Bracing for a bailout backlash...it's already here

I know some of our governmental officials both elected and appointed like to diminish the power of the blogs, but when I read, Bracing for a Bailout Backlash in the New York Times this morning, there were very few of us online that supported the bailout. Many bloggers posted against it, many of their readers agreed with them. Those who felt the bailout was a good idea, were in the minority...

Once upon a time, when a story was written online by a news source and there was the ability to comment, the Obama supporters came out in huge numbers, bashing the former president and expressing their belief that things would change. Now when you read comments that's not happening anymore. There are still a few, but many are expressing disappointment. I don't think all of those who did present their pro-Obama positions online have changed their minds to the point that make up the largest number of those speaking out against him, but I do think that they have lost some of their desire to defend him online. That should worry them, considering how dedicated some of these supporters were...

Political campaigning, go for local or go for price...

I often get asked advice when it comes to campaign 101 basics. It may seem like a simple decision, but the reality is depending on what you are running for and what promises you have made, at times you can create controversy over your decision of who to have print your campaign material. From custom bumper stickers to t-shirts, if you don't do some careful decision making it can be a problem. Something as simple as being a candidate who promotes a green message who doesn't use campaign material that is considered "green" can be an issue raised by your opponents.

Then there is the issue of cost, many times going with a local printer will cost your campaign more money. Thanks to the internet there are a variety of companies out there that can save you hundreds of dollars on campaign material.

You also need to be aware of traditions in your area, it does not mean that you necessarily have to follow them, but you should be prepared to explain when you don't. Take my area as an example, wearing a name tag with your name and the office you are seeking is one of those "must do" moments. If you are a candidate out in public without one? Chances are someone is going to ask you, "Where is your name tag?" Which is why I warn new candidates, buy more than one...wear it...

I also really recommend using door hangers, which companies like PSPrint Online Printing have easy to use templates for. If you are planning on doing a traditional door to door campaign, you will knock on doors where no one is home, having something as simple as a door hanger lets people know you stopped by without having to hear complaints about a brochure or a flyer blowing off their porch or making the mistake of using a mail box, which is against the law. One campaign locally that became an issue and you as a candidate want to be able to focus on the reasons why you should be elected.

Timothy Geithner underwhelming many...

If Timothy Geithner thought things were tough related to the media coverage on his tax issues, it doesn't appear it's getting any better. His first press conference does not appear to have wowed many. In fact, it appears to be the opposite:

Geithner Can’t Find Gun, Let Alone Silver Bullet

For Geithner’s Debut, a Lukewarm Reception

Why Markets Dissed the Geithner Plan

Is Geithner Ready for Prime Time?

Tim Geithner's troubled premiere

Canada’s Dollar Falls as Geithner Plan Fails to Spur Confidence

Timothy Geithner no superhero

Any bets on how long Geithner will be around?

If the Market anticipated better times under Obama it would have gained 40%

Okay Obama fans and Obama detractors, here's your chance to weigh in on what's being stated by George Newman in today's Wall Street Journal, The Markets Are Weak Because the Candidates Are Lousy :

The market is forward looking. If it is unhappy with a president, it does not wait almost eight years before the numbers reflect it. If it really anticipated good times under Mr. Obama, the market would have gained 40% in anticipation of the transition. By losing that much, it seems to be saying the opposite.

The silver lining in all this is that the market has already "discounted" an Obama win, so if that happens you won't wake up on Nov. 5 to find your remaining savings down the drain. If the unexpected happens, you may be in for a pleasant surprise.

I recommend reading the full article, but am interested especially in your comments as to the quoted section of the article.

There is no tooth fairy...

We've watched the arguments both for and against the bailout of Wall Street discussed on a variety of blogs. When I came across this piece from the Wall Street Journal, Age of Prosperity is Over I wanted to point it out for those of you who do not read RealClear Politics on a regular basis. Part of the piece by Arthur Laffer that I found especially noteworthy:

No one likes to see people lose their homes when housing prices fall and they can't afford to pay their mortgages; nor does any one of us enjoy watching banks go belly-up for making subprime loans without enough equity. But the taxpayers had nothing to do with either side of the mortgage transaction. If the house's value had appreciated, believe you me the overleveraged homeowner and the overly aggressive bank would never have shared their gain with taxpayers. Housing price declines and their consequences are signals to the market to stop building so many houses, pure and simple.

