Fortune Cookie
A secret admirer will soon send you a sign of affection.
Friday, January 30, 2009
Thursday, January 29, 2009
Random Thought of the Day
I wonder if one could go about their business dressed like a pirate. While it would be odd, there's no law that says you can't go around wearing a costume all day, is there?
When you think about it, people in uniform are wearing a costume all the time, so why not the rest of us?
I wonder if one could go about their business dressed like a pirate. While it would be odd, there's no law that says you can't go around wearing a costume all day, is there?
When you think about it, people in uniform are wearing a costume all the time, so why not the rest of us?
Wednesday, January 28, 2009
Dan's Plan
Look it, I've got this plan. I realize this may not be a new idea. If so, point me to the original and I'll promote whoever thought of it first.
You see there is a strong moral hazard that we have to deal with right now before it is too late. The problem is failing to pay our debts.
Currently, if someone does not pay their bills, the worse that will happen to them is that they will ruin their credit. While this is bad, it isn't the end of the world. They can still continue with life, but with a financial weight hanging around their neck.
Now this can get really bad if they don't pay their mortgage. If that happens, they will lose their house. So that has a major serious consequence. I'd like to believe that no one wants to lose thier house. Same goes to not paying their car note. No one wants to lose their car. So above all other debt, I would think that people will always pay their house and car before their pay any other debt.
Expenses are a different matter. After the house and car are paid, people will spend money for food, electricity, utilities, etc. before they'll pay their unsecured debt.
So the problem is with unsecured debt. How do we make people pay their debts. Well, short of putting a draw on their account, I think the financial industry needs to be a little creative. Why not offer an incentive to pay your bills?
If someone has bad credit, their are faced with punitive interest rates on their credit cards, plus they need to usually put down a deposit before they are issued a card.
What if the bank said that if you paid your debts on time, then at the end of the year, the bank would rebate some of the interest that was paid?? Wouldn't that encourage people to pay their debts? Granted, the banks would need to be a little less greedy, but at least they wouldn't need to write off as much as they have.
A creative wrinkle to this is if someone is late on one payment in 12 months, they could still get a rebate, but it would be less.
And further, at the end of the year, the customer would have an option to use the rebate to pay down their debt instead of being issued a check. Plus the good thing about getting a rebate at the end of the year is that it can help you with your Christmas gift giving.
What do you think? Good idea?? Look, I know the Discover card did this, but I don't think it was enough of an incentive. Didn't it pay like 1%? Why not make it 5%?
If you agree, say so. If you don't, tell me what you would do different?
Should people be thrown in prison for not paying their debts? Should they be forced into indentured servitude?
Look it, I've got this plan. I realize this may not be a new idea. If so, point me to the original and I'll promote whoever thought of it first.
You see there is a strong moral hazard that we have to deal with right now before it is too late. The problem is failing to pay our debts.
Currently, if someone does not pay their bills, the worse that will happen to them is that they will ruin their credit. While this is bad, it isn't the end of the world. They can still continue with life, but with a financial weight hanging around their neck.
Now this can get really bad if they don't pay their mortgage. If that happens, they will lose their house. So that has a major serious consequence. I'd like to believe that no one wants to lose thier house. Same goes to not paying their car note. No one wants to lose their car. So above all other debt, I would think that people will always pay their house and car before their pay any other debt.
Expenses are a different matter. After the house and car are paid, people will spend money for food, electricity, utilities, etc. before they'll pay their unsecured debt.
So the problem is with unsecured debt. How do we make people pay their debts. Well, short of putting a draw on their account, I think the financial industry needs to be a little creative. Why not offer an incentive to pay your bills?
If someone has bad credit, their are faced with punitive interest rates on their credit cards, plus they need to usually put down a deposit before they are issued a card.
What if the bank said that if you paid your debts on time, then at the end of the year, the bank would rebate some of the interest that was paid?? Wouldn't that encourage people to pay their debts? Granted, the banks would need to be a little less greedy, but at least they wouldn't need to write off as much as they have.
A creative wrinkle to this is if someone is late on one payment in 12 months, they could still get a rebate, but it would be less.
And further, at the end of the year, the customer would have an option to use the rebate to pay down their debt instead of being issued a check. Plus the good thing about getting a rebate at the end of the year is that it can help you with your Christmas gift giving.
What do you think? Good idea?? Look, I know the Discover card did this, but I don't think it was enough of an incentive. Didn't it pay like 1%? Why not make it 5%?
If you agree, say so. If you don't, tell me what you would do different?
Should people be thrown in prison for not paying their debts? Should they be forced into indentured servitude?
Friday, January 23, 2009
Thursday, January 15, 2009
Tuesday, January 13, 2009
Friday, January 09, 2009
Wednesday, January 07, 2009
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