All posts by Barbara Nevins Taylor

Trying to Stop Illegal Payday Lending


You may see ads online for quick cash, short term loans, or “cash by tomorrow.” Think of these offers as a swamp that will suck you into financial quicksand.

The high interest rates, sometimes 400 to 600 percent, can lead you into a cycle of debt that’s difficult to escape.

floating money

That’s why some states like New York continue to try to crack down and stop illegal payday lending.

While payday lending is not outlawed in every state, New York law clearly bans these high interest loans. But the Internet makes it easy for payday lenders to do an end run around New York’s civil and criminal laws.

Benjamin M. Lawsky, Superintendent of Financial Services (DFS) sent a critical letter to NACHA, the electronic payments organization that manages the network, which process payments for online payday loans. 

He’s dissatisfied with the organization’s efforts to regulate groups that use its system. He wrote,  “Unfortunately, NACHA’s reforms do not go far enough and continue to leave New Yorkers vulnerable to predatory payday lending over the Internet. Unless NACHA and its board of directors take bolder action, banks will continue to serve as a pipeline for the illegal activity by payday lenders who prey on consumers and brazenly violate New York law.”

Courtesy Creative Commons via Flickr
Courtesy Creative Commons via Flickr

Lawsky wants NACHA to issue a clear policy that says it’s illegal to debit money for payday loans in New York State. He also wants the group to put banks that do business with the payday lenders on notice that it’s their obligation to make sure debits are not processed, and he wants the banks to honor stop payment requests when borrowers realize they’ve made a big mistake.

In August 2013, Lawsky also demanded that 35 companies stop offering illegal payday loans online to New York customers. Of that number, 23 companies complied

And in December 2013, DFS announced that it was expanding its investigation into payday lending and sent subpoenas to 16 online ‘lead generation’ firms suspected of deceptive or misleading marketing of illegal, online payday loans in New York.

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 What’s Wrong With Payday Loans?

Retiring When You’re Not Ready

It may be you, or someone you know. The people at work get younger and younger and suddenly you are out. This isn’t what the Baby Boom generation expects.

The news here is mixed. One third of people over 55 who retired feel they had no choice but to retire, according to a new survey by the Associated Press-NORC Center for Public Affairs Research, funded by the Sloan Foundation.

The survey also found that 54 percent of people under 65 who retired felt that they had no choice but to retire.

Yet there is an indication that the situation is changing and that Baby Boomers are at the vanguard of a new trend.

People over 65 now represent the fastest-growing segment of the country’s workforce.  And it’s estimated that one fourth of American workers will be 55 or older by 2020, up from 19 percent in 2010.

The AP survey found healthier older adults choose to work longer than ever before and even after “retirement,” we don’t exactly retire.

We frequently choose to put off collecting Social Security and retirement benefits while we continue to work at different kinds of jobs and careers.

We know many people who choose to work because they want to continue to be productive and vital, and we’ve been reporting about people who get shut out of the workforce.

Ronald Louis Peterson wrote about the Myths About The Older Worker for ConsumerMojo.com and he explores exactly why it’s a mistake to count us out.

But we also recently began a web video series called Living! that explores the stories of dynamic people over 80. Our first video is with children’s book author, poet and artist Ann McGovern.  We think she an inspiration and hope that you agree.

 

Second Layer of Target Scammers At Work


There’s a second layer of scammers at work targeting Target customers whose credit and debit card information was compromised. So it’s important to be on the lookout.

The Federal Trade Commission (FTC) says that scammers may have sent out notices that look like they are from Target and pretend to offer help. They are clever and make these emails look real. So you have to be really vigilant.

It’s likely they’ll ask for personal information like your credit card number and PIN to see if it has been compromised. But Target wouldn’t ask you for that information via email, nor would any other legitimate company. Don’t respond.

If there are links in the email, DO  NOT CLICK ON THE LINKS. Scammers are very crafty and it’s easy for them to create links that look real.

They can easily install a virus on your computer or direct you to sites that steal your information. Just ignore the links.

If you think you received a fake email, forward it to spam@uce.gov, and delete the message from your inbox. 

