20 Episode results for "Clark Howard"

4.15.19 Cars that stop you from speeding; Anonymously shop around for mortgage rates

Clark Howard Show

35:47 min | 1 year ago

4.15.19 Cars that stop you from speeding; Anonymously shop around for mortgage rates

"Great to have you here on the Clark Howard show, where it's about you learning ways to save more and spend last and don't let anyone ever rip you off one place. We really got ripped off as when we shop for mortgages tell you about a new way to do that to lessen the ripoffs. That's coming up for you later on talk right now about a technology that is appearing on more and more vehicles. I have an app for our electric car. I can go on in when my teenager wants to drive the car, I go on the app, she's nineteen by the way and still is this an over controlling parent. I go on the app, and I can control the horse power the vehicle and its top speed. I go to the app hit the button and right now, I'm talking to you. I went to the controls and click the button. And now the car is going to have lower horsepower, lower top speed and speed is so dangerous with a younger driver. And so I'm able to do that. This technology is so available now on many gas engine cars as well that it leads to the possibility a big brother and not me doing it to my own daughter, but government doing it to all of us which was just adopted in Europe that starting in two and a half years. Approximately vehicles are going to automatically adapt to the posted speed limit. So if you're driving along and you're driving much faster than the speed limit. The car is going to automatically reduce horsepower going forward and will limit the speed and reduce engine power, depending on the vehicle. There will be an override so you if you want to continue to drive above the speed limit you'll be able to doing the override that will be avail-. Lable in each vehicle gas engine or electric, but the idea is that as vehicles have a lot more power than they used to that. So many accents are caused by excessive speed. This will force you to slow down. And you will actually have to work at it to get that speed higher and higher from that point. This is one that. I know I'm supposed to have an opinion on. I'm so confused about this because doing it to my own daughter where I reduce her ability to drive fast is me doing that as a parent, and I think that's fine in my own household, but the idea of government mandating that vehicles be a quipped with this technology, which is now off the shelf technology that automatically knows based on GPS where AVI ical is what the posted speed limit is what you should be driving. What speed you should be driving that having government play that role that freaks me out? Maybe I'm missing something. But that freaks me out me doing it. I'm okay with government doing it. Not so much Ron is with us on the Clark Howard show heireann. Hey recently. Packet on the former employer offering three choices to opt out of my company. Pinching my company got bought by another company, and I retain employment with that company. And now the former employer which had a pension with. They want rid of you big time they want to settle with me yet. They want you out of there. And the reason is is that old pension. You have this hanging out there from where used to work as a liability for them. Yes, they wanna cut that liability loose. And they dangle in front of you saying, we will write you a check for X number of dollars if you'll get out of our lives, basically. Yeah. You don't wanna do it not under any circumstances? Can't think of any you generally will be better served in the reason they're trying to get rid of you is they don't wanna pay you the lifetime benefit they have to pay you. And you. Retire. Right. But it's your option and a lot of people in fact, most people take the money. It's like, wow, I never even thought about money from those people they in a give me all this say ain't have a check or and put the money in an IRA. But whatever they just want me to get lost. And they'll give me this money. Right. So they want to give you that money that bad. What does that tell you wait till you're older and take the money? Can you wait till age sixty five is that an option. I can wait, wait, wait. Because what it does? Is it creates a lifetime stream of income for you? The you couldn't duplicate if you took the money they're trying to get you to take in you, then try to figure out how in the world to invest it to make money for yourself down the road. It will be it won't be impossible. But it's unlikely the you'll be able to do better than what they'll pay. Hey, you if you start taking that money when you're sixty five Aaron is with us on the Clark Howard show. Hello, Aaron how are you doing today? Great. How are you? Great. Thank you. Erin. Tell me how might be of service to you. Well, my husband, and I when we first met we both were homeowners are houses where seven homes apart. And you know. Wow. Is that how you met you met in the neighborhood? Yeah. In the local barbecue joint. How great is that? It's it's been a lot of fun getting to know our neighbors to but so shortly before we got married, I moved into his house, and we rented out mine. Our rent is approximately two hundred dollars a month more than I'm mortgage payment, but we've had repairs and all kinds of things that have to get covered. And basically breaking even the house has gone up in value pretty steadily every year we live in Colorado, our housing market. It's nuts. It's gone up steadily. I'd say it's gone up close to like a rocket. Yeah. It's gone up sharply though. I just didn't know if we'd be better off selling and banking equity or invest in the equity, or if we'd be better off holding the rental will the the economy in Colorado is so strong for a reason you wanna live there. Everybody wants to live there. Right. Right. Right. So the question about selling has more to do with other possibilities. I how long have you had a tenant in that property? Years. Okay. So you're past the time where you would have been able to sell that property without having to pay any capital gains tax. So you're sale will be taxable on the game. You've had that's one factor that is already taken from the table. So then that brings up a second factor. Do you have an idea how you would invest the money that over the long haul would make you more potential income than you will make from this proper. I mean, you know, honestly, I don't have any specific ideas. I do feel like my husband and I are behind the curve retirement investing. So just the idea of having some Ness AAC beyond you know, might teacher pitcher and things like that gives me some comfort, but having rental income would do that too. So it's kind of you know, I'm having a hard time deciding which would be better because this is almost a. Lifestyle issue in terms of do you hate being a landlord if you despise being a landlord, then that's why you'd sell the property because if you're already to a minor degree cash flow positive over the years, most of your costs involved with owning that as a landlord stay pretty much the same. But the winds that you earn over time will rise and later on when you do decide to bail. You'll be able to sell at yet a higher price than what it is. Now, barring some kind of real estate depression at some point in the future. But there's nothing that puts that on Colorado's horizon. So come on come full circle to this question. Do you just hate being a landlord or not I really don't you know, we were lucky to be able to be very picky with our tenants because it's just such a high demand area. So you know, we don't laugh lots of applicants? We got really really picky really been a nice an easy thing for us to pick up. Then I would keep it. Okay. I would keep it. If you had said to me you had the big run up. It was still going to be a tax free sale. I would say maybe you would want to consider dumping it. But use you aligned all the stars just right to keep that property and continue to be a landlord. So that just what I would do and in best to both of you, and your brilliant or very lucky or both ended up in the right place with the right real estate at the right time in Colorado history. That's right. So best to you have a great day. Thanks so much. John joins us on the Clark Howard show, and John you are trying to get a family member to do something or stop doing something. They're doing right now. Fill me in on that. Yeah, I'm trying to get my mother his paying a local company six hundred and fifty dollars a year or a preventative maintenance contract on to gas furnaces. And it just seems like an incredible waste of time. Given that guest furnaces pretty much last year in year out for years without any problems. So let's talk this through is this like with heating and air conditioning contractor where they come in do maintenance inspection and seasonal cut over. Or is this just in the event that the furnaces were to croak that it would replace. Yeah. They do. They do not buy here last year when they stop by. And they just kind of kept the capacitor and make sure the fan belt is okay. And I asked him last year to change the furnace filters thinking that that would come with the price, and that didn't there was extra charge for replacing this Schilder. So if you got some guy shows up, and he just kind of opens the thing looks at a couple of things and since my mother huge Bill the six fifty per unit. So the way you decide whether this is wasted money or not is it is a good idea. Twice a year to have those inspections done so way, you know, the six fifty is money thrown down a toilet. Or not is weather flushed down a toilet would be the right expression. Whether the cost of to service visits is a tiny fraction of the six fifty. In. I would imagine that they are. But I think you wanna get quotes was it cost to have an inspection of your furnace and based on that number. You would be able to show your mom clear as could be that she should stop paying this six hundred fifty dollar annual fee per furnace. Is it six fifty per furnace or for two? For two three twenty five furnace. You know? It's it's weird. You may find that that is not an outrageous amount versus to service visits. Right. So that's how you make that decision. This is not like when somebody asked me if they should have an extended service contract on a flat screen TV or something. You know, we we we we expect so much from our heating and air conditioning systems that having a maintenance checkup a couple times a year is actually money well spent because if they are running inefficiently, and we don't know it what they can end up. Austin us an energy bills is such that I'm not gonna throw the flag your mom automatically for paying six fifty. But if you want some evidence that the six fifty is a bad idea see with that service, visit would cost times too. And then you have your answer. Yeah. They're they're coming once a year for the for the deal only once a year. This year. I bet I bet at once a year you're going to be proven completely right? But if your mom is stubborn about this. That's why you want to run the numbers see where the numbers come out. And if they do come out that this is a waste, it'll be pretty obvious. And you'll be able to help your mom, and your mom always knows best. But in this case, you may know better if you don't know your numbers, you don't know your business, but the problem growing businesses have that keeps them from knowing their numbers is there hodgepodge of business systems. They have one system for accounting, another for sales, another for inventory, and so on it's just a big inefficient mess taking up too much time, and too many resources and that hurts the bottom line introducing net suite by oracle the business management software that handles every aspect of your business in an easy to use cloud platform, giving you the visibility and control you need to grow. With net. Sweet you save time money and unneeded headaches by managing sales, finance and accounting orders, and HR instantly right from your desktop or phone. That's why net sweet is the world's number one cloud business system. And right now nets we desire for and you valuable insights with free guide, seven key strategies to grow your profits at net sweet dot com slash saving. That's net sweet dot com slash saving to download your free guide, seven key strategies to grow your profits net sweet dot com slash saving Susie is with us on the Clark Howard show. Hello suzie. How you doing? I am doing fabulously. And how are you? Great. Great. You've got a story. You wanna show with me about a Bank? Well, yes, a credit union, actually. And it's the revisit because I talked to you sometime ago, and I had a credit union at wanted to become a Bank for. No, I don't like your. I know you were very upset. And so I kind of waited and they did their little vote, and they voted not by a huge amount. But they did vote to become a Bank. So I was depressed and looking around for other things to do. And a few months later, they sent letters out and said, well, we've kind of changed our mind, we're not going to be a Bank anymore. We're going to go back to being a credit union turns out that some of the biggest people who were members had said they were going to draw all their money. Isn't that people power great? You know, I'm sure a lot of here that. Yeah. You know, a lot of people that were voting probably didn't understand how awful it is. When a credit union becomes a Bank. And I sure do because I know how different the culture is of a Bank versus a credit union. And usually those are sweetheart deals for insiders often board members of a credit union when they do that conversion to a Bank. There's nothing good about it for the members. And how neat the they abandoned that effort and remained a credit union? Isn't it? Wonderful. I just thought you would like to know that there was a happy ending to that story. That is wonderful. I appreciate you sharing that because there there were quite a few moves to convert credit unions to banks a few years ago. It's not happening a lot now because I guess the words getting out how terrible it is. When that takes place Joel clerk, we an ask Clark here from Linh Xuan a win is a good time. Or how do I know when the right time is to switch from having full coverage on my car or to liability. So generally is as a rule when the cost of collision comprehensive for a year. You know, if you pay every six months double that pay monthly times twelve when that for a year exceeds ten percent of the remaining value of the car. That's usually the point at which you dumped collision comprehensive. Now, the exception is if you couldn't afford the cost. Of replacing a car if something really bad happened to it. You would avoid my ruler. Nor it glad you're with us here on the Clark Howard show where it's about your empowerment with knowledge. So you can keep more of what you make. You got a question for me. Go to Clark dot com slash ask post. Your question away. We have multiple ways to answer your question. If you specifically want to try to get meet answer your question, you'll see a box there to check. So one of the most difficult things and frustrating things is applying for the biggest loan we ever take out nets mortgage. The mortgage lending process is stuck in like nineteen sixty five and it's very difficult for borrower to comparison. Shop the whole industry is set up to try to keep you from comparison shopping. And if you go to sites that post rates, and you click on something before you know, it because the personal. Mation you have to give you have one salesperson after another after another after another calling you because the reality is most shopping for mortgages today is the sites that you go to our just what are known as lead generators or lead lead generation services. The whole idea is to get your name your Email address your phone number. So that sales people can hassle you trying to get you to take out your loan with them. Well, I'm really site about a guy who used to be with a bunch of the mortgage lenders who didn't like the way this process worked and he started a new thing called bundle and bundle. Does something completely different than others. Your information is not given to a lender. Their information is given to you. You're completely in control of the process. Yes. So you can contact different lenders on the bundle site in. It's designed for them to essentially bid for your business kind of like an EBay for your mortgage loan. And so you're able to communicate with people over Email. You're able to see various quotes from them what kind of fees you'd have an all that. And then you decide you decide who you're going to actually go to and this is fantastic because the whole idea of bundle in go look at the website and you'll see. How you do it step by step, but the whole idea bundle is somebody actually cared. What the experience was like for you as a consumer. You know, bankers just don't have that in their DNA to care about you put you first. So it took somebody breaking the business model flipping it around and saying you're the king, you're the Queen. You're the customer, and you're going to be in control the process. So if you're someone who's been so intimidated by dealing with the big bad banks. This is a way for you to be the one in control in charge in remember, this you need to shop for your loans. Most people are so intimidated by the process, they do not shop they go to one lender. And that's all they go to this away for you to get rid of any fear any concern. Or worry about the hassle of just endless calls in you. Find the best deal for your loan for your home. Gabrielle is with us on the Clark Howard show. How are you doing? I'm good. Thanks clark. How're you? Wonderful. Thank you. You have something to share with me about your 4._0._1._K that well, they did something. That's never good for you. Yes. I recently graduated college and got my first job offers a 4._0._1._K account. So I went ahead and went with that. And I did not know what to do once. I left the position with the company. And so I didn't really know what to do. So the checks just came to me. And so I'm not sure what to do with it. Now, it's been tax law. If I'm not really sure what to do with that remaining amount. So it actually hasn't been taxed it's been withheld from. Okay. So what they did is let's say just give round numbers thousand dollars in there. They keep two hundred Cindy eight hundred. And does it look like that that they kept back twenty percent? Yes. Right. So what how much total is it. They sent to you not a whole lot it under five hundred dollars. Oh perfect. All right. So you need to within sixty days of the date on the check that was issued to you from the 4._0._1._K provider. You need to go somewhere and open an IRA, and you're going to have to make up the nearly one hundred dollars. They took out as withholding because if you don't make up that money, they took out and sent to the IRS you get hit with tax and penalties on the money. Are you in a position you can make up what they withheld? Nia I should be. So as far as opening an IRA. Do you have one already now? Right. So you can there's there's several things you can do. Do. You have a good job now somewhere. Yes. But I don't have one offered through it. All right. So you can go in an IRA with less than five hundred dollars. Can you add to it? Do you have enough money that you could come up with a total of thousand or do we want to stick with the five hundred? Five hundred one place. I can tell you would be great for that is I think you can do that at Charles Schwab for one hundred or more. Do you have a Charles Schwab office near you? And not sure I live on local Lanta offices all over it. Lana any big city. They have offices all over. So you go in there. Tell them you got this distribution from four one K you want to deposit an IRA. Remember do not let sixty days pass. Oh, want to get into what the taxes and penalties. Are if you do go in and you take that check and take additional money another check that will make up exactly what that amount of withholding was and they reflected on the information. They sent to you the net check. And what the what the total amount was in your 4._0._1._K, you give that exact amount to Schwab. And you open an IRA with them. And you could go in any of number of things with them. Probably the easiest would be if you're not how knowledgeable you about investing, not terribly. Just open a Schwab. Intelligent portfolio. And it's what they do. Is you tell them you're looking for something to grow over the long haul. You wanna do an intelligent portfolio? They'll say, okay, let's pick this when and bam you're done perfect. So it will take you like no time at all. Great. Thank you. Sure. And why is the new employer? Not offer. You a retirement plan? It's a small business. Okay. All right. That is a big problem for small businesses. The good news is that there are a lot more affordable plans available now for small businesses where they can offer 4._0._1._K's at low cost. So Joel you're telling me, no, you're showing different coming knows thousand dollar minimum. Oh gabrielle. Yes. I'm wrong. I thought you could do an IRA for only one hundred or more producer. Joel says I'm wrong that it is a thousand dollars. So maybe we should do betterment. BT E R M E N T dot com. Okay. Look at that. They will be just fine for the amount of money. You have. Pollock into that. All right. Best to you. Thanks for the quick catch show. Mike is with us on the Clark Howard show. Hi, mike. Yeah. Questions also jet for you. If you have time, let's hear the tip. I well. So let me express my gratitude for everything you've done for me, and my family's wallet. I thank you very much. Clark stinks. Very entertaining. I think the only thing thanks about it is that you let people tell you that you're saying, no, no, Nina. We're all we're all works in progress. And if I'm going to serve you I need to have that channel for people to give feedback and let me know where I've come up short. I just I find what you do with your time to be very selfless. And you know, I think it's if people don't wanna listen, they don't have to listen. But I I like I said you've done a great a tremendous amount from me and my family over the years. So I appreciate that. You're kind to say that that you said you had a tip though. Yeah. So I I heard a couple people call in in question depositing, cash anyone online Bank, and I have Charles Schwab. And I don't have a branch near me. So what I do when I have. Cash is I buy money waterfront dollar in the night, take a mobile picture of. And I send it by mobile game. Okay. That's ingenious you are. Now an official member of team Clark because I've never had a good answer to the questions. People have had about the cash deposits, and like Schwab doesn't accept cash and all that and the online banks don't accept cash, and everybody's got the mobile deposit things that is so smart right works perfect. Every time. Thank you for that. So you welcome. You're now in my show member of team Clark, by the way to means. You are you are a Clark Howard university. Graduate student now. That's great. I appreciate that. So my questions with far along as is. And I don't know I've been listening to you for probably ten years. I I've never heard an answer either one of these questions. So the first one is my employee allows me to up to fifty percent into my 4._0._1._K and Iraq ended up percentage points every year as you suggest and next year. I'm gonna I'm gonna at the match for your that I can put in. So if I continue zero percent of your pay well knows so I'm gonna hit the max that you're allowed to. Okay. Got it got it. All right. Right. Right. So after that if I continue to put in two percent, obviously, I'm going to be above that. So I was just curious as to what happens to your weekly deductions once you hit that max amount. So what else should you do to save for your future? Once you're already saving up to the statutory. Max you can put in a 4._0._1._K. Well, not only that. But also like, you know, for me, I get you know, I have right now almost a couple of hundred week taken out of my check. So once I hit that point. Obviously, I'm going to have a couple of hundred dollars. I'm guessing is gonna come back to me and my paycheck. Right. They're not going to continue to deduct. They're not gonna let you do excess contributions. Right. So do you make you eligible to do a Roth IRA or do you make too much? Now, I can do are off that would be what I would do next. Okay now like that in combination anyway. Okay. Perfect because you know, the 4._0._1._K you're doing at work pretext dollars. Right. You're not a Roth 4._0._1._K. I've got both. I do those. Oh, well, then as far as where I would stash extra cash, I would do the raw 4._0._1._K and did your wife have a retirement plan. She does she's got a Vermont state retirement plan. So for her doing a Roth 4._0._1._K would be great as well. Okay. Okay. Yeah. We certainly can do that. So that was my first question. My second question was I do target retirement fund. So if you hit that target retirement date, and you continue to work. How does that rebalance? What a great question. I, you know, I only talk generally about accumulating because that's usually people would ask me about. And so the answer to your question is what happens is let's say you're target retirement year is twenty forty just for argument's say. When you hit twenty forty if you're still working what happens is that they continue to manage it as a basically, an N retirement portfolio. So they continually even past that retirement date most target retirement funds from that point we'll still continue to tweak the mix of investments figuring the average age of retirement would be somewhere around sixty eight years old. They would then base it on expected lifespan and the investment mix would keep changing pass that time. Okay. So they don't just freeze it in place at that year. No. That makes perfect sense. I never heard the answer to that question before. So I was curious. Yeah. And that's that's really clever. You are a planner, and I am impressed in your money. Order idea. I'm double impressed. Jeff is with us on the Clark Howard show. Hello, jeff. Hey clark. How are you today rate? Thank you. Jeff, you want to share with me a job offer that you got that you smell a rat potentially. Yeah. Kind of sort a it's not really a job. It was an independent contractor position to purchase salvage lot as in merchandise. Material any sort of thing that they had aligned on whether it was a train wreck or an excess inventory with a company or whatever. And I I responded to that. And through the internet. I responded doing Email. And then last Friday, I get a very cryptic telephone call from a woman that says are you the jets responded to the and I'm not allowed to say name company? And and I said yes, are you going to be your address on Monday yesterday? I said, yes. And she had thank you very much hung up yesterday. I received overnight delivery cashier's check books. Very valid Ivy paying a to a Bank, but it's drawn on a major Bank. Everybody would recognize for one thousand six hundred eighty dollars with a long she'd been -struction that says. I'm to cash this catch. Here's check and to keep two hundred dollars. And this is all framed in the guise of a test or a trial that I'm. The only thing that's different is the back story. They told you this is the old bogus cashier's check scam. Right. So that's interesting that person just hung up, and then spent the money on the FedEx or UPS, I wonder if FedEx are UPS end up getting stiffed on the charges for those overnight deliveries if they use stolen credit cards or anything like that to send. United States postal service overnight. Oh, so maybe they're ripping off the taxpayers service. Oh, and that's an interesting thing in itself because a smart criminal would not use the US postal service because then that involves postal fraud statutes, which are more serious in terms of prison time. That scared. I mean, I hit him with an Email because I check the address I'm supposed to advance the remainder of the money to and said that address does not exist and he hit me right back. He said all yet does just be sure to put it in such and such such and such. Yeah. I mean, they're not scared. They may not even be in the United States, right? Many times they'll use a courier. I think they refer to the criminals the runners is a term sometimes criminals use calling him rabbits, they collect the money. And so if anybody gets caught by law enforcement is the is the poor soul who just thought they were picking up some money as Currier picking up money for somebody. And and they end up the ones that end up behind bars, not the perpetrators, but this is not legit. There's no real job. They're they're just trying to steal fourteen hundred dollars from you. And you don't have fourteen hundred dollars to lose to you. Yeah. So no more contact with them. And know that they were just trying to take advantage. Don't let them do it. And thanks for hitting us with a new wrinkle on the phony checks scam. You're listening to the Clark Howard show. Thanks for joining us today. The Clark Howard show is produced by Kim droves. Joel LARs guard, Debra Reese, and Jim Ayers and remember twenty four hours a day where there to serve you at Clark dot com and Clark deals dot com.

Clark Howard Clark Bank Joel LARs guard Charles Schwab Colorado Europe Gabrielle United States Schwab Ron Clark Howard university FedEx Aaron
11.2.18 Clark Stinks; Gas prices going down for the Holidays

Clark Howard Show

36:10 min | 1 year ago

11.2.18 Clark Stinks; Gas prices going down for the Holidays

"The Clark Howard podcast is brought to you by FedEx FedEx makes millions of deliveries around the world. But what FedEx really delivers goes beyond just packages and pallets for some. It's happiness for others growth, hope dreams or simply peace of mind, millions of packages millions of possibilities. Find out more at FedEx dot com slash possibilities. Glad you're with us here on the Clark Howard show where it's about your empowerment with knowledge. So you can keep more of what you make. Now think about that empowerment would knowledge. So you can keep more of what you make. That's the mission of our show in short. And that's my job is when you ask for advice when you ask for information that I actually give you stuff they you can use in your life. So what happens if I don't give you stuff you can use in your life. What if the Steph, I give you think? Hey, that's really dumb card or I think you're wrong. That's why we have Clark stinks on Clark dot com where you can go post where you feel I missed the Mark. And you post a way people can read your posts people can comment on what you've said agree, disagree, whatever. And then weekly producer Krista goes through your posts. And shares highlights with you. Here on the air. Never encouraged to speak. It was think I'm pretty stupid. Maybe maybe maybe a right now. I know you love it. When people are upset with you. Well, because I deserve it. Right. This topic. There were several posts about, but I'm just gonna read you this one. That's Representative Clark. I am an avid listener who is frequently teased by my family members. Because I have a tendency to pass on your awesome. Consumer and financial gems. I'm really disappointed as an HR professional. I was appalled by your brief segment on employer surveys to make blanket statements suggesting that this communication resource is not anonymous participants should only say nice things in honest feedback may target the participant for layoff is just irresponsible and breeds a toxic work environment. I can only conclude that you were hard up for content for that segment as your rant seemed uncharacteristic terrifically negative and offered no alternatives. If not through employer surveys. How do you suggest an employee provides feedback is your view that teammates as our organization refers to employees? He's keeps to their heads down. And keep their mouths shut. That is what it sounded. Like to me. I have the impression that you've built a talented team that you highly appreciate since employer surveys are the scourge of the workplace why not share some insights of how you encourage honest feedback and continuously drive improvement and change for your team. I'll be listening and look forward to some positive ideas. Thank you. And I appreciate that very much. The problem is how does an employee know that a survey is truly anonymous, and I have unfortunately had too much feedback over the years where people suffered consequences for filling out employee surveys and suffering in the workplace because of it. So this is a problem that HR professionals have got to come up with a way of making sure there are clear clear. Lines wear a manager. Supervisor is not able to identify an individual who may have had a beef and written about it in a survey. And I I don't know how I can say something other than be very aware that their employers that don't honor the confidentiality of employee surveys employee surveys. If they were truly anonymous and management, really, listen to the beefs of employees. I think that would be very valuable, but as long as employee's have to fear that an employer might retaliate against them or a manager might retaliate against them surveys become risky for an employee and at Clark Howard, Inc. We do use anonymous employee surveys just started using those through survey monkey which offers you the option of making animus, and I. Control that and it really is anonymous for us. We also continue to ask for individual feedback and honesty from everybody on right? So Christa Christa is our COO of our enterprise. And so when you chose was survey monkey whether you wanted it to be anonymous or not what disclosure is given to the employees is that it your options back. I'll have to check. I'm not sure how they handled it. But I definitely chosen animus and was not able to see anything wouldn't have seen anything, and you can't change it back or anything once you've chosen that when you start survey. So that's one of the reasons I want to use it. Okay. Not a plug for survey. Monkey? But it was a nice feature. So why did you call me aside and say why did I say the setter? The other kidding, okay? Hi clark. This is in response to a recent podcast in which a mother called in asking how to help her young adult sons established credit you gave some excellent advice, but miss mentioning a great way to help someone establish credit. This would work. Only if you have excellent credit yourself, I personally discredit credit score of eight hundred. Plus, my son who is twenty five had no credit instead of him applying for a credit card with a yearly fee, which is often the only option for someone who has no credit or negative credit. I added him as an authorized user to my count called my credit card company before adding him to verify that they reported authorized users to the major credit agencies within six months, he went from zero credit to a score of seven hundred. Plus now, he is in a position to apply for no free fee credit card of his own. Thank you for your service and great advice. Shelly. And Shelly that is great advice. You just gave we talk about authorize users from time to time as a way to help someone establish credit, and that is oversight on my part that I didn't mention it and the segment you heard Seattle minimum wage survey. Don't be in a hurry to throw the fundamental relationship between supply demand and price out the window as a as another. Oester noted an economic intervention gives rise to a series of effects, some visible others unseen in the case of Seattle's minimum wage increase. The visible fact is that people who already had jobs at minimum wage saw their paychecks go up the unseen effect. And it's not actually unseen is. In fact, it's in the study, but not in the headlines is that more unemployed unskilled workers looking for an entry level job than Seattle. Find themselves priced out of the market than in any other areas where cost of hiring and training new worker is lower. Yeah. And when I was I read a great deal of the the study the first time when I said see minimum wages hurt employment. And then the second time and read the author's saying, oh, wait, maybe we weren't. So on the Mark on this. And it's an area where I would say my certainty his been what's been shaken. So the jury's still out in my mind, where before it wasn't on whether or not increases in the minimum wage ultimately hurt employment in the marketplace or actually help people receiving the minimum wage or in low wage jobs that pay rises improving their lives, which is the best flip of that. Coin. You always tell parents the same thing about teen drivers are agent and another who was a friend told us to let our sons drive on our uninsured. Motorist portion of our insurance. It worked with both of them. We had to put one one on our insurance after hit a Fender bender. But that was three years later. Jim, Jim, I'm confused. I appreciate that suggestion. But I'm not quite sure how that works. If you don't mind posting again and giving more information about that. Or I'd love to hear from some independent insurance agents on this conundrum. I face with the rules and rates different in each state. What the best suggestions, I can give for a new teen driver being added to families insurance policy. What are the best ways to do that to keep the premiums down? I this is something that affected me when I talked to a gentleman who didn't know what to do with a son who is about to turn sixteen driving age in his state, and they could not flat out afford the increase in insurance premiums, and I. Say your son can't go ahead and get a regular driver's license has to stay on learner's permit. That's a pretty ridiculously bad answer. I had to give. So I appreciate feedback with advice from people who live in the trenches of auto insurance every day, you told a person to take a monthly payment for his twelve thousand dollars state retirement liquidation. He was retiring I suspect he won't have that option. Most state retirement plans have a minimum balance before you can elect payments in our state. It's over twenty thousand dollars because I have that much. And it says I don't meet the threshold. See your advice probably won't do him much. Good. I appreciate that. My recollection. I may be mixing two callers together is the color gave me what the monthly payment would be versus receiving the lumps. So I think they were offered a monthly payout. But again, I may be remembering the wrong call. Clark, your anti-government bias stinks. It is the role of government to enact laws and restrictions. When the actions of people have significant negative impact to others when my neighbor decides to convert his house effectively into a hotel where people party every night disregard the safety of the neighborhood at cetera. It has a significant impact to myself, and my neighbors just because I don't live in a condo complex or association neighborhood shouldn't make it okay to effectively rezone my street with a virtual hotel just because the hotel industry may support. This side of the issue. Doesn't automatically make the wrong thing for the government to take action. Thank you for that post. And the Airbnb issue is one vid is really really hard to get right. And the issue that the posters. Addressing is the hotel chains have been funneling huge campaign contributions to elected officials to try to affectively outlaw Airbnb in communities and having ground rules. Having restrictions. I'm fine about that. And you as someone who's directly affected by craziness at a property that is hurting your quality of life in your neighborhood, you need to get organized. Get your neighbors organized and get to your elected officials about putting in reasonable restrictions. It is the for me. It's about the hotel industry. Trying to. Prevent an alternative way for people to stay somewhere and provide an outlet for competition that gets me fired up. Hey clark. You don't stink. In fact, after listening to you for several years. You've saved me literally thousands of dollars. But I'm surprised that when you talk about the Charles Schwab debit card that doesn't charge ATM fees that you don't also mention that the purchase limit on the car could be set to zero dollars as a way to protect from the from fraudulent transactions. This has the effect of turning the debit card into an ATM card. Mike in Louisville Kentucky, Mike, thank you for that suggestion is one that comes up from time to time in conversation with people on the show debit cards that have a visa MasterCard logo. I call piece of trash fake visas and fake MasterCards because they have great risk to you. But if you do set the point of sale purchase amount at zero. It means affectively the card can own. Only be used at ATM's which eliminates the high level of risk that comes with piece of trash fake visas and fake MasterCards. Clark doesn't stink. You just forget things. You already taught Todd us. I got a second credit card only for automatic monthly payments years ago based on your recommendation yet when people have called recently with problems when their credit card gets compromised, you have not been recommending that they have one credit card for monthly payments and a separate one for carrying in your wallet. Thank you for mentioning it again, you know, what happens doing the show is. There are things. I don't wanna sound where I just repeat the same things again. And again, and so not knowing when people listen when they have not, and maybe that is one I need to mention more often with all the compromising of credit card numbers in the marketplace that it is a fantastic idea to have a single card. Never you. Used for any other purchases other than automatic payments. So you don't have to deal with having to update your account number for every automatic payment. You have every time a card gets compromised from online shopping or in physical stores. Great suggestion. I appreciate your passion and the variety of issues you bring to the table as part of Clark stinks life insurance isn't the most enjoyable thing to think about most people don't like thinking about dying. But actually having life insurance is a really good feeling. It's nice to know that if anything were to happen to your family won't have to start a go fund me to stay afloat policy genius is the easy way to get life insurance online in just two minutes. You can compare quotes from the top insurance to find the best policy for you. And when you compare quotes you save money. It's that simple policy genus has helped over four million people shop for insurance and placed over twenty billion dollars in coverage. And they don't just make. Life insurance easy. They also compared disability insurance auto insurance and home insurance if you care about it, they can cover it. So if you've been voiding getting life insurance because it's difficult or confusing give policy genus a try just go to policy genius dot com. Get your quotes and apply in minutes. You can do the whole thing on your phone right now policy genius the easy way to compare and buy life insurance. Janice joins us on the Clark Howard show. Hi, janice. Janice, you're gonna redo your kitchen. We'll good. Yeah. Yeah. My question is really about where she keeps short-term money that I want to use in about a year between the next one in three years CD rates keep going up up up. But if I buy a CD locked into a lower rate, I have pit penalties moved to a higher paying CD. And there's no reason to do the CD right now because savings rates on regular savings accounts and money market accounts have been climbing so much. I'm looking at the current list up to this moment, and there are a number of organizations paying north of two percent just on simple savings of the highest right now pain around two and a quarter. I think. Yeah. Around two and a quarter. So you can stash your savings in there. The Federal Reserve may raise interest rates as as many as two more times this year, maybe one possibly two in every time. They do they go up a quarter point the amount. You earn on these online savings accounts almost certainly mirrors with the Federal Reserve does. So if you go into simple savings or money market it to point something percent. You're going to outrun the CD's with the increases in rates that the Federal Reserve clearly intends to do. From my credit three years TV for two point five or wouldn't do it. Three point. Oh, what's the three point zero five here? Definitely wouldn't do either. Those if you go online in the easiest searchable database that I know of his bankrate dot com, you can go there, and you can click on savings rates, and they'll show you these online banks that are offering the highest rates in the country. And that's what I'd do floating rate. Right now is what works when interest rates are falling. That's when you want to lock in a CD when interest rates are rising. That's when you want to go in a straight savings account or money market. And you just link it to your account with whatever with the credit union near with and you're able to move the money back and forth as you need. Okay. So that would be the best answer. Thank you. And I hope that the remodel goes really, well, Janice. I have good news. Followed by good news. Followed by good news. And it's my pleasure to welcome you to the Clark Howard show where it's all about you learning ways to keep more of what you make. And you can follow me at Facebook dot com slash Clark. Howard, so gas prices that have been much much higher than they were a year ago in a lot of places in the country somewhere in the range of maybe fifty cents a gallon higher. Those prices just in the last few weeks have started to come down and drops of from between Phillips trops of ten cents a gallon, not at all unusual and a lot of places in the US. And the reason is the price of a barrel of oil has dropped by. By an enormous amount. Just in the last few weeks from about penny, you know, the common measurement in the states is something called WTI west Texas intermediate, and that's dropped from seventy seven dollars a barrel to sixty four and that indirectly very quickly translates into a lower cost per gallon. As we move into the thanksgiving Christmas new years driving season is people go to visit family and friends. It's a real positive development for your wallet. As you go to fill up. But that's not even the great news all that has come about. Because the United States just reported by Bloomberg the United States just became the world's largest oil producer the top in the world in the most. Recent reporting period, which is the month of September. So October numbers, obviously, not out yet here in November. But in September, we are the top dog in the world. And this has so many implications for national security where we are not able to be held over a barrel. Like, we used to be and this is because of the tremendous benefits of hydraulic fact fracking from the Canadian border in North Dakota all the way down to the Mexican border in Texas that we are now a powerhouse in generating oil energy supplies, natural gas, and it's changed the equation for us in terms of strength in the world. Now, it doesn't take away from the fact that we will hit peak oil production from fracking in the next several years. And that's why I'm such a fan of us. Continuing the trend of energy independence in the United States with electric vehicles were very close to the breakthroughs with lower and lower cost batteries that manufacturing an electric vehicle and selling it will be cheaper than manufacturing traditional gas engine vehicle and selling it and not to mention electric vehicles are so much more fun to drive, but for you and your wallet. This is an early Christmas gift and you'll be able to take advantage of that. Here's the thing though. In a time of falling prices going to what's known as a pumper will give you the savings in your wallet lot quicker. If you're not familiar with the pumpers pumper is. Is ultra busy ultra high volume gas station like a quick trip. A wa wa a sheets, Costco, Sam's Club, the places that sell massive volumes of gas even getting multiple shipments of gasoline trucks per day. Those are the places in a declining price market where you see those price drops the fastest Rick is with us on the Clark Howard show. Hi, rick. How're you doing? Doing good today. Clark. How are you? Great. Thank you. Rick. You have an unusual question to ask me. And let's see if I can be of service to you. All righty. So my wife passed away twenty three years in she had a Nissan her side of the family that she was very very close with. Well, she's getting married and she'd ask me to officiate the wedding. I live in North Carolina. She lives in Florida. And I did see some stuff out there online that could make this possibly happen. But didn't know which ones were legit. And I just wanted to get your thoughts. Well, first of all I want to express my sympathies to you over the loss of your wife of twenty three years. Thank you. That's a lot to deal with and what a touching thing that her niece wants you to be there and be the one who officiates over the wedding and the wedding will take place in Florida, not North Carolina. Correct. So each state has rules about who can become the wedding officiant is it's called. I hope I pronounced that. Right. And in Florida, there's a new law that that was passed relatively new law that restricts who can actually perform wedding ceremonies and so. What I would recommend to you normally in most states. What people do is. They just sign up for one of those online ministry things that you probably seen a ton of and. And in most states that would make you considered to being legally a minister and able to perform the wedding. What I recommend is the you talked to the clerk's office in the county and Florida where she's going to get married. Okay. And say that you are minister of the church of whatever just one of the ones he failed online. And is that sufficient for you as someone coming in to officiate a wedding in Florida as a North Carolina resident just get the? Yeah. Your name on that. Because what a lot of people do in Florida's. They become a notary public, and then they're able to officiate on a wedding over wedding. But I don't even know what the procedure would be with you living in North Carolina doing one is notary public and. Florida, and that's not a difficult procedure to become a notary public. Right. Right. That's why I call. That's why I call the clerk of court and see what hoops they want you to jump through. I understand the other. Let me tell you the other way it can be done. Okay. Uh-huh. The other thing is they can go. They've got to go apply for a marriage license anyway at the clerk of court. They can just get Mary. They are. But then you do the wedding that people look at is the official one and you officiate over that. And you don't have to have any title or anything to do that. Because they would have already been married officially at the courthouse. Right. So either either those ways would work. And I hope it's a absolutely joyous. Occasion. I'm sure we'll be thanks Rick. Sarah's with us on the Clark Howard show. Hello, sarah. Can you Paul certainly, Sarah? You have decided you want to go back to school again. I don't know why. But yes, I did decide that tell me about that. So I decided to switch careers now. At thirty two years old go back to school on finishing. I naturally. Actually started earlier in life. I would start school January coming January of nineteen I would graduate with my our end in August of two thousand twenty be twenty months in school. I will be quitting. My job starting January when I start school just so I can go all the way through and because of that we're looking at different options for loans, I have already gone through the process with financial aid and got approved for my government lorries in also had to take out Sallie Mae lows, we don't qualify for any grants or any, you know, tuition assistance or anything like that. I have my husband didn't come like, I was wondering if there was any other options for loans, we have about one hundred thousand in home equity right now. So I didn't know if we could take out a home equity loan or any other sort of loans with a lower interest rate in an also way to defer payments until I graduate. Okay. That was. A lot to asked me all at once. You are really really organized how much in total. Are you going to need to borrow to reach the point that you're an RN? Will be thirty three thousand and that's all I want to take out just to and that's not terrible. No, not at. All. Right. So I wanna to talk about alternatives. If you're that close to having an RN view have any other nursing designation like LPN or APN or anything like that that you already have qualified for. I do not. Okay. Do you even know why I was asking that? I have no idea because I was as I was noodling this. I was wondering with live the hospitals facing in nursing homes facing shortages of nurses, that have you had any professional designation. You might be able to work very part time and have them potentially subsidize your time in school. Okay. But you you have at this point two years in nursing school is at about where you are. I actually went to school for for dentistry to begin with some currently at dental assistant, and because of that a lot of the pre recs for nursing school are finished. So I'm just goals. Nickels, and then I will graduate. Wow, plot thickens. Okay. So so you're not in a position that somebody's gonna say. Yeah, we wanna we wanna have you. When you finish. We're going to do some stuff to help you now. So your your loans do not allow you for the private loans and Sallie Mae is not government anymore. They're related to government loans private loans. Okay. And I would encourage you to shop around for the loans that you're considering taking out privately. Okay. And not necessarily accept that the ones Sally May's offering you the best. Okay. And there are so many different lenders. You can go to for the private loans. You want to see what is going to be a lowest out there the private loans. Do not normally give you any form of payment holiday. They charge interest, and you have to make payments while you're in school, which is what you've already. Ready heard you're looking for a way around that. Right. Correct. Yeah. But we're we're looking for since I don't want to have to pay anything one school since I am cutting out of my income. So the ideal crazy question is there any chance you could work even a fill in as a dental hygienist since that's a skill. You already have and it pays pretty well. That would allow you to lease be able to service the the loans that you do have to service while you're in school. There is. On sure. Because my with my schedule since I'm doing a pretty quick way. It's going to be the semester of or semester at three and a year mister changes every four months, so because of that I cannot guarantee my office my hours. Now, they're going to try to, you know, do whatever they can with me or be able to work, you know, little, but you know, it's very hard because I could find out a week before that that next semester clinicals will change. All right. So here's what I would do. Here's what I do with the equity. You have in your home set up a home equity line of credit. Okay. And on it. There's very very little that has to be paid as you might have to draw against it. Okay. You can go with the private student loans. If you want or you could for the amount you need of the thirty three past what you can borrow under the federal loan program. You could just borrow it against the home equity line because I for number of years, you only have to pay the interest. No principal on it. Okay. So those payments would be fairly low then exactly and the interest rate charged on the home equity line of credit floats. But it's likely to being lower typically than what you'll find on the private student loans. Okay. And you're not putting enough of your house at risk with this borrowing that it makes me nervous about you borrowing. Additional money against your home. I should mention too. We have it. My husband work in finance. So we have it set up to where once I graduate, my loan entitled like the entire amount will be paid off within two years. Yeah. So that's that's perfect. So okay. Yeah. So I would do I would do the federal borrowing skip the private student loans less you find some kind of extreme deal on a fixed rate likely. Not do the home equity line of credit for the balance you're going to pay it off and a quick cycle after graduation anyway. And I think that will work really well and you'll be in your new career path. The you're looking so forward to Mary's about to join us on the Clark Howard show. But I just wanted to give an update on something. I told you the other day this kind of crazy I talked about how Hoover and lift or doing free rides to the poll on Tuesday. But they're only giving rides to the polls. You have to get home on your own. So it's basically half price to the polls. And Mary how are you doing and welcome to the Clark Howard show. Clark and doing very well. Thank you for taking my call certainly is about reward credit card. Couple cards that we use and we pay everything with them. And then we pay them off each month. I'd like to get a third one because the two we have trying on the same company. What I go through all the information out there on credit card. It seems like it gets to, you know, have ninety days to transfer balance interest free and interested in that. I'm just wondering which is a really good one just for cash rewards for cash. There are two that I'm aware of it or the best in the market and one of them is from CitiBank the two cars you have already. They're not from CitiBank. Are they? I ask that is. I really want you to be diversified. Where your credit comes from the CitiBank double cash card pays you affectively two percent on everything you charge. You don't have to worry about categories anything like that. It's just a straight two percent. And two percent is very generous. The other two percent card is from Fidelity Investments. Do you happen to have any kind of accounts at fidelity? Okay. So just for others information if you have accounts at fidelity, it's great to get the fidelity card because you got two percent in cash or into a college savings plan or retirement plan, or whatever. But in your case since you don't do business with fidelity the city. Double cash is the best there is in. Joe I think we can slip in and ask Clark right here. All right Clark. Let's do it. Fred wrote in and said, I've been hearing ads for something called home. Title lot coverage is this necessary. Or is that just another scam? I need to avoid it's not a scam. It's an expense that I don't think provides the protection that it's being marketed as there's a problem that is rare. But awful when it happens where people try to steal ownership of your home. And unfortunately because in a lot of jurisdictions in the country record, keeping is rather slow the coverage that's being marketed here will. Not necessarily, protect you. And we headed evaluated independently by two different real estate lawyers. And neither knew we were talking to the other. And they both said emphatically that they don't recommend this coverage. You're listening to the Clark Howard show. Thanks for joining us today. The Clark Howard show is produced by Kim droves. Joel LARs guard, Debra Reese, and Jim airs and remember twenty four hours a day. We're there to serve you at Clark dot com and Clark deals dot com.

