DebtReductionBlog.com

After reading the blog posted here: AC360, I started to suffer vertigo and loss of balance.  After going to the doctor to determine the cause of the symptoms, I found it was due to slanted reporting of the facts.  I didn’t know this at the time but the blog poster wrote with an intent beyond simple fact reporting.  I really didn’t expect that because at the top of the blog, (under the part that says AndersonCooper360Blog), it reads, “Be honest about what you see, get out of the way and let the story reveal itself.  – Anderson Cooper”

So, of course the blog will be opinionated, right?

Well, let’s break this down a little bit.  First, the story mentions that residents will, (combined), have to pay up to 2 million dollars, “Yes – you read that right. TWO million dollars!”  Then the blogger posts that as many as 5,000 residents may be affected.  Then she says homeowners could be asked to pay up to 1.75 million.  Hmmm…which is it, tard girl?  2 million or 1.75?  See, because after receiving the calculation back from NASA I discovered that there’s a 250,000 dollar difference. Yes – you read that right. TWO hundred and fifty thousand dollars!  Or, one eighth less than you mentioned twice.  TWICE!

Besides, if you split that 5,000 ways, (as you suggest), it’s only $350 each homeowner, (I’m guessing you were rounding up a couple thousand homeowners, eh?).

Here’s the deal…life is not like Monopoly.  If there’s a bank error in your favor you don’t get to keep the moeny…except in this case probably because it would be “insensitive” for us to ask for the money back that was overpaid.  Gas is $4 a gallon but no…you go ahead and buy a new plasma theater system for your living room because you were smart enough to buy a  house below sea level right next to the ocean.

At least some of the homeowners used the extra money to get out of debt.

I want to hear from some real life New Orleans home-owners affected by this; what is your opinion?

The news today is not good if you take time to read the story that wrote the story.  The story is simple enough: “Visa profit jumps 28%“.  Well, that’s going to happen when consumers just like you and I start using our credit cards to make purchases best left to cash.  I paid $60 to fill my tank today; that’s $30 more than it would have cost just a couple years before. .  Fortunately I’m able to pay cash for fuel and food purchases, (for now).  But, for many Americans maybe that’s not the case?  Just thinking out loud…(or at least writing silently in my office).  It seems to me that a sharp increase in anything has outside contributing factors such as, oh, I don’t know…basic living expenses; food and fuel come to mind.  I think fuel especially since that is easier for me to measure than how much I’m paying for a burrito at Chipotle Grill.

Watch what happens in a couple quarters when things get really bad.  Housing inventory will skyrocket as default on other credit rides the wave.  Banks will go under from the weight of crushing debt turned bad.

You need to protect yourself and your family.  Reduce your debt now while you still can.  Pay down the higher interest debt to start and then work on the other stuff.  It may seem hard but it’s not as hard as being saddled with debt and trying to fight off inflation too.  You have to really want debt relief before any plan comes together.  Drop me a quick message if you want me to answer any question or questions about debt settlement, debt consolidation, or just debt reduction in general.  I’m here to help.

Ok, talk with you soon!

Davd B

I just read this story on MSNBC The new economics of hunger which told of massive food shortages in several counties. As I was reading it, I had to check the date…nope, not April 1st anymore so it’s not an April fools joke. Ok, here’s a hint: I don’t watch TV. I occasionally stream news and entertainment online, (thanks Hulu); but never do I plop down on the sofa and turn on the news, (or anything). My TV is good for watching DVD’s and collecting the random dust that I see floating about in the sunlight. I guess my point…or my excuse, really, is that I haven’t really been keeping up on world events.

I knew things were going sideways a while ago. I predicted oil to climb steadily and then drive up food prices but I thought all that would be in sort of a “false inflation”, if you will. I called it false inflation but it seems like oil prices never really stabilized and continue to surge. And, now that we’re coming into the summer months expect prices to go even higher! So much for false inflation. I’m not sure what the Federal Reserve calls it but apparently they tried to throw together a pie chart that show inflation hasn’t been a concern because if you take away food and energy, prices are pretty much the same. Hmmm…ok; I guess I was kind of thinking that same thing with my “false inflation” theory…but it only exists falsely if prices stabilize and eventually drop again, (oh, how I long for the days of $2 gas).

Wake up call, prices are going higher. Seriously, this is not going to get easier; it’s going to get harder. And, with an “economic slowdown”, (according to the prez), we are a far sight worse off and the future looks bleak. So, what’s my point? I’m not sure because I’m just kind of rambling so I lost my point…wait…there it is again.

Commit yourself to getting out of debt as soon as possible. With all the uncertainty…scratch that. With all the CERTAINTY that the economy is going to get worse for reasons we discussed here and some we haven’t yet, (housing meltdown, credit crisis, and more…), the certainty is that we are not riding high like we were in the late 90′s and early part of this century. Life is not going to get easier, people; it’s getting harder. The stress on the economy is palpable, (that means you can feel it as though it were tangible). Sorry, I had to look up that word a couple years ago and I thought I would share, . My point there is that I feel the stress on the economy like I haven’t ever felt it before.

Remember the movie The Perfect Storm? In the movie, (it was probably a book first and a true story before that), two major category 123, (or whatever), storms came together and created one big superstorm…the perfect storm.  Well, that’s kind of what we have here now with the economy.  First, you have a housing crisis caused by years of stupidity in the mortgage industry, (remember buying a house with no money down and no way to pay back the loan), coupled with dwindling oil supplies, (supposedly), and a falling dollar all creating a domino effect.  I guess it’s not really a domino effect so much as the cat finally kicking over the first domino that we’ve been setting up for years.  So, that’s it.  You’ve got a few choices at your disposal if you have enough gold to keep you alive the next couple of years and only a couple if you don’t.

Either way, I recommend you reduce your debt somehow.  Start off by paying off the high interest credit cards first.  Then tackle your car loans.  Auto loans typically aren’t high interest but they usually have a heavy footprint on your monthly cashflow.  After the cars are paid off try paying off your student loans and then your mortgage.  Some people tell me that you have a lot of tax benefits by keeping a mortgage.  Fine, pay it off then remortgage and do something investy with the money.  Scratch that advise if you’re paying less than 6% interest now.

If you are considering bankruptcy, (it happens every day), then try settling your debt first.  Many companies would rather you pay as much as you can and then drop the debt from the books than get nothing at all.  It’s simple.  Save up enough money to pay off half of a credit card.  Call the credit card company and offer them half of what you owe to settle the debt.  If they go for it, great; if not, I suppose they’ll have a counter-offer.  If they refuse to work with you then  you can just go into hiding with your lump sum, (or settle the next debt in line).  Credit card companies typically come around eventually and there are many factors that will contribute to their level of desperation…but we’ll cover that another time because I am about ready for bed.

Sorry to blog your eyes off but the story I ready just hit me in the face with an anvil sized dose of reality and I didn’t like it much at all.

Talk with you soon,

Dave B

Hi all. So a little bit about yours truly. I have been in debt settlement and debt negotiation for quite a few years. I’ve seen it all, (hopefully). I started this blog because I am tired of people telling me I should start a blog. so many people just don’t have a clue about what debt settlement is or how it works. I’m here to clarify. So, if you have a question, just post it in comments and I will reply with an answer…or you can just email me.