In the meantime, because the original hackers are likely to have your information, it’s important to stay on top of your account information. Check for charges that you don’t recognize and report them to your bank or credit card provider.

Continue to monitor your accounts to make sure there is no strange activity. It’s also a good idea to check your credit report for free at annualcreditreport.com. The credit reporting bureaus Equifax, Experian, and TransUnion are required to give you this information. So that means you can check your credit report three times a year for free. Don’t let anyone talk you into paying a fee for this service.

If there are errors on your credit report, contact the credit bureau. This is the tough part. You have to write a letter and point out the errors. Here’s a sample letter.

Date

Your Name

Your Address, City, State, Zip Code

 

Complaint Department

Name of Company

Address

City, State, Zip Code

 

Dear Sir or Madam:

I dispute the following information in my file. I have circled the items I dispute on the attached copy of the form that I received.

This item(s) (Identify the items in dispute. Give the name of the source such as creditors or tax court and identify the type of account – credit card or judgment, etc.) that is inaccurate or incomplete.  (Describe what is inaccurate or incomplete and why.)  I am requesting that the item be removed to correct the information.

Enclosed are copies of my documentation that supports my position. (Send only copies, not originals, and describe what you enclose: receipts, payment stubs, court records, etc.)

Please re-investigate this matter (or these matters), and correct or delete the information as soon as possible.

Sincerely,

 

Your Name

Enclosures: List all the documents that you are enclosing.

Keep all of your originals, and keep a record of what you send.

To file a complaint, visit ftc.gov/complaint.  For information about identity theft, visit ftc.gov/idtheft.

How To Choose A Gym Membership


By Matthew Vann

A common New Year’s resolution for many is to get fit. So that means signing up for what can often be an expensive membership plan at your local gym. 

But the Better Business Bureau advises consumers to carefully consider the terms of the contract offered before joining.

Consumers who filed complaints with the BBB dispute the terms of their gym contract and say that their fitness center made promises that never materialized. 

Complaints also claim that gym staffers made verbal agreements at the time the contracts were drafted that they refused to honor.

But not all gym memberships are created equal.  Here are a few tips you should keep in mind before buying a gym membership:

  • Make sure that your finances are in order before signing up for a gym membership often

 Gyms often ask new members to pay first-time fees upfront in as well as monthly membership fees.  Additional fitness center services like access to the sauna or tennis court may not be in the base charge.

  • Don’t give into pressure from gym sales representatives

Feel free to walk away from clubs that pressure you into signing a membership contract on the spot. The BBB recommends taking a sample contract and reviewing at home before joining.

  • Ask for recommendations

Ask family and friends for their gym recommendations. Then pick the ones that best match your budget and fitness goals.

  • Make sure the club is bonded

New York State Law requires health clubs to have a bond or some form of financial security to protect members in case of closure. A gym representative should be able to show proof of their compliance.

Wherever you live:

  • Understand your cancellation rights

Find out what the cancellation terms are and if there are large fees to terminate your contract.

Consumers have the right to cancel their contract within three business days after they receive a copy of the written contract, according to New York State Law.

Laws vary from state to state, but consumer protection laws often take into account problems with gym memberships.  So if you are having trouble with a gym, it’s a good idea to check with your local consumer affairs department about the regulations for your area.

 

**This story was first reported by Matthew in 2013. But we think it offers important tips and it’s worth highlighting again.

Tips to Sell Gold Jewelry

New York Diamond District jeweler Stephen Herdemian sells and collects antique jewelry. As a collector, he understands that it’s hard to give some things up. But he tells ConsumerMojo that  scraps in our jewelry boxes, broken bits of chain and things we don’t wear can bring us cash.

