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Five Bad Money Moves

MoneyWise / Rob West and Steve Moore
The Truth Network Radio
July 23, 2020 8:03 am

Five Bad Money Moves

MoneyWise / Rob West and Steve Moore

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July 23, 2020 8:03 am

Day trading, payday loans, and get-rich-quick schemes are obviously dangerous. But there are also some less obvious money moves that can also be hazardous to your wealth. On the next Moneywise Live, hosts Rob West and Steve Moore share some tactics that, if you’re not careful, could separate you from your hard-earned cash. It’s five bad money moves on the next MoneyWise Live at 4pm Eastern/3pm Central on Moody Radio.

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Most people know that things like daytrading, payday loans and get rich quick schemes are obviously dangerous but are there less obvious money moves that could also be hazardous to your well we all have to be on guard for circumstances and decisions that might separate us from our hard-earned cash if we're not careful today host Rob West share something you may not have thought of them will take your calls and questions on anything financial about 800-525-7000 toll-free 805 five 7000 more money moves right here moneywise.

My surround.

I guess this is where you tell us not to invest in solar power solar powered cars and do-it-yourself dental tools things like that exactly. I hadn't thought of those but I guess he can have a list do-it-yourself chain.

In fact, I've invested most of my IRA money into this a do-it-yourself, dental, and surgical business, so suit yourself and soon will be on every block where there isn't a McDonald's. I have no doubt I have no doubt okay where were you want to start well were talking about bad money moves in our first one. Steve does in fact involve investing. We could call it being overexposed with a particular stock or sector of the market or simply a lack of diversification.

Sometimes investors fall in love with a certain stock or mutual fund and put too much of their portfolios into that one particular investment. Anyone can. That's mistake but there is one group Steve Moore that that is particularly vulnerable to this type of bad money move chairs, drummers, guys know know know know people invest in companies called suit yourself and workers to have the opportunity to buy their company stock is a part of their retirement plan. You see often these make that option especially attractive to workers well. One rule of thumb is you should never have more than 10% of your portfolio in one stock mutual fund or even sector of the market like healthcare information technology or energy employees of Enron learned that the hard way. In 2001. Yeah, I remember that well. They not only lost their jobs when the company collapsed, but much of a retirement savings as well.

Okay, another bad money move this when her friend Ron blue often talks about Steve. It's thinking that because something is on sale. It makes it a good deal. You can't save money by spending it and it's never a good deal if you can't afford it, meaning it causes you to go over budget or buy on credit, here's another example of this.

Let's say you need a new close dryer you're looking at two of them at your favorite big box store. Both are priced at $500, but ones marked down from 700 which one do you buy what I would think most people would buy the one that's marked down because that has to be the better machine right maybe, but maybe not. You know the one that's marked down may have been a 700 a piece of junk and it's on sale because nobody wanted it so I think we always have to check the reviews on anything were buying. Certainly, in this case on both dryers and find out what people who bought them think that can really be an important piece are a good point in this case Google can be your friend. What's next are number three.

That money move. Steve might be called spiteful spending.

Here's how it works your spouse buys a new set of golf clubs are a pair of Gucci Glatt or gladiator sandals without talking to you first. Yes, that is a thing so you go out and buy something expensive to because you're entitled to it right think it doesn't happen. One survey showed that this particular type of impulse buying accounts for listen this over $400 billion a year in the US and that's a lot of spite.

Okay, let's bad. I'm still working on the Gucci gladiator sandals here. Okay what about bad money move number four well that would be an unwarranted fear of the Internet, specifically about online banking of first of all because online banking is free and mailing out paper checks each month to pay your bills probably cost around $50 a year, but more importantly, banks have multiple layers of security called firewalls that protect online transactions now. True, some banks, notably capital one have been hacked. But those instances are rare, and on the other hand, your mailbox is likely a good deal less secure and an easy target for identity thieves who want to steal your personal financial information so that's the first for Steve perhaps will get to number 55 we come back we definitely will when I cling to give you peak, however much you want to stick around for number five. Is this a call?

