Windy City Media Group Frontpage News

THE VOICE OF CHICAGO'S GAY, LESBIAN, BI, TRANS AND QUEER COMMUNITY SINCE 1985

home search facebook twitter join
Gay News Sponsor Windy City Times 2023-12-13
DOWNLOAD ISSUE
Donate

Sponsor
Sponsor
Sponsor

  IDENTITY

Bad Credit
by Max Smith
2006-03-01

This article shared 3437 times since Wed Mar 1, 2006
facebook twitter google +1 reddit email


People have always made fun of my name. In grade school, kids called me Maxwell House Coffee. Got plenty of good-natured jokes and jabs when the old TV comedy shows Get Smart ( with Maxwell Smart ) and Max Headroom were on the air. And I'll never forget that Maximillian was the emperor of Mexico from 1864 to 1867 and that his reign ended when he was executed by firing squad.

Bad as his fate was, in recent months a business that's a terrible name association has opened: LoanMax. It is one of those auto title loan places. WARNING: Please do not do business with LoanMax! You will be expected to give them the title to your car and an extra set of keys. The maximum amount of the loan they give you is 50 percent of the trade-in value of your car. Pay the loan back in 30 days and keep your car. However, the trouble is its 30-percent interest rate. On a $400 loan, you pay $520 a month later. If you do not have that kind of cash, you can roll over the loan for another month, and another month after that until you do have enough cash. In three months, $760 is due—and they do not take checks. If it takes a year to pay them back, you're looking at a tab of $1,840—or they repossess your car. That kind of money is a good down payment on an almost-new car at CarMax, a used-car superstore. If LoanMax gets your car, they will sell it at auction. If your money emergency is that bad, sell the car yourself and avoid the hassle of a repossession, something that, like a bankruptcy, stays on your credit report seven to ten years.

There wouldn't be so many auto title and payday loan places that are open and profitable if someone who cares had gotten into the business of their patrons ahead of time.

Consumer education about borrowing money and the responsible handling of credit is available. Check out consumer credit counseling services and Bankrate.com before you borrow. Better yet, keep an accurate personal budget and realize that if you can't pay for it in cash, save your money until you can. Living above your means by buying things you can't afford is a poor way to try to impress someone. Lenders do not want you to be wise. The less you know, the more of your money they can get.

For instance, 'rapid refund' income tax places are all around. What they don't make clear is that they get your refund. The cash they promise in a day or two is a loan, with a large amount deducted as pre-paid interest. You are better off filing online or electronically through a reputable tax preparation service and waiting a few extra days for your refund check. Or, for more security, a small fee will allow direct deposit into your checking or savings account.

Another notorious way people lose money is through mishandling credit cards. A great place to keep credit cards is in a locked file cabinet at home. Carrying them with you allows you to impulsively buy things you may not need. For large pre-planned purchases they offer greater safety than carrying large sums of cash. But on purchases of any kind, a 20-percent credit card interest rate means you pay far more than the retail price. You may cancel savings of things bought 'on sale.' Paying the monthly minimum on a credit card bill may mean you end up paying several times the original purchase price over a decade or more.

Credit card companies monitor your credit report. Even if you pay them on time monthly, a late payment on your electric bill or a medical bill may cause them to increase your interest rate. Credit card companies claim they have to 'manage risk' because theirs is an unsecured loan to you. Make every effort to resolve other disputed bills before they go to collections status to deny the credit card reason to classify you as a 'deadbeat.'

Years ago, a popular book on economics had in its title the initials T.A.N.S.T.A.A.F.L., which stands for There Ain't No Such Thing As A Free Lunch. The basic point of the book is that in this capitalist society someone pays for everything you get. Often you pay for what other people get. Sometimes others pay for what you get. With over a million people a year filing for bankruptcy, you pay for loans they default on with high credit interest rates. That is your penalty for not saving and paying with cash.

Be sure to pay credit card bills on time—and early if possible. Payment due dates are strictly enforced. Some cards have a 9 a.m. deadline on that due date. If you think you will be late, pay online or by telephone. A $30 late payment fee makes that $30 sweater you bought 'on sale' cost $60, the non-sale price.

