Cash advance loans can be a fast cash infusion for businesses, too. (Photo: flickr.com)

All businesses should be capable of weathering any situation, good or bad. This is of dire importance, particularly when these situations affect the money that is invested in the business. To help businesses deal with the evolving and sometimes unstable economy, there are now cash advance loans. These loans are helpful because they allow a business to obtain cash in the easiest possible way, and can be the simplest way to resolve any emergency needs for large sums of money.

How Does this Service Work?

Obtaining this loan requires future credit card sales and a merchant account. The merchant is eligible to get money from the lender once they agree on a part of the merchant’s future profit as the payment. First, the merchant gets to decide what percentage of this profit is sent to the lender when, in the future, a credit card sale is completed. The lender will then give the money to the merchant and wait on a MasterCard or Visa payment.

Why Choose this Over a Business Loan or Line of Credit?

The main appeal of choosing to obtain a cash advance loan instead of opting for the more traditional business line of credit or business loan is that this service offers a much faster way of gaining capital for your business, while being extremely easy to process. Payment of this loan is completely automated. The minute you process your MasterCard or Visa payment, you have already started paying back your lender. The speed with which you can obtain this loan makes it a great way to get large sums of money in emergency situations. Bank loans and line of credit loans usually take a much longer time to follow through, and in the meantime you could be losing valuable business. With business cash advance loans, you can easily avoid this.

Other Advantages of Cash Advance Loans

Business loans are often denied based on bad credit history. However, this option does not require excellent credit history.  Lenders are also flexible and will consider your business’s financial situation. If profits are only coming in very slowly, they will allow you to pay lower amounts.

Unlike business loans, applying for cash advance loans does not involve any collateral. Nor does it involve any fixed terms or fees. You can apply for and be approved for this loan in just a few hours, making it an ideal option to take when you need the cash immediately. A lot of the difficulties that you would usually face when opting for a business loan or a business line of credit are eliminated with this type of loan. This makes it perfect for any day during which you unexpectedly need large sums of money.

Use the Money as You Like

Another benefit is the fact that you are allowed to use the money in any way you please. Often with business loans, you sign an agreement that compels you to spend the money only in the ways that are agreed upon. You are not under this restraint when it comes to a business cash advance.

Apply for Cash Advance Loans HERE!

Payday advances help make ends meet

If you want to use plastic without overspending, get a payday advance and use your debit card.

Just when you could really use it, you run out of cash. You scrape together enough money to pay the mortgage, and the home insurance bill comes in the mail. You might be able to let that slide until next payday, but then, just for good measure, the car won’t start. Naturally, your kid takes this opportunity to remind you that his karate class fees are due tomorrow.

Payday advances can help you avoid credit card debt

When money is tight, it can be tempting to use credit cards. But when you’re living from paycheck to paycheck, credit cards make it very difficult to stick to a budget. If you charge just a couple hundred dollars a month and pay the minimum payments, you’ll soon find yourself swimming in debt. Before long, you’ll run up a debt that will take years to pay off.

Applying for payday advances is absolutely hassle-free

It’s quick and easy to apply for online payday advances. At Personal Money Store, it takes just a few minutes, and in many cases funds can be deposited to your account in as little as two hours. You can apply for payday advances of up to $1500, and the minute you do, Personal Money Store connects you with the payday lender that best meets your requirements. You don’t have to fax anything or even pick up the phone. Best of all, there’s no credit check.

Payday advances are easy to pay back

Most online payday advances are paid back on your next payday in one automatic deduction from your bank account. You don’t have to bother to write a check or remember to pay online. Sometimes you can qualify for an installment payday advance that lets you make several smaller payments over a longer period of time.

Payday advances can help you avoid overspending

Next time you’re short of cash, consider applying for an online payday advance instead of using a credit card. A payday advance doesn’t drag on the way credit card debt does. When you get a payday advance instead of using a credit card, you can’t accidentally overspend: You know exactly how much money you have available. And compared to credit cards, there are no surprises: With payday advances, you know exactly when the debt will be paid off and exactly what it will cost.

Payday advances can get you through to payday

Borrowing should never be undertaken lightly. (That’s the problem with credit cards – it’s just too easy to forget that every purchase is a loan transaction.) Any form of credit can be misused, and a payday advance is no exception. But it’s completely possible to get the benefits of a payday advance without digging yourself into unmanageable debt.

Before you apply for a payday advance, ask yourself this question: After paying this back, can I get by on my next paycheck without having to borrow again? If your answer is yes, a payday advance is the ticket to your next paycheck.

APPLY for Payday Advances HERE!

You aren’t the only one counting cash until payday

Counting cash until payday has become the new norm. We all have unique situations, but we’re all in the same boat: Ten days until payday and ten dollars in the bank. Sometimes you can scrape by on your last few dollars for an impressive stretch of time. But if one little thing goes wrong before payday – the car breaks down, the water heater stops working, or the dog gets sick – you have nowhere to turn.

Getting cash until payday is worth the cost

Sometimes — even before something goes wrong — it makes sense to get a payday loan to pad your bank account with a little extra cash until payday. The cost of a payday loan can be much less than late fees on a mortgage loan or credit card account. If you care about your credit score, think about getting a payday loan to protect it.

When you’re down to your last few dollars, paying a fee to get a little extra cash until payday is worth it for the peace of mind alone. Get a personal loan today, and if your kid needs something unexpected tomorrow, you’re prepared.

Getting cash until payday is easy

It’s fast and hassle-free to apply for cash until payday at Personal Money Store. Loans of up to $1500 are available and the funds are deposited directly to your bank account, sometimes in as little as two hours. You don’t have to fax anything or drive anywhere and there’s no credit check. On your next payday, the loan is paid back by an automatic deduction from your account. Or if you prefer to make several smaller payments over a longer period of time, you can apply for an installment payday loan.

Getting cash until payday lets you get things done

If you can make your loan payment without having to borrow again, getting a payday loan can make good sense. You have better things to do than count and recount your last ten dollars. With a little extra cash until payday, you just might get them done.

APPLY HERE for Cash Until Payday

Have you had it up to here with your bank's overdraft protection schemes? You aren't alone, according to the Center for Responsible Lending. (Photo: flickr.com)

If you’re able to see past the shady origins and history of the Center for Responsible Lending, you’ll see that occasionally they do good work that benefits society. While they’re certainly no friend of the payday loans industry, I find that their recent report on the overdraft fees and overdraft protection rackets is worth noting for any financially conscious consumer. Personal Money Store wants you to be informed when it comes to your money, so take the CRL’s findings as a word of caution when it comes to the twisted world of overdraft fees and protection.

Major Overdraft Findings That Should Give You Pause

Overdraft fees and overdraft protection costs have skyrocketed in recent years. According to the CRL’s findings, there are three shocking points of which we should all be aware:

1. Overdraft occurs frequently. Over a 12-month period, the CRL found (based upon Federal Reserve data) that more than 50 million Americans overdrew their checking at least one time. Of those, more than half (27 million) had five or more.
2. How much operating income did overdraft feeds produce for banks and credit unions in 2008? Try $24 billion. Broken down, it’s been noted that a credit union could derive as much as 60 percent of their operating income from overdraft fees and overdraft protection.
3. Think overdraft is under control? Think again. From 2006 to 2008, the CRL found that banks and credit unions upped the penalty by 35 percent.

Were You Even Asked to Opt Into This?

For most people, the answer is no. When you sign up for a checking account at your bank or credit union of choice, you’re automatically enrolled in an overdraft program. And buried in the fine print of your contract is the overdraft fee schedule. Generally, transactions consumers don’t have the money to cover are automatically paid by the bank or credit union. What the consumer gets for the trouble is a penalty per transaction in the neighborhood of $34. Furthermore, banks and credit unions tend to charge an additional daily fee for as long as a consumer’s account balance remains overdrawn. Regardless of whether an account is overdrawn by $100 or $.01, fees can mount – and no bank or credit union I’m aware of works on a sliding scale. It’s all about flat fees that the consumer must pay. And CRL research indicates that for every $1 in overdraft protection credit extended to consumers using their debit cards, $2 in fees are assessed.

