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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.
Chris Farrell talked out of both sides of his mouth on today's show when he first correctly pointed out that the life insurance company (American General) owned by parent company AIG was completely seperate from AIG and was a financially strong entity. However, he then said that he would not buy another life insurance policy from AIG "because why reward them." He went on to say that people should buy from "one of the largest insurance companies where your policy would be safe." Excuse me, AIG is the largest insurance company in the world. Plus, insurance policies are all backed by state and federal regulation so that policy owners cannot lose their coverage. Chris, you need to get your facts straight and think about what you're saying. Either that or you need to go to insurance school.
In 2005 I bought a second house with a 3 year arm, expecting to sell my first house and pay off the second. That plan has changed. Is now a good time to refinance to a 30 year fixed interest loan? My arm is with Bank of America. Any other suggestions will be appreciated. Thank you
Mr Farrell,
you very rashly imply that money market funds are now guaranteed by the Treasury. In fact, the nascent program announced by the Treasury last week only _offers_ to guarantee any fund "that pays to participate in the program." (read the Treasury statement). It is by no means clear which, if any, funds are currently participating in the program. Vanguard, for instance, has publicly stated that it has not decided to participate yet because the details, including fees, have not yet been worked out.
You need to do your homework before telling people that a certain class of asset is now safe - or even just safer - simply because the Treasury issues a press release.
I have $20,000.00 that I can use for investments. What is the best way to use this money? I have a managed fund account, an IRA, and a 401K with Thrivent for Lutherans. They are all doing poorly. I would be in the low to medium risk category. Would I be better off paying off some credit card debt and making that monthly payment go toward a new or existing savings plan?
I am currently retired from AT&T with a pension, collecting Soc Sec, and working for a school district driving a school bus. I have no savings, but I do own my own home,sort of, with a 92K mortgage. My concern is with my pension. It is supposedly protected in a trust. Do I need to be seriously concerned about it at this time? Also, is my social security secure? I am 62 and have been retired from AT&T since 2003 from a buy out. Thank you for your time. PS: Is there some other question I should be asking you that came to your mind?
We question if our allocation might be riskier than we want, considering the magnitude of today's crisis. We certainly don't want to "bail out" or "sell low."
My question is: If we adjust the point at which we re-allocate (Ex: We're now 70/30 and would re-allocate at a 60/40 mix) is this the same as selling low? Or is it a reasonable strategy, as a systematic way of adjusting - thereby decreasing our future risk?
I am a realtor. In 2005 I purchase a new condo to flip. I finally sold it this year at a substantial loss. One tax advisor stated I can write off the loss at $3000 per year. Another stated I can count the condo as inventory since I am a realtor and take the whole write off this year. This sounds too good to be true. What are your thoughts?
