How will Obama's economic plan affect the unemployed educated sector? (I'm 24 years old, a recent UC Berkeley graduate and am unemployed)

Suze, my husband and I are will pay off all of our credit cards this year. With this help or hurt our ability to secure a loan? How will this action effect our FICO score?

I've heard that if you don't have credit, you can't get credit. Should we maintain small balances on our three credit cards?

WE LOVE SUZE! Your personal story has been our inspiration to achieve the seemingly impossible....freedom from debt!

Hi Suze

My partner and I are due to marry this spring and have been looking at arrangements for our money.
At the moment we have seperate accounts, however i have heard suggestions that in this downfall, combining our funds would be a better idea. Your thoughts on the matter?

Thanks!

Hi Suze,

I know someone who recently left a very lucrative job to go into business for herself. I think this is a very risky move given the current state of the economy. For those of us who are lucky to still have our jobs, shouldn't we be holding on to them?

Thanks,

Lilibeth
Edmonds, Washington

I have some money in bond funds.
About 1/3 of my money is in bond funds.
Do you recommend me keeping the money there or should
I pull it out and buy municipal bonds, tax free?
Thank you

Do you agree that those who still have jobs, no debt, and have money in the bank should keep spending money (wisely, of course) to keep the economy going? I know people who have cut back substantially even though they don’t need to. Doesn’t this hurt the economy even more?

Lilibeth
Edmonds, Washington

Hi Suze,
Why can't the housing industry allow those who are able to pay their mortgages continue to do so even though the ARM is up. If people are hurting so much and the economy is a mess, why can't the industry stop adjusting and increasing mortgages?

With the market very close to a percieved bottom, would a fairly safe investment be a mutual fund that is closly tied to the various indexs.

I am curious as to what Suzie's advice would be to those who have a job, no debt, cash in the bank, some retirement savings, etc. Is now the time to invest long term (wisely-mainstream)? What specifically does she recommend. I haven't heard a whole lot in regard to people in this situation. Most people are cutting back at this time.

Hi Suze,

when will the credit card bubble burst and will the option-ARM and Alt-A bubble go up in smoke?

Congrats on the Honorary Doctorate of Humane Letters Degree at University of Illinois, Suze!!!
I keep hearing about the AMERO dollar coming on the scene, but it seems to be a secret ...or just not talked about on the media. What gives?

Instead of tax credits for individuals or famillies, could a stimulus package work better for the economy if it is used to payoff good standing consumer debt? Would there be enough stimulus money to accomplish such idea? Could this help the consumer spend and in turn help banks and the government with revenue needed to keep the economy going?

Victor

Suzy

I lost my job in Sept 2007 and did not find work again till April 2008. I also had to move from Florida to Missiour for the new job. But due to the unemployeement my home in Florida was forclosed on. Can I report that on my taxes when I file for 2008 as a loss.

Thanks I love your show and your books are the best....Carol

Dear Suze, I have been retired for ten years and recently lost one third of my investments in the stock market. I am 67-years-old and now have less than $250,000.00 invested. I depend on the income from this money and social security of approximately $1000.00 per month to live on. Where should I invest the money I have left.

I am 56 and have no idea when I will retire.I am an xray tech, very physical job but , so far, healthy. I had a 403b that did poorly and just did a rollover into a 401k. And advive about how to manage this account?

I retired from the military at age 54 (2002) to take care of my ailing and elderly parents who have since died. I have not had a paying job since then. I own two cars (outright), have a 30-year 5.98% fixed mortgage that I now have down to $77,000 and have been paying approximately $500 a month above the payment amount to pay down the mortgage early. I have a Roth IRA primarily in Stock mutual funds; a regular IRA in CD's; approx $32,000 in Savings Bonds (many of which are old enought that they're paying 4% return). I have no credit card debt; in fact, I use my credit cards to make money since I use cards with no annual fees that pay "rewards" for things like gas and groceries and I made about $170 on my card this year since I pay off the balance every month and buy nothing I couldn't already pay for...I just use the credit card because it pays rewards.

I am now 60 years old and could take early social security in 2 years. However, I have been living all right on just my military check (and my previous investments and IRAs) since my military retirement. I know you ususally say take social security as soon as you're eligible, but is that true in all cases?

Hi Suze,

My husband and I are thinking of refinancing our home to pay off cc debt. We still have plenty of equity and due to the intrest rate changes, we think this might benefit us. Our monthy mortgage would be less than it is now. We are considering this due to not knowing whether we will have jobs this coming year.

Thank you.

My husband and I have two children 5 and 3. We are in our mid-30's. What do you suggest we do to begin a savings plan. Is investing in CD's a good idea for us? We've never invested in the stock market but did open a TD Ameritrade account just in case that is something we should begin doing.

Thank you.

Hi Suze!

What do you think of the identify theft "lifelock"?

Do you recommend that or just to freeze the accounts with the 3 credit

agencies???