The Banks’ Defense

It’s all about protecting a consumer’s good name, they might say. By providing this “service” to customers, banks and credit unions claim they’re keeping people from bouncing checks. NSF fees from banks, bad check fees from merchants and (potentially) other late fees could amount to a person’s picture being hung on the wall in mug shot-like splendor.

Bouncing Checks Aren’t the Story, However

Debit card and ATM transactions are the big issue. The CRL finds that if banks and credit unions wanted to, they could simply decline transactions that would put consumers in the red. However, most do not do this. They pay for the transaction but “help” the consumer by severely penalizing them. While consumers should certainly be responsible with their money, digging unnecessarily deep holes for them to try to climb out of after they’ve already made mistakes is a questionable tactic on the public relations front. In the end, it comes across as a money grab.

The Reordering Transactions Shell Game

Did you know that banks and credit unions reserve the right to reorder your banking transactions from highest to lowest, even if the lesser transactions occurred first? This catches millions of consumers who gamble that a large expense won’t clear until after their paycheck is deposited. If you’ve ever done this (I know I have), know that you’re playing a losing game.

Automatically Dragged Over the Coals

This is what John and Jane Consumer typically get when they sign up for a standard checking account. Many aren’t even aware that cheaper options are available. Some banks may offer a cheaper, more formal line of overdraft credit, or even a link to a savings account in the case of overdraft. However, even these can be expensive. Payday loans, when used properly, can cost even less. Did you expect me to say otherwise?

A Terrible Trio for Consumers

Using FDIC data from 39 member banks, the CRL digs into just what the overdraft fee jungle means for consumers. They do this by addressing the three points raised above.

1. Overdraft Occurs Frequently

Of the 6.5 million accounts held in the FDIC sample, around one in four experienced at least one overdraft over the course of a year. One in seven experienced five or more. As mentioned earlier, this translates to about 51 million Americans stuck in the overdraft fee quagmire. Those with five or more instances are sinking beneath the muck. The CRL found that repeat offenders tended to be of lower income, single, non-Caucasian renters. Considering that the FDIC points to the 18 to 25 age group as being most likely to fall into the overdraft trap, it seems that more effective financial education is in order. Learning to control excessive impulse spending, balance the checkbook and consider options like payday loans in emergencies could help anyone.

2. Excessive Overdraft Fee Profits

Banks and credit unions are conveniently not obligated to report what they make on customers’ overdraft fees, but the FDIC did manage to compile from a sample of its member banks. They found that that around 69 percent of their service charge income came from NSF fees. Extrapolating the data, the CRL finds that this amounts to $34.3 billion in fees for 2008 alone for all service fees. Sixty-nine percent of that is $23.7 billion, a staggering sum that should be much lower. As banks, credit unions and even credit card companies are jacking up fees, that figure could be even larger in 2009.

3. Fees are Out of Control

As I was saying, overdraft fees are a source of concern for any consumer who depends upon the traditional banking industry to care for their money. As the collection has increased 35 percent from 2006 to 2008, the CRL wonders if there’s a ceiling. Organizations like the proposed Consumer Financial Protection Agency and the Credit Card Bill of Rights are designed to help make right what has gone so far wrong, but will they have the healthy canine teeth to tear away the sweet meat?

As mentioned, fees for individual overdraft transactions and days a balance is in the red are commonplace. A cup of coffee, a tank of gas and a few miscellaneous convenience store purchases can quickly and silently become hundreds of dollars in overdraft fee debt. The CRL finds that the monthly average for individual debt card usage is 17. More than a quarter of those are for less than $10.17 on average. Imagine the possibilities across the banking industry. Since this use has exceeded credit card use since 2005, it’s also no wonder that the credit card industry has sought myriad ways to charge their customers with fine print clauses.

Fruits, Vegetables and Overdraft Fees

That sounds like part of a balanced diet these days. The CRL frightens us all with the details of how Americans spend “about the same amount” on overdraft as they do on fruits and vegetables. As for grains and other essentials like postal stamps and books, overdraft fees are clearly in the lead, say the CRL. Considering how difficult financial matters are during the recession, is it any wonder that the CRL found that most consumers would prefer that a transaction be denied than to have to paid exorbitant $34-per-transaction overdraft fees?

How Can This Problem Be Fixed?

This is your checking account on overdraft protection. (Photo: http://tolweb.org/)

Beyond preparing consumers to make sound financial choices, the financial abuses inherent in the traditional banking system must be exorcized. The Federal Reserve is considering that very matter, as is Congress. Large-scale change is needed.

Prohibit Overdraft Fees on Debit Card and ATM Transactions

This exception would be a welcome aid. If a fee is absolutely necessary, then a bank should have to provide a more highly visible, real-time warning so that debit and ATM infractions don’t fly under the radar and destroy overtaxed consumers’ budgets. If warning sign appears, consumers would have the choice to back out of the transaction (if the merchant didn’t simply rule out that method of payment). Some banks and credit unions block such transactions completely. The CRL suggests that all should follow the practice.

Overdraft Fees Should Be Proportional

The CRL’s finding that the amount that banks pay out to merchants for consumer overdraft is about half of what they actually charge consumers for the “convenience” is another signal beacon that change is needed. Flat fee overdraft charges are unnecessary when compared with the actual cost of covering the overdraft to banks and credit unions. It is understandable that banks and credit unions have to think of profit margins, but the current overdraft fee system is tantamount to gross customer abuse. The CRL suggests that an overdraft line with a reasonable rate of interest would be easier for consumers to swallow. Then again, rather than dealing with revolving interest, why not use payday loans?

There Should Be a Limit

If a consumer dashes their checking upon the overdraft fee rocks, banks and credit unions should be required to offer an alternative product at lower cost. A consumer shouldn’t be allowed to rack up more than six overdraft fees per year, says the CRL. This is what’s called weaning traditional financial institutions from their habits of excessive profit. Getting by with a reasonable profit margin may mean fewer executive retreats to Cabo San Lucas, but it’s the right thing to do.

No Overdraft Protection Without an Opt-In

This is self-explanatory. No service or accompanying gross fees should be thrown at a consumer without their approval. The CRL found that around 90 percent wanted to be able to choose whether they would have overdraft protection or not, so banks and credit unions should listen. If not, they run the risk of losing even more customers to payday loans when financial calamity strikes. Banks and credit unions certainly have a larger war chest to draw from, but that doesn’t mean they shouldn’t try to be competitive.

Make Banks Toe the TILA. Payday Lenders Do!

The Truth in Lending Act requires that lenders disclose certain information to the public. It seems that information regarding the amount of money banks collect in overdraft fees should be included in the purge, much the same way payday loan companies make their APR known. Since overdraft protection is an act of extending credit to a consumer, banks and credit unions should be forced to clarify just what they’re charging customers. No bank or credit union should be exempt from the law.

There’s Nothing Up My Sleeve

The Consumer Financial Protection Agency is on its way. President Obama made a great deal of show about the related Credit Card Bill of Rights. It’s time for banks and credit unions to be made to tow the line. If you’ve even gone through the hassle of dealing with overdraft, you know that there has to be something better behind the curtain. In the case of payday lenders, there’s nothing “up the sleeve.” In a short term financial emergency, payday loans are up front about fees, which typically are much less expensive than falling back on overdraft protection. The consumer should have the power to choose what fits their financial circumstances best.

