Last night in class we discussed the profound reality of debt due to credit card interest and finance interest rates based on your debt to credit ratio and past credit activity. It was horrendous! Our teacher is so awesome in that she not only used visual aids- Power Point graphs and figures- she did role playing. One of my classmates was the banker and each of us approached her about a car loan. My scenario involved having no credit at all so I was high risk. Any classmate who actually was a visitor to our class had years of revolving credit with several late pays and charge-offs on her credit report. Another classmate had positive credit history, several long-term accounts with zero balances and no late pays. I received the loan with 18% interest; the bad credit classmate was denied the loan because her credit score was in the 500's and the positive credit score classmate received a loan with 5% interest. Our teacher then gave me and the positive credit score classmate model cars that were exactly alike to represent we purchased the same vehicle and got loans from the same bank or credit union. Due to the differences in our credit scores and history, she will over $3,000 less in interest than I would because her credit score was much higher than mine. The lesson: Do whatever you need to do to have positive credit.
The most profound example was buying a $500 stereo with a store credit card that has 18% interest rate. If you pay the minimum payment, it will take you almost 11 years to pay it off and the stereo would have cost you about $1300. If you have a fixed amount greater than the minimum like $20/month, it will take you 6 years or less to you will have paid a little over $600 for the stereo. The lesson: Pay cash!
The guest speaker for our class was a friend of hers who with his with decided they were sick of being in debt. So about two years ago they made a commitment to pay off everything within X amount of time period and they will be debt free in 7 months. He admitted the only thing they will have is their mortgage payment and by paying one extra mortgage payment a month, it will decrease their 30-yr note to 20 years. He gave us about 17 suggestions for decreasing your debt but these were the easiest that I will use to educate my future clients:
- eliminate Starbucks and convenient store snacks.
-educate your self'; read personal finance column in local newspaper or listen to financial news to get familiar with terminology
- find inexpensive ways to entertain your family (borrow movies from library, use the parks)
- use Credit Unions for loans because interest rates are always cheaper
-put credit cards in the a baggy with water then place in the freezer; thaw out if home or family emergency
-never buy retail; everything goes on sale if you wait and watch; furnish home and clothing with garage sale items; thrift and consignment
- do not eat out more than once a week for dinner and when you do pay cash; it will make you think if you really want to buy desert
Prior to taking this class, I thought I knew everything I needed to teach others how to manage their money but I quickly found that to be false. Yes, I know a lot through experience and education, but realized there is always things to learn from other people. You know the ultimate realization or solution to any money management tool is not a magic wand or key points but how bad do you want to change your lifestyle so you control your money and not let your money control you. Our guest speaker shared that for him and his wife, they told each other, "Enough is enough!" We want to see some fruit from our labor.
I hear the brother and he has stirred up something in me that hopefully I can pour out on my clients. "Enough is enough. I want to see the fruit of my labor!"
Friday, March 10, 2006
Wednesday, March 08, 2006
Dear Daddy,
Dear Daddy,
Although we never got to know each other intimately or even as father and daughter, I feel compelled to tell you about who I was, am and will become. I fully understand the difference between my Heavenly Father and you but maybe more importantly I understand the need for earthly relationships and inner peace.
I do not have peace about the relationship we did not have. The last conversation with you was not pleasant from what I remember. It was about me dating a Mexican guy in high school even though I was in college and moved on to more serious and destructive relationships by then. I recall seeing the guilt on my mama's face when I discovered that she had started smoking again after two heart attacks and wondering if you had anything to do with it. I remember always seeing you in slacks or jeans with a sharp crease, nice hat and well ironed shirt. Your hair and moustache was always trimmed but you rarely smiled. If you did, I never saw it.
Anyway, as I have gotten older with kids of my own, it makes me desire for them to have a better relationship with their father. Not anything forced by me, but orchestrated by the hand of God. I pray often that no matter the choices me and their father make, that God give them the wisdom to always do what is pleasing to Him. I realized, I need to pray the same prayer for myself. You and my mama made some huge mistakes that God loved you in spite of. When I became an adult and started making similar bad decisions, I realized that "we do what we know". No books from school, college or the library can teach us half the things just plain old experience has taught me. Maybe that is why God loves us in spite of because He knows that experience truly is the best teacher.
When I attended your funeral in 2004, I thought any bitterness, resentment and unresolved emotions were passed me. Upon looking at you resting in that coffin, I immediately became angry at how peaceful you looked while I stood there with no help or answers to all the questions that swarmed around in my head. Did you know I graduated from college? Did you know that I had poor choice in men? Not that the men were bad people, they just were not a good fit for me. I believe in monogamy and respect and most of them struggled with that. Did you know that I used to curse a lot but now it is foreign to me? Did you know that I wanted to major in architecture but let a teacher turn me off of it by giving me a C on a project I know deserved an A? Did you know I have few friends but the ones I do are good as gold to me? Did you know I do not like pets? My friends have them and that's cute and all but I never inquire about them. Did you know I saw a baby be born by a 15-yr old girl? Did you know that a couple took care of me and molded most of my adult life and to this day I do not know why they gave so much of themselves and expected nothing in return? Did you know I got married? Did you know I had a baby? Did you know I owned my own home? Did you know I never got hooked on drugs or ever broke a bone even after playing sports for over 10 yrs? Did you know that Jesus is the Lord of my life?