Thank you )

Suze,

HELP!!! I am a single mom and need some good advice about paying my mortgage. I owe 35,000 on my current mortgage at 7.25% and will according to my amortization schedule have the loan paid off by 10-1–2014. My principal and interest pmnt is $695.53/Mo. Would I actually end up saving money by paying off my mortgage with my HELOC which is at 3% right now?? Would I actually save money considering how far I already am into paying off my current mortgage. Please show me the math!!! Thank you – would like to help pay for my kids college and then start investing money after this is paid off.Oh, don't be silly I want to live debt free!!!! Kathy

I am 2 years from retirement. Should I close my 401K's and put my money into something else?

Hi Suze,

I am married and my husband and I both checked our credit scores 4 months ago (September). In September, I had a credit score of 780 and my husband had a score of 760. Neither of us have ANY credit card debt. I'm very proud of this! I have a few credit cards that I no longer use (from my single days), but I did not close any of them because I know that would lower my total credit limit, thus lowering my credit score. However, I recently received a letter from CapitalOne informing me that due to inactivity, they are closing my account after a 60 day review period. I had a $6000 limit on this card. I immediately called CapitalOne and told them I would start using my card more often because I wanted to keep the account open. They denied me. They told me that once a card has been marked to be deactivated, they cannot reverse the decision, even though the letter claimed it wouldn't close for 60 days. They actually advised me to apply for a new CapitalOne card. The same thing (different card company) happened to my husband as well as to a few of our friends very recently. Won't our credit score drop because I will be losing $6000 of available credit? And won't it drop further if I go applying for new cards? Is there anything I can do to keep my credit score as high as it is? And what can I do to prevent other cards from just closing? Is this something that is becoming more common with CC companies? I feel like I have no control over this and I have worked so hard to keep my credit score high! Thank you.

Hi Suze, Can you help me? I have a 403-b,and a Roth, and other investments in Vanguard Health Care, Vanguard Total Stock Market Index and some in Vanguard International Total Index and I have lost a lot. I hope to retire in 3 years but I am at a total loss. Should I stay the course or what? I do NOT have a financial advisor and yet I feel I have made some mistakes here with my money. I have NO other debt except the house with a balance of $8,500 and I am hoping to pay it off in 2009. Thank You Love your show and your books. Chris in Wisconsin

Suze,

My husband died in October
I am 60 years young
I have:
$102,000 in savings
No cc's or auto loan
Monthly Mtg pymt of $1581.71
Gross monthly income from employment and investments is $3127.

Question: My husband's illness and death put us 5 months behind in the mtg pymts. The mtg is $301 with a current value of $210 – I have been in touch with the lender. What are my chances at a reduction of principal loan modification?

Thank you
love your hair!

Hi Suze,
I found your informatiion on Oprah very helpful – Last October I had to buy a new furnace and used a credit card with 8.99% interest but then transferred the amount to a credit card with a 0% offer until October, 2009. I have the money to pay the credit card off but would it be better to leave the money in my account which is getting 4.54% interest until October.
Thank you.

Hi Suze,
I received a letter from our insurance for home,auto,umbrella that because of insurance score we are not eligible for most favorable rates. We requested the free credit report as follows:
Since 2001
24 revolving accounts
18 have been closed either at our request or closed status paid in full never late
6 remain active
3 have balances:
Discover paid in full monthly
Lowes $610 (6 months same as cash will be paid in full)
Darvin furniture $800 (2 yrs. same as cash will be paid in full)
1 active mortgage $12000
Question: How does insurance companies figure this score and what can we do to get the best rates? (I already asked the agent)
By the way my credit score is 768 and my wifes is 805

Thanks your show displays common sense my parents taught us. Just wish more people would follow common sense

My mutual fund account (totally separate from my 401K) is 100% in stocks. I learned the hard way that I should have a much more diversified portfolio. I probably need to have 30-50% in bonds. Should I re-allocate now or wait a year or two to see if the market rebounds?

Hi Suze, I paid off everything that was on all 3 of my credit reports. At the time I did not have any open lines of credit (most of the items were 7 years old). Now I want to buy a car and I was told that my FICO is 0, what can I do to improve that number when no one will give me credit? My credit union will finance the car if my co-signer has a credit score of 680 or higher. My household income is 32,000 a year. I am a single parent of one.

Hi Suze, I forgot to tell you that I am 58 yearsold. Thanks Chris in Wisconsin

Will bonds be affected by this economic crisis?

Hi Suze,
I'm 29yrs old, I'm single and I bought a home about 2 yrs ago. I'm in about $20,000 credit card debt. What is the best way to get out of debt. I have a great job, but there is never any "extra" money to put toward these bills. Do I need to look into a loan to consolidate or go thru a consolidation company. I've been trying to pay them myself but I seem to be getting nowhere. PLEASE HELP!!!!