Related Video:

It’s easy to get a personal loan today

No one likes the thought of borrowing money. But most of us have had to do it at one time or another. Especially today, with the cost of living soaring and incomes dropping, sometimes you have to get a personal loan just to make ends meet. If you get a personal loan today, and know that you’ll still be able to get by on your next paycheck after paying the loan back, a quick payday loan can solve a lot of problems.

Sometimes it makes good sense to get a personal loan

Needing money means different things to different people. You might be struggling to get by until payday after an uninsured medical emergency. You might be completely out of cash until payday when your car breaks down. You might be piecing your finances back together after overextending them on a recent vacation. You might even own a good house, have a good job, drive a nice car, be current on all your bills, and still find yourself short of cash until payday. Whatever your standard, and whatever your reason, when it makes sense for you to get a personal loan, Personal Money Store is the best place to find one.

Sometimes you can cut your losses when you get a personal loan

When you’re short of cash until payday and are running the risk of late fees or bounced check charges, it can make sense to get a personal loan. Late fees on the rent or mortgage can be significant, and it can cost hundreds of dollars to reconnect the electric service. Credit card companies today are more determined than ever before to collect late fees. Being just one day late on a charge account can really set you back when you’re already scraping to make ends meet.

No one loves to borrow money. On the other hand, there are bigger fees to pay than the price of a quick payday loan.

Anyone who’s ever had to get a personal loan knows what it’s like

Even with the economy in shambles, there are plenty of people who’ve never had to get a personal loan. But there are plenty more of us who struggle to make it from paycheck to paycheck. We know what it’s like to need money so badly that you’re willing to get a personal loan just to get by for a few more days until payday.

Get a personal loan for peace of mind

When you know that you can pay the loan back on payday without having to borrow again, and it feels like a little money in your pocket will change your whole life, paying a few dollars to get a personal loan is worth every penny. You may save money and you may put food on the table; you may make the landlord go away and you may get your car out of hock; but sometimes the peace of mind alone is reason enough to get a personal loan.

Applying for a personal loan is easy:

President Obama's plans for the Consumer Financial Protection Agency could mean that debt relief is closer than ever for the downtrodden. (Photo: flickr.com)

The recession has forced America to face some of its most deep-seated systematic financial troubles. One thing that has become clear is that unscrupulous mortgage lenders and credit card agencies have dined for far too long upon consumers who largely didn’t understand that they could hold out for something better. Foreclosure and bankruptcy have amplified the burden on consumers, courts and the economy as a whole tenfold, which makes the question of how debt relief should be handled a more pressing issue that it has been in decades.

Cornell and George Washington Law School Economics lecturer and former professor Dr. Neil Buchanan ponders in a recent FindLaw column entitled “Should Federal Agencies or Courts Protect Consumers in Financial Markets?” which side of the regulatory coin America needs most. Existing regulatory agencies are being given more extensive duties by the Obama administration in order to help make America’s financial markets safe and sound. At the same time, new agencies like the newly minted Consumer Financial Protection Agency appears to be on its way to receiving unprecedented powers. In theory, it will have the power to police how mortgage lenders, banks, credit card companies, payday lenders or any other consumer finance company interacts with consumers. It is Buchanan’s opinion that allowing regulatory agencies to protect consumers is the best route, as relying solely upon the courts wouldn’t be enough of a deterrent to keep suspect lenders from indulging in bad behavior. The ideal system would have both in place as a regulatory enforcement clearing house.

But Isn’t This Big Government Clogging the Market?

Some will surely feel that way. What I have seen from state governments is an overzealousness to regulate payday lending, to the point where it is impossible for such legitimate businesses to operate in some states. Mortgage lenders and credit card company supporters would likely have similar complaints, although the path of destruction their industries have carved is rather hard to ignore. Buchanan begins his argument by considering the “courts only” option. If it were possible t regulating a market in need of deep repair like the mortgage industry through simple enforcement of the law, that would be ideal. However, Buchanan doesn’t see that as being enough. Sometimes the courts might work in favor of the consumer and debt relief, but not often enough. Extreme circumstances would be required to convince most judges to see cause to invalidate a contract. The “non-elite” consumers, as Buchanan calls those most in need of debt relief, would not receive the help they need.

There is precedent here, but it could be a one in a million kind of thing. Buchanan points to a New York Times story where a judge ruled that a homeowner’s mortgage debt could be completely discharged during bankruptcy. This loop in legal convention happened due to a technicality: the mortgage company couldn’t prove it had the legal right to collect payments on the homeowner’s mortgage due to the fact that their mortgage had been repackaged and resold so many times that the paper trail had been lost. The mortgage company claimed this was “standard procedure” now, but the judge wouldn’t accept such shenanigans. Since the judge wasn’t exactly sure who was due the money, he decided he couldn’t compel the consumer to make mortgage payments to any one party.

“Saved by a Technicality” Won’t Work for Everyone

Buchanan rightly points out that not all judges will be as determined to call mortgage lenders’ bluff in such situations. “Standard procedure” should hold in most cases, meaning that homeowners would still be legally obligated to follow the terms of their mortgage contract. And mortgage lenders have certainly learned something from that case and are making sure all paperwork is in order. Once again, the deck will be stacked against consumers.

Don’t Depend Upon Courts for Debt Relief

Courts enforce the law. When a consumer enters into any legal contract with a lender, the terms of that contract are in most case subject to enforcement by law. Buchanan considers the vast majority of consumers to be “grossly mismatched” against mortgage and credit card companies. Mandatory arbitration clauses, hidden interest spike triggers and means of computing interest are always written in the best interests of the creditor. Consumers often agree to such contracts because they feel they don’t have any other choice. New regulatory agencies may be able to curtail abusive practices that are currently considered legal, but until that time officially arrives, there is too little hope that the average consumer will be able to fight back through the court system.

Courts Have Been Friendlier to Finance Companies

Families can go to court to attempt to prove that they shouldn’t have to pay under the terms of less than legal contract. However, Buchanan believes most judges will stick to enforcing contract language. In turn, the lending companies themselves are effectively using the court system to compel consumers to pay, even if it is through wage garnishment.

What about “Equitable Doctrines” for Debt Relief?

Hoping that lenders lose their paperwork isn’t a good strategy. That’s where “equitable doctrines” come into play. These can create situations where courts might be willing to set aside otherwise valid contracts because they feel that it there were unconscionable circumstances that placed the consumer under duress or undue influence to sign. Buchanan draws our attention to the “doctrine of unconscionability” itself, claiming that it works in two ways. First, in terms of procedure, there is the scenario where a contract was formed under suspicious circumstances. Second, there is the scenario where the substance of a contract is deemed grossly unfair. If both conditions are met, a contract like a mortgage, credit card agreement, etc, will not be enforced.

Too Good to Be True?

Perhaps it is. It all looks great on paper, says Buchanan, but debt relief is hard to come by via equitable doctrines. Only the most extreme cases are considered by courts, and for most people, having trouble paying a mortgage or credit card they signed up for won’t be enough to sway a judge. This raises the question in Buchanan’s mind as to whether courts should be compelled by stronger legislation to accept equitable doctrine arguments based on things like unconscionability. But as with any other action fought through courts, the cost would likely be prohibitive. Moreover, lenders would still be favored because “losing a contracts case legally cannot result in a company paying punitive damages,” writes Buchanan. “If you lose a contracts case, you merely pay what you would have paid anyway; and if you win, you are ahead. Thus, from the standpoint of repeat players, there is no reason not to abuse your customers (except to maintain goodwill, which many of the companies at issue here have already forfeited).” Then there are plenty of consumers who simply will not have the stomach to sue or be willing to accept a lesser settlement.