Comment 805 five 7005 money and life run on the same track.

Unfortunately, sometimes it seems like your money is heading in a different direction from your goal, and never enough three keys to financial contentment.

Author Ron blue helps you to break down all your financial options to a basic floor and then shows you how to keep it all chugging along in the right direction on the same track never enough three keys to financial contentment available when you click the store button at moneywise live to work. Our friends and sound mind investing have been helping Christians reach their financial goals since 1990 with step-by-step guidance for investors.

Just getting started making choices in a 401(k) or getting ready for retirement all grounded in consular SMI slogan is financial wisdom for living well. More information is available online. Sound mind investing the SMI website also includes articles and investing sound mind investing.org is something that most people only really tune into seriously. When the chips are down. You and I can be sure that there are a lot more people praying to the wound before the coronavirus break and get this whole crazy thing was meant to be merely last resort under any diamond from Christianity works.com.

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Pray boldly and let go on space rule in your heart that is robbing you of Freedom and peace of mind. Christian credit counselors can help where nationwide nonprofit counseling organization has helped over 3000 individuals in the last 27 years get out of credit card debt percent faster while honoring that that info to learn how Christian credit counselors can help you visit Christian credit counselors.org Christian credit counselors not or call 800-557-1985, 805 five 7005 bed sport just about any of us. Let me see first what I believe was a lack of lack of diversification of the next one was thinking that because something is on sale makes it a good deal. Not necessarily so. I think the next one was spiteful spending. That's where the Gucci gladiator sandals came into play forth was unwarranted fear of the Internet and in the fifth one we haven't gotten to that yet. So what might that be in a state whether it's paying off their student loans are giving the money to get through rough financial patch.

Parents often sacrifice their own financial well-being. For the sake of their children, and many times those bailouts just make the problem worse by enabling adult children to be irresponsible and you know this is a tough one because often one parent wants to keep helping the other one sees it as just throwing good money after bad.

So parents need to consider those decisions carefully without arguing between themselves our date and our good friend and former host of this program often advises married couples to pray about it together yet. He says it's impossible to argue when you're on your knees seeking God's guidance and I would certainly agree course. Another good idea is to seek counseling with a trusted financial advisor or a trusted friend, you know, sometimes a spouse is more likely to listen to the other side of the issue.

If it's coming from an outside source.

I think the key is oneness in these decisions and obviously there are times to be lavish and how we are there to step in for our children. Depending upon the situation but there are many times and we get these calls often where we just recognize that by stepping in and providing a financial bailout where often reinforcing the bad decisions that have been made in the past were not allowing a lesson to be learned. We may even be robbing God of an opportunity to have a teachable moment. So just be discerning and wise and not always so quick to jump in and provide for parents and robs a parent, parent, grandparent, it's hard to say no.

We understand that the people that you love people that you want to see succeed people you had born into your home you want to say yes most of the time so we know it's hard to say no. That's why it's important for spouses to agree about these things and it may take a little while as well. Typically spouses or different personalities and one spouse's.

Yes, let's do it the other spouse is not. I need time to think this through and the other spouse doesn't like that and then you're kind of at the at the loggerheads, but it's good to pray about these things give those things time to well to allow God to work in each other's spirit and then make what you believe this is his move for you your money and your children. Not one more time 800-525-7000. If you like to speak with Rob West today about any financial situation you might find yourselves in and let's begin by going to Miles city, Montana hi Patty, what's on your mind like $500. I have about three my letting expected in my savings account. I took $500 out and you $500 to buy one more year of service under my employee retirement plan and that would get me about $50 more a month by the rest of my life is a better return than the interest in my savings account. I have long shot. Yes, so you said it would that deplete completely your emergency savings Patty know now that lately with about three months living expenses.