Hi Suze, I am 21 years old and a college student. I am concern after I graduate, how will I be able to get a job. I am worried about the high rate of unemployment as of now. Any advice for me? I had a friend who told me that he went all over the place and nobody said they are not hiring now.

Myron in Los Angeles, CA

I just inherited some money from my mother. I am 53 years old, divorced (looking for a rich single man - HA-HA) an independent contractor, and having put my daughter through college, I do not have a savings or 401K or anything. I do have debt. My debt is $20,000 in credit card/student loans. I have inherited $89,000. It is very crucial that I invest this money wisely for it's all I'm going to have. The bank is suggesting I invest the money for my retirement into an individual deferred combination variable fixed annuity program. It would be invested with ING Bank, and they have said that it would be a guaranteed 7% return worse case scenario. Since this is extremely important for my future, I would love to know what your view on this is. Thank you for your input. Always wonderful to listen to you.

Hi Suze, I am a mother of a 12 and 5 year old. My husband was laid off 2nd time in the past 2 years (he gets no unemployment money). So my income is carrying my family. What do you suggest for a college saving? Also I have taken your advice to begin paying off my debts and clearing everything for 2009. What should I pay first? Would it be medical bills that have gone to collection agencies or credit card balances that have also gone to collection agencies? I also have an old balance with my dentist. Please help. Thank you. Love your show and books!!!

Hey Suze,
I have temporarily accepted increased duties at work and it adds up to an extra $500 a month net (after tax and superanuation) for 6 months.
I salary sacrifice 6% of gross into super, on top of employer contribution of 9% gross into industry fund.

I have $4,000 on credit card and car loan of $4,500 at half the CC interest, with a little savings. I am a single parent, 35 years old, renting, and I feel relatively secure in my job. I am considering putting the money towards income insurance or funeral plan, (life insurance is part of the superfund), what do you think?

Hi Suze,

I'm 59 years old and only have $66,000. left in my 401k. I would like to retire in 6 years. Should I keep putting the maximum into my 401k or should I lower what I'm putting in to pay off credit card debt?

Mo

Hi Suze,
Your financial information is so helpful and I am still learning alot. I am still a bit confused about the fico score. How is that assigned?
Is a different score assigned by each of the credit reporting agencies?
Thank you and keep up the great work!

PS. You and Ali make a great team.

Barb

Is it a good time to invest in a franchise? I work 3 days a week as a Registere Nurse and i'm wanting to start my own business, something that i can do part time and from home.

Im 29yrs old and im "thinking about long term growth and financial security". Some other things i have in mind is buying a few rental properties and eventually purchasing some land. Do u think im heading in the right direction???

Hi Suze,

I love your show and have been trying to heed on your advice about having a safety net. I will be getting a large IRS federal refund about ($7000). Based on my current situation what would be best to do with it.

I have credit card debt of about $5000 with 20-23% interest.
I have savings of about 1000.00

While I would like to put most of it in a fund for emergencies, but is it better to pay off those credit cards or save the money and work on the credit cards each month.

Thanks Suzie.

How is the economic crisis that we are facing our fault? Why do the American people feel that they have to fix this as if they are to blame? My question is, if the Government allows companies/banks to become as large as they have become and know the outcome of what is to happen if these companies fail, then why hasn't the Government put a policy in place to protect the American people for when a crisis like the present one occurs? Why are we left holding the bag?

Suze,
My husband and I are 62 and 65 years old. I just retired and he is still working. We have a net worth of 1MM in our portfolio including our home. My husband contributes $400 a week to his 401, yes , a week, and it's just blowing out the window. We want to put this contribution on hold and put the $400 somewhere else. Do you advise this? We are debt free and neither one of us are college graduates. We have saved all our life. We are so proud of our accomplishments and have raised and educated 3 children just by working hard!

Dear Ms. Orman;
Why can't the people get this bailout instead of the CEOs? Why can't each household receive between $500,000- $1 million to stimulate the economy? What's wrong with trickle up instead of always trickle down?

Hello Suze:

I was wondering if it makes sense to open a 12 month 0% interest rate credit card and transfer my car loan balance of 13K. My interest rate on my car loan is 5.5%. I plan to pay the car off by the end of this year to take advantage of the balance transfer offer. Thanks!

Suze,

I'm 36 and work for the state of California. For the last 8 years I have been placing $350 each month in a 401k and $350 each month in a 457. I also invest in $100.00 each month in savings bonds. I have $7000 in credit card debt and have reduced my savings by half and using that money to pay the cards off. Just in case I do get laid off, I don't want to drown in credit card debt. Was this a bad decision?

Thanks,

Lucy

Hi Suze,
I can save only $100 a month. Where should I put that money?

Suze,

I am upside down in my 30 year fixed mortgage. My property has declined by ~ $200,000. I can no longer afford to pay my mortgage due to a salary reduction. How do I go about renegotiating my terms without hurting my credit?