Calling on the Government for Debt Relief

Traditionally, the government has remained behind the scenes while consumers have pursued their right to take debt relief matters before the court system. As Buchanan suggests, however, this route has not often proved itself to be effective for the average consumer. In situations where genuine signs of abusive practices and unconscionable contracts are involved, new government agencies could take up the baton and make financial regulation more consumer-friendly.

“An agency can be empowered by Congress to order changes in behavior, changing business practices broadly and generally in order to level the playing field on which financial institutions and their customers do business,” says Buchanan. There could even be scenarios where lenders themselves could support agency regulation over the courts. “Out of control lawsuits” that financial institutions claim burden them unnecessarily would certainly be something lenders would be willing to leave behind so that a regulating agency can rule on matters. “But that hypothetical,” Buchanan writes, “ignores the financial industry’s real agenda, which is to fight to maintain both weak legal rules (allowing them to win in court) and weak-to-nonexistent agency regulation.”

Congress, Act Now

New agencies are about to spring forth from the executive branch to regulate the financial abuse of consumers through deceptive practices. Congress is in a perfect position to arm these agencies with more consumer-friendly laws that will make reasonable debt relief easier to attain. It’s that kind of consumer protection that Neil Buchanan and most concerned consumers are in search of as America looks to emerge from the darkness of the recession into the light of a stronger domestic America.

Motorola building image from Flickr.

Controversial commercials that take shots at the iPhone have caused the release of Verizon and Motorola’s Droid phones to be a much-anticipated event. Today, the companies have finally released pictures, prices and the official retail date for Droid phones.

Word on the street is that the Droid will cost $199 with a two-year Verizon contract and a mail-in rebate. The first installment in the Droid phones line will be available to purchase on Nov. 6. Did I say first? Yep, reports are circulating that the Verizon, Motorola team plans to release up to three Droid phones by the end of the year.

Suspense and more suspense

So what are fans of Droid phones – and more importantly people who plan to give Droid phones as gifts — to do? Putting off holiday shopping is generally a bad idea, but you certainly don’t want to end up paying off a credit card charge for the wrong Droid phone.

The Christian Science Monitor appears to have some inside info about Droid phones. Check out some of the rumors about Droid phones technology that have been making their way around the Internet. There’s no information about when the other Droid phones will be released, so I guess  procrastinators have an advantage in this case.

Verizon Droid review

A few lucky tech testers have gotten their hands on the Verizon droid and reviewed it. One reviewer from China (see http://english.dgshi.cn/content/200910/294430.html) says the Droid is “blindingly fast,” and the the slide-out keyboard is very comfortable to type on. It’ll take time to find out how durable the keyboard is, but the Droid appears sturdy thanks to its metallic body.

The Droid comes with stand that acts as a desk cradle, charger and  multimedia station. The reviewer says “The movies, games and pictures all were crystal clear and really sharp.”

Marketing mayhem

The makers of Droid phones were audacious enough to directly target the iPhone with their advertising campaign. “Everything iDon’t, Droid does” the commercials say, after listing several items such as “iDon’t run simultaneous apps.”

This bold marketing strategy that highlights several enticing features of the Droid has really caught people’s attention. Watch the full commercial at DroidDoes.com.

Google power

Yet another indicator that Verizon and Motorola are about to hit paydirt with the Droid phones is that the venture has Google power behind it. The Droid phones are powered by Google Android 2.0 operating system.

With Motorola on the outside, Google on the inside and Verizon — who boasts the largest coverage area in the U.S. — making the connections, I think we’re about to see the rich get richer. What do you think; are Droid phones going to drastically change the smartphone market?

Credit cards should be used carefully. However, if you need a car, the incentives available now could make using a credit card to buy a car feasible. (Photo: picasaweb.google.com)

If consumers are in the need of a car, this may be the right time to use credit cards to do it. Most dealerships have huge inventories and no way to get rid of them. The recession has put auto dealers in difficult positions, since most Americans are in no hurry to invest in big-ticket items. That’s great news for consumers who are looking to make an auto purchase. Potential savings on a car are substantially greater and selections are huge. Most auto dealers are making generous deals, with cash-back options and low financing rates. Cars that once were marked up are now being marketed at well below the sticker price, and sometimes even lower than the dealer’s cost.

Scott Painter, CEO of TrueCar, said, “There’s no question that you should get a screaming deal… the slump in sales resulted in discounts so steep that new cars can sometimes be less expensive than comparable used ones.” According to research done by TrueCar, last year dealers sold approximately 21 percent of 2009 models for less that dealer price. This year, that number is up to 25 percent already.

Dealerships Feeling the Pain

Adding to the auto industry climate is the rapid closings of many dealerships. In 2008 there were 1,200 closing dealers, this year GM Corp alone is planning on closing 1,200 to 1,500 franchises. These closings have helped turn the industry upside down. For example, at one time the Range Rover was a high-quality luxury vehicle. Now, there are fleets of the vehicles available with $12,000 cash-back on purchases. This isn’t the only vehicle with this kind of savings. Cadillac’s CTS sedan comes with $7,000 in incentives, while Ford’s 2010 Transit Connect vans are already coming with a $300 cash-back special.

Credit Cards: A Near Necessity

Credit cards are almost a necessity in today’s world. Many people use credit cards for everything from everyday purchases to big-ticket necessities. Although the recession has taken its toll on the credit and lending industry, companies are trying to right their wrongs and help customers make purchases. Recently, the federal government has stepped into the credit card mess, citing unscrupulous activities and demanding changes. Credit card companies understand how bad they look in the eyes of the public due to their dodgy dealings. Some companies are cutting customer’s limits, but also bringing down interest rates to make payments more manageable. They want to have customers who continue to pay on their bills, rather than just file bankruptcy or abandon the accounts.

Because of this, credit cards are slowly being used once again to fund high-ticket items like cars. With the overwhelming discounts and deals available, this is a wise choice for some consumers. Lilah Branson of Nashville, Tennessee said, “I need a car and I wasn’t planning on buying on in the recession. But then I saw the deal my credit card company offered and the deal the dealership had…combined, the deals were too good to pass up.”

Things are Slowly Picking Up

Credit cards are helping people again, slowly integrating back into everyday use. No one knows the where economy will be once the recession is completely over, but consumers are steadily getting their feet wet and wading back toward normalcy.

More creditors are agreeing to settlements on credit card debt before law changes make their rates illegal. (Photo: picasaweb.google.com)

A new study is showing that many lending companies are settling debts on delinquent credit cards. As a new way of mitigating losses, many credit card companies are settling cards for notably less than the total amounts owed. Edward McClelland, a writer in Chicago, is a consumer who had an outstanding balance of $5,486 to deal with. At a loss, McClelland offered the credit card company’s customer service representative half of the amount. Surprisingly, his offer was accepted without supervisory permission.

A growing trend with credit card companies is to accept settlements directly from customers. Due to the unemployment rate in the nine percent range and more people struggling with bills, companies are opting to take what they can get. Companies are also giving their customer service teams direct authority to settle with customers. David Robertson, publisher of the credit industry journal called “The Nilson Report,” stated that “Now it’s the card company calling you and saying, ‘Let’s talk turkey.’”

The Credit Card Secret

Many card companies are keeping their new settlement policies secret, however. Only a few are willing to disclose their new loss mitigation plans. Bank of America and American Express are both professing to using the tactic on a “case-by-case” basis. And other companies are mum on the topic, though the Bankers Association stated that settlements are a growing practice.

