and one which we should all be proud of."
The customer research commissioned by Bank of America was conducted between September and October 2008. The research methodology combined published sources of market and company data with trade interviews of leading issuers, trade association and government statistical offices to access the latest data and opinion.
A division of Global Cardservices, Bank of America's European credit card business was established in the U.K. in 1993, Ireland Card Services opened for business in Dublin in 1997 and has grown to become the No. 3 credit card provider in the country, with a 26% share. Spain Card Services was established in 2002 and has an estimated market share of 13% in revolving credit cards.
Bank of America Global Card Services is the largest credit card lender in the world with more than $226 billion in credit card and other unsecured loans, serving approximately 70 million customers across operations in the United States, Canada, the United Kingdom, Ireland and Spain.
Financial Motivational Quote March 11, 2009
"After I asked him what he meant, he replied that freedom consisted of the unimpeded right to get rich, to use his ability, no matter what the costs to others, to win advancement."- Norman Thomas
Even Lex Luthor is Asking For A Bailout...Maybe Superman Can Save The Economy.
Funny or Die, the comedy video website founded by Will Ferrell and Adam McKay, posted a video showing the economy is hurting everyone. Even supervillian Lex Luthor.
Golden Globe award winner, Jon Hamm, portrays Lex Luthor in the video asking for $100 billion bailout of Lexcorp.
Maybe fixing the economy is a job for Superman.
Golden Globe award winner, Jon Hamm, portrays Lex Luthor in the video asking for $100 billion bailout of Lexcorp.
Maybe fixing the economy is a job for Superman.
Tuesday, March 10, 2009
Monday, March 9, 2009
How to Get A Good Night's Sleep
Stressed out over your finances and the economy? The National Sleep Foundation recommends:
-Having a standard relaxing bedtime routine.
-Having regular sleep times.
-Keeping the bedroom dark, cool and quiet.
-Being sure pillows, mattresses and bedding are comfortable.
-Exercising regularly, but stopping at least three hours before bedtime.
-Avoiding caffeinated beverages or alcohol at least eight hours before turning in.
-Keeping work, computers and TV's out of the bedroom.
Try and take it easy. It's always darkest before the dawn.
Financial Motivational Quote March 9, 2009
"Successful men are influenced by desire for pleasing results. Failures are influenced by desire for pleasing methods."- Frank E. Brennan
Sunday, March 8, 2009
Reverse Mortgage's To Benefit From Loan Limit Increase.
Reverse Mortgage business is expected to benefit from an additional increase to the U.S. Government insured Home Equity Conversion Mortgage (HECM) loan limit signed by by President Barack Obama on February 17 as part of the $787 billion American Recovery and Reinvestment Act. This is the second limit increase to the Federal Housing Administration's HECM product in the last four months.
In 2008 the U.S. Government insured HECM products represented the vast majority of reverse mortgages funded in the United States.
The provision signed by the President and enacted by the U.S. Department of Housing and Urban Development (HUD) raises the HECM loan limit to $625,500 for the remainder of the calendar year 2009. The new limit took effect on February 24. However, HUD will allow any loan with a case number assigned prior to this date to close at either the previous limit ($417,000) or the new limit of $625,500 until April 30.
The previous single, national HECM lending limit of $417,000 was set in October 2008, raising the relatively low, country based loan limits, which topped out at $200,160 for the majority of counties and $362,790 for higher costs areas.
These limit changes enable existing reverse mortgage borrowers with higher home values to refinance and access a greater amount of equity in their homes. In addition, seniors who have not obtained a reverse mortgage now have the opportunity to receive more money than previously allowed. This will be especially helpful to seniors living in high cost housing area, such as California and the northeast.
Statics show that more seniors have already benefited from the October 2008 increase. Revers mortgage loan volume has increased substantially in the last 6 months. Bank of America Reverse Mortgage has experienced a 41 percent increase in new loan closings. Additionally 43 percent of Bank of America reverse mortgage loans closed over the last couple of months had values in excess of $300,000.
In this economic environment, more seniors are considering a reverse mortgage to help them with the costs of retirement. This additional increase will go a long way to help seniors access the funds they need to age in place.