Representative Clark Clark Howard Florida United States Janice FedEx North Carolina Rick Clark Howard, Inc Texas Seattle Federal Reserve Jim Airbnb FedEx FedEx Clark dot Steph
7.31.19 Back to school sales; Medical bill shock; Free fitness classes

Clark Howard Show

34:44 min | 1 year ago

7.31.19 Back to school sales; Medical bill shock; Free fitness classes

"Great to have you here on the Clark Howard. Show where it's all about you in that Walla Yours. I want you to learn ideas so you can keep more of what you make. Clark Dot Com our main website Clark deals dot com where where you go to save money each and every day coming up later in today's Clark courageous moment i WanNa tell you about a new you rip off when you go to the doctor pay close attention to this so it doesn't shred your wallet and coming up yet later. There's a new end thing with working out and it seems to work for a lot of people but even though it might make you physically fit it will not make you physically fit so i WanNa talk about it and give you an alternative and just moments so here we are and this is funny for people and parts of the country where kids don't go back to school till after Labor Day but we're right on the edge where a lot of school systems go back to school and in much of the country we're in the midst of back to school sales so with back to school one of the areas. That's a tough decision for families is what do you do about a computer. You know if you feel like your child needs a computer for school. What do you get well. The first thing is to think in terms of what is the principal computer that they use at the school the your child attends. There's been a giant shift on that that has only intensified in overwhelmingly schools are migrating to chromebooks as the computer of choice in the school systems districts or in individual schools public and private and the reason schools have gone to chromebooks is that there are a whole lot easier for a school to manage maintain pain and they're not vulnerable normally to viruses that the best part for schools and for individual parents buying one on is chromebooks are so cheap this back to school season. No frills chromebooks are under a hundred dollars but I'm not jazzed about you buying for your child in school chromebook that is too limited limited in its guts and what I mean by. That is the memory that one has you WanNa have at least four gigs of memory on that computer and that's really important because of the speed that that computer will go if it it has a lot less. You're going to potentially have problems with it and that's why I want you to look at that. chromebooks are very simple devices they operate on Google's own chrome operating MM system and they are ultra ultra simple devices that you can learn how to use usually in Dan o five minutes for a kid and they're going to be totally aware of how to use that thing. I mean that's pretty simple and again they're limited and what kind of trouble they can get into with a chromebook which is nice because which you don't want is you don't want to have a situation where at a young age they have access to to trouble right so if your child's going to Chromebook base school a really nice chromebook will tend to cost you somewhere around one hundred and fifty dollars will get you one that is a really capable computer and so that is the price point then the question is what size screen you want for that so just remember number four gigs of Ram. The storage on one is not that important because everything is done in the cloud on the other hand if your child's going to school that is windows oriented a good windows laptop this back to school season. It's going to cost you about one hundred ninety nine dollars so about fifty dollars more than good chromebook apple is used at very few schools now because for most families they can't afford the apple computers if the family has to supply them and apple though has gotten better at having back to school pricing at seven hundred ninety nine dollars so it's a whole different price universe then you're. GonNa have with the windows computers or the chromebooks but if if your child is going to an apple oriented school then you're probably going to need to get them an apple computer. Watch the ADS. If you live in a part of the country the has micro center look specifically at Micro Center for back to school deals on apple computers because they tend to have most uh-huh stays the lowest prices on the Mac books the heirs and the pros. We've got more information for you with up up to the minute pricing on laptops at Clark deals through the whole back to school buying season and hopefully we'll be able to point you to you a really good deal. Tracy is with us on the Clark Howard. Show Hi tracey hi. How are you tracey. I don't hear you can can you hear me all right Tracy. Hey can you hear him out here. You perfectly now hi Tracey okay. How are how are you great. Thank you thank you for taking my call certainly <hes> so my husband and I <hes> are Kinda nearing retirement and he is on my medical plan and <hes> with the cost of insurance just going through the roof. We've started to look at some alternate alternate options and we've been looking into some of the <hes> like healthshare christian-based healthshare programs that are out there and the monthly cost just seem is so affordable in comparison than to <hes> what I have to pay to keep him on my plan and I'm running into some obstacles when I'm trying to get him off afford they're telling me because it's not a quote unquote real insurance company that he can only drop off during <hes> during during open enrollment normally normally true okay that you're not you're not a horrific distance from open enrollment moment but let me tell you now. Let me tell you something. You need to know that the Christian based co ops are completely completely different than real health insurance. It doesn't mean they're bad choice and for many people there good choice but it's not real insurance so you were dependent in one of the CO OPS on the co-op not ending up with too many people in the Co op who have have an unexpected major illness episode because then co ops run out of money the difference with <hes> a real insurance plan is that the companies have enough underwriting capability that they're able to make payments ants on claims even if they have an unexpected run a people with catastrophic illnesses so yeah I would start Arctic with this perspective. Your husband's health is it just off the charts fantastic <hes> yeah for the most part yeah he's. He's it they most of them say that they won't even take you if you've got you know <hes> if you have pre existing conditions it's my understanding it takes you have to be. Ah Free of sickness for like two or three years now usually to their two year waiting period. This is how a lot of health insurance work before twenty twenty twelve is that you know people just redlined you. If your health wasn't good so on that score he's okay and as far as is the the Co op you're looking at. What is the CAP on benefit that they'll pay. Have they told you that <hes> <hes> yeah. Let me you see I mean they said most of the of the cap on the benefit <hes> because if somebody has a really ugly right ease as you know you could blow through a cap million plus two unlimited coverage for a single catastrophic event one million. This is what he this is what my husband when he was looking into it and this is what I'm with out of pocket maximums ranging from three to seventeen hundred for event rich compared to your traditional health insurance may being less out of pocket then you have right now a lot less. That's that's the caveat is if it and it's just it's so confusing because I know it's not a legal like it's not a insurance plan but it's a it's a business. I guess right. You're no no so these are the the Christian based health co OPS. Who operatives are there like credit unions for health coverage but they're not real insurance so what you're getting is. You're getting a much lower premium and you're getting more restricted coverage and many of the Co ops have things they won't pay for or they limit what they pay for particular conditions and they don't have the unlimited thing if somebody ended up with a really huge event so you're playing the odds and the cost savings up front or so great that it makes. Is it very appealing so I just want you to think about what you're getting and what you're not getting. You're saving money every single month. Once you're open enrollment comes if you migrate your husband to one of these but what you're losing is you're losing the the blanket of protection. If you will that you get with real health insurance so it isn't rain off so legally if there was a catastrophic event and and <hes> let's say they they decided midstream. They just can't afford to pay it it. Is there any recourse will their there are a lot of lawsuits involving these co ops but the reality is part of the reason the premiums are cheaper is they're not doing doing what's called traditional underwriting where they're not building up massive reserves of money for catastrophic incidents so it is a trade off off. You have to decide. Is it better for your life in your lifestyle to have a much lower premium knowing that there is an outside outside risk that the co-op won't be able to afford the coverage that might be needed because of a condition that does not exist now and so you've got to make that decision yourself but they are very very different one from another today's Clark -rageous moment moment is yet another bill shock that is hitting people when you go to the doctor it is <hes> Glee Clark Regis moment around the country and pretty much every mid size and large community hospital systems are trying to get to a size that they have more control over the market in which they're in and in addition to going through what are called roll-ups where in and most major communities typically three hospital systems end up dominant buying up all the independent hospitals in a community immunity and then once they've done that they start buying up individual doctor practices and so doctors who have been independent it or approached by a hospital and told you know we're willing to pay you X. number of dollars if you will sell your practice to us and become an employee of us now if you don't we're GonNa make sure that no oh patients are ever referred to your practice. It's like a Mafia godfather kind of thing so when the hospitals paid the doctor big money to buy his or her practice they make that up two ways one. I've shared with you before which is the doctor's fees are now controlled by the hospital intend to be raised typically fifty percent above what they were before the hospital bought the practice and so you may be facing much higher out of pocket because your insurer may say hey hey. That's not a reasonable fee. This is what we pay good luck. Here's the rest of it will now. Consumer reports has published a and article that more and more hospitals when they buy these doctor practices at remember. This doctor could be in in a building ten miles from the hospital spot them that when you go to the doctor not only are you build a higher amount for seeing that doctor but thin you may be hit with what's known as a facilities fee or some other term like that where the hospital allocates to each each patient who goes to see one of the doctors were they own the doctors practice and overhead charge for running the hospital itself else that you've never set foot in insurers won't pay this but you end up responsible for it and the hospital will start dunning you. They'll turn you over to a collection agency. Whatever because you don't WanNa pay this junk fee which according to consumer reports can be as high as it's more than a thousand dollars for a single visit to a doctor's office on top of all the charges for going to that doctor's office now obviously sleep. This is out of control what you need to know. Is that when your doctors practice is purchased by the hospital. You need to know that that that is a landmine for your wallet and you need to know that you need to check before you go by calling and finding finding out what fees you may be hit with including asking. Is there any additional fee that you have to pay to support at the hospital for going to that doctor because again urine sure is not going to pay it is not treated as a charitable donation on your part. It's just money after the fact the your build for and you're supposed to pay the best thing unless you just love love love your doctor. Your doctor's practices purchased by a hospital. Go find a new doctor. Glad you're with us here on the Clark Howard. Show where it's about you and that wallet. I want you to learn ideas me so you can keep more of what you make. So I am a fitness nut. I am not an athlete but I am absolutely obsessed with being fit and and I am completely one of those people a rare bird who's totally self motivated but most people have a hard time time staying with fitness routine and exercise habit whatever it is and in order to sustain. Gene an exercise program a lot of people find that they do much better is part of organized group activities and that is is the hot thing now in the fitness arena in fact a lot of traditional fitness centers that are just a sea of machines Sheen's that you work out on are failing. They're closing that brings up a special point in that is you don't WanNa pay big money up front for for any Jim because you don't know there's going to be around for you to take advantage of that great deal. They offered you for paying up front. That's a side thing but the big thing are these experiential kind of facilities where you're in group classes for any of variety of different activities and could be exercise routines of a particular kind yoga pilates span to name three but there are many many others and it works for a lot of people to be part of a group routine but at the same time it's expensive I mean it's labor intensive for these places to run all these classes and you can really eat eat up a big chunk of your money but if you know you're the kind of person who needs the motivation of the group one way to look at more affordable place to get this done as at your local y._m._C._a.. Is an example where a lot of times these group classes for for all these various activities are much much cheaper than it the new wave of exercise and if even paying what you'd have to pay at the Y. is more than you can handle. Are you aware that all over the country there are free exercise group activities that you can find on social media or you can Google for your community or do any search engine and you will find all different kinds of activities from free yoga to free running to a free pilates too whatever it is that's the activity that you look forward to that. You want to participate in but you'd really benefit from the group and then you don't have to pay that money because we we have our wallets that only have so how much money in them and we have to figure out what our priorities are and I believe that exercise is one of the most important activities I can can go into and for me for my mental health and physical health exercise is so essential so I'm just driven for it but that's not most people so whatever method works for you great but if you're like well I just can't afford that know that you you can do it for nothing of than your time and effort Dale is with us on the car coward show Hi Dale. How are are you great? Thank you dale. You are an iphone guy all right. How can I be of service to you because I have a family of apple people although I am an Android Guy <hes> well? I'm sure you'd be a great help. Did let's see I I'm I'm curious. I have a six which is won't support the new operating system and so that brings me to the point of I need a new food for do I get the most bang for the buck. Do I buy a phone. That's going to be good for a year end plan where I get a new phone every year. Why not look at buying a used newer phone because I hadn't considered because always like new well? Oh you know in the apple or but there are so many used phones floating around out there like for example if you I got an iphone eight or eight plus those are very modern phones. You're going to have one. You should be really happy with and they're are available in the US market at about three hundred dollars which compare the cost of a new iphone would be really great. Potentially the other thing is a lot of people bought the apple phone that is their new discount one which is the ten <hes> ten are and there have been people been very unhappy with the ten are and so those are being dumped. If you look on on Ebay you may find some good deals on US ten ours if you go to various cell phone carrier's they're offering bring huge subsidies on getting ten ours for people who sign up and payers where you essentially get the ten ours at half price. He's ten are has a six point one inch screen and is a phone. That seems absolutely fine to me. <hes> and I don't know why so many apple people don't like that phone but it seems to me that it's a deal yeah sounds like so. which network are you on a cell phone carrier? Do you use. Are you okay so this could be a two for four you because everybody body else's cheaper than verizon for service so this could be a time that you choose to leave horizon go to a much cheaper cell phone carrier and is part of going somewhere else. They give you a great deal on getting an iphone interesting okay. How many people do you you have on your verizon plan just too so that makes it perfect for you to look at switching like T. Mobile's doing a deal right now all that if you come in the store they'll they do the ten are for free for two people coming in and you know the prices of the T.? Mobile plans generally are quite a bit cheaper than being with verizon okay so that's just a thought for you is a way that would be that would get you that would take care of some of the cost of your monthly bill and get you a deal l. on the iphone at the same time and and look at different carriers if for some reason t mobile sound appealing to you look at different carriers and see if they have something something that would be exciting to you and if you are with verizon. You're too young for this but for people that are older. If you're fifty fifty five or older there are phenomenal deals for people that will go to t mobile on their military plan where Oh you got to unlimited lands for I'm trying to remember seventy a month or eighty a month but you get unlimited everything total for two including in junk fees includes free international texting and unlimited data. If you ever travel overseas and then you also get the deals on the new phones Michelle is with us on the Clark Howard Show Hi Michelle Hi Clark. How are you great? Thank you Michelle. You want ask me an impossible math quiz <laughter> yes <hes> I want to know <hes> assuming I've done all the Clark Howard recommended steps paying off my debts saving for a rainy day maximum retirement. How do I calculate the OPTIMA amount to save for college for my three children? Well you find out when a brinks truck is picking up at a bank rob- The able to save enough to for Public State supported college in your state for three kids but it is it is not something that I want to tell you what you'd have to say per month per child because it would just drive you crazy so you save what works within your budget because every dollar you save is a dollar that that doesn't have to be borrowed later to pay for school and it just reduces the pressure for coming up with money for college so I really liked to think of it instead as you shove as much money in there as you feel is reasonable and you can afford and usually what you do is with you. Put the most you can in the account of your oldest child and then smaller amounts for your middle child and youngest child and and the reason is that the oldest child if they end up not needing all the money you can tax free move the beneficiary designation the nation to let's say you're middle child or split it between really no you just move it to the middle child and then after the middle child gets through if there's any money left you move it to the youngest child and in most families where there are three children truth be told the youngest kid is the one who gets burned on the money available for college okay and it's time to avoid that but what kind of resources sources do you have. You could devote to this each month well to the honest at this point. I'm trying to pay off some debts and get my <hes> my financial house back in order and I'm really more of a planner and because of some decisions over the last two years I'm not in the in the position. I'd like liked to be today then. Don't stress yourself. Don't kill yourself work on those things and that's it's a higher priority right now than putting money in five twenty nine accounts absolutely just just give yourself some peace on that okay okay okay. Thank you because you know there's so many ways to pay for college other than money that you put aside for a child and taking care of your current financial situation in your life is more important. Jason Joins US on the Car Coward Show Hi Jason Oh sure how are you great. Thank you Jason. You're looking to buy a vehicle new or used the used right like eighty percent of people yes well. How can I be of service with that? I'm looking at in particular vehicle they way and the craze for or is already a great price when the dealership. I'm just wondering what tools do I have my disposal for vehicle. It's already at a great price. I've tried <hes> Internet sources and anybody value to add a great deal. I'm wondering what other tools do. I have the help negotiate for vehicle. Sorry it'd be a very good price. You're only negotiating power is in competition with other used vehicles at other places. That would suit your needs. Okay I mean your your market. Power is not negotiating over this one individual vehicle your market power is <hes> and I assume if you're like most people you have a funnel of maybe three different makes models that you'd be happy buying used yes yeah so the funnel is what it helps you because then you're like okay well. This is a great deal on this one but there's this other one over here and you just say you know I'm trying to decide you. You got this vehicle right here but there's this other one. I'm really interested in this other dealer and so little cheaper than yours. What can you do and you don't just this bluff that you go out and you shop and see? What else is there okay but you have zero leverage if it's only a focus focus on that one vehicle at that one dealer why would they bend it all on the price for one Gotcha to look out for is is a lot of dealers do a really dishonest thing and after you've made a deal it's only then that you find out they add on five hundred seven hundred thousand dollar junk fee that they'll call like documentation charge or transaction fee or something like that? Okay you want to make sure you know if they we have one of those junk fees up front and that needs to be a key part of your price negotiation. I WANNA say one of the things make sure that you have whatever vehicle you're going to buy have the ability to have an inspected okay I was I heard you talk about your report for Insurance Shopping pricing my insurance for this new vehicle getting quotes and I realize overpaying for my current vehicle insurance providers later so I was shopping around and the other two that I was going to they actually broke on my report for me and they're all over accidents and there's two accidents on my report record that I've never had but they follow the previous the vehicle purchasing the previous owner and that's not what happened and they're gonNA dispute that yeah. You're are doing the right thing you know with a home. The home clue report follows the home not the homeowner. The auto clue report follows the driver not the vehicle so that's a mistake on the clue in that so great that they're helping you with the process of challenging that Kenneth is with us on the Clark Howard showing Kenneth. You have found an old medical bill. That's fouling up your ability to keep your credit score. Where you you want what happened? <hes> I'm I'm the small business owner and I just wanted to increase the credit line one of my credit cards running about five thousand a month paying them off every month and one of them had the <hes> rebate on it so I wanted to take advantage of that so I requested a credit line increase recently said you've got one derogatory <hes> mark on your credit of my scores seven eighty one but I guess that wasn't good enough way way by you have a derogatory in your scores. We're still seventy eighty one seven eighty-one between seventy one in eight hundred twenty three. That's fantastic. So what is this. What is this derogatory Katori on your report? What kind of thing is it's one hundred twenty five dollars for a doctor I went and saw it was supposed to be a free consultation and there's price is exorbitant so I went to another doctor and paid cash for a minor service that I needed and <hes> and they they decided to invoice me one hundred twenty five dollars and I didn't take because I didn't do anything with them? I just missed it that they put me in collection. It's my fault for letting them get their own. Stop picking on yourself now. The best thing in a case like this is just pay the bill you saw the doctor. Even though you expect it to be free there was some level of service rendered. Just pay it and with medical debt when you pay it. It should immediately fix the problem problem with your credit. Was this within the last six months. No this is something back from two thousand fifteen. I like I said I didn't I have good credit so I never was checking the report in detail and <hes> and I looked on there and sure enough there was yeah I think I think the better course of our in this case is just pay it. Make sure you get in writing from the collection you see that payment of the one twenty five is payment in full and you should be good to go for that credit line increase Greece and I'm sorry that happened Yo half of all collections sitting on people's credit or involving medical. You're listening to the Clark Clark Howard show. Thanks for joining us today. The Clark Howard show is produced by Kim droves Joel Lars Ars Guard Debra Reese and G._M.. Airs and Remember Twenty four hours a day. We're there to serve you

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10.2.18 Facebook data breach; Bogus travel insurance; Amazing food tracking techniques

Clark Howard Show

37:43 min | 2 years ago

10.2.18 Facebook data breach; Bogus travel insurance; Amazing food tracking techniques

"Great to have you here on the Clark Howard show where it's about your power met with knowledge seeking keep more of what you may and you can follow me at Facebook dot com. Slash Clark Howard radically enough. I'm gonna talk about Facebook injustice. Second coming up in a few minutes. You go to buy an airline ticket. You go to buy crews. They're always pushing you to buy trip insurance. There's some stuff you need to know about that and today's Clark rate and coming up later yet there's great news on the food safety front. I wanna tell you what private industry is doing to make the food supply safer for you and your family. So Facebook, it's been very confusing for people had a big security breach. Fifty million people known of so far and hackers were able to exploit the security breach in their system, and we're able to steal what are known as access tokens to be able to take over your account. So there are a few things here that I want you to know about because when these breaches happen, whatever breach happens. Now people are completely overwhelmed by the whole breach thing. We have breached fatigue and you're like, well, why does it make a difference anywhere? So one of the things that when we discuss this because we meet every day as a staff, all the various functions are off air team. Our digital team are digital money, saving team TV, radio, we all get together and we talk about what's going on and what things are important for you to know and in something like this, what are the things you should specifically be aware of? So I with Facebook, even if you're not one of the fifty million take this as a warning and a lot of people use Facebook. Book is almost like a master account to then go to other activities where you can sign in through Facebook. Don't do that any more. There's too much risk. You're giving criminals keys to the kingdom. They break into your Facebook. They then have access to all these other accounts of yours that you've signed in through Facebook. Anytime I go to any new site that I'm setting up an account with. They often will have the option of signing and through Facebook or maybe another social media, whatever. I never take advantage of that. I always set up a separate account with whatever that is. And if you have made a practice of gaining access to various functions and accounts through master Facebook account, don't do it anymore, discontinue it shutdown that as your method of access number one recommendation I've got for you. Number two, you know this, you know this, you never wanna use a sign in on any social media that is the same as any username and password you would ever use for any financial account. Because what criminals are after all to me is there after money, the most direct path to money is if they can hack into your Bank account, you don't have any money in the Bank, del worry, but you got money. You don't want to leave yourself open and leave your cell phone. Herbal. So. When thing Facebook is doing, is there with ninety million accounts, they're forcing you to sign out and signed back in to try to short circuit the method that the hackers have been able to get into accounts. But I am very concerned about where one leads to another leads to another leads to another meaning. Where things are chained together and either using the same password or the same username or using Facebook or any other social media is the sign in two other unrelated accounts. These are things that leave you wide open, leave you exposed tabbing a heap trouble, put it your doorstep that you didn't. 'cause it's not your fault, but you suffer the results of Kathy's with us on the car coward show. Hi Kathy. Hi Clark. How's it going? It's going well. How are you doing? Wonderful. Thank you. Which is very important that we're both doing well when you want to ask me about long term care insurance. Right? Exactly. So what's your scoop? Well, I am sixty five. My fiance. Is sixty seven. We're both retired and we're getting married in December graduations. Thank you, and we have been meeting with it's financial planners to get help planning for our financial needs during our retirement, and we're looking at investment planning and estate planning and tax planning and that sort of thing. And we wanna make sure that you know either one of us has enough income in event of our deaths and we don't want to be into our families. And so along the way. What are they four if you're not going to be a burden on your family? Exactly, right. So along the way, you know we been presented with, you know, the issue of long term care and insurance, and it's it's really expensive. And so we were just wondering if you might have any suggestions or revisit this real problem because generally you have a segment of the population that doesn't need long term care. And that's people who have a very large number of assets generally north of three million dollars. Okay. And then people who don't need long-term care because they got nothing. They don't own a home. You know, they're renner's. They have a very little money. Save. They've got no investments. So there's this group of people in the middle that don't have millions of dollars in assets and do have. Some things like maybe owning a home and other accounts, they don't want to be impoverished by long-term care. You mentioned not a burden on the family. So if you're in that middle section, and would you say that you and your fiancee, you're in that middle. I would say that we're in that middle you, you do have to think through what in the world are you gonna do if one of you ended up needing assistance with what's knows lifestyle yak titties needed long term care needed, cystic living, full nurse, skilled nursing home, what do you do? And the market offers imperfect answers. And so the long term care insurance will generally pay for three to five year period depending on what you buy, it will have an inflation adjustment to deal with medical cost inflation over the years. The premiums are not guaranteed. They can go up and even initially you're looking at several thousand dollars a year, aren't you. So it is one of those things. There is no good answer. There are strategies people do where they go see an elder law attorney and title assets in a way that the assets are not at risk. It's considered to be a a strategy that some people don't like the ethics of others are happy with or you. You buy the long term care insurance. Okay. I've read online about an option regarding investing in community care. It's I get the idea that it's basically investing in, you know, a community care facility where the life stages ones. Go in and independent living. And then as your needs change, you move from place place, but they, they don't provide the care for free. I mean, you go in a stage facility that deals with the stages of aging. You're still going to have to pay for the care, right? So it doesn't relieve the the cost burden. So if you if the two of you wanna make sure that you're not burdened each other and you're not a burden to your kids and your both healthy now as much as it hurts to write several thousand dollar check a year. Believe it or not, I recommend it. Okay. But I want you to get a five year benefit if you can afford it and a decent inflation adjustment, which will usually be minimum three percent per year. Covering inflation over the years because benefit to you today sixty five. Let's say you wouldn't need any kind of systens to your eighty five, right? If you don't, if you don't have inflation. Adjustment of benefit looks good today will be useless twenty years now, but I do have one other alternative. Okay. Going back to JD five. You can buy something known as long Javadi insurance is anybody mentioned this generally nobody mentions it because the Commission's on it or not very good. Okay, but you can buy a policy that only pays a benefit if you make it eighty five and then at age eighty five at pays of very generous monthly benefit for the rest of your life. And so it's money you can live on in the event. You need any kind of long term care. Is there for you die before. Eighty five. Poof, it goes up in smoke. Okay, but it's a very affordable way for you to find much later in life when the odds would be higher the you would need care. And so I like the longevity policies as an alternative, you'll have to look around on your own. You probably want to look for a fee only financial planner because commission oriented sales people won't wanna talk to you about it. Angela's with us on the car coward show Hello. Angela. Good. Thank you. You wanna make sure that your kid knows how to handle a huge amount of money some day. Is that right? I do. Soaring parents dream, right, right. Our daughter's nine and we have thirty year old and we just want to figure out a way that we can help her start saving narrow. So that gets to be, you know, twenty twenty one that she self sufficient and that she has enough money to do what she wants to do. And I see member listening to you or watching you several years ago. Talk about ways the children can start saving at an early age and say the certain amount each year. And then by the time they were in the early twenties, they could tend to be millionaires and I'm hoping you could maybe refresh my memory is so why actually I'm gonna burst your bubble. They can contribute. What I talked about is that they, if a young kid starring h fifteen starts putting aside two thousand dollars each year, they can do that till they're in their early twenties and never put in another penny and by old age, they'll be a millionaire. Okay, I can't. You can't put aside money for a nine year old little bit each year. And then by early twenties, that child's a millionaire that's not going to happen, but the idea's that if you start saving young that ultimately it makes later in life much easier. So is there a particular financial vehicle that we should use? I like I like, are you if it's if it's for a nine year old, putting money in a regular investment account to go in something really simple. Like an index fund where Yeong little pieces of thousands of companies. I have some recommendations of those on Clark dot com on my investment guide. Great. And so there's minimal tax do each year on an index fund in once your nine year old starts working as a teenager, the end you start putting money in a Roth instead of an investment account. Okay, but the earlier somebody starts, let me tell you what a head start the nine year old we have over the thirty year old, putting money aside. Now it's a huge difference. You know what's not smart job sites that overwhelmed with tons of the wrong resumes. But you know what is smart, ZipRecruiter dot com slash saving. Unlike other job sites. ZipRecruiter doesn't wait for candidates to find you. ZipRecruiter finds them for you. It's powerful matching technology skins, thousands of resumes identifies people with the right skills, education and experience for your job and actively invites them to apply. So you get qualified candidates fast, no more sorting through the wrong resumes. No more waiting for the right candidates to apply. It's no wonder that ZipRecruiter is rated number one by employers in the US and this rating comes from hiring sites on trust pilot with over a thousand reviews. And right now. I'm Clark Howard podcast listeners can try ZipRecruiter for free at this exclusive web address, ZipRecruiter dot com slash saving. That's ZipRecruiter dot com. Slash s. a. v. I n. g. ZipRecruiter the smartest way to hire today's car. Courageous moment is a special warning for you. When you go to buy an airline ticket from any airline, go to buy a cruise, whatever they're all going to be pushing their trip protection plans, trip insurance. There are now a number of lawsuits against pretty much all the major airlines all the cruise lines for ripping people off on these trip policies and engaging in a practice that in many states may in fact be a legal where they're taking kickbacks from insurers at the airlines in the cruise lines for recommending or pushing these. Insurance products are pseudo insurance products and the cost you pay in premiums for these policies. Generally terrible over time. Yunessi the airlines and cruise lands settled these lawsuits because they're not taking care of people. And in fact taking advantage of them. And I know when I go to buy travel, how often I'm pressured and I'll go to buy and they say, oh, no, you didn't answer this question about buying our rip-off coverage. Go back and buy the ripoff coverage. That's what they say. I want that to be what plays in your head. If you do, ever need to buy insurance for cruise is a good example tour where the money is non refundable. No matter what happens. You wanna buy one independently. Never never. From the cruise line tour operator, the airline and the I should tell you the ones, particularly the airlines sell or generally complete trash, that it's almost impossible to ever successfully make a claim against one of those. And I discovered you from ever clicking Dubai there. Again, if you wanna buy a policy checkout insure my trip or get a Costco visa card that provides if you use it to buy your travel, provides trip insurance for free with your purchase of the travel life. Insurance is really important, but one third of people don't have it. That's because it's. Really hard to buy. You have to work out what you need, then do the research to find the best quote and hope you don't get swindled along the way. It's not a good way to shop for anything. So policy genius made the whole process. A lot simpler policy genius compares quotes from the top life insurance companies to find the best policy for you. And it takes just two minutes to get a quote, and if you don't know the first thing about insurance, they've got all the tools to get you up to speed. You can learn the difference between term and a whole life insurance. Calculate how much coverage you need and be sure you're making the right decision. In fact, over four million people have used policy genius to shop for insurance policy genus doesn't just make life insurance easy either. They also compared disability insurance, home insurance and auto insurance. If you care about it, they can cover it. So whether you know a lot about life insurance or nothing at all, start your search at policy, genius dot com. In just two minutes, you can compare quotes and make an informed decision for you and your loved ones policy Gina's, the ease. Way to compare and buy life insurance. It's great avenue on the Clark Howard show where it's about you learning ways to save more and spend less and don't let anyone ever rip you off. And we have a problem. Not just in the United States is a worldwide problem, but I'm most focused on how we're going to address in the eye. It states and that is our food supplies come from everywhere. There's something I'll give an example when I'm talking to a school group, something like that is a way to really get their attention. I say, you know, it was really easy when I was a kid not have to eat vegetables all the time fruit all the time because we only had fruit or vegetables when it was in season. Now, and they get really interested that now because we live in a worldwide food market. It seems that things are in season all the time that whatever fruit or vegetable you want is pretty much available twelve months year, but that food chain we now have has come with the added complexity that people can get sick, the source of the illness, hard to track and keeping people safe has become so much more difficult. So we'll have these outbreaks of food borne illness, and you can have Talib's. You can have illnesses. They can go on for significant periods of time before the CDC or whoever else is the sleuth on the case contract down the source and shut it off. You'll hear from time to time happen with lettuce or spinach, or whatever will the nation's largest grocer WalMart. It will have a new system fully. Implemented in less than a year, where with any food item sold in the store, there will be full farm to store tracking real time. So if there's ever anything dented as a potential source of illness, it will be able to be tracked down a whole lot quicker. And the recall will happen a whole lot faster. And the danger to people will be greatly reduced. We cannot make a food supply, one hundred percent safe, but what WalMart is doing is great and any of number of large players in the food industry, both manufacturers because it can also be, I mean, people get sick from things other than produce, you know, can be actual canned. Food are processed food that can make people sick as well in so food manufacturers are part of this process also and John who is part of our Clark dot com. Crew recently was in a store with what were you buying? Frozen, shrimp, Rosen shrimp and is okay to name. Mm, the store in this case who wasn't sure Stargate. And so you get to the register at target and they asked, would you like to have a red card today? First thing your ass when you got up there, right? No, no. They don't say that. Would you like to say five percent on your purchase today and every day moving forward, but having a target red card? Yeah. Yeah, we got that. I okay. We had a massive buggy with because with us, of course, it's it's very difficult to go to target or any other store without spinning a lot of money. But what was really interesting, this was Sunday thought, you know, the shrimp cocktail would be good to have have with the football games in the afternoon. Picked up this bag of shrimp that was on sale, took it up and as the associate skin, the strip, there was an abnormal sound, you know, not the normal. So I looked at the screen the socio was looking at and it said, do not sell this item and it printed out a little ticket. It said tach this to the bag of shrimp. Calamander and said, the manager came over, you know what this could possibly be. And she said, we really don't know. We all we looked at the expiration date wasn't expired in expire til next year. And I said, well, maybe there was some kind of recall and the manager said, you know that that's entirely possible. You know, this point we don't know. So I've looked since then to see if there was a recall on any kind of frozen shrimp and there had been one in a couple of years. Someone is that maybe there's a recall in process and it just hasn't been announced yet, but they would not let us by that mega shrimp. That is fascinating and it's a mystery. Maybe we'll end fold over time, but that is the kind of thing that's coming is that we will before we can get out of the store, there will be items that are still on the shelf that have already been identified as being a risk for whatever reason. And before that item could end up at home, you watching football. Ball and suddenly not feeling Sahata because not because your team loss, but because shrimp were like a sack in your life. Sacked for big, big loss anyway. You never had that happen? No, you know, I think the manager, as I said, you know, I'm glad this happen in and I didn't end up exactly where where you're talking about Clark. Well, the good thing is the whatever we issue was with the shrimp. It didn't happen to you and the fact that we're going to have more and more circumstances where we don't have to worry about as much the safety of the food we eat. That's nothing, but for the good. Thank you very much. Thanks for having me Brian's with us on the Clark Howard show. Hello, Brian. Great. Thank you, Brian. How can I be to you? I have a quick in about what my homeowner association and is doing. I have some concerns. So I, I live in a community, whether the homeowner and and philosophic and is planning on doing the bulk purchase of internet and to on behalf of all the residents to fiber optic service provider. Would pay about ninety dollars a month for a high speed internet and television, and the scientists sign a ten year contract, but it. Wait, what? No. No. So the association are you in a mandatory association community. Wow. So the board of directors wants to sign a ten year. Fiber optic agreement that would stick current and future residents. Owners with an obligation that would go till twenty twenty eight or twenty twenty nine. I would never do that. Never. What kind of penalty is there? If you know the market is changing so fast right now. What kind of penalty is there a break penalty or break fee? The association would have to pay if later the resident said a new board says, this is a terrible idea. We got to cancel this thing. Do you know what the break fee is or. Right. So how far along is the border? They canvassing homeowners to see they feel about this. Early on, they already took a load that they're gonna go forward with witness, and they are in the process of turning the proposal into the contract. But I hope that the contract has not been signed already impact in. They took a survey of the residents and actually fifty three percent of the residents voted to go against the fiber optic. They claimed that, well, you know, they're doing that survey. That's not really if it's still there the board's decision, and it was only thirty five kind of the residents who responded to the surveys. All right. I would do what I would do fast as you possibly can. This is going to sound so analog, but I would go print up is many yard signs as you can and have people put signs in the yard, notify Bor. And and have a citizen uprising. My feeling that there's a good chance if the bad idea because in four years. Let me tell you some. There's not a chance. This is a bad idea. It's this is a bad idea. At a time of rapid technological change. It is a major error to enter into a decade, long agreement for technology like internet and television. That is. I mean, when you look how much things have changed in the last year with all the people cutting the cord across the country that Elvis experts said would not happen for years and years and years and years and years. This is a rotten idea and you need to stir up the membership and get people up in arms before it maybe harms people's ability to sell their properties down the road. Rotten idea this board, especially doing a survey and going against people's wishes. What are they thinking. Caroline's with us on the Clark Howard show. Hi, Caroline, Clarke. Thanks for taking my call. Sure. Carolyn. You're trying to help out your parents and finding it rough going. Yes, we are. My parents seventy eight and seventy six or healthy. They live independently in their forever home and has fashioned their lifestyle and save their whole lives with his home. Now they want to move to an independent living community. They're very conservative and take their time making decisions, their houses paid off, and they say they can afford. It admits to this type of community will be just under five hundred thousand dollars and about thirty three hundred dollars a month. River, okay. Now, shallow breathing. It's not good to make me shallow breath. I'm taking the deep breath. So it's a half a million dollar buying into this stages community. Yes. And that's just one admitted with no ownership or equity. So you forfeit the by on if later they say this place is terrible. We wanna get out of here and you pay fees that they decide with. They're going to be every month. For regard whatever stage of life there at? Yes, they do offer percent refund if they decide to leave or move into another unit, say down size or one passes away into the -partment or something. I have never been a fan of the Byron's. And the Byron's to me or for people who are. I mean, if they're extremely wealthy in this is not an investment, obviously it's a lifestyle purchase and they can afford it and it makes them happy. And it just means that they, they don't have as much money potentially to give to charity later to their kids or whatever. And they're comfortable spending that as a lifestyle spend, they can do it. But as if you ask me the dollars and sense of it, I think it's a terrible USA money. Yeah, my sister and I are wondering if there's better options, they wanna be around like people fifty five and other communities that may offer things that appeal to them. They like the onsite medical care that is available, but they, I don't know what else to advise them. They haven't seemed to look at any other option. That's what you and your sister need to be about. You need to take a more active role and go muc places. How far away to the two of you live from your parents shaving Atlanta, and I'm north Florida, and they're in south West Virginia. They're looking in North Carolina. Okay. Well, time for a road trip. Yep. And go look at facilities in the area in North Carolina that they think they'd like to live and work at alternatives. I mean, one thing you never know with these by how stable of the finances of the community they'd be buying into right. What happens if a new operator comes in and degrades the level of the quality of care, they're walking away from or raises prices a lot. They're facing walking away from half the money or all of the money. And if they file bankruptcy, I all the money. Yeah, I'm not a fan. So are your parents just loaded with money that if they made a bad decision would be an well or would half a million dollars in their lives really affect their financial future. They're not loaded, but like I said, they worked super hard to whole life will stay forever home that they're in. They would sell it. They spend half of their earnings or profit from the house on this and probably the other five hundred thousand four, these monthly fees and future. That's just that's too much risk. That's too much. It's too much money to put into a buy-in if that would erode half of what they have. That's a bad choice. But you need to find alternatives. So there's not just mom and dad. We don't like this. You need to have alternatives. Why don't you consider this place that place the other place? It's time for ass Clark. That's where you post to question for me, Clark dot com. And then producer Joel reads the question to me what. You got Joel Clark, Tom asked, can you explain how Google voice phone number can help prevent sim hijacking as you briefly mentioned on a recent Clark stink segment. Yeah. This was a great suggestion from a listener to the problem with Sam hijacking. Now it does not prevent Sem hijacking, but prevent somebody being able to steal all the money out of your account, which is the whole purpose. Assem hijacking. Let me first explain what that is. So what criminals do now is because now you have with so many banks, financial institutions, credit unions, stockbrokers mutual fund companies. Before that let you in your account to do something. They send you a one time use code as a text message to your cell phone. Well criminals, many times working with insiders at the four major cellphone providers will steal your. Service and suddenly your cell phone number will ring to the criminal. The criminal then gets the code texted to them, instead of to you and uses that as a way to break into your financial account and steal your money. Usually with a wire transfer to outside the United States, the money cannot be reclaimed. So. I know that was a lot of information. So with Google voice number, that's the number you give for account verification to your Bank brokerage account. Credit union, whoever say, even if criminal steal your cell phone service, they haven't stolen your Google voice number. And that's how it's like a third factor of authentication to protect your money. All right. I love it. And Clark, Bobby wrote in and said, is there a place to get a free credit report? Yes, it is so easy. Now, if you sign up with credit sesame or credit karma, your credit files are available to you whenever you wish and approximation of your credit score available to you with a free update every seven days, totally free with credit karma or credit sesame. You also get your credit report free once each year from annual credit. Report dot com. You're listening to the Clark Howard show. Thanks so much for listening today. You know, there's a giant team behind bringing you everything we do at team Clark. Our podcast radio show produced by Cam droves jolt LARs guard. Debra Reese, and Jim mayors, TV producer is Leah, done dot made possible. Thanks to Krista. Db is James gal, John cress the OT MU Michael Timmerman, Craig Johnson, Beth Marchenko Clara Maass Netto John Jones and grace del Rio FARC deals dot com where you can find the best deals from around the web. This reduced BAC Harris Brown, more sayers, Sarah Jordan and Dimond Marley. You can sign up for our newsletters at Clark dot com. Thanks to Sally McDonald and our social media gurus or Chelsea glass and Nicole Carroll are off air advice centres run by Laurie Silverman, ceremonially and sue goblet, and their teams available to serve you over. Forty hours each week at four zero four eight nine two eight two, two, seven. And this is a free service of team Clark. Thanks for listening till next time.

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3.9.20 Coronavirus market impact; Coronvirus scams proliferate; Avoid AT&T TV

Clark Howard Show

35:01 min | 5 months ago

3.9.20 Coronavirus market impact; Coronvirus scams proliferate; Avoid AT&T TV

"Great debut here on the Clark Howard. Show where? It's all about you in that Walla Yours. I want you to learn ideas me so you can save more and spend less and don't let anyone ever rip you off. Clark Dot Com and Clark deals DOT COM or websites and coming up in a few minutes swinging the web. I WanNa talk to you about all the scams going on in some way related to the corona virus. Where people are trying to get in your wallet. I'm GonNa tell you what you need to no end the car courageous moment and coming up later. At and T. Is Putting a big push behind their new television product? Oh Man I gotTa tell you why it's garbage and stay away from the offer from. At and T. It is the wrong choice so since early this morning. I've been getting a lot of requests from media about what's going on with the oil market and what's going on with the investment market and. I want you to know that as necessary day by day all deal aspects of what's going on with the economy related at least indirectly to corona virus because it is so top of mind with people tomorrow. I'm going to deal with the travel side of it. We're getting a lot of questions. Posted every possible way on social media directly on Clark DOT COM CLARK DOT COM slash. Ask from people with various travel related questions. I'm going to deal with those tomorrow. I actually just got off a cruise Saturday and I did. I did television multiple pieces TV from the ship and so I walked into TV. Newsroom today and people were looking at me like Like I had the plague or something has been on a cruise and wanting to know what was it like being on a cruise right now and semi talk about the travel stuff in depth tomorrow. But right now I WANNA talk about the two dominant stories of today and one is. The stock market is past fifty two week low and Stock markets around the world are in a panic mode Trading in the United States has been hit by circuit breakers which is where trading is temporarily suspended in order to keep stocks from feeding on themselves in a downward spiral and oil markets. Have gone crazy and there's an if then here what happened what's happening. Stock markets around the world is related to a war underway undeclared with the dictator Putin of Russia and the United States. So what's going on is Putin is trying to undermine the US economy. Anybody who's foolish enough to think that that awful man is somehow a friend or friendlier. The United States. You just don't know how awful this human being is so Putin is trying to use the backdrop of krona virus to destroy the. Us oil industry the US. Oil Industry has become the world's most important energy market if you combine natural gas production in the United States with oil so Putin is trying to flood the world market with oil that the Russians can produce at a cheaper cost per barrel than we can and try to destroy the hydraulic fracking industry across the midsection of the United States. From the Canadian border in North Dakota to the Mexican border in Texas and so it costs more with hydraulic fracking. To produce each barrel of oil than it does for traditional means of extracting oil from Earth so Putin has engineered collapse in the price of oil by making it clear. He's going to flood the market with oil way beyond what the world needs right now to try to starve the US oil industry for revenue. Now that suddenly lead stock markets around the world to expect a recession in the United States and also elsewhere in the world which is also part of Putin's diabolical plan. I mean he could be one of the villains and one of the James Bond movies so oil prices collapsed by unprecedented amounts today and the effect for you as a consumer. Is that you unless this corrects. And the next several trading days you'll see over the next several weeks the price of a gallon of gas drop by somewhere between thirty and fifty cents a gallon and that is a huge change in the price of a gallon of gasoline a very short period of time. What happens with gasoline? Markets and oil markets is that the price wholesale drops pretty much immediately but the price at retail crawls down but it eventually moves down. I'm looking it. What has happened today with the price of a gallon of gas at wholesale and the last trade was dollar eighteen a gallon for regular. Now that's down twenty one cents today so that is a massive change you figure for every dollar decline in a barrel of oil you have about a two and a half cent decline in what you and I pay for gasoline. So what's weird about this? Most of us don't even have an indirect connection to oil production in the United States. So you and I benefit directly at least for now in our wallets but the purpose Putin plays Long Games and his long game is to weaken and destabilize the United States and this is part of it and so he's using the backdrop of the depressed demand for gasoline and jet fuel that is a net result of corona virus as a way to try to drive a dagger into the heart of the US economy. And so it's going to require very creative innovative thinking from the federal government that from the White House from the Congress because the Federal Reserve pretty much out of ammunition. At this point it's going to require creativity at the political level to come up with ways to keep the economy going along not necessarily humming but moving along as a result of the effects of Corona virus and these new moves by Putin to try to harm us as Americans now the stock market stock markets go in waves and the stock market historically overshoots on the upside and overshoots on the downside. And so we are going to see in irregular pattern with the market. And we're going to see. Is You know moves or announced by the House of the Senate or by the White House. If things are going to try to do to protect the economy you'll see temporary recovery's and stock market values but we were at a point where the stock market beginning. Its run in two thousand nine up until just recently stock market. Maybe got ahead of itself and was priced for perfection and now we're having an inevitable correction or bear market it. The intensity of it and the timing of it is always hard to predict. But it's always an unexpected event in so corona virus and Putin are now what's piling on and having that effect and you'll hear me over day after day. Answer your specific questions about your investments but I want you to know that I have made no changes and my investment portfolio and. I have no plans to do so by anything I've seen to this point. Brian is with us on the Clark. Howard show Brian. Do you want to jump into the travel aspect of this? How are you today? I'm good how are you doing good to talk to you? Great to have you here and you're supposed to do something what was originally a much anticipated fun event later this week and now you're like wait a minute exactly. Yeah so it's my Paris forty fifth wedding anniversary. So they're taking her. WanNa take us all on a cruise that leaves Friday and so were. It's only three day cruise. We're not too worried about getting sick but worried. About what if something happens and we would get stuck for who knows how long seen and not get back in so trying to decide what to do and the latest with the cruises is the. Cdc has put out a weird kind of alert saying don't go on cruises especially if you're older so if it's a forty fifth wedding anniversary for your parents are in the second category of older and you may have heard me say. I was just on a cruise a five nine news. Here's the weird thing. Okay not a person on the cruise. I never heard anybody mentioned corona virus. Everybody was just having a good time. And I think there's a self selection to this that people who choose to travel right now or people who Overcome whatever anxiety that they might have or that they hear from friends or family We have good friends that the wife of the couple kept texting me over and over again. Where we're on the crews. Are you say for you? Okay are you going to be able to get off the crews because the media coverage was so intense about the cruises where people have been held in quarantined. And all that. So I can't tell you go or don't go I mean my is. You may have heard me say my medical knowledge. Brian is so nonexistent. And you saw my grades and science in high school you would never ask me any question any way related to its medicine but I you know I find that this is something that if it would take away the fun of the experience by the anxiety that any of you would feel then. You don't go on the other hand if you're still excited to go and you have made your decisions about the health risks. Then you go and you have a good time on a ship that we'll have a lot of empty cabins on it. Yeah yeah that's kind of what we were thinking and it's really just the risk of not getting back and I'm Kinda like I've seen ought good deals and bargains and putting some other trips so I think it's a great time to find some good deals. So what's the general pre existing health of your parents? They're fine. They're in their mid sixties. So no no problems or anything that that lead them in their. How old were they when they got married? Well they would have been. Yeah wow three. Nobody gets married that young anymore. Do they know no they? Don't wow so I if they're like I've got asthma. And you know. I've had pneumonia several times in my life. So I'm like target number one. Who's not supposed to go in a situation like this but if they are in really good health and have no upper respiratory issues. Then they'll just need to make their own call but I would say that it really is personal comfort anxiety. That really should help make. That decision is far as being quarantined. You think how many ships are sailing every day and the quarantines have been horrible for people in quarantine from the ships. But it's been extremely rare right. Okay so what are your parents feel So I you know. They like going cruises. I think they're they're just more worried about you. Know Austin like if we get stuck and can't get back to work and things so I think they're probably leaning towards not going but it's not so much for health but more just for potentially getting back so pay close attention to eat crews lands rules for you to defer to a future date in terms of how far in advance. You need to get that done so that you do have the ability allowed. The policies are more than forty eight hours right at forty eight. I think that's what was so. We're trying to make the final decision here. The next day yourself at so it is this is. This is so personal. And it's got to be an individual judgment and sounds like you would wanna go but your parents. Maybe not so much as their anniversary so I guess they make the call. Today's Clark -rageous moment is about crooks con artists trying to empty your wallet. Spinning OUT FROM THE CORONA VIRUS. Saying this happens after any natural or manmade disaster that the crooks come out of the woodwork. And try to rip you off. There's several warnings today from the Security Exchange Commission about phony e mail circulating claiming that a particular company or group of companies have developed treatments or cures for Corona virus and. This is floating around social media very heavily today. A lot of these are what are known in the Lingo of the trade the scamsters pumps and dumps where they tell you that a particular unknown company has developed this magic remedy. Your head this breakthrough this bio medical breakthrough or whatever. And what they've done is they bought stock in a failed enterprise and try to bid up the price span lying to people and then as soon as they've run the price up they sell their shares. And you're left with nothing because the whole thing is false. Be Very wary of any buddy. Who in any way contacts? You and says that they have a incredible opportunity for you to score money. The other area that you want to know about that. There are multiple warnings from both state and federal authorities. Today are fake charities that are soliciting supposedly to provide relief to victims of corona virus or other individuals affected in different ways. So only give is I would say in any tragedy only give to organizations that you know of or directly involved with the you know the work they actually do and avoid the scams great to have you here on the Clark Howard. Show where it's about your empowerment with knowledge. So you can keep more of what you make. Clark Dot Com and Clark deals DOT COM or our websites. And I have a special special rip off or for you this is Clark Howard. Rip Off alert. Okay it is not your Immi- problem to fix the fact that. At and T. Has One hundred and fifty billion dollars in debt approximately? But they're trying to make it. You're my problem with the launch of a very deceptive new TV product. They you have got to know to run away from it's going to be very heavily marketed. It's called at and T. TV simple enough and it is pushed at a price supposedly of forty nine ninety nine a month. That is not close to what you pay. There are massive penalties if you cancel a two year contract that. At and T. Does even tell you what all the junk fees are anything like that. Until after you've clicked to sign up it is sleazy underhanded deceptive and Ron what at and T. is doing so at and T. you sign a two year contract which I mean who with a streaming product makes you sign a two year contract ridiculous. You think about you. Sign up with slaying. You sign up with whom you sign up with Youtube. Tv your any of them. You don't want to be with him anymore. You quit and you're done you later. Decide you want to go back you go back so it's fear and desperation that at and T. would do something sleazy and underhanded like a two year contract and only tell you the price for the first year but you can't get out of the second year where the prices typically more than double and remember that's for all the other junk fees are added in for. At and T. TV. This is ridiculous and you will likely see things soliciting you if you are currently a direct TV customer or you're at and T. for Internet trying to get you to sign up for this ridiculously awful. At and T. TV so no that it's garbage know that there are a much better alternatives. And what I hope is that. At and T. Will come to its senses and compete like a brave business instead of a cowardly one hiding behind a rotten ridiculous terrible inexcusable. Two Year contract with hidden fee after hidden fee after hidden fee. And then the fees jumping the cost of the programming jumping and a second year. You're committed to and then with a massive termination fee. If you WANNA get out of it wrong wrong. Wrong wrong wrong. At and T. use to us. Thank you so slogan anymore. At and t. The right choice. At and T. is the wrong choice for. At and T. TV AT and T. Is I say to any company. You are welcome to come on the air. Come on the show and explain why I'm wrong about this. I welcome your perspective on this all I can tell you is. I see this from my perspective in my opinion is being a lousy way to treat who you're targeting at first which people that have been brand loyal to. At and T. now at and T. Has Another TV product that gives you the ability to cancel at any time and pay no penalty that one is called. At and T. TV now sounds the same right. What what so we have on CLARK DOT COM a guide to video streaming services and lays out for you piece by piece. What each of them charge. What you get what you don't get and all that and it never even occurred to me that we would ever have to put up anything about a streaming service having multi year contracts with massive cancellation penalties and huge hidden junk fees. But I guess that's what happens when you. Oh everybody on earth money mark is with us on the Clark Howard. Show hello mark. Hi Clark correal great. Thank you mark. You are looking down the road it being able to retire in less than a decade yeah. I've been listening to your show for twenty five plus years and prepared me to be where I'm at today so now I'm looking to defer my expenses when I do have the chance to retire so that I don't You know have too much more cash flow than I need. So what age are you targeting? Retiring somewhere around sixty sixty one. Something like that okay. So that's going to leave you with a four to five year gap for one of the biggest unknown expenses in retirement. Which is health care a year? Have you worked for one company long enough that has any former retiree healthcare? Are you going to be a free agent on the Healthcare Front? No nothing from the company. It's all it's all on me. Okay do you work for a large enough company that you'll have Cobra rights? Yes okay so when somebody retires in their early sixties and has to deal with that gap till Medicare kicks. In many times it will be cheaper even is hugely expensive as Cobra's 'cause you pay one hundred and two percent of the employers actual costs They are cost plus two percent many times. That's the best choice to fill in. In your case it'd be eighteen out of forty eight to sixty months you'd be able to cooperate with that. Okay so that's something that I've taken into consideration. I was hoping that there might be something that I could invest in today. Almost kind of like investing my money into some vehicle to earn money through stocks. But could I do something to get in touch with they with a company now for insurance and then start putting money towards that to the firm my cost when I retire? You can't do that but you could If your HSA eligible you could put money in an Hsa do you know if your Hsa eligible with your employer I am eligible for HSA but with the insurance that I have right now is just a PPO. I'm not using that plan right so for you. If you've got Nearly a decade the you could put money aside. It would be worth it for you at next open enrollment to look at the numbers on switching to the HSA eligible plan because the HSA gives you so much ability to put money aside where you get a tax break up front for doing so then. The money grows tax free. And then you spend it tax free when you need it for eligible medical expenses. So that's how you would be able most efficiently to put money aside for medical expenses after you retire but before you're Medicare eligible to sock away money. Think about it for Seven eight nine years or whatever your target window is you're able to suck that money away and have it towards the medical costs here. Going to have in those years leading into Medicare. It's fantastic because think about it. I mean what else? There is nothing else that I'm aware of. We got a tax break up front. And then you get tax. Free growth and tax free spending. Yeah Yeah I'd have to compare that with the choice that my wife and I have made at this time in our lives you know with with our current medical conditions. I just WanNa make sure that that plan gives us the coverage that we need until retirement. So here's a pain. I'm jumping ahead since we're talking like seven eight nine years away but you may find the need to work part-time somewhere that we'd gap those years to sixty five when you can have. Medicare sure sure. And so a lot of people do that where they'll a lot of places if you work twenty hours a week you qualify for their group health care and that may be where you build in that protection. But I'll tell you if it works for your current health needs if you can transition into that. Hsa eligible plan. That's been my most effective strategy to recommend to people who retire what I think they refer to as young old where you're doing it before. Medicare eligibility that helps with those gap years because those are are pretty expensive years to ensure because if you think about insurance companies don't want to ensure people past age fifty and when they do so they do so only reluctantly and at the higher premiums that the law allows Kevin is with us on the Clark Howard show. Hello Kevin Hey Clark Howard you great. Thank you Kevin. How can I be of service first off? Let me say thank you for all the information and service you provide your a daily inspiration to those those. Those are out here. We appreciate it. Well you were kind to say that you're You're in the same situation. I am with teens and college in Your Life Yes. Our oldest daughter is Finishing her second year in college and we have basically been paying cash for everything so far But we've come to the end of that Collection we had and we are needing to get some more so Question for you is really based on something you said a couple of weeks ago about refinance rates being pretty attractive so we started looking at that and we thought well if we're going to go through the refinance maybe it's a better idea simply to pull some money Out of our equity Piggy Bank and use that to fund the rest of college for her. Wanted your thoughts on that so I'm always nervous about stacking debt debt against a home. But in your case you're not doing. What a Lotta people are doing in this refinancing wave? Which is they're taking existing credit card debt and personal loans and putting them against the mortgage. That's a dangerous cycle because people tend to within eighteen to twenty four months have started to run balances again on credit cards. And things like that in your case it's for a very specific purpose and that is to pay for your child's college education and the interest rate you can get right now is so favourable on the refi that I would say that that is an effective strategy for you to pay for her junior and senior year right we. We're just looking at the parent plus loan loan options being. You know seventy percent right and that's not that's not very attractive and when we can refi a house that you know under three And basically borrow from our own equity piggy-bank. It seems like Seems like a better solution. Yeah now you are taking debt that you would be able to pay off shorter cycle and you're paying it off over fifteen or thirty years. So you're you're paying a substantial amount of interest even at what looks like a very low rate so part of our part of our answer to is that we know we're not going to be in this house more than probably five or six years so we're not gonNA finish the term of the loan anyway So it it's just. That's why I wanted your opinion on this because it seems easy but I'm I'm making sure I don't fall into Pity somewhere else always. I'm always nervous anytime. Somebody asked me about a cash out on a refi but in your case it is a smart financial strategy. Because you sound like you're not somebody who's crazy reckless with your money because you were able to save enough money to pay for two years of college. I'm not worried about you doing anything. Very risky with your financial picture. So shop around for that. Refi know that when you do a cash out your rates higher then it'll be if you just do a straight exchange of the existing debt into a rate loan but it obviously will be much cheaper than the stratospheric rates that are being charged right now on parent plus loans. Susan's with us on the Clark Howard. Show Hi Susan. How're you doing fine? Clark how are you doing today? Great thank you. You're about to join roughly a thirty thirty five percent of homeowners in the United States with a special thing you're going to do what is that. Hate making my last mortgage payments. A lot of people are Stein. They're like deer in headlights. When I talk about the fact that nearly a third of homeowners own their homes free and clear. They're like what did they ever do. That wasn't easy but he got through it great. Well how can I be of service to you on? What's a really great occasion? Oh well I'm just wondering. Is there anything I should do or no? Now that it's paid off I keep hearing things where you know. criminals get into your online stuff and they take your mortgage and sell it and then you pay for it or something. I don't know so what you're talking about is Where people try to take new debt against your home impersonating you pretending they're you and fortunately that is a very rare crime usually have tip-offs if you start getting weird mail at your house for for welcome as a new customer or anything like that but the other thing is when to your loan is paid off check with your county and see if they have any title notification service a lot of jurisdictions have a service where they will notify you if you register with them anytime. There is an attempt to take dead against your home or any other action against the title of your home. Because the counties don't want to be part of the problem they WANNA be part of the solution and those are free registries and the counties that offer that But really your Mayo is one of the best tip offs if anything funny is happening in the odds that something weird terrible would happen or so so low that the things to worry about in life. That's not one that I would be especially concerned about the great news. Is that every month. All you have to worry about is enjoying your home not making that payment but you will become responsible for your own property taxes in your own home. Owner's insurance right. Yeah I was aware of so if that's all I really need to know that's great other than I'll have like. I don't know maybe money. Leftover at the end of the month right right which is such a terrible problem to have. What should I do with all this extra money? I suddenly have in my life every month. Say Take a little bit of it and enjoy life the rest of it you squirrel away. You're listening to the Clark Howard show. Thanks for joining us today. The Clark Howard show is produced by Kim. Droves JOE WARS GUARD DEBRA REESE AND GM airs and Remember Twenty four hours a day where there to serve you a Clark. Dot Com and CARD DEALS DOT COM.