Hi Suze,
I downloaded your book about two hours ago, am currently half way through it,. I want to thank you for offering this information for free (I'm a librarian and love that you are willing to share your wisdom in print form without requiring that everyone pay for it). Your advice is definitely going to guide me in some decisions I've been confused/paralyzed about making.
Thanks,
Tracy

Dear Suze.
Am a huge fan.Have been following a lot of your advice for the past 4
years and its been great. It put me financially from a minus to a plus.
Am debt free [zero], have a good amount in saving and CD,s and
emergency money to live on for a year, also some spare money to
invest in stock. My question is, should i buy the stock in my name or
in my small entertainment company's name. Wich will give me the most advantage in taxes and losses.
I have a lot to THANK YOU for.
GOD bless you.
Anna.
Summit, NJ.

Hello
My husband and I are living paycheck to paycheck with a baby on the way. We have no emergency fund, but are paying our mortgage on time each month. I know that I will have to go back to work, I'm the one with the insurance and 401k. We do have about $7000 in credit card debt, but have not been putting anything on them for awhile and do not plan to; they are at 0% interest. What are some things that we can do to build a savings, but be able to live off a smaller income for a few months? Thanks for your help!
Rachael

We have a 1st and 2nd mortgage. 1st is at 6% with 25 years to go 2nd is at 7.5% with 14 years to go. We are thinking about refinancing these into a 15 year mortgage which will cost us $100 more a month but save us 10 years and a lot of interest. Is 2009 a time to increase your mortgage payment? We do have savings, college funds and 401Ks.

Hi Suze,

I am 31 yeasr old and I still dont have a 401k.
Do you think that it is a good time to start a 401k? How could I allocate the investment?

Thanks

how do you feel about credit repar, given the time we are in. also you had mentioned about zombie debit. that is alot of things i am dealing with now. any feedback would be helpful. mind you this is only for reputable credit repair companys that do the work promised.

I want to refinance my mortgage to take advantage of the current lower interest rates. I have a 30 yr fixed rate at 6.25%. I want to lower my monthly payment as my property taxes have doubled in the last year. My credit score is 704. I make about 85,000$/annually. I have a 2000$ balance on my one credit card which I will pay off in the next 2 months. Is there any reason NOT to refinance? I am a first time home owner and bought this condo in Oct. 2006. How much will it cost me up front to get a refinanced mortgage ?

I know know where the statistic comes from the people owe about $10,000 in credit card debt, well let me tell you I have 85,000 in credit card debt and while I make my payments I feel like I will NEVER get ahead..Please tell me how...HELP HELP HELP!!!

oops should be I DON'T know where....

Suze, In your 2009 Action Plan, you suggest that if you have a mortgage that you cannot afford then it may be best to sell the home. I am a single mom who has a mortgage on a condo that has become more than I can afford. If I sell my place then what comes next? Should I rent instead?

Suzie, if a person loses their job, where would you recommend they invest their 401k until they secure employment – and do so without paying a penalty? Thank you.

Suze

I am in debt and also don't have enough money in my 8 month fund. Should I stop adding money to my 401K and 8 month fund until my debt is paid off?

Thanks

Thank you so very much for the new book!!!!
Qustion 1 – ! have inquired from six different banks as to how much each CD account is insured for and have received six different answers...all incredibly vague.
I believe it was signed into law in October 2008 – that bank accounts are insured up to $250,000 PER DEPOSITOR – not per number of accounts or amount in each and that this is effective until December 31, 2009.. Please clarify.

Question 2 – I read recently people holding various ETF's were responsible for capital gains (without selling). How is this possible?

Thank you so so very much!!!!

Hi Suze, I am already retired yet young, 60, and taking an amount to live on from my account which is with an annuity thru a financial advisor, 40% in stock. If I leave the annuity before the next 4 years I will lose 20%...in these economic circumstances would doing that for a safer IRA in something FDIC insured be the right thing to do or should I hang in there? At this rate my money will be gone in 7 years.

Suze, we are in a terrible bind. My husband had to retire from his job earlier this year because of medical reasons. He looked for a for a job that he could physically do, but it took a long time to get one. In the mean time we called our bank to tell them we couldn't make the mortgage payments . The bank suggested we do a deed inlieu or a quick sale(the quick sale didn't work . We've had our house on the market almost 4yrs and have lowered the price without owing money on it). The bank told us to write a hardship letter, which we did, now they are giving us the run around and telling us to wait and they will let us know when they decide what they are going to do.They told us not to worry about the payments while this process is going on. In the meantime, we keep getting late payment bills with the threat of taking us to court for the remainder of the money we owe on our house.( doesn't seem like the right hand knows what the left hand is doing) We have credit card debt from helping family members, but that debt will be payed off by the end of the year, then the only debt we will have will be our mortgage, which we still won't be able to pay on the retirement money we receive. We don't want to file bakruptcy , because we do want to pay our creditors. We just can't and won't be able to handle the house payment . it just won't sell(It's beautiful and the people who go through the house think it's beautiful too, but they don't buy for one reason or the other). What in the world can and should we do?