Okay, my fading okay yeah you know that I'm okay with that.

That is a good good return on that money, but if you were to take that 6000 in turn that into a stream of income.

Right now we would use a 4% year is just kind of a general of thumb in that withdrawal fully about $20 a month so if you can increase your retirement $50 over the life of your retirement years, until death them and that's certainly a good return on investment and in that season of life. You can be looking to maximize income. I like the fact that you've obviously been able to live within your means, which is why you have excess in your savings are you able Patty on a monthly basis to continue to put some money into savings such that you might be able to build this backup beyond the three months. Can you okay what you have. I'm kind of doing that. I haven't been I've been fortunate enough to have two incomes right now because I get Social Security from my defeat account and fell.

I also work on time so I have that and I decided well. It was stupid to have two incomes and then pay taxes on that so I put my employee income into a different comp plan okay that goes into a different comp but I have other investment in line is an investment club that I could get out of that quickly if I needed to okay very good. What's unsecure well diversified. You obviously have been making some wise financial moves here that your exercising some self-discipline and taking your resources rather than increasing your lifestyle and building assets for the future which is going to give you more flexibility allow you to give as the Lord leads, but office obviously also fund your your lifestyle, your expenses, so I'm on board with this plan. I think the key is just try to really focus in on building that back up to six months worth of reserves but I think buying that extra year service makes a lot of sense great Patty were glad you called. Today we wish you the very best with that, St. Petersburg, Florida hello Greg, how can we help you find out the information I had a life policy which I counseled.

I was advised to cancel it because as I got older I noticed that the monthly premium continue to go higher and higher. So I did end up BRENDA policy which I received some money back and still I'm still holding onto that money. Not sure what to do with so I need to get some advice on what should I do, I thought about going back and getting another life insurance policy but I believe I'll be stuck in the same situation you find out what what what can I do about the great question Greg got a couple questions before I give you my thoughts. Number one.

Assume you are still working as a right yet I am okay.

What is your age. I'm 64, 64 okay and how long do you plan on continuing to work well on my employer because I am will be all slaughter all retirement. I have about three more years where I will be happy to work.

I didn't like to retire anytime between now and 2023 I have about three more years before I actually will be able to retire from this. Okay, very good, but if something were to happen to you, Greg, is there somebody that's depending upon your income right now such that the hardship would be created or given the assets that you have and the payout on that Florida retirement if something were to happen. You really wouldn't cause any kind of real problem with your income going away.

No, not really my God I am married and my wife has she she she is employed also and she makes weighing more than I do and she is been employed for almost 30 years and also so she where the wooden I would like to leave her something, but she really wouldn't be in big by the Obama if something okay will that's really the main purpose for having life insurance is for income replacement and there are other reasons being able to satisfy a large debt. Being able to fund an education of a child or something like that and that's why we usually recommend during your working years, you have a death benefit equal to 10 to 12 times your income, but you're in that season where you're nearing retirement, even though you might delay it a bit.

You've got substantial assets built up with you and your wife have retirement accounts and healthy income so something were to happen to you and the opposite would be true with you and her. Then there really is not a need for it.

So I think at this point. Assuming that's the case then there is not a need to going to be paying premiums if you said no. I think we need you know that income replacement for another five or 10 years when I'd say go out and get a five or a 10 year level term policy not as a savings vehicle but just simply to have that death benefit equal to what you would need on your life or her what she would meet on her life for you but it doesn't sound like that's necessary so that allows you to recapture this 3000 and not have any more expense related to a new policy because life insurance is just simply not needed at this point.

So then we look at that 3000 in light of your goals and objectives God given values and priorities that really should then flow down to financial goals. So I would say just, rattling some of those off it would start with making sure you will have a 3 to 6 months emergency savings.

Make sure that you're doing the giving that you want to be doing.