Clark Howard Kevin Hey Clark Howard United States Putin Medicare T. TV Brian CLARK DOT Walla HSA Clark correal North Dakota
4.12.19 Airline improvements and how to get customer service when an issue arises; Clark Stinks

Clark Howard Show

36:01 min | 1 year ago

4.12.19 Airline improvements and how to get customer service when an issue arises; Clark Stinks

"It's my pleasure to welcome you to the Clark Howard show where in spout you learning ways to save more and spend less and don't let anyone ever rip you off. Especially don't let me rip you off later. We have Clark stakes where you get to share. How you feel? I did not serve you. Well, tune in for that. So who doesn't serve people. Well, well, there's certain industries that have a bad reputation that when something goes wrong that they treat you like dirt and one of those industries that people have historically love to hate. Now, they kind of loved to dislike because the airline industry has actually improved. I know I'm not gonna complain about an industry they've actually gotten better. Even though there are times, they are pretty rotten terrible. So the most respected survey each year of the airline industry and their meaning lists of best. And worst for American Airlines. US airlines is the QR is what it's called. And it is done by two universities that come out with the list of what they think based on a number of things that you can mathematically measure who's the best out there who's the worst out there. So what do you think she start with best or worst best? You know, why should start with best because everybody always looks for it worse. So the best under their criteria is delta second place jet blue third place southwest there when place and show Alaska that used to be number one year after year after year has fallen to fourth and the reason is because of the growing pains of the merger acquisition by Alaska of virgin, America. And when to airlines merge, there's always forthing pains following that so fifth-place Hawaiian then United United. I mean with every flight you can get a punch in the nose. United is now six. Followed by spirit, who is no longer the worst airline in America that year after year ranked worse, Sal. True spirit has made huge improvements in there on time arrivals and has the best baggage handling of any airline. Now, I fly everybody, and I can tell you that the flights have taken on spirit. I've seen a difference, and they have been better and not every flight American, which is definitely going through a crisis and the quality of the service. They offer is now and next to last place and the American employees are very bitter and angry at management. There was a meeting recently that their CEO had with employees. And he said, well, where's your trying to be as good as the other full fares? Not my words, not his United and delta and employees are like, wait a minute. We used to always strive to be the best at American. And now, you're just. Trying to be better than we've been not trying to achieve anything. And so American has a real morale problem and has a service problem, and all you need to know is the just miserable attitude the CEO towards customers towards passengers involving what they've done with their newest seven thirty sevens. Where they have reduced the space to a point where a sardine can would be more roomy, and he really takes the attitude. Let them eat cake and last place is frontier. Frontier takes the award as in the survey as the worst airline in America. So they got some work to do. They displace look that they display spirit for that. So with an airline is I said. They do a better job may used to do except when something goes wrong. And then it's a problem. And so how do you affectively reach somebody in an airline when something has gone wrong. So we have put together at Clark dot com. New guide for you that walks you through how to handle customers, no service at each airline and had a turn that customer, no service into maybe getting customer service. What seemed to be the best ways to do? So where does social media play in the picture, windy, make a phone call wind should you go face to face with the human? I mean facing off against human. I mean talking with a human in an airport. So we're moving into the summer travel season closer and closer a lot of people don't fly frequently and something goes wrong with a summer thunderstorm. You don't know exactly how to navigate your way. That's why we have this guide for you. Haley joins us on the Clark Howard show and Haley you're calling me about travel, but you're not travelling by air west going on with you. Yes. So I am moving cross country in August. And I'm trying to find the most cost effective way to do. So I have a one bedroom apartment and on only really in regards to large furniture moving a day and a smaller China cabinet. There are a lot of options out there. But I am overwhelmed with quotes an insanely high prices. So I'm wondering what you and your team recommend ROY. So I I have a suggestion to you. If you're moving all the way across the country. Zeus furniture goes for like, no money. Uh-huh. Uh-huh. And you could consider less. They're sentimental. Attachment to furniture. You have letting go of that furniture moving across the country white and then buying us furniture on Craigslist or through Facebook neighborhood group or something like that because furniture goes for pennies on the dollar used just like you're moving their other people doing that all the time. And that's just a thought for you to consider instead of looking at the cost involved in moving that stuff cross country that you just start over. If you don't like that idea, and you want to know how to move a less than household quantity of furniture and love one particular source called you ship. Have you been on you ship? I have not right. So what are you? Ship dot com, and you ship is all one word. Okay. And what you do is. It's like a reverse auction. You missed what it is? You need move from where to where and the approximate weights if you have them, and then people start bidding on moving those goods for you. And so they may have any of number circumstances why they have extra room on a truck or whatever. And they want your shipment to generate some supplemental revenue on top of what they're already moving around the US, and you get to see reviews where it's the wisdom of the crowd. And you get to see how people have felt about this particular mover over the years, and it is a it's not a foolproof way. But it's an effective way to get a pricing will be typically more reasonable for moving a rumor to furniture. And I didn't explain explain one more thing how the reverse auction works. So some people will start posting bids for your business and instead of like on EBay where the prices go up in an auction on a reverse bid, the prices go down and the longer a period. You can leave bids open. The more prices will move down for moving your household goods. If I was to go with like a truck, maybe service, would you recommend getting their liability coverage that they offer. Or would you just oh, that's a great question. So you're thinking maybe motoring the stuff in a truck that you rent, and you drive it all the way across the country. Possibly. Yes. I have to drive my car. And so my dad has offered to drive a truck for me about how I choose to go about it. We'll how nice of him. Yeah. But you gotta figure in the cost of the truck. Plus the cost of a one way ticket back home for him that could get fairly pricey. So let me tell you something about how the the one way truck rental market works. Now, they they use extremely sophisticated yield management now, which means that people will move from one part of the country, another where very few people are moving and more trucks are leaving that part than others. So if you're taking stuff to that place, you get a much cheaper deal than somebody leaving from that place is an example when you rent a one way truck that you're moving to Texas, you pay a much higher price than you do if you're leaving Texas because there's net more people moving to Texas than leaving it. Plus the time of the month makes a big difference. So if you want to rent a one way truck around the end of the month know few days for the end of the. A few days into the beginning of next month. You pay the highest rates of the month? So many people may be apartment renters. And so they're trying to move right around the end of a month out and get to where they're going within a couple of days of the beginning of the month two where they're going. So if you can avoid renting at that time of the month, the lowest rates are the middle of the month. And hopefully, if you're moving from place to place that they need trucks to go to then you get a lower price and that will vary by company on the insurance. The big thing with the liability collision coverage, depending on the length of the truck you rent how many foot truck your your automobile insurer may or may not cover you for that. They have rules where you can rent a truck up to twelve feet or up to sixteen feet or whatever in anything larger than that. You are. Uncovered. So you have to talk to your own automobile insurer and see what their rules are on. How large truck you can rent before you'd have to buy the coverage from the truck rental company and good luck. With your move back. You though, it'll be cheaper through a you ship reverse auction than it'll be to rent a truck and drive across the country. Gerry's with us on the Clark Howard show and Gerry yet another service. I really loved his bitten the dust. They are in the Clark Howard graveyard now who has bitten the dust this time. Well, first of all, let me say, I appreciate your advice so much I'm calling you on vacation from Maui. So. Terrible idea that you'd call me on vacation you need to reap this. You're right where I'm Maui. Are you right now? I'm kind of Polly looking over the beach right now, I like to stay a couple of miles north of Kana Polly at Kapalua. Yep. That's nice to absolutely. Yeah. The company is deputized. I was turned on to deputise by you few months ago and really liked it and got an Email just last week saying, they were I guess bought out by trim basically looks like for the customer list because the message makes it pretty clear that the service is discontinued, you know, the one time not just like maybe six months ago, we had two competitors debits and Tabatai's both offering this brilliant method to turn the use of a credit card into kind of the equivalent of a debit card. So you couldn't go into debt? And I assume that you were using it, and it was working for you. Absolutely. And the message suggest. That financially. They couldn't make a goal. But I guess it was I think five dollars a month, and I was actually willing to pay more than that. It was very good service. Well, most people, you know, originally had been free, and then they went to pricing, and they still couldn't get the the critical mass apparently to make it work. So I don't have a replacement for you yet. I don't have anything else. But I'm just heartbroken that we went from two to know people doing this in a blink. It's there's a huge need in the marketplace for people to have the legal protection of credit card, but not spend themselves into debt. And so I'm going to think through ideas and see if I can come up with something useful to share with you, and others is a way. Maybe we can not do it automatically as deputize debits did. But maybe you can control your spending through. Month. And as soon as I've noodle, dad out. I'm gonna talk about that on the air, and you right now need to go catch away f-. One quick thought I had run it by you was if you can change your statement dates among all the cards to the same statement date, then maybe a week or so before have a credit card Saturday and just pay them all off to keep the balances at zero would would that work. Yes, it would. And I like that suggestion because a lot of issues will let you now select what your closing date will be. It's always good to be in the know. But it's a specially important when it comes to your personal information like your social security number. That's why discover card is here to help. They send an alert if they find your social security number on any one of thousands of risky websites and best of all the services free for card members. All you have to do is sign up online. It's just one more way. Discover looks out for you not just your account. Learn more at discover dot com slash free. Alerts. Limitations apply. Greg is with us and Greg you're trying to figure out the social security, math puzzle. Aren't you? Correct. We are getting ready to retire a little bit early. And we have all of our ducks in a row and one last piece of the puzzle that I have on my spreadsheet from hell is how to calculate out the social security benefit if we do not have any income during the last five or ten years of our working career, right? That is a great question. And you know, it works on so many consecutive quarters. But if you are as part of a puzzle trying to see if you can really afford to bag work at a younger than normal age. You gotta buy maximize my social security. You've heard me mention that. No, it was developed by some college professors. If I recall, it's forty dollars to buy a software license for it. And you can run all the various scenarios that are exact for your personal situation. It is the most clearly focused individualized calculator that anybody's ever come up with for social security and knowing the best way to claim it and take it. Okay. Good probably half of those calculations in in in there. It's was it was just while much. If we have zero income zero or little income that would affect all my other calculations right. So that's why this one is the one that is by far the most helpful. And that's why the only one I know of that you have to pay for. But again, it's. Maximize my social security dot com and you'll have the answers you need. And that you're looking for. They may not be the answer you want, but you'll have them. It's my pleasure to welcome you to the Clark Howard show where whereabouts empowering you with knowledge. So you can keep more of what you make. That's the promise. What if I don't deliver? Well, I need that feedback from you. I need you to let me know when I don't come through for you where the advice or information or guidance. I give is just lame. I need to know ways that I can do a better job of providing the information you can act on in your life. That's why we have Clark dot com slash Clark stinks. It's where you post where I didn't come through for you. And you may feel that what I said is wrong. I. Need to know that so to Clark dot com slash Clark sinks post how you feel. I've missed the Mark and others can see what you've written. They can comment on it. And then weekly our producer Krista goes through posts on Clark stinks and shares. Well, she didn't like it. When I say that her favorites with you on the air. I should've never heard to speak much think I'm pretty stupid. Maybe maybe maybe you're right. Just a small order Clark. But every time you give that great advice for people to roll their 4._0._1._K into an IRA. You should lead you leave out one important item that need to be aware of for those who do their own taxes. They will likely be surprised in a bit confused the following tax season when they first realized that the entire amount of the role of her shows up as income, but then is also deducted as part of the rollover could be a bit of an initial shock to them. So it'd be good if they knew it in advance love the show Larry in Iowa. Thank you. Because that gives me another opportunity to mention overwhelmingly when people change your job. They just spend their 4._0._1._K money and wipe out their retirement the stats. I saw recently is it's more than fifty percent of people wipe out their money. If instead when you leave a job you then leave it behind move it to a new employer's plan or move it to your own. IRA zero-tax zero penalty Clark, you've told us that as consumers. There's no recourse that we have to punish equifax for the horrendous security breach happened. That's not true. I have frozen equifax account refuse to ever thought if a retailer or Bank wants to use it for a credit check. I tell them to either use the other two or they don't need my business. If enough of us all do this. It will cut into the bottom line. Thanks for all the you're all all the years of year advice. Eric, eric. I appreciate your frustration anger at equifax. And I just think it's unbelievable that because of corrupt culture in Washington equifax is suffered no punishment for the abuse. That's been heaped upon Americans with two out of three of of American adults personal information being out there forever with so many angles on density theft that cannot be contained because of it and. Equifax went into a bunker mode, where they would not communicate with the media at all they turned completely n word. They now have a new CEO who says that he wants to do things differently. And that he wants to change the culture at equifax actually care about consumers and time will tell if that's what does happen. Hey, Clark, you often advise people to prioritize a 4._0._1._K over a Roth IRA up to accompany match. If one is offered generally speaking. This is great advice, but it's not the whole story. Many four one K plans have vesting period of around three years if you're advising someone where to focus their savings. You should make sure they plan to stay there long enough to become vested, otherwise they could be in for a rude awakening when they leave the company Kevin Kevin. Thank you. So yes. A lot of people don't stay at anyone job long enough. If a company has a hold back on vesting. You on the 4._0._1._K? I I've philosophically him so opposed to hold backs. I even forget to talk about them hold back on vesting period. But I don't wanna put up any roadblock to getting somebody in the habit of saving for retirement and more of the night. Someone will stay that three years. So I'd rather not throw up just one more thing. Somebody would say well, yeah. Maybe I'm not gonna participate. I wanna do everything I can to get people saving for retirement because we've got a real problem that people aren't saving enough to have any comfort or security in retirement. But your point is one hundred percent true lately, you've said repeatedly not to give your social security number two medical facility on the pad cast, you address similar questions from Abraham and genie who asked what happens if medical a medical facility refuses to treat me based on my refusal to give my social security number new mmediately launched into a tirade about how the facility. Has no legitimate need for that information. This is true. And I agree with you wholeheartedly. But the fact remains that most medical practices have the same policy. We reserve the right to refuse service to anyone for any reason. Generally, speaking in the real world, you're not going to make it beyond the receptionist until and unless you fill out the complete form, including the social sure you can argue if you want to well Clark Howard says which will be met with variation of well, Clark Howard doesn't work for Dr such and such our policies. We must have this info before he can be seen if you live in a major metropolitan area, you can drive to the next medical office park and have the same argument with receptions there and repeat this process until you either get lucky or wear down and knuckle in and give them your social security number bearing in mind that if you were seeking to see a doctor, you're probably already either feeling sick or in pain to begin with. Thank you. And it's first of all stupid for people in the medical industry to want that social security number because then opens them up to lie ability after a data breach. And then being careless with data and having that social security number magnifies, intensifies the liability risk. So medical providers need to get past this. But the last time this was a Clark stinks. Do you? Remember, what the poster said, you don't remember Krista? So the last time the poster said just put in a randomized them, then that caused other people saying, then it might well be somebody's real social security number which led to a different suggestion that you just put in one zero zero zero zero zero zero zero zero and that then nobody's actually looking at it. And it'll just fly right through if you are at. Medical provider that will not treat you if you don't put some numbers in that social scary box. You can put whatever numbers you want as the first three and the last four, but those two that are in the middle which would be the fourth and fifth number just put zero zero there. And the social scary ministration says they never issue any numbers that those two positions are zero zero and you won't cause a mess for anybody else and you'll have met the requirement. Putting in a number there, a number that will be useless to that medical provider. Clark. Please stop telling people to have their kids used Uber or lift if they're not eighteen they legally cannot ride alone. And we as drivers will not be covered by insurance. Unaccompanied minors have to be cancelled. Because parents don't realize that they cannot ride alone are knowing to both the child and the driver. Sure, a few drivers will look the other way. But they take all the. Risk. The responsible driver will report your account, keep up the great work. William William appreciate that. So you may remember there was a Uber lift kind of service that originally started in California that was designed to be able to cart miners around and it was more expensive because the backgrounding that had to be done in the rest and the insurance requirement and so that service folded, but when I'm telling you about this. I'm generally talking about people sixteen and above and it's really hard with teenagers know, how old they really are even a lot of people in their twenties. Look like, they're teen producer Joel when he was twenty six looked like he was twelve. So really this really is hard to distinguish as so I think it'd be hard for driver to know that somebody getting in their vehicle is let's say sixteen or seventeen instead of eighteen and I think it's a practical way. For them to get around. This one got a lot of likes from other posters. Just say, you know, I know that this is a topic that's been discussed, but I'm always frustrated when Clark dismisses apple as more expensive than Android. Here's my challenge. Find an Android phone that supported as long as apple phones. There are none that I know of more often than not investing in quality products that are more expensive but lasts a lot longer pays off. I hate it. When my son grant posts on Clark stakes if you're not aware in my family, everybody is all apple everything except for me and they love their apple devices. And so the thing with Android being so much cheaper. It's just a fact it is cheaper the issue of not doing updates as companies should is a real problem in usually it's the cell phone carriers that. Are the problem for updates for androids not the manufacturer the Android device itself? I Clark I love your show. But you miss something when giving advice on how to get cheaper prices on contact lenses. I received an eye exam where they prescribe the most expensive type of contacts and was then shocked at the price when I went to fill it at Costco. When I asked the person at Costco vision center, if they had anything cheaper they did. But the prescription was written for the expensive option. She suggested I call back to the place that wrote the prescription and ask that they change it. She also mentioned that they should be able to do that without me going back or paying any extra money. I then the I asked the Costco, employees what the cheapest contact lenses. They sold were an I then called back to the exam place to switch the prescriptions this work, like a charm. I would suggest to know where you plan to purchase your contacts before you go get the eye exam. And then ask what the cheapest option is. Then requests that the prescription be written for that. Brand during the eye exam to avoid anyhow cels on overpriced lenses, Jenny jenness. Exactly, right. It's what I've suggested when you go to the doctor and you're ill in here. She might be writing you a prescription that you take one of those four dollar prescription lists like the one that WalMart has. So that you make sure the doctor doesn't right zillion dollar prescription for you. Great advice. Great idea. Okay. Speaking of the Cosco, I center on February thirteenth podcasts. David Lazarus stated that Costco, does not put lenses and old frames. Not true. I just had this done last month. Costco, told me that they can't do it because of the frame condition. They will return the frames to the client at no cost. I didn't have any problems and got new progressive lenses installed in my old frames for fifty nine dollars. Thank you for that update. If you're not aware, the context of what David Lazarus talked about a couple of months ago, it was about how there's a cartel. That has taken over the glass industry. And that's why at a time that we've got these online sellers selling prescription frames and lenses at the lowest prices we've ever seen in the United States with glasses complete prescription glasses. The whole thing being delivered for less than fifteen dollars the same time. Most people are paying zillion dollars and most places you'd go to get your frames and lenses, but there are a number of places that aren't part of the cartel, including Costco, and Worby Parker among others. So you don't have to get ripped off on your glasses in spite of this worldwide cartel trying to force you into a rip off. I appreciate all your posts. Please go to Clark dot com slash Clark stinks. When you feel. I was incomplete inaccurate or just wrong. Scott's with us here on the Clark Howard, showing Scott. Thank you for your service our country, which branch. The military or you at. Thank you, sir. I'm in the navy. Well, how many years you have not years eight months now? Wow. Okay. So that's great that you have chosen and all volunteer military to serve our nation. How can I serve you ANC you? Well, I'm one of them one of the many few young men who is already stressing about my retirement at my age of twenty and I just honestly do not know where to start. It's so broads me. I don't really know what to get into have TSP to the military right now. And I think that's my best bet right now. But is let me tell you that TSP isn't the gold standard. It's above that. It's platinum it is the best retirement account pretty much any of us are offered in the United States. Yes. That's what I've heard. I'm actually very excited about being in it. So when you think about retirement, it's don't let any complexity get in the way, don't let choices getting away put in every last dollar. You can afford to put in to the TSP and put it into they have their equivalent of target retirement fund is the life cycle fund. Yes. And that's what I would go into as much as you possibly can. Okay. Actually, great because that's. What I just actually just started doing that. I know that was different funds. I was confused on all the different fun. I didn't really know what's my money in. I was in the G on for a while. And I guess I was like the the one that you should not being citizen make doesn't get back enough money. So I googled it. And I was still kind of confused about it. So I didn't really know. So might call. You also ask, hey, what's your paying on that? And it's the best because what the what the military and the federal government do is the TSP has exceptionally low management fees lower than any of the rest of us have access to. And so when you put in a dollar, there's no commissions on it and everything goes to work for you almost down to the very last penny where the rest of us, even if we go into the civilian are non-governmental equivalent, the 4._0._1._K, we don't pay commissions on it, but we'll pay management fees. That are much much higher typically than what you have in the TSP how much of your pay are you able to put into the TSP is percent. What can you afford to do right now? So right now, I'm putting in ten percent into the L phone and see fund. Okay. So tell me what those two letters do for you. So L fund is the life site the life cycle time in fund for twenty fifty. I think I have most of my money going into their. I think I have six sixty percent of going to the elephant in the rest and going into the sea fund, which the C fund is in its P five hundred. And it's all right. I would I would not do that. I would do everything in the L fund. Okay. Is your how old twenty twenty? Yeah. So you want to go into something where the automatically adjust the mix of. Investments based on your age. And so go all into L and over time if you can afford to put more into it, and you also were offered a choice between snow's a traditional TSP and a Roth TSP. Yes, you want to be in the Roth TSP. Okay. And you if you want to save over time USA more money increase what you're doing in the TSP before you worry about any other place to save retirement money. Okay. And it's great. The you're doing all this that you're saving for your future. Like, you are and I want to thank you once again for being of service our great nation. You're listening to the Clark Howard show. Thanks for joining us today. The Clark Howard show is produced by Kim droves. Joel LARs guard, Debra Reese, and Jim Ayers and remember twenty four hours a day where there to serve you at Clark dot com and Clark deals dot com. It's always good to be in the know. But it's a specially important when it comes to your personal information like your social security number. That's why discover card is here to help. They send an alert if they find your social security number on any one of thousands of risky websites and best of all the services free for card members. All you have to do is sign up online. It's just one more way. Discover looks out for you not just your account. Learn more at discover dot com slash free alerts. Limitations apply.

Clark Howard Clark United States Clark dot TSP Costco CEO Clark Howard graveyard equifax America David Lazarus United Alaska American Airlines Krista producer United United
5.3.19 How to handle buying travel insurance before a trip; Clark Stinks

Clark Howard Show

35:23 min | 1 year ago

5.3.19 How to handle buying travel insurance before a trip; Clark Stinks

"Hey, I'm aiming this the host of men up a new sleep podcast and investigates, we get her ideas about manhood, each week guest will tell the funny embarrassing or sometimes disturbing personal stories that will help you figure out what we have to learn and unlearn about being men also want to hear from listeners like you as we saw through all of our own personal messages to get subscribed to man up in podcasts or wherever you're listening right now. So clan to welcome you here the Clark Howard show where it's about you. And that Walla yours when you to learn ideas me, so you can save more and spend less and don't let anyone ever rip you off and our main website, Clark dot com. When you're looking for deals Clark deals dot com. So a lot of people now or planning summer vacations trying to decide where you're gonna go maybe book, a cruise maybe book a flight tour, whatever I wanna talk to you about one of the most confusing parts a buying travel. And I think about if you book and airline ticket or a cruise how before you purchase. There's a big push for you to buy what they call trip insurance or travel protection. Sometimes they're not actual real insurance policies, and these policies are sold if very high cost very commonly, it will be ten percent of the cost of the trip you're buying and making claims as I've heard over and over again from people incredibly difficult. You know, the cruise lands in the airlines look at this is just another revenue point and the nation's airlines have gone to these Jain Norma's cancellation fees that if you need to change your trip cancel a trip. They won't give you your money back and on top of it. They charge you two hundred to four hundred dollars for not being able to go, and it's just a terrible terrible burden. And and I speak at the airlines like a monolith. I should say except south west that charges. No penalties at all. If your trip needs to change for any reason, or if you need to cancel you have a year to use that money without any penalty whatsoever. Otherwise, you do have these big expenses with an airline ticket. You have with a cruise. No matter. Why you can't? Go you lose all your money. And so you should have coverage. But when you're looking to buy trip coverage, I don't want you to buy it through an airline or from cruise line because it's too expensive through them and the coverage limits and exclusions are pretty ugly. I want you to buy at third party. And especially if you're doing a tour or Cruz where you move all your money, if you can't go you gotta buy this trip insurance airline ticket. Maybe not. So when you're looking at stuff I like to go the clearinghouse ensure my trip dot com. And there you'll see every pretty much shape form and fashion of trip policy. There is that has levels that are relatively inexpensive to very expensive, depending on what coverages you actually buy. If you are someone who's traveling to a part of the world where you're worried about what conditions are going to be like civil unrest terrorism. Whatever the only kind of policy, you can really look at these policies that you pay more premium for but allow you to cancel for any reason. If you do cancel for reason that would not normally be covered by policy, and you just say, I'm not going to go. You don't get all your money back, but you get a substantial some of your money back, and you don't have to worry about exclusions because State Department warning won't be enough to get your money back. Civil conflict won't be enough to get your money back terrorism won't be enough to get your money back under most policies, so they're expensive. I don't want you to just look at an electronic brochure or a physical one. I want you to read what is covered in. No, the easiest rule that an insurance Commissioner told me once is that if it doesn't say it's covered. It's not. So that's the simplest way for you to know because I will get calls from people who have trip insurance, and we'll be nervous. I had one six weeks ago. I guess it was somebody going. The Yucatan Mexico. I've had more than just that wine about the Yucatan and the person had trip insurance. But there's trip insurance didn't cover. So why buy it, exactly? So a lot of times the things that might make you nervous. Make you not want to go to a place or not going to be covered the standard kind of coverage for trip insurance policy is really to cover illness or death in your obviously, you're not going to be that worried about your money if you're dead, but anyway illness or death of you are family member is what is principally what's covered by these policies. The other thing is supplier default if the travel supplier goes bust, the you get your money back Jim joins us on the Clark Howard show. Jim how you doing? Pretty good Clark. Good to talk to you. I'm a longtime student at Clark Howard university. Well, that is great. Do you have one of our factory second t shirts? No that I regretted not buying one. When I saw those few years ago. Okay. Well, maybe we'll have another factory second t shirt at some point. We can make available. You bet. I won't miss it this time. Okay. So anyway, hey, I'd like to talk to you about action compromise wife, she retired about a year ago and she turned her garage sale. Passion into a bit of a moneymaker, she teamed up with our daughter, and instead of you know, going to garage sales and doing what she does with all of our good good products. She would just recycle them every year or so at a garage sale at our house or their daughters house. But now, she retired. They they teamed up and they've stepped it up a notch. They're they're reselling repainted furniture that they take care of and other items on like Facebook marketplace. And I mean some days they're they're reselling things every day and they're actually making. You know, they're having repeat customers, and they're, you know, making some making real money. I think so I got kind of a two part question when does this hobby? When do we need to worry about this being a small business in the second part, you want the book answer you want real life answer? Well, here's what spurred the the the question. I thought I would help them out and this is their business. I'm just I just love watching it. But I went ahead. And I said I'm going to help them out. And I bought a pay pal here credit card reader, and I thought, you know, they have repeat customers and some big sales. I thought you know, you could use this, and maybe even increase your sales and make it easier to make more money. But I ordered that thing that comes in. And it says you have to connect to your pay pal business account and that was a big red flag. And if you could help explain the, you know, we did not hook it up. It's still. Sitting on my desk. Let me know, you know, what's what you think. Right. So so there there this is a very gray area. Because technically once you're making money from something it's supposed to be reported as a business, but with a hobby one of the most important considerations is d you do you need that income to live. You know, it's something she just loves doing. And it's fine for her. Then that's not really truly a business till it really starts making substantial money. Last doing it. And and it's not substantial money. It's it's a lot of good fun money. So so, okay. So let's see I'm I gotta answer. This two ways. The book answer. Yes. You report the income from this hobby of your wife, she reports her income the real story is that people doing things with yard sales or people doing things, you know, through Facebook or whatever selling stuff that until you start hiring employees, and it becomes a really formalize business. Most people are just pocketing that money. They're doing business in cash. You talked about one of the things you don't do if you don't wanna have to cross paths with the IRS. You don't have a credit card reader. You don't accept checks you do everything in cash. Ok that's so I can't go to jail for saying that, but that's the I mean, that's it. He just asked me straight out real life. That's the reality. Sounds like a plan then so you have to make your own decision. But that's the way most people would play it. I guess now they can add this pay pal credit card reader one of their products that they can resell. That's probably a good idea. Because if if you don't wanna have to declare the end, come and all the paperwork and all that yet, you just keep it, really informal. Gosh, we never realized this becoming a real thing shines with us on the Clark Howard show. Sean how you doing? Are you going to Clark? Are you? Great. Thank you. So showing you have some advice as an industry professional that you wanted to share with your fellow listeners. I thank you for being a member of team Clark. Lowthian Clark love it. What kind of industry are you in? I assume you don't want to say who you work for. But just general terms what kind of industry are you in that your advice comes from all hipping in receiving new residential and business. Both okay. Incites to you have that your fellow listeners should know. Well, I keep on seeing the elderly people on humanity getting scammed, and I it's all starts with the phone. You know, they answer the phone. They don't know who it is. And then, you know, they're they're giving up their savings account number checking account, number and. It's it's the. Computer scam. That's going around where they say your computer's infected then they wanna you give them access. And then once they get in there. They get into your checking, and they just kind of shut you down. Yeah. I mean, we got that. Call unfortunately too frequently. Yeah, we also had a. Had one of the carriers. Go to a house and pick up a package, and he gets out lady elderly lady was kinda fostered. Brought it back gave it to me. We opened it up. And it was just like a pack opened it up and had thirty four thousand dollars cash and their what Shah thirty four thousand and wh what kind of scam where she getting taken in. She actually 'cause obviously thority involved. She was called and told or granddaughter was kidnapped and they told her she couldn't tell anybody or they would kill her granddaughter. They asked her out much money. She had she has reported house. And so she went and got it, and they chose us to pick it up. And luckily, the courier could see, you know, something what's your own? So, you know, this is this is fantastic. Did. The courier get a reward from any thority is for being heads up about that. Yeah. Yeah. Yeah. He did. Yeah. He did. I'm so glad you know. There's a there's a new shield for bankers where bankers used to just have to sit there and watch their elderly customers get taken in these scams. And now Bank employees are allowed to step in in even if they make a mistake is something was not a scam. They don't get in trouble for it. Because they're one of the best places to stop these things. But what a wonderful thing that your employees did. Yeah. Yeah. We really proud of him family was obviously really happy to to get that much back. So what did what did the elderly lady say? When her granddaughter was fine. And she had her thirty four thousand back. I I wasn't. I wasn't in on that conversation. I was local police because. I don't wanna contactor and scare that was a local police that make contact. But she she was extremely happy. Everybody was ok well that is great news any others that you want to share with me quickly. The only other one we we got one the other day, we had one hundred sixteen envelopes picked up and they were sent out with checks authentic looking checks and had instructions with the phone number to text on your name check amount out on check. And then you did deposit it. And of course, when you deposit it. Deposit thing. Yeah. Yeah. Wow. Is that one ever gonna die? I guess it still works. Yeah. I I I don't see how well I appreciate you taking the time to share with us. And just remember this money does not follow the sky and somebody just doesn't no matter. What toll tail they tell you? They're not sending you a check of the goodness of their heart. And then they'll kind you into wiring them back money and the Czech. They've sent. You is bogus is counterfeit. And will then bounce be careful out there Todd's with us on the Clark Howard show. Todd. You got a trip to Japan. You got a question for me about is that right? Yes. I do what's the scoop can help you with. So what's going on is I'm going to be traveling to Japan in about three months with my whole family? You know, something we've been saving for for years. You're going to love it. Oh, I well. I was there for my honeymoon many years ago with my wife great. And so we're looking forward to going back and introducing the boys and my question is. So, you know, it's going to be mean, my wife, and my three boys, you know, my boys they're fifteen eleven and four, and it's gonna be a long flight to get there. And I'm wondering is there like an inexpensive travel power Bank. That would be able to charge like laptops, various devices such as like airplane. Airplane? Yeah. An airplane, assuming charge charging the phones will be nothing or tablet charging a laptop. That's a whole different scale. But a lot of the airlines to Asia now have charging ports at even every coat seat. Okay. Well, we were also wondering for like, our our cell phones when we're actually in Japan, so ten thousand MASH battery things now on EBay and Amazon or like ten bucks an up. Okay. In ten thousands. Great that that's like a couple of days battery life extra for each phone. That'd be a great travel gift is get everybody a ten dollar one. And then they'd be able to charge your way and make sure you have a travel adapter to for charging the, laptops. Once you're in Japan at hotels or homes, or whatever. I'm so glad you're with us here on the Clark Howard show where it's all about your empowerment with knowledge. So you can keep more of what you make. That's the goal. That's our purpose. And so you expect for me. Good guidance. Good advice good direction. But there are times you feel like I need to go. Learn how to read a financial map again, and you may be disappointed with the answer. I gave to somebody or an opinion. I've shared or whatever. And that's why we have Clark dot com slash Clark stinks. It's where you can go post where you feel. I miss the Mark or worse. I sent somebody on a wrong path or just gave bad advice and. Once a week, our producer Krista goes through your posts and shares highlights with you here on the air. I should've never encouraged to speak English think I'm pretty stupid. Maybe maybe maybe you're right. Park doesn't stink to start out with that one. No. This is Clark stink. Doesn't stink. Just please differentiate between type one and type two diabetes. Diabetes was mentioned in his insurance. Companies tracking us podcast, many media mentioned it as the only reason folks have diabetes is a lack of control and unhealthy eating obesity at cetera. But that is untrue for t one d an autoimmune disease, we t- Wendy's do not control any aspect of contracting. It, unfortunately. Thank you, and I should have specified that when I was talking about insurers and the way they treat diabetes and the way it's monitored. And so I apologize for not doing that distinguishing factor. Why does Clark continue to give advice about Inc for inkjet printers? The ink is expensive and problematic since the jets often dry out between uses two years ago. We purchased a laser printer for about one hundred dollars. And couldn't be happier. We've only purchased one toner cartridge over the two years for twelve dollars. And it's still going strong. We use the printer almost daily most people only need a black and white printer. After all, it's a lot cheaper to order photo prints online than it is to print at home, but color lasers are also available at reasonable price. So Clark quitted vising about the cheapest way to purchase Inc. And instead tell your listeners about the real bargains laser printers this funny. We had a printer. Post last week too. Yeah. Yeah. So anyway, Krista could go on for about. Oh, next ten minutes about how I've recommended the Epson. Echo tanks. Yeah. So it is true. That if you're just you're something at ours, by the way, literally just threw something before you threw something at it. Oh, so anyway, the laser printer advice is great for printing is most printing is done black ink, no color and another suggestion. I had from someone who was upset about the printer is that you have a second color printer for the occasions you need to do color printing, which you'll find is almost never. And that a laser printer is the most efficient way to do every day on demand printing. I think you need to open the hood a little more on the Charles Schwab intelligent portfolio, which as you mentioned last week can be combined with their subscription service to a certified planner. If you had you might have alerted listeners that Schwab allocates almost ten percent of persons nest egg. To a low interest Schwab cash fund Schwab can make an extra one and a half to two percentage point spread on all of these deposits. That's on top of the expense ratio and subscription plan cost Clark. If a GM MB, which is giant monster maker Bank and Clark speak rolled out. A target date fund that kept ten percent of persons investments in a savings account. You'd be outraged. I know you admire Schwab, but they and any investment house deserve similar scrutiny. You're completely correct. And actually on another cork show of than the one year responding to I did talk about how I didn't like how Schwab handles the cash portion of the intelligent portfolios. Just see your where what they do is. They have these computer model portfolios that are based on you going through a questionnaire. And so you go into the model portfolio, so depending on your circle. Mm stance. They take a certain amount of your money and put it in in a cash equivalent paying very low interest rate versus what the market is offering generally paying one third of what high rates would be in the market. And I think it is moral blindspot was Schwab they've done that this was responsive to our what's Clark's wallet post on Kark dot com. You don't carry the fidelity, express visa rewards credit card. You don't want to percent of every purchase going straight into a Roth IRA. So that you can save more. You upset me Craig Craig you should be upset. No. I don't do business with Fidelity Investments. I did at one time. Actually, I've done two different times in my life. So I'm not eligible for the fidelity card and the Schwab equivalent is only a point and a half. So the fidelity card at two point. Oh is. As much better. And so the alternative and one that I've considered is getting the city double cash card, which is also a two percent cashback card in those two products. The fidelity to percent cashback and the city double cash two percent cashback. They're the best simplest credit cards to have in the marketplace. I wanted to respond to the question about hiring a housekeeper who is working in a franchise company as an independent cleaner. Clark. I was disappointed. You did not acknowledge that for housekeeping companies a lot of money time and effort is put into marketing and finding customers as well. As training background checks ensuring bonding, and providing employs was supplies and equipment for those reasons. Most franchise companies have their employees son anon- compete, which essence makes it a legal for them to solicit employment directly from company accounts as such employees who still accounts from their employers could be sued for the loss of revenue in court costs. Please caution your listeners that they may be supporting people who care for, but they are also potentially contributing to a legal mess for those individuals not to mention they take on the liability for an injury claim theft or any other unforeseen circumstances that can occur overall. I love your show, but I needed to shout out for small business owners. Thank you for. Your post and everything you said is right on the liability side. I need to tell you. I respectfully disagree with you on covenants not to compete. I don't think that covenants not to compete should exist because they are such a burden on the employees. There are rare circumstances where somebody has access to corporate secrets at a high level of corporation where I could see potentially justify justification for having covenants not to compete. But I think they're too much restriction on the workplace, and they suppressed the pay of workers too much. And that's why I completely opposed to covenants not to compete. Credit card with frozen credit card, isn't stink. He just doesn't know about this trick. I've heard him take several calls from people wanting to know how they can get a credit card after the credits frozen. He is correct. That CSR's rarely ever know which agency they use the method. I've used three times six CSR's SARS. Those are the when somebody's applying for card L say, hey, asked which of the three credit racially pull from and the people working credit card companies have no idea method is is to apply online with my credit frozen. You will get an alert that says they cannot issue your card, and we'll send you notice in writing thirty days. The letter usually arrives within seven to ten business days and includes their credit agency and the number to call back once you've thought your credit while this limits you from being able to quickly get a new credit card. It works. Very well. And you only have to one report and you will receive their decision while on the call, very smart. That's a great idea. Thank you. Clark your advice regarding what constitutes a bad for three b plan made me throw open a window and turn on a fan. You recently told a call or not to fund his if the expenses it seeded point zero seven percent while everyone wants to have low expenses think of the investing in taxable accounts as having a load equal to your tax rate. Do you want to invest in a fund with fifteen twenty two or twenty four percent load? If you look at the Bogo heads Wicky in 4._0._1._K plans, they do the math and come up with a rule of thumb that is it is generally better to invest in a bad retirement plan instead of taxable until the expenses reach one point seven percent. Nets for Mike, Mike. Thank you. All right. So use your fan instead of air conditioning, saving you money. But as far as the ding to clear out the stink for me talking about four three b plans. So here's the story. If you think about how I guide people on that would I encourage them to do is to contribute an. Three be up to the employer match. If there is an employer match, and then contribute to a Roth IRA. So they're completely keeping their money. Still in a qualified retirement account. The Roth you're never taxed on it. Or your earnings very few people are going to put more than six thousand dollars a year in a retirement account. And that's the ceiling on the raw if somebody does intend to put more money aside than that. Then we can have a real discussion about whether or not it's worth it to have money in a way overpriced for three plan or traditional investment account. Clark your off the Mark when you said that counterfeit goods, I'm websites. Don't matter to you. Because you don't buy brand names. Here's why counterfeit goods have been shown to fund terrorist organizations. They are dangerous, for example, counterfeit fragrances have been shown to sometimes contain urine to achieve realistic. The color counterfeit goods cheat companies out of real customers. They cheat consumers out of hard earned dollars your advice on shoes. Correct. However, it goes way beyond that almost anything can be counterfeit. If not from the original source Clark, you're all about helping people not to be ripped off will counterfeit merchandise is the biggest rip off there is please help sound the alarm. Thank you. I appreciate your post. And if you're not familiar with context, I talked about before is that when you buy goods online. It has become a big problem with massive numbers of counterfeit items being sold generally under brand names, especially designer labels. Because the reason the counterfeiters concentrate in that area is that's where the highest profit margins are if they can fool somebody into thinking that they're selling you a brand name item. And the thing with the perfume. I'm not familiar with that someone has dissected the Clark stinks sounder cork things. Mix an unpleasant breeze wafting from high school boys locker room after they lost the big game. Why? Because instead of billing client hours I've been on a hunt to find the audio sources for the Clark stinks intro. I knew exactly one of these without looking them up. So let's test Clark and see how many he knows especially since none of them come from NFL football. Games one. I should never have encouraged you to speak. That's Lauren Bacall when you were supposed to ask. How do I have no idea? Lauren Bacall in the mayor has two faces. You must think I'm pretty stupid. No idea. Seinfeld. Jason Alexander, you you should be ashamed of yourself. No idea. They couldn't find it. Either. Maybe I'm wrong. Maybe I'm wrong, no idea high anxiety and finally maybe a right pal. No idea Bogart star making turn in the petrified forest. Thank you for doing that work. I am so clueless about anything in popular culture. I wanna hear from you. Please go to Clark dot com slash Clark stinks. If you feel that I have failed you or given bad advice and need to hear from you. And maybe you'll hear your post with Krista right here. Scott joins us on the Clark Howard show. Hello, scott. How you doing? Doing great. Thank you for taking my call. Sure. Scott. I understand you want to have a discussion with me about when I talk about going to see a fee only financial planner has that work. And what's it gonna cost? Is that the idea? Yes, having heard you talk about several of the different places to go for that high decided, I would check it out. We are sixty four years old, my wife, and I both. So we're really at that stage of starting to put thing a lot of things into motion probably should have started before. But here we are when I looked at them on their websites and under the QNA, they talk about the approximate costs. And I found that the fees were about two hundred dollars an hour with a minimum of ten hours and easily up to twenty hours. There's this is this for Garrett planning network or is this for going to someone with a Napa? Affiliate. This was for Garrett. Okay. All right now. Karen, let me tell you Garrett works. It's a referral service and the services that each Garrett planner offers could vary and the fee structure would vary. So I should say who should use Garrett and who likely would be better off using a nap person. If you're just looking to make sure, you know at your age, you should make sure that your estate is properly set up that your wills or current that you have good planning goals established that you are set for the rest of your sixty seventies. And beyond and that is when you go for a checkup, and depending on your resources paying a couple thousand dollars for somebody doing a deep dive. With you not about what investments you should be. And that's only tiny part of it. But it's your overall planning picture goals all that two thousand for that may seem crazy expensive. It's actually money well-spent. Okay. Now with let me tell you the Napa thing. So with Napa tends to be a different kind of idea that with a Napa person national association a personal financial advisers. I think is what Napa stands for net or with Napa. You're typically looking for somebody who is a fiduciary, which Garrett person would be as well. But instead of doing checkup with you and. Developing a plan and coming up with a good port folio for you. And then sending you away a Napa person. Instead, you tend to pay usually one percent of the assets you have to do ongoing management and advice for you. Okay. So they're different kind of techniques. Typically, but the beauty of both of them is you never have to worry about them recommending something or selling you something because they make more money from it or they make some kind of commission from it. They're only there to advise you. Legally required to put your interest first last and always. They're there for you. As your advocate for then is for someone to help manage or funds that you're saying about a one percent fee and garett as you also mentioned is much more. They just a checkup to see where you need to be exactly in both of them any grid. Fiduciary who's well trained will make sure they're talking to you. And guiding you over time with much more than just you should be in this fund that funder the other fun. They're looking at your overall picture where family fits in. It the dynamics of what goes on with kids and grandkids and step kids and blended families and all that and how you gonna handle all those things I don't know your personal situation. But you get the idea you're listening to the Clark Howard show. Thanks for joining us today. The Clark Howard show is produced by Kim droves. Joel LARs guard, Debra Reese, and Jim airs and remember twenty four hours a day where there to serve you at Clark dot com and Clark deals dot com.