But here's the rub. Now enter the government and the prospects of a kinder and gentler economy. To alleviate the obvious hardships to both homeowners and banks, the government commits to buy mortgages and inject capital into banks, which on the face of it seems like a very nice thing to do. But unfortunately in this world there is no tooth fairy. And the government doesn't create anything; it just redistributes. Whenever the government bails someone out of trouble, they always put someone into trouble, plus of course a toll for the troll. Every $100 billion in bailout requires at least $130 billion in taxes, where the $30 billion extra is the cost of getting government involved.

If you don't believe me, just watch how Congress and Barney Frank run the banks. If you thought they did a bad job running the post office, Amtrak, Fannie Mae, Freddie Mac and the military, just wait till you see what they'll do with Wall Street.

Some 14 months ago, the projected deficit for the 2008 fiscal year was about 0.6% of GDP. With the $170 billion stimulus package last March, the add-ons to housing and agriculture bills, and the slowdown in tax receipts, the deficit for 2008 actually came in at 3.2% of GDP, with the 2009 deficit projected at 3.8% of GDP. And this is just the beginning.

For those of you really into the financial aspect of the Federal Government, I also recommend this piece. Something that is pointed out that few seem to be talking about:

I had a call from a reporter this week asking me to explain why the Fed raised the interest rate paid on reserves. I think she was expecting a 30-second sound bite, but instead we went back and forth for about 15 minutes and I'm not sure even then that I succeeded in getting the basic idea across. At that point she asked me, "Do you see it as an encouraging development that the Fed has taken this step to address the credit crunch?" My immediate answer was no. It's not an encouraging development because it means that the heroic efforts that the Fed has taken previously weren't enough. The Fed's first $100 billion didn't do it. The Fed's first $1 trillion didn't do it. Having the Treasury take over the $5 trillion in debts and guarantees of Fannie and Freddie didn't do it. The Treasury's $3/4 trillion rescue/bailout package didn't do it. And another quarter trillion will?

Okay so some in Congress folded...

Just four days after the bill's initial demise sparked a free fall on Wall Street, the House approved the legislation 263-171. At 1:23 p.m., the measure cleared a majority of votes, and the chamber broke out in applause.

After initially rejecting the bill by a 2-to-1 margin, House Republicans mustered 91 votes in favor of it on the second try, with 172 Democrats supporting its passage. One hundred eight Republicans and 63 Democrats voted against the bill. The Senate approved the package Wednesday.

Last time it was 205 yes and 228 no...Which means 57 of the House members who initially had a spine? Lost it...Thankfully here in Ohio my representative, Marcy Kaptur did something that is unusual in Washington D.C. - she kept her word and voted no again.

Prevent the fleeting passions from becoming law...

Recommended piece in the American Spectator by Quin Hillyer that points out how far we are from the original intent of our government:

How does one construct an essay when one sees the national government rapidly turning this country into a nation with which one is just not familiar? I mean, this isn't America anymore.... Is it? Could it possibly be? Is this the nation with a limited government designed by James Madison and his brilliant cohorts?

What's always interesting is that in very few scenarios do the political pundits and writers agree on anything. This bailout is no different, Nicholas D. Kristof at the New York Times, takes an almost opposite approach. He feels that the US is facing the same scenario Japan did.

David Ignatius writes his take on the answer to the statement made by our President, "this sucker could go down," sharing some thoughts that there are other ways out of this crisis. Robert Tracinski pens, Kill the Bailout.

Communication breakdown over bail out...