Make sure that you have a 10 to 15% going into retirement and it sounds like that's covered because the FRS is a very solid retirement program. It sounds like she has the same on her side and then beyond that it's probably just yell if there's not any opportunity for debt reduction like accelerating the mortgage payoff or any consumer debt is probably just looking at additional long-term savings or giving opportunities with that 3000 but when you hear that is anything that kinda jumps out at you.

That might be the next pressing thing one no, not really. I know that you you mentioned in everything we we do not have any debt would weed out what were actually out one vehicle that we could paid it off in a time because it is way last man with $6000 paid it off in time.

So we do not have any bills or anything that we have to be cut down with me and wanted to leave that money sometime away break here. Thanks much for, they still align will finish up off the back and say hi to Sharon Sharonda and John, this is not hundred 55 7800 525-7000.

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Splitting hairs will foster a real appreciation for the precious resources that God has entrusted to you, and it's available. Click the start button moneywise live.org moneywise live phone number is 800-525-7000 driving a call just as careful about that. Maybe one over but if you're thinking about, well, like the last caller was concerned about life insurance. Maybe it's getting maybe it's a housing in your case credit saving or something more biblical faith, trust, eternity, those kinds of things God's word says a lot about it when it comes to our money our resources so we can help you think through some things we have open lines of fact we have three open lines right now 800-525-7000. Let's go to Gary Indiana, I will not break into song Sharonda nice to have you there today. How can we help hi car, I all I think about 10,000. And I wondered what you pay it off quicker or get out of.

Yeah, great question.

Do you plan on keeping this car for quite a while. Sharonda got money to pay out for cardiac by straight out okay so you would think about selling this car and then taking the proceeds plus some savings and then buying one for cash. I wish I could but I have a lot on title to it. I see you but if you sell it obviously could take the proceeds with a private sale and pay off the debt as it is the car worth is much as you owe or are you upside down right now okay all right in and how much do you think the car is worth versus what you car is worth and I 08 okay well yeah so I think the key here is you know you don't want to turn it back in because that's the biggest loss you would see see you got a couple of options. Option one is just really try to focus on your paying this down as quickly as you can you not to be able to refinance it.

Just because you you know your upside down, and perhaps your credit is and where it needs to be. But regardless, that kind of difference between the value of the car and the loan is going to be problematic so we either need to just try to accelerate that payoff by limiting your lifestyle.

Dialing back your expenses, freeing up margin that you can apply over and above that monthly payment every month to try to get it down to where you're at least even or sell it with a private sale. Try to get a little bit more than you think it's worth but have a plan to come in and then either take a personal loan or have the savings or sell something that would allow you to free up the resources to satisfy that note, but I think you're the last thing we want to do is turn it in. You get a lowball amount for you what you actually have them in the way of an asset there and then you end up with this huge discrepancy between the two numbers so II think that really needs to be your focus saving and and accelerating the payoff on this, which is always going to come back to the budget.

If you need help really thinking through how you keep your expenses in line of visit with one of our moneywise coaches Sharonda I just go to moneywise live.org and click on connect with the coaching they be delighted to walk with you on this journey help you figure out where you might have savings opportunities in your budget so you can dial back your spending Sharonda.

We appreciate your call. We don't appreciate the situation you find yourself, and were sorry to hear about that.

But God has a plan even in a situation like this and so will pray that he makes that claim to you and things worked out for you. So hang in there. Do not lose hope God remains on listening to moneywise live from last John Vermont and perhaps take your call as well. 805 five 7000 investing is more than just return.

It's an expression of who you are and what you value is when you invest your money reflect your identity as a Christian, and even tightly designed investments for performance and a better world so you can invest with the confidence to reach your financial goals while remaining truly are Christian values and commitments. We call this investing makes the world rejoice more is available best Eventide.com invest Eventide.com. Thank you from the bottom of my heart I could've had the procedure I needed without CHF's help sharing the bills that letter from a member displays Christian healthcare ministries purpose to glorify God and serve his people. CHF is the original noninsurance voluntary health cost-sharing ministry, enabling its members to share the cost of each other's medical bills, call 800-791-6225 or visit CH ministries more hi this is John Hammer from Moody radio radio verse in Genesis 512 God created mankind them in the likeness of God created them male and female, and blessed them, and he named them mankind's Genesis 5 verses one radio verse one. Focus on Christ, starting with word that also carries over father there for somebody might seek call one 800 DL Moody radio.

