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Getting Personal
Getting Personal
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About the author
Christopher Farrell is economics editor of Marketplace Money, a nationally syndicated one-hour weekly personal finance show produced by American Public Media.Pages
Hey Chris.
I'm 24 and currently have no investments or long-term accounts. I've saved up about 8-10k that I should be able to invest in the near future. Additionally, I have about 34k in student loan debt. 17k fixed at 4.25% and 17k variable between 5% and 11%, both of which I have mostly been making minimum payments on.
I will also become eligible for my company's 401k in two months, at which point I feel I can comfortably put $500-$1000/month into that.
Do you recommend rushing to pay off the debt before investing or before working up the retirement fund? Or do I keep making payments on the low interest loans and save up the 401k dollars now?
Also, and possibly my most important question, where and how do you recommend finding a financial planner that can help me sort through these details without trying to sell me a package I might not know enough to refuse? What questions should I ask when seeking out financial advice and how can I know if the advice I'm getting is good advice?
Thank you so much for helping make investment seem manageable for those of us that are new to the experience.
The new housing bill passed by congress has some motivations for first time home buyers. Are any of them back datable to the house my wife and I bought last March (2007)? While I may not have liked the bill overall, if there is any way I can benefit from it I'd like to try. The no interest loan/credit is would be a nice way to pay off some of our worst debt (6.2%) with some 0% debt. We saved for several years, bought a small fixer upper house with help from our parents, and put full 20% down on a 15yr, and have only mortgage and student loan debt at ages of 27 and 29. Is it worth the effort to pursue anything from the government? Thanks and I love all three shows.
Is this where I ask Chris a question? If so, here's my question:
Am I diversified if I have all my savings in a well-diversified fund at one fund family (Vanguard)? Do I need to split it up by putting part in, say, Fidelity?
If this is not the place to ask Chris a "Getting Personal" question would you PLEASE tell me what link I should use!
Thanks, Bob Sprentall
Hi Chris, Enjoy the show.
I ineherited 60K; my husband and I want to put to our kids college. We currently have 529 accounts invested in American Funds American Balanced 529E fund. The older child has about 15K and will go to college in 5 years. The younger child has about 10K and will go to college in 7 years. The fund seems to have done quite well in the past. The stock market turbulance concerns us. Any input on how to invest the 60K - put in another savings vehicle, choose a less risky fund from American? (We are over income limits for Roth and I Bonds.) If market dips in next 5 years, their won't be much benefit from growing tax deffered which is benefit of 529. Suggestions? Key objective to ensure the money is avaialable otherwise we will divert retirment savings to pay for college.
Would prefer not to have question, with our name posted on web thanks.
My husband and I have an home equity loan for $64,800 @9 1/2%. In two more years the interest rate will increase. We have been paying extra on it evey month. I am wondering if there is anything we can do between now and when it increases to lower the interes rate. Do you have any suggestions?
I am 65 and plan to work one or two more years. My financial planner wants me to increase my contribution to my 403b but I have a mortgage of $121,000 on my condo that I'd like to pay down in the next two years. Which is better to do?
Thank you.
Barbara F.
I've just received notice from my credit card issuer that my account details have been compromised by a third party (they won't say who).
They tell me they're taking proactive measures to "close your current account and issue you a new account number and credit cards"
I always hear that closing/opening cards is bad for the FICO score.
Will this activity have an impact?
Thanks!
I am 66, retired, and currently live off 2 pensions that are not part of my retirement funds with TIAA-Cref. I have $286,454 in TIAA-CREF of which $242,464 is in an IRA. I have just learned that they do not have insurance backings like that of banks, FDIC. How safe is my money? Should I roll over my IRA into an IRA with a major bank such as Bank of America? What about an investment house such as Fidelity? At this time I am not using any of the money in TIAA-CREF.
I LOVE your program. Thanks for your help. Mary
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