Lowthian Clark Clark Howard Clark Clark dot Facebook Clark Howard university Schwab Japan State Department Jim Krista Napa insurance Commissioner Garrett Jain Norma Walla Diabetes Yucatan Mexico
12.23.19 Google Flights to save on travel; Don't carry these things in your wallet

Clark Howard Show

34:23 min | 8 months ago

12.23.19 Google Flights to save on travel; Don't carry these things in your wallet

"Great to have you here on the Clark Howard show where it's about. You being empowered Lord with knowledge say can keep more of what you make coming up later. There's always people out there trying to separate you from what you've made. I'm going to give you you some simple steps for you to push them away an out of your life best. He can and our main website. Clark DOT DOT com which we update every single day with new information for you about ways to do various things in your life smarter cheaper better so that you can live the life you want to with financial independence so I love travel and I love to save money on airfare but where do you go what do you do well as so many other things the answer starts arts with Google Google big and powerful and so many places in our lives but Google has the most sophisticated search is to to find bargains travel. And now his added feature that you can see all this at Google dot com slash flights. And what I should say I should step back a second. Google has the most sophisticated tools to search for airfare. 'CAUSE THEY I bought a key industry database. And so that's why when you use google dot com slash flights. The results are so quick and then they laid over over their big data capabilities on top of the available database of airline seats in order to be able to give. Have you phenomenal up to the second sophisticated information including a new capability where you can have google shop flights departing from your own city and at the same time from places near where you live to your destination and airports parts nearby that you may not have considered. It can be a way to save money. I mean you don't have to do these things but there are a lot of great examples. You know. Chicago is to airports Midway and O'hare but would you think that maybe possibly there'd be a cheaper fare into our out of Milwaukee Cookie which is in reasonable distance or Rockford Illinois not quite as close as market another decent distance and so the Google L. Dot com slash. Flights is able in an instant typically under a second to shop all fares for four months at a time from where you're leaving to where you're going and places near where you're leaving from near where you're going to and you can pull up a calendar and see day by day month by month the cheapest fare on each and every day for going and returning. It's extraordinary just joins us on the Clark Howard show. Hello Justin high carpets and honor to speak with you today. Great you and your staff for continuing into produce a great show. Well thank you and you know. I have a wonderful hardworking team. That's working on the radio TV working on our websites. Working on our newsletters podcasts. Everything you know every everybody all works together as one team team all working for one purpose. And that's to serve you. My question is about fidelity zero fee mutual funds. You mentioned in a recent segment. I I have a roth. Ira At fidelity that contributing to since I was eighteen years old it is currently invested infidelities broad-market domestic and international index funds. uh-huh would you suggest leaving the money in east funds or selling and purchasing the corresponding zero zero funds. Will because you would be changing nothing. Nothing in your portfolio essentially going from the legacy funds into the Zeros and you'd have no tax do because it's inside attack Sheltered or tax free account a Roth I would do exactly that I would sell both your holdings and go back into the two fidelity's zero funds okay looked at the international fund. I noticed that it appeared sued not include small capitalization stocks with that the reason to potentially potentially pay for the full older fund. I don't know that that would be a good enough reason. What's the expense ratio on the international national choice here and now with fidelity point zero six when zero six so six one hundreds of one percent? Yes I mean that's almost free as it is so if he wanted to make sure you continue to have exposure take small international stocks. You could sell off your total stock market index. Go into the zero choice but leave the international international as it is 'cause six one hundred zero one percent for an international index is that's virtually free in and of itself okay. I don't know the giving you know. The saving six basis points is worth changing the nature of the mix of that investment. Because I like you know oh I have such a bias. Towards first international investing which is where three quarters of the action is and also smaller companies having exposure the smaller companies because even though they tend to be more volatile they also are where ultimately you can have more growth and so I I I like having one. That's got both the the big companies and the smaller ones excellent. Well thanks for your advice today coach. Sure I'm so impressed that you started your Roth. IRA when you were eighteen. Who motivated you? Where did that come from in in your family or wherever it came from a combination of listening to you and from parents? Well I'm going to give the full Nadia parents because you know you doing that starting as a teenager and you consistently do that. It means that you're going to have such a variety of choices of what you can do three your life when you work where you work the nature of what work you do or even if you just bag again you decide to retire. Due created those possibilities by becoming a consistent saver when you're eighteen and that is absolutely Something you should be very proud of good for you. That is with us on the Clark. Howard show hello of ETA? How're you how? Clark how are you great. Thank you you got a question for me about a business idea What is your take on someone Odin an ATM machine visual income back? Uh Uh UH Instead of you making money that is your money blowing smithereens let me tell you. This is a rip off and I'm so glad you're asking about it. I'm curious this is something you saw on the Internet. or where'd you see solicitation about you owning your own. ATM Radium Eighteen. I was watching it on television. So ATM's are in decline here in the United States and around the world and the reason season is is that people under forty don't know what cashes they've grown up in an era where money is plastic or money using an APP on their phones and ATM usage is in steep decline and so a ATM. Machines are actually being pulled safety and machines because m stands for machine. ATM's are being pulled out of their installs all over the country because they're no longer profitable and no longer track business like they used to see. You never want to an individual go into something. That is is a steeply declining business so I would stay away. It's kind of like back. When cellphones first started gaining popularity parity and people stopped using payphones like they once did and it was a little teeny decline year by year and then cell phone prices has got a whole lot cheaper starting in nineteen ninety six for the monthly service and that's when cell phones became common for people to carry and payphones phones vanished? Poof all over the world so you never WANNA go in business. That technology has moved on from mm-hmm right. Well best to you and I'm glad you asked me before you got involved arts with us on the Clark Howard Show Hello Art. Hello Clark how are you great. Thank you art. You have a question for me that I got a smile about because the answer I'm GonNa give just gets better every time somebody asks me. Good News Yeah how can I serve you. Well my question rushing is I've I've been worried here days off for about ten years and I calculated I've spent over twenty thousand dollars those ten years on hearing aids and I still don't have one one really does the job for me and I realized that hearing is something that you can't always get one hundred percent but the last her I paid sixty four hundred dollars uh-huh and they're not really working any better than the first pair that I paid eighteen hundred dollars so what I'm doing is looking for advice on some as or something that's coming up a bit more cost so much and might work better. So what's going on is there was a law passed by the Congress that the implementation tation of as being slow walk in the administration. But it's designed to open up the hearing aid market like it is in every other country in the world we in the United States pay roughly ten times the cost of hearing aids of any other country and so now that at the marketplace is already starting to open up. The prices are coming down and the price leaders with much lower prices to at this point had been costco. Wholesale Sam's Club and something called? I hear medical. I H E A R like hearing and here medical dot Com and all three are pricing hearing aids starting at under a thousand for a pair which is a huge move in the price in the marketplace. That's for sure but I would say probably. We'll start seeing hearing AIDS available more typical world prices of about five hundred dollars for a pair. Are Your News. Are you a member of either. The warehouse clubs both of them. So I think it would be good for you to go to both of them and see what they have available. You may not like the ones they have available at about a grand and the prices will vary locally even with the warehouse clubs. I think some of the hearing aids but if you like the ones that are a thousand dollars that so much cheaper than what you've been paying for sure okay and before you go to either of those look at the website I hear medical dot com. Okay they are as best. I know the first ones to have an FDA approved hearing aid that can be sold right over the Internet where you do your own hearing during test and then you can order the hearing aids okay. I'll do that so this is this is something that was a really really bad news story for a long time in the US and is finally going to be much much better. And I'm sorry about the twenty grand sning to art show. I'm very sorry to ask. Okay well thank you very much. Sure and best to you and I hope you do get a good fit at a good price. They say breakfast is the most important meal of the day at AC hotels we agree. That's where European inspired breakfast features pursued a slice razor thin and and fresh croissants imported from France all served in. AC kitchen talk about a wakeup call. AC hotels the perfectly precise hotel. Gus Is with us on the Clark. Howard show hi guys? Hey how you doing great. Thank you gus. Great having you here thanks for having me guys. How can I serve you? Kinda cautious question about the real estate market right. Now I've been sitting on a Investment Condo for a while. Not Making any money on it but it is kind kind of paying for it so but you know it's cost me money here and there on repairs Just trying to see if it's a buyer's market a seller's market trying to figure out what I should do so it's really a price point question where houses become a buyer's tires market neutral or a seller's market so generally at the lowest price points based on local conditions houses Sir an extreme seller's market so people are having trouble finding that first home they can afford and there's a a severe shortage of homes at the entry level point so of this condo you have is at the lower pricing range of the real estate market. Where you own it then? You're almost certainly in a seller's market where he would find the market very interested in buying your property on the other hand if it's More at the higher end of the market the higher end is overstock now so in most the country and it would be a classic buyers market and then kind of inbetween is where it's at equilibrium. Cosa okay you said this is Kinda right. Yes yeah where we house right now. It would like to possibly ran. Ran Out my house or sell and move into the CONDO All right so Where does your house fit and the price point? My House is sitting pretty good right now. So it's I'm thinking about selling it and moving into the CONDO. Well that's that's a lifestyle choice if you really liked the CONDO. You haven't really had a lot of fun renting it out. Then that's something. People do frequently frequently where they have a home and investment property is they may decide to flip and move into the investment property. The advantage manage to you with your own home. His it appreciate it a lot in value. Yes so if you sell it. That's an advantage. Because you get to pocket doc. Id is a single individual. A QUARTER MILLION TAX-FREE A married couple. Five hundred thousand in gain tax. Free if you hold onto that and converted arted into a rental property eventually you lose that so if you wanted to flip and move into the rental property if there's been a big gain Ain on that house urine I would sell it. Now's the time so Well again if it's at the more modest pricing point of your area that's where homes are still selling very well. Okay I think it is that in that area so it's going to have to think about so I think I appreciate your time. Thanks RASA my question. Sure and best to you with what you end up doing. It's my pleasure to welcome you here the Clark Howard Show where it's about you learning ways to save more and spend less and don't let anyone ever rip you off. Car Dot Com is our main action on the web and uncork deals. Dot Com is our bargain site ordeal site that we update night and day to bring you the best and latest hot deals so we think about all the problems with financial theft identity theft and all the rest all being about online. Let's talk off line. Fine let's go back to like well. It was a decade or more ago and at that point. Financial Crime was very heavily. Valley analog so may steal your Wallet Somme Steals Your purse and we don't even think about that even though that's still goes on so I wanna day day give you a brief look at what should never be on your person in your purse in in your wallet absolutely a runaway number. One never never never not ever carry a checkbook. Unless you're on your way to a real estate closing in you have to write checks a checkbook is the most dangerous thing thing that can be stolen from you because in one of the weirdest things about laws in the United States if your checkbook is stolen and a criminal writes eight checks as if they're you and those checks are passed. Guess who gets arrested in so many the states you do. The victim of the original crime gets arrested for the passing of a bad check. The you had nothing to do with you end up with a criminal arrest record you end up. Having having to hire a defense attorney and really the law is upside down and backwards on check fraud. You have to prove you're innocent. They don't have to prove you're guilty. It is absolutely an abuse the way the law works so never never never take this to heart. Never have a checkbook with you. Second go through all the cards you carry in your wallet or your purse and purge all the ones you really don't need it's amazing how. How much extra stuff we carry? That's not relevant that we never really use. And you don't want to leave leave as many problems as you can for yourself. If your wallet is pick pocketed. Your purse is stolen. You want to limit the number of things you have to deal with the damage that occurs and so be careful then he identify or in their never have a social security card in your purse or wallet and Kerry few pieces of plastic. As you actually need you'll thank me for it. Joe Joins us on the Clark Howard. Go Hello Joe Hi Clark Kerr you great thank you joe you gotTa Chromebook Yeah I did. I'm a regular listener. I walk With the podcast suggest in the morning. And you've mentioned it several times I went ahead and picked one up but got a bargain on it Rehab off the Internet ninety four four dollars and I did it for the Financial Times that I need to do. You know a brokerage the bank online banking and in one of the podcast with and kill you mentioned just online banking and my hope was that it would make more secure with all sorts of financial things. It's especially especially valuable for the brokerage because the greatest risk that we face is that criminal get into our brokerage account retirement account account or mutual fund account because banks only have less than ten percent of people's money now over ninety percent is in these other places. And that's why visiting your brokerage on the chromebook is the highest priority. And if I failed to say that in the podcast you're listening to I didn't do my job and I listen to a couple of times walking. I can't take notes. That's one advantage in so I searched for and found into. Uh I'M GONNA call Clark and just ask them well. I appreciate that so I call it. The three BS is the basis basics for using a chromebook doc is banking brokerage bill pay and I have as a result of so many questions. People have asked about cordoning off the finances in your life. We have a guide now on KARK DOT COM on how to set up a financial chromebook. Excellent that's what I you need exactly Because I was GONNA ask you a couple of related type questions on that One thing I did hear on your podcast ones that searching is what what you don't do Internet searching searching no social media no email you only use the financial chromebook look for the financial things that we've discussed. Okay One last question then Clark Something else you said is get printed statements. Actually you said paper statements when I heard it from the banks and brokerages and so forth in case there's ever discrepancy even go to those paper. Can that paper apor include printing it from the chromebook from your couch that you have on the chromebook printing out the statement. Yes okay you have. A printer hooked up to the CHROMEBOOK. You absolutely can do that very good. So those are great questions Joe and do you have any suggestions for me about our podcast as an obviously very avid podcast listener. Wish it was longer used to be. It seems to thirty three minutes or so and I like to go for about forty five minutes. I listened to of them. That's where you can dial down the speed and hear me speak even more slowly than it would last the forty five minutes very good. There you go well. I'm glad you're getting so much exercise. Joe And I'm glad that you enjoy the podcast Julie. Hughley joins us on the Clark Howard. Show Hi Julie. How are you great? Thank you Julie. You got a question for me about seeing your credit score. Whenever were you want all the time yes? It was on a credit card or like a dashboard. When you log in in its and the The company MCI at School But it was reports every month in I was like Oh i WanNa do that so I want let me ask you what so. Are you worried that it hurts you. If you see your credit score every month not at all I just I had heard or it was under the assumption that the more times. You have your credit poll keynote report pool that your score could actually take a day and you are right if it's initiated by you as a consumer four an application for credit. What's known as a hard inquiry? They call any credit card that we have the credit card company checks our credit score constantly at least once a month line and so they're paying the credit bureaus to check your credit. Because what they want to know is who do you see what happened with Julia. Here she did Blah Blah Blah. And if they don't like what you did they might immediately shut off your card with them or cut the limit you have have available or whatever or they may see trends with your score and may offer you something out of the blue where they say would you like a higher credit limit with us so the reports anyway right on discover was the first one who thought of this discover cover was like. Hey we're paying trade line price which is a very cheap price per person to pull your score every month. We're pulling these trade lines. Why don't we turn this into a benefit for our card members? And that's when they started this whole thing rolling of making your credit score available to you either either monthly or whenever you wanted to see it by signing in and then kinda spread like wildfire through the credit card industry. And that's why you have access us to your credit score every month from so many different places now and does no harm to you. It's only your your benefit will have a great day and I'm glad you asked because a lot of people worry and wonder when does seeing your credit report or score. When does it actually hurt you and win? Not and the reality is only if you initiate an application for a new form of credit that when pulling your credit is really going to hurt you any other. The time. The information should only help you. Tim Is with us on the Clark. Howard show Hello Tim? How're you doing? Great Sir Great. Well it's great to have you here. Tim You have a teenage daughter to Yeah I do. And she's Leach that impeccable age each of driver's license. Oh so she's been saving up for some time to buy a car which it'll probably that'd be another year. Of course you'll buy something us. Is this something she should spend as much as she's able on or do you think they'd be like got good cutoff. Level as far as monies went is just being the first car. You know you driver that sort of thing so as long as a car are has the safety features you wanted to have. I think spend as little as possible because the big problem with a young driver is is how phenomenally expensive. The insurance is wouldn't be unusual for the insurance to cost more per year than the car she might buy. Why is a very low cost automobile? That's a stunning thing for me to say isn't it You know we. We knew that was coming. I I just you know when you hear the words that You know this this thing with the auto insurance for a new teen driver has become such a problem. That teens in very large numbers are no longer getting a license as a mid teen waiting waiting till eighteen or older for economic reasons. I could see that I noticed that. I don't see near as many kids driving today as when when when I first and I and I'm in my fifties when I first started driving you know forty years ago. Everybody when you turn fifteen sixteen you were down at that. DMV MVP and less and less now and think of eighteen year olds now more than a third. Don't have a driver's license anymore. For because the cost of cost of auto insurance has become so prohibitive and I know this is weird but but for the driving pattern and most teenagers. It is generally cheaper if you live in an area with Uber and lift for a teen to get around and an Uber and lift then to actually own and operate their own automobile because of insurance side of it. Yeah that's interesting so you may find that with your insurance. I would call in and get an estimate. It wouldn't be an exact quote because because your teen is fifteen but call and get an estimate about what insurance would the additional insurance cost of her being an additional additional household driver versus her operating her own vehicle. Okay that's a good idea. And you you may eight find that her owning and operating her own wheels may be cost prohibitive on the auto insurance side. Okay I guess if it came came down to it we could just I mean we could put it in my name and we just have a two car family. I was GONNA check into all that once we got around but I just Kinda I go ahead. Go ahead since. She's already on a glide path of saving money. And all that I would go ahead and talk to your insurance now and find out what the picture sure is okay. You know. We're not that many years away from when we won't drive cars anymore. I know it's weird to think about that but the cars will completely drive themselves. And we're not going to have to worry about any of this and the cost of insuring vehicle. Cole that uses a I drive you even though there will probably be accidents but a much smaller number the cost for insurance will go way. Okay Way Way way down there some people who the idea of letting vehicle do all the driving is a little freaky to them them. But I can't wait till that happens. But what's the fun and that the fine you can watch a movie you can do whatever you can't drive that's right. Yeah but if people want to drive they'll still be able to. I compare it to if you go back to when you learn to drive you to drive with a manual transmission. I would guess. Oh yeah today. Do you think your teenage aged daughter is ever going to learn how to drive a stick shift no days no way and we're not far away from where even the idea of learning to drive. I've will no longer exist is a skill. I don't believe it I virtually promise it. Sandra joins joins us on the Clark. Howard Show Hi Sandra how are you great? Thank you Sandra. So beware of checks that show up in the mail Aw Yeah I got up rates on check from department store and I have had can't let them but I was. Oh really surprised that I got it. How much is the check for a hundred dollars in debt? Flat threw me off because it's an even number and was was there any explanation that came with the check. It just says below is a refund check for the credit balance on your account. It is possible that the refund check differs from credit balance. Shown on your last statement and it says if occurs any changes or charges after a statement you know was generating. It gave us the number to call if you WANNA talk to somebody so this is this is a store card that you have have that sent you a refund check yes sir and is it possible that you had overpaid your account or there was a credit you were do. I wasn't aware of one. Does that make sense. I got it so have you called the credit card company. Not at any number they list on the check or anything if you called to see if this is legitimate and you're owed the hundred dollar refund. No I just called the number that they gave me on the ladder. No don't do that. What did they tell you but ladder when you call that number? It was busy. I looked it up on the Internet Annette. The number they said could be used for scams. That's what the Internet. So that's important. Okay so what I'd like you to do instead. Is this. Call the number on your statement from the store credit folks. Okay and tell them you've received this check doc and you WANNA know if it's legit or not that you looked online and the number one. The letter is listed as one. That might be a scam phone number. Okay about calling the credit card number. Yeah that's all because there are any of a number of possibilities. Maybe it is a legitimate check. The you're getting. It also could be a fake check that they're using to try to get information shen from you and take advantage of you and so that's why talking to the source itself would be the right thing to do. You're listening to the Clark Howard our show. Thanks for joining us today. The Clark Howard show is produced by Kim droves Joel Lars Guard Debra emory's and G._M. Airs and remember twenty four hours a day. Where there to serve you at Clark? Dot Com and CARD DEALS DOT COM.

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11.19.18 Home prices slowing; Travel junk fees

Clark Howard Show

35:39 min | 1 year ago

11.19.18 Home prices slowing; Travel junk fees

"It's my pleasure to have you with us here on the Clark Howard show where it's all about you. And that Walla yours, I want you to learn ideas to me, so you can save more and spend less and don't let anyone ever rip you off speaking ripoffs I despise when you buy something. And after you bought it you get feed to death. Well, the airlines are becoming really expert at it and fees are rising again, I'm gonna fill you in on that in just a little while. So earlier this year, I talked about how the cost of houses around the country was out running people's ability to afford them. And you can't have a situation where the prices something goes up continually beyond people's incomes or rising incomes that when you take something like. Education and all the problems we've had with the cost of college. College costs have been going up generally at double the rate of inflation in the economy overall and two and a half times people's growth and income something has to give. And so there's been a moderation college costs with even a number of colleges cutting the effective cost that you pay. Well, let's take homes after the real estate bus last decade. We were in the doldrums for years, and then housing began a steady recovery and over the last six years housing has been going up way beyond the rate of economic growth inflation people's paychecks all the rest, and we've hit a wall. We've hit a point. Where the affordability of housing in much of the country is at a point where a lot of people are on what I called a few months ago buyer strike territory where people may have wanted to buy a home, but they were like. I can't. Or I won't. So now, the statue that home prices are in many places around the country showing a real moderation. So prices are not dropping except in a handful of places, but the end creases in prices that have been taking people's breath away the last six years that is really ending and you're going to see woods woods, obviously, so much apart of how supply and demand works is if people want to sell their home in areas where buyers are saying not so much it will require price cuts. I was reading some stats recently about how many home sellers have had to cut their asking prices. Now that contrasts with all the reports you've been hearing. In Harry, is of the country or at price points in certain cities where these bidding wars for homes and homes are selling for a lot more than the ask. But that is a side show. The main event is that we've hit this point where people are gonna have to sit and wait for either their paychecks get larger or for home prices to become more reasonable for them to be able to buy versus their income. It's not like a conspiracy or anything, and I do point out another thing. This is nothing like two thousand seven. We are not on the edge of a cliff where home prices will collapse. This isn't that at all. This is where that was a fever pitch speculative era with too much money chasing the marketplace. This is really a fundamental thing. We have not built enough housing units. In recent years it caused supply and demand to get out of kilter. And so the market is having to find new equal equilibrium. And it will force the marketplace to deal with both the pricing side of things and the supply side. So if you wanna stay on buyer strike for a while longer, the market may reward you, but the big news is that the big run ups and prices that we've seen that is now a rear view. Error thing Amy's with us on the Clark Howard show. Hello, Amy are Hari. Great. Thank you, Amy. You've got student loans that you're dealing with tell me about that. Are. Oh, my I didn't mind that I took out with for grad school it for a hundred thousand dollars. That's hilarious money. Isn't it? Yeah. It's it's just. Has the degree been worth one hundred thousand? It took me five years to find a job in my field. Oh, so I'm not sure about it actually being worth that amount. Okay. Do you think over a working lifetime cycle that it wind up having a good return on that hundred thousand or not even then I am hoping it seemed like a good idea at the time. When I first started school be market for that career was wide open lots of openings, and then I was in school during two thousand eight thousand nine and the market just closed on just now starting to reopen. And I'm I'm hoping that it will be something that will pay off in the long run. Unfortunately, I've not been able to undo it. If I could. But I am stuck with this with this loan, or what are you thinking of now, what am I thinking of ios for his handling the hundred thousand? Okay. So there I have a couple of options one is to it's a crude I was on income-based, and it has accrued now to one hundred twenty thousand dollars for the first five years the market being closed. I was not able to make a payment. So that's just been accruing on top of itself, except by being an IB our income based repayment you were staying current. Yes. I'm not in default. It's just no payments were made a have an option to take money. Bless my husband to take money out of his savings account to pay off the loan in full. However, he has that money saved up for retirement, and he's already retired. So if I refinance the low right now. Seven point nine nine percent interest. If I refinance it down to like a six and a half percent. It's still about a thousand dollars a month. So I was thinking of twenty year fixed because the husband is about all I can afford the new into this industry still earning insurance wages, essentially. So then we're looking at a hundred and forty thousand dollars just an interest over the lifetime of the loan. If your husband if he were calling me, I would I would be asking different questions. But since you're calling me and he's volunteered to do. It is less. It's gonna trigger a big tax do Bill for him. I like the idea of you taking him up on his generosity. What about his? It's his retirement. That's that's where the conflict is for me. It's his retirement. He's already retired. There's no penalty for him withdrawing the Cal. It's just in the money market or drawing withdrawing the money. But if something happens to me, he's stuck with no retirement. So the way you deal with that is you do a life insurance policy with him being the beneficiary. You could buy a level term insurance policy, really cheaply. And then if he's named is the beneficiary then that would eliminate that worry. Okay. So if you if you're going to pay him back, essentially, then you just do a note where you're paying him back. The one twenty. Obviously, you do a lower interest rate between the two of you. But you would eliminate the risk to him of your passing away prematurely by having the very inexpensive life insurance. Okay. That's a great idea. That's why I'm calling. So if he's alway on on paying it off then go for it because paying eight percent interest or even refining in the six and a half that's an ugly number for you to deal with especially if you're not making a great wage. Okay. Now, the alternative is. You know, you're eligible for alternately loan forgiveness on this loan. And you can service the loan and then after depending on which forgiveness program, you go into ten twenty or twenty five years in the remaining balance of loans forgiven. But in this case, I would short circuit that take the money and pay it back to him as agreed. And then know that you don't have to worry about what would happen to him. If you were not to be with us and everybody ends up. Okay. So and by the way, one thing I wanna to make sure I say to you, Amy. It is not your fault that the economy fell through the floor last decade. Thank you. Lots of people in your same situation who got out of school with a degree that should have led to a good career path that at least got put on hold like yours did. And people are just now emerging from that after years struggling with degrees that didn't pay off. But now the job market is so much better that the chance of the degrees paying off is so much better. Greg is with us on the Clark Howard show. Hello, Greg Clark. I really enjoy your show. Thank you, Greg. I wanted to ask you a question about I've been researching this internet of things, and these means MEMS, what was your opinion of these sensors, and I'd like to invest in it, and if any companies in mind, so there is no doubt that the what we call the IOT the internet of things is going to change so many. Things we do every day. And people wonder what that means like rang doorbells that are popping up all over the place. Right. The nest thermostats the way cars are having connective. That's all part of the internet of things. So yes, all this is going to be very much part of the future picking winners out of it. Gosh, I'd I have no successful strategy for that. Because so often the companies that are the ground breakers in being nobody do you do you? Remember company called replaytv? I do not know they're the company that developed the television DVR. Oh, okay. And there are a trivia question. Just like it was just now in for a while who ended up dominant in that space with the DVR company called tvos right now tvos I. Oh, yeah. I forgot I used to have a Tibo because now there are all these other DVR's out there so often the company that had first mover advantage that develops something is not the one that ends up with the gold at the end of the day. Okay. So when you make a bet like that, you have to look at it as a bet if you think of it this way, Greg that accompany may have a great idea, you may love that idea, you may even be willing to back that idea with some of your own money. But whether they're going to turn out to be successful or not who knows life insurance isn't the most enjoyable thing to think about most people don't like thinking about dying. But actually having life insurance is a really good feeling. It's nice to know that if anything were to happen to you your family wouldn't have to start a go fund me to stay afloat policy genius is the easy way to get life insurance online in just two minutes. You can compare quotes from the top insurers to find the best. Policy for you. And when you compare quotes you save money. It's that simple policy. Genus has helped over four million people shopper insurance and placed over twenty billion dollars in coverage, and they don't just make life insurance easy. They also compared disability insurance auto insurance and home insurance if you care about it, they can cover it. So if you've been voiding getting life insurance because it's difficult or confusing. Give policy genius try just go to policy genius dot com. Get your quotes and apply in minutes. You can do the whole thing in your phone right now policy genius the easy way to compare and buy life insurance or it is with us on the Clark Howard show. Hello, art. Hi, how are you? Thank clark. So what is it? That's frustrating. You well, I'd like to be able to travel from one major metropolitan area who an adjoining state. Visit my dad who's in a living facility and I'm flexible on day. I could pick up and go tomorrow. If there was a good deal on airfare, next, Tuesday or two weeks from now, or whatever I mean, I I have worked Rex ability that allows me to sort of miss a day on on short notice. And what might be able to do is track the effort and get the very lowest possible deal that I can afford to travel go down and see my dad, and then why back home in the same day that that sort of thing, but most travel sites they want you to point out a particular day. And so you're you're looking for areas day by day our to find the best deal. Right. So the three deep discounters are doing what you want. Want? They now at spirit air Allegiant air and frontier, which of the three hard discounters are deep discounters that you are in your savings because it's a different way of flying with all of them. When you go to search if any of the three serve the area, you wanna fly they put up a calendar for you. And they show you the fair each direction day by day for a two month period. Okay. So you can actually see. Well, gosh, there's a forty two dollar fair on Wednesday two weeks from now I like that what's the return in you see if they have a deal coming back as well. Right. There's no acquitted on the three full fare lands on American United and delta the fares. Are they're not into discounting at all really right now. It looks like some seats must go on Seoul. No, the the load factors. The percent of seats filled is at all time record highs. The airlines have become so sophisticated. It figuring out what the last seat can sell for. And so they're flying flight after flight completely full are just about. And so the the desire to discount isn't there anymore because American United and delta did was they parked huge numbers of planes in the desert and said bye bye to them in reduced the number of planes that they have in the air. And so they managed the supply. So they could control. They could demand fares from people wanted to go. So it's creating basically a three speed air travel market, the three deep discounters, I mentioned Allegiant frontier and spirit offering one kind of product then the mid price is like south west JetBlue virgin America, Alaska, they're offering a different kind of product more blend between those two extremes. But if you're trying to get down to see your dad at the cheapest fare with the greatest flexibility of when you go in return, absolutely frontier. Allegiant and spirit where you're going to want to get your deal. It's my pleasure to have you with us here on the Clark Howard show, where it's about you learning ways to keep more of what you make it annoys me so much when I travel. Stay in hotels, probably eighty nights a year, and so many places in the country. Now, the price is no longer the price with hotels people shop around online. They find a place. They looks like a great deal. They book it, and then oops, there's a resort fee or an amenities fee or a made up fee for who knows what? And then what's funny is that the ad on fees don't necessarily cover things like parking the property or internet, or whatever the fee is just a made up thing. Well, it's worked really well for hotels because they understand consumer behavior and that people when they're shopping around they're looking for the lowest Hoenlein price. They're not looking at the all end price. It's forced me to change how I shop for hotels that now and look at the all end price before I go to buy because of a lawsuit maybe more than one. But anyway. When you're looking at prices now, it has show you what junk fees, there will be an even if it doesn't loaded into the total price, it will say twenty eight dollar resort fee applies per day or whatever they'll say, but the sculpture will be there, and you've got to add that in you got to see is the place really a or not. We go to Las Vegas every year to bring you what's going on CAS. The consumer electronic show is the most expensive week of the year for hotels in Las Vegas. And every year we deal with this where hotel will show a price, but the price doesn't have that resort Fiene. Then you add that in and some nights of our stay earlier this year, the cost of the stay went up sixty percent. Once the junk fees were added in so be aware of that. No that because it's worked so well for the hotels, the airlines are doing it more and more and more they figure, hey it works for them. When people are price comparison shopping, people don't look at the whole total. Maybe it'll work for us. The airlines that we're going to a more complicated system. Take jet blue. They just went to the highest check baggage fee in. The country just about in the world. And it's a rhonette because just I guess two years ago jet blue the first check bag was free. And now the first check bag, I think is thirty. I don't ever check a bag. But it's it's a lot of money to check that thing in. What JetBlue is doing is all tied up with the whole cell up concept. So jet blue will have a fair that you see when you're shopping around for fares. But everything with its extra like the big baggage charges. But then they have another fair. That's just a little higher that comes with a free. Check bag is much cheaper to buy overall to buy that next fair up and get your free bag. But when you're shopping around in your looking at prices, what you see is that low fare on JetBlue, which works great. If you don't check a bag and used to carry on but follow with me for a second. What's going on with delta American United? And now Alaska coming in with one of these junk fares, these basic economy things where they can show up better in the airfare searches. But knowing that people overwhelmingly aren't going to buy that fair. And it's just a bayton switch. So no that because of the internet and our ability to shop around and the whole comparison shopping thing that we now can do everybody's trying to manipulate us. And so it's up to you and me to know that you get burned one. Shame on them. You get burned the second time. Shame on you. Do the work where you look not just that initial click, but what really is the total price. One annex. I wanted to mention to you with American Airlines with its basic economy fares different than delta United and Alaska. Where were delta United in Alaska often, you have just a little tick up in price to go from basic economy to regular Konami American on the other hand looks at basic economy, one of its strategies is specifically targeted spirit Allegiant frontier. And the basic economy that they sell in markets competitive with them may be half the cost or less with their regular economy is and then you got quite a choice to make. Christopher's with us on the Clark Howard show. Christopher you want to worship the sun. Is that right? Third, and why is the son? So great other than it makes me a much better mood. It gives us in solar power free power. Yeah. You know, I am. I'm the wrong person to ask about sewer 'cause I love it. You talk about it so much you're making me a love it. So do you have it or you thinking of getting it or where where are you in your head on it? Yes there. I'm thinking about getting solar power. And I'm just wondering at what point it would make sense for me to do it. As far as, you know, looking at how much I spend monthly on my electric bills fairly low anywhere from eighty one twenty for months is my typical electric Bill, and so just looking at whether it makes sense or not to fool the trigger and how long it would take me re recoup the money and stuff like that. You know, if your average power Bill, let's just say is twelve hundred dollars a year. It would take a long time for so where to pay off for you. How many square feet to your home around seventeen hundred square feet? Okay. So that's kind of a typical size home. So you may be looking at somewhere around ten thousand dollars to put in Seoul were at your home. Have you gotten any price quotes is that about what you've heard? Yeah. I just recently got a close, and it was for is ten thousand four hundred dollars. But that also included increasing the R value of my aunts late in the attic talked about the radiant barrier. A solar attic fan and new talk about putting it in new heat pump water hybrid. He okay. So that's a lot for ten four on the sewer portion. You're eligible for thirty percent tax credit. Yes there, and he was saying he did it all together that everything could fall under that thirty percent tax credit. So you didn't end up at a net of seventy two hundred dollars. Let's say for your net costs is that right or was ten four after the tax credit. I believe the tenth floor was after. Okay, ten thousand dollars. You know, it would it would take you a substantial number of years. To make that back. Maybe more than would make sense from strictly dollars and cents. Yes, sir. Yes, sir. Because what you're fighting against is you already have a very reasonable power Bill. So as much as I love getting free power from the sun. You have to weigh that money out front that ten grand up front, and I don't know that you're going to make it back in a reasonable number of years because your power Bill is not going to go to zero it's going to go much lower. But you might be talking about somewhere twelve to fifteen years to get payback. That's a long time. Okay. What's your thoughts on the hybrid e pump water heater? Is it looks like, you know, just looking at that energy guide sicker on side of mine. Mine says it's round five hundred forty one dollars annually and in the one that bared they're selling is one hundred eighty two dollars annually in those stickers are generally very accurate. So if you were to save three hundred and something dollars. Per year. How much is that portion of the home improvement? If teen hundred so that would be that would make a lot of sense. You wanna look for a payback period on any energy related improvement. You do of eight years less. Okay. So that would easily get done in less time than that. And would make perfect sense to do. Now. The one thing with the sewer that is the unknown. And it depends on how people would value it. The time you'd go to sell your home. Somebody very well might pay you more for your home because has the solar on it because they would pay much lower power bills. But if you look at it strictly from the numbers, you present it and the payback years, it would take installing solar. I don't think you're there at your house because you have been so lucky with how low your power bills are I don't think you'd get the real payback from it. Michael's with us on the Clark Howard show Hulo Michael Clark. Show. It's great to have you here. I'm very interested in your question about DNA testing. My family. We're wanting to do Christmas presents our daughter, and she would like to heritage profile and one of the things is, you know, they're multiple ones out there. And I'm concerned about, you know, water her risk as far as getting that information shared out into the world. And you know, what are the positives for that? And are there any products that you might be able to recommend? Well, I have never heard about a risk of buying one of these services that you can buy on the internet where you buy the kit, and you take a swab, and then they're able to do the the DNA on. You is far as that information being used in a way to hurt you that is never been on my radar. But you know, the number one thing people want from these tests is the ancestry. They wanna know background. You know, a lot of us have questions like what what are we all mixed with? I mean, I'm a I don't know if you know, this old old expression. I'm a Heinz fifty seven mutt. I have so many things that make me up. Who knows what all my parts are. So. You've got me intrigued because one of the services ancestry dot com. Has a DNA tests that you see directly vio- ancestry dot com slash DNA. Is this one you've looked at by the way is ancestry. Yes. We've looked at that. Particularly for us is my my life side, the family, her grandmother came rectal reservation with photographs of their family, and all and it. Oh, my side we have Semenov. And so we wanted to you know, see how much of that. She cares. Wow. So with these tests, I think you'll know what you're looking for. And you know, they do a pretty deep dive. Now, they have the competitor that I think is older for this which is twenty three and me they offer a health test, which is one that was very controversial the government got in their business about it. The gives you a full genetic breakdown, and it gives you fair amount information about your health. Health that would set you back two hundred dollars right and noticed that some of them they're doing doing research like DNA markers for early risers. And then -plication of that. And you know, people who are like you up at night, and those kind of things and that's couple concern Halley might use information that would it fall into the wrong hands at some point. Right. You know, I I don't know, you know, if employers do this stuff that freaks me out. His win any information. If you get your health coverage from an employer, and they say, hey, would have go have this test. The employer has access to all that information. There's no protection for you as an employee, and so agreeing to any of those testing programs the employers have comes with a level of risk. But if you use one of these commercial services, I guess you could fall one of the wrong hands and causing a problem. But I wouldn't worry a lot about that. Michael. I think that would be pretty far out there as a problem. Okay. Good because we're we want to take advantage of the new stuff out there. I'm actually a laboratory director, and so trying to elaborately versus you know, during those piece of research. And so I just thought I'd run it by you to see hurting thing will I already bought a twenty three and me. Okay. But I have no qualify. Vacations. I mean here you have qualifications to bring to the table. I have no qualifications that help me. Choose between the two right? I like the twenty three and me because also you can do the health check as well. Which is why that was especially interesting to me. But again, that's a lot more money. That's two hundred versus one hundred. It's time for ass. Clark. That's what you post a question for me on Clark dot com. And then our producer Joe reads your question Joe who do you have a question from Clark? We for Matt he says, this may sound stupid. But what are your thoughts of making two year old in authorized user of credit on a credit card with me? I'm very fiscally responsible. And I want to start building their credit history for a better financial future. Why did you wait? So long two years old. You should end this when they were two weeks old. No, there's no rush. And if you do want to make a child and authorized user. One of your cars to help them establish credit. The age most often recommended for people who who like this idea is age sixteen although fifteen sixteen seventeen right in there. And then you help somebody start to establish a credited entity they will start to develop potentially a score based on having a track record with that card IMO. They may not ever be in physical possession of the card. Many issuers will report them as an authorized user will report to the bureaus helping him create that idendity, but it to I don't know there's an advantage. There may be a disadvantage because an identity. Thief would have an even more juicy target of Dimity theft. All right speaking since we're talking about kids right now. Sarah says my son is going to be turning one next month. Here has plenty of toys. So I'd like to give him the gift of an investment. I was thinking. That of one that he could have when he turns eighteen or twenty one would be a good idea. What type would be best? Wow. So an investment account would be great. It was talking earlier about my favorite children investment houses. You could go a kids account at Charles Schwab. And pop one hundred dollars into one of the Schwab finds my favorite would be for a young child. The Broad-market ETF exchange traded funds kind of like a modern mutual fund. It costs no commissions to fund it. You can add to it as he wish there's virtually zero fee charged to you. It's close to zero it could be for having the account and by age eighteen would be potentially a significant amount of money. If you keep adding to it through the years. I love that question. You're listening to the Clark Howard show. Thanks for joining us today. The Clark Howard show is produced by Kim droves. Joe LARs guard, Debra Reese, and Jim Ayers and remember twenty four hours a day. We're there to serve you, Clark dot com and Clark deals dot com.

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12.24.19 Senior citizens and student living together; Tech companies enter banking sphere

Clark Howard Show

34:45 min | 8 months ago

12.24.19 Senior citizens and student living together; Tech companies enter banking sphere

"It's great to have you here on the Clark Howard Show where it's all about view and that Walla Yours. I want you to learn ideas me so you can keep more of what you make coming up later. The big technology companies unease are coming for your banking dollars. How good an idea is that? We're GONNA talk about it. Clark Dot Com our main website. Say where we got all our action for you with ways for you stretch every dollar in your life and Clark Deals Dot Com is where we keep you up to date on all the best deal shopping for Christmas. Okay this this is really interesting to me. I read a story done by is actually a TV story originally. There's the the print form from John Eleven in Minnesota. That did a story about a senior living center. The that took some of their rooms and made them available to college students from a nearby college so in the senior center students can live in just a small number of the rooms. It's called students and residents dissidents if they volunteer hours with the senior citizens so if a student volunteers ten and hours a month they rented the mansion including food mansion in the was actually referred to in this. TV stories as a mansion is converted into a housing facility. They get to live there. Plus have food four hundred a month if if they volunteer twenty hours a month. The rent drops to two hundred and the students benefit so much and the senior citizens are benefiting enormously apparently the colleges called Winona state school school. I'm not familiar with but I found that really heartening because so often unless somebody has. It's a close knit family with older relatives in it. People in their teens and twenties really are never exposed to older citizens anymore and many times. I mean let's be clear about this real about this a lot of elderly. Once they end up in some form of retirement home a lot of family never comes to see them and they're quite lonely so it's a win win to me completely for the students for the residents and what the students learn and what benefit from each other. I think is really great so there have been so many predictions with the massive number of baby boomers boomer anyway. With how many there are that. The demand for senior housing of all types is going to be off the charts. But do you know not not just here. In the United States but in other countries the demand for senior housing has turned out to be a lot at lower than demographers predicted. And the reason for it is a lot of people want to stay in their home in age each in place and something that used to be much more difficult but now is so much more available because of all the devices is that are available that allow somebody more independent living then they would have had in the past. And so you're gonNA find that as long as adult. Children are actively involved in an aging parents. Life Vet fit the technology even allow a child across the country to be able to monitor. What's going on with their ageing parent or just wonderful? I am reported on that. The last two years on television from C. S. formerly known as the consumer electronics show all the devices that allow for continuous monitoring in addition with the Apple Apple. Watch and with the new. The new Samsung Watch. It's now possible more and more by remote for someone to be able to know if there's any problem that needs to be attended to right away with their own health and also alerts going to to family members in addition to a number of services now that provide some level of care through home home visits at a much lower cost than it is for somebody to leave their own home and go into some form of institutional setting and I think that's GonNa be a continuing trend based on what I've experienced at the consumer electronics show. Why don't they just call it that? CBS means nothing right anyway. That's the idea and call your parents if you haven't done so recently suddenly. Sammy is with us on the Clark. Howard show Hello Sammy? How're you doing good or youth? Great thank you Sammy me. You want to plan out an exotic retirement or at least half Wa. I came to this is like Jenn years ago and by field. That is as talk of late so at the time I started I was thirty six. I WanNa see what's sway havoc with retirement where like and and also potentially help my son in College Matt is always the dilemma. You're forty six now know when I started. They are planning for retirement. I was thirty six. Oh okay I'm forty three now forty years ago yeah okay and how old old is your son. He's eight So you got a decade till the tuition bill start rolling in right okay. Okay so I'm going to say something. That sounds terrible and I've never met your son but he's not going to like me at all but your first responsibility on civility is to do all the tax advantage savings you can do for your own retirement. That's gotta come first because the reason that's the priority is there are so many different alternatives about how somebody gets through college how they pay for what they borrow. What's been saved all that where there's nothing like that for retirement? Where you live on in retirement is what you have managed to save over the years? So that's why even if it meant ten years from now if you're really working hard on saving for retirement that your son's I laughed with no money save for College. The college has got to be in second place or listen to show show a lot and I hear you sometimes telling folks They are late on saving and they are not saving enough. And that's kind kind of scares me a lot. I mean those folks to control. They were born here so I start late now. Well except except wait. Wait wait you told me you started started when you were thirty. Six saving money right. Correct the wait. Wait you gotta hear this. So you having emigrated immigrated to the United States started earlier than most Americans born here start saving for retirement. I didn't know that most people don't really think about it. And get in gear on that 'til they're after their fortieth birthday so you jump the gun for years on the average native borne. So you're doing great. Give yourself so here that so in the 401K. You have what percent of your pay do you put in it. It's percents rent and the company I worked for they match hundred percent of the six percent. So you're saving the equivalent of fourteen percent right now correct plus. I contribute for us as well. 'cause that's an option. I put there for percents. Oh so you're effectively. Saving eighteen percent of your pay correct. That's fantastic okay. So I'd like you just keep it simple. Boost it to take that roth up to six six percent good and then after that then it's great viewed open at five twenty nine plan and start saving for your right year olds college. I already did that a couple of years ago. There's just the problem is now With Texas can and respond to the responsibilities abilities mortgage and all that it's we're kind of behind of putting some funds in there in the five twenty nine nights. Okay because again that is. It's your second priority in terms of saving because when your son goes to college maybe it means he has to go to state school right. Maybe it means. He spends his first two years at a local community college or college to four year school. That's you know he can live at home and and and Dr Two or take public transit to right right which is an option. We have very good community college that he can start off there so I don't don't get in the case of the kilts. I hear some guilt in you and your voice not guilty. Just he's my only son. I'm sorry the two at the age where I'm at now. I'm trying to nets pay. I'm not gonNA give him a gift to go to college for free. I'm going to have them ward for it contributes view it for himself and help him without him knowing that it. Just I'm trying to be ready to prepare myself for that. Like whenever he needs me to be there. Well well you are a phenomenal person and obviously a very loving caring great dad and so the the five twenty nine with the ten years. Here's you've got till college whenever you can afford to put money in it. Put it in that. Because that is the most effective vehicle because the money grows tax tax free and it spent tax free and depending on your state there may even be at state tax deduction or credit for making the contributions contributions each year up to a certain amount of money. Got You if you don't mind. May I ask one more question. Go right ahead. I heard you saying Dan about finance advisors and planners and Barth Mike Compensation that stock market and I heard Teufel stories about people. They put all their retirement saving with finance advisors in order to have better retirement and probably probably fixed income but they lost everything now. What is your recommendation of? Finding I said did and it's kind of hard competition money on Detroit's to be together but right like as good as possible place. Where like start off? Aw well you may not at this point need that because most of your money is spoken for. You're doing the smart things already with what you're doing and the traditional 401k and the Roth 401k the big employer match. You're doing everything as you should. But if you you want a checkup you WanNa talk to a financial expert and get a checkup. I can recommend Garrett Planning Network Gary Eric Late G. A. R. E. T. T. T. Garrett planning network. I've got a link to them and Napa on my website National Association Personal Personal Financial Advisers. But in your case using a Garrett person just to give you a checkup talk through your goals and what you're trying to do. They just is charging hourly fee for it. They don't push any investments and said. That would be what I would do next. If you do WANNA I wanNA have your temperature taken on how you doing overall with your money and best to you and your son. They say breakfast is the most important meal of the day at they see hotels we agree. That's why European inspired breakfast features pursued a slice razor thin and fresh croissants imported from France all served in. AC kitchen talk about a wakeup call AC. The hotels the perfectly precise hotel. If you WANNA follow me on facebook go to facebook dot com slash. Clark Howard our web address. Clark Howard Dot Com. You got a question for me go to Clark Howard Dot com slash. Ask Tina Road in and she said Clark how do you feel about investing in blockchain stocks. Blockchain is a buzzword right now because blockchain is going to be a lot of how money accounting accounting and transaction accounting is handled in the future. It's it's a system based on Using technology to to create real trust between parties. That don't necessarily know each other and it's part of what the architecture is behind nine a lot of the discredited crypto currencies but just because so many of the crypto currencies turned out to be frauds or disasters doesn't doesn't mean that block chain is a disaster on the on the contrary blockchain is going to be something that will have great prominence moving forward. It's almost like a cloud for having an electronic ledger. I I don't even know the best way to explain it. But the problem is we don't know in the blockchain space who is going to end up being a player that is successful overtime and stands the test to time so any investment in any organization that is involved in blockchain is a highly a speculative one at this time. And you have to look at it that way. That blockchain is a real thing whether any player in it is going to be a real success. Who knows it's gotta be money? You can afford to walk away from our Clark Rhonda Road and she said if you claim that credit repair services are rip off. Clark how come I see those advertisements on your website. The ads you see for something like that on my website are being served up by third parties and whenever something appears that we're aware of a lot of times we're not we only know after the in fact when an ad server put something on Clark Dot Com or Clark deals dot com and if we find out about something and that is a problem we are able after the fact to block it from appearing any more and the ad thing is always a problem album with what I do on my radio show and what I have appearing on my websites because we don't have before the fact control control of the ads and so just because you see something advertised either on one of my websites or you hear something on the radio show or you see me on TV somewhere and you see an ad run around it. It doesn't mean that I have any knowledge of it control of it or approval of it. Who Do you trust with your money? This is the Clark Howard show. And we're about is empowering you with knowledge so you can and keep more of what you make but the question I just asked. Who Do you trust with your money? That wasn't about me that wasn't about our show is about this. The big technology firms and smaller ones are going heavily into bank type things and whether known on his fantastic's or offering very different ways for you to handle your money. Save your money and invest your money. Honey well the big technology firms are all looking at this as something to do and Mackenzie and company survey found that people of the big four technology companies overwhelmingly trust Amazon. More more than the other three is a place to handle their money. And so spend rumored for years. That Amazon was going to get into into offering true financial services banking saving. Who knows what else and so far? It's been quiet on that front. The Google and a Wall Street Journal the exclusive report is setting up a banking operation as a joint venture with a Credit Union and was Citibank and people do trust Google old very heavily not as much as Amazon very heavily to handle their money and they trust Google more than apple and the one company me. People don't trust at all with handling their money. According to this survey facebook I mean facebook has so trashed its own reputation. IT IS A. It's a serious thing going forward because facebook has not shown a respect for for the people who use facebook and instagram. In terms of what happens with their information how it's manipulated how it's used used by others. And that's a long term issue that undermines facebook's credibility in the marketplace but Google which probably has more data on people than facebook is trusted more than two one to handle your money versus facebook. The thing is I don't care if you use Amazon Google or apple for your money I don't care if you use one of these fen tech's the big news for you. As as a consumer is that change comes from without not from within traditional banking has not been able to effectively typically change its stripes and the new good deals that people are getting are because of the competition coming from outside aside traditional banking and think of the changes. It's brought about like all the deals available from online banking. Do you know where they had originally came from. It came from a European company that came into the United States and open opened the first ultra successful online bank called I n g direct and it was a huge hit. Hit Probably fifteen years ago. I guess out when that kicked off. And they were the catalyst that led to all all the good stuff that's happened sense with online banking and so the bankers should be really fearful earful of what's coming from the innovators since they have so much trouble innovating themselves and one of the reasons banks do is not like they're idiots but people grow up in an industry and they have trouble thinking outside the box and then in banking you who have ongoing problem with legacy computer systems and mergers of different financial institutions with each their own. Different Front legacy systems and they're really antiquated and their high cost. Their operations are very high. Cost so look for all the change coming in banking and who knows. Maybe you'll even WANNA do your banking with Google. I'll be your choice. The great thing is that you're going to have that as a choice. Billy is with us on the Clark. Howard show hi billy? Hey Clark I appreciate you. Give me some time for advice. Absolutely billy in two thousand and nine. We decided to double the size of our house. And we took out a fixed rate mortgage of five percent on that. And you're GONNA retire in about five years and didn't didn't it didn't bother me to own a mortgage but I did just get a fifteen year note on that and before I retired. I moved my four K.. Money all of it into just to government securities. Well I thought we'd that have been paying over the years. Five and six percent thought. Well that data cover my part of my mortgage every year but is you know the when the mortgage debacle hit then. The interest rates went down to zero. And I've only been getting one point something percent percent on my thing until recently it has went up so they've changed the rules on the four one K.. Where I'll be able to just draw out enough money to pay off my mortgage which I'm I'm going to say some somewhere around forty something thousand would be to pay off and and I wanNA know if that would be feasible to do that and how I got a five percent note that I'm paying every month and only been drawn enough money out of my 401k to make the payment on the mortgage says all have been drawn out of it but I'm sixty nine so another year and a half? I'm out to draw it out anyway where I want to or on this wondering if evil I couldn't do you live on month to month. What money do you have to live on the sides 401k? I was a federal employee on the first and so I get to retirement some of my first which is a pretty good retirement and I get also draw ASSOC- scared because they both of men so how much of your monthly living is covered by the pensions zig cover everything. Yes yes Even even my wife is you turn sixty five this year and so she's She never worked enough to drive home issues drawn. Half of my what I'm making and so yes. We live just fine as I. Just get the money out of the four one K.. To pay more so as an alternative. Because you have now this money that you didn't need to live on that's your wife's getting every month instead of taking withdrawal from the 401K. Join K that would cause you to have to pay tax on it. The you don't need to pay beyond your required minimum distribution that starts next year. Why don't you just step up what you're paying on the five percent mortgage every month by throwing all the money at it that comes from your wife? Social Security check couldn't broach that subject to more thank you take the equivalent from your own social security check since you don't need that money anymore now that she's got her coming in or Y'all split well we could do that. Yes because I would not do a withdrawal of you said it was forty thousand laughed it probably in the forties he. I don't think I would do that. Because why generate tax when you don't need to and just go with the required the minimum distribution schedule and withdraw in the dribs and drabs. He'll be required to do each year and take some of that surplus social security money and use it to be in a position where you pay down that mortgage quicker and not necessarily all in one fell swoop. You'll do it pretty quickly now. Having the additional social security money coming in. And if you don't want her torturers but you know you have enough money to live on just take yours and throw it at got it and get that taken care of. Rick is with us on the car. Coward show Hello Rick. Hey Clark. How're you doing? Great thank you rick. So you're you're pretty good at making things happen in your life We're trying we We made a lot of changes recently. You too are Daily finances trying to get out from under a huge amount of ood. I'm sorry you had a lot of debt. We did it. How can I help you then? So in addition to clearing up some of the monthly expenditures in applying all of that money towards one large dead at a time. I'm looking looking to do a second job and I consider doing one of the drive jobs but I really don't WanNa be behind the wheel and I found one of these large nationwide chains where similar her people can order up manual labor. Any kind of things like that and so I signed up for that but I'm concerned about liability anything. The need to be aware of before I go into this. So which one are you looking at handy or tackle or task rabbit or trying to there. There are several of them that we've talked about on the show. It's tackled tackle. Okay so they all pretty much have a similar business model and what happens is people go look for somebody who can do a particular job for them and as you build up a customer base of people. Who've who've availed themselves of your services they post reviews and the more reviews you get is is the and they're good the more people are going to want to use you and you're basically commissioning out the referral Carol Service and it's a great way for you to supplement income? And if you're good at what Oh you do. It's GonNa work great for you know. A lot of people have a lot of different things at their house that they're just not going to be any good at like me and so- hiring someone off of one of these APPS can be a great way for me to get something done. I couldn't and find my way to do myself for you. You mentioned liability. What are you worried about somebody getting at you for so one of the terms of service? I read it in detail. If there's any kind of damage to the property or any mistakes made things happen. The company has a blanket coverage coverage policy but I would ultimately be liable for any damages that I directly caused so my dad who owns his own company suggested that I opened an LLC. We'll see which would protect my personal property in the event of sending kind of major issue. And you certainly could do that. What kind of assets do you have your? You're looking to protect home vehicles. And do you own your home free and clear or have substantial equity in it as some equity okay you know you could go the LLC route if you wanted to but give me a sense how much equity do you have so we about the house about a year ago and we walked into about forty thousand and I think it's appreciate is another fifteen okay so you have something there. Somebody might try. Try to get so the other alternative. That may be cheaper. Because you don't know that you're really going to like doing this us and all that to go the Yellow Sea route. You may find. It's better for you to get a liability insurance policy. Okay rather than go through the steps of doing an LLC. Do you have an insurance agent or do you deal with an eight hundred number company under numbers so you can you. You can try and see if if they sell liability insurance for what you're looking to do or you could call an independent agent agent and get a quote from him or her. Okay thank you and it depends on the kind of activity. You're going to be doing. How how might she really need to worry about somebody coming after you? What kind of things do you think you'd be taking jobs? Well it ranges from doing like home theater installation which is pretty benign up to like Small amounts of landscaping moving furniture. And things I don't forsee like you know. Catastrophic damage happening just would hate to put myself in a bad position. I don't hear anything and I'm not a lawyer. I should point that out but I don't hear anything from you. That sounds like you need to be really really extra worried about the liability side but but if you want to be extra cautious I think start with the liability policy okay. I wasn't even aware that. Thank you very much sure. I'm best to you. Congratulations on your success today. In digging yourself out of prior debt. It's my pleasure to welcome Ken to the Clark. Howard Show Hollow Ken? How're how you doing? I'm doing well thank you. Can you got a question for me as a homeowner. I'm guessing yes I do. I've if owned a house for twenty two years and had gotten married and had a kid and outgrowing my save my residents and we want to upgrade and I was looking I heard about this company that online. That will buy your House House for you and let you move in and it sounded too good to be true as it sounded perfect for you know what we were looking at doing. Well actually it's a hot thing in the country right now and what these companies do in not every we city has these companies that will buy your home basically immediately. You don't market your home normally or anything like that. They you just by it from you is. They're looking at the median home price in a market plus or minus twenty percent. They're looking at the great middle of the housing market where they can pretty much figure out. What Fair market value is going to be for your home home and then they make you an offer that will be enough west that they can buy your home? Do whatever repairs or decorative things they want to do to get it back on the market and sell it and make a profit with the idea being they you want to turn a home and like six weeks now. Part of what. They had mentioned that they buy the house. You want to move move into and so you can move into it before your house even sell. Well you can do that. That is a a strategy. That is like a sideline to what we're talking about here and I know one of the companies that's buying homes as is doing that I think it's not yeah. KNOCK DOT COM and It sounds 'cause I mean to sell Your House and buy your new house every all the timing that has to happen. You know. It's like the perfect storm has to shoot her and I it's what happens to you if your old in home doesn't sell an period of time. Do they buy it for their normal trade end price from you. I think they give you the value for once you you close with them all right as long as as long as you've got that assurance because generally with the other players that that I know of our offerpad an open door and again not every one of these companies is in every city. They're learning how to do it in a handful all the cities and then they grow is most of the efforts are based on just buying your house. You are done with that and then you know you're you're okay to go buy your new home. The big question with any of these is the price you're being offered for the home. You're selling a good price for your home. You're listening to the Clark Howard show. Thanks for joining us today. The Clark Howard show is produced by Kim Him droves Joel Warriors Guard Debra reese and GM airs and remember twenty four hours a day. We're there to serve you Clark. Dot Com and CARD DEALS DOT COM.