As I grew up, it was always instilled in me that if you didn't have the cash, 'don't buy it'! With the few credit cards that I have had, mostly for 90 or 365 days same as cash, I closed all of them since I feared identity theft and was taught that credit was a bad thing. Since we have no credit cards, good jobs, financially sound and have over 600,000 in retirement accounts, our home is 5 years from being paid off, etc I am not concerned about my FICO scores for that reason nearing retirement age. Should I open one credit card with no balance or does that make any difference at all?
Thank you

I keep hearing about things the government will do to help people who are working or who have families....what about those of us who are retired and living on a fixed income? What is in the plans for the future to help us? Also, what if you have all of your future tied up in mutual funds? This is what I planned to use for retirement – it's too late to get out but will the money be there when I really need it – turn 65 in February.
Thanks and look forward to hearing something about us "old folks".

What is the best approach to paying off credit cards. Start with the small ones and concentrate on those, or the large ones? I don't have nearly the debt that others have and yet, I seem to be on a treadmill, never able to pay one off. Then maybe I could start saving for that "cushion" you go on about, but it's just impossible with a few cards out there and open. (Not to mention killing me in interest.). I have maybe 8K in CC debt. I just cannot catch up.

I lost my job a year ago and have not been able to find anything at all in my area (Portland, OR). I have had many interviews for all sorts of jobs, but the employers keep saying the same thing: We have received hundreds of resumes for this one opening.

I do have the opportunity to move to a bigger city where I know I will have a much better chance of finding a job in my field. Do I spend the money to move and take the risk of not being able to find a job there? At this point I am so very desperate to get back to work I'd take a low-paying entry-level job!

Is it to soon to invest money in stocks or other funds? If no which ones.

Hi Suze,

We are considering starting a Roth IRA through American Funds. They are a loaded fun with 5.5% front load. We know that they have performed 1% to 2% better than most, but is the fontload worth it? What other Roth options would you recommend?

Thanks,
Janice and Jeremy Byrd

Suze ~
I have recently applied for several 0% credit cards to consoldate my other high percentage credit cards. I activated one at 0% and consolidated. I now have about (4) other approved credit cards at 0% but they are not yet activated, nor do I want to activate them.

Is it best for my credit report to call and cancel them?
Does it matter since they were never offically activated?

Hi Suze! I adore you!

I'm in the financial services industry and my company recently announced that I'm being laid off. I've recently found another job making over $60K less than what I was making previously. What should I do? I fear if I don't take it, this may be my last chance at a job for a long time. If I do take it, I'll have to make some drastic changes to my current life style. What shouldI do?

Good evening, Suze.

I am curious what advice you have for someone like me: I am single (meaning only one income in my household), in my early thirties, I run my own small business, I have NO debt, I do not spend extravagantly, I invest for my retirement, I pay all my bills every month (including a mortgage), and I am trying to help my ill and retired mother, but now I am seeing a decrease in my income at my business, which is making me worry about how I will be able to keep up.

How do I stay afloat and keep my good credit standing IF my business really starts to go under? Where should I cut my costs, when it feels like I already have only the bare-minimum living expenses? I am willing to get a second job, but there are no jobs to be found in the current economy.

I'm scared of losing everything even though –unlike thousands of others– I have worked hard to obey the rules and be smart with my money.

Thank you.

I work in the printing industry, and feel that I might lose my job to overseas within the next 5 years.

I also feel that within 5 years, I can pay off my house if I sacrifice "the extras".

Do you feel that paying off the house before losing the job is a good idea, or should I put the money aside and invest? I am 45 years old, married with 2 young children.

What do you think about me buying a condo that is bank owned if I don't have any debts, only my current residence.

I have cash 70,000$ dollars that I could use to buy the condo cash and not make another loan. This property should be used by my kids that will be moving there in the following years.

I need to know if it is better to rent something for the kids while they are studying in another study, for around 5 to 6 years, or to use my money to pay off a condo that is in a very good price.

Do you think these prices are still going down?

Thanks in advanced,
LISA

I'm a small business owner, whose credit cards were cancelled for non activity, or the credit line drastically reduced with the interest raised, watching my fico score go down monthly for no reason. Everything is overpaid and up to date. I have spent most of the 6 month reserve paying rent for both home and business expenses... what do I do? It is time to close the doors on a successful photography business of 23 years? I am loss right now and don't know what do you? I have about 1 month of expenses left in the bank. Is there anywhere to go to get small business loans right now?

Hi Suzzy,
My wife and I both make about $20000/month and our monthly expense is about $9000, leaving us with about $12-13,000. What do u suggest we do with the extras?