It’s worth it to watch the video. But his big tips include:

Learn about what you have:

It’s always a good idea to know something about what you’re selling. Here are a few explanations and questions to ask. The list is provided by the Jeweler’s Vigilance Committee, an industry watchdog:

 

Precious Metal

            Platinum

  • Items containing 950 parts per thousand (95%) may be marked as platinum.
  •  Items that are 85% or 95% platinum must be marked with the platinum content. Examples: 900Pt, 850Pt.
  • Items containing less than 85% platinum must detail the platinum group metal. Example: 750Pt200Irid. Total parts must equal 950 (95%).
    Note: Platinum group metals are: Platinum, Palladium, Rhodium, Iridium, Ruthenium and Osmium.Gold
  • 10 karat gold is the minimum fineness of gold that may be sold in the U.S. Jewelry under 10kt fineness may not be sold as gold.
  • Jewelry is made of many different types of gold: solid gold, gold plate, gold filled, gold overlay, gold electroplate, gold flashed/washed or rolled gold plated.Silver
  • Silver/Sterling Silver means that 925 parts per thousand (or 92.5%) of the item is made of pure silver.
  • Silver plate describes a product made of base metal and layered (or plated) with silver.
  • Silver coins contain 900 parts per thousand (or 90%) pure silver.

    Diamonds

  • The Four C’s are the criteria used to value a diamond. Carat weight, color, clarity and cut (cut refers to the quality of cut, not the shape).
  • Ask if the diamond(s) have been treated in any way (i.e. fracture-filled, laser drilled) and whether or not the treatment is permanent.

             Colored Gemstones

  • Is the gemstone natural, lab created or an imitation?
  • Has this gemstone been treated? If so, how?
  • If treated, is the treatment permanent and has the treatment affected the gemstone’s value?
  • What is the country of origin of the gemstone?

             Pearls

  • Are the pearl(s) natural or cultured?
  • Has the pearl been dyed to enhance or change its color?
  • If the pearl is dyed, is the treatment permanent? Did this affect the value?

 

Power of Attorney Do’s and Don’ts



There are a few important things to consider if you or someone you know is thinking about choosing a person to act as a power of attorney.

Sylvia DiPietro is an estate and elder care lawyer. She is also a professor at Brooklyn Law School.  She’s helped many who made mistakes and picked the wrong person and were harmed by their bad judgment and actions. 

Here are Sylvia’s Do’s and Don’ts

           Choosing An Attorney

  • DO have an attorney draft the power of attorney document.
  • DO select an attorney who has patience, won’t rush you and will explain everything clearly.

            Choosing Your Power of Attorney

  • DO select someone you know is accurate, detailed, responsible and efficient in their own life with their own finances. You want someone to pay your bills on time and ensure that your tax returns are prepared and filed on time.  Try to avoid a family member or friend who borrows frequently, has a great deal of credit card or other debt or is generally careless with themselves and their finances.  There is a good chance that their bad habits will spill over to your finances.
  • DO find someone who can help supervise the power of attorney. Select an outside monitor, like an attorney, who has the authority to request that your power of attorney produce all records of transactions made on your behalf.  The monitor can review the activities of the person you choose as power of attorney, if his or her actions become or appear questionable.  Having a responsible monitor appointed can also appease anxious family members
  • DO select a backup power of attorney at the same time you decide on your power of attorney.
  • DO agree upfront on a reasonable hourly fee to compensate your power of attorney for services  on your behalf. This eliminates any guesswork and misunderstandings.  You can also agree on a fee for the monitor.  If you only require basic bookkeeping, don’t select an attorney who will charge you his or her legal hourly rate.

DON’TS

  • DON’T download a power of attorney, or any other important legal instrument from the Internet.  If you do, it may cost you or your estate down the road.
  • DON’T assume anything and DON’T be afraid to ask questions.  When it comes to your life and your retirement plans, make sure that the attorney is clear about your wishes. You can always change them.
  • DON’T grant any powers to your agent that you are not comfortable giving.  You can always appoint someone as your healthcare proxy and executor under your will and these individuals don’t have to be the same person.
  • DON’T execute more than one power of attorney and give a separate power of attorney to each of your loved ones. That’s sure to create friction in the family. Discuss openly with your loved ones who you have appointed as your agent and why.
  • DON’T allow your power of attorney to make gifts or loans to himself or other family members, unless you have discussed it fully with your attorney beforehand and the ground rules are laid out.