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1.24.20 Clark's self-installed $8 a month security system; Clark Stinks

Clark Howard Show

35:00 min | 7 months ago

1.24.20 Clark's self-installed $8 a month security system; Clark Stinks

"So glad you're with us here on the Clark Howard Show where it's about you learning in ways to save more and spend less and don't lie whenever rip you off coming up later we're going to have Clark stakes so I want to tell you a story. We had a burglar alarm that was aging out and and the the equipment was too old for the modern era and it wasn't really compatible with the new things I wanted to have. which was integration are? You shouldn't of cameras and various things that will be able to be added module early to new burglar alarms so I got a quote on getting modernized burglar alarm. And you know I won't sign a contract so the equipment it quote comes in at twenty seven hundred dollars. And then the monthly monitoring because I wanted wireless and backup and all this stuff stuff was going to be twenty five dollars a month three hundred bucks a year. So that's three thousand just in the first last year and then three hundred each year after that and I was like this is crazy here. I am touting these self install alarm systems. I've been talking about him for years. I I saw one see the consumer electronics show years ago. Oh and I've had producer Joel on the air. Talk about how he bought a self install and has moved it twice over the years. Ah He and his wife have moved to other dwellings and I was like what. Why can't I do this so I looked closely? Asli at three of the systems the nest system the ring system and simply safe and I I looked at what the cost of the hardware was the various pieces of hardware that came with it. How adaptable it was to add optional? Features here's what the monthly monitoring was and I ended up choosing the ring system. Ringing ended up at Costco. Cost me one hundred seventy nine dollars when they had it on sale and it came with a lot enough door or in window pieces and all that came with motion sensor came with an alarm. You know the The noisemaker and of course the key pad for one hundred and seventy nine bucks. But that wasn't what sealed the deal for me to other things. Supposedly it was really easy to install second we already had ring doorbells. We had two of them at the House so we already were integrated with that and had a couple of ring cameras. And they would fully integrate with the alarm. And the third thing was the clincher. The monitoring one hundred dollars a year for professional monitoring eight dollars fifty cents. We had a false alarm just days ago and it's so amazing you can go on the APP on your phone. You look and you see. Nothing's what's going on and reset the alarm remotely and when and when the police call not the police the monitoring station called and my wife was able to say false alarm bad on us. Don't send the police to everything it was supposed to do except I am in competent. My brother only as an observer who's really good at doing things around the house. He's very handy. Fill me doing this and just kept laughing but he. It was not allowed to help me so I had been told it would take me fifteen minutes to install because all the contacts are wireless and all that it took me almost three hours and that still do it again because of the amount of money I'm saving is so huge and the adaptability of the system is so great but I also had a problem. That was a quality control problem from the ring in people three of the components in this giant Warehouse Club pack from Costco Three of the components were dead on arrival. I called tech support at rang. Got Somebody who was fantastic. We were on the phone a long time and he was able to get to those three three things working again. The third one a one of the core contacts you can use them door or window. My case I was using the door was his dead on arrival is still dead so not good quality control but once I got rolling I got everything installed. It's been great but then you know if you listen to me a long time you know. I'm obsessive about smoke and fire and carbon monoxide. So they sell something thing. That's really weird. It's a listener. So you install these listeners. By you're already installed smoke hoped detectors and carbon monoxide detectors. So Costco doesn't sell those. I went to best buy got them thirty five bucks. A piece installed the old two units of that in the House and now if there's smoke fire or carbon monoxide it actually. Here's that weird pitch trips the alarm and you know there's a problem when you're not home so your house doesn't burn down or whatever because you don't know that there's smoke and fire going on in the house. So you got to add in the seventy bucks spent for those so it costs me including tax about two seventy five to install the whole thing and at least for now. I'm thrilled and we'll see the over time. If it remains reliable as new features become available for by those but the integration is great. Also have five five of the wise cams the twenty dollar cameras. So I've got like full coverage so if that alarmed trips and I want to see if there's any any bad people running around the house I got it I can see and I'm protected for a very low price. You can see yeah. I've got an article about mad decision making process and what I did at Kark dot com including video of the box when I started the conclusion and my confession of incompetence as well betsy with with us on the Clark. Howard show Betsy Hello Clark? How're you doing good good? Hey I wanNA thank you so much for all your advice over the years and thanks to your team absolutely betsy. So how can I serve you today. Well I one of the fortunate ones I have a pension through my work. I have question. I know. I'm very fortunate and I'm I'm just wondering about taking the single annuity versus the joint and providing some income from my husband. If I pass I. The single annuity would provide us A twenty four hundred dollar Increase per year. So what's your advice on the single annuity versus the joint. And is there anything I should do in lieu do if I do take the single annuity sure. That's a great question. So you said You'd get a twenty four hundred dollar larger annual payment. What is the total total amount? You would get in a single if you pay just to yourself per year. I believe it's right around around. Forty thousand dollars okay. So you're talking about a very small haircut to have is life plus fifty if you include your your husband right because half of what you would get right so this is this is all a gamble and it's an educated guess kind of mixed in and in my case I also have the good fortune of having a pension and that's a fantastic pension you've got and in my in my circumstance. I had the choice of me only or my wife at fifty or my wife at one hundred so I took a big haircut to have my wife at one hundred so that I would know that she was well taken care of for years. Women in her family live forever. Men In my family don't live salon. So odds are she's going to have a long time getting that. So then we talk about about your situation How would your husband pay for his life if you did die before he did well we do? They have a substantial 401k. put together so he would probably have that then he's got social security of course but talk the pension would be an addition probably. Be You know a nice on top of the 401K. Sure it would be fantastic. I mean he'd you'd get you'd get twenty grand a year approximately after you were to pass away. That twenty grand could be extremely useful. Should I take out a life insurance policy for myself in lieu of you know taking that single are terrible. You took the words right out of my mouth because many times that that will be required by your employer. Oh really or they'll require your husband to sign a waiver saying I give up any rights. Usually usually what people do is they do exactly that if your health is really rock solid you could buy a life insurance policy on yourself. You hope you don't need to use it anytime soon. But then it would be the equivalent of replacing the value potentially of of the of the pension payout so hugely a universal life. You know no no universal life universal life is dangerous stuff. Okay so you could buy a whole life policy if he wanted it to be what's referred to as permanent but in order to make the numbers work you'd probably find the you wanted to buy a level term insurance policy where the premiums with stayed the same. Let's let's say twenty years in only cover that period of time and see what it would cost you for twenty year level term insurance policy versus just the possibility of taking haircut. Twenty four hundred dollars a year. Okay well thank you so much Clark. I really appreciate appreciate your. I should tell you the amount that you would need would be roughly a quarter million in face value insurance to equate to the value. Oh you of him getting twenty grand a year from the life from the pension very good. There's no perfect answer here right right. It's a hard one and his health matters to well. We're pretty. We're both in pretty good health house so call right but either are good things to do. Because you're protecting himself in. You're protecting yourself yourself and you have peace of mind that you're protecting him as well right so life insurance or just keep it simple. Take the reduction of twenty four one hundred year in know that he has nice protection in the event. That you do die. First Scott's with us on the Clark Howard Show Hollow Hollow Scott how you doing. I'm doing great good afternoon. Clark Scott You WanNa take a wonderful trip in the summer looking important to it. Finally getting over to Scotland and what months of the summer. A you thinking of going. We have an event that we need to be July that's already I August first and August second so I can go to Europe during the most expensive few weeks of the year. This time we do yes. Oh Man all right. So you're you're making me work hard here because you know you're violating to Clark rules else you pick the destination and you pick the date instead of letting the D. l.. Drive your trip so I got to come up with ways to save you money. Don't I well yes. I have flexibility on the destination as far as I could possibly fly into London or anywhere and travel up. So I've got some flexibility on that and whether I go in before or after that we can my oldest brother who spent four years traveling the world with his wife Found that for them when they were going to Scotland going to Ireland saved them a lot of money food Ireland and then paid like nothing like Twenty twenty euro to go from Dublin to class. Go okay. We'll world into that so that's a possibility is to do that. But the more important thing now for getting affordable travel to Scotland is where you leave from in the United States not necessarily surly where you end up landing because the fares to Europe generally and this has been especially true for Edinburgh and Glasgow. Is that the fares out of New York. City have been so much cheaper than most anywhere else in the United States and with how cheap domestic fares czar in the US that really look closely. It Fares out of the New York Metro area. Airports Okay Eh. Do the fair alerts on Google. Flights Yes so setup affair alert from your hometown down to your preferred airport in Scotland and then also to Dublin and even go as far as is If you really want to do everything you can to get a good deal. Check out of London. Maybe out of Birmingham mm England. And they would say Birmingham Birmingham however they said and Manchester and then out of New York. Mark do all New York area airports on your google search google dot com slash flights. And maybe. Because you're already inconvenience. It's your yourself going from home to New York. Maybe only check Glasgow and Edinburgh and Google. Flights will also give you predictive. You've analysis of historical average fares and be able to light you know on a pricing chart if the fair is good or not right now okay. That's great so google flakes or the tool to use is it typically better to buy. Health are ahead of the trip is your experience. There's so much disagreement disagreement about that. But I like buying European tickets about a month and a half out which upset so many people. They can't imagine. Imagine waiting that long but really if you let the historical markers on Google Guide you. You'll know when it's cheap enough that you're you're not gonNA freak out if it gets cheaper later so I think you should be just fine and have a great time. The Marker Fair you WANNA look for out of the Northeast East for summertime is something in the fives round trip under six hundred. It's great to have you here on the Clark Howard Show where it's about your empowerment our moment with knowledge. So you can keep more of what you make. That's what we're about. That's what we do here on the Clark Howard Show but you know there are times that Eh you're listening to go Did he really just say that referring to me. What was he thinking referring to me? He's just really stupid. Also referring to me. So that's why we have car dot com slash. Clark stinks. It's where where you can go post where you feel that I blew it that I gave bad advice. Bad Guidance missed the mark and then once a week producer Krista goes through your posts on Clark Stinks and shares her favorites with you right here on the show. I should've never encouraged to speak. I think I'm pretty stupid shamed. Maybe maybe maybe you're right Clark you actually. I'm just going to say really really quick. There's a few there are few themes throughout this car extinct so I'm going to read two posts about electric cars to start car. Continuously promote electric cars is the best thing since sliced sliced bread cheese slices. What you've got to address is that gasoline driven vehicles pay a tax on every gallon that's pumped trump to pay for the upkeep of the highways and bridges? They travel on to the electric cars. You Hawk such as those who own drive on a cushion of air and 'cause no wear and tear John John. What a wonderful question and in my state I pay a punitive tax for driving an electric vehicle vehicle which is set each year at three times? What the tax is that? A typical gasoline vehicle would pay for the miles driven and the state gas tax will be collected so I live in the state that the legislature is extremely hostile stole to electric vehicles in. That's why not only my paying for the roads and paying three times my share so there are other states that are giving a free ride to electric vehicles. And that's not right. There should be not a three times charge but there should be a fee charged each year to make hey cup for the lack of gas taxes that someone driving an electric vehicle is paying because we all have a responsibility to fix maintain retain and improve our road system dear Clark. I was shocked at the accolades heaped upon the upcoming electric cars. You've never mentioned the elephant in the room. Room of all the types of batteries made. None of them lasts forever all too soon. Every single one will fail. How long will these car batteries lasts? What's the cost pasta replacing them get ready for the jolt of Your Life? Roger Roger Thank you lots of volts causing jolts so Battery Technology continues to improve. I was talking to someone who's had an electric car for six years. And he's had a two percent degradation aggregation in his battery capacity over those six years and seventy thousand miles on his the early electric vehicles also particularly the Nissan leafs had a massive fail on their battery systems and created an enormous problem. With what do you do do with all these batteries. And then the cost replacing was cost prohibitive but the technology is moving pretty quickly. And we're getting to a point where the battery life will probably be measured in decades. And that's going to be quite a breakthrough. In addition the range of electric vehicles is getting higher and higher every year and my vehicle goes three hundred seventy three miles on a charge. I just love Clark so much that it's really hard for me to say the words Clark Stinks. I often hear him tell listeners that want to build credit for their children instead of getting a card in their own name they I should add them as an authorized user. I did this myself and it has been working out very well for my college aged son and I also did not give him a card. Here's the cork stinks part. I think he needs is to include the caveat that they should only do this if they themselves have good credit. I never really here. I mentioned that part and I think it needs to be said Jennifer Jennifer. I've got I went on this topic yet but I do stink if I don't emphasize that because lending your credit to someone else is only good. If if you have good credit via bad credit you instantly give the person you make an authorized user a direct mirror image reflection of your bad credit so only if your credit score is above seven twenty should you add somebody as an authorized user. Add One of your kids. It's an authorized user user twenty year cards to help them build accredited entity in a credit score. And Tom Says I've always appreciate your honesty and integrity. Which is why? I'm surprised I'm Benue about this. I've heard you advise parents to add their child to the credit cards authorized user but not let them use the card for the purpose of helping establish credit this is wrong long at many levels the chows presenting themselves to the potential lenders as something they are not their credit is not. There's they're deceiving lenders and thinking they're able to effectively typically manage credit when they may not be able to secondly. This advice does not help. The child actually learn to use credit. Apparent wants to help their child. They should add them as an authorized user Zor and let them use the card and make payments accordingly or they can apply with the child as a cosigner either way. The child's learning to use credit responsibly is able to present their own own credit. History to lenders not someone else's let's encourage honesty and integrity not deceit. That is a very well thought out post and you make a very good points and one of the things that is absolutely true. Is that teenagers typically with their first I credit card blow it. They tend to charge what they can't afford. They tend to have very high interest. They tend to neglect to make AAC payments and can really foul things up for themselves. I think how many times I'll hear from someone who is mid to late. Twenties and they'll relate how they've had to rebuild their credit after really messing up with their first credit. They got as a teenager. So your points are exactly on one point and I'd say this is a point for parents. I me- times. I'm going to say the word point for parents to know. This can be an issue shoe and take the time to really educate your son or daughter about responsible handling of credit. Now let me go back to the authorize user thing this. This is one of those things where life isn't fair so there's a correlation apparently between a parent with good credit score and the likely credit score score that a kid will typically maintain in adulthood so apparent with a good credit score will tend in. It'll it's a trend trend. Not An always will tend to have a kid who will grow up to have good credit scores as well and we tend to pick up by Moses or whatever the spending and credit habits of our parents when you speak about numbers usually income you make reference to moderate stratosphere high or low you must realise this objective. Everyone's view is different. Fifty thousand dollars in income may seem like low income to some and high to others others be specific so we can retain and apply your knowledge to our situation more effectively. Patrick Patrick thank you. This is you're pointing out one of the most difficult conundrums that I face on the air. Is that when you look at the variation in cost of living from one part of the country entry to the other especially you look at both coasts and the ten largest metro areas in the country. The cost of living is much much. I chop tire than virtually anywhere else in the country. So where an income mate support a comfortable middle class life in a lot of precip codes in others you. You can't even get by on that. So that one's a hard one and I'll think through a way to communicate that more effectively when I do talk about ranges of incomes Clark I know you like technology but while you recommend a fifty five inch television please advise listeners listeners. About the increase in distance from the screen as well. There's little or no attention paid to radiation coming from electroncs between cell phones ipads TV Alexa Access. Solar panels electric cars. Our bodies are not equipped to process the build up of ems. Why babies should not be next to a baby monitor but across the GRIMM? It's a tough subject. But necessary. Given the intro of five G.. Soon respectfully Debra Debra thank you for your post. You're talking about an area that I have no no knowledge about at all or understanding so I appreciate you giving that perspective and I read everything. I'll see if I lrn more about what you're referring to Clark. Your advice backfired on me. I origin item from Amazon and left it in my car to see if they would offer me a better deal free. He's shipping. Maybe I went back the next day to check my car and there was a note. The price increased to twenty twenty five percent. I emptied my car and went back. Act to reorder and the price was nearly fifty percent more. I ended up ordering the item from a different website at the original price so actually in the end I guess I still one. Steve Steve Steve. You are in post graduate school for how to handle your money because I love it that you experimented with abandoning your cart more often than not that will generate a lower price not a higher price but when Amazon ran that price. It's up on you that you didn't just say how well I have to pay the Amazon price. She went and shop the market and got the original price. So that actually says as you're doing things just right sometimes it'll work out exactly as I said abandoning the cart and you gave an example. Where did not but you didn't give up and take the hit your wallet? You still found out how to meet your price Clark builder and I just listened to you telecom to stay away away from new construction. I build good quality homes and good areas at a reasonable price new developments or good for the economy of the specific town. NOT EVERY DEVELOPMENT DEVELOPMENT GOES BELLY UP. Try to stay away from this topic. You're off track David. David and I'm not trying to hurt your living or income or anything like that. Statistically people get more value per square foot they pay a lower price per square foot buying a used home rather other than a new home. So I say that to people but overwhelmingly people by Especially first time. Home buyers want to buy new homes so so just trying to get people to think not trying to hurt your ability to earn a living Clark. You're doing a disservice to your listeners. By advising them that five twenty nine plants should only be used for children who are likely to attend college. Many people think college means a community college or traditionally traditional four year university however the definition action of eligible institutions is broad and includes trade schools or vocational. Training Nats from Jenny Jenny. You're right the reason that I emphasized this is college. Is that the cost of college versus a State Supported Technical College Vocational College. I mean it's a completely different scale. Intuition cost and generally state technical colleges are so inexpensive that putting money aside is not that that higher priority is more important that you put money in your own Roth IRA. So when I talk about five twenty nine I really am emphasizing thinking about traditional for Your College Grad School. Not sure if this is the right category but I love Clark stories of random acts of goodness just hurt his story about out Tania and her inability to pay her tuition and a stranger paid for her. I wanted to share my experience while at the post office a woman was. They're sending off about ten large boxes of toys. Choice Moore Organization for Foster Children in Saint Thomas when another customer heard what she was doing. He offered to pay the cost of mailing these packages. The cost was somewhere between eight hundred and a thousand dollars amazing. Thanks Shirley thought we'd end on that. Both that is really really kind and I think it's important at a time that we as a country have so many things we get angry at each other about a necessarily the reality is every every day you see the basic goodness in our fellow Americans and we have so much good to share with each other. And I'm grateful so you for that. Mary is with us on the Clark. Howard Show Hi Mary how you doing hi Clark? Oh I'm so excited to talk to you. I've listened to you for so along and it's just an honor to get on here to talk to you. So thank you very much for taking my call. It's great to have you here but I hate the circumstances. You're calling me. Yeah about. It's a conundrum here. I recently have long term care policy that I've been paying into for about fourteen years so I have about forty five thousand dollars and I've never her tapped it at all and about Two years ago they increased it about thirty to thirty five percent and now this year they just contacted May to let me know. It's GonNa go up almost eighty percent so I'm they gave me some options. And I guess my question to you who is well. Let me also say that I can pay this right now. I you know I don't have any Ho- any really specific health issues that are costing me a lot of money one eight. Thank God so I can pay the extra money but they do give you some options. I could keep the current coverage and pay the premium increase Lisa. How much is the premium with a massive increase per year? Six thousand six hundred seventy eight dollars. And how much benefit does the current option offer you. The current option offers me the daily maximum benefit of two hundred ninety seven dollars a day day three years benefit period. I have an inflation compound. Five percent inflation protection and then an elimination period of ninety days. Okay we need to hear the other options if you can afford the sixty six hundred dollar premium do it because the benefit fit for you is so gigantic. I mean think about three years of payment. Not even counting joining the inflation adjustment if you needed long term care I mean. We're talking huge money. Here they would be paying you the benefit they would pay. You would be approximately three hundred twenty five thousand against a premium of sixty six hundred seventy eight dollars and the the reason that the premiums are going up so much is when they sold you this policy forever ago they messed up. They calculated the use of these policies. Wrong and the usage is so much higher and people are living longer and not as healthy as is the actuaries at the insurance companies calculated. So that's what happened and so your premium Two Years Ago Oh was a gathering based on what you told me it was like twenty five hundred. Now it'll be sixty six hundred that about it. I think I paid eighteen hundred every six months. Okay so it's not quite double but it's a lot so so if you can handle paying what's essentially five hundred and something every month towards long term care policy. Hold John as long as you can thank you so much Park I just appreciate so much what you do. I really trust your advice. And it's a commodity lady that seems to be in short supply these days. So thank you very much. God bless you will thank you and you're so kind to say that we are in a time that people don't know who due to trust and don't trust institutions. I believe that there's a lot more trustworthy organizations and people out there than we really give Society he credit for. But I appreciate that I have earned your trust. You're listening to the Clark Howard show and thanks for joining us today. The Clark Howard show is produced by Kim Droves Joel Warriors Guard Debra Reese and gem airs and Remember Twenty Twenty four hours a day to serve you Clark Dot Com and card deals dot com.

Betsy Hello Clark Clark Howard Google Costco New York producer Clark Scott Clark Howard Show Hollow Hollo John John Howard Glasgow Scotland Edinburgh Joel Warriors Europe
3.2.20 Pharmacies exiting supermarkets; Cheapest cell phone plans for low usage

Clark Howard Show

36:29 min | 5 months ago

3.2.20 Pharmacies exiting supermarkets; Cheapest cell phone plans for low usage

"This episode is brought to you by progressive. Saving money on your car. Insurance is easy with progressive. It's an average savings of seven hundred ninety six dollars for customers who switch and save in fact. Customers can qualify for an average of six discounts on their auto policy with progressive including discounts. Just for starting quote online or owning multiple vehicles get your quote online and Progressive Dot Com and see how much you could be saving National Average Car Insurance Savings Bhai new customers surveyed who save with progressive in twenty nineteen discounts vary and are not available in all states and situations her big changes in how you fill prescription meds. I need to tell you the trends so you can make smart decisions with your wallet and I want to welcome you to the Clark Howard. Show where it's about you learning ways to keep more of what you make Clark Dot coms our main website car deals dot COM. Or you go to save money. Each and every day you know the pharmacy business is shifting and market share is very heavily moving to a small number of players. Cvs and Walgreens or taking huge volume prescriptions. A lot of people work at places where you are either encouraged or pretty much forced to go to one of these mail order. Pharmacies and others are free agents. He may be going to an independent pharmacists. You may be going to one of the supermarkets that have a pharmacy. You may be going to the warehouse clubs but the market share has been so heavily moving towards these mail orders if you have any kind of benefit at work that requires it or again. People failing at the shared monopoly of the pharmacy chain. Cvs and Walgreens. So if you don't have the ability through a place of work or some kind of pharmacy benefit to fill prescriptions affordably. You've gotTa know that just going with the flow could cost you big time. You need to look at what the options he may have. Our for. Filling prescriptions and. There are proactive. Things you can do Through the years I've talked about using now the websites of big players like Walmart and see what cheap prescriptions are available to. You take that list with you when you go to see a doctor and try proactively to have the Dr Phil Prescription from the things that you know you can afford on that list. No that the cheapest overall place to fill prescriptions is costco because of their pricing method. That unique in the business and know that good Rx and it smaller competitors because good Rx is the biggest in them in this business give transparency and potential meaningful discounts. Where you put in the drug you're looking for and the need the dosage and all that you put that in and it will pop up for you in about a second and a half. The price is on that available from major and minor players in your area and your zip code and the savings can be great. If you don't have a prescription plan and there's a medicine you need to take this rather pricey something that people don't use enough or special plans available from the pharmaceutical manufacturers. Themselves that will get you a potentially lower price the other thing for people who have Pharmacy benefits managers. The mail order things. A lot of the P. B. M.'S. Will Not approve you for a drug that the P. B. M. thinks is expensive prescription benefit. You I have through work will disapprove it. One of the weird things with filling prescriptions. Is that if you have a prescription benefit and that benefit turns you down for coverage of a drug. Many of the drug manufacturers will then turn around as someone who's ensured for prescriptions and they will allow you with a coupon to fill that drug free for a year or for fifty dollars a month or something like that. It can be an enormous help. If you feel boxed in by prescription your doctor feels you need to take and a cost. You can't afford the more questions you ask the more you look around the more money. You'll save Adams with us on the Clark Howard show. Hello Adam how you doing doing well? How are you great? Thank you so I'm in the Atlanta market and my mom told me years ago that there was a dentist establishment that you had visited that had a special service would they would analyze your body shape and select from their premium jeans. A brain that will fit your body and Make you look really good in them. And I was hoping to treat my wife to present this year by taking her there. Well that was a story I did when I was at H. L. N. and CNN. And I'm trying to remember where in the country. We did that story but as best. I know the early pioneers in that business. Where they custom made clothing for you have not succeeded. Not If there's any that are functioning right now. I haven't been able to find that because you're not. The first pursues asked me that question about having personally custom-made close. I know there's a lot of testing going on in that area and one company in particular is extremely interested in making that work on line and that's Amazon in Amazon bought. A company called body labs where Amazon's become a huge seller of clothing and the problem. They have or things don't fit people. Return THEM IT'S A. It's a problem with online. Shopping for clothes is even if something looks good if it didn't fit you when it gets to you it leads to the very high rate of returns and so. I think this is absolutely coming but I don't think for this year you're not going to be able to surprise earlier this year. I think about when we can get a portable stuff in the sneaker market. There's already custom Sneakers and Nike has been kind of at the forefront of that think Adidas may be getting into that as well but they're very expensive products and a what's known as mass customization. When you have things that are made specifically for you for your body that something. That is definitely going to happen. I just don't know. It's like fully autonomous vehicles. What year is that going to take over the market? I can't tell you but being able to custom fit clothing is one of those things that is gonNA happen. Janice joins US on the Clark Howard. Show Hi Janice Janice you're GonNa Redo your kitchen. I am good yeah My question is really about where to keep short-term money I want to use in about a year between the next one and three years If I buy a CD. Them lost into a lower rate and I have penalties move to a higher paying. Cd So if you go into a simple savings or money market really yeah if you go online and the easiest searchable database that I know of his bankrate.com you can go there. And you can click on savings rates and they'll show you these online banks that are offering the highest rates in the country. And that's what I do. Floating Rate Right now is what works you know. Interest rates are falling. That's when you wanna lock in a CD when interest rates are rising. That's when you WANNA go in straight savings account or money market. Can't link it to your account with whatever with the Credit Union near with and you're able to move the money back and forth as you need so that would be the best answer can't stand. Thank you and I hope that the remodel goes really well. Janice tide is with us on the Clark. Howard show hello. Todd how you doing. I'm Greg Clark. I really appreciate you talking to me today. I thank you oh sure. Hey as a result of listening to you for years and years and years and using your website and your blog. I'm I'm in my mid fifties. I'm retired. I've got a good pension. I've got good health no debt and I'm ready to start traveling a little more but I WANNA. I don't WanNA Travel Bill Gates. I WANNA travel like Clark Howard. Travels so So you mean my size private jet versus Bill Gates Absolutely. Yes exactly I I call you know when people asked me if I have my own plane I say yes. It's called South West everywhere. I need well the problem. I'm having well one of the good things I have is very flexible. Times and dates and locations. Don't matter the problem I run into is when I go to these travel sites. They always want me to put in a destination airport and I WANNA know from my departure part. I WanNa know the deals that I can go to. I don't care it can be San Francisco San Diego Santa. Yeah all right. Let me help you with that. So you've probably heard of Kayak right. Yes they're Kayak has a tool. It's great when the deal. Is You WANNA travel? You don't care necessarily where it is. He WanNa go wherever the deal is. Kayak has a tool called Kayak explore and with Kayak explore. You can take your home city or even also others nearby and you can go to it and put in a time of year or just let it tell you whatever wherever and it will tell you the best deal available to places all over the United States are all the world while like. What's your closest major airport where you live? Our departure is almost always lambert in Saint Louis. So Saint Louis is a very interesting case because Saint Louis used to be a hub airport and now it's not because of You know first. Twa when away? And then American didn't see the need for the hub and so it put Saint Louis into a more expensive situation in terms of air travel At first but now it's lead to lower prices so if you go to Kayak explore you can see all over the country. Say Well I never really thought about going there. But Gosh like just say well. I'd love to go there. Let me go there. Oh we'll get this deal to Asia right now that kind of stuff and so. The war is a great tool for you. Know the other one. I would look at D. of any interest in international. Travel only domestic. Oh no international is is just as cool all right then you gotta know about a subscription service called Scott's cheap flights Scott she'd fly Scott's Scott s cheap flights dot com. Okay and this guy name. Scott kyw's who searches for deals that randomly pop up all over the world and you'll see amazing fair offers. That are really really extraordinary. You'll find that for you. A lot of the best deals unfortunately are going to be from Chicago. Which is a hall for you from Saint Louis but international I am I am right in the Middle Chicago in Saint Louis Right Smack Dab in the middle of Illinois within US Kayak explore for out of both Chicago and Saint Louis. But you'll find the scots deals overwhelmingly GONNA be from Chicago. That'll get you to places around the world affairs. You can't even imagine would be that cheap so it's GonNa be a great opportunity for you to see almost everywhere you could think of over time and never spent a lot of money doing it if there's one thing. Humans aren't great at. Its predicting the future. Just take a look around no amount of crystal balls cookies or tea. Leaves could predict the world. We're living in right now but unpredictability is also what keeps life interesting. The trick is to enjoy the ride without worrying about what's around the corner and one way to worry less is to get the right life insurance. That's where policy genes can help. Policy Genius makes finding the right life insurance a breeze in minutes you can compare quotes from the top insurance to find your best price. You could save fifteen hundred dollars or more a year by using policy genius to compare life insurance policies. Once you apply the policy genius team will handle all the paperwork and red tape for free and policy. Genius doesn't just make life insurance easy. They can also help you find the right home and auto insurance or disability insurance so if you haven't found a play by play breakdown of your future inside a crystal ball or a cookie that's okay be prepared for anything with life insurance in just a few minutes. You can find your best price and apply at policy. Genius DOT COM policy. Genius will always get the future wrong. Better get life insurance right mats. Were this on the Clark Howard. Show Hi Matt Hi Clark. It's an honor to talk to you. I've never been on live radio before. Well it's great to have you here and you have a question for me that if you knew the arguments that go on in our house over what you're about to ask me. Oh boy hit me with it. Yeah I can imagine so right now I live on my own and Minnesota and in the winter it gets pretty cold and I was wondering what I'm at work for eight hours a day. What temperature should I have my thermostat at when I'm gone and there's no one there heating the house so that I'm saving as much energy as I can? Okay so well. You didn't ask me what I keep my thermostat set which people ask me a lot. So what temperature are you comfortable and win your home in the way? I'm okay at about sixty four sixty five. Wait when your home? Yeah Oh my goodness I found some as worse than I am. Long Sleeves and blankets or for. We'll see that's my kind of attitude and my family says they all are miserable during winter. 'cause they say that? I keep the house like it's a refrigerator to save money. That's after we've done extreme insulation in the house and all kinds of other things to reduce energy consumption so If you you're shocking me that you like the house at sixty four so you would be okay and if you get a nest thermostat something like that. They're really now get smart thermostat from a different company. Okay? So you've got one. I would say generally if you keep it at fifty five degrees when you're not there and a half hour before you typically come home that you have the smart thermostat set to go up to sixty four sixty five. You don't WanNa let go below that you have danger with potentially pipes breaking it also makes it much harder for the house to heat back up but if you have roughly eight to ten degree lower temperature when you're not home then you like to have win your home. That would be where you'd WANNA be. That's great thank you because I've been keeping fifty eight and they felt like it still has to warm when I'm gone. Yes I agree so if you were if you like sixty four you could go. Maybe two fifty four fifty five is a pretty good number. Okay and I can't. I can't even begin to tell you how many people are listening to you and me right now. Matt who think both of us are ridiculous? Well it makes fun for me when I get cold and just thinking I'm saving money so I've got extra flannels. We'll good for you buddy. I was The other day I was in a store that was selling aldy and they were selling these men 's wintertime. Long Pajama Pants. That were like What's that material like flannel? And it seems like they'll keep me warm when the temperatures like forty four in the house. Great to have you here on the Clark Howard. Show where it's all about you learning ways to keep more of what you make Clark Dot coms our main website. Clark DEALS DOT com. Where you go to save money each and every day. So one of the most clicked on things we have at Clark. Dot Com is are continually updated cell phone plan. Guide is a Lotta people. WanNa pay as little as they can and get hopefully is reliable service as they can for their cell phones. But now this is weird. But there's a cell phone plan you can do that. You get unlimited. Talk and text four free. How do they do that with ads? So I got such a kick out of this thing from texts now dot com. Texans been around for a good while that. What an attention getter that they give you the unlimited stuff in return for you dealing with ads because it reminds me so much of a generation ago when long distance was really expensive and I used to use a service called free long distance that I had to listen to a fifteen second ad for every two minutes of long distance. I'd get so listening if I knew it was gonNA make a longer call. I'd listen to ad after ad after ad then place the call and so I was willing to do that to pay nothing and it was great and then eventually long distance became free and there was no reason for them to exist anymore. But I don't even know how many thousands of dollars I saved over the year years listening to those ads. Well now text now. That was redundant now. Textile Tex Dot Com doing the same thing for just simple calling and texting where you will pay nothing. They give you a free number. You sign up for free. You have the calling and texting for free. Thank you pay like ten dollars to get your SIM card. Originally something like that but you have it to US completely free for ten bucks and I mean there are people who don't care about all the data stuff you could use all the date on a phone wherever you have Wifi but when you're out and about all you'd be able to do for free is talk and text so that's one idea and then. Tang which just keeps holding on T. I. N. G. that allows you to go over multiple networks. I think they offer most of them. Who Do they not offer? They got horizon. They've got sprint. Maybe it's just verizon and sprint but anyway they offer something where you get really really really cheap service. Will you buy blocks of the minutes? You think you're going to need block so the number of texts you think you're going to need and then if you want data use by that but if you're into buying a lot of data it's not a deal anymore but you can end up with a bill that is typically under ten dollars a month and that's pretty good if all you need to do is. Yap Away on the phone but I sure like the idea of tax now paying nothing for as long as it lasts. Your only risk is the ten bucks up front love that John Joins us on the Clark. Howard show Hello John. How you doing Mr Howard clock? Please call me Clark. Okay Clark how are you today and wonderful? Thank you hope you are. I'm doing wonderful. Thank you for taking my call. Sure so I have a quick question. Probably not a simple answer but quick question. I know that when you have a bank account you have. Fdic insurance and credit unions have their own insurance but any low cost investor firms. I every time I call and ask get the well. We're not going to go bankrupt. That's no answer. Is it no? It's not so what kind of protection is due out there. Okay so it depends on what you're actually doing like if you own of a series of funds like you own mutual funds or index funds the value of what you have is controlled by the holdings inside that fine so the value when you invest goes up and down. The find itself is not at risk and less the investments in it go to zero. So let's say you buy an index fund from one of the big discounters from Vanguard Fidelity Schwab. Someone like that who you know. Those three are taking so much market share or you end up owning Etf from you know one of the black rock ETF's those are the big discounters in the market. The money that is in a fund is secure in that fund. There's never been a situation where money has been stolen. And it's just a well on the money's gone money in a brokerage does not have as you mentioned. Fdic insurance or anything like that. The Holdings are protected by what's called S. I p. c. Did anybody mention SIPC? I've seen it at the bottom of the page when you're looking at the site and SIPC is vastly inferior protection for you than what you have at a credit union through NCUA or at a bank through FDIC so SIPC is a privatize version of protection. And the most contentious cases of involved where brokerage has been crooked and. Sipc has not been there to protect people in the event of a brokerage going insolvent the SIPC takes care of people. But if it's involved fraud or something like that they don't but your money how is hell does it? In mutual funds or index mostly. Most of it is in mutual funds indexes in an IRA Little bit of it is in money. Market now would be different than the funds. Yes so money. Market works a little differently and last decade during the Banking scandals there. Were I think to money market funds? That couldn't pay out people's accounts and they went at least temporarily insolvent and it was a terrible problem very upsetting to people in a money market situation. The brokerage houses offer generally two options. You can either have the money in a pitifully earning. Fdic insured account or you can have it in a money market account where the interest changes each day and I have my money money market. I'm not particularly worried because even last decade when we had this this series of banking scandals there was no significant or meaningful loss for anybody from any of the money markets. Even the ones that temporarily went insolvent ultimately paid people the money they owed them almost one hundred percent wonderful. Thank you very much for answering the question. The big risk always is with a smaller brokerage. That may be crooked. And that's when your money is at greatest risk if that gives you any comfort that does thank you very much right best to you. That's your thank you bye-bye Marcus with us on the Clark Howard. Show Hi Mark How you doing Clark? Great thank you mark. How can I be of service? I have kind of an interesting question for you. I think at least from my perspective thing with legalization of marijuana in Canada they're seemingly be been endless opportunities to invest in that industry and from what I've seen variety of different online platforms. There was a huge excitement before this happened. And as the official legalization day can and went significant decrease in the value of the stocks of of their organizations up there because everyone your thoughts. So is that something that you would kind of? Let play out for a while to see how it goes or is it a situation where potentially you can get in now at a low price point per share and rewards five ten years down the road. Yeah that's a great question. So my belief is that as marijuana becomes legal has become legal across Canada as it becomes legal and more and more of the United States and ultimately at some point we'll be an investable asset in the United States. The risk is too high right now. They're speculative investments. There's going to be a shakeout period and anybody who ends up making a lot of money early in investing in Canadian marijuana stocks is going to be someone who is lucky and so if the goal is if you're if you're somebody who's a gambling kind of personality you could take money and spread it around a number of the Canadian marijuana stocks. But my druthers would be to wait a while let the market shakeout and there will be a more losers than winners as the market legalizes and I would give it some time. But that's really that's my personality isn't investor. I'm an `incrementalist mean by that mark. I'm never trying to you know. Throw the long ball. I'm trying to complete the pass for the first down. Yeah exactly now looking for the big home run right. As far as as making decision. It's got a suit your personality and I I read all the financial press. It seems out there every day and there's various columns about well. These are the marijuana stocks you should be following or these are the ones you should be investing in but those are at best educated guesses because in a newly legalized industry. You can't figure out who the real winners are going to be early. And that's kind of what my thoughts were to. I appreciate the perspective because I you know if I was looking at specific companies and prior to the legalisation there are. There's one particular company at its stock valued in the three hundred dollars per share range now trading for about ninety And that's even from what I'm reading a Stephen extremely overvalued And that is the risk because these Marijuana stocks are what are known as story stocks that at the whole narrative? About how this is going to unleash. A huge wave of capitalism as an industry becomes legal. The reality is that marijuana has been operating in a twilight zone for a long time it has already been in industry meeting the demand in the market place. And there's actually additional expenses involved as marijuana becomes legal with taxation and regulation that may make it less profitable as illegal activity than it was in the twilight zone. Casey is with us on the Clark. Howard show Hello Casey. Hi How are you great? Thank you Casey. How can I serve you? Well I'm within three hundred dollars of paying off my current loan vehicle and your hands thank you. It was a five year loan and I'm paying enough in four years. I would have paid it off in three except that I had you know tremendous amount of repair expenses so now. I'm looking at a new used car at that point. I'll have two lines of credit open and when I looked at my credit report it said I had eighteen percent used which I think it's good to be under twenty five thirty good to be under thirty okay and then it indicated. That wouldn't was explaining how they get to the overall picture of of your credit score said that the number of credit lines open affects your number and it seemed to indicate that having to re lines of credit was better than two so once. I pay off my car. I'll go down to to. Is that going to affect my score and make it go lower or so. Let me understand something from you Casey. Do you have no credit cards? I have to credit cards. Okay so you have the two credit cards. You have the auto loan and is there any other credit? You have in your life other than those three items. No and the credit cards. If you're at eighteen percent utilization you're using varying woodall of the available credit on those two yes. I don't think you need to worry too much because the things that matter online. What makes up your credit score overwhelmingly. Two things are wet. Really set the pattern one. Is that you pay every bill. You have every month on time in my credit report indicated that I do fantastic and then the second is what percent of your available credit. You're using and you're doing great with that at eighteen percent so okay the other factors each are so small in and of themselves that. I don't think you need to particularly worry. If you WANNA try to give your score a little bit of a booster if you were to get down from eighteen percent utilization to under ten that would give them a little bit of a boost to your score. But you're probably already somewhere you in the upper seven hundreds for your score and currently at eight. Oh five five. You've nothing you need to fret about a worry about so I got a question for you. Okay the car has caused a little bit aggravation with having to do repairs but the car is only going to be five years old when you four years old when you pay it off right no. It was a used car and so it's from two thousand six. Oh okay yes so it's fine. Pay It off dump it and when you look at used cars. I don't know how old are used car. You want to look at. But there's a real sweet spot in the market for vehicles. That are three to four years old. Three to four okay and. I wouldn't worry as much about the calendar and I would worry more about getting a reliable used car and last year. I spent three thousand on repair right expense. The car would have been paid off last year. Well that's why I'd love for you to either go to the library or by access to consumer reports on the most reliable used cars to buy and I think that's a good place to start so you have a list of what are the ones that that have proven to be very reliable and stick with those as you search. Aim find one at a price point. You're comfortable with and get a vehicle that you improve the ISO treat you well on the road. I have an updated guide on cars DOT COM to how to buy a used vehicle and the steps. I wanted to go through step by step. Please take a chance to look at that. In addition to looking at consumer reports. You're listening to the Clark Howard show. Thanks for joining us today. That Clark Howard show is produced by Kim Droves Joe Lars Guard Debra Reese and Jim Ayers and remember twenty four hours a day. We're there to serve you Clark. Dot Com and CARD DEALS DOT COM.

Clark Howard Greg Clark marijuana Clark Dot Howard United States Matt Hi Clark Dot Com Progressive Dot Com Credit Union SIPC Casey Cvs costco Walmart
3.10.20 Hidden advisor fees; Hoarding in the wake of coronavirus; Keep your internet browsing private