It is very embarrassing for the cashier to say your credit card has been declined, especially when shopping with a friend. Some credit cards will let you avoid that embarrassment by letting you go over your limit. But when you get that bill in the mail their $30 over-the-limit fee again doubles the price. A late fee and an over-the-limit fee makes you pay for three sweaters while you get only one. If you signed up for great perks, incentives and a low annual percentage rate on the card, they can increase your APR ( annual percentage rate ) in 15 days with a written notice. This should not come as a surprise. All along, it was right there in the fine print you chose not to read. Max says be careful not to max out your credit card!

Money can work for you when you are earning interest. Pay yourself first! Every month set aside some money. Put $25 or $100 into a savings account. Invest $1000 into a certificate of deposit. Also, think about long-term investments in stocks, bonds or other things like real estate that grow in value over time. Like it or not, this capitalist system we live in won't change much anytime soon.

Comments? Concerns? Contact MaxsonnCS@aol.com .

Black Film Festival Set for July

Film Life—a film marketing, distribution and production company—and HBO have announced that the American Black Film Festival ( ABFF ) will take place in the South Beach district of Miami on July 19-23.

The 2006 ABFF program will include independent film screenings, premieres, workshops, panels and seminars, according to a press release. Other highlights will include live entertainment and the ABFF Awards presentation.

The ABFF has four film sections, namely Narrative Feature Films, Documentaries, World Cinema and the HBO Short Film Competition. A total of $80,000 in prizes will be awarded. Films submitted must be postmarked by April 7.

For more info, see www.abff.com .


This article shared 3437 times since Wed Mar 1, 2006
facebook twitter google +1 reddit email

Out and Aging
Presented By

  ARTICLES YOU MIGHT LIKE

Gay News

Brave Space Alliance releases statement on forensic audit of organizational finances 2022-11-21
-- From a press release - CHICAGO, IL - The Board of Directors ("Board") of Brave Space Alliance (BSA) has sent a report to the Illinois Attorney General Office's Charitable Trust Bureau outlining the findings of ...


Gay News

Britney Spears' conservatorship ends 2021-11-12
- The conservatorship that has controlled Britney Spears' finances, personal life and medical decisions since 2008, and which for many years was controlled by her father, Jamie Spears, has ended. On Nov. 12, Los Angeles County Superior ...


Gay News

Mayor Lightfoot presents State of the City address 2019-08-29
- State of the City August 29, 2019 Good evening. Thank you for tuning in. Tonight, I want to speak to you about the state of our city and its finances. The city's finances impact every aspect of our lives as Chicagoans ...


Gay News

Former employee of abuse survivors group files retaliation lawsuit 2017-01-25
- A Chicago woman has filed a lawsuit against an abuse-survivors' advocacy organization, alleging that the group fired her in retaliation for investigating the organization's finances. Gretchen Rachel Hammond, who is a senior ...


Gay News

Report looks at LGBT social-justice groups 2016-12-21
- The 2016 National LGBT Movement Report, now out, provides a comprehensive and standardized look at LGBT movement's finances across LGBT social-justice organizations that focus on broad LGBT advocacy, issue-specific advocacy ...


Gay News

Financial pros discuss same-sex marriage 2015-04-28
Special to the online edition of Windy City Times - As part of Money Smart Week, lasting from April 18-25, the Federal Reserve Bank of Chicago hosted a session discussing how marriage equality affects personal finances. "The Financial, Tax and Legal Ramifications of Marriage Equality" took ...


Gay News

PASSAGES Barbara "Robbie" Smith, services March 7 2015-03-04
From Affinity - Affinity announces with sadness the services of a beloved community member and mentor to many, Barbara "Robbie" Smith. Robbie was a longtime Affinity board member, managed the organization's finances for 12 years, was a founding member ...


Gay News

Think tank releases report of finances of LGBT-advocacy groups 2014-12-31
- This December, the Colorado-based independent think tank Movement Advancement Project (MAP) released the 2014 National LGBT Movement Report, a comprehensive overview of the financial health of almost forty leading LGBT ...