Hi Suze
You tell us to keep our money invested if it is in there for long term, did you give the same advise 20 years ago to those who lost everything now.
Ofra

Hello Suze,

I lost my job for most of 2008 but luckily landed a job that will compliment my grad studies. Even though its a good paying job, I do not get many benefits. What are some procedures I need to take for me to start my roth ira, investments and..........401k?

Thank you,
Rene Martin

ps. Your advice made it possible for me, even being unemployed for 2008, to go to grad school without needing loans, thank you!

My parents have just lost their job with only a 11/2 notice. We have credit card debt and my parents are supporting 5 people in our family, my 2 brothers and I. What is some advice other than find a job?

I understand that the best advice is to pay off debt and save...but what do people who are in financial crisis now do? If you're behind on your mortgage payments, behind on your credit card or other debt, and you're working overtime to try to keep food on the table and maybe make some dent in the past due bills, what do you do?

The whole "pay and save" mantra seems very disingenuous right now for the millions of families who are just barely making it and have already cut everything they can cut.

I am 65, husband is 68 we have a CD & 2 Roth IRA on 1-13 is the maturity date for all 3 of them that have to be decided. What shall we do? This is our only emergency fund and we need the most interest rate. But I am afraid of the banks and cannot afford to loose one penny. Interest at 2% is a joke. All 3 are about 125K so you see it is not a lot but we own our own condo. Where can we safely but this money with interest that we need to live for necessities of life.

I'm 64, my husband is 61. We've both been unemployed for 3 yrs, I'm collecting SS now. We put our 401K's into annuities and we're locked in for nearly 2 more years. Having taken huge hits on our retirement funds over the past year, should we pay the 10% penalites and make early withdrawals and put the money somewhere else? Where else would it be safe, and is there a way to avoid having to claim all of it as income for one year? our home is paid for, and we have no credit card debt – just monthly utilities and outrageously expensive healthcare for my husband.

Suze,
After 20 + years of above average credit, the last two years have taken a financial toll and unfortunately, i am filing chapter 7 bankruptcy. in today's world of credit worthiness being a part of character, will this affect my ability to be hired by potential employers? if so, what steps or programs can i take into effect to improve my situation?

I am a widow living on retirement. I had $250,000+ in investments which are now at about 1/2 that, due to the economy. I also have about $10,000 in credit card debt. Should I withdraw $$$ from my investments to pay off the cards? Or should I let the investments sit?

My house, cars are all paid for.
I was aggressively putting money in my daughters 529 for college. She will be going to college in 4-5 years. The fund like most is taking a brutal beating right now. I slowed how much I am putting in. Considering the time frame is there a better option for saving for her college? Or should I consider to be aggressive and hope there is some recovery in 5 years?
thanks!

If, because of pure necessity, you are forced to take a withdrawl from your 401k, and you are 60 yrs of age, are federal taxes automatically deducted from the sum, or are you paid out of pocket at tax time?

Suze,
I heard you recently state that once your credit card is paid off you should not cancel it as it will affect your FICO. My FICO currently ranges from 784 – 803 among the 3. I want to cancel one of my credit cards( a platinum card) because after 5 yrs. they will soon begin charging a $400+ yearly fee. I do not want to keep it open and be charged the fee. Do you think by cancelling this card my FICO will be adversely affected. I have a chance to open another card with the possibility of no or low fee. What do you think?

Diana
Pittsburg, cA

Suze,

Mortgage rates are falling, so when is the best time to re-fi; at a 1% or better rate reduction? Also, any tips on controling the lenders fee and not getting taken?

hi suze

my husband and i have 4 children he works 3 low paying jobs( part time fireman, army reserves, and an ER tech at the local hospital). I stay home with our children. I do not have a degree and would have to pay for child care for 3 of my 4 children if i had a job. we have a fare amount of debt and no savings. Should i get a job. Also my husband is back at college part time. Should we just keep trucking along until he's done with college and making more money. he brings home only about 30,000 a year which is really not enough for our big family.so our debt is growing.

Hi Suze- I'd like to know what is the proper balance of actual expenses, savings and disposbale income when planning our household budget? Regards-

My son is a car salesman. He works strictly on commission. His checks are approximately $18 a week; he's 38 years old and has been selling cars for 13 years. He did the unthinkable and took out a loan on his 401K to pay down credit debt. He now is credit card debt free and I've got his credit cards so he won't use them. But he has to pay his mortgage and maintenance fee. ($1700 month)
Should he change jobs?

Hi Suze,
I'm 30 years old. I have no debt other than the first home that I purchased, 41/2 years ago. And I co-signed loan for a second home. I rented out my first home. I have no problem making my mortgage payment, but in 6 months my 5 year interest only loan will need to be refinanced. Due to the market, I owe more than my house is worth. What do you suggest?

My father passed away and left me with a $100,000 life insurance policy. I am getting married soon and still have to finish school and pay off loans. What should I do with the money?