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A Few Hours More for Obamacare

You still have a few more hours to sign up for Obamacare. Healthcare.gov and the call center is accepting applications until midnight E.S.T. You can reach the call center here: 1-800-318-2596

Volume on the site is heavy. It had more than 2 million visits yesterday. So be patient. Try the queuing system. They say it works and if you leave an email they will get back to you.

This is the latest from the Department of Health and Human Services

IF YOU MISSED THE DEADLINE

“Our highest priority is making sure that everyone who wants to enroll to have health care coverage by January 1 is able to do so, particularly since consumers had a hard time accessing HealthCare.gov in October and November. As such, we are making sure we can provide information directly to consumers if and when they have questions about their particular situation, and if they are covered as of January 1.

Consumers who tried to enroll prior to today and had problems with the system should contact the Marketplace call center, 1-800-318-2596, for individual assistance. We have developed a robust casework process to address individual inquiries, respond to specific situations, and help consumers transition to new coverage. Consumers will hear directly from their health plan about the date their coverage is effective.

In addition, Center for Medicaid and Medicare Services (CMS) and health plans are continuing to reach out to consumers who’ve selected a plan to remind them of the final steps they must take to enroll in coverage, such as paying their bill, who to contact if they have questions, and how they can access care.

Consumers who begin the process of selecting a health plan after today will be covered as of February 1.

The call center will be closed on Christmas and will reopen on the 26th

Robocall Alert 2

 

If you get a robocall and a voice suggests a company can help settle your debt, modify your mortgage or resolve debt problems in any way, hang up.

The people behind the call are likely to have a history of scamming, do not have your best interests at heart and will lead you further into debt.

The Federal Trade Commission (FTC) just cracked down on two separate alleged scams and banned the people involved from participating in so-called debt mortgage and debt relief businesses.  American Mortgage Consulting Group, Home Guardian Management Solutions was charged with offering false promises of mortgage-rate reductions to consumers in jeopardy of losing their homes.

The company promised to substantially lower monthly mortgage payments and asked for an upfront fee of $1,495 to $4,495.  But the FTC alleges the company made false promises to consumers that made the offer appealing.

According to the FTC, it promised consumers would get a mortgage modification. If they didn’t, they’d get their money back. It also allegedly pretended representatives were from the government and could provide legal representation.

None of this was true. The head of the company Mark Nagy Atalla, is banned from conducting this type of business and faces a $514,910 judgment. The judgment will be suspended when he turns over personal property and proceeds from the sale of other assets. Another Case In another case, Southeast Trust, LLC (formerly known as The Debt School, LLC, also doing business as Financial Freedom Credit Counseling) and the company’s principal, Paul A. Wexler, allegedly promised consumers they could receive zero interest credit cards if they paid hundreds of dollars. Calls were routinely made to people who listed their numbers on the Do Not Call Registry, according to the FTC.  

 

 A settlement orders Wexler to pay $2.7 million to the government. But it’s suspended because he can’t pay.  Again, these stories illustrate the way unscrupulous people take advantage and gives us all reason to be very cautious about dealing with people who make promises that sound great.  The FTC offers four tips for recognizing a scam

  1. A company charges fees before it settles your debts
  2. It guarantees it can make your debt go away
  3. It tells you it can stop all debt collection calls and lawsuits
  4. It demands personal and financial information, like your credit card and bank account numbers, before it sends free information, or any information at all.

    watchmore Avoid Debt Settlement and Credit Repair  

Sunshine for Campus Bank Deals

Is your college or university getting a kickback every time  a student gets a credit or debit card?  This isn’t fantasy. Banks and other financial institutions do have deals that give schools an incentive for allowing them to market to you on campus. Colleges and universities were paid over $50 million in 2012, according the Consumer Financial Protection Bureau (CFPB).

The CFPB wants financial institutions to disclose all their deals.

floating money

Right now disclosure only covers college credit cards. It is encouraging that there were fewer credit card deals this year than last.  The CFPB’s annual report on college credit card agreements shows a decline of 23 percent in college agreements from 2011 to 2012.