This change in procedures is an indicator that the credit card industry is losing some of its control over the market. The upcoming credit reform bill is another looming change that factors into lenders’ planning processes. Once 2010 arrives and the bill is passed, companies will have a hard time raising interest rates and many of their once-common fees will no longer be legally applicable. The reality is that despite changes and more rules for credit cards and lenders, they are still looking for ways to find debt relief. It’s estimated that credit card debt is reaching $939.6 billion and a record level is being written off. Adam K. Levin, founder of Credit.com, stated that “Creditors would rather have a piece of something now, instead of absolutely nothing down the road,”

Future Plans for Creditors

For the first time, credit agencies and banks are examining new programs that would allow counselors to use reductions of principal as part of their account settlement processes. Previously, counselors would work with companies to modify interest rates and late fees, but the balance had to remain unchanged. It was the one non-negotiable factor in accounts.

In addition, many creditors were used to being tough on delinquent customers, citing their assets as proof they could pay. In the end, creditors could sue or put a lien on the credit holder’s assets. The after effects of the recession have created a credit-holding body that has less to lose. This is posing a problem with credit card companies who still want their money, but find little options on how to get it.

Credit Cards Settling Like Never Before

Debt relief for companies issuing credit cards is a number one priority. The swelling amount of delinquent accounts that have come from the faltering economy has forced them to consider a new, more realistic methodology for dealing with consumers. They are willing to settle with customers and take what they can get, rather that staunchly demand money they probably will never see.

Despite Japan being one of the most technologically advanced nations in the world, it is largely a cash-based society. Larger stores do allow you pay with a credit card, but on the whole, Japanese shoppers don’t use credit cards as often as Americans do. I was told this before I was stationed in Tokyo and warned not to use my credit card, but I decided to try it anyway.

Option One or Two?

I bought some household items at a well-known Japanese retail chain and pulled out my Master Card. I was terribly curious to see if I could actually use it, and I had enough money to pay in cash just in case my advisers were right.

The cashier recounted to me in Japanese each item she rang up, not that I understood what she was saying. Obviously she realized this because when it came time to announce the total, she smiled politely and turned the display around for me to see the price. I handed her my credit card. She smiled, asked me something in Japanese and held up two fingers, one at a time: one or two?

What Does It Mean?

Oh, boy. I wasn’t sure but decided to take a guess. One. She nodded, took my charge card, rang up the purchase and gave me the receipt. Now I’m curious. I had to know what the one or two thing meant. Sadly, no one on the base nor at work knew.

Even my friend who’d been in Japan longer than me simply advised, “All I know is you just say one.”

Enlightenment

Then one day, a translator came in from the States. We had lunch, and I was dying to ask him about the one or two credit card option. Finally, I had found someone who had a clue. Apparently, the Japanese credit card system is fashioned after the original American Express program, where you could split the charge or pay for it in total. When you choose option one, you’re asking to pay for the entire charge. If you choose option two, your charge is split into two consecutive bills.

For the Japanese, regardless of whether you choose option one or two, you are required you to pay the entire balance on your credit card each month. In other words, if you owed $300 and chose to split the bill, you would be charged $150 at the register. The following month you would be charged another $150. In both cases you would be required to pay the full balance of $150 when your credit card bill is due. There is no option of a minimum payment like in the United States.

This Federal Reserve/Vanderbilt/Penn study tries to connect payday loans to credit ruin, but what they leave out suggests a rosier alternative. (Photo: flickr.com)

Credit cards have proven to be both a useful tool in establishing a credit history and a bane to those consumers who hope to maintain a good credit history. The temptation to “swipe and go” has been actively cultivated by the American media. With the magic plastic in hand, consumption is quick and easy. Those who pay off their credit cards each month may escape the revolving interest trap, but the vast majority of credit card users must not pay their balances in full. If they did, why would credit card companies offer reward programs? If consumers weren’t tied into earning points and paying interest fees, the programs wouldn’t be profitable for the companies.

What about Payday Loans?

According to multiple sources, over 10 million U.S. households use payday loans each year. These short-term loans are paid off over a set period of time, typically two weeks’ time. They fulfill a need and are not a swipeable ticket to impulse purchases. Certainly payday loans CAN be used for impulse buys, but lenders make it clear that this is not advisable. Furthermore, the amount available is finite, typically smaller than the credit limit available on a credit card.

Yet Sources Continually Try to Connect Payday Loans to Financial Ruin

Take the January 2009 interdisciplinary study “Payday Loans and Credit Cards: New Liquidity and Credit Scoring Puzzles?” Written by Sumit Agarwal (Federal Reserve Bank of Chicago), Paige Marta Skiba (Vanderbilt University Law School) and Jeremy Tobacman (University of Pennsylvania), this study attempts a statistical correlation between credit card default and payday loan use. In particular, the trio attempts to make the case that consumers consistently make bad decisions by choosing to take out payday loans when they have credit card liquidity.

There must be a reason that consumers make such a choice, however. Agarwal, Skiba and Tobacman do not define such reasons, so I will attempt to fill the crucial gap.

Methodology and Results

Agarwal, Skiba and Tobacman analyze a sample of 102,779 people who took out payday loans from a single lender (this is significant, as I’ll show in a moment) and 143,228 with credit card accounts in states where the same payday loan company operates. They discovered that while credit card issuers used FICO scores as the primary means of determining a consumer’s credit worthiness, the payday lender used Teletrack scores instead, which tend to track borrowing history more on the subprime scale.

According to the study authors, Teletrack scores were eight times more effective at predicting payday loan default than FICO scores. Thus, it can easily be assumed that the more effective credit evaluation device creates more successful payday loan transactions that it would defaults and additional fees. The mainstream media is too often ready to accuse the payday lending industry of wielding such fees like a fire hose on unwitting consumers, but the truth of the matter is much less dramatic.

Payday Loan Customers Have Access to Prime Credit

Even though the authors’ study indicate that on average, consumers who use payday loans have a lower average income compared with those who just use credit cards, the same study indicates that their average FICO score is still in the 620 or slightly lower range. Thus, they can still access prime credit cards.

Why is it then that, as the authors indicate,

Two-thirds of people in the matched samples have at least $1,000 of credit card liquidity on the day they take their first payday loans, much more than the typical $300 payday loan.

It’s an interesting question. A 2001 survey by Elliehausen and Lawrence regarding credit card availability and usage found that 56.5 percent of respondents who used payday loans had bank-issued credit cards with liquidity available, but 61 percent “hadn’t used them in the past year in order to avoid exceeding the cards’ credit limits.”

People Don’t Like to Admit When They Fall to Temptation

The authors show us that there is a steady decline in credit card liquidity leading up to the time when consumers take out payday loans, but the liquidity doesn’t disappear entirely. The authors comment that

This is interesting because it speaks to the question of why people borrow on payday loans. If liquidity were flat until a large drop one month before the payday loan application, we would suspect that a single large bad shock had unexpectedly arrived. Since we find average liquidity falling steadily, impatience, general financial mismanagement or persistent shocks seem more likely explanations.

Perhaps what Agarwal, Skiba and Tobacman define as “impatience” or “financial mismanagement” could include the psychological temptation having a credit card that needn’t be paid off in full each month (advisable, but generally not required). It would be worth studying that factor in greater detail, as I know from first-hand experience that having access to credit, using it and allowing it to revolve month-to-month is an easy trap. In my opinion, such situations are not out of the ordinary. Closer study is warranted.

The Author’s View of Payday Loans is Limited

Obviously, if you only survey financial results based on the clientele of a single payday lending operation, your results will be far from definitive. When the authors claim that credit card holders who take out payday loans are 92 percent more likely to experience credit card delinquency, such a dramatic number indicates to me that the statistical sample is much too small to be meaningful. If consumers evaluated by Teletrack are generally less prone to payday loan defaults, why would credit card defaults be all that different?