Suze, Husband is active army retires in 4yrs. 20thousand credit card debt. 138,000 on mortagage live in housing in another state . We are 1 month behind on mortagage 1,140 a month can't sell the house now. Do we stop our thrift saving plan to use $ to pay bills. What do we do with the house. It is 6 yrs old in perfect condition. Not rented vacant.

Love You, Suzy Ann from FT. Eustis, VA

Do you think that we are now living our new normal? and will continue too cut back and learn too save etc.. or will we just go back too our old ways of over spending when the ecomony picks up again?

Hey Suze,
It is getting tough out there for me and makeing bills I did reduce my controbution from 13 to 4 %. I know you all keep saying its bad to do but I have to to make my bills and you are right the credit cards are cutting limits and raising % rates and my job is cutting hours. Do you think it is good to do instead of canceling and being able to get bills payed just a bit quicker. I still have 20 years to retire,and thanks for all you great advice, Family member here, DJ!

Hi Suze,

I have the opposite situation happening, of what you usually talk about lately.

My business is greatly increasing and I've just made the leap from a 5-figure income to a 6-figure income. I've never made more than about $40,000 a year so please advise the best way to handle my increasing prosperity. I want to be responsible with this increasing income but it's a little overwhelming.

Thank you so very much for all that you do. You are a large part of how I've been able to make my business succeed. I have all your books and subscribe to your website and I am living proof that following your advice, WORKS.

Kindest regards and many blessings to you, and thank you for any help or advice you may be able to provide.

Maxine

Hi Ms Suze,
I opened a save yourself account last year February. What should I do after February this year with the save yourself account?

Hello Suze
I am a part time college student and was until recent employed full-time. I was laid off about 2 months ago and my only source of income is unemployment insurance. I have car payments and credit card bills due every month with no opportunity to save. Finding work has been a struggle due to the fact that the Construction Industry has really been hurt here in Florida. Should I let the bank repo my car in order to have money for savings and paying my other bills?

If you truly cared about people in economic hardships, like theses, why isn't your book free? Free educated advice is what people really need the only ones who would buy your book are those who have money to buy luxury items like a book they tell you how to save money.

Suze,
My husband & I are in our early 50's . We have lost considerably towards our retirement funds. Should we continue to contribute to our Roth and 401 to the max. as usual or should we distribute some of those funds into savings instead.

Hi Suze,
What are your thoughts on the many consumer debt-counseling/management services available that offer help to people who've accrued more than $10,000 in credit card debt? Are they equally valuable and reccomended for people who are steadily paying off their debt as well as for those who are buried in debt? What are the potential drawbacks to using these services?

1. I am still employed, 58 years old and don't own a home. Should I buy a house and take on a 30 year mortgage at my age?

2. At the moment, I have different stocks in different companies and not just in mutual funds. Should I consolidate and put all my 401 K from different places I have worked in one of those retirement year funds which automatically adjust the portfolio until you retire?

Hi Suzie,
I would like to ask you what should we do with our business. My husband and I are self-employed and run a high end retail jewelry store, it has been tough to keep up with this economy. Bills are piling up but receivables are shrinking down. what is your advice regarding such a situation and is there federal grants that the government has to help small businesses such as ours.
Thank you for your time.

Suze,
I am in my 50's and still working. Part of my retirement fund has been tied up in a 403b plan which is now losing money. My husband feels I should be putting more money into the plan and I am leaning towards trying to get out of the plan. What are your thoughts?
Karen

I worked at Sears where I fell down stairs. After Sears terminated workerscomp I was put on unpaid FMLA. I lost my place of residence, all savings and had to liquidate my IRA. I just obtained a job that pays $18,000 less than I was earning. I will be earning $28,000. I have no money in savings or checking. I have about $900 in bills which includes my car, insurance, storage of $142/mo, food, gas, etc. A settlement was reached for $15,000 if I resign. The attorney get 20%, a lean for medical for $942, $700 to my friend who is letting me stay with her, and payment to friends who helped me pay bills while unemployed.

How do I invest the remaining to regain my loss? I am still applying for manager positions that pay more but I cant afford to even get my own apartment. Do you have any advice on how to properly invest what I have left over?

Thank you

Suze, I am commited to being debt free this year. I only have 1 credit card, and I was trying out your your debt eleminator calculator.. Do you suggest to add my two car loans in the mix and treat them the same as credit card debt?

thank you
Michelle

Am I allowed to transfer my company's retirement money (other than 401-K, 457-B) into an IRA account, because I am leaving my job?

Hi Suze,

My company is freezing it’s matching contributions to employee 401k plans, beginning February 1. should I reduce my weekly contributions and put more my $$ in my savings account?

Hi Suze,

We relocated to Houston, TX from Buffalo, NY for a job in August. We haven't sold our house in NY, and we already bought another house in TX. My husband may have an opportunity to move back to NY. We called an agent and the Houston market (where we live) is still good. We've lowered our contributions to our 401k account to pay both mortgages and taxes, but still have an emergency savings fund. What do we do? Do we move back? Do we put both houses on the market? We can't hold on to two mortgages for another year.