CFPB Director Richard Cordray says, “Students and their families should know if their school, whether well-intentioned or not, is being compensated to encourage students to use a specific account or card product. When financial institutions secretly give kickbacks to schools, they are engaging in risky practices.”

Courtesy Creative Commons, Wikimedia
Courtesy Creative Commons, Wikimedia

In 2008, Congress passed a law that requires schools to disclose preferred lender arrangements with student loan providers and to establish a code of conduct for school financial aid officials.

In 2009, Congress passed the Credit Card Accountability, Responsibility, and Disclosure (CARD) Act.  It requires lenders and banks to disclose to the CFPB the terms and conditions of any college credit card agreement, the number of new credit card accounts, and the compensation paid by issuers to institutions of higher education. The CFPB is required to write an annual report to Congress about the information provided by card issuers about these agreements.

Courtesy Wikimedia
Courtesy Wikimedia

Highlights of the CFPB Report: 

  • College card agreements declined by 41 percent between 2009 and 2012.
  • 617 schools had agreements with financial institutions in 2012 compared to 1,045 in 2009
  • In 2009, 1,045 college card agreements were in effect for over two million accounts, compared to only 617 agreements for just over a million accounts in 2012.
  • Colleges and universities were paid over $50,395,000 in 2012 and that’s less than the approximately $84,400,000 in 2009.

But the CFPB also found that the sands are shifting and now financial institutions are focused on checking, debit and prepaid cards.  The CFPB wants those agreements made accessible for all to see so that if you sign up for a card,  you know whether your school is getting a piece of the action.

There’s a guide for students and families about choosing checking accounts and debit cards: http://www.consumerfinance.gov/paying-for-college/manage-your-college-money/

 

watchmoreHow to Pay Down Your Student Loan 

Authors Guild Helps Writers

by Richard Russo
It’s all changing, right before our eyes. Not just publishing, but the writing life itself, our ability to make a living from authorship.
Even in the best of times, which these are not, most writers have to supplement their writing incomes by teaching, or throwing up sheet-rock, or cage fighting. It wasn’t always so, but for the last two decades I’ve lived the life most writers dream of: I write novels and stories, as well as the occasional screenplay, and every now and then I hit the road for a week or two and give talks. In short, I’m one of the blessed, and not just in terms of my occupation.
My health is good, my children grown, their educations paid for. I’m sixty-four, which sucks, but it also means that nothing that happens in publishing—for good or ill—is going to affect me nearly as much as it affects younger writers, especially those who haven’t made their names yet. Even if the e-price of my next novel is $1.99, I won’t have to go back to cage fighting.
Still, if it turns out that I’ve enjoyed the best the writing life has to offer, that those who follow, even the most brilliant, will have to settle for less, that won’t make me happy and I suspect it won’t cheer other writers who’ve been as fortunate as I.
It’s these writers, in particular, that I’m addressing here.
Not everyone believes, as I do, that the writing life is endangered by the downward pressure of e-book pricing, by the relentless, ongoing erosion of copyright protection, by the scorched-earth capitalism of companies like Google and Amazon, by spineless publishers who won’t stand up to them, by the “information wants to be free” crowd who believe that art should be cheap or free and treated as a commodity, by internet search engines who are all too happy to direct people to on-line sites that sell pirated (read “stolen”) books, and even by militant librarians who see no reason why they shouldn’t be able to “lend” our e-books without restriction.
But those of us who are alarmed by these trends have a duty, I think, to defend and protect the writing life that’s been good to us, not just on behalf of younger writers who will not have our advantages if we don’t, but also on behalf of readers, whose imaginative lives will be diminished if authorship becomes untenable as a profession.
I know, I know. Some insist that there’s never been a better time to be an author. Self-publishing has democratized the process, they argue, and authors can now earn royalties of up to seventy percent, where once we had to settle for what traditional publishers told us was our share. Anecdotal evidence is marshaled in support of this view (statistical evidence to follow).
Those of us who are alarmed, we’re told, are, well, alarmists. Time will tell who’s right, but surely it can’t be a good idea for writers to stand on the sidelines while our collective fate is decided by others.
Especially when we consider who those others are. Entities like Google and Apple and Amazon are rich and powerful enough to influence governments, and every day they demonstrate their willingness to wield that enormous power.
Books and authors are a tiny but not insignificant part of the larger battle being waged between these companies, a battleground that includes the movie, music, and newspaper industries. I think it’s fair to say that to a greater or lesser degree, those other industries have all gotten their asses kicked, just as we’re getting ours kicked now.
And not just in the courts. Somehow, we’re even losing the war for hearts and minds. When we defend copyright, we’re seen as greedy. When we justly sue, we’re seen as litigious.
When we attempt to defend the physical book and stores that sell them, we’re seen as Luddites. Our altruism, when we’re able to summon it, is too often seen as self-serving.But here’s the thing.
What the Apples and Googles and Amazons and Netflixes of the world all have in common (in addition to their quest for world domination), is that they’re all starved for content, and for that they need us. Which means we have a say in all this.
Everything in the digital age may feel new and may seem to operate under new rules, but the conversation about the relationship between art and commerce is age-old, and artists must be part of it.
To that end we’d do well to speak with one voice, though it’s here we demonstrate our greatest weakness. Writers are notoriously independent cusses, hard to wrangle.
We spend our mostly solitary days filling up blank pieces of paper with words. We must like it that way, or we wouldn’t do it. But while it’s pretty to think that our odd way of life will endure, there’s no guarantee. The writing life is ours to defend.