It is significant to note here that applying for payday loans does not generally depend upon or impact one’s FICO score. That is one of the major selling points of the product, as consumers with less than perfect credit can take out a payday loan for a set amount when necessary. There is no system of revolving credit at work with payday loans; the balance is paid in full at a set date two weeks in the future. Furthermore, since payday loans obtained after Teletrack reference are generally not recorded in a consumer’s credit history, other lenders cannot use a consumer’s payday loan history against them when they apply for large-scale loans for homes, vehicles, education, etc. If banks could use payday loan information against consumers, they most certainly would. Their track history of penalizing and confusing consumers with credit card terms prompted President Obama to step in with fair credit practice legislation, which in my mind only serves to support my argument that banks will charge whatever they can.

Why Don’t Credit Card Companies Use Teletrack?

You’d think credit card companies would find any subprime information about a consumer to be valuable in their attempts to justify higher rates and limiting practices. The study authors indicate that the reason credit card issuers don’t normally use Teletrack is that the credit bureaus charge them for each credit query. Perhaps the leverage they can glean on a consumer is not valuable enough to counteract the fees?

Temptation Yields to Payday Loans

Considering how much damage a consumer can do to their credit history by allowing revolving interest credit cards to spiral out of control, the set maturity period of payday loans could readily be considered a better option. From a psychological standpoint, not having a tempting credit card in hand when you surf E-commerce sites or drift through the local shopping mall could be advantageous to the consumer. While Agarwal, Skiba and Tobacman have the beginnings of a useful study here, a larger sample of both credit card issuers and payday loan businesses is needed to make a more meaningful assessment of the payday loan’s supposed correlation with credit destruction. Perhaps then consumers can more easily see that the practices of banks who issue credit cards may be the most harmful advice out there. See the video below if you aren’t convinced of that yet…

Related Video:

If you are looking for Payday Loans, Apply Now!

People younger than 21 can no longer get credit cards on their own.

When a new piece of legislation takes effect in February, anyone younger than 21 will need a cosigner older than 21 to get a credit card. I believe this is a very positive step that will keep a lot of people from getting deep into debt.

If I hadn’t gotten a credit card when I was 18, I know I’d be a lot better off. I racked up so much debt on my credit card by the time I was 21 it seemed it was already too late to get out. Years later, I am still paying off purchases I made while I was in college.

Start of a credit catastrophe

It’s this type of mentality that keeps people going deeper and deeper into debt. I figured I already owed thousands of dollars on my card, what’s a few hundred more? Many college students and graduates feel the same way, so they keep their cards maxed out and eventually need credit counseling to figure out how they will ever overcome their debt.

I think if I’d had a few years after I moved out of my parents house to learn to live without a credit card, it would have been much easier to go without one or to use one responsibly. But alas, an 18-year-old with a credit card who is on her own for the first time is a dangerous thing with possibly lifelong implications. I am glad legislators see this and passed the new law.

Implications to credit card industry

If my prediction that not allowing people to get credit cards until they are 21 will cause a lot less debt and much more responsible use of credit in general, it could have huge implications for credit card companies. Personally, if I had not been allowed to get a credit card until I was 21 I might have never gotten one at all.

I think and I hope that this will be the case for many young people, who will realize they can survive without using credit and spending thousands on interest alone. I think this new law could greatly reduce the use of credit cards, which is great news for society but could potentially bankrupt the credit card industry.

I guess creditors should start looking for new jobs now.

(Photo courtesy of flickr.com)

Lenders are starting to offer credit cards to consumers again. It’s no secret that lending to troubled borrowers was the beginning of the credit-industry downfall. Have credit card companies learned a lesson? Or are they headed down the same road again?

Brenda Jerez, who recently overcame credit problems by slowing paying off each bill in installments after medical expenses and emergencies left her $50,000 in debt, is already being solicited by credit card companies again. Said Jerez, “It’s like I’ve got some big tag: target this person so you can get them back into debt.”

Targeting troubled-credit consumers like Jerez  seems like a sure-fire way to repeat the cycle of default lending. But this type of consumer is the biggest customer base for many credit companies.

The next troubled market

Lenders are use sophisticated techniques to target consumers by creating detailed profiles of their financial health. It’s estimated that over 100 million Americans have been profiled thus. The information is sold to other credit companies, mortgage brokers, and banks that all compete for the next untouched market, and they seldom care if that untouched market is less than qualified. Jim Campen, executive director of Americans for Fairness in Lending, said, “They get people who they know are in trouble, they know are desperate, and they aggressively market a product to them which is not in their best interest…It’s the wrong product at the wrong time.”

Predictive modeling

Predictive modeling is a new tactic being used by credit card companies to predict the likelihood that consumers will need lenders, even before the consumers know it. Sometimes bulk letters are sent to homeowners asking if they want to refinance. Later, via email or telemarketing, lending companies find out whether the consumers threw the forms out or used them. This can indicate to companies offering credit cards or home loans which consumers may be in the market for a refinance loan in the near future.

Mortgage triggers

Mortgage triggers are another strategy used by mortgage loan companies is. When a consumer applies online or at a bank for a home loan or refinance, banks automatically get their name and information and can check their credit history. Then they offer the consumer loans and vie for their loan package.

Since 2005, Experian, Equifax, and TransUnion all have sold lists of consumers who apply for loans to banks and mortgage brokers. Alan E. Geller, CEO of Vision Marketing, said, “We call people who are astounded . . . they say, ‘I can’t believe you just called me. How did you know we were just getting ready to [apply for a loan]? We were just sitting back laughing.”

Benefit or detriment?

So the question remains whether or not this form of credit is truly a benefit to consumers, or if it’s just another way for credit card and mortgage lenders to trap people once again. Many experts maintain that it is beneficial to have credit available, but they also warn that without a solid plan to tackle debt, consumers may find themselves in even worse financial predicaments than the ones they are in now.

Changes in the credit card industry hit consumers hard. Payday loans may indeed be the more viable option for cash-conscious consumers. (Photo: flickr.com)

Payday loans are proving themselves to be lifesavers in today’s economy.  Traditional lenders are closing doors quickly to extending credit and it’s leaving Americans in a panic.  Bills are being left until last minute, expenses are being cut drastically and families are downsizing to handle the strain.  Normally credit card companies offer an invaluable service of allowing people to buy on credit and pay later.  In today’s market, this option is becoming obsolete.

Credit Card Companies Changing Their Ways

For years, Americans have relied on credit.  It’s a great idea. The lender advances payment for a small fee and the consumer is able to pay later, while enjoying their purchase now.  Unfortunately with the recession, credit card companies are being forced to restructure their credit policies and procedures.  Consumers are the ones who will be suffering as a result, but there isn’t much they can do about it.

Some recent changes in procedure include:

• Credit card lenders are applying payments to low-interest-rate accounts before high-interest rate ones

Obviously this means customers are being charged a lot more in interest.  Credit card companies are taking advantage of multiple account holders by paying down their lower rates accounts, but not the higher-rated ones.  It’s useless to have a special introductory rate of zero percent if your payments on your normal-rated account are accumulating.

• Credit card lenders are closing customer’s accounts

Lenders are safeguarding themselves by closing inactive accounts.  Many people have an emergency credit card kept aside for only special uses.  Credit companies are taking this as a threat to recouping money. Their thinking is if a consumer has an emergency card and suddenly starts using it, they are having a financial emergency. If they are in the throes of having to use an emergency credit card, what are the real chances of them being able to repay the money?  Companies don’t want to take the risk and they are closing accounts that have no activity on them.

• Rewards are being cut

Sure you were wooed to a credit card because of the reward programs, but those are quickly being cut.  This is the least detrimental for consumers because it doesn’t mean a monetary loss, but it still cuts down on their benefits.  Credit card companies are also asking card holders to spend more to reach rewards.

The economy is affecting credit tremendously and consumers are suffering as a result.  Many people rely on credit in times of trouble, but this is quickly being ended due to credit card companies changing their rules.