Clark Howard Show

34:23 min | 5 months ago

3.10.20 Hidden advisor fees; Hoarding in the wake of coronavirus; Keep your internet browsing private

"Glad you're with us here on the Clark Howard Show where it's all about you and yours. I want you to learn ideas so you can save more. Spend less and don't let anyone ever rip you off. I want to talk about a rip off in just a second. Our websites are Clark Dot Com and Clark deals dot com. And I have a special RIPA alert for you right now. This is Clark Howard ripoffs everywhere. You turn right now. In the investment industry investment houses. That were doing the right thing about disclosing to you. How people were paid and whether people were taking kickbacks and whether people were being incentivized to sell really junky stuff to you or being forced by full commission brokerage house to sell you junk all those new procedures and rules and disclosures were put in place are banishing right before your eyes. I told you months ago about what was going on at a website that had been popular with consumers. Let's make a plan dot org that now. Jason Zweig the financial writer says they have discontinued disclosing to consumers how people get paid. That are on their sites. You don't know who's getting kickbacks WHO's taking commissions. Who's putting you in step? That might be junked for you just because of what they're making. This is a terrible terrible problem for you. As a consumer. A lot of us don't really understand how the whole investing thing works behind the curtain. But you should know is there are a lot of people in the business who don't do the right thing by you. They may be very nice. People very personable but when it comes to money a lot of times somebody will smile at you and they're picking your pocket at the same time what you need to know. Is that when you were getting financial advice to somebody on what you should invest in if they are not a fiduciary you're at risk due. Sherry is somebody who legally is bound to put your interest first that what they sell. You recommend that you invest in. They're not getting commissions from they are only doing what they believe is right for. You know that if you're getting investment advice through an insurance agent that they are not going to put your interest I if you're getting investment advice from a full commission stockbroker. They are not going to put your interest. I if you're getting advice on what to invest from an investment part of a big bank. They are not going to put you. I if you hire an individual from firm they need to disclose to you how they make their money. If they make money for recommending something they got to take the trip to Hawaii for how many people they sold this that or the other two. They're not putting you first is best to pay for advice straight out and then deal with somebody who receives no commissions for anything they advise you to. I ask people over and over again when somebody calls me asking about investing well are you paying that person for advice or how do you? How's that person getting paid by your? They told you there. A fiduciary and virtually one hundred percent of the time people say. I don't know you need to know because you're working hard for the money. You have your working hard to live on less than what you make and the money you have to invest needs to be working for you for your future not for that person's future who puts you in something so they get to go in the fly-fishing trip. Eric's with us on the Clark Howard. Show Eric Understand. You are no longer a rookie entrepreneur. You're moving on with your business at this point. Yeah Effective March first of this year. I Pass my first year. The small business owner well. Congratulations to you. And if you've listened to me for any amount of time you know how excited I am by anyone taking the plunge of being an entrepreneur owning their own business. If with its up and downs. How how is it generally though? Is it more up and down definitely more up and down I feel like I'm GonNa really good position right right by. Actually a captive insurance agent just finished my first year. So I'm working on getting renewals built up and things of that nature. I have about sixty five to sixty seven thousand dollars in business debt that I still have accumulated and and it's just kind of a burden. It's the biggest part that I that I don't like about. It's on a single pay note and it comes do this December and it's just not making monthly payments and really trying to build a little bit of a cash flow to see what I can go. I spent all last year paying off additional funds as well so my my question is have about thirty two thousand dollars. I've cash available to me if I was the cash in retirement funds. Is it feasible for me to use that money to pay off a large portion of the business debt or just keep it where it's at and I'm no longer contributed to anything right now as it is? I would rather you not liquidate retirement money because you've got the enormous tax penalties if you do so effective that people usually pay somewhere around forty three percent tax on liquidating money. That's an qualified retirement. Plan LIQUIDATING BEFORE AGE. Fifty nine and a half. It is under a Roth. Four One K. So if it is rock money you would have no tax due on it for contributions you have made as raw 401k not Roth IRA it's Ross. 401k was through a previous employer and they gave us the option to have the traditional 401k. K. or a loss. 401k I chose the Roth and what I could see. I'm not big on these numbers but I think the taxable amount is only I think maybe twelve or something thousand of it as what's taxable. The rest of it was contribution so came out to be about About eight eight thousand dollars in total taxes. Wanted saddened done and taking so you could use that money to pay down this debt. Then it means you've gotten no savings at all for your your future that you'd have the ability as you build your book of business to start putting substantial money aside as a business owner. You've got much more flexibility. About how much money you can put aside each year. So that brings us to the core question. What interest rate does this single payment loan Kerry right now? I think it's at seven and a quarter seven and a quarter on a business loan for a year is not terrible. Are you going to be able to come up with the money? You need to pay off his note at the end of the year. That's my biggest concern. Right now is and it's the note is actually rolled over from last year from from day. One of the business through Like maybe three or four months whenever I started generating enough cash flow to run the business and start paying back. I- cumulated about seventy seven thousand dollars. I got it paid down to twenty four thousand dollars last year but it was it that came with making a large lump sum payment at the very end and then having to rewrite the note and then take additional funds out just to run the business then in that case. I don't want you to liquidate your Roth. 401k OKAY. I want you to just work on within the core of the business itself seeing if you can build up enough cash flow that you can substantially reduce this at the end of the year. You've got a lot of months laugh this year and I'd like you to devote your time coming up with how much money you're GONNA have free cash flow each month that you can reduce down at hate for you to get into a position where you wipe out that 401k. Which is like the glass resource. You've got and I don't want you end up in a bind later. Where you can't make a and you go insolvent because you wiped out your last thing. You had voluntarily. Yeah I'd like you to hold that in reserve okay accent so I wish shoot great success building up your book of business becoming a captive agent. Has You probably heard from people in the business? The first many years you work really hard to build up that book of business and then that book of business starts to help carry you and the eventual effect is. You're making a decent net income interest. You GotTa get through this first phase and I will butcher your name it. Shana but Charlie about it. Oh come on. I would have never figured that out. Sean Okay Yeah. I'm so used to it. Don't worry and your name gets misspelled all the time too right. Yeah but it's all good. Okay well how can I be of service today? I'm like the minute a question your team a little while ago and It was I've been renting for a few years and I'm weighing whether or not. I should buy a house and I have enough. They that for twenty percent down. I have excellent credit and all that jazz but I'm not sure if I'M GONNA be in Anchorage for the next for more than the next couple of years and so I'm wondering. Is it smart to buy a house and Maybe risk losing money. If I leave in a couple of years or do I let my down. Payment collect dust in the bank account and continue to read. This is a hard one because you know there are a lot of expenses involved in buying and selling a property and when you look at a window as short as two to five years. Let's say that five was longest you'd be there. I'm just making a guess based on what you said you don't know which way real estate values go in the shorter term. You don't know what happens with the economy and real estate values tend to trend somewhat with overall economic conditions. So I would say that buying a home where you could be gone. And as soon as two years from that home would be too high a risk level and too high of expense in and out. I mean if you told me you had a viable plan for continuing to rent the property after you moved back to the lower forty eight then. I'd say you could make it work because he wouldn't be under a time deadline to sell the property but if your intention would be to bail on the property at the time you choose to leave I would be a Renner and values. Go up crazy over the next two years. You're GonNa hate me but the odds are that the the risk is just too high in such a short window. Okay that's great advice. And actually renting is something that we considered like renting out the property and just we could have Hold how long for that more but interest rates are so great right now with the right right so so tempting so as long as you have a viable plan for somebody to manage the property and rent and you'll have to in order to have somebody who's really going to do good job you've got to pay him if you can come up with a viable plan where you still are able to see your way to the property being revenue producer for you at the time you moved to the lower forty-eight. I'd say that you could buy with some confidence because if the market is okay in two to five years you can just bail and sell if it's not okay. You can become a landlord for the period of time necessary. All right cool yeah. That's great advice. Well Good luck to you. Where do you? Where do you think you'll move? You're going to be someone who moves from last caller. I had who moved from Alaska moved to Florida. Listen I live in Alaska right now. My fiance's of the winters so we might have to move a little bit further south. I got that I got that. Winter is not my thing. Grace on our social media team sent me a picture message this past week an when she and her husband were Costco and they obviously hate themselves that they were at Costco on the weekend so unbelievably crowded at Costco on the weekend but anyway she's in his picture showing that they had the the various sanitation. Wife's where do you call those disinfecting wipes on the end of the island cap? I L after aisle after aisle and then the sign gave the price no extra markup on it but then it said limit five per member because people were buying entire pallets of them and they had to impose limits and so. There's a tendency when we're in a time of uncertainty like we are right now that people tend to hoard and you see all those store shelves with no none of the antibacterial stuff the hand sanitizer all these products. That have vanished in of all things toilet paper. There's been a run on toilet paper around the country not sure why that became an item. Not sure why in the south and southwest every time there's a forecast of snow people run out and buy every loaf of bread in every gallon of milk that they can find. But that's what people do so. Please think through what you actually need. And we need to be good members of our community and make sure that there's enough of those things for everyone and being a hoarder creates fall shortages. That don't have to be there so manufacturers catch up supplies inventories store in retail. And then you'll be staring at your thousand Rolls Toilet Paper and your endless supply of antiseptic wipes and all that stuff. And what are you going to do with all that stuff? You're hoarding. Are you then going to have an Ebay sale on it? So just think before you buy too much. Thanks for taking time out of your day to join us here on the Clark Howard. Show where it's about you learning ways to save more and spend less and don't let anyone ever rip you off. Clark Dot Com Cart Deals Dot Com our web sites. And just think about this when you go to a website anybody's website. Do you know that the cable monopoly or if you get your Internet connection from foam monopoly that they are spying on everything you're doing? This was something that I don't think people were really aware of chill. The cable monopoly started fighting new regulations that would restrict them being able to spy on you. And what you're up to and then market that information sell it to others. That is really creepy. That it's different to me. Then if you decide to use google or not use google and know that Google gives you all those things for free in return for packaging and selling information about you. The problem is most of us in the United States are prisoners of a monopoly Internet provider. Usually the cable monopoly. And so we're paying them. A huge amount of money to have Internet access and then on top of it. They're spying on everything we do. And selling it off. I mean Google Release Dal has the new procedure on your phone or on your laptop or desktop where you can see what they're collecting on you. Delete a lot of it and set up where information automatically deletes. They normally collect on you and the case of the cable companies. We didn't know how ugly this was till main which passed a law requiring privacy from the spying is the cable monopolies main is being sued by the cable monopolies who want them to be able to continue to spy on you as much as they want and in fact the cable monopolies allege. That Maine is discriminating against them. Being able to not be able to spy on you. That represents discrimination so ridiculous. So coming to the rescue is fire Fox Fire Fox has developed a new encrypted form of use of Firefox. Cts than if you read. Any of the technology blogs a lot of them are writing about this in simple English. Believe it or not where you can see how this will work that you just use Firefox Kaz encrypted service that is free and you will cut off almost all the spying the cable monopolies are doing on you. I mean imagine a cable monopoly. You're paying money to knowing every site you go to and what you do on that site number of people go to the website center sensitive about medical conditions or maybe they like certain entertainment sites. Use Your imagination and do you want your cable monopoly. You had no choice you have to use them for Internet being free to spy on you why we even allow this kind of stuff in the United States is a sign of the corruption in Congress that the people give them money ended up getting what they want so you can defeat their lobbying power their money. They spread around to politicians. By using the features of the Fire Fox encrypted browser and you will be able to serve around in relative privacy relative somewhat a lot more privacy than you have today and it is unfortunate that the people who said forever ago who seemed like complete crazies. That the only way for you to have privacy in your life is to carry no technology at all and separate from the grid. That's not how I wanNA live my life. But it turned out that they were not crazy. They were actually right. And that's how it's playing out cates with us on the Clark Howard. Show Hell Okay Clark. House things going for you. Things are good my husband and I love listening to your show. We have implemented Lots of advice And that's been very helpful for us. I'm so glad well. How can I serve you since things seem to be going well for you so My husband and I have been very blessed to have well paying job. So He's been able to save a lot of money Up until now. We were saving for various large ticket. Expenses like car wedding in house. But now we've achieved schools. We now have a lot of money just sitting in the bank. So we're we're we're cash for your house no down payment and the way. He said that I was like yes. We saved up we I I wish I know. We're not that good but now we have this money sitting in the bank and I don't know what to do with it because it kind of feels like crusade losing money since the interest rates are so low but with all the craziness in the market. I don't know that I WANNA put it there right now. Either well it depends on what your next series of goals are and how long term they are so you probably if you've listened for a long time you probably heard my obsession with Roth. Ira's or you doing. Ross right now So we're both faxing out our 401K's but Not Raw because of our income level all right so that's a good problem to have you make too much money to do a roth easily. You can do a really weird way of doing a rock called a back door raw which requires a little extra work from you but what that made me think of. Is that what you're doing with your 401k's is you're putting money and systematically maximum those out putting money on either every pay period or once a month they put money in there for you so you're just riding with the market over time something known as dollar cost averaging where you're not hopefully you're really not freaking out about what happens with the market right now or next month or next year. You're in this for the long term and the good thing with dollar cost. Averaging is when the market declines every dollar. You're putting in through that. 401k buys you more shares of what you're putting your money into and so a decline over the long haul actually makes you more money which is weird to think about isn't it. Yeah so the money. You have sitting here in savings. When is it that you would be using the money? What would be the purpose now that you've met those goals that you had? That's the thing I don't really know. We don't really have another big purchase on the horizon. So I think it'd be a longer term or you WANNA fifteen or thirty year mortgage okay so when I think about someone like US already maxing out saving for retirement you have access funds and I gather you live below your means and you continue to build savings it would be potentially a great move for you to invest in a whole different way which isn't really investing but kick out that thirty year. You have and take advantage of the depressed rates now in Refi under a fifteen year loan. Okay what's your thirty year right? That's the thing we just fight in November so three and a half percent that's pretty low JEB. You can actually go. Potentially now we see into the mid twos. I guess in a fifteen year and think about that. I mean you. You are a very methodical saver. You're very careful you'd be you'd be soaking up some of the excess funds you have every month and be out of debt instead of in twenty forty nine. It'd be out of debt and twenty thirty five much better. Yeah so thinking about your picture money in the best you can do. Online savings accounts are online CDs. So you have that reserve but soak up some of it by that refi. You could even take some of the cash and pay down some of the balance when you refi. Your payment doesn't go up a whole lot but you cut fourteen years off your loan. We'll talk about that. I didn't either 'til we were talking through. And I was hearing the reluctance on your part of doing more investing of any kind and I was thinking about there. You were you. Save that money for the car. You save that money for the various needs in your life. Maybe the best thing is to reduce your debt on a quicker track and lock in that lower rate. Yeah sounds good and be patient. The lenders are really busy right now. And you're not always but generally going to find your best refi rate and cost at our credit union. Are you a member of any credit unions right now and not But we had done our original mortgage with the VA loan fees. A somebody who just due to the same you might. You might not need to use. Va Loan for the refi. You could I mean you. Avoid a fair amount of the closing costs if you refi. Va Loan so that may be the track. You'll just have to compare that to what you're able to do with a conventional loan refi as an alternative Willie with us on the Clark Howard. Show Willie Hi Clark Howard you thank you willy. So you WanNa talk about my cancer. Is that right yeah? While ago you share that you've had prostate cancer for about thirteen years. I think he would indicate it and I was wondering how you came to the decision to just have it monitored rather than having any surgery or anything so it was based on a lot of research that I read and Particularly British medical journals because they were ahead of us on this but today it's very mainstream in the United States to do what I've done these years known as active surveillance right now. They're these much more sophisticated tools than existed. When I was diagnosed in two thousand seven or eight I I my mind which was I was diagnosed but today you can have a special type of MRI where they're able to amager cancer and get a really good reading about whether or not you have what might be dangerous life threatening cancer or whether you have one that is likeliest slow growing and a very large percent of men with prostate. Cancer would be good candidates for going through active surveillance in what that is. Is that a schedule regular schedule of tests. You do in order to see that. Your cancer's just hanging out there and not growing so different than most cancers and that Here I've been at this for twelve or thirteen years and my cancer shown basically no growth in that time so I have cancer but it means nothing to this point. Yeah because at this point. I just have elevated. Psa level and doctors want to me to take another blood test eight weeks because one thing you know. They didn't tell me was that prior to taking ear blood tests. You shouldn't do any vigorous exercise. And I'm kind of an exercise junky. I'm sixty four years old. I mean I work every single day and say I had to get rid of brothers. Something excessive exercise too. But Yeah I had to really get rid of my fitbit because I became a slave to it literally. I was you know. Eighteen to twenty thousand steps. I average every single day seven days a week and sometimes you know one or two times a week. I may even get thirty thousand so it was crazy. We are the same person. I'm today. Eighty nine fitness tracker. Says it wants me to do sixteen thousand five hundred ten steps but you know I. I had fifteen thousand steps in by seven o'clock in the morning every day because I'd get up at two thirty stretch three from three to five. I'd walk a couple of hours. Then go to the gym workout forty five minutes on the weight and then I do an hour and a half on the elliptical machine. Let me tell you you're you're obviously taking very good health care of yourself in good health. Generally that makes you even more of a potential candidate or active surveillance before you're pushed too far along to maybe down the road having some kind of treatment which may be appropriate for you may not please go. Read the information available on the website. Pc Dot Org prostate cancer foundation dot org read our information on on. Who's a suitable candidate for active surveillance. What you need to know about a diagnosis of prostate cancer? In the ways of diagnosing. If all you have is an elevated. Psa You don't even have known prostate cancer yet so you're a long way from anything you need to be too afraid of and the more you read. That's reputable stuff the more you'll know how to make proper decisions. And if you get a diagnosis of prostate cancer you want dial me back and we'll talk through what you've found member. I'm not a medical professional. I've just had a lot of experience with this. Can be a sounding. Board for you Tommy's with us on the Clark Howard Show Hall of Tommy. How's it going great? Thank you Tommy. You've gotten something you want to know if it's a scam or not. Tell me about Receiving EMAILS ABOUT TURBO TAXES. Lower your axe. I got one today and I just wanted to see if there's a legit They said you could Something that the free say we're free and they said you can sue People paying for tax so there are a number of lawsuits that have been filed class action against Turbo Tax for allegedly taking advantage tax payers who are eligible for the IRS refile program and Turbo tax new. Based on the information. You put on your return. The you are eligible for free file but allegedly did not disclose that and so you paid or filing your taxes for free repaid per filing your taxes when you could have done so for free. That's the allegations lawsuits. So they're trying to solicit people to be members of the class because I'm not aware there's a settlement yet it's only lawsuit at this point right. It's class action also have again so you can just sit on the sidelines and wait to see how it plays out or you can decide whether or not you want to join one. I never join as a general rule I never join class action lawsuits but there are times that all end up getting like forty two cents from one. You can do with it what you want. The important thing for you in all other taxpayers to know is that most taxpayers qualify for free federal and potentially Free State income tax preparation and filing just by going to irs dot Gov and clicking on free file is the Clark Howard show. Thanks for joining us today. The Clark Howard show is produced by Kim droves Joel Ours Guard Jabareen and GM shares and remember twenty four hours. A day. Where there to serve you at Clark? Dot Com and CARD DEALS DOT COM.

Clark Howard Willie Hi Clark Howard prostate cancer cancer Clark Dot Com United States fiduciary business owner Ross. Sherry Google Clark Howard Show Hall of Tomm Costco Jason Zweig Refi Alaska
1.29.19 Mortgages going digital; Facebook dupes online game users; Hybrid-trained employees make more

Clark Howard Show

36:23 min | 1 year ago

1.29.19 Mortgages going digital; Facebook dupes online game users; Hybrid-trained employees make more

"This episode is brought to you by Comcast business. Businesses always been driven by innovators entrepreneurs and disrupters. That's why the company who built the nation's largest gig speed network is moving beyond beyond connecting your business to helping you provide better experiences beyond the best for your money to the best for your business at an even greater value beyond fast to providing more than any other provider provides Comcast business beyond fast. Visit Comcast business dot com for more. Great heavy here on the Clark Howard show where it's all about you. And that Walla yours I want you to learn ideas me so you can keep more of what you make. You're looking for bargains checkout Clark deals dot com. Coming up in just a few minutes yet another bit of ugliness involving Facebook. And you're not going to believe the conspiracy that Facebook was involved in that I'll be sharing with you. Coming up later. There's new data on what job skills lead to the greatest job opportunities greatest pay and greatest career growth. I'm gonna fill yen. And I wanna talk to you right now about something that if you have not taken out loans in a while. Or you're taking out a mortgage for the first time. Oh, you're doing refinance. There is a shift going on right now in the mortgage industry that creeps out a lot of people that are older, and is the only way should have been done to people that are younger taking out their first mortgage, and that is. Instead of you having let me first say this for people who've never taken out a mortgage, historically, the way mortgages are done and refi done is pretty much like they were done in nineteen sixty five except worse. You have to have paper on top of paper on top of paper. You have to see if in your mortgage application, you can be single handedly responsible for destroying several trees because everything's done with these check sheets, and every single document being marked off that it's been it's they are and all that. And after you send documents they'll say, oh, we need these documents ARE sent him. Well, we don't see them send him again. So more trees, go down. It is one of the most inefficient sectors. There is in capitalism. But the. Change taking place. Now is that there are more and more people in the mortgage industry that are modernizing how the process goes. And it started with a subsidiary of one of the nation's largest mortgage lenders in Detroit, and they came up with a product called rocket mortgage. And now what they have been doing is spreading bit by bit through the mortgage industry where you have an app on your phone. You scan in on your phone documents that they have asked for and you submit them electrically. And then there's no question the you submitted it, no more will. We don't care if you submitted it. We can't find it send it again junk there's nobody trying to get you to use something that's prehistoric called a fax machine. I mean, just imagine what it's like for twenty something who maybe is taking out his her first mortgage being told they have to go find a fax machine. This ancient technology that sends things over a traditional phone line. Seriously that nobody even has anymore so kicking and screaming the mortgage market is going forward, and you're gonna find that some are completely on board with doing everything digitally, others are doing a hybrid where some documents you have to send in the paper and others you can do electrically some just allow you to send full electric records for part of what's needed. So I know this freaks out traditionalist. But man, nobody's gonna say the way mortgage applications have been done in the United States the way, they were done was the good old days me tell you. They are really Masty terrible old days and modernizing banks are so poor at modernizing. It's just not in their DNA. But this is one sector that outside non traditional mortgage lenders are forcing change on the stayed bureaucratic slow to change banking industry for the good David's with us on the Clark Howard show. Hello, david. Hi clark. It's a great thumb to speak to you. Well, great to have you here. David you ever credit? Karma question for me. I will you explain your fellow listener, wet credit. Karma is. It's Serb eastep allow you. Check your credit. Rick bore the from two of the major bureaus whenever you want the. So you ought to not limited to the once a year credit to free credit report. And so not only see your report you get to see their approximation of your credit score updated every seven days for free. Have you been happy with the have you been happy with the scores showing you have. Yes, I I have them both the very close to a hundred I have seven ninety five on one and seven eighty five on the other one. And just the other night. Why walls lugging in to check those? Scores popout came up offering to enroll in a betta service called tragic flock, and they be fli describe it as being able with a touch of a button to lock and unlock the the credit report on all the three of of the bureau's. However, being at least sooner the the word free did not come up. So I was wondering also under the Billy the point of the bureau's. What is the difference between a credit lock and a credit freeze? This is such a great question, you're asking and is one that is confused so many people. So here's the deal the credit bureaus now because of congressional act have to make credit freezes. Free and the credit bureaus hate credit freeze because they don't make most of their money from selling your current credit score and credit report to industry the way, they make their money is selling your information over and over again to people who want data people maybe to offer things to or to check up on or whatever. And when you set in place a credit freeze you kill the end. Come that, the credit bureaus make from you? So they've all three come up with the idea of credit lock which does part of what credit freeze does. And that it prevents someone from being able to check your credit to extend credit to someone which is the great benefit of credit freeze. But it. Allows the credit bureaus to sit till two still sell your dossier to all comers for all other purposes other than making a credit decision. So they still make almost all the income. They'd make from you. If you do a lock instead of a freeze, the one other difference is that if one of the credit bureaus really messes up like equifax did last year, then you have no rights. I'm under a credit walk you, waive all your rights to go after the credit bureaus for negligence or anything like that. In the event that your information does get out when it shouldn't. So they're different. But the advantage of what credit Karm is offering you. And that's only as you said a beta only some people are being offered. This is it's a lot quicker and easier for you as a consumer than setting up credit freeze. I see. Well, that's being a low student then expel that explains. A lot as you said, maybe the credit freeze might be a little more trouble some to set up and to toll about there have been these towards the consumer different as you said exactly you're completely right? And by the way, I should mention and going back to the equifax story that equifax after all their gross negligence involving the massive breach of our data that will haunt most American adults for the rest of our lives that equifax is one year of what to me is worthless. Free credit monitoring is coming to an end do not let them kind you into paying to continue credit monitoring, by the way, if you've. Set up an account with credit karma, and your credit has to be at least temporarily thought to do that you set a credit karma count. You can monitor your credit for free without having to worry about somebody having done something wrong to get you a free year land is with us on the Clark Howard show. Hi lyn. Hi, good afternoon. How are you doing very well? Thank you. How can I serve? You. Lynn this Christmas. I purchased five kids for DNA testing for myself. My husband, my son is girlfriend in our grandson thinking, this would be fun. And. It is to me. But to a lot of people, it's not. Well, my son recently, I read on the internet, which obviously don't know if it's true or not one of the pharmaceutical companies happened to purchase this particular company. And my son is now hesitant and said, no he doesn't want to do it because he doesn't trust. What happens with the information? That is a very legitimate concern and one that people have been very worried about what happens with the data that twenty three and me now has on you or ancestry dot com has on you. Yeah. I I take the craziest position which is. I figure everything about us ends up out there. Anyway. And so I have talked openly on the air about what I found out about my medical future possibly based on what twenty three and me is found out. So there is a there is a concern what pharmaceutical companies might do what insurance companies might do. Or who knows who might do with the information on us? And so, you know, what some people have done Lynn in this case is they've done only the the family tree history type tests rather than the one that gives you the full medical. Okay. And you know, Twenty-three a me because of people's concerns has divided their sales product into one that just does family tree and another that does the full medical along with the family tree. So obviously, I just need to make sure that the one that I purchased does not do the medical aspect, but the family tree part of it is okay as best. I I can't think of what would go wrong with that other than when people find out that the people they think they're related to aren't necessarily which has been a terrible issue where people have found out family deep dark secrets and surprises. And so twenty three men ancestry of both had to train their customer service workers and basic counseling because of the surprises that have popped up. Okay. So I appreciate that. So I think it's all fun. But a lot of other people aren't fighting this all fun and games. Okay. Well, I appreciate your help. Thank you very much. Good afternoon to today's car courageous moment is something that is such a lesson in capitalism that if you get to the point where you cut corners that you lose your ethical moral, compass and business you can end up making less money in alienating more people than if you just did business right in the first place. Wait till you hear what Facebook was involved in doing in today's Clark rage. Rogge's Clark Regis moment. So this is a stunner reported in USA today that in court documents Facebook was involved in a conspiracy with game makers that was specifically designed and the game makers were encouraged by Facebook to cheat the families of minor children playing games. So people started playing a game through the Facebook platform. And there would be what are called in game purchases or purchases. Facebook was working with the app developers to specifically run up hundreds. If not thousands of charges on a parents Bank account or credit card. And specifically designed it as a way that the parents would not know until the Bill came Facebook employees involved in the conspiracy referred to children who were playing these games. A lot is Wales. And there's all these documents that clearly spell out that Facebook, actively conspired to steal money from families trusting Facebook as a platform Facebook encourage developers to get kids to spend money without ever getting permission from their parents. This is unconscionable. Facebook. According to court documents had an active policy, even when they got caught to refuse to issue refunds and the cost to families. Some some cases was in the thousands of dollars. Facebook says there voluntarily disclosing the failures they had in this area. And that parents can actually now process a refund of the money that was refused before. So I'll put up on Clark dot com information for you as a parent if over the last many years, you got cheated this way by Facebook to apply for and receive the refund of they'll gotten gains in Facebook. Shame on you. There's plenty of money to be made doing things the right way versus the wrong way. This epa. Sodas brought to you by ZipRecruiter. You know, what smart figuring out who you need to hire to take your business to the next level in twenty nineteen. You know, what else is smart starting the new year off strong by going to ZipRecruiter dot com slash saving to hire. The right people. Unlike other job sites, ZipRecruiter finds qualified candidates for you. It's powerful matching technology scans thousands of resumes to identify people with the right skills education and experience an actively invites them to apply for your job. So you get qualified candidates fast. That's why ZipRecruiter is rated number one by employers in the US this rating comes from hiring sites on trust pilot with over a thousand reviews and right now Clark Howard, podcast listeners. Can try ZipRecruiter for free at this exclusive web address ZipRecruiter dot com slash saving. That's ZipRecruiter dot com slash S. A V, I N. Gee, ZipRecruiter, the smartest way to hire. I'm so glad you're here with us on the Clark Howard show, where it's about you learning ways to keep more of what you make how about being able to make more. I got some cool information for you straight ahead. Our main website, Clark dot com. So wanna share with you a study that I have read a summary of I've not read the full report. But if you're interested will tell you where to get it in a minute. There is an organization called burning glass technologies, and they do job market research, and they have done an extensive study that I think is the second year they've done this of what the job trends are. And what you need to know to have the greatest job opportunities. The greatest chance for advancement and the greatest potential to earn more money in your job, and they refer to it. And this year's report as hybrid jobs that the people that are most sought after in the job market are people who have. A skill set that involves both the soft side and the hard side, if you will like is an example, somebody who is a theater major who also has a concentration in engineering or someone who studies human behavior, and maybe economics or statistics that the idea is that having skills that operate because most people go one way or the other they'll go liberal arts or they'll go something in the sciences more often in the liberal arts. But a mixture of the two. And maybe a major and a minor or two majors or where you have specific hard science knowledge, and then have one related more to humanity that those two things together. Make you far more desired in the workplace having far more job openings available to you and the pay level. You'll get will typically be in a hybrid job forty percent higher. But that's not all the job growth for jobs that require somebody with hybrid skills is twice as great moving. Forward. The chance that your job will be eliminated because of technology, automation, whatever. Is one fourth is great when you have both sides skills from both sides of the brain. If you will. So if you want to have a greater deep dive on this go to this website burning dot burning dash glass. Dot com. Earning dash glass dot com. You'll see on the right hand side of the front. Page information on the new twenty nineteen study if you wanna dig deep you can also linked to the twenty eighteen study of how hybrid employment works, and I never want. You to study something just because it's good in the job market. I want you to do stuff that you'll enjoy. But there's no reason you can't do both sides of that. I think about one of the early adaptations of this before this term existed started probably oh mid last decade. When it became common that people that were artists also studied computer skills as the designing of art migrated, mid last decade from people sitting with a scra-, you know, a sketch pad or whatever immigrated to people creating often on a MAC computer with a giant screen, and that required two sets of skills, one computing and the other the art skill that marriage of those two skills led to people having amazing career success in a field that historically had been something people were pursuing what they loved art. But it didn't bring a lot of job opportunities available that paid. Well, now, the combination of those two does just that. Moses is with us on the Clark Howard show. Hi, moses. Glory. Thank you for taking my question. Absolutely. Moses. How can I serve you? Yes. I have something in my credit reported not letting me get in the -partment every time I try to get an apartment that they come up with that. And I called the company and they say they were settle with me for half the price. But my question is how do I make sure that is the Jit in? How do I how do I know they're gonna take it off my credit reporting? Oh, how do I go about taking that off my credit report after I paid them the amount or so let's talk through the possibilities. What kind of debt was it? It was an apartment that. My roommate did not pay but there. Yeah. Pardon me. It wasn't my my name that is the worst scenario when you're trying to rent an apartment when they see an unpaid debt for an apartment your is discovered. You're dead meat trying to rent one. So making a deal with them as fine. But only if you get that deal in writing and the writing can be in an Email. Okay. And so the you would need from them saying that we will accept payment of these number of dollars is full satisfaction of this debt. And when you pay that I recommend that you pay them by money. Order money order. Okay reason I recommend money. Order is that if you pay by credit card you pay by checking account you pay by debit card. There are some dishonest collection agencies that once they have account information. They will continue to debit or continue to charge. Even though you have already paid as agreed. Okay. And so if you pay by money order they've got nothing that they can use to try to get more money out of you improperly. Okay. Okay. But but they don't get anything from you too. You have something in writing either by letter or Email saying that that just as they have said to you. That they put that in writing, and that you honor that by paying that amount of money to them. So okay now, I wanted to go to something you said getting it removed from the credit. All right. So the way this plays out is if and you can make a deal with a collection agency that if you pay something they agree to remove it from your report, but you'd need that from them and writing before you paid them the money you've agreed to. Happen is it will still show on there? But it will show no balance owed, which depending on the apartment management group where you'd go to rent maybe enough for them or it just even being there could still be a problem. I see. Okay. So remember till you give money you actually have all the power. All righty. And be more careful picking your roommates moving forward. Leave me. I I will. That's to you Bill is with us on the car coward show. Hi, bill. Hi clark. How're you doing today? Great. Thank you Bill. You are one brave man. Well, you know, it's funny. I was listening to your thing about hybrid jobs, and let me tell you being assisted chief of a busy firehouse is all about hybrid jobs. So you deal with a human things all the time. And then you have the the science of fire fighting all mixed together. Yeah. Live with guys for forty eight hours at a time psychology, definitely becomes a a good thing to have on your side. Well, you know, I think that most listeners are not aware that will you do as a firefighter is one of the most dangerous of all public service jobs. Yes, there's so much going on right now with first responders having a suicide issues, and then there's also the cancer risk. So they are the NFPA national fire protection association is a dressing es. And our training has changed a lot to encompasses. But still it is a dangerous job. And is it true? That ninety seven percent of calls now are not for traditional house. Fires therefore responding to a car wreck or a personal crisis or medical emergency or whatever. Yeah. In our in. Currently I believe it's like across the country. Sixty five percent of all calls now. Our EMS emergency medical services calls. I can tell you in our fire department. We have not faced a house fire last year at all. All but the mono- car wrecks was probably in two to three hundred range. And then of course, the opioid epidemic keeps very busy also. Yeah, I know I I have a lot of sympathy for these people. But at the same time, they just keep doing the same thing over and over again so Diogo around with Narcan kits. Yeah. Actually, we do carry Narcan. And it's it's amazing. How fast that stuff works? And you can honestly, you know, when the person says, oh, I haven't been doing any drugs. Like. With an item that only works. If you've been doing drugs, right, right? Okay. Oh, man. Well, how can I be of service to you today since your service to your fellow citizen every day? Yeah. Well, I love what I do. I have a question for you. I have the option to retire h shifty five and I am fifty fifty and a half right now. And if I stay till sixty I can get an extra nine hundred dollars a month in my check, and I'm just trying to figure out that'd be an extra five years again extra nine hundred dollars in my retire. It's a defined pension defined guarantee pension plan. I don't know how you call. Those those are becoming dinosaurs. You're lucky you still have one of those. Yes. In thankfully, the state that I work for is at I think the pension plans funded to ninety six percent. So I don't really have a worry there. But I my big question was when I'm doing out the math trying to figure out how long it's gonna take me to recount. So the state will pay me to sit at. Home at age fifty five roughly about sixty percent of my paycheck. Or if I stay till age sixty gonna be I'll get an extra nine hundred dollars a month. But at cream my calculations it's gonna take me as fourteen years to make up the money that I would have got paid just to sit at home anyway. Yeah. Exactly. And that's the same kind of calculation. You have if you looked at when people take social security or whatever. But all right. Let's talk about how you make that decision. So you retire fifty five whence he made it age fifty five the odds skept pretty favorable. You may live into your mid eighties as maybe an expected lifespan. So you said it would take at age sixty would take you nine years to make that fourteen years fourteen years, so you'd be seventy four, but then from that point forward, you're getting significantly more money every month. Right. As long as you live or the other. So it's really a question of you answering this with a lot of things that are more judgment calls on your part. I if you love going to work every day, and you'd miss it. If you went out the door fifty five then you stay on the other hand, if you're at fifty five year counting down the days till you've completed another seventeen hundred and seventy days or whatever that additional five years. We'd be if it's like a mountaineer climbing in psychologically, then go ahead and walk out the door at fifty five. Good because that's kind of that was trying to see if you had any advice on that. Because you know, I've been thinking the same way you've been thinking, and I haven't ever heard this really addressed on the shows that or at least I've missed it. And so far everything you're saying dovetails exactly with my thinking. So I guess I'm gonna have to wait and see and see how much I'm enjoying it at eight shouldn't five it. I'll tell you. I'm working with twenty year olds. And it gets a little harder at this age to keep up with those guys. Oh, well, can I tell you? I have a big cut on my nose and a bruise and my nose is swollen. 'cause I was working on wrong to your wife. No, not to my wife. I was working on a habitat for humanity crew with all twenty somethings. And we were running trusses up ladders, and they just went a lot faster than I did. And the trust hit me square in the nose and blood. Just pouring down. My face this past Saturday is bleeding again today. So I know what you mean about try. Trying to keep up with twentysomethings. I can't really do that anymore. Sixty three even though I was trying cheryl's with us on the Clark Howard show. Hello, cheryl. Hi clark. I just want to say first of all how much I appreciate your kindness and your spirit of patience and generosity that you give all your callers, it it means a lot. And there is another financial guru who does phone in radio shows who's all about being debt free. Who is not as kind and generous, and and wonderful as you are. And I appreciate well. He's a great guy just has a different manner. He has a very different manner. And and I and I love yours Q. So I have I have a question. I'm I'll be sixty five this year. And I have heard say, thank you. I'm not taking it. Well, but it's better than the alternative. So I have some bond funds, and I have some other investments, but I really want and I'm still working, and I really don't see any thing in the future. Where I would stop working love my job. And in fact, I'm going to get my real estate license this year rayon in. So I'm I read across this thing called fund rise. What would you have to say about them from from the from the surface, it appears to be maybe for lack of a better word of mutual fund for real estate? I it's that it's not quite to that. It's one that's offered in a different kind of format where with a mutual fund your money is available to you at anytime. Okay. When you invest through fun rise, you pay a fee that's typically around one percent for investing in real estate through them. But when you request a sell there's a back end charge many times of an additional three percent on all the money. You have with them, and they have the right to delay. Paying you. The proceeds that you when you wish to sell out or bail out. So it's a different kind of form of invest save. You're looking for liquidity with real estate. This is not it for you. For something where I can make more than what I'm making with bond funds. And and my other investments, which I you know, I have two vehicles one loss six thousand dollars last year for one made four so I really only made two thousand dollars except horrible go up and down up and down. Right. If you're interested in having a real estate quotient compare fund rise to some of the re funds that are available look at Cohen and steers realty. Look at the vanguard reet index fund look at the costs involved with them and the ease of getting in and out as an alternative to fund rise. You're listening to the Clark Howard show. Thanks for joining us today. The Clark Howard show is produced by Kim droves. Joel LARs guard, Debra Reese, and Jim Ayers and remember twenty four hours a day. We're there to serve you a Clark dot com and Clark deals dot com.

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5.28.19 Do you need premium gas? Probably not; Few college grads know basic personal finance

Clark Howard Show

35:42 min | 1 year ago

5.28.19 Do you need premium gas? Probably not; Few college grads know basic personal finance

"It's my pleasure to welcome you to the Clark Howard show, which is here for your empowerment knowledge, so you can keep more of what you make so question. What's your knowledge of investing basic investing, there's a new report from market watch that for most of us not very much? Coming up later, we talk about your tank, well, the tank in your car or truck or SUV. What are you putting in that tank? A new report from AAA says that we as Americans are collectively wasting over two billion dollars a year, buying premium gas for vehicles that don't want it or need it. Now what's the one or need? So this is weird. But do you know that putting premium gas regularly in a vehicle that was designed to run on regular can actually cause long term harm to your vehicle? You think you're helping it by spending up to fifty cents a gallon more for premium, you're actually potentially hurting it. In addition to hurting your wallet with every gallon that goes in. So this really occurred to me the other day when I was filling up rental car, and somebody came up behind me and Toyota Camry and was putting premium gas and Camry, I was like, man, you're driving the most reliable. I guess rolling appliance there is. And then you're turning around thinking you're treating that Camry better by putting premium in it. Oh man. Still bothered me. And then I saw the triple a report of the two billion wasted dollars. Now, if you go to open your fuel filler door, and it says, premium recommended that means it's not necessary. It's only so they can advertise higher horsepower for vehicle, only if it says, premium required premium fuel only. Do you need to put in premium fuel and that's almost no vehicles on the road? So stop wasting your money put in regular gas while you're at it. Shop for the best price with oil prices having moved up, what we're paying for a gallon of gasoline, having moved up pay attention to your tank when you're at half a tank, that's when you should as your normal routine when you drive by and you see a station with a really great price. Go ahead and pull in and fill up, don't wait until you're on Hume's and have to go into whatever the next station is and pay too much. Richard is with us on the Clark Howard show. Hi, richard. Great. Thank you, Richard. You are retired. I am retired and I'm drawing attention, my wife is now getting ready to retire and a few months, and she will not yield for a pension MSCI has so sphere. Course and a nice four one K. What do we do now? So first things. First and congratulations. Both the get to bag work your pension that you have. Added to the social security that you both receive or she'll soon receive and you'll both be receiving, what amount of your monthly living costs, will the pension, and the social security checks, cover will they cover a hundred percent of your monthly living. We're, we're longtime park our listeners, and we are basically dip free separate our mortgage. We have no credit card debt vehicle, not as and you have a mortgage to move to a one story house, because physical inability around my old home, which at multiple stories, and we sort of small mortgage now other than that, we were every, so you can live comfortably on the pension, and the to social security checks. Absolutely. That's great. That's great. So then, as far as your wife's 4._0._1._K, you keep it invested as if there's a long-term Wendo till that money will be needed. So instead of going really conservative with it the 4._0._1._K should continue to be invested as something you hope to grow over time, instead of preserve over time, current investment, people that have now that's fine. If she's happy with them. We, we have no complaints with them. We were just wondering about mandatory drill down people. Keep talking about they don't want so security meeting big changes next year and that might affect us. You know, don't worry about anything any noise anybody says about social security. That's a political thing. And congress is not going to mess with your social security. What was the other thing you said, well, a mandatory drawled that's not till age seventy and a half. She'll be secure six when she retires. And if year don't even Fred about that, because that is an area that very well may end up changing is the required minimum distribution. So don't even begin to think about that yet. Call me five years. We'll talk about we'll talk about how those rules are going to work. She's what she should take it, Adam news. Either investments with with her. 4._0._1._K you know again because the need for the money is so far in the future for that, maybe at some point in both of your eighties where you need money for more medical care. Whatever the big goal over the next twenty years is for that money to be broadly invested, but still with an eye towards growth because you don't need it for current income. And the fact that you are so careful with your money and you have saved so diligently, you have your expenses, so low with virtually no debt at all. You have set the table perfectly, and you throw into that mix that you have a pension. Wow. The two of you are so set for retirement. One thing I want to ask you, you said you needed to move to the one story house. How is your health and how's your wife self? Down quicker. And she is overly, but it should mainly joint damage a male hip, somebody like that. They regret walking downstairs. Do you know why ask that question? I'm curious what your strategy is. If either of you need long term care nursing home care system living facility down the road. All right. So that's something I'd like for both of you to look at, and you might consider getting if you can medically qualify long term care insurance, because that would be the one thing that sits out there that could be a big budget BUSTER, and you got, like a two thirds chance that one or the other of you would at some point need long term care. I've got a little bit of information many guide on how to shop for long term care at Clark dot com. Coral is with us on the Clark Howard show. Hello, carl. Hi clerk. I got a general hacking type question for you. What's an occasion stuff? So what about I want you to talk about Bank accounts and routing numbers in, in kind of the, it seems like there's like a wide open whole number ways. If, if a hacker got a hold of those things, you know, from your credit union, brokered, your Bank account that they could explain you, you know, from creating a false check to maybe doing away or transfer. Could you talk a little bit about how you? Okay. So I've got to talk about the possibilities at the same time I don't wanna create absolute paranoia. But let's start with with the facts you just said, so if somebody has a copy of your check, they can do Kate that print checks will they can present a draft against your Bank account, or credit union account, and unfortunately, banks do not have the same level of security with draft presentations, as they do with checks. And yes, somebody could at least temporarily make off with your money. I mean to deal with the brokerage stuff in a second. So do you know who's responsible if a criminal goes in and takes money from your Bank account, or credit union account? Who is responsible? Yeah. Boy, I don't know the Bank, responsible, the banker credit union, if a criminal presents a fraudulent draft or a criminal prince up checks on your accountant and has a field day with them the Bank or the credit union. They're responsible for the loss is long as you notice and report and a timely fashion, the ceiling on reporting is sixty days. So you're given a lot of time to say oops, what happened here. And the only way a Bank or credit union cannot, reimburse you is, if they claim the you are the actual perpetrator who stole money from yourself. Right. You almost have to prove that it's not you, right? Well, actually administratively in theory, the Bank or credit union has to prove it was you. Is once you notify them, they have to either give you your money back permanently within fourteen days. They call it ten but they don't count Saturday and Sunday. Or give you what's news, a provisional credit. Pending the completion their investigation also within fourteen days. Okay. What about while you're transfers? My credit union brokerage account or tied and that seems like a similar hole. Yeah. So that's why I wanted to talk about the brokerages separately. The brokerage houses are not under the same legal requirement is the banks and credit unions in the brokerage houses are for more vulnerable, because that's where people who have money are going to have their money. I mean banks account for under ten percent of people's assets. Now overwhelmingly anybody with money is not gonna take the lousy deal. They get from a Bank, they're going to be at a broker. So the brokerage is a big vulnerability now several of the brokerage houses have express guarantees the U F zero liability, if your account is emptied by a fraudster or harm by a fraudster. So even though there is no. No explicit legal protection. You wanna make sure that the investment house, you're using has a clear and unequivocable word service guarantee that in the event that a fraudster hits your account, they restore your funds, and full basically got a monitor and look for this trouble. Exactly now on the wires. You want to remove permission at your brokerage house for accepting electron, ick, wiring, instructions. If you wanna protect yourself in this area, you want it to require that you go in, and they see you face to face to initiate, a wire transfer. It creates inconvenience for you. But if a criminal has successfully hacked into your account, you create a barrier that's too difficult for them to overcome when you don't allow elect. Tron ick wire transfer. He did you have time for one side question, here on slightly related topic, shirl quick. Go right ahead. You often mentioned these checks, camps, or someone gets check that looks like it's on a Bank. You know, everything looks legit that it takes six weeks for that. Check the flop to fall over. Why does it take so long to for them to decide the check won't clear? I haven't had well, the check here's the crazy thing that check may a nationally clear and the, the process that involves at bouncing back often is very slow manual process. So why it take six weeks? I don't know that, but that's the number, I've heard because it seems like it would bounce back within twenty four to forty eight hours, but that has not been the experience of people, I've heard from who've ended up depositing these checks. And much, much later, the checks of intially come back. And again, I have no idea coral why that takes a long. There's a widely held belief that procrastination is a bad thing. But life isn't so black and white sometimes procrastination can work in your favor, for example, if you need life insurance. But you've been putting it off. Congratulations. You've managed to request an eight long enough for technology to make it easy policy genius is the easy way to shop for life insurance. Online in just two minutes, you can compare quotes from top insurers to find your best price. Once you apply the policy genius team will handle all the paperwork and red tape, there's no sales pressure, and no hidden fees, just financial protection and peace of mind. So if you need life insurance, but you've been busy doing literally anything else, checkout policy genius. It's the easy way to compare all the top insurers and find the best value for you policy genius dot com. Nobody wants to shop for life insurance. That's why we've made it easy Jim joins us on the Clark Howard show. Hello, Jim Clark, gem you got a question about something nobody ever later on. I shouldn't say, nobody almost nobody later on says, yuppie, I'm so glad I bought a timeshare. How long ago did you buy one? We've got to actually and we've had them both for probably twenty five years. So you went through a longtime. You actually liked having them. Well, you know, in one our kids, actually grew up going same week ever, you to the same place and met friends that they'd see every year. But the kids got older, we might have gotten a little bit older too. But no, we did enjoy it for a while. But we've listened to your program enough to know that you can't get out of it or there is no legitimate way get out of it. I guess, but we're wondering what happens when my wife and I passed away, can the kids, just ignore. They things they can't ignore them. They can renounce them. But what, what you should do is seen this more than once this terrible thing, I'm gonna say, some only saying this tongue in cheek you're supposed to put them in your will to give to somebody. A you don't like. And leave it for them to deal with and renounce. Yeah. And that terrible. Well, it seems like an effective way to get even with somebody. No, it's really hard. I mean it's a real problem. So, yeah, if you wanna make sure you don't create any kind of burden for your kids. You can either not name anybody in your will to receive them. And do you have a will. Yes. Okay. And you can tell whichever kid you appoint is executive you appoint one of your kids is executive that your instructions. Are that whoever's supposed to get these renounces? The inheritance that nobody wants it. Okay thing with a time share. Is that if you're not careful you create a perpetual obligation that goes on after you've passed away, and that's obviously what you don't want to do here? And it's another example, even though when your kids were younger the timeshare was something, you could look forward to use the problem because you can't get rid of them is that something that was a pleasure. At one point later, does become a burden. It's really thing if there's somebody really don't like Jim, it's there's great to have you here on the Clark Howard show, where it's about you learning ways to save more and spend less and don't let anyone ever rip you off Clark dot com. Our main website, Clark deals dot com, where you go to save money, each and every day, so Sallie Mae, the big student loan lender did a survey recently of bay. Basic investing knowledge of college graduates. They didn't even do the general population that called the herd to include only college graduates, and they asked them for simple investing questions and remember four question test. How many people got the four questions, right? Little more than one in five. Overwhelmingly people flunked the test, they could not answer. Basic questions about investing and. In addition to investing, there was one asked about just. An interest question about credit cards and paying interest on one and how much the interest was and all that they couldn't answer them. Couldn't answer them at all. And so, I want you to know that no matter what somebody's degree is in. So mak- have studied economics or math or whatever we have not as a society done a great job, connecting people to basics about everyday USA, money, savings credit investing, and so. That's generally a societal failure, but it has personal consequences for you. So. I don't think it's necessarily important if it's not your area of interest to weren about how interest rates work on credit cards, how interest rates work on Car Loans how basic investing works. I don't think you need to know that stuff necessarily, if it's not your area of interest. But what you do need to know the ways to handle something. So let's take something really simple, credit cards that or something that so many people get in trouble with so the rule you should follow is so simple. You don't have to worry what the interest rate is on a credit card. If you only ever use a credit card is a payment system. Meaning you only ever charge on a card. What you in forward to pay when the Bill comes in each month. That's really the only rule you didn't know about interest on a credit. Card period. And by the way, over and over again, I hear from people that oh, isn't it better for my credit and my credit score? If I run a balance on a card. No, it's not what's best for your credit and your credit standing and your credit score. Is it, you pay every credit card Bill in full every month? And if that's not possible for you. Because if you have the plastic, you're gonna use it the important thing is you don't use a credit card anymore. I mean is that simple? When you get down to the core a personal finance. With investing. We so overcomplicate investing. That's why I've got the investment guide at Clark dot com. The idea being that you in just minutes can be on the path to saving for your future. Investing for your future in light threes steps, because the most important thing is it you're investing money that you're putting money in on a regular basis each and every month. Is not important to me that you understand investment theory. Or understand how Wall Street works or anything like that. The important thing is that you're living on less than what you make and the year taking that lesson what you make and putting it to work for your future. Paul is with us on the Clark Howard show. Hello, paul. How you doing? Hi, I am glad to be with you. Great Paul a you are dealing with a call from the I. R S, what the IRS tell you, they want it. Well, they had quite an dating voi- saying they had been investigating my file and have been found one team and that there are several areas that I have been hiding, and they need to be dealt with immediately and here is a phone number that you must call or we will take the steps necessary. And I hear in your voice, you know, this is completely scam not only because if you're great communications to us. But just as an individual, I know that the IRS will never telephone. That is right. They send these letters that would make you think there's no humans bear fit or so dry in so impersonal and they're not mean at all. They're almost like somebody saying, well, we looked at your numbers, and this, and this by blah, blah. I mean, and so they're very, very nine threatening in their communication, and it will come as a letter to you. Never by Email never by text never by phone call. I really wanted to call the number again me, but to be truthful, I was afraid that I would somehow dial into something that was like the old thing that used to happen where you dial a number, and you suddenly get a Bill for hundreds of dollars and things like that. The what was called the eight. Oh, nine scam at the time I'm not hearing about that much anymore. The real thing is that you would identify yourself as a potential Mark, they'd have your number two side that you were a fresh target that they could go after repeatedly to try to intimidate you and the most important thing is no one should ever ever ever return. One of those phone calls replied to attacks reply to an Email. Where do we send it clock? Where do we send it to someone? You just did you just did. I mean you just told millions of people, and that's the real power that you have, you know with these scams. The most important thing is for people to be informed because if you know how the games work, you avoid doing them, as far as reporting dinning legal authority or anything like that. Don't bother don't worry. You've done your. Job already with what you've done by being here with me sharing with your fellow Sner it makes you a member of team Clark. Ruth is with us. Hello ruth. How are you taking McConnell clock? I have a question about a ring that has a loose diamond on it, and I wanna get it repaired. But I don't know how can be shooed that I can get the same diamond back that I take into it. You'll restore a great question. What would you guess is the value of this time? The ring itself, I think is about sixteen thousand dollars. Okay. All right. What you do in a case like that is, you go to see in advance of taking the ring into get repaired, you go see what's knows a graduate gemologist. Okay. And you have him or her math. The stone every diamond has kind of like a unique mapping to it. And I don't know if you've ever seen a map diamond, but it's one of those things that's like wow. What cow precise, this mapping is. But they look at it. Under a scope. And they, they draw the map of that diamond so before you would take it in to have a repair done. You get it, Matt by graduate gemologist then you go back to him. Or her later to just check to make sure that the stone that you get back is in fact, a dental to the one that you took. When I've had the coal in the past someone after they've had a diamond setting repaired. And they think they've had a diamond switch on them. There's no way to prove it, because they didn't have mapping ping is almost like the unique DNA of a diamond different from juiston appraisal completely completely different than an appraisal appraisal is just an estimation, usually fern, surender purposes, what the value of stone is, but a mapping the stone is what gives you what you're looking for. Okay. And I would just look in the phone book onto gemologist. I haven't worked in a phone book ears. I yes. I'll tell you of funny story. We have a, a vacation condo, and once a year, the phone company delivers phone books and they delivered them to the lobby for a month. The pile never got any smaller. Nobody took there were thirty six units. Not a single phone book ever left that stat. Zero for thirty six wanted a phone book. So I don't even think that way anymore. I was gonna say where you go on the internet. And you put in for graduate, gemologist with your city name, but I, I guess I would work at a phone book. That sounds even easier. Just go onto the internet and look for graduate, Jim out, right? Go to Google or or. Bing and just put in a graduate gemologist. And then next to it your city name, you'll see the names of ones, and then how would you go picking a tad? It repaired aunt. Well, you know, after you haven't mapped after you have you could ask the graduate, gemologist him or herself, or they like for repairs. Okay. Great. That's good advice. All right. You take care. Thank you. Bye. Okay, joe. How are you? Good. How about you? Great. Thank you, Joe. How can I be of service to you? So I'm thinking about refining my house. But my big question is, is it ever that idea to refi your house? If your mortgage interest rate will go up. I currently, oh, about keeping number around two hundred fifty thousand I haven't FHA loan with a mega Bank that, that three point seven five percent. And I'm a twenty five years or so left on that. And I do paid PM. I on it, actually you pay if it's FHA you're paying called 'em. IP. Never goes away where PM after a certain period of time. And once you develop enough equity, you can remove the PM I, but with an FHA loan. That's a forever. So I got in actually a few months before they went to that. So actually can't get rid of the PM I once I get to the seventy eight percent of Mon value. Oh, well, that's great. So that will take me about nine more years based on just paying at his with the mortgage. So the new rate that I would get with the four point three seven five, it would go back to thirty year and I would get rid of the PM, I and it would pay me about another twenty dollars or so a month. Definitely. Don't do it definitely don't do don't do it. Because you have you said you've paid four years on the loan already yet. Both of the five. All right. So you're nearly five years in you go back into a new thirty year creating an enormous additional liability. If you figure out that you are going to pay nearly five years of additional payments, almost equal to what you pay now. In mortgage, plus, with the mortgage insurance that will at some point, go away. That would not be a good deal for you. Okay. Now, would it matter potentially not? No, okay. No. Because you re amortizing the loan, you're basically, starting over your reducing how much your principal would go down each month. And so, I would not consider that. Okay, especially if you're not going to stay around a long time to refi into a higher rate and have closing costs on top of you may not be able to recover in the time period, you might want to remain in the home. I would say there's, there's several reasons why you don't want to go that direction. Now, would it change your mind at all? Closing. It would not change my mind because the savings of only twenty dollars a month doesn't make it worth it for you to go into what is a higher rate and five additional years of debt. The total is about two hundred fifty nine dollars a month, but it's only twenty dollars off the regular payment, the other, the, the loss of the PM I going to conventional loan. You lost me there. So they're saying that the total monthly savings at two hundred fifty nine dollars a month off, if I go, but that's not true savings, because remember Reimer tising alone. Think of it is if you have a twenty five year loan right now and you're going into a new thirty year loan just because it has the appearance of a lower payment. It's not really because you've added in additional twenty percent of time to your loan amortization. Okay. Gotcha. So this is just I can't think of circumstance where what you're saying would make sense. And it's good that you found one this no closing cost. But it still doesn't make these numbers work for you to do this particular switcheroo g line is with us on the Clark Howard show. How are you doing? I'm well, how are you? Great. Thank you. You were doing a great thing as a daughter, helping to take care of your mom. Is that right? Yes, exactly. My sister and I kind of swap off calling various doctors, and she's had some health issues. And so we're always calling someone asking questions and just trying to keep track of that we're looking for some sort of web based application that we could like alive documents. She could make changes. I could update it Kubota. See what one another is doing. You have any recommendations guide. It's free and I love it so much. We wrote my last book where I collaborated with my co author on this particular app, and I loved it because it was free. And also because it works perfectly for what you and your sister need to do. And it's a free product from Google called Google docs. Okay. Yeah. I think my daughter uses it in school. See your daughters all. She's the one who could answer this, right? Google docs, Google docs is fantastic. Cause you can write you can add, it, you can collaborate, and you can do it on your phone. You can do it on a laptop a tablet. However, you want to the two of you are able to collaborate and keep up today. That's perfect. Exactly what we want. And then you can you can have other people look at it to, like my brother. Exactly. You can have you can have read only people, the, you know that you share with you can have people you give full permission to that can both read and write. And in other words, edit, so it gives you exactly what you need is a family to be able to communicate on what's going on with your mom. That is perfect. Thank you so much. Sure. In, you know what? It's so good is cheap as I am that even if I had to pay for it. I would pay for it for collaboration. It's so good. But the price of free is what makes it incredibly evalu-. You're listening to the Clark Howard show. Thanks for joining us today. The Clark Howard show is produced by Kim. Droves, Joel LARs guard, Debra Reese, and Jim Ayers and remember, twenty four hours a day where there to serve you at Clark dot com and Clark deals dot com.