Jennifer

Hello Suze,

I am very inspired by what you say and do for us people with financial concerns. I remember way back when I met you at Borders for the Women & Money book. You told me to tell my husband about how much debt and every since I have been paying it off. I went from 8,000 dollars to reducing it to 1, 500. It gives me relief and peace of mind that I can do that and much more. I am soon going to pay off my credit card and will be free from debt. I started to save 50 dollars a month to my savings account.

Thank you very much for your advice. Now my husband and I have a good honest relationship with money. I made myself to nourish that relationship and save money because this economy is imbalanced. I hope it will get better with the New Administration but we cannot only count on them but ourselves and your advice.

Thanks a million.

Nadia.

Dear Suze,

I am near retirement and will have a retirement amount that could be either rolled into a 457 retirement account which is currently losing money even in the "fixed" account. In todays economy would it be wise to pay my mortgage off and receive a tax penalty due to taking my retirement in a lump sum because the retirement is losing money. The fixed account is not based on stocks since it is fixed. Should the amount be placed in the 457 account and pay the monthly mortgage since it is tax deductible or pay the mortgage off with the money?

I have really good credit and recently signed up for 2 credit cards that I shouldn't of applied for. I haven't activated them. what can I do to avoid any negative outcome with my credit?
Thanks
Lola

Hello Suze

I have a 401k with an old job that I just never got around to rolling over with my new company, is it now a good time to remove it and roll over on my current job ? I am truly scared !!!

Thanks

Pat

Hi Suzie, I have 5 credit cards that I pay thru Consumer Credit, my questions is should I pay these off which I can do now or should I continue to pay the monthly charge to pay them off, which will be in 4 years, thank you diane

I am retiring in 5 months, and all my 401k is in stable value fund at this time, is this the safest and are there any chance of losing it in this fund?
Please, reply
Thanks,
Willie

Called my mortgage bank today and they have offered 4.375% 30 year fixed. Charges to be rolled into loan for this rate $5500. (2.6... points) and an up front charge of $395. The other offer was 4.75% 30 year fixed with $3500. rolled into loan. I chose the 4.375, but do you think paying so much in points and title/atty fees for that rate is the going price? My interest rate at the moment is 6.5%. This will bring my mortgage down $169. a month. We do not plan on moving, so this should be the last time we refinance. I do have one chance, if the rates go down before we close, to reduce the rate once.

I have a Charitable Giving Program through a mutual fund. It lost more than half the value. Should I distribute the funds now or wait for the value to go up?

Hi Suze,
Our company announced they will not be matching contributions to our 401K for 2009. Can I move my 401k to a IRA?

Hi Suze: What advice do U give to Cr. card abusers–those who can't afford to save but use all wages to cover minimum payments andnthe use the cr. card again for every day necessities? Is b.ruptcy their only solution?

I Suze, my husband and I are trying to buy a house. It is a good time to buy now? Our credit scores are in the 700's. I have a school loan of over $16,000 and a car loan of $5000. No credit card debt. Our annual salary combined is about $100,000. Please can you give us some advice.

Thank you
Catherine from NY

I'm on a medical leave at present so I am not contributing to my 401k
and I have enough in my 401k to pay off my mortgage. I'm 56 years old
and my husband is still working and has enough for our retirement.
Should we pay off the mortgage 10years early since we our planning
to stay in our house? Thanks, Roberta

Suzie,

My husband and I own 2 pcs. of property worth 2.5 million. We owe 700K at 6.25% divided up among 2 mortgages. We have no other debt. We have 250k in cd's, and 150k in savings. We have our own business and pay ourselves about 500k a year. Our question is should we pay off our mortgages or should we re-finance them into a jumbo loan on our primary residence at the new lower rate of 5%.

Suze,

You always give advice to never take out of your 40lK to get out of debt, however, what if I am 68 years old and need some extra cash. I can't take it with me, so how about letting me pay some bills?

I Suze, my husband and I are trying to buy a house. It is a good time to buy now? Our credit scores are in the 700’s. I have a school loan of over $16,000 and a car loan of $5000. No credit card debt. Our annual salary combined is about $100,000. Please can you give us some advice.

Thank you
Catherine from NY

Suzi

I was laid off yesterday and told I have till the end of the month to use $600 in my personal health account. Can they do that? How am I suppose to spend that much up front when I have no money to spare and such a short time left?

Suzy,
Please help us!
My husband retired in July 08. I am retired, too.
Our investments from Jan 08 were 400,000. We have since lost 30% of it. (like everyone else.)
We own the house we live in, an investment house both worth about 200,000 each.
We have no debt.
We are really tempted to roll our IRAs (~!80) into safe bank IRA CDs.
Also, my husband has an ESOP distribution that will be disbursed over the nex t 5 years equally..

Please advise and thank you very much.
Barbara
PS love you Anderson-