Sleeplessness Up, Economy Down
In our series, "No Excuses For Going Into Foreclosure or Not Making Your Credit Card Payments," we discussed the effects sleep deprivation. In our discussion we talked about intentional sleep deprivation by working two full time jobs., but most are not sleeping for economic reasons.
The Healthy Day News reported that almost a third of all Americans are tossing and turning, unable to get a good night's sleep because they're worrying about the economy, their jobs or their money, a new poll finds.
Money woes for outweigh other problems, such as the wars in Iraq and Afghanistan, global warming, or the threat of a terrorist attack, according to the annual poll by the National Sleep Foundation.
"What is very telling is that these Americans whose sleep is impacted by financial worries report that their sleep disturbance makes them less likely to work efficiently, exercise, eat healthily, and have sex compared to their better sleeping fellow Americans," said report co author Michael V. Vitiello, a professor of psychiatry and behavioral sciences at University of Washington.
According to the poll, 27 percent of those surveyed said they had disturbed sleep in the past month due to money issues--including personal finances (16 percent), the U.S. economy (15 percent), or losing their job (10 percent).
The U.S. National Institutes of Health estimates that some 70 million Americans suffer from a chronic sleep disorder or intermittent sleep problem. Women experience the problems more often than men, and sleep difficulties increase with age.
Among other finding in the poll:
46 percent said their sleep needs aren't being met.
35 percent said they sleep less than six hours a night.
41 percent said they have driven while sleepy.
Almost one third said that lack of sleep affected their work.
One third said lack of sleep caused emotional problems, such as anxiety and depression.
89 percent reported insomnia, 33 percent reported restless leg syndrome, and 14 percent reported sleep apnea.
Fore more information on sleep, visit the National Sleep Foundation.
The Healthy Day News reported that almost a third of all Americans are tossing and turning, unable to get a good night's sleep because they're worrying about the economy, their jobs or their money, a new poll finds.
Money woes for outweigh other problems, such as the wars in Iraq and Afghanistan, global warming, or the threat of a terrorist attack, according to the annual poll by the National Sleep Foundation.
"What is very telling is that these Americans whose sleep is impacted by financial worries report that their sleep disturbance makes them less likely to work efficiently, exercise, eat healthily, and have sex compared to their better sleeping fellow Americans," said report co author Michael V. Vitiello, a professor of psychiatry and behavioral sciences at University of Washington.
According to the poll, 27 percent of those surveyed said they had disturbed sleep in the past month due to money issues--including personal finances (16 percent), the U.S. economy (15 percent), or losing their job (10 percent).
The U.S. National Institutes of Health estimates that some 70 million Americans suffer from a chronic sleep disorder or intermittent sleep problem. Women experience the problems more often than men, and sleep difficulties increase with age.
Among other finding in the poll:
46 percent said their sleep needs aren't being met.
35 percent said they sleep less than six hours a night.
41 percent said they have driven while sleepy.
Almost one third said that lack of sleep affected their work.
One third said lack of sleep caused emotional problems, such as anxiety and depression.
89 percent reported insomnia, 33 percent reported restless leg syndrome, and 14 percent reported sleep apnea.
Fore more information on sleep, visit the National Sleep Foundation.
Financial Motivational Quote March 8, 2008
"Don't confuse fame with success. Madonna is one; Helen Keller is the other."- Erma Bombeck
Saturday, March 7, 2009
Fortune Rates Bank of America At The Top Among Banks
With all the doom and gloom in the banking sector these days it's good to hear good news for a change.
My favorite bank, Bank of America, was recently named the world's "Most Admired Megabank" by Fortune magazine and the top bank in 2009 Brand Keys Customer Loyalty Engagement Index.
In its annual survey of global corporate reputations, Fortune editors examined 1,400 companies covering 64 industries from around the globe. This year's survey marked the first time Fortune combined U.S. based companies with non-U.S. based companies to come up with a global most admired list.
According to Fortune, some 4,047 executives, directors and securities analysts were asked to rank the companies using nine criteria, from investment value to social responsibility. Bank of America topped the list of so called megabanks with an overall rating of 6.69, just ahead of JPMorgan Chase and Credit Suisse Group, which were both rated 6.53. Wells Fargo was fourth, followed by Deutsche Banks, ING Group and BNP Paribas. Overall Bank of America was ranked 26th on the Most Admired list.