Protecting it also happens to be the mission of the Authors Guild, which I myself did not join until last year, when the light switch in my cave finally got tripped. Are you a member? If not, please consider becoming one.

We’re badly outgunned and in need of reinforcements. If the writing life has done well by you, as it has by me, here’s your chance to return the favor. Do it now, because there’s such a thing as being too late.

Click here for the Guild application form.  IF YOU APPLY PUT BARBARA NEVINS TAYLOR IN THE BOX THAT ASKS WHO REFERRED YOU.

 

65 Plus and Looking for Work


How old do you feel?

If you are like many Baby Boomers, you probably don’t feel your age. And you’ve probably said that many times. Now a new study funded by the Boston College Sloan Center on Aging and Work puts a social science spin on what we know.

The Associated Press-NORC Center for Public Affairs Research conducted a survey of 1,024 adults ages 50 and over about retirement and work.

It found that, “Americans who have reached or are nearing the traditional retirement age generally do not think of themselves as “old.” Overall, the majority of Americans age 50 and older have a positive outlook about their own ages. Six in ten report they feel younger than their age, a third feel about their age, and only 6 percent feel older.”

65 PLUS AND WORKING

The survey also discovered that a quarter of adults 65 plus are working or looking for work and half of those 50 and older are working or looking for work.

YOUNG BOSS VS. OLDER BOSS

Nearly half of those survey say their bosses are younger.

But people over 50 with older bosses have positive things to report. They think their age is an asset. The survey’s authors say, “…people with an older boss are more likely to report that they have experienced positive situations at work because of their age including having colleagues come to them more often for advice, feeling that they receive more respect within the company, and receiving desirable assignments.”

There is also the dark side of the workplace for older workers. One in five who are 50 and older report that they have experienced age discrimination at work or while looking for work.

 

readmoreMyths About the Older Worker

 

watchmoreTips for Older Job Seekers

 

 

 

 

 

 

 

 

A Winner With Obamacare Even With Pre-Existing Condition

by Barbara Nevins Taylor

Marilyn Parver is cheerleading for Obamacare. She discovered that even though she has a pre-existing condition, she’ll have better and cheaper insurance than she has now. “All I ever hear is the bad side,” she told us and then shared what she thinks is important for everyone to know. 

Marilyn’s experience was the opposite of bad. The health insurance plan she found saves her almost $300 a month and she feels like a winner.

“I am 61 years old and easily as physically fit as any 50-year-old. My health is good but a pre-existing condition affected my ability to buy insurance,” she explains.