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God's way, money, and marriage counseling by Howard Tate will help you discover God's approach to growing your finances strengthening your relationship with your mate and cultivating godly joy, money, and marriage God's way and moneywise live.org 3000 from the coronavirus health services department reporting any time you do brings the statewide total since the outbreak began to 3000 6300. I do see facing a deadline to decide whether bars and gyms can reopen all cadets of Air Force Academy will return to the Colorado Springs campus in the fall, making the University. One of the first in the country to return during the pandemic Southwest Airlines as it will not allow health waivers to its facemask rule only children under two, will be exempt from the requirement to cover their mouth and nose during flights Wall Street stumbling today undercut in part by discouraging report showing that layoffs are picking up across the country now dropped 353 points. The NASDAQ was off 244, the S&P down 40 this is SRN use his vast wisdom meets today's financial choices and decisions. We can help you.

Call 800-525-7000. John is in Euclid, Ohio, and what's the situation there. John will financial oh so sorry okay but because well the factor that is most damaging right now is my expenses are more than my income but not by a lot. Not by a heck of a lot to say maybe 10% mark something like that and got a find a way to increase my income and I am handy with a hammer and I do have fairly good credit. I've got $50,000 line from the bank with which I can buy houses and myself and my friend James there pretty handy with a hammer, so to speak. So my thinking is that 40,059 like 45 love and by fixer-upper how somewhere quickly by) the law so it felt quickly and make 10,000 $20,000 profit.

Whether I think this is a good idea yes more to okay I have an income property. My rent from net income property every month I get $700 and paying the income property I think might total debt around must be 80, $90,000 something like that. Okay you have some equity in that income property. John a little bit not much as a bully had a plea for years, something like that.

Okay well I'm not crazy about the idea, given what I'm hearing about your situation of you getting into these flipping these homes.

It certainly sounds good. I like the idea that your handy because that means you doing the work yourself, you wouldn't be hiring contractors but it also tells me though that giving your factor. Your upside down on your expenses that you probably don't have much in the way of reserves.

If you got into a house and you didn't buy right or you did, but the market took a turn on you or you bought a property and it cost more to fix it up or took more time than you expected. You know that's you know, it sounds good but it's obviously an illiquid asset and it's can require you to make a substantial commitment financially with your reserves in and by the way, you can have the debt service on that as soon as you take that money out of the line and if it takes longer now were just making this challenge even worse in terms of, you know, and a budget, it's already upside down is now upside down even more.

To the extent you're having to pay for the cost of those funds in the form of interest, so I'm not a big fan of that despite the fact that I realize your skill set in this area may make it appealing to you. I'd rather try to solve the underlying issue first, which is we gotta try to live within your means and I realize you're attempting to do that by flipping homes and adding income, but I just wonder if there's another way is there a way to dial back expenses. Is there a way to bring in a more consistent income source that doesn't require you to go out and borrow and do a whole bunch of work. Could you take that same amount of time and get a second job where you're working from home or something. This can create an income stream. Could we really make some hard decisions about rightsizing the budget by selling either that investment property if if your upside down on that meeting the income that you're bringing it is not enough to cover the other expenses, or if it is maybe leave that intact but maybe you downsize your primary residence, maybe you need to sell an automobile and buy something less expensive. I mean, I think these are the kinds of places I would go first before I try to get into really what is a business. This can require a significant amount of debt and you know buying things just right and hoping that that you can fix him up quick enough and sell them for a profit that you could make up for this. The shortfall in your monthly spending.