An Uncertain Future

A lot of Americans are left to fend for themselves in the struggling economy. Those who have jobs are looking for payday loan aid. Those who don’t are looking to extra money-making jobs on the side to tide them over.  Everyone is looking to 2010 for true answers and improvements in the economy, but whether or not it will benefit people like they think has yet to be seen. No one can accurately predict what the future will hold.

Is Relying On Credit An Option?

Credit card companies are changing their rules to protect themselves from further losses. This leaves card holders on the edge of their seats anticipating further credit cuts and cutbacks.  Credit is no longer a safety net for consumers, but rather another financial aspect of their budget that has to be vigilantly managed.  Only time will tell how much credit card companies will change the face of credit as they evolve through the recession.  Until there are some concrete answers, consumers are left to look to payday loans and short-term funding for their emergency financial needs.

APPLY NOW for your Payday Loans

Khloe Kardashian is a married woman. Image from wikimedia.

Khloe Kardashian’s wedding pictures have earned a pretty penny for the pair. In a ceremony that was thrown together in a week and occurred about a month after Khloe started dating NBA player Lamar Odom, the two were married Sunday, and the Khloe Kardashian wedding pictures are in high demand.

Though it was Khloe’s mother Kris Jenner who sealed the deal with OK! Magazine to sell Khloe Kardashian’s wedding pictures for $300,000, the family says all of the money will go to Khloe. I guess Khloe and Lamar won’t need to put their honeymoon on a credit card.

Khloe Kardashian wedding fit for a celebrity

Even though reality TV star Khloe Kardashian and L.A. Lakers’ player Lamar Odom were engaged only a week before the wedding, descriptions of the ceremony show the couple spared no expense and still held a ceremony fit for celebrities despite the rush.

The wedding was held at the home of music industry legend Irving Azoff, who has been manager for Journey, The Eagles, Jewel and Seal among many others. Khloe, of course, wore a Vera Wang dress, and hundreds of balloons were released after the couple said “I do.”

Where are Khloe Kardashian’s wedding pictures?

You can scour the Internet all day for Khloe Kardashian’s wedding pictures, but my guess is that you won’t find them. Now that OK! Magazine has paid $300,000 for them, they will no doubt keep them under lock and key until the next issue of the magazine comes out.

After all, they’re going to have to sell enough copies of that magazine to make their $300,000 back. Blackberrys and other multimedia devices were banned from the ceremony, although a few Lamar Odom-Khloe Kardashian photos taken from outside the house have surfaced.

More about Lamar Odom

I haven’t yet come across an explanation for why Khloe Kardashian and Lamar Odom were in such a hurry to get married. Lamar Odom previously was with Liza Morales, the mother of his three children, for eight years, but the couple never married.

Lamar Odom’s children include 11-year-old Destiny and 7-year-old Lamar Jr. His son Jayden died of SIDS at age 6-and-a-half months in 2005. Odom is 30 and Khloe is 25. Odom grew up in New York and played for the Miami Heat and the Los Angeles Clippers. He has signed a contract with the L.A. Lakers for four more years.

Outside interests

Though Lamar Odom’s main job is his position on the Lakers, he is also planning to invest in a restaurant with professional skateboarder Rob Dyrdek.

Khloe Kardashian’s reality show career began on “Keeping Up with the Kardashians,” and now she and the oldest Kardashian sister star on reality show “Kourtney and Khloe Take Miami.” Khloe also hosts a radio show and is part owner with Kim and Kourney of D-A-S-H clothing stores.

Now what?

TMZ has a photo of Khloe Kardashian and Lamar Odom after their wedding Sunday, reporting they were still in L.A. A few different sources, including X17online, say that the couple is wating until after basketball season to go on their honeymoon.

“They tried to make me go to rehab, I said ‘No, no, no.’” – Amy Winehouse

Michael Beasley, elevated (Photo: flickr.com)

In his player biography on the Miami Heat Web site, Michael Beasley says that one thing most people don’t know about him is that he’s “a real funny guy.” But as reports from the NBA indicate, it appears that Michael “B-Easy” Beasley, former Kansas State star and first round selection of the Miami Heat in the 2008 NBA Draft is coming apart at the seams. If his stock in the league were a credit card, he’d be in default.

And you wonder why David Stern wants higher age limits?

Sudden exposure to the NBA lifestyle, from the money to the grind to the groupies, is a difficult transition for any rookie. It requires maturity, guidance and good decision-making. When players come straight out of high school or a partial college career and enter the league, they experience all the shocks and temptations. Sharks and hangers-on go hunting for fresh meat first, as they’re typically the most susceptible to the siren song.

NBA Commissioner David Stern was recently able to get the minimum age for entering players raised. Will he have to do it again? If young players can’t handle the pressure and continue to make stupid mistakes that harm not only their image and fortune but those of their team and city, another change might be wise.

A young man who likes to party… in Miami?

Michael Beasley is 20 years old. He played only one season at Kansas State, and while his freshman season was dominant on the court, think back to when you were a college freshman. Were you mature at that age? Consider how athletes are pampered and sheltered from things that could distract them from their play, and what you have is a very young man (a boy) thrown into the lion’s den of the NBA. And Beasley hasn’t been able to handle the pressure. He has checked into a rehabilitation program in Houston and could be there for at least 30 days.

What happened? Well, according to the Kansas City Star, Beasley was fined $50,000 for being involved in a hotel room soiree with fellow rookies Mario Chalmers and Darrell Arthur during the NBA rookie symposium.  There were women in the room, as well as bags of marijuana. In everyday terms that isn’t shocking for young men. But when athletes are paid big money to represent their team in the community, clean, responsible behavior is required.

Now he may be suicidal or otherwise disturbed

Check out the TwitPic of Beasley, angel wings and all. “SuperCoolBeas” may claim to be angelic, but this angel ascends high in the sky with artificial aids. There are plastic baggies in the picture that allegedly contain marijuana. It’s hard to tell from the photo. After Beasley posted it to Twitter and made some desperate-sounding statements, the Miami Heat was in touch with him. They encouraged him to seek “possible psychological and substance-abuse problems,” says the Chicago Sun-Times.

Desperate statements? Yes. Here are the two that had Michael Beasley’s team, fans, friends and family worried:

1. “Y do I feel like the whole world is against me…I can’t win for losin.”
2. “Feelin like it’s not worth livin!!!!!!! I’m done.”

Sounds like more than just a bad day, and hopefully Michael Beasley gets the help he needs.

Be balanced, be prepared

I think that while nobody was shot or killed in this Michael Beasley scenario, it still reminds me of the whole Michael Vick/Donte Stallworth/Plaxico Burress triad of immaturity. Athletes are given the world but not pushed to develop the maturity to be able to handle that world. It would be difficult for anyone to deal with all of the things placed at professional athletes’ feet. If you’re young and have gone through life with a sense of entitlement, you definitely aren’t ready. And you definitely shouldn’t have a credit card until you’ve learned to balance your budget.

Bare minimum, players should have to graduate from college or a developmental league program if their goal is to make it in the NBA or any other professional sport. I know that some kids have no intention of going to class or learning anything, which is tragic. So give that scholarship to somebody who will care about their education as well as sports. Players with all the athletic skill but none of the study habits can attend a developmental camp of the same length of time as college (four years). The NBA and its teams should put that camp together. There is enough money to make it a reality; no credit card maxing would be necessary. Michael Beasley appears to be ready-made for such a developmental camp, once he sorts out his psychological issues.

Related Video:

(Photo: flickr.com)

Whenever you purchase something on credit, whether it’s a product or service, we all find out about the magic of revolving credit. Whether it’s a mortgage, student loan, car payment or credit card payment, you’re paying two different things if you don’t pay off the credit in full immediately: principle and interest. Pay off the former and you’re done. If you’re only paying the latter, your adventure has just begun. It may leave you with a bit more cash til payday in the short run, but you’ll end up having to pay much more in interest charges over the long haul. The reverse – which is the more healthy financial decision – means that while you may find yourself in need of a cash til payday loan once in a while, you’ll be saving much more money over the years.