Twelve years ago, Marilyn discovered that she has a slow-growing brain tumor. There aren’t any symptoms but it requires regular checkups. While she lives in Kingman, Arizona. the doctor who monitors her annually, with an MRI, is at Johns Hopkins Medical Center in Baltimore, Maryland. 
Roll of money
Her current insurance is expensive. She pays $1,000 a month for what she describes as “very limited benefits.”  
Under this insurance, many of her visits to health care professionals require pre-approval and the answer is often, “No.”
Courtesy Wikimedia
Courtesy Wikimedia
She recalls that before she made a recent trip to Kenya, the insurer refused to pay for anti-malaria medication.  
“They told me if I get malaria they would cover my treatment. I ended up buying the pills I needed in Kenya for $20 a month compared to over $300 in the U.S. without insurance.”
So she was more than ready for an alternative that provided more coverage and cost less and began her search on Healthcare.gov.
Keyboard and stethescope
She found plans tailored for her state, but the online system couldn’t help her because she required coverage for an out-of-state doctor.  She followed the prompts and  called the phone hotline.
A customer service representative recommended that she deal with insurers in her state directly and offered to send her a list of insurers.
She was emailed 59 pages listing insurers and descriptions of plans offered in Arizona. 
“My new choices were staggering both because of lower cost options but also because of better benefits. I picked the most appealing options and then called the insurance companies directly. They all have dedicated departments to deal with the new policies and they answered my questions quickly,” she says enthusiastically.
Image by Chris Potter via Flickr
Image by Chris Potter via Flickr
Marilyn narrowed her choice to two plans offered by Humana.  The less expensive plan is $440 a month. But it has a 20 percent co-pay.
And that’s a concern because she worries about the possibility that she may need surgery to remove the brain tumor. “Surgery is expensive and even 2o percent of the bill would be painful,” she explains.

Her second choice was a Preferred Silver Plan that paid for everything after a $3500 deductible. Her monthly premium is $721. That’s less than the $1,000 she pays now. “My deductible is $5000 right now and I never reach it so I never get a break,” she says.

She’s thrilled with the range of benefits that the new plan offers.  “Once I made up my mind it was super easy. I was signed up in 20 minutes.”

 She’s also relieved because she’s paying less and getting more. She says, “With any kind of pre-existing conditions, you have had to pay a fortune for medical coverage. Now we have choices that are affordable.”

Arizona Mountains

It’s worth it to note here that Marilyn used Healthcare.gov because Arizona doesn’t have a state health insurance Marketplace.

Republican Governor Jan Brewer did accept the expansion of Medicaid in Arizona so that the state will receive federal funds to provide Medicaid for those who qualify under Obamacare.

Remember you have until December 23rd at midnight to sign up for health insurance that will begin January 1, 2014.  But the entire open enrollment period runs until March 31, 2014 for insurance that will begin after you sign up and pay your first month’s premium.

 

 

Home Buying in the Chilly Season

by Barbara Nevins Taylor

The days grew shorter. The weather turned colder and Angel and William Wong found themselves searching for a home in Flushing and College Point in Queens, New York.  They had been surprised at how quickly their New Jersey home sold. It went into contract in August and their family had a month to move. But house hunting proved difficult.

There was fierce competition and bidding for houses in the neighborhoods where they wanted to live. So they put everything in storage and moved into a temporary apartment while they searched.

They were determined to buy a new home in the chilly season to take advantage of the relatively low interest rates and they were keenly aware that rates are rising.  Angel said, “I want a home and I want to get the  interest rate while it’s still low.”

But every time they made an offer on a house another family offered more money.

The Wongs had talked to a banker at Chase and found that they could get a 15-year fixed-rate mortgage with 3.4 percent interest. At the beginning of December, they found  a three-bedroom home facing a park. They quickly signed a contract and locked in the 3.4 percent rate.

They were lucky because interest rates inched up slightly in December. A 15-year fixed-rate mortgage was 3.6 percent, a 30-year-fixed rate 4.55 percent, according to Bankrate.com.

With interest rates expected to rise, the chilly season may be the best time this year to shop for a home.

ConsumerMojo.com’s  videos and posts have a lot of information about  getting a mortgage and gives you the information that you need to get the best mortgage deal.

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7 Tips to Get the Best Mortgage Deal