So I'm encouraged John to visit with one of our coaches go to moneywise live.org. Click on connect to the coach and let's start with the budget side and let's look at some more conventional ways perhaps for you to create some additional income before we at we start a new business without the reserves underneath us to do it.

John and I totally agree with the Rob and you know you mentioned a couple of times you're pretty good with a hammer probably means you're pretty good with us on a few other things as well.

Maybe you could work part time working for someone else in a small construction scenario where it wouldn't be too much for you, but just enough to bring in some income issue try to reduce your living expenses just a little bit and were going to have to let you go on that, but we wish you the best and if you want to call us back sometime issue as you move along on this this road. I feel free to. We appreciate that Muskegon, Michigan. The leaf year. We appreciate your patience and what's on your mind will yeah you know if you're thinking about buying or renewing a home or to think the first thing you need to recognize that they don't cover everything. Also, you usually have to pay a deductible or service call fee for each claim. So for example if you need a plumber to come to the house.

You might pay a $75 fee even with the warranty and the repair may be more expensive than the 75 but it won't be free. One of the nation's leading home warranty providers charges from 35 a month up to 60 month depending on what level of protection you choose, so that you know I think when you factor in the additional cost.

It's good to go into it over and above the monthly fee in the way of these these fees and just the fact that they don't cover everything if you go to Consumer Reports and look around.

I think you'll find that the consensus is that although in some cases they pay for themselves. If you had a major event go on that that involved a lot of money that you more often than not, people would rather be in the driver seat in terms of making their own selections on this service people they're using and if you took that same amount of money and just put it aside into a savings account for replacement where you can actually not have to go through the service department of the warranty company and you can handle that yourself and choose any provider you want that you probably at least breakeven. You may even come out ahead without the hassle.

I realize there's a piece of mind involved in knowing that you don't have potentially this major expense. But when you add up all the fees and and everything that's going into it. You know you're really not safeguarding the whole lot so I think at the end of the day for the average person know Alethea, I would say's pass on the home warranty take that same amount and just put it in the savings for specifically for replacement of items in the home have any idea what what items are typically not covered with a home warranty. Yeah, yeah, there's a number of them. I mean everything from a fireplace to alarm system wiring, telephone wiring, plumbing lines, septic system sewage. You know, freestanding freezers, garage door tracks which we just had to replace you know aboveground spas meet you name it. There's just a whole list of things that are typically not covered. So if you are considering a home warranty. Make sure you do your homework. If there's something in mind that you particularly want to cover. Make sure that items included before you, that's a good suggestion for the recommendation. And again, we appreciate you, Steve, Dave and Tracy, your next way. This is do you know if you have enough money of house. Do you know how much is enough.

If not, one blue can help with this book. Master your money a step-by-step plan for experiencing financial contentment. Learn how to save and invest and give wisely create a long-term financial plan and how to get out of debt. Find it all in master your money by Ron blue available when you click the start button moneywise live.org where I'm a car guy here to help you understand the urgency and how fun it is to share your faith in every opportunity. The obvious signs of her times really just dynamite waking up your responsibility to share your faith. Almost everyone around you is living in fear, and for good reason for non-Christians know unless someone tells them unless you tell them unless you tell of the only thing in the entire universe.

It never moved never changes his or curator holy God who loves them and wanted to spend eternity with you. Have what they desperately need. You can keep it to yourself without question God is allowing the earth to try to get people's attention and bring them to him. To those of us who know him.

There's nothing more exciting.

Knowing God just use you to at least somebody join us in ignite America.com when an oil well explosion began releasing crude oil into the Gulf of Mexico.