Go above and beyond

The best way to quickly reduce the principle balance of a loan or line of revolving credit is to make payments that go beyond the minimum monthly payment. This is contrary to what most Americans do, however. Making the minimum payment each month may free up short-term cash for consumers, but it ends up costing much more in the long term, thanks to compounding interest.

But won’t that leave you broke?

Not if you budget properly. As everything is expensive these days, it’s understandable that people aren’t looking to part with additional funds each month. This is typically the kind of thinking that goes into making minimum payments each month on loans and credit. Yet the best way to protect your finances long-term is to pay more than the minimum each month. That way, both interest and principle are paid down more quickly.

Get a jump on your financial future

If getting a jump on those interest and principle balance payments is your goal, some planning is in order. The best way to do this is to look at your budget. Once you’ve taken care of the monthly essentials, see how much you can afford to pay above and beyond the monthly minimum. If you’re used to paying a minimum of, say, $900 per month on your mortgage, try $1,000. With credit cards, try to pay at least double the minimum if you can, as these cards typically bear high interest rates. The more you can pay now, the less you’ll be paying for months and years. Sure, use a cash til payday loan if you need in an emergency… the end result will be all the sweeter. I’ll even give you a magic button you can use to apply for one, in case you’re in that spot right now

Like anything else, making radical changes – in this case to your budget – requires a significant adjustment period. Be patient and understand that unexpected expenses do happen. Be flexible; you will have to adjust on the fly. Once you get the hang of it, however, you’ll be well on your way to paying off your major purchases. Paying off a 30-year mortgage or a 48-month car loan before their time ends up costing you much less in the long run. Who wouldn’t want to do that?

Related Video:

Millet is rich in iron and high in protein. You can use millet instead of white rice in most recipes — it’s much more flavorful and nutritious.

Creamy Millet Casserole

This healthful vegan dish is easy to prepare, keeps well in the refrigerator, and makes great leftovers. The ingredients are simple and inexpensive, so you won’t need a credit card or a payday loan to get them. Broccoli, carrots, and onions, in a creamy tahini sauce served over a bed of millet, will satisfy the biggest of appetites.

1-1/2 cups water (including vegetable-cooking liquid)
1 cup millet
2 medium carrots, sliced into 1-4-inch-thick coins
2 broccoli stalks, cut into small florets, and stalks sliced ½-inch thick
1 medium onion, finely chopped
½ cup raw tahini
2-1/4 Tbsp brown rice miso
3 Tbsp toasted sesame seeds

Put the carrots, broccoli, and onions in a large sauce pan with ½ cup water. Cover and bring to a boil over high heat, then immediately reduce the heat and simmer until the vegetables are crisp-tender, about 3 minutes. Drain, reserving the liquid. Stir the tahini and miso into the vegetables and set aside.

Add enough water to the reserved liquid to make a total of 1-1/2 cups, place in a medium sauce pan and bring to a boil over high heat. Add the millet, cover, and return to the boil. Immediately reduce the heat, and simmer until the water is absorbed, 20 to 30 minutes.

Put the millet in to a 1-1/2-quart baking dish. Pour the tahini-vegetable mixture over and sprinkle the sesame seeds on top. Bake uncovered in a preheated 350° oven until heated through, about 15 minutes. Serve immediately.

I was in a bit of a predicament recently, and I’m thankful I found this Web site to help me get my hands on quick cash loans. Without them, I would have stained an already on-the-rocks relationship between my husband and my little Airedale Terrier.

Let me tell you what happened. My husband is an executive at a securities corporation, but I’m not going to name it here, in case he Googles my name when he’s at work. We’re doing alright for ourselves, no kids, a big house, a boat, a few cars and a huge yard that must be a pain for the help to take care of. That’s why we pay them a good wage. We don’t want them going down the hill to work for our “neighbors.” Those people make too much noise and that basketball hoop they put up last summer is a huge eye sore.

Precious little I could do

Anyway, my darling Airedale Terrier, Precious, is like our little child. She’d been having a little problem. She was bathroom trained from a young age and, in all things, behaved in a way befitting a proud pooch of her pedigree. However, for several mornings in a row, she was soiling the linens. The help was able to replace the linens and clean up the mess without any trouble. Luckily, hubby goes to work very early, before Precious finds her way to our bed, so he had no idea. If he did, he’d freak out!

Clean linen, clear thinking

Could I use a credit card? No, he checks statements. I heard from a maid once about a Web site where someone could get something called cash loans (I needed cash, right?), so I gave it a try. Since I was technically employed by the same company as my husband (I’m an analyst; I telecommute), I could apply. It took no time at all before I’d finished the online application, and I had money to buy new sheets it less than 90 minutes! The best thing about it is that it didn’t show up on my credit, and hubby didn’t have to find out.

I was just happy to help protect Precious. I’ll guess I’ll just have to take care of that special laundry when Marisol has the day off, because he makes the staff keep a log of their tasks. Come to think of it, he’s a control freak. That’s it, I’ve had enough. He’ll need cash loans just to keep up with alimony. Thanks to this Web site, I saved my dog and came to the decision to change my life. Whether or not it happens that way for you, I give you my best. Kiss kiss.

Related Video:

Payday loan companies are one of the last funding companies willing to work with consumers instead of take advantage of them. Contrary to credit card companies, these companies have a very short term relationship with borrowers. There are no long-winded contracts, penalties or fees attached. Payback is simple because it is automatically deducted from qualified borrower’s account on a specified date. For those who are eligible, payday loans are simple, short and quick.

Credit card companies evolve

Thankfully President Obama’s cabinet has stepped into the credit card problems of the recession. “I trust that those in the industry who want to act responsibly will engage with us in a constructive fashion,” he stated. The House and the Senate are working together to introduce bills that protect consumers against unscrupulous tactics of credit companies. “The days of any time, any reason rate hikes and late fee traps have to end,“ he added.

The problem of protecting consumers from credit companies has grown exponentially since entering the 2007 recession. Credit companies are suffering and their lending policies are not bringing in cash as they expected. The American public is at a financial loss and not paying debt. In response, the companies have taken to tactics such as slashing credit limits to lower than what customers have charged, automatically placing them at a higher interest rate.

They also have outrageous jumps in credit rates if a customer is one day late, oftentimes not announcing the “close of day” is not necessarily at the end of the day. “We were good customers,” stated Natalie Breuer of Plainville, Kentucky. “We paid our bill at the ‘end of day’, around 4:30pm only to find out that the credit card company closed their day at noon. That sent us into a tailspin because we were now technically late payers and our interest rate shot up to 23% as a result. We can’t afford that.” Breuer is not alone in her complaint. This is a tactic that the Obama administration would like to abolish.

How to find money

With credit companies making rules one-sided in their favor, many consumers are looking to payday loans as a way to fend off high interest rates and late fees. Maggie Burkot, a credit card user, stated that she “used credit cards in an emergency. Now, paying my credit cards off in time is the emergency that I need extra money for.”

With banks and credit lenders closing their doors, it’s difficult for Americans to maneuver their ways through financial strains. Many are copying large corporations and making large cut-backs in their spending. Discount stores’ attendances are up like never before and large retail outlets that once were favorites are suffering. People want more for their dollars and will travel farther and out of their comfort zone to get it.

In the end

Credit cards were a good way to pay bills in the past and served their purpose. With the recession however, they are no longer able to offer credit like they used to. Payday loans are proving to be more beneficial to the qualified applicant by keeping the relationship short and simple. Hopefully, credit card companies can see the business model of payday loan companies and learn to work with their clients, instead of against them.