Gay News

Men Having Babies hosts parenting expo 2014-09-16
Special to the online edition of Windy City Times - Men Having Babies, Inc. organized a surrogacy seminar and gay parenting expo on Sept. 13 at the Center on Halsted. More than 50 couples perused the showcased fertility booths, attended the various workshops about finances and ...


Gay News

Protect your lover by making your will 2012-01-18
- Q. My lover passed away last month from cancer. We were together for over 30 years, unfortunately, neither of us had a will nor did we have a civil union. What are my legal rights? A. Unfortunately, because you and your ...


Gay News

About Face Theatre Shortens Season/Launches Emergency Campaign to Save Theatre 2009-02-25
News Update Wednesday Feb. 25, 2009 - FROM A NEWS RELEASE About Face Theatre Shortens 2008/2009 Season, Postpones Spring Show, Theatre Launches Emergency Campaign to Stabilize Finances During Economic Downturn CHICAGO- Artistic Director Bonnie Metzgar and Managing ...


Gay News

Citywide Pride: Speakers lend financial-planning tips 2008-06-25
- Many lesbian and gay people are in the dark when it comes to their finances. At a recent Citywide Pride event hosted by Merrill Lynch and the law offices of McDermott, Will & Emery, 227 W. Monroe, 'Out in the Workplace, ...


Gay News

Letter: March 27 budget hearing 2008-03-26
- Dear Editor, As local elected officials, we have an obligation to provide our constituents with constant communication on the actions of our state government, especially when it comes to our state's finances. This year, lawmakers and ...


Gay News

REFLECTIONS: Golden Problems 2006-01-01
- The recent dramatic rise in the gold price caught everyone by surprise. Many had been expecting a short-term decline in the gold price. Instead, they were caught by a sudden wave of buying on the ...


Gay News

Survivor's Hatch Tax Troubles 2005-09-14
- Richard Hatch, who won $1 million on the first season of the reality show Survivor, was indicted for failing to pay taxes on his winnings from the CBS show, Yahoo! News reported. Hatch faces 10 ...


 


Copyright © 2024 Windy City Media Group. All rights reserved.
Reprint by permission only. PDFs for back issues are downloadable from
our online archives.

Return postage must accompany all manuscripts, drawings, and
photographs submitted if they are to be returned, and no
responsibility may be assumed for unsolicited materials.

All rights to letters, art and photos sent to Nightspots
(Chicago GLBT Nightlife News) and Windy City Times (a Chicago
Gay and Lesbian News and Feature Publication) will be treated
as unconditionally assigned for publication purposes and as such,
subject to editing and comment. The opinions expressed by the
columnists, cartoonists, letter writers, and commentators are
their own and do not necessarily reflect the position of Nightspots
(Chicago GLBT Nightlife News) and Windy City Times (a Chicago Gay,
Lesbian, Bisexual and Transgender News and Feature Publication).

The appearance of a name, image or photo of a person or group in
Nightspots (Chicago GLBT Nightlife News) and Windy City Times
(a Chicago Gay, Lesbian, Bisexual and Transgender News and Feature
Publication) does not indicate the sexual orientation of such
individuals or groups. While we encourage readers to support the
advertisers who make this newspaper possible, Nightspots (Chicago
GLBT Nightlife News) and Windy City Times (a Chicago Gay, Lesbian
News and Feature Publication) cannot accept responsibility for
any advertising claims or promotions.

 
 

TRENDINGBREAKINGPHOTOS







Sponsor


 



Donate


About WCMG      Contact Us      Online Front  Page      Windy City  Times      Nightspots
Identity      BLACKlines      En La Vida      Archives      Advanced Search     
Windy City Queercast      Queercast Archives     
Press  Releases      Join WCMG  Email List      Email Blast      Blogs     
Upcoming Events      Todays Events      Ongoing Events      Bar Guide      Community Groups      In Memoriam     
Privacy Policy     

Windy City Media Group publishes Windy City Times,
The Bi-Weekly Voice of the Gay, Lesbian, Bisexual and Trans Community.
5315 N. Clark St. #192, Chicago, IL 60640-2113 • PH (773) 871-7610 • FAX (773) 871-7609.