In April 2010, officials constructed a giant box to be lowered over the wellhead on the ocean floor to capture the flow of oil so it could be pumped into ships on the surface well be effectively covered when you break God's law only the Bible says our sins only remedy covered by the blood of Jesus is our sins covered. This is a God's offer to cover your sin. Life.com roadmap line. Here's a great deal more about our money than most of us imagine Jesus is more about our use of money and possessions and about anything else, including both heaven and hell and managing God's money on the radio and breaks it all down in a simple, easy to follow format that makes it the perfect reference to if you're interested in gaining a solid biblical understanding of money, possessions and eternity managing God's money is available in the store moneywise live.org moneywise live all your social platforms or you can visit our website which is moneywise live. Okay, let's go out to Vermont where it's probably just a bit cool than Atlanta today hi Steve how you doing what Steve having trouble hearing you could you move to feet one way or the other. See if you get a better mailing here every now that's better. Thank you.

Okay I we are about $5000 in the checking account while saving and we want to find a way to get there interest from the savings credit and the local bank recommended that we going to debit card transactions a month. We just didn't get comfortable with a debit card heard about online banking know that would be a better way to put the money you should okay what interest rate were they offering 1.75 reluctant in there for two years and I maintain that $50,000 or $20,000 amount so is that a CD special on account that you have to use a debit card for you to have 12 transactions a month yeah okay well you know with the online savings in the online banks in the high-yield online savings and obviously in this current interest-rate environment. Interest rates are down but you can get better than 1% right now without any no minimum transactions.

No fees. Note certain number of not using the debit card not having to leave the money in there for certain period of time. With the amount of money were talking about. It's not really gonna make that meaningful difference. So for instance you could go to Marcus right now and get 1.05% you could go to Ally Bank and get 1% in these rents will move up as interest rates move up, but I like the online bank.

Steve a lot. I like the fact you can link them to your checking account and then with a couple of clicks and in a 1 to 2 days you can move the money back and forth like that their fee free. I like that you can have multiple savings accounts. If you want to set one aside for a specific savings goal. I like the fact you get these attractive interest rates and as rates move up will move up with them and you have ready access to your funds. So if you need to get to that money because you had an unforeseen expense. And that's probably what it's for you not gonna miss out on a big portion of the the return that's coming to you but you still feel like you're being a good steward of God's money because you're out there looking for you know a better return and by the way there's FDIC insurance you have the backing of the Federal Deposit Insurance Corporation so that be the direction I go the three that I like the best right now are Ally Bank great customer service, excellent website Marcus and then capital one 360 any of those I think would do well for you if you want more. To learn more about these nerd wallet you could do some reading there or bank rate.com would have some great information about the safety and security of online banking, and Steve, I've been reading a bit recently. There are some local credit unions around the country that doing some pretty good interest rates these days you have to be a member of the credit union you have to join, but certainly that's not a bad thing and it might be a whole lot easier than keeping track of your 12 purchases per month in the situation that you mentioned but that we wish you the best with that.

Thank you very much. I Know Ohio highly what you question Eileen, are you there all I don't hear Eileen okay will put Eileen a hold yes ma'am I have a shower at the ranch house and you know it back when I'm trying to remodel the sacrament, many small brick mansion like picking pilot friend. I know that spending the money in on being over-the-top in the investment not putting that I would like to do before I retire because in a few years so I wanted you because I have windfall profit situation.

You now have started there late. I you know I needn't give 54 think maybe I should move because I work in the kitchen when I like a dishwasher couple other things. I'm not sure if I should put the money in what is it that, is it just the cost of the renovations. Is it whether or not this is the home you want to stay in is it that perhaps the neighborhood and the resale wouldn't support the cost of these additions. What is it that's really tripping me now.

I would not make money for my own enjoyment. Okay, I don't believe I could get caught but I and I kinda watch the house in the area know what they have and whatever and I don't think I could meet with any of the money to put a bunch of money and now you have to have an outline of problem and if you think they'll need to do down the line like the wind.

At some point. And, you know, I might need a new appointment. All the big things got kind of well sure that much money yeah I hear you now let me just make sure I understand to the bathroom would be a remodel or bathroom addition. Are you adding one where there's not one the mile, and I'm getting 14 1415 pounds and will end on it would need everything taken out.