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2.7.20 Mortgage rates are incredibly low right now; Clark Stinks

Clark Howard Show

35:33 min | 6 months ago

2.7.20 Mortgage rates are incredibly low right now; Clark Stinks

"Welcome to the Clark Howard. Show where it's about you learning ways to keep more of what you make. Clark Dot Com is our main website. CLARK DEALS DOT com. Where you go to save money each and every day coming up later Clark stakes? Were you get to hear what others who posted where you might disagree with me. Feel like I've given bad advice nicer. You think I'm just plain wrong and that's coming up for you. So there's an amazing set it of events that have happened because of the tragic corona virus. And I've talked recently about what it's doing into the travel industry what it's done to gasoline prices so many areas outside of the tragic illnesses and losses of life that are also factors as a result and one of them is that mortgage rates have dropped significantly. And and there's some very unusual patterns right now that affect you as somebody you might refi normally. There's the very large spread between thirty year loans in fifteen year loans but right now that spread is quite quite small. Spread between the two is about a quarter of a point or three eighths of a point very very low so historically. I've said anytime somebody calls me about doing a refinance. A say what you thought about doing a fifteen year refi. Because you're going to save this much in interest rate and you'll be outta debt and half the time Bob Blah and right now because of the unusual reaction to the money markets markets to the corona virus. What happened is the thirty year loan rate got squeezed down fifteen year loan rates? Not Not so much. So you're gonNA find that the rates available on thirty year for borrowers with really great credit. It probably somewhere right around three and a half percent more or less depending on local market conditions. And that's really really outstanding again. That's for people with credit scores in the mid. Seven hundred or above fifteen year loans right now about three an eighty three and a quarter right in there so not that huge huge gap that. I'm used to between the two of those but there is an opportunity right now for people if your rates are north of four percent and you have a good credit score. There's an opportunity for you to refi into a new thirty year loan or even even now with the spread not as great into a fifteen year as you're still getting lower rate and you're getting out of debt so much quicker particularly if you've been in your loan for several years and let's say you've got twenty four years left on your loan you refi into a new thirty year you've now added six. It's more years of debt into your life and massive amounts more interest over the life of the loan. So that's why I remain a real fan of the fifteen year even though we have half of the argument. Really working for me There are a lot of economists who believe that the the rates dropping just before the kickoff of the spring home buying season could actually inflate prices that it could could bring more people off the sidelines. Who will want to take advantage of the lower rates and that will create additional demand in the housing market? Good and we'll just have to wait and see if that's how that plays out Christie's with us on the Clark Howard show. Hi Christy. Hi Clark Clark. I had a question for you on the four zero. Three B plans that you keep discussing all your podcast I am employed with a university. Hospital offers these plans. But I'm not sure of mines are different than the ones you talk about because the plan it's not with one of those What the health care One of the hideous insurance companies crack crack Yes It's actually it's actually with one of the investment that you highly recommend And what go ahead and name. I'm okay with fidelity okay. So you have a fidelity for three B plan so does everybody at your hospital system use fidelity for the four zero three B. No so we get a couple of different options okay show fidelity but but you only have a couple of options right. Fidelity will disclose to you fully. What costs you're paying and have they? Have they done that. Is that pretty clear to you or do you need to ask for it. No so it says that there is a zero point six five percent expense ratio. Okay and that's that's not horrible. That's that's in the realm that would would be okay. Are there other expenses. You have to pay. Though any insurance type costs the you have to pay in addition to the point six expires. No and what My employer does is they give us the contribute six percent And then they match one point five to one point five percent two percent. We contribute up to two percent so basically I contribute to percent and they contribute nine percent. That's fantastic. I'd like. The costs are low enough unless you're in a position to put additional money in a roth. Ira I'd like you gradually to increase the amount you're contributing to that fidelity for three B.. I didn't just get stricken in down by lightning did I 'cause you know compared to what I read and hear about for three B plans those costs. If that's that's really all land point six five VAT is low enough that it's officiant for you to use that as a way to save for retirement. Okay 'cause I do Max out my Roth. IRA great by. I do have additional money so I didn't know whether to put more into my four zero. Three they were as bad as you said they do. More into that for three. Be Okay unless you find out and I'd make a call to fidelity just to make sure that the point six five is total. There's no other fees. Oh by the way you're playing the paying this plan charge of another one percent or whatever if you find find out anything like that you would not want to add to it but if it really is in total the point six five then it would be great for you to increase reese your participation in the plan all right thank you and do you know how long it's been since I've had anyone call me with a four the three BS scenario that I that I didn't get all crazy about it. You know in a bad way. Well I actually called the -delity right before before I went online with well right before I'm going online with deal and I asked them and other expenses and they told me no. I did the work before going. There is great and good for you doing the research and homework so you can breathe easy contributing to that for three B because because there are rare exceptions and you got one there all right thank you thank you. Wow so exception to every rule right now. Let me let me add an annex to this if you hear this hero. You know that Christie's got these fidelity funds our the money's going into let me draw clear distinction for you with the difference a lot of times a four. Three B plan will be administered by one of these ultra high cost Austin insurance companies and in there they'll have investing choices may be from one of the good companies vanguard fidelity something like that. But you're still paying massive costs because they're charging you not just what the expenses are on the funds but then they're charging you these gigantic manic commissions and expenses for having them handle the for three for you so just because you say oh I'm fine mine has fidelity Elodie in it or I'm fine man has vanguard in it not necessarily at all. You GotTa know the whole picture Edwards with us on the Clark our show. Hello Edward Clark pleasure to talk to you great to have you here. Edward What's up Just wanted to ask you It's time for us has to file our taxes Me and my wife and we have pretty good income and but we have no deductions and we own a modest house so it always seems like we're having to pay a little bit into you To our federal taxes is your looks like we might have to pay more but my question was. Is there really any tax advantage to being married. It almost seems as if it'd be single that's such an interesting question so you could game this by using tax software and just put in both of us separately and say you're single. Just answer serve curiosity but what most often people would do as a married couple is. You'd run the calculation married filing separately and then married filing jointly and see which gives you the best overall tax bill. Have you ever have you ever tried to game and see what happens if you said you were both single I'm just ran the numbers but I've never obviously I've never filed that I don't want any issues. I understand saying that I'm just meeting the scenario was it cheaper To be single. Yes yes y'all yes. Yeah you're actually would have had money come back both of us but not not this year. Well that is unfortunate. I think about how many senior citizens now don't get married because it will hurt them. In certain scenarios Areo so much with social security is an example so the tax code is supposedly designed to encourage people to get married. But it doesn't always work out that way but I'm looking at the The single rates and the married rates and it comes out when I'm looking at the rates now that the tax should be the same for. I never looked at this. It should be the same for two single individuals adding adding their money together versus those two single individuals adding their money together as married. I don't know if I said that right the tax do each of you. If you declared single should be identical to what it would be with the two of you being married based on what I'm looking at it. The new brackets the new tax tables. So I I think that may have happened in the past but looking at current tax brackets. I don't think that it'd be true. So let me give you an example. What kind of family income do you have One hundred and fifty five thousand. Okay so so I can walk. I'm looking at when tax rates switch from twenty two percent to twenty four percent which get somewhat in the vicinity. You are and and for somebody making eighty five thousand dollars a year as a single individual the taxes twenty four percent so making almost exactly actually double that one seventy one and change is also twenty four percent for a married couple. So I think that that you've seen in. The past has been for the most part balanced out hard to believe Yeah it's Yeah the the I Dunno it's not fun at the end of the year but it is what it is I guess and paying in a little bit of money is actually better than getting a refund because you're not making an interest free loan to the IRS. So is you're not underpaying enough that you're subject to penalties for underpayment. It's it's better to write them a little check than to wait for a check. Back from the. IRS support for. Today's episode comes from Progressive Insurance Fun Fun fact progressive customers qualify for an average of six discounts when they sign up for progressive auto insurance discounts for things like enrolling rolling in automatic payments ensuring more than one car going paperless and of course being a safe driver plus customers who bundle. They're they're also with home or add renter's insurance save an average of twelve percent on their auto. There are so many ways to save when you switch and and once you're a customer with progressive you get unmatched claim service with twenty four seven support online or by phone. It's no wonder that more than twenty million and drivers trust progressive and that they've recently climbed to the third largest auto insurer in the country. Get a quote online at Progressive Dot Com in as little as five minutes. And see how much you could be. Saving Auto Insurance from Progressive Casualty Insurance Company and affiliates. Home Renter's Renter's insurance not available in all states provided and serviced by affiliated and third party insurers discounts vary and are not available in all states and situations. It's time for Clark Dot com slash. Ask US where you post a question for me. And we answer the many ways including having having producer. Joel Ask your question for you Clark. Yellen from Curtis and he says if I retire before I'm seventy but I wait until I'm seventy to start collecting. Social Security don't those years with lower income adversely affect the calculation for my disbursement wonderful question so the way social security's figured is it's your highest thirty thirty five years. So if you're in your sixties you probably worked twenty years to get thirty five together so if view retire before you start taking money those years that you're not earning in your sixties. Just don't even figure into the equation. It would be the same calculation even as it would be otherwise. You won't get hurt. All right and Logan says I own five rental properties. In Central California these are single family residences his built between two dozen four and two thousand seven and I have the managed by a local property management company. But do you have thoughts. Okay what you gotta be brilliant. What all these during being the bust? And they're not even old properties so they don't have a lot of things that have already worn out on him. Yeah sounds like Logan at the right time for sure. Wow so but he wants to know about preventive preventative maintenance and when he should any tips that you have Clark on how he should go about maintaining these residences and specifically something like a roof inspection. How often should should something like that? Be Done too so roof inspection. The roofs hopefully were constructed. In a way that you'll get close to thirty years you south uh of them so hopefully you got some real clock time to run before. Even the first roof would be at a point that you're having real problems usually manifests assist self where you'll see Stain on the ceiling on the highest for any property. And then you'll know oops oops I got going on I gotTA deal with it. It's usually a reactive thing instead of active but for other things every time you turn over a tenant you WANNA WANNA check make sure filters are up to date. That systems are good. I think it's good to have an evaluation of your heating and air conditioning system at turnover of a tenant and since you got five properties set some money aside every month from those properties for maintenance things things go wrong tenants can be tough on a place and you gotta have some money when something does go wrong with a minor or major system system in the house. And I'm just so excited for you. The Revenue Stream. You have has got to be so great for you for your long term future. It's my pleasure to welcome you to the Clark Howard show where it's all about you and that Walla Yours. I want you to learn ideas so you can save more and spend less and don't let anyone ever rip you off especially me and that's why we have Clark Dot dot com slash Clark stinks. There's something you hear out of my mouth that you're like Clark. What are you thinking? GO TO CLARK DOT COM slash. Kark stinks and post where you feel. I missed the mark or was just wrong and other people can read you post. They can agree disagree. Whatever and then? Weekly producer Krista goes through your posts and shares highlights with you right here on the show. I should've never encouraged to speak. I think I'm pretty stupid. Maybe maybe maybe you're right now as a listener and a fellow cheapskate. I normally agree he with an injury or advice. But your answer when you recently spoke to a caller that wanted to save on the costs of serving alcohol for a wedding reception was very stinky. You mentioned the caller should stay away from the craft beer due to the higher cost. But did you know that many craft breweries and craft beer. Pubs will loan a jockey. Box beer-taps perhaps in a cooler if you purchase a small keg of beer purchasing beer in kegs is much cheaper than bottles or cans of domestic beers. And you cut down on waste as well. Plus you will appease your guests by having much fancier options at much tastier options at the reception. Thanks for all you do Megan or could have been Joel. This Megan Megan Megan. I really appreciate that suggestion. I don't know much about alcoholic beverages and that is a great thought and I appreciate it Clarke Clark you stink a little with your change on minimum wage. I live in Oregon and we are one of the state sets. Raise the minimum wage right now. Thirteen twenty five and will rise to fifteen plus plus coal is in the years to come the ideal is good. But how is it how it's implemented here is very wrong. There is only the minimum wage. Nothing else there needs to be a training wage so so as a business owner right now in Oregon. When you hire someone with absolutely no skills you have to pay them the new higher minimum wage unskilled people who need to be taught how to work or do a series of tasks in the course of their work do not deserve the new higher wage? A training wage with pay rates steps based on ours works needs to be in place. Keep up the good work work. Doug Jay thank you doug and this is one is you're right I have migrated my thinking over time because as someone with such heavy libertarian Syrian. Leanings I have not for a long time believed in the idea of a minimum wage. I've always believed in the marketplace setting wages and I've changed my thinking over the years and now understand the whole idea of why we have a minimum wage and why it's been increasing racing in a majority of the nation states and your idea of training wage. I think is a great idea that if it's limited limited to ninety days or some time period like that so that somebody who has no experience ramps up knowledge in becomes an employee WHO's contributing tributing to Prophet. I think that's a reasonable expectation in the marketplace. Clark doesn't just stink now. He's aiding and Abetting Crooks Liars end thieves with his long format unpaid commercial for ring. He did a huge disservice to all the folks that depend on him. For real interim information on things he's like this and they linked to the story about ring and third party trackers young systems. Chris Chris Thank you and I brought that up recently early on this show about how terrible it is. That Amazon is taking that data and sharing it with other people. You know when you give up your currency of trust. It's hard to ever regain that currency of trust and Amazon from time to time. Because is there really freewheeling engages in behavior that undermines their brand and doing this with ring thing is out of line. When I was talking about the security system I was talking about? It is the best choice for me for my a home and it has worked out really well for me but ring violating People's Privacy Amazon violating Lighting People's Pri- privacy is just flat out wrong. There's no grey to Clark. I chuckled at my desk as you sang. The praises of the Privacy Respecting British government will overlook the TV in London before doing a one eighty and talking about how fitness bank is a great idea quickly poking around there. I don't see a privacy policy listed. You blast sites like Youtube for tracking folks and having a long lawyer speak privacy policy. I'm not really seeing. How providing getting a free service like Youtube is various eve of Nefarious Evil Endeavor yet tracking your customers locations in exchange for a higher? AP Wise A-ok your views news on privacy seemed to constantly contradict each other. I love the podcast and appreciate your advice. But in General Your Privacy Advice Stinks Jeff. Jeff thank thank you and I'm guilty as charged here. Privacy is such a hard hard thing to get right and I like anyone l.. Who addresses issues concerning privacy? I'm inconsistent and that is true. I mean you know the thing with the bank is you. You got two point two percent on your money and people would like to get two point two so if you're really fit they give you the higher rate. It's a gimmick and and then you've got your privacy violated so this kind of fits a category that confuses people completely some. I talk about gift. Cards gift cards are terrible. Don't buy gift cards and then I'll talk about a great deal on a Gift Card where you get twenty percents extra with your money. So the thing is you have to judge what you gain versus the risk involved in anything and so. That's why you hear me talk about certain in topics like privacy as a moving confusing target. Although I think you gave some valid advice to the gentleman who's Homeowners Association Association was about to enter into a ten year contract for TV and Internet service. Some glaring omissions make you extra smelly while signs help nothing beats it's actually reading your Homeowner's association agreement the Board's powers may be limited to things like landscaping and snow removal. In addition many agreements. Only buying the original property owners and not a subsequent purchasing homeowners a well worded letter to the board with a copy to all the homeowner members does more. Good Jill Jill Jill. I appreciate that you know one thing that's missing from. Condominium and Homeowners Association law around the United States is there's no real provision for an independent judiciary aboard is potentially all powerful and boards will do things that are in violation of the documents for that association. Either Condo were homeowners in some states homeowners are given very very little latitude to fight back against aboard but one thing you mentioned that is so important is prevention is the best cure ear and when you know that aboard is about to take an action that is not permitted under the documents. That is something that you do bring forward early. And I've served on several homeowners association kind of boards over the years and a lot of times we are operating rating as board members without sufficient knowledge. About what our responsibilities are limited by like you were describing being in having somebody in a timely basis say you know you might WanNa do this. He might have the votes to do it. But this is why you can't do. It is valuable. Your your claim about three-year-old luxury. European cars being available in the mid teens is way off. I cannot find any three-year-old luxury European car for less than the mid twenty s Robert Robert. Thank you so you may be an ultra white-collar zip code when you're looking for ordeal on European luxury cars look in zip codes within two hundred miles of you that are areas. That are not may be as highly as many college graduates in your area. I'm trying to figure out how to say that So you WANNA WANNA be an area for your search wider than within twenty five or fifty miles of where you live to find where the deals may a B on a three year old European luxury car. What you're usually going to get it'll be a luxury nameplate? It'll be one of their what are referred to in the trade is. It's near luxury models. I thought I'd just passed a garbage dump when you were speaking to a gentleman about financing a franchise business. You told them that a bank will not want to finance of a startup. You're so wrong on this statement. I'm a commercial lender with a community. Bank there's so many banks that specialize in this sort of lending thing we utilize guarantees by the small business association. This allow someone just like your car to obtain funding to start up their franchise with a modest equity injection and unreasonable interest rates. So that payments are manageable granted. Many of the giant monster megabanks would not be interested in this sort of financing. Love your show and listen into it every morning. You're friendly community banker. Mike Mike Thank you an. Spa Loans are something that a number of local community entity banks and credit unions do in fact offer to people starting small businesses. And it's my fail for not mentioning that that and I'd like to mention score right now. The Service Corps of retired execs which are volunteers that assists people that are trying to start Arthur own business. Most of what local score chapter does is free and they are extremely knowledgeable about local resources and financial institutions That can help you with an SBA loan high. Clark I hate to say you stink because of what you believe in but this one does you keep preaching to freeze your credit with the three three major credit bureaus. But it's kind of an oxymoron. How can you trust these three by trusting them to protect you when they could be hacked? which has happened? Bob Bob Thank you. You know the reality is our personal information. Our Social Security numbers are address. Things like that get hacked almost always outside of the walls of the three major credit bureaus. That's why the gross negligence of Equifax was such such a huge event in the country's modern history and it was such an unusual thing because it's normally Everyday he kind of things especially doctors offices and medical facilities at account for breaches of social security numbers and other personal identifying information. Mation like address and birthday for number you name it and so- freezing your credit protects. You from somebody applying for credit is if if there you and so we can't think of Equifax Trans Union and experience is being protective as Fort Knox but we need to have a certain level of trust that the Equifax kind of Just absolutely ridiculous negligence will not happen happen again at one of the three major credit bureaus but these breaches will routinely happen through our daily lives. Okay and Finally Tessa in Luke's dad listen up. Your kids wrote in to Kark stinks. Aren't we think Kark stinks. Because our dad makes us listen to him. If you do a segment about softball it would be more interesting. So baseball was the one sport that I was terrible at as a kid. So for me. It commented baseball or softball is something that would be beyond my scope of knowledge or abilities. I'm I'm sorry that your family practices child abuse by making you. Listen to me. I appreciate all your comments. Please go to Clark Dot Com. I'm slash Clark stinks and let me know when you feel. I've missed the mark. Barry is with us on the Clark Howard show. Hello Barry how you do it. Good Clark our you today. Great so this is one of those situations that you make people green with envy you've got surplus money and you're trying to figure out what's the best move. Well my concern is. I've had several friends and family members that have been told either not to pay off off their mortgage or in some cases one friend of mine. CO worker had seven years left on his mortgage and he was told to refinance it. 'cause they need they need to write off and to me. I've always felt and still do that. You never get more from the right off than you you will in paying interest. You're always pay more interest on the mortgage and you can deduct. It's not a tax. Please tell me that friend did not do that. Did Not can seven. The seven years ears laughed and do the refi. Because I'm having trouble getting deep breaths here. I'm doing my best concentrating trying to get from people it. It's ridiculous to me. The the best thing you can do is to have no. Yeah so debt. But but let's go back to the home mortgage interest deduction almost nobody particularly with the much larger standard deduction we have now almost no one benefits from the mortgage interest deduction I mean you really have to have an annual income in the three hundred or above and you have to have a massive asa mortgage balance with very high interest payments for it even again to make sense to run a mortgage as as a way supposedly to save on tax so that is a false thing that a lot of people still believe and being mortgage debt. Free he is not always the right answer but purposely caring mortgage debt except for a tiny number of people makes no sense Either what's yours situations. I can know best what guidance to give. Well actually my situation is I I rent so I don't have a mortgage or anything like that. Oh my sister-in-law is currently in a situation where she is possibly going to pay off her mortgage but again her tax discounting said not too because they needed deduction off you money. No yes I I I hate to disagree. I'm pretty sure the below the three hundred thousand still decent money I hate to disagree with an accountant without about seeing her exact situation. But as a general rule I would prefer if she has decent available money for emergencies emergencies and she saving money for her future is she. Should that if she's got idle cash earning not a whole lot being mortgage debt free. Sorry is important obviously. Psychologically but it's also potentially advantageous financially. And she's getting ready to retire. Why are fairly soon if she's got a lot of idle cash then and you can't eat your house you know paying it off if you have no money to live on but she still has money to live on and she can live in retirement with no mortgage payments? That seems like a really good idea the enemy or to be more berry so that was talking about it with her last week and I know I said I always listen to the Clark Howard. I'M GONNA call the show and find out exactly what should be done here and if you want her to call me and go over her specifics. Her exact numbers with me on the show all be happy to do that. And then I can give her laser focused advice on her own mortgage. So that is a possibility too. You're listening to the Clark. Coward show thanks for joining us today. The Clark Howard show is produced by Kim droves Joel Lars Guard Dr Debra Reese and G._M. Airs and remember twenty four hours a day. Where there to serve you at Clark? Dot Com and CARD DEALS DOT COM.

Clarke Clark Clark Howard Clark Dot Com CLARK Clark Clark Clark Dot Edward Clark Christie Logan producer Bob Blah Progressive Dot Com Christy Megan Megan Megan Youtube Ira
9.13.19 Gaming addiction is now considered a psychological disorder; Clark Stinks

Clark Howard Show

33:48 min | 11 months ago

9.13.19 Gaming addiction is now considered a psychological disorder; Clark Stinks

"It's my pleasure to welcome. You here the Clark Howard. Show where it's about you learning ways to save more spend less and don't let anyone ever rip you off park. Dot Com is our main website Clark deals. Dot Com is our bargain. Site are deal site where we update all through the day and evening bargains that could save you substantial money coming up later. Clark stinks. It's your opportunity to share with your fellow listener where you feel. I'm giving inaccurate advice bad opinions that I get bad information. Whatever it is you can see how to post? I when I upset you. Clark Dot Com Slash Clark stinks or you can just listen to what others have said about me coming up later so there's a big fight going on behind the scenes because the World Health Organization has his now labeled excessive gaming as a psychological disorder and the the reality is there are people with addictive personalities who spend steadily more hours gaming. There was a survey done. I saw market watch that the number of people spending an hour or more a day playing video games increased twenty percent over the last year but that's child's. I also play an hour a day. So there are a lot of people who believe they're going to be a professional gamer that they're going to earn a living. Ming being a Gamer and they become obsessed. Don't leave their rooms. Don't see the outside world. Maybe don't get their pajamas Jama's in their spending enough hours they could be. Maybe doing a fulltime job just gaming so I can tell you where my journey has been with with my kids and that is that when the when a child gets into playing video games are whole thing has been being in the tug of war we want our kid to win because the kid wants to just play and play and play and they can get more and more addicted to it so we have done is we lean limit the amount of time that our kids will two of them are too old for us to do that but we have one school age kid left but we did when when they when the two older ones were younger we we went strict with limits. Our Son who who is fourteen is not a big Gamer. He's not into it. Some of his friends are and they're. They're playing games all the time so we haven't had to worry about this becoming a problem for him but if he had had the problem like we saw with his the older siblings we would have established a strict limit for him as well and your kids are. GonNa be angry angry. They're going to be defiant. They're GONNA try to play behind your back so you gotTa know that but you're the parent parent and it's almost like the thing with kids who play sports in high school and become obsessed with them to detriment of everything else because they're convinced they're going to be a professional. Lafley and then they're going to have to worry about school or regular worker anything because they're going to be a professional athlete well who knew that same kind of mentality would take hold with people about being a professional gamer but it has and it didn't help that the winner of a fortnight competition got three million dollars so now yeah see. I don't need to study Algebra. I don't need sleep. I just need to be great at the Games and the millions are going to be rolling in but just like with athletes almost nobody nobody makes the cut as a professional athlete and even those who do most have a very very short not very lucrative career gaming's not going to be any different. Joe Joins US on the Clark Howard Show Hijo o Clark. How are you great great. Thank you Joe. You have a question for me about a really great product that almost nobody's even ever heard love yes. I was researching your cell phone bills on your website and one of my co workers has google fi that he uses and I went I said Oh what is this and it was twenty dollars a month. But for your data it's ten gigabytes. Ah sorry ten dollars for each gigabyte up to six gigabytes and a great selling point is that you can take this international and you don't pay extra for the data internationally yeah Google Fi for anybody who travels outside the United States has become perhaps the Go-to who service so they meter data to you hit a cap where you then go unlimited data which is at a pretty high price per month for a single align its eighty a month is that right correct so for someone who spends the overwhelming amount of their time in the United States. If you use a substantial amount of data google fi is not a good deal for you but then there's two types so people who do extremely well with Google fi and dare say it may be the best choice for them and that someone who uses as a more moderate amount of data because then you're looking at a monthly bill of thirty dollars a month on average for a single align is what people tend to end up at or the first thing we talked about and that somebody who does heavy international travel. Oh Yeah I've done a lot of travel over to Europe and I was looking at different types of options and that's what got my attention with this but I don't the milk. It'd be the best because I'm only over there. Maybe twice a year at this point and when you go twice a year or you. They're like a week at a time or something. maybe a week or two at a time but not not for a long stretch okay so in your case you may find that you're going to be better served served as a T. mobile customer okay because the advantage with T. mobile is that they don't allow you to just spend month month after month after month outside the United States but with t mobile when you travel outside the United States you have unlimited free texting and unlimited. Let me data and depending on the plan you get you either got pokey slow data or decent data and if you WANNA make a voice voice calls back the United States. There twenty five cents a minute okay. How much do you think you use in a typical month. I was just looking. I'm using a belt. Maybe six to eight gigabytes a month so you're looking at eighty a month truly if you went went on Google Fi. How many people do you have on your plan. It's just me I'm just just a single person okay so I have a different idea for you then okay what if you went with cheaper unlimited data plan with one of the second tier companies can think Walmart family mobile you can think of Let's see you could do cricket. You could do metro by T. Mobile I and you get your unlimited data and then when you travel internationally just by a local Sam for while. You're there okay okay you wouldn't have your normal number available to you but with the local Sam you'd be able to use calling APPs like -vivor whatsapp things things like that and my friend told me about what's APP so I will definitely look into that as well. It's worked great for so many people traveling overseas. He's to use these third party calling APPS. I travel enough overseas. I have four of those apps on my phone because sometimes one will be working well on the other not so well and so I'm always able to stay in touch and I try to never spend twenty five cents a minute for a call from somewhere in the world back to the US from the US to me wherever I am Kevin's with me on the car coward show Hi Kevin. I'm great. Thank you Kevin. How can I serve you today. Well I like to think of myself as all this romantic when I was looking for some suggestions on cost effective or cost three ways to show my significant other much care about how about that so not not like things he would do. They would be fun. Free free or nearly free activities about how to just let her know you care and you're they are and all that but not spend a lot of money. Okay all right. I'm into flowers and you know for my wife and I buy our flowers all the time whenever I see him on special and I can't even begin to tell you how many times a man will come up to me and say you know when it's not a special occasion kind of time say oh. What are you in trouble for Valentine's Day or something. A lot of people people think Oh. You must be trying to make up for something you did but I think flowers are awesome. I think cooking a meal preparing a picnic coming up with activities that are very very low cost but show the thought involved making your own greetings cards that you buy a poster board cut it up and you make Qalat different greetings cars in your you personalise them. I mean you know things you do that. Show your care. That's what makes the greatest impression not going and buying something or doing something that's expensive. During the great eight recession last decade I had a lot of people call me who were overwhelmed with cases of Gil where they didn't have money to do. Due Christmas may be like they've done in the past and I would talk about these kind of things where you do something really thoughtful for somebody. Instead of spending being money you know in the United States. We've so heavily gone to this concept of spending money is how you show that you love. Somebody and that's really hokey as crazy right. What other kinds of things have you thought about thought about like there's any cars through email systems or anything like that in the early era of cars. They were routinely eighteen Louie available for free and I have you worked at Blue Mountain. I think they have a lot of them. You can send for free so a lot of them have seven day trial L. periods or they'll have a monthly subscription but if you like to send a lot of cards this subscriptions probably okay because they tend to be somewhere like four or five dollars a month. If you don't send a lot of cards not worth it but you know you can go to dollar tree and buy greetings cards hard to for a buck. Oh yeah all right sounds good about your job all right so be romantic. Don't waste it's money. They can both be true but I when I was single. I used to take a date to meal and I'd use a coupon for the meal and that's when you tell if somebody really didn't think that was okay or they did think it was okay that if you were trying to save money on the meal there were people who just didn't like that at all and then others were like that's it's cool. Steve is with us on the Clark Howard. Show Hi Steve. How are you. I'm paying tastic. Thanks for having me on the call. Show sure Steve. You have a dilemma Lamma that many people face hit me with it so I follow your rule and I have to credit cards one that I consider my main card and then one that I used us may detract Christmas purchases and my main card is a rewards card and it's got a what I consider a high annual fee of seventy five dollars and when I do a cost benefit analysis the rewards just don't pay off the seventy five dollars. My problem there is is it's got a twenty seven thousand was in twenty six and changed thousand credit limit and it's my oldest form of credit and so what I'm worried about is that if I cancel this car it'll kill my utilization allegation and my utilization to beginning of the month is about one percent my at the end of the month. Maybe three percents I only have one other loan besides my mortgage and that's going to be paid off in five months so I'm just wondering how you handle all right suggestions all right right. I one is go pick out a replacement card. Now I already have and I use one of your shortlist with the two percent cashback that rewards GonNa pay back dividends and what kind of credit limit does that have only nine thousand still more than enough utilization was still be below ten percent not right and so you would have that plus the other car do use to control your Christmas spending. Is that right correct. You're okay closing losing the card. You've got with okay ratios. You have but what I would like you to do is when you call them to cancel before you cancel ask. Is there a version of the card they can give you that has no annual fee okay and then you're able to keep that headroom of that twenty seven thousand dollars available credit and the same time you keep that old card aging in your history. I mean the age of it will still benefit you on your credit report but letting it continued age even better a lot of times card company any will offer you a replacement for free just to keep you free of no annual fee. It's my pleasure to welcome you here to the Clark Howard. Show where it's about you're empowerment with knowledge so you can save more and spend less and don't leading whenever rip you off so that's the goal sobriety you've with vice an information that you can put to work in your wife each and every day and so you depend on me to to give you the best possible answers good guidance. Give you the facts you need. There are times though they you're. You're disappointed by me. You feel like what I've said is lame. Wrong are dumb and so I need you you because we're all in this together to let me know when I have missed the mark. That's why we have Clark Dot Com Slash Clark stakes when then you got a beef with me. You're angry with me or disappointed by me. Go to Clark Dot Com Slash Clark sinks and post your unhappiness others can read it. They can comment on it. They can agree they can disagree and then weekly our producer Krista read. Some of your posts right here on the air should've never encouraged to speak. I think I'm pretty stupid. Maybe maybe maybe you're right out out of Clark. SEIS fundamentally changed my attitude toward personal finance finance but I can't believe you gave such a stink idea to a lady named Tiffany. She has a two thousand fourteen vehicle that has over ten thousand one hundred thousand miles with transmission mission failure. She spent six K. repairing the vehicle in the past year and she estimated another six thousand dollars upside down the loan you told her to go ahead and throw another six thousand dollars to fix that car again or take her chances and by a junk car and keep paying for a disabled vehicle my God I am beyond disappointed and even disgusted with you by this at this point. I wish I could call to stop you. I she's not a mechanic. Obviously neither you what makes you think her car will be good good. After another six thousand dollar repair can she potentially keep spending six thousand dollars or more every year to fix that Ma that car with a hundred thousand miles second you who is usual demonized dealerships if we are all criminals and crooks based on her credit score at six sixty five was six thousand dollars or even less down payment and manufacturer Karen dealership incentives she can easily go above the water and get a brand new reliable second tier make vehicle for probably the same payment third. I know you're going to say they no longer than a forty eight month term based on her situation. Her best bet is to get rid of her disabled car and just pay as much as possible every month if she wants short term financing nothing. Davey Davey thank you for your post. I you know I've talked to people who work in Eboni Finance and insurance at dealerships ups and how many people they end up dealing with who want to go into a new vehicle when they're upside down on the last one at some point that's got to stop and so in her case. The vehicle wasn't working right. It needed a new transmission. She's got clobbered on trade him because you can't give her any decent amount on a trade and this has got to be fixed anyway. I felt like it was worth one more shot at repairing the vehicle and keeping it on the road because every month moving forward she'd continue to pay down on that loan and eventually get to to where she's not upside down and maybe my perspective is too narrow. Maybe I missed the mark on it but I worry so much about people taking what you call in the trade negative equity and rolling it into another deal that is really long term term not healthy at all for somebody's finances okay by far the most popular subjects on this week's. Clark stinks were post about this. Assu change the way podcasts are accessed can no longer download files to my USB drive in listening in the car off line. Not everyone has internet in their car. Lee So so we revised podcast page and to make it better and the you could still download podcast but it was hard to find and so we did get a lot of complaints aints and we see all these cars as well and it's been fixed and you can now download all the podcasts just as you used to just wanted to read that and make sure everybody knew that so okay. I'm being silent and I wish you could see my facial expressions because I understand nothing about the behind the scenes on that so I'm glad that you not only saw those posts but fixed it yeah not me but our our wonderful team so thank you for going to the website. You can go to car dot com slash podcast. If you WANNA see the new and improved page I know carcass stated that gold and other precious metals are not investments but I wish he would go further and help get people people to stop thinking of it as a hedge for Im- bad times gold has almost no intrinsic value except for its Houston jewelry. It has very little use in manufacturing. I guarantee you that I would never trade any useful items. Such as food tools water shelter etcetera for gold during a crisis gold has nothing going for it but it's shine if the meltdown that gold bugs fear ever comes they will be painfully surprised by Gold's lack of value leslie mostly. I appreciate your post host. I try to be respectful of people who fear really tough times and look at gold or precious metals as a protection but it's true to refer to it as you did as a hedge against bad times. That's an expression I use as well and I don't know there's a particular harm. If people WANNA put five percent or ten percent of their assets in gold or precious metals but as recommended over the years better to have a fund for that rather than the actual physical metal like gold you don't stink but you failed to mention to a recent caller regarding eyewear that they do not need a membership to go to that department and Costco. They just don't get the specials if they aren't a member Lindy Lindy. Thank you and that's also true with the pharmacy that you can tell element the door. You're not a member but you're going to the pharmacy and depending on the Costco. They'll either escort you over the pharmacy. You have to pay cash only in that case or or they'll just allow you to walk in and go to the pharmacy and with the Eyewear Costco was rated in the most recent consumer report survey away as the best place in America to get eyeglasses prescription eyeglasses. I belong to a very reputable credit union and they allow me pay bimonthly. Do not charge me any additional fees so not every instance where you're paying your mortgage. Bimonthly is crooked or incorrect. The poster meant biweekly. Yes and yes got their savings to be had on interest by paying biweekly say as well as having that thirteenth eighteenth payment Mark Mark. That's fantastic that your credit union allows you to pay that way. A lot of people would prefer to pay their mortgage every other week. Instead of doing one payment a month it trues up with a lot of people's pay cycles at work and that's really fantastic that your credit union offers that flexibility couple of posts about this one. I'd advise caution in saying the outcomes of us us. US health care is poor from what I've seen. The data strongly suggests that US providers do great job but it's lifestyle choices outside of the healthcare system which are largely responsible ensemble for the shorter lifespans when one controls for vehicular deaths gun crime obesity premature births lower population density high rural population Shinwar is difficult to have quick responses cardiac arrests and strokes and so on the USA has longer lifespans also. There's a strong argument the USA spend so much because it's so rich and what else would we spend our disposable income on above expensive healthcare procedures for older wealthier people. The quick stereotypes on healthcare are largely incorrect fearmongering for votes or reporter clicks. There's plenty of inefficiency in the system but the US as outcomes are fantastic when we control for lifestyle choices. Brat Brett thank you for that and when this came up before a doctor posted also very eloquently that I was ignoring the lifestyle issues in the United States in terms of our diet and other things and so what you said about older people having the very expensive surgeries as a cost it was long believed that a huge percent of healthcare costs were in the final months of people's lives but that has been generally disproven from what I've read lately we do have inefficiency in the system and we have a huge gap in the United States in primary care is has doctors in recent decades have generally turned away from being primary care physicians. We have a massive shortage for your primary care and so a lot of people don't get care till they're a lot sicker and they don't have continuity of care because so many people don't have a primary Mary care provider anymore. That's why I've been such a fan of physician's assistants and nurse practitioners that are happy to do primary care while. MD's generally are not hucker commended that a car roll over an IRA by having a check sent to him while this is a possibility I would expect the the default advice would be that the caller does a custodian custodian transfer if the account types or the same for example traditional IRA to traditional IRA or a a direct rollover keeping the collar from needing to handle the check it all this also eliminates the possibility of violating the one role of per year rule which only applies to rollovers that are are executed using the sixty day rollover timeframe when the check is sent to the account holder Mike Mike thank you an- yes all things being equal equal. You can just have a transfer done from one provider to another. That's the only proper way to handle a 401k distribution and you don't ever want to check sent to you but for an IRA. It is a viable alternative to have check sent to you Clark. I am a a true believer. I'm following you by saving money on insurance planning for my future and being wise financially then one cold dark day. I hear you talk about drinking coke zero that stinks you mentioned you work out every day. Cheat on your diet once a week and drink coke zero my hero drinking coke zero. I need to hear from you that Coke Ugh Zeros fine and I'm going to start drinking again to my wife's dismay or I need to hear that it's not healthy and I'll continue my ban of sodas. Is it part of your cheating day or do you drink it on a regular basis Steve. You sure that wasn't Krista. Who posted bet you drinking the soft drinks. What do you call them poisoned some well. I mean you know I'm having a diet soft and once in a while too but I do the chemical scare me so I I am. I am an excessive consumption of soft drinks. I I love Coke Zero. I Love Diet Dr Pepper and I drink soft drinks in smaller quantities than I used to because my main beverage every day I'm drinking right now and I have all day long long as water so as to whether they're poisoner not always that to crested aside so I love your post. Please go to Clark DOT DOT COM. Slash Clark stinks and let me know when you feel. I haven't done my job serving you. John Joins us on the Clark Howard our show and John. I'm so glad to have your call because we've been getting some serious complaints from people using a new car buying services. Tell me your story well. My worry was really trying to find out which one is better to use. I have access to the Costco car buying program as well as the AARP and I went to check just to kind of get an idea of which one might be better but they want all my information and I was Kinda worried about giving him all my information right at the front. I didn't WanNa get bombarded by phone. Call Oh you will mail and phone calls like you cannot believe you thought you were dealing with having debts owed all all over the place because there's so many phone calls and emails that it triggers using and it's not a knock on AARP. It's any of the services they use the program behind the scenes that I handled the car buying program for USAA. The car buying program for consumer reports and several other people's called TRUECAR is who it does it behind the scenes so so what they do is they give you the average price on a vehicle your interest in in your area to find out what you can buy the vehicle for fill-in win this personal information with your name phone number email address and all that and then we'll give you quotes from several dealers that's what the pitch is on the Aarp site as well as many others and then the bombardment starts so you said your other choice besides Aarp is what Costco right so the Costco car buying program. I never hear complaints about the way the Costco Program Works is either Anna Warehouse Club. You'll see a colorful brochure for dealers in your area for each brand or you go on Costco. Dot Com verify your membership and then they will tell you the dealer for the brand you're interested interest in and then there will be a costco member price that the dealer representative will provide to you know games no gimmicks. It's no hassles okay so basically to avoid all those phone calls. I just want to stick with Costco well. Actually I have another strategy not that. I've come up with okay okay it. Are you familiar with Google voice so you get a throwaway phone number from Google voice and use it on the AARP thing set up an email address. That's just for this car buying and you call it. John buys a car at so-and-so dot com or something like that and then you don't have to worry about them polluting your regular voicemail with messages and you don't have to worry about them messing up your regular email with a constant barrage rush of spam okay and then you're able to compare what kind of price you can get through the AARP program and the Costco Co Program Okay. That sounds good. You shouldn't have to do all that though so this is a true car problem. I'm not in a AARP problem. TRUECAR changes business model to make dealers happy and in return for making dealers. Happy has now now managed to make consumers miserable. You're listening to the Clark Howard show. Thanks for joining joining us today. The Clark Howard show is produced by Kim Droves Joe Lars Guard Debra Reese and GM shares and remember twenty four hours a day where there to serve serve you a Clark. Dot Com and CARD DEALS DOT COM.

United States Slash Clark Clark Howard Costco google Clark Dot Com AARP Steve World Health Organization Joe Lars Jama Ming Europe cricket USAA T. mobile Lafley Sam MD
5.7.20 Private student loan compact; Contact tracing improvements; Masks required at many businesses

Clark Howard Show

38:09 min | 3 months ago

5.7.20 Private student loan compact; Contact tracing improvements; Masks required at many businesses

"It's great to have you here on the Clark Howard. Show where it's about you learning ideas you can eat more of what you have. And that's what we're doing car DOT COM AND CLARK FEELS DOT COM. And if you're looking for a deal on supplies you need checkout what we're making available to you with our posts at. Kark deals dot com so there are so many people who have been just crushed by what corona virus has done to the economy. And you're sitting there with student loans. The big problem has been with private student loans because most federal loans are in a payment an interest holiday through September but private loans. There's no such protection and people have been just eaten up by what's going on with private loans because the lenders will destroy you. I mean they will eat you up. They are able to Ruin your credit. They're able to garnish. Your checking account or your wages very easily. And it's very difficult for you in a situation where you're flat out broke even file for bankruptcy although I have something about that for you in a minute. So a number of states have gotten together and organized temporary relief to student loan borrowers and private loans. And I'm expecting more states to join the Compact the States or California Collorado Connecticut Illinois Massachusetts New Jersey for Mont Virginia Washington. That is the current list that was put together by Forbes magazine and what they've done is the states have used their strength to then negotiate temporary protection for borrowers with all the major student. Loan Lenders somewhere around twenty of them that account for most private student loans in the United States. And what they are doing is you are not going to be reported to credit bureaus and those states if you contact your lender and tell them you can't pay your allowed to suspend your payments for three months. There will be no late fees. They will not report you as delinquent with the credit bureaus and they will not move forward with any debt collection lawsuit against you so remember. This is temporary only the state of Massachusetts has passed a statute to protect private student. Loan borrowers but this is an agreement that these states banding together have been able to reach with the overwhelming number of private student. Loan Lenders so what do you do? If you don't live in one of the states that have reached the this agreement with lenders. Call your find out who your legislators state senator or state representative and talk to him or her about the problems. You're facing with private student loans. Tell them about the multi-state effort and see if they can work on getting your state to join it. If that's something that's not going to happen in your case what you do instead is. Contact your lender anyway and say that you've heard that they're offering ninety day payment holidays for people who are out of work and who knows you may be able to talk your way into it. There are several of the lenders on this multi state agreement that on their own have agreed to ninety day forbearance on their loans for private loans. So what hurt says if you don't ask and it certainly could help if you do ask your lender and then keep records of who you spoke to what date what time and what promises were made to you okay. Second thing student loans is an article of faith is just accepted. Student loans cannot be set aside in bankruptcy. Well there are now lawyers that specialize when somebody's flat out tapped out and successfully executing bankruptcy four people who have large amounts of student loans. They cannot pay. Now it's still. It's not something you can fake. You have to really be tapped out broke. The standards are very high. But there's a article from Kiplinger the you should go look for if you were feeling desperate. You're overwhelmed by your student. Loan debt. You can't see any way you're ever going to be able to pay them back. Look for the Kiplinger story on the possibility of you being able to set aside your student loans in bankruptcy the standards again are extremely high. The things she must. Do you have to be able to prove with the help that you can't maintain even a basic medical standard of living for yourself and your family and afford the payments second? You have to be able to demonstrate. The your circumstances are going to continue for a significant time period and three. You have to show that you've done everything you can to make the payments but have not been able to. So you have to have something in do yourself. You have to have a lawyer. Who does this kind of work? In order for you to be able to have success potentially in setting aside your student loans but I want you to know that the possibility does exist and on the Clark Howard show if you have a question for me posted at Clark Dot com slash ask. We're getting questions from. I assume all fifty states around the country from people who live outside the United States as well producers Kim and Joe or alternating asking your questions and Cam. Who Do you have I today? I is Suzanne FROM ARIZONA. And she wants to know what the difference is between a will and a trust. That is a great question. I am a non lawyer that will answer that question for you but a will is a function of the state that allows you to sat out in a document as the state requires what you wish to happen at. The time of your passing a trust is a very different kind of thing and that trust is something that passes outside the general process that a state has known as probate when you die with a will or without a will a trust allows for someone to specify your wishes a point and individual to carry out your wishes and your assets you specifically name go into that trust in generally it does not become a public record. What you do in your will and many states becomes public record. Setting up. Trust is a more expensive thing upfront. But is more streamlined at the end but a trust will require maintenance over the years as the assets. You have may change A trust can complicate things during your life but simplify them later. One of the reasons people do trust is if there will is more likely to be challenged by disgruntled family member or Loved one that trust more likely is going to make it through. Successfully without being challenged trusts are usually for people who have substantial money and there are times that trusts are used like right now very wealthy people because a certain corona virus statutes are using trusts as a way to pass assets to family members during more favorable conditions that might exist taxwise later on at the time of their passing so trust come in various forms and flavors and the baseline that I look at is if you have a complicated family situation a lot of disgruntled family members contentious family members or a lot of money trusts could certainly play a role in your life but should always be done with the skill and the advice of whether to do one with a highly qualified lawyer who does only wills estates and trusts. His or her specialty. Joel Clark Laura in Georgia says my husband is a federal retiree under the furs system. He's been receiving his pension for five years now do the financial effects of the pandemic though what are the chances that his pension will be affected or perhaps reduced so federal employees are almost certainly secure with their pensions. I'm not concerned that Federal employees who have retired or approaching retirement are going to have a difficulty getting the money that was promised to you. State and local government workers because of the severe effects on the budgets of state from Corona virus and pre existing shortages of funding. For Pensions and many states. I would say that if somebody has should have nervousness not necessarily fear but nervousness it would be state and local employees either approaching retirement or in retirement so Federal employees almost certainly both military retirees and federal civil service retirees. I think you're pensions are is close to a one hundred percent solid is. They could be Kim Brian in Pennsylvania says Clark how do I get 'em Albie? Tv to refund my money for the two thousand twenty Major League baseball season sadly they are giving me a prime example of customer no service. They say they're still hoping that baseball would be played. But I'm thinking even if it is the season's going to be much shorter than what I paid for so no kidding and you know this is something I've address. Recently with the baseball teams where Major League Baseball was sued for teams not giving refunds for season tickets or single game tickets and now each majorly team has published a policy on how people get a refund for games not played Mlb Dot com where Someone who loves baseball LIKE YOU OR PRODUCER? Joe Can surprise him. You didn't have Joe. Alaska obey gets the opportunity to watch every game everywhere and not having access to that not also being able to get refunds is something that is a big topic trending if you look at What people are complaining about right now with refunds? In fact I just pulled up on Google and there's question after question can I get a refund on? Mlb what's the refund policy and on and on so what's going to happen is baseball is going to play. There's no doubt in my mind there will be baseball. And at the time that the season begins. I think that's when you're going to see refunds happening. But there's unread it. There's an entire discussion specifically on refunds. Now people who have insisted and filled out the form requesting a refund have said on the Red Threads. They are actually seeing refunds. So if you WanNa try that route and just refund. The whole season believes based on what people are saying on Reddit. You're going to be able to but ultimately major league baseball and every other sports league that plays rough with its fans will find that the fans play rough with it when we return to normal times. It's time for today's Clark raving time that things feel heavy. I wanted to spend a couple of minutes every show talking about something. Where a lighthearted moment where people are just really doing neat things and producer cam? You ever lifelong friend whose five-year-old had a very unusually positive experience. Tell me about that. Oh my gosh. It was so sweet. And she sent me pictures to boot so her five-year-old son is named river and rivers learning to write and he is also obsessed with fire trucks. So she helped him write a letter to their local fire department To say thank you for their service and then yesterday the local fire department showed up at our House. Sirens blazing so that they could save. Hi Wave to river in the yard. He was over the moon so sweet so sweet so a five year old may not remember that forever but for right now that's quite a fine joyful experience indeed and it made his mom cry. So that's always a big deal with this K. K. Yellow TV in Sioux Falls South Dakota and Preteen named Emerson. Who doesn't have a cell phone? She sends letters to friends and family members in each envelopes decorated with their own designs. And so she loves writing letters to people which is a lost art and she wrote a special letter the other day and it's to her mail carrier who picks up all her correspondents. She said I'm Emerson. You may know me as the person that lives here. That writes a lot of letters and decorated the envelopes. Well I wanted to thank you for taking my letters and delivering them. You're very important to me. I make people happy with my letters but you do too and so I think that's really really kind. The letter carrier thirty year veteran share the letter with a supervisor and then it ended up as good morning America story. How about that see? There's actually something that can still happen in the analog world with an eleven year old. Who's not buried in a cell phone great to have you here on the Clark Howard? Show where it's all about you and your wallet. I want you to learn ideas me so you can save more and spend less and don't wedding whenever rip you off and like to express my gratitude to the very hard working teams at Clark Dot Com and Clark Deals Dot Com now rolling out for you night and day seven days a week. So there's been a big backlash in the US about the joint effort by Apple. And Google. I mean you know it's like If you wonder if it's the end of times when apple and Google these archrivals work together. Wow I mean it is a different era but corona virus has brought them together in what is a very great public service that Americans so far hate so with the two of them have done is they have developed a joint APP that will allow the great mass of people with iphones and androids to be able to help identify early. People who may have been exposed to corona virus reduce the number of people they might in fact and save an enormous number of lives and as icing on the cake. Help the economy come back quicker than it would otherwise but so. Many people are so freaked out about the privacy issues particularly. We're getting to medical privacy here with apple and Google where tax in the United States has had a very poor record of protecting people's privacy that now people are really afraid about. What would happen if you permit your phone to be part of the Corona Virus Tracking System? This is something I'm all over and I think would be great but there's been such a lack of public confidence. I mean absolute revulsion. The polling shows very few people are willing to do this. Well let me tell you something. Contact tracing is one of the two most important steps to reduce the number of people who end up getting corona virus dying from it and has so much to do with economic recovery. So let me take you to the nuts bolts of this google and apple designed jointly system where the Bluetooth and phones when somebody tests positive corona virus. That if they use this APP that they would be able to notify the APP that they did have a positive test for Krona Virus. Then the system would automatically inform anybody you had passed by been in a workplace with a shopping center a supermarket anywhere. You've been over the last two weeks in notify them not that you had grown virus. Because they likely don't even know you are but let them know that somebody who they pass close by has tested positive for corona virus. And then that gives you the heads up to go have a test. Which is the other key part of US controlling the spread of corona virus in the loss of lives? So this is something that because a people's fear apple and Google have come up with a design that will ban location tracking by any other APP on an iphone or android with the data that apple and Google or collecting for this. And we have got to if we're going to get our economy fully back and we're going to do so without losing a few million lives and our nation we're going to have to go to the successful and time tested public health protocol of testing tracing and isolating that's core and key to US having a vibrant economy again absent having a treatment that we know works widely and can be adopted widely or having a vaccine that works effectively and can be disseminated widely. So I recommend if you can overcome your concerns about apple or Google doing something really rotten with the data no that wide adoption this will lead to widespread saving lives and reduce the number of people who get corona virus. Which is what we all want. If you have a question for me by the way I know that might also generate unhappiness. You can go to Clark Dot com slash. Clark stinks and let me know why you're unhappy with me for supporting this apple and Google Initiative But also if you have a question for me go to Clark Dot com slash ask producers Joe or alternating asking your questions Kim Clarke. It's me so sorry. Joel. I'd issue that way over and over again. I'M NOT GONNA lie. It hurts but I'll get through it. I'll get through it Karen and Alaska says Clark. Can I use our P P P loan to pay bonuses to our staff as long as the individual does not make the equivalent in a month of more than eight thousand three hundred dollars in that month so you have a situation where all employees are capped for P. P. Purposes? Well say that a few times at a ceiling of one hundred grand a year so any pay and bonuses you pay someone during the sixty days as long as it adds up to less than eighty three whatever. It is hundred per month per employee that nobody earns more than that then. You're a okay at meeting the requirements of the Krona Virus Statute for the Payroll Protection Program. In fact I've heard where people involved in drafting it hope that in order to push more money into the economy that employers that can afford to with the PC money will in fact provide either higher pay corona virus pay temporarily or pay bonuses to employees. But just remember the CAP per employee per month to make sure that you qualify for the maximum loan forgiveness and if you didn't hear me the other day as soon as the final regulations on forgiveness or issued I will go over the highlights with you here on the show and we will post a complete guideline to forgiveness for P. P. loans on Clark Dot Com now Kim Alot. This is on behalf of Betsy from Louisiana. And she says I know. Bitcoin'S ARE RISKY INVESTMENT. Right now but do you think that this is the wave of the future of money and if so what do you suggest we look out for so that we make sure we don't get left behind on this rapidly? Changing industry so no crypto currency is and what I consider to be real until the values of the crypto currency are stable and also that it is fully convertible into the Equivalent money issued by the government. Where you live so what I mean by this is bitcoin. I call fake money because it can't be used routinely or easily converted day by day a number of people have suffered raids and had their crypto money. Bitcoin stolen from them with no way of recovering. It and the values of Bitcoin have been wildly unstable up and down. If you think about real money real money changes very little day to day. Week to week month to month but bitcoin and its imitators have never achieved that kind of stability so for now investing in. I can't call bitcoin. Investment speculating and bitcoin needs to be money. That is play money. Like you would use in Las Vegas and eventually there may be Crypto currencies that meet the test of being fully convertible stable and safe but no crypto currency has been that to date. Joe Clark another Joel Joel in Arizona. Has a question says we have a driving trip planned to visit Canada? At the end of June will travel restrictions be moved be removed by then. I can only guess but I would say likely that travel across the border from Canada to the US and from the US to Canada will be lifted when the infection rates actually declined significantly in the United States Canada's not having the infection rate problem that we're having and we have not been able to go if you've followed the public health aspect closely we've not been able to go. Below are one and it is a math formula of how many new infections were having each day. We unfortunately in the I'd age are having a really rough ride with corona virus with four percent of the world's population. We are approaching thirty percent of the world's fatalities from Corona virus. And so we are having a more difficult time than other places The Canadians would not be wise to let you in until we have actually been our infection curve below in our of one probably an ro point five and if you're not familiar and you want to understand more about how the infection ratios work you can use whatever search engine you use and see how that works but I would say right now. It's too tough to call an opening of the border in June. It's possible that for goodwill purposes candida may reopen to the United States by then but if I were the prime minister of Canada I wouldn't do so till our rate of infections decline significantly from where they been lately. Kim. Nancy Wisconsin says. I visited Costco for the first time recently with a friend who is a member. I am not a member when checking out the clerk insisted that my credit card could not be used to pay. They would only accept a credit card with the member's name. Is this correct? This sounds crazy to me. No that is that is actually the way it works is that Costco runs the stores. Essentially as a CO OP. They make no money net of any significance on everything they sell idea. The design is to run the warehouses on essentially a break even basis for covering the rent building the buildings paying the employees Buying the products and selling them with all the profit being from the memberships so as a way to restrict purchasing two members you. The member has to be there with you and the member has to pay. You cannot pay. I mean they can pay. Then you can turn around and give the member money to make up for what was purchased. But also you're not known to them so if your credit card turned out you were not who you said. You were turned out to be a stolen card or you decline. The charge disputed the charge. Costco does even know who to go back to our. After it works the same way I should mention at the other warehouse clubs as well that using member pricing. The member has to be present and it has to be the members form of payment or cash to make the purchases Kim. It's me again all right. Let's go Joe. Kelley Chris in Maryland says wind funding an emergency fund with three to six months of expenses. You include any discretionary funding That you spend a month or just the monthly bills like mortgage food insurance utilities and things of that nature so the idea if you have an ironclad rainy day account. It is the equivalent of your expenses including discretionary over that time period. Because it's not like there's not GonNa be any other expenses besides the ones you can automatically count on like rent or mortgage or car payment or insurance so you base it on what you typically spend per month times the number of months you would like have a cushion of security four in your rainy day account. When you have a question for me go to Clark Dot com slash. Ask and post it and right now. We have a question from Kim. Who are you asking a question for this half of Jim and Jim is from Texas? He says Hi Clark. I was just curious if you've heard anything about Amazon. Refunding prime customers for part of their membership since they haven't been able to fulfil orders in the fast delivery way that they normally do. Once upon a time I was able to get a monthly credit from them for a shipment that took too long and was wondering if the same would apply here so Amazon is not as forgiving of their own shortcomings right now and they now say the two day delivery window mean for a while. It was one day in many metro areas for delivery. It's now two days from when they actually fill. Your order is the new language. Is I interpret it so if you place an order today and they don't get around to processing it till two days from now. Your two days on delivery doesn't start till two days now not today so Amazon is overwhelmed. They've had a lot of employees quit. They've had a lot who've chosen not to come to work and they have somewhere close to two hundred thousand. New inexperienced workers who've been hired so the reliability from Amazon is not what it was and It's something that Amazon is. A is a very very aggressive company. They will get their reliability back but your real power is to discontinue Amazon prime and something I keep meaning to talk about is Walmart's new competitive offering to Amazon prime. And I just keep slipping up doing that. So we'll talk about that on a future show so you know. There is a strong alternative now available in the market to Prime Joel Clark. Laurie in Wisconsin says. My mother just heard that you've not receive your twenty twenty stimulus check yet this year. Then you'll have to wait until twenty twenty one in order to get it. Is that true that is not true. Payments are going to continue it. Looks like through September and you can go to I. R S dot Gov and if the tool is working you can go click and see where your check is or where your money is and so could be many months to you see yours or even you'll go to the mailbox the next day and it'll be there the podcast normally would end here. But because of the unusual circumstances wherein we have additional content that we recorded earlier today that I'd like you to have access to and this will continue day by day as long as the events warrant and I wanted to talk about something that has caused distress in some people. And that's the rules that are in place now that a lot of businesses have instituted and I was very distressed at the horrific event occurred at a family dollar store where people were being told to wear masks and a customer refused to wear a mask and then kill the employees who insisted that she wear a mask and I mean oh what a what a senseless brutal awful crime to occur. Because somebody didn't like being told to wear a mask so the various requirements. We're going to have that are going to be imposed in the work place for people that are not working now but being called back for people that are working at home. They're going to be called back to the office. We're going to have to get used to Continuously series of changing rules and procedures and private businesses. That we do business with or going to have their own rules As I mentioned days ago we had several people who wrote very angry comments about the fact who posted various places on Clark Dot com about the fact that Costco was requiring that all customers entering have to wear a mask and put restrictions on how many people a member can bring in with them and other things for the safety of fellow members and for their employees and there were people who said I'm never ever GONNA walk in cost goes doors again so whole foods now has gone to Facemask requirement for customers and employees. The purpose of this is something that I have longtime familiarity with because in congested Asian cities mass have been part of life or a good twenty years and the reason is simple that it reduces the spread of disease in Asian countries where people are much more densely populated. There's been a much lower incidence of seasonal flu and a lot of Asian cities and countries because of the widespread use and adoption of mass. So it does take some getting used to and I was pretty resistant at first myself. Too wearing a mask and now. I have a mask that feels comfortable and I'm adapting. You know in life life will always throw curve balls. And it's how we deal with those curveballs. That's key and the safety precautions. Were being asked to take for. Corona virus are really important to protect the ones. We love others. We don't know and ourselves you're listening to the Clark Howard show. Thanks for joining us today. That Car Howard show is produced by Kim Droves Joe Lars Guard Debra Reese and gem airs and remember twenty four hours a day. We're there to serve you a Clark. Dot Com and CARD DEALS DOT COM.