I do not know how you would have known these things but maybe you did. I hope you did. I hope you were proud even if you never told anybody.
Uncle W told me that you gave your life to the Lord before you died and this I am glad. I am unsure if it was before or after you realized you were sick but it does not matter. Since you did this, we will see each other again and you can tell me the answer to all my questions. Plus you can answer mine- why did you or did you kill that man? What made you choose drugs over life? My siblings told me you were so talented and knowledgeable about tons of things, why didn't I get to find this out for myself? How long did we live near each other on the East coast and never knew it or made contact? Did you play any instruments? Could you sing? What did you like doing as a kid? Do you really have a son named Michael that is near my age? Did you love me?
Don't ask me why I am crying while I am typing this because I don't even know. I am sure I have more questions but cannot compose myself to ask you about them. In the meantime I will ask Aunt D and Uncle W and see what they can tell me. I really thought I was past caring about you, our non-existent relationship and your family in general. For some reason, I need peace about it all. You can't give it to me but I sure am looking for it.
My kids are beautiful with loving spirits and outgoing personalities. You would love them. I guess you both got cheated on this one, huh? Don't worry though, God will have me to do right by them and I thank Him for that. I am starting my own business so I can not only help generations of families but to show my girls they can do anything with the love of God. If you have not realized, God is the love of my life. I do not know how I would have gotten as far as I have today with Him. I guess you know this though, right?
Gotta go.
Love,
Me
Although we never got to know each other intimately or even as father and daughter, I feel compelled to tell you about who I was, am and will become. I fully understand the difference between my Heavenly Father and you but maybe more importantly I understand the need for earthly relationships and inner peace.
I do not have peace about the relationship we did not have. The last conversation with you was not pleasant from what I remember. It was about me dating a Mexican guy in high school even though I was in college and moved on to more serious and destructive relationships by then. I recall seeing the guilt on my mama's face when I discovered that she had started smoking again after two heart attacks and wondering if you had anything to do with it. I remember always seeing you in slacks or jeans with a sharp crease, nice hat and well ironed shirt. Your hair and moustache was always trimmed but you rarely smiled. If you did, I never saw it.
Anyway, as I have gotten older with kids of my own, it makes me desire for them to have a better relationship with their father. Not anything forced by me, but orchestrated by the hand of God. I pray often that no matter the choices me and their father make, that God give them the wisdom to always do what is pleasing to Him. I realized, I need to pray the same prayer for myself. You and my mama made some huge mistakes that God loved you in spite of. When I became an adult and started making similar bad decisions, I realized that "we do what we know". No books from school, college or the library can teach us half the things just plain old experience has taught me. Maybe that is why God loves us in spite of because He knows that experience truly is the best teacher.
When I attended your funeral in 2004, I thought any bitterness, resentment and unresolved emotions were passed me. Upon looking at you resting in that coffin, I immediately became angry at how peaceful you looked while I stood there with no help or answers to all the questions that swarmed around in my head. Did you know I graduated from college? Did you know that I had poor choice in men? Not that the men were bad people, they just were not a good fit for me. I believe in monogamy and respect and most of them struggled with that. Did you know that I used to curse a lot but now it is foreign to me? Did you know that I wanted to major in architecture but let a teacher turn me off of it by giving me a C on a project I know deserved an A? Did you know I have few friends but the ones I do are good as gold to me? Did you know I do not like pets? My friends have them and that's cute and all but I never inquire about them. Did you know I saw a baby be born by a 15-yr old girl? Did you know that a couple took care of me and molded most of my adult life and to this day I do not know why they gave so much of themselves and expected nothing in return? Did you know I got married? Did you know I had a baby? Did you know I owned my own home? Did you know I never got hooked on drugs or ever broke a bone even after playing sports for over 10 yrs? Did you know that Jesus is the Lord of my life?
I do not know how you would have known these things but maybe you did. I hope you did. I hope you were proud even if you never told anybody.
Uncle W told me that you gave your life to the Lord before you died and this I am glad. I am unsure if it was before or after you realized you were sick but it does not matter. Since you did this, we will see each other again and you can tell me the answer to all my questions. Plus you can answer mine- why did you or did you kill that man? What made you choose drugs over life? My siblings told me you were so talented and knowledgeable about tons of things, why didn't I get to find this out for myself? How long did we live near each other on the East coast and never knew it or made contact? Did you play any instruments? Could you sing? What did you like doing as a kid? Do you really have a son named Michael that is near my age? Did you love me?
Don't ask me why I am crying while I am typing this because I don't even know. I am sure I have more questions but cannot compose myself to ask you about them. In the meantime I will ask Aunt D and Uncle W and see what they can tell me. I really thought I was past caring about you, our non-existent relationship and your family in general. For some reason, I need peace about it all. You can't give it to me but I sure am looking for it.
My kids are beautiful with loving spirits and outgoing personalities. You would love them. I guess you both got cheated on this one, huh? Don't worry though, God will have me to do right by them and I thank Him for that. I am starting my own business so I can not only help generations of families but to show my girls they can do anything with the love of God. If you have not realized, God is the love of my life. I do not know how I would have gotten as far as I have today with Him. I guess you know this though, right?
Gotta go.
Love,
Me
Subscribe to:
Posts (Atom)