This doesn't exactly sound promising, from Chris:

Despite today's news reports, there never existed a "deal," but merely a proposal offered by a small, select group of Members of Congress. As of right now, there exists only a series of principles, including greater oversight and measures to address CEO pay. However, these principles do not enjoy a consensus in Congress.

At today's cabinet meeting, John McCain did not attack any proposal or endorse any plan. John McCain simply urged that for any proposal to enjoy the confidence of the American people, stressing that all sides would have to cooperate and build a bipartisan consensus for a solution that protects taxpayers.

However, the Democrats allowed Senator Obama to run their side of the meeting. That did not work as the meeting quickly devolved into a contentious shouting match that did not seek to craft a bipartisan solution.

I don't know why they would put Obama in that position, though it doesn't seem as if the media is really reporting that much of that part of it. At times I wonder about their decision making process when it comes to what is the smart thing to do. Then I really wonder when I read this article as it does not mention Obama's lead and claims Democrats blamed McCain...

Will McCain debate? I'm thinking the odds are less than 50/50 with lots of people speculating as to his reasoning, this school of thought is one I wouldn't overly disagree with:

The uncertainty of this situation makes me suspect that this was not done exclusively for strategic campaign considerations. Some have called it a desperate hail Mary - a risky gambit taken because the "bottom is dropping out." But that requires a pretty tendentious look at the polls. Five of the ten polls in the RCP national average show McCain down by three points or less. Gallup has a tie today. That is not consistent with the "bottom dropping out."

Instead, I suspect that, as with the Palin pick, this is McCain being McCain. He didn't like the situation. So, he did something. We've seen him do stuff like this again and again over the years. Lieberman gave the best description of McCain at the Republican convention: he's a restless reformer. I think that McCain being McCain, he felt restless - so he went to Washington to do something.

Regardless of how we might feel about his decision - we can agree that McCain has once again affected the race by his actions. This is the second time he has done this in a month. It's become an ironic feature of this campaign. While most agree that the election will hinge upon public considerations of Barack Obama, so much of the campaign itself has hinged upon the actions of John McCain.

Considering this debate was supposed to be about foreign policy, despite the political gamesmanship of Obama not wanting to cancel/postpone, whether they debate or not, no one is going to get any answers as to the current "financial crisis" tomorrow night in Oxford.

McCain is stating if no deal is reached tomorrow he's not showing up. Then what happens? Obama debates himself? Questions that won't be answered until tomorrow...

Everyone should use Free Credit Reports...

I was recently surprised the other day to realize that several people I knew that are pretty tech savvy people were not aware that you can get a Free Credit Report every year from the top three credit reporting agencies. You don't have to pay an additional fees for this, though they do charge if you want your actual credit score number. Realistically most times you don't need to know your credit score number it's watching to make sure that you have nothing on your credit report that you are unaware of is what is important.

There is also quite a bit of information online when it comes to other financial issues such as Secured Credit Cards, they can be a huge help if that is the only way you can get a credit card. However, it's really important to read the fine print and to make sure that you have taken the time to Compare Credit Cards since they are not all equal. Some of the fees that are charged for credit cards for those with less than perfect credit can be very high. I remember once being excited to learn I was approved then seeing that the fees for a card with a $200.00 credit line was $150.00. Suddenly that did not seem as if it was that great of an offer.

Fuel prices increase 33 percent annual rate during the past three months

Feel like you have less spendable income right now? It's probably because you do, Gas Prices Spur Consumer Inflation:

The cost of fuel -- driven by crude oil prices the nearly topped $100 a barrel -- was the chief culprit. Energy costs increased 5.7 percent in November alone and have increased at a 33 percent annual rate during the past three months.

But excluding volatile energy and food costs, so-called core inflation also rose more quickly than expected, with prices for transportation, clothing and other items pushing upward. Transportation costs, which had fallen for three of the past five months, jumped by 2.9 percent in November; clothing prices, falling for much of the year, increased 0.8 percent.

Even more troubling is that former Fed chairman Alan Greenspan said the likelihood of a recession is "clearly rising" and the economy was "getting close to stall speed," as the Associated Press reported.

In the current