Can you now because it's cold it's like original bathroom a couple of thoughts. Number one is perhaps your check at your local church are asked some friends around the area to see if there's a contractor who could come and in do this little cheaper. The average cost of about a bathroom remodel.

According the home advisor is around 10,500 severe about 50% higher than that. Now you can obviously have a large master bath. You could spend 25,000 or more. But yeah the averages around 10 and so 15 is quite a bit higher than that. Especially for a small bathroom so I'd look into that.

But I think perhaps there is something more to this that you're saying maybe the neighborhood doesn't support it.

I've got a lot of these little things that can add up. I'm not sure if I really want to be doing all these things, so I think perhaps Eileen, the next step is for you to go ahead and find a realtor who is a specialist in this area maybe look for the person that has the most signs as you drive around your neighborhood in the near the nearby neighborhoods.

Just so you know that this person is committed to your area have them come in and weigh in on two things.

Number one is could you buy a newer home that you're happier with with the amount you have to spend.

That would perhaps allow you not to have to do some of these renovations yourself and take advantage of renovations or improvements that other people have done.

Secondly, find out if the realtor believes that the improvements you're talking about would be the kind of improvements that you could get out of it and even have that here she pull some comps in the area and then thirdly, what you may find is that as you go out and shop with this realtor talk to the realtor about what you have to spend here. She may say you know what with the kind of money you have available your disk I get into another situation where it's going to be. You're going to need to put this kind of money into it and if you're going to do renovations. You might as well do it in a home that you like and that's been you know well taken care of and you haven't had a lot of problems with her, but I think all of that can come out of spending an hour to with a professional who knows the area and can weigh in on these things so that be my recommendation on where you go from here and Eileen a realtor more than likely will also know some people do remodeling. She may know someone that you haven't run across yet. I hear she we appreciate your call today.

Thanks. Let's try to squeeze in one more Grand Rapids hi Dave, how can we help you what you question hi Richard taken my call. I seeking some I we met with our financial advisor all couple weeks ago to go over our retirement plan that we had set up and as we're going all over. He suggested as a way of freeing up a little bit more money in the plan. He suggested maybe taking a universal life insurance that he said would not necessarily pay out to me but would pay out to the retirement plan when I would when I would pass away and I'm not a fan of whole life and I'm not so sure about universal life at that point, but just a different name so you better with something like that. Sure yeah universal life. Basically, your monthly fee splits into two parts, one covers the life insurance, the death benefit and the other goes to a savings and investment, and it's meant to be more flexible because it allows you to choose how much premium you pay within a certain range and you know it's it's using an insurance product is a savings vehicle. I would rather you not go that way unless there's a real specific reason for it, I'd rather you save in more conventional ways outside of it and then for the death benefit that you need to protect you and your family. I would just buy term insurance to cover the full amount of what you need so you have the proper amount of insurance and then you save outside of insurance products and retirement accounts and and things like that where you have a little bit more control and less in the way of fees and expenses as it relates to the money you're putting aside for the longer-term that help a little. Dave thought, I'm not really I don't spend my life starting the things I'm really not remarry with him so I was just wanted to get somebody else's perspective on that. But that was kinda where my wife and I work anyway so I just appreciate your help on that absolutely day. Thank you for your calls or amen got blessed day. Thanks so much, and without our clock is telling us we're going to have to scoot pretty much for today Rob West. Thank you. It's always a pleasure Sir Steve, thank you and will come back tomorrow and do it again that this program moneywise live is a partnership between the radio and moneywise media. If you enjoy the program. If you find something helpful now and then maybe you could tell a friend so he could listen in and we'd appreciate that. My thanks to our technical crew today. Amy Dan Rich and Gabby T have a wonderful remainder of the day and drive safely and come back and join us again tomorrow


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