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6.14.19 Resort fees are outrageous but Booking.com is taking a stance; Clark Stinks

Clark Howard Show

34:55 min | 1 year ago

6.14.19 Resort fees are outrageous but Booking.com is taking a stance; Clark Stinks

"It's my pleasure. To welcome you to the Clark Howard show, where it's about you learning ways to save more and spend less and don't lay by ever rip you off. This is Clark Howard, rip off alerts. There's something that's spreading across the travel industry like locus that, like a plague that is terrible for your wallet. And wanna make sure that you are totally aware of this, when you are traveling by car by air, however, when it comes time to book, a hotel, the hotel industry is drunk on junk fees that originally were only charged at fancy resorts, and we're called resort fees. So you'd be told the rate was going to be I don't know, one hundred seventy five and night for your resort room, then you'd get there and suddenly, they'd be another fee, that might be another twenty bucks a night. There was to pay for the amenities the place like the fancy pool or whatever was there. And so this stayed as a plague at resorts, pretty much alone for a long time, and it was a ridiculous fi anyway. Because the whole idea of staying at a resort is you're paying more to stay at a resort. So why not charge in the room rate, what the resort is actually going to charge you. Well, the reason the resorts went to breaking out the resort fee is because the way you and I shop for hotels now that we use our phones most often, and we're just serving the prices on rooms and so if a hotel just was legit on charging you a rate and didn't break out when you got there. The Gotcha fi. You might not book that because they look more expensive than another place. Charging you the junk fee separately. Well, the problem is it's worked so well for the. Resorts. The now hotels everywhere, or adopting, these junk fees, and just calling them different things amenities fee hotel fee, one, I saw recently had the craziest, it was called urban something something fee. It was like four words and it was a hotel in a city. I didn't get it at all. But recently, I was booking a hotel in Los Angeles. And this hotel popped up that stayed at before, and it was a really good special rate that was available. And then I thought, you know, I better make sure they don't have a junk fee because say there before there wasn't one to my shock saying, they're less than a year later, they'd gone to a forty five dollar night with they called amenities fee. And what were the amenities included? They had WI fi. Was nothing else. And so I didn't stay at that hotel. And I become so attuned to this. Now, before I book any hotel, I want to look up and see if there is one of these rip-off fees being added onto the room and if you shop around on your phone, you're busy, you may be distracted. You may see a rate in your book it and it may even be a refundable rate. And then only later, the hoops, so take one extra step with any hotel. You're thinking of booking, and you wanna know if there is any junk fee, remember it can come in many different made up names, but it's a junk fee. Nevertheless, and that's how you protect yourself. I was where was I saying Reese I travel too much for work and somewhere, I was. Changing planes. I was airport hotel, and I was booking a hotel at this airport. And it never even occurred to me that there would be a junk fee and the website I was booking at had a thing. Where said, do I accept the whatever fee which I thought was great that they asked me and the fee was thirty two dollars? An airport hotel for nothing. So then I booked at different airport hotel charge zero John fee, and the first place with the junk fee was quite a bit. More wants the junk v was added in the other place. Didn't have one even though the other place had a higher stated price. So now, you know, you gotta look out for it, and this whole thing really stinks and someday, I hope that hotels are forced to clean up their act and clearly disclose as part of the price your booking. The all mandatory fees. You must pay. Sam is with us on the Clark Howard show. Hi sam. Hi, clark. Thanks for taking my call. Thanks for being you. Certainly Sam what's going on? I discovered swapping of auto Lisa's. I don't believe in Lisa's. I've never leased before with this. I've seen on different websites. I looked at tried to look up some reviews of the person that would take over the lease. See, you know, the caveats and such, I know you live by the rules policies requirements of the lessor, that financial entities are usually the automotive companies to have their own GM financial or Lincoln financial or whatever. And you live by all those rules with the, the mileage excetera when you bring it back and all that. But what if I couldn't find any caveats for the one because if you could get something like eighty cents on the dollar kind of like. Whatever. But if you can get something for, you know, seventy eighty cents on the dollar or a good vehicle. Why wouldn't you miles? Yeah. So the reason people like doing these and the two biggest players in it. If I remember, right. Or swap lease and lease trader the advantage with them. Is that you're committing usually to a shorter period of time that somebody may have gone into a four year lease and eighteen months out from the end of the lease? They gotta get out. So you come along and you're going to be able to drive that vehicle for a set amount per month, and you're not making a long term commitment, and it fills a need. You've got or shorter transportation, almost like an ultra long car rental and many times, it will actually be more like that. It'll be like for six months, eight months, ten months, something like that, at the tail end of lease. It can work out. Great for somebody. So here's the hardest part for you. It is. When you go to turn in the vehicle. The unknown is how you're assessed for the condition of the vehicle. When you turn it in the most complaints, I have about leases involve the penalties that people are hit with when they turn the lease vehicle in. So when you take over lease, you wanna make sure there's no dense in it. No severe scratches. Is that the interior is in really good shape that the vehicle is an I near showroom condition. And when you do turn in the vehicle, you take a ton of pictures of it really could detail pictures of every Fender every panel every part inside. So that later if you get an assessment letter saying, you owe fourteen hundred dollars, let's say for unreasonable wear and tear, you say, wait a minute. I don't know what you're talking about. I have documentation of the condition I turned it back, yet that's the area. I hear the most about that would become for the original westie, or anyone just doing the least. But I'm thinking what can I be missing taking over a lease as long as long as the leasing company? Approves you taking over. Then you're good. Okay. There's no hidden. Gotcha. Other than. The legal instrument itself and its ramblers. There's no, I think I saw that there's a transfer fee. They don't charge around five or six hundred dollars can't get around that probably right in there may be depending on the least there may be a fee for terminating the lease at the end. Okay. So that it's you're good. You're good. It's, it's something that I have recommended as a potential opportunity for people for a long time. You know, people Lisa vehicle generally regret that they've leased vehicle with the people who take over lease for somebody following the proper procedures, I've really never hear complaints from. Anna is with us on the Clark Howard show. Hi, anna. How are you? Great. Thank you, Anna. How can I serve you today? Okay. So this is kind of emotional, uncomplicated have been married for almost twelve years, this summer, and I have three kids military family. We've move a lot, and so because of the kids and no family support. I haven't worked in twelve years and we got married right after I graduated from college. So I really have nothing like no work experience. I'm almost thirty four and we're falling apart. Oh, I am looking at the potential Hove a divorce nothing's been official yet, but I just I feel like I need to have a plan, and I don't even know where to start. I like I said, you know, almost thirty four and here I am I have nothing to fall back on. And I'm just kind of office to where to even start. Maybe stepping ahead of things, but have you and your husband been to any form of marriage counseling? Yeah. Yep. So this is like the counseling are like we just lost our counselor. She moved away and things have just by roads. Still horribly since then that I'm not really holding out hope for it. Does your trying work on things or is he just going? He thinks things were better before we saw counselor. So I'm not sure that he really has a lot of interests. He thinks things are fine. And he doesn't really see the issues so to take care of yourself. Okay. True. Right. Not true. I plan. So don't don't be down on yourself about the job thing for a lot of employers. The fact that you're thirty four and have a college degree makes you more appealing than someone who is twenty two fresh out of college degree is not something I can actually use what's it if in early childhood education. But it's through a college that did not back accredit. They are credited now but and I don't want to teach I'm an art kind of person. So my degree. I just finished it because I didn't wanna quit could I don't want to teach. Right now, usually at basis, there is a career counseling available to you as a trailing spouse. Have you been to counseling on the base? I did go like a year ago, and I didn't really get a lot of hope because the lady that I talked to moved like a month after I went there. Everybody. Don't wait without, I know that's my cue. We're to redouble those efforts because now it's feeling more real to you that your marriage might pain ending. Go to that career counseling center on the post what they're for. Not specifically for your circumstance, but they see it a lot. And there are going to be things that you're going to be able to do with your maturity, you bring the work place at thirty four and the fact that you have a college degree and don't sell yourself short. I heard you I three times selling milk. No confidence. Because like it's just very intimidating to go from, like an abusive home, right? Into being married. I've never lived by myself, I've, I've always lived in someone's basement in their spare room. I've never lived on my own. So this is so intimidating will. So that's why even if he's not going to participate in counseling because he thought it was useless or negative view need to do that for yourself. Right. And you need to avail yourself resources, because I hear in your voice, you feel so alone. And there are people who care about you, and there are professionals who are expert at this, and they've ERI in quality, but the you need to take some time for yourself. And don't look at this from will. I don't have this. I don't have that. I don't have the elder there's a lot you do have and. You need to believe in yourself, as you can more over time. Okay. So don't, please don't worry so much about that was that was kind of like an eighty statement you said I don't have skills. Anybody wants? Yeah. And you have things to give to others. You have things that others will want and that you need that confidence on locked. And that's where the counseling for, you know, the psychological things you should get counselling for with what you're going through is valuable. And then the career counseling is well, I think that in tandem those will both be very useful for you. And I'd love for you to call me back as you get through this process. Let's get down to the things where you move to the next steps. You might need. It's time for ass Clark where you post to question for me at Clark dot com slash ask. Joel. Who do we have Clark? We got one from Jimmy. He says your show is tops. But I get furious when I hear the suggestion not to answer my cell phone, if I don't recognize the number. I'm a local piano, mover in Amherst, Massachusetts. And like zillions of small business owners, I only have a cell phone. Most of my customers only have cell phones to the listed area codes are nationwide. And I don't recognize ninety nine percent of the calls. I get if I only picked up the calls of numbers, I recognized, I'd have no work. Joan fo calls are a total nuisance in direct detriment to everyone's quality of life. I think they should be banned one hundred percent. Well, I appreciate that. And there are new tools coming out that are going to make it easier to get rid of a fair amount of. Those junk phone calls, and then hopefully, you'll be able to answer your phone in peace and confidence that really is somebody wanting to hire you at your business, and I'm sorry, those giant phone calls are such a hassle. I'm so glad you're with us here on the Clark Howard show where it's about your impairment with knowledge so you can keep more of what you make as what we're about is giving you ideas information facts, you can draw on, so they, you can take better charge, better control. So you expect me to meet the test of giving you good information. You can use. What if I give you what you feel is bad information or am just wrong? Or I wasn't complete. That's why we have Clark dot com slash Clark stinks where you can go post where you feel. I could do a better job and others can read your posts. They can comment on it and then once a week are. Juicer. Krista goes through your posts on Clark, stinks and shares her favorites right here on the air. Never encouraged to speak much think I'm pretty stupid. Maybe maybe, maybe you're right. All right Clark, we have a record. There is one topic. You discussed that is generated more Clark stinks than I've ever seen. Good grudge relations to me, give any idea what it could be. I have no idea what it could be. But I'm smiling ear to ear because it means that people care, and they listen and they react, I'm gonna read one of the posts is Representative of many of them. So here it is your comments on the lunch lady in New Hampshire, who got fired forgiving student of free lunch as I heard on your podcast was incomplete and highly misleading in a series of articles on this in the New Hampshire union leader over the past few weeks. It was revealed that the lunch lady had been giving the student free upgrades for some time and concealing. This from her employer the contract lunch provider. The lunch lady lied to her. Supervisor about her actions. The student's mother was mystified and was reported as saying her family was quite able to buy his lunches that she had no idea this was going on. Or why the lunch lady was paying so much attention to her son. The student, the lunch lady had at some point message, the student asking him to take actions to conceal her generosity and treating it as a joke. Your reporting of this matter left. A lot of people looking bad, when they didn't deserve it and left the lunch lady looking saintly when she didn't deserve it. You got this so wrong. And I'm left wondering of other things you report could be similarly. Off-base. John, john. Thank you for that. And you are right. And I'm guilty as charged. I went from the initial story, and it was quite interesting to read, as subsequent reports came out that found this was not a clear case. There was a lot more going on with it and. And the fact is, I reacted to the initial news story. That's what I reported on. And that's what I was upset about. And they're turned out to be a lot more to this story than the original one. So what happened was on the information that was out at the time I talked about it. I feel that my response was an accurate reflection later. It didn't look so good Clark. It's not actually that you stink in this case, but you're staffers, who were all over you about red meat that theory theories about fat being bad for you that you, Steve, low fat, and keep your cholesterol, low, instead, choosing more fruits and vegetables have never been proven indeed. If you ate just burgers, and your staff, h is fruits and vegetables, and short time, you'd be healthier, stronger and thinner than they be many of our ancestors thrived on an all meat diet. Many doctors of the past curing patients of diseases. On an all beef and water diet. You don't have to take my word for it, and they suggest a couple of books, you'll enjoy finding out how wrong the tofu leaders of the world are. I hope you get to see this. I can picture Krista, just hitting delete. Love your show, your knowledge and your integrity. David David, thank, you know, we don't cover things up. And and if you feel that others have been unfairly maligning my eating habits. I need to say to you that my primary care doctor and my cardiologists. Both would very strongly disagree with your sentiments. And they, they very much have forced a change in my diet and I still do eat red meat and more than either the doctors would like, but I eat a lot more fruit and a lot more vegetables than I used to a more balanced diet. I am no longer truly solely. The carry out kid I love Clark's advice, but I think he missed this one Rick asked about a ten dollar MasterCard. He received from a home improvement store. Clark interpreted. This is a credit card but from the caller's description, especially the three dollar ninety five set monthly fee after one year. This is a prepaid card. Rick should use the ten dollars. Steve. Use use it and be done. Another one that generated several posts. I'm going to read a Representative one from pilot Clark. Are you now on Nisshin and smarter than experienced air nautical engineers? Have you shorted be a are you a propaganda for Airbus, the EU and China, you're repeated Boeing bashing is unsubstantiated possibly based on purpose in misinformation to shift the blame from those countries? And airlines while advancing China's trade war when the NTSB reports on the THEO Pnn line near crashes are published you'll have a ton of crowed, eat artificial feedback systems have been on aircraft since powered flight controls were introduced in World War. Two MCAS is a modification of the speed trim system that has been part of the b seven thirty seven since eighty four and is not a stall avoidance or recovery. System mouth actioner. No, the switches to disable the Aaron trim system have been right below the thrust levers. Since nineteen sixty eight and for decades have been part of the abnormal checklist for runaway stabilize, your trim, actual component qualified pilots would have regained complete control seconds since these malfunctions dryer on conclusions on why they are not hired at Ethan or lion. Forty three years flying thirty three in airlines Twenty-three in the b seven thirty seven, Dan. Dan? Thank you for your post and you have obviously superior knowledge and experience. All I can rely on is the Wall Street Journal investigative pieces on what actually went on with the Boeing aircraft the problems that happen with both the design, and manufacture of the max aircraft and the sensors on it, and the leak tape of the American Airlines seven thirty seven max pilots who made it clear that the system was one that they were incapable of controlling. And if you read the reporting from aviation experts who have gone in the simulator recently and tried to correct the problems with the plane with the, the max when the CAS activated. They could not do. So even knowing in advance, what the what the problem was that the aircraft was going to experience. So there is definitely a problem with the plane, and no, I would never as someone who has been corrected many times by listeners had to modify my language, where I used to call China by derogatory names because I'm very anti-communist very upset about the communist dictatorship in China. I am not somebody who would be an apologist for the Chinese or try to help the Chinese as for Boeing, they blew it on this, and please, go read some of the investigative series and the Wall Street Journal, among other publications and you may modify how you feel what's happened with the max to blame it on pilot, inexperience. At these two airlines is something you as a pilot or so aware of that the automatic response of any aircraft manufacturer after any crash is to try to blame it on the pilots. And sometimes it is pilot error. But in this case, there's a specific flaw in the max that must be corrected. I was recently listening to an episode of Clark stinks in a listener had written about Clark wearing out his wallets at this point. The clothes pin had to go on the nostrils Clark suggested that he might go through them faster the most because he uses an ultra thin wallet as a longtime listener. I surmise that this is the Alette wallet that he has talked about in the past talked about it long enough that I had to get one to try it out. I was just looking at my at least six year old base model Alette and thinking it's finally starting to fray, a tiny bit. Maybe I should think about getting a new one soon. It's not the wallet. Clark. Thanks for all you do in your amazing for all you and you're missing stuff, do air, ick. Eric, I love the all wet while it's what I've been using for as far back as I can remember. So the reason that mind phrase in yours probably has not is you probably have the all parachute, material model. Oil and my wife used to make fun of me carrying that when so I got the one that has the leather outside and the parachute inside and it's not as durable is the all parachute model, so maybe I should not let my wife be the fashion police on my wallet. The next time get the one that's all parachute, material inside and out. Telling children not to worry about the value of a career when going to college was good advice in the nineteen sixties and seventies for this generation that vice stinks off and tried to explain this to baby boomer parents, who sent their kids off to college. But this advice only to be funneled when they couldn't find work with their anthropology history, biology or physics degrees. I, personally know people with kids who made mistakes, I not I know job with a physics degree generation X should not tell their children this bad advice. Don't study what you love. You don't know what you love. Study, something that will be profitable, and be wise enough to learn to love what you do. Twenty nineteen not nineteen sixty nine Clark stinks. William Quinn, BS, MS MS, e to be us as. MS. MS. E. M. C. MBA. Thank you for that post. All right. So couple of things. The job market is changing so quickly that if you talk to an eighteen year old about taking a specific career path, and doing it just because it owns a good living, you look two decades out, most of the jobs that will exist that point or things that don't exist today second, there is a reasonable compromise to what you suggest and it is that someone either stay in school, an extra half a year and double major where they get a major in something they love and a major in something that the job market really likes today or they in a regular four year cycle, get a major and a minor, so they can have what they love and what they also know they can fall back on as a way to make a good living and I appreciate all your posts. Please go to Clark dot com slash Clarkston. Sinks and let me know where I have let you down, Donald is with us on the Clark Howard show. Hi, Donald, how're you doing? I'm doing fine Clark. I hope you are as well. I'm doing very well. Thank you. And you as a dad or trying to do something to help your son or daughter. What's the story? My son is he's been living in working here in Florida and just not able to stay far away from his children. So he is in. He's in the process of moving back to Kentucky, where they're at and his mother, and I are are trying to help him with that. And unfortunately, is credit history includes a short sale that is going to prevent him from getting a mortgage. So his his mother and I are going to step in and buy house there. How many more years does he have till that short sale runs its course? How many years is it Ben? Since that happened. The short sale, I believe it was in. It was five years ago. Okay. So you're getting closer to where that short sale actually will not eliminate his ability to buy a home. And it seems a lot simpler, even if you help him with some money for it, or whatever that. With 'em moving to Kentucky urine Florida. It sure would be great, if he was buying a house, and he owned it instead of the complexity of you getting involved. What would be the possibility? And then I'll answer the question you actually want to ask me, but I wanna ask you what would be the possibility of hem renting? I getting established again in Kentucky. And then maybe the clock runs a little, he's at a point where he can qualify by a home on his own. Well, I mean it's it's not out of the question, but. The location that he's moving to quite frankly. The, the rental prices significantly exceed what a mortgage would would run. Okay. All right. So if you want to do this, it's really great that you're doing this out of love for your son, and doing a family transaction like this is common. I think you need to buy it. You need own it clear as Kabieh. And if at some point in the future, you want to sell it to them, then that's fine. But I very uncomfortable if you're thinking of co-signing alone for him, I think you should keep it clean. Yeah. No. At this point in time, not thinking of cosign, but there, there's, you know, the potential that he shortly after we buy one there that we're going to be moving also to Ojo, again, family. Issues and, and become part of the decision making process there. So when I was concerned about was making a purchase in, you know, possibly making that our residents for a short period of time, and then turning around and making another purchase that you may have trouble with qualifying you may show too much debt to qualify doing a purchase then turn around doing another purchase. It takes me back to what I said up, right? That even even if it is weirdly more expensive for him to rent at first, I think the simplicity of him. Renting is a better choice and who knows he may, he may with the intention of moving near the children may find that the opportunities aren't solid for him there, and he may end up going to. Let's say Cincinnati. And going to see them from there are, you know, Kentucky living somewhere else. Maybe then an hour of them. So, I think with, with this kind of move that so great, he's going to be closer to his kids and the other stuff, you added about you potentially relocating. I think it'd be better for him to rent at first, and then once he settled it's going to be a much better time for him. And for you to buy a home and maybe he can buy it. You're listening to the Clark Howard show. Thanks for joining us today. The Clark Howard show is produced by Kim. Droves, Joel LARs guard, Debra Reese, and Jim Ayers and remember, twenty four hours a day where there to serve you a Clark dot com and Clark deals dot com.

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1.17.19 Your next home might not use energy; Metlife pension fail; Choosing financial independence

Clark Howard Show

34:54 min | 1 year ago

1.17.19 Your next home might not use energy; Metlife pension fail; Choosing financial independence

"The Clark Howard podcast is brought to you by FedEx FedEx makes millions of deliveries around the world. But what FedEx really delivers goes beyond just packages and pallets for some. It's happiness for others growth, hope dreams or simply peace of mind, millions of packages millions of possibilities. Find out more at FedEx dot com slash possibilities. I'm so glad you're with us here on the Clark Howard show, where whereabout is helping you stretch every dollar. So you have more control of your life. Coming up later this hour, we're going to visit with Brad and Jonathan who host of financial independence pied, choose f. I and I've had an opportunity recently to talk with the number of people in the F I movement, which is all about you owning your bills instead of them owning you, and it's been something as heated up is controversial. I don't understand why. And that's why I want from time to time to give different perspectives including there's coming up later. Coming up before that I have a heads up for you. Today's Clark rage about big companies big organizations trying to steal your money or successfully stealing your money. I'm gonna tell you how they're doing it. And what you need to know and do about it. So. The home construction market in the United States is really splitting in two directions right now. One of them are builders that are building using new modern methods that create homes the us almost no energy at all. And there's even a federal standard for it that started a long time ago, but most builders in the ISD signaled it called zero energy ready home standard, and this is important for many reasons because nearly half the energy we use in our country is for buildings. Very small percentage actually for us running around in our cars or SEV's. And so if you build a home smart from the ground up you greatly reduce the cost of operating that home all through the years. But here's the neat thing builders that are Dopp ding, the smart building methods or able to build a home at essentially, no additional cost to what it would be. If you just built a home the way builders in building them, and I draw on my experience as a longtime volunteer for the last couple of decades plus with habitat for humanity where I've watched habitat affiliates. Go from building houses to now building homes that use almost no energy at all. And the funny thing is is that it adds almost no. Oh cost if any to the cost of construction, doing smart building standards when you look at a home, particularly as a first time home buyer. You're only looking at things like what the bathrooms are like what the kitchen's like what kind of countertops. He have what kind of flooring take it a step further for your own wallet. And ask those questions. What are they doing to make the home ready to often is referred to to be net zero? And this is happening in various communities around the country. And there are organizations nonprofits that teach builders how to build these net zero ready homes. I did a TV story on one of the nonprofits. And I was there. Watching the instruction. And the builders that were into it were really into it. Unfortunately, we don't have enough that are into this idea. So it's going to have to be market driven by you asking those kind of questions. And again, in most cases, it costs essentially, no additional cost to build a home that virtually eliminates energy bills. Let me give you just one example, though of things people are doing in homes you already live in because most homes we're gonna buy are used homes their existing homes. So do you know, simply when you buy a home or if you already in it? Putting an LED lighting alone. Will dramatically reduce your energy bills over the course of a year because lighting and most homes is as much as a fifth of what your monthly energy Bill is for your home. You go to LED lighting, you cut the cost of lighting in your home by roughly eighty five to ninety percent. And the great thing LED bulbs are so cheap. I was in dollar tree. The other day. That's not a bolt in them in dollar tree a lot, and they were selling one dollar LED bulbs. And bulbs that kind of price buck buck fifty common all over the place. I ki ay sells them, Costco, sells them, really inexpensively. Home Depot when they have specials sells them below a buck and a half a ball, and you make back the costs of that bowl versus whatever you already have in a lamp or you have somewhere in your house. You make that back in months. So no, even feel bad. If you take traditional light bulb Thomas Edison, kind of bulb and you kick it to the curb you're gonna make back the cost and energy savings replacing it before it's burn out like that. And the light now from LA? Bob's is fantastic. Neo was with us on the Clark Howard show. Hi, neil. Oh, how's it going? Neil. Very fine. Thank you for all done for us. All the way. And I've got a question for you vote cheap rental cars that are being repositioned. Sure have a last you travel last year from Florida of ACTA, Wisconsin for a total of fifty nine dollars and twenty four cents in that great. You got one of those two week rentals for like five bucks a day or something for six days for fifty nine twenty four total one inflation is well it be early this year late this year because Easter being late or rental car agency, not notify notice that different right? So the way it works. Just so people are aware is in the recent time period. November December car rental companies come up with a window where they make Reynolds extra cheap one way for people that will take cars from the northeast and the midwest. And relocate them to Florida for the peak season. And then when the season ends, which usually for the car rental companies will be April into early may, they then do the reverse, and they get you to relocate the car for them because think about for Carmelo company if they have to hire a professional driver to relocate a vehicle or they have to hire one of those transport services. That's a lot of money on the other hand, they let you drive it. Give you a screaming deal to drive that vehicle one way back to Wisconsin. They win and you win. So we don't have the dates yet. We publish them every year on Clark deals and on our travel tips page on Clark dot com. And we don't have the dates yet for each of the car rental companies when they're going to offer their repositioning rentals in the spring. Easter is. Although late this year, we're hoping to go again in April and enjoy another trip cheap trip. Yeah. I think you've got a good shot that once easter's over. That's when at least a couple of companies may already have repositioning prices in place. I know that the Easter being later is a problem for a lot of people in the travel industry. Like, the airlines are already whining. The Easter is later because it makes things more difficult for them for reasons. I don't quite understand. So don't be shocked if the airlines try to go convince congress to fix Easter to insert each year. To make their lives easier. I have one other quick comment. If I made sure last year, we won through an online service to rent a car through a major agency we got down to the airport at midnight in Fort Myers, Florida. The guy says, well, we don't honor third party second or third party on-track. We don't have a car for you know. So he was all about the size of the vehicle. We wanted to Chevy Impala which was quoted being a standard car company wouldn't honor that so when it was a Nissan maxima or Nissan Altima, which it was which is okay car, but not a nice show power. But the price was right. So my tip is make sure you go through the company you're going to rent from have a contract that's allowed or rather than through a third party. So I'll tell you with rental car agencies. They're gonna be all kinds of things happen. I don't know. If you've ever heard me tell my story from Fort Myers in the fall when I got to the car rental counter in fort my. Fires and they were out of cars, and they gave me one that was all broken up. And I I the car would not walk. It had trouble driving had a tire that was bald. And so that was that was my experience in after I complained I got a twenty dollar voucher purview to rental. The car rental business is kind of haphazard you never know exactly what you're gonna find. But I think that was pretty lame excuse telling you Neil because he booked through a third party that they were stiffling you on your rental. I think it was just because he stiffed you on your rental, and we're looking for some excuse. And Reema is with us on the Clark Howard show is say your name, right? Yes. Hi, how are you? Great. How are you doing? Well, and I have to tell you that I'm making my husband very jealous that I'm talking you. If you've been listening to you since junior high. So he suffered child abuse as well all these kids who around the country who grew up where the parents controlled the radio and made them. Listen in carpool. I'm really sorry. Had to suffer with me believe it or not. It was his own will listen changing. Wow. Okay. Well, how can I be of service to you? So I got married a year and a half ago, and I have a passport with my maiden name on it. But I recently changed by nameless social security office. And I was wondering if I have to renew my passport with my new name, or if I could just book any future international flights with my maiden name. Let me tell you what let me tell you. What women do women tend to leave the passport as it is till it comes time for renewal because passports are such a hassle and they're so expensive. And I have never heard as long as somebody remembers to book your driver's license. I'm guessing you've changed into your married name. But your passport is still in your maiden name. Yeah. Yes. So what people have to remember to do is when they do domestic travel us married name when you do international use the name on the passport. How many more years does your passport have to run? Ears aren't really want. Yeah. I got it. I think I know of no reason why you'd have to do that. Unless you want to enroll in klobuchar entry. Gullible entry does for you getting you through immigration and like a blink. Now, I don't know much about it. But I'd rather do the kind of way if I could keep my passport. So unless I hear otherwise somebody telling me that I'm out of my mind, there are millions of women in the same situation as you are who wait for the passport to run out usually six months before it expires. And then replace it with one with Mary name. Okay. Perfect. So just get ready for people to post Clark stinks and say that I'm terrible person that I've ever should've told you to do that. But I'm comfortable with that advice. Okay. Well, I trust us. Thank you so much and congratulations on your marriage. Thank you. Today's Clark -rageous moment is about big companies behaving badly, and it's a special warning in alert for you pay attention to this. Roaches. Clark just moment. Today, if you're just starting out in the work world or have done. So in the last ten years there is a dinosaur that has gone nearly extinct called a company provided pension. It was very common in the United States that people worked at a place for a period of time. And then the company would promise you an amount of money for the rest of your life. Most companies in the old days you had to have been there. Typically, five years some ten years and then later on in your life. You would qualify for a pension. Well over a working lifetime. Not of people would forget about a benefit that they had coming to them. And there's been a real problem where companies are even though they know they owe you money. They're using not to notify your pay you hoping you'll never figure it out that you're owed that money now this recently happened, and you may have heard news reports about this with the big insurer MetLife that MetLife. Which runs a lot of? Pension benefits for various companies. They reached deals with insurance companies, and they administer and pay out the money MetLife knew there were many many thousands upon thousands of people. I don't know if it's in the millions that were owed money for pensions. They knew who they were. They knew they were in age they were eligible for it. They knew where they were. And they just chose not to pay the money. And hold onto it the first state that busted him was Massachusetts. And now people are being paid back. There will be others in other states. It'll be almost certainly other settlements. And this is something I want you to think back, particularly if you didn't apply to you. But you have an older parent, maybe a grandparent who is at retirement age there, very well may be money that they are owed from a former employer and they've long since forgotten about it. I worked for a big company while I was in grad school, and I don't know if I'm eligible for any pension from them. But when I hit full retirement age, I'm sure going to check when place you may be able to find out information if there is a pension for you as p g c dot gov. PB GC. Remember, it's dot gov. The pinch. Benefit guarantee corporation that is responsible for oversight of pensions. Great to have you here on the Clark Howard show where it's all about you. And that wallet yours, I want you to learn ideas for me. So you can keep more of what you make. I mean, that's the core. Principle of this show is to live on less than what you make. But I have introduced a topic over the years I about fifteen years ago when there was a concept called being a MAC saver, and those were people that were living on fifty cents of every dollar they made and we're in a position to be able usually to bag work if they wanted to in their early forties. We'll fast forward almost two generation. And now the hot term is called f-i, financial independence. It can be fully fire financial independence retire early. And anytime I have. Talked with anyone about the fire movement. It leads to a big backlash from people who are like. Well, I don't know how they do that. Or I don't know how anybody could do anything like that. And besides it's never gonna work. Well, that brings me today to to guests today who were with me on the Clark Howard show and Brandon Jonathan both podcasters from the shoes F I podcast. I wanna welcome both of you to the Clark Howard show. Thank you, Clark longtime listener first-time caller super excited to be here. We'll it's great to have you because he is you know, is a longtime listener we don't normally have any guests at all. But the reaction has been so intense from people about the fire movement, and the whole concept of financial independence that it something that maybe I'm doing terrible job explaining and you can do a better job doing. So. And so Brad how did the two of you you and Jonathan end up involved with the whole financial independence movement. Yeah. It's an interesting story. We actually both live in Richmond Virginia. And actually Jonathan was listening to me. I was a guest on another podcast, the mad fine 'test, actually, which is another big F I podcast, and I was talking about travel rewards, and Jonathan heard me, and he's like, hey, this guy Brad's into travel rewards into F. I and lives in Richmond. Then he reached out to me we had lunch and he pitched me on this idea to start a podcast, and it was just something that sounded so fascinating to me. And have we kind of dip their toes in and the podcast was grown significantly since then and how many frequent flier points. Did you get out of that first line? Brad probably has racked up millions of frequent flyer miles over the last several years. I'm well on my way to my first. Million travel rewards mile. So the young Pat Owen has continued to go down that path. But frankly, it was kind of an excuse for us to talk about really what was then. And especially now our favorite conversation. This idea of financial independence getting to that point time where working is optional. And I feel like there's so much emphasis on being able to enjoy your golden years sixty five and beyond just seems like well, why can't we focus on being able to do that in our prime years? Our best years thirty forty fifty now, I don't I don't wanna wait till after sixty five. What does it look like to design your life and do a lot of these, you know, to shoot for this now, and I think financial independence is like my go-to small talk. I mean, it's my favorite thing to discuss. It's the only thing that I can talk about endlessly. And I think I framed that out now by having done this podcast for the last couple of years. So the twos F I podcast, you you've got there. Several of you out there that are all I guess you'd say friendly competitors who all take slightly different angles on the concept of financial. Independence, and how to get there? And I think that speaks to two things how much people in their twenties and thirties don't want to have to work for the man, that's an expression could be a woman, but don't want to work for the man for their entire core years into their sixties. And the other thing is that there's many different ways and strategies they can get somebody to financial independence. Young Clark got something we focus on significantly in our show is there are hundreds of different levers that people can pull to get them on a path towards saving money to get them on a path towards financial independence. But what we say is you have to take action. You can't just passively sit there and listen to podcasts or read blogs and expect anything to change in your life. You have to get up off the couch and take action. So that's all we ask of people in our community. Is that the taken information they figure out what to? Want very lives to look like. And how do they get themselves on that path? But it clearly requires action. There's no question about that. So Jonathan, you know, a lot of people listening are like, wait a minute. I can't even pay my bills every month. I owe money to visa MasterCard. And who knows who else? And you're telling me that I'm going to be able to just do some tweaks with my life, and I'm going to retire. When I want to a lot of skepticism about their feeling it, man. I love it. And and what's great about this is as you actually did this. You know, I think you kind of road this story out in your early thirties. But like, let's go back to the basics of how simple this is. And it it's not oversimplified. But but just to say it solve the problem. Right. You talked about the MAC saver plan. And this is a lot of the same concepts, maybe using a different verbiage different lexicon. But like, we know basic simple math. If you can save fifty percent of your income. You can get to the point where working as optional within ten to fifteen years. And we haven't. Vigils that have done this. The great thing is they've all done it in different ways. But it all comes back to kind of a core equation, right? What you earn minus? What you spend is equal to the difference or the gap. Now that gives us a bunch of different options. We can focus on the income game. We can focus on the spending or we can focus on optimizing the difference. And then each one of those since it's down a different path to the great thing about having a weekly show. Like what you've done in like what we're doing is. We're tackling this from every different side. And because it's not just theory because we have hundreds of thousands of people that have actually done this it, then becomes our mission to highlight the different ways they've tackled it. So for instance, Joe your producer. He has spent a massive amount of time taking a modest income and leveraging that through real estate to create a passive income vehicle to carry them to this fifty percent savings rate. I know people in our community that are extraordinarily frugal. And if crush the spending inside of their equation and are living on frankly, what is far below what I would be comfortable living. But they're just able to do that. It doesn't matter. How you get. It to that fifty percent savings rate, and you don't have to choose. You don't have to just do one of these. But if you look at at this path like a life optimization strategy and turn it into a fun puzzle. You don't have to do everything. But you're going to have to do something if your paycheck to paycheck today, we're going to have to make a change if we want to have a different future. And that's what we find. You know, let's say you're shooting for fifty percent and you fail miserably by and you're only able to save twenty five percent. Wow. You know, because you're anchoring yourself for this can mean, wow, I failed. I was only able to say twenty five percent, you're saving twenty five percent more. You're saving double your. In. Fact. I think the savings rate in America right now is like negative two percent something something like that. So it's not that bad the savings rate right now is somewhere three to four percent three to four cents of each dollar. Somebody makes great there's a gym run quote. You're the average of the five people you spend the most time with so if you're on the Clark Howard community, and you're listening to this type of content and not just listening to it. But taking action on it. You're positioning yourself to get yourself to a ten percent. Savings rate at twenty percent. And savings rate and you're striving for a fifty percent savings rate. It's all matter of degrees. And I would I would make the case that overtime as you each one of these parts of the equation is almost inevitable that you're gonna start approaching that fifty percent savings rate. And it's just it's it's believing that it's important that you actually have some agency some ownership of essentially your destiny, and it's just fun to kind of talk about the different strategies. So Brad a here. I am let's say I'm somebody who I laid out that skeptical person. Who's like, I got all this anxiety from web bills and paying for my kids and the credit card debt. No that where do I start? Yeah. I think that that's a great question. And obviously, you have to get some sense of we're you are I think so many people have that level of uncertainty and fear and anxiety because they have no sense of where the money is going. And that's a terrible position. I mean, you ask Jonathan like can anyone can anyone do this is this realistic? Like, there's so much skepticism. I would turn that around and say, even if you don't reach financial independence in ten fifteen even twenty years just having money in the Bank. How think a positive net worth makes your life? So much less scary for lack of a better word, right? Like imagine the person who has no savings who has credit card that and they get a flat tire. Right. That could be an existential crisis from even though it's only a two or three hundred dollar expense. So even just having a couple of thousand dollars in the Bank, just make sure life so much better and less. Restful. So to me like that's a starting point. Obviously just understanding that even getting on this path is going to put you in such a better life position. But yeah for me, it's get it on paper. See where your money is actually going see how much you owe. And who you owe a to and then start looking at your expensive and saying what can I change? How can I be more intentional about getting myself in a position where I can be saving money a month, two months six months from now? Right. And putting yourself on that path. Like there are easy things to do like saving money. I'm food to me. That's a huge one my wife, and I do this. We we set this little target that we like which is two dollars per person per meal, and it's a fun game. Like, we've taken this as this fun game that we can play together as spouses and life partners. Like, I it it makes it more enjoyable. It's not about deprivation it's about how can we win this game of life? Just by being a little bit more optimized. And we meal plan, and we eat extraordinarily. Well, my wife is a great cook. And we have fun with it. And we probably save I don't know five hundred to seven hundred dollars over comparable families that we know in our neighborhood who just aren't as intentional who are scrambling at the last minute to get some takeout or even something quick at the at the grocery store for the the hot and ready meals. Right. Those things add up and just applying that intention -ality is just really crucial just for getting started in this in the first place. You know, I love what you said. Because I always try to get people to think about one area of their lives where they can get their spending at a different place, and you mentioned food and other is the technology any monthly ongoing bills. And there they're there you can break this down and using your analogy food you can break this down into by. Fight size pieces. Yeah. Absolutely. And there's so many different things that you could take action on, you know, I think you know, Brad mentioned the food that's massive for someone that's kinda grazing and drifting. Maybe they're eating out several times a week a large alcohol Bill, maybe just a three or four trips to the grocery store. And you're feeding your family. I mean, your your grocery Bill and entertainment Bill dining can easily move past the house, and maybe even up words closer to two thousand dollars a month. Just having a little bit of intention -ality dialing in you could easily shave off five to seven hundred dollars a month. Frankly without without missing it and potentially eating in a in a healthier way to other really big ones that come to mind, maybe even three other big ones, you're housing your car and your cell phone. I mean, for instance, Brad did the math on this. And I'd love for him to give some of the numbers in particular with the car, we're not even talking about paying for a car cash, although there's plenty of benefits for paying for a car cashed and buying a used vehicle. We could discuss that. But just frankly, if you were to buy a modest new car and drive it for years and years. And years, basically, not managed the payments over your investing lifetime. Brad was it worth like a million dollars. Yeah. It was somewhere in the vicinity of that. I I don't have the article in front of me. But yeah, it was it was many many hundreds of thousands of dollars that my wife, and I have saved basically by buying one car each when we first got out of college. We have two thousand three I have a civic. She has the Highland there. And we've been driving those cars for now fifteen years, and that's made just not one decision. And these cars are wonderful. And they get us where we need to go. They look nice. They drive. Well, but that one decision that saved us potentially hundreds of thousands of dollars compound that over over decades. I love that. I you know, because we're all on the same page here. And I love the idea that it's all so approachable and people who feel like they can't get this stuff done. They can and. It's the hope that I want you to have the what Brad and Jonathan and I are talking about these are things you can do in your own wife, and Brandon Jonathan one of you take explain how your how somebody gets your podcast when it comes out. How long it typically is that kind of thing. So our podcast can be found basically anywhere that podcasts are found. If you have, you know, your iphone or Android, just go to your your favorite podcast player and search for choose F. I that's one word shoes. F? I we publish on Mondays and Fridays and typically we have it's it's about an hour long episode on Mondays and Fridays. And yeah, we'd love he did to check it out episode. One hundred would be a wonderful place to start the talks about some of the ideas that we just discussed today, and why this is an obvious choice. And frankly, why it's it's more than just a financial choice. It's it's a life optimization strategy that gives you bandwidth in every aspect of your life. So super excited to be continuing this conversation. We'll Brad and Jonathan both. Thank you very much continue what you're doing. And this is a great thing for people who feel they can't have control. It's in our culture that people live at the edge or beyond completely different in so many other countries. I hope that over time we can change this conversation where people are wondering what do they do with all their savings instead of what they do with all their bills. Thank you, both Debbie's with us on the car coward show, Debbie. You wanna talk about services that say they're going to magically go through all your bills for you. And find big savings is that right? Yeah. Thanks for taking my call Clark. Sean. I'm looking at you know, they there's these applications out there right now that are saying that they can look at your bills and say you have a subscription that you haven't looked at zillion years. And you know, they find that maybe help us identify those. Or maybe look at things that you get a lower rate on and things like that. My concern is how good are these? And number two, you know, they talk about accessing your Bank account, which to me that's up a red flag. So. They're not worried about I'm not worried about that part of it. What I am worried about is that we have had a meaningful number of complaints from people who have ended up being hurt by these services instead of helped that they'll go in and they'll change your let's say your pay plan or your cell phone plan, or whatever. And after they've done it instead of saving you money. You're now in one that's more expensive than you had before. I read that on some of the reviews. So I was questioning whether or not this is, you know, a legit thing. You know? So I don't recommend these right now. Because there's nobody out there who people are not griping about. And there's always going to be a certain number of people that are unhappy about anything. Right. But it's just I've heard it too much with these Bill valuation services. Plus if they do save you money, they take from third to nearly half of savings. Right. I saw forty percent on one. Okay. So I would say if you want to try to reduce your bills take charge of it yourself, call around. You'll be amazed. How much money you can save many temps just by you digging in and getting involved instead of outsourcing? This you go make the good fight to get your bills down. You're listening to the Clark. Howard show. Thanks for joining us today. The Clark Howard show is produced by Kim droves. Joel LARs guard, Debra Reese, and Jim airs and remember twenty four hours a day where there to serve you at Clark dot com and Clark deals dot com.

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