Bank of America was ranked #1 in its peer group for innovation, social responsibility, and quality of products and services. Bank of Bank was ranked second in the areas of people management, quality of management and long term investment.
Consumers do not participate in the survey and Fortune editors made the point this year to acknowledge that the "Most admired List" should not be regarded as an indicator of consumer sentiment. Instead experts are asked to evaluate companies on how well they they stick to and execute their business strategy.
However, consumers are polled in the Brand Keys Customer Loyalty Engagement Index. And there, Bank of America also ranked #1 in the banking category.
Brand Keys--which specializes in customer loyalty research measuring brand equity--polled 26,000 consumers of 441 brands in 63 categories earlier this year. In general, Brand Keys found that consumers are still attracted to top brands provided they feel they are getting good value for their money. Among banks, according to Brand Keys, Bank of America excelled with consumers in the categories of trust and acumen.
There is positive news out there everywhere. Let's turn the negative around and bring back happy days again for everyone.
My favorite bank, Bank of America, was recently named the world's "Most Admired Megabank" by Fortune magazine and the top bank in 2009 Brand Keys Customer Loyalty Engagement Index.
In its annual survey of global corporate reputations, Fortune editors examined 1,400 companies covering 64 industries from around the globe. This year's survey marked the first time Fortune combined U.S. based companies with non-U.S. based companies to come up with a global most admired list.
According to Fortune, some 4,047 executives, directors and securities analysts were asked to rank the companies using nine criteria, from investment value to social responsibility. Bank of America topped the list of so called megabanks with an overall rating of 6.69, just ahead of JPMorgan Chase and Credit Suisse Group, which were both rated 6.53. Wells Fargo was fourth, followed by Deutsche Banks, ING Group and BNP Paribas. Overall Bank of America was ranked 26th on the Most Admired list.
Bank of America was ranked #1 in its peer group for innovation, social responsibility, and quality of products and services. Bank of Bank was ranked second in the areas of people management, quality of management and long term investment.
Consumers do not participate in the survey and Fortune editors made the point this year to acknowledge that the "Most admired List" should not be regarded as an indicator of consumer sentiment. Instead experts are asked to evaluate companies on how well they they stick to and execute their business strategy.
However, consumers are polled in the Brand Keys Customer Loyalty Engagement Index. And there, Bank of America also ranked #1 in the banking category.
Brand Keys--which specializes in customer loyalty research measuring brand equity--polled 26,000 consumers of 441 brands in 63 categories earlier this year. In general, Brand Keys found that consumers are still attracted to top brands provided they feel they are getting good value for their money. Among banks, according to Brand Keys, Bank of America excelled with consumers in the categories of trust and acumen.
There is positive news out there everywhere. Let's turn the negative around and bring back happy days again for everyone.
Thursday, March 5, 2009
What If My House Is Worth Less Than I Owe?
"What if my house is worth less than I owe? Well, do have to sell it? Are you not willing to do what it takes to save your home? Maybe get a second job, sell material possessions, rent out a room?
If you have exhausted all your options, there are a lot out there, then push your bank for a short sale.
In the case of a short sale, the bank or lender agrees to take whatever your house sells for in the current market. They will do this even if your mortgage balance is greater than the houses value. Once you give all proceeds from the sale to the lender you mortgage will be considered settled. The difference between the what was owed and the selling price is forgiven.
Lenders do this when they feel the loss in the difference is not as great as the costs incurred from a foreclosure. It is not easy as it sounds to get a short sale approved by your lender, but it doesn't hurt to ask.
The damage to your credit score is no different than if you went through a foreclosure, but it will save you a lot of headaches in the long run.
Financial Motivational Quote March 5, 2008
"If at first you don't succeed, think how many people you've made happy." H. Duane Black
Wednesday, March 4, 2009
The Phones Are Going To Be Ringing Off The Hook!
CNN Money gave the skinny regarding the Obama administration's foreclosure prevention program.
The phones are going to be ringing off the hook for information regarding the foreclosure prevention program. Be Patient. While borrowers can now start contacting servicers, it may take several week for companies to implement the guidelines, said a senior mortgage industry official in a conference call with reporters.
Servicers are adding staff to handle the expected deluge of calls. Bank of America, for instance, just boosted its servicing staff by 1,000 people.
JPMorgan Chase, which said it "strongly supports" the president's plan, will need a few weeks to get the program up and running, a spokesman said.
Official warned borrowers - many of whom have complained of long waits and unresponsive staff at servciers - to be patient. Until then, they can find out whether they meet the basic criteria and can start gathering the financial documents they'll need to give their servicer.
"There will definitely be a flood of activity, so it's important for consumers to be patient and be persistent and to take a hard look at their own personal financial situation so they can come prepared to really move the process forward as rapidly as possible," the official said.
Please be patient with the staff you talk to. This just rolled out and their is for sure going to be a learning curve until the bugs are worked out. Go easy on them and remember they are there to help you.
The phones are going to be ringing off the hook for information regarding the foreclosure prevention program. Be Patient. While borrowers can now start contacting servicers, it may take several week for companies to implement the guidelines, said a senior mortgage industry official in a conference call with reporters.
Servicers are adding staff to handle the expected deluge of calls. Bank of America, for instance, just boosted its servicing staff by 1,000 people.
JPMorgan Chase, which said it "strongly supports" the president's plan, will need a few weeks to get the program up and running, a spokesman said.
Official warned borrowers - many of whom have complained of long waits and unresponsive staff at servciers - to be patient. Until then, they can find out whether they meet the basic criteria and can start gathering the financial documents they'll need to give their servicer.
"There will definitely be a flood of activity, so it's important for consumers to be patient and be persistent and to take a hard look at their own personal financial situation so they can come prepared to really move the process forward as rapidly as possible," the official said.
Please be patient with the staff you talk to. This just rolled out and their is for sure going to be a learning curve until the bugs are worked out. Go easy on them and remember they are there to help you.
President Obama's Foreclosure Fix Is Underway.
CNN Money reported today the Obama administration's foreclosure prevention program is open for business.
The multipronged fix calls for companies to help as many as 4 million struggling borrowers by modifying loans so monthly housing payments are no more than 31% of monthly gross income. Separately, homeowners who haven't missed a payment can refinance into lower cost loans even if they have little or no equity. This is expected to help 5 million homeowners.
To Participate in the loan modification plan, borrowers must:
-have obtained their mortgage before January 1, 2009;
-have a primary mortgage of less than $729,500;
-live in the property
-fully document their income by providing tax returns and pay stubs;
-sign a statement of financial hardship; and
-go for counseling if their total household debt-including auto loans, credit cards and alimony-totals more than 55% of their income.
The modification program will be in effect until the end of 2012, but loans can only be adjusted once.
I am really interested to see how this works out. I think it's a little to late. Most people have already lost their homes. Those who haven't are in debt up to their eye balls. The rest are so far underwater their drowning. Everyone in those categories probably doesn't meet the criteria. I really feel we need confidence, spending, and good news to get out of this financial disaster. But maybe this is the kind of news that will do just that. Let's give it a chance.
The multipronged fix calls for companies to help as many as 4 million struggling borrowers by modifying loans so monthly housing payments are no more than 31% of monthly gross income. Separately, homeowners who haven't missed a payment can refinance into lower cost loans even if they have little or no equity. This is expected to help 5 million homeowners.
To Participate in the loan modification plan, borrowers must:
-have obtained their mortgage before January 1, 2009;
-have a primary mortgage of less than $729,500;
-live in the property
-fully document their income by providing tax returns and pay stubs;
-sign a statement of financial hardship; and
-go for counseling if their total household debt-including auto loans, credit cards and alimony-totals more than 55% of their income.
The modification program will be in effect until the end of 2012, but loans can only be adjusted once.
I am really interested to see how this works out. I think it's a little to late. Most people have already lost their homes. Those who haven't are in debt up to their eye balls. The rest are so far underwater their drowning. Everyone in those categories probably doesn't meet the criteria. I really feel we need confidence, spending, and good news to get out of this financial disaster. But maybe this is the kind of news that will do just that. Let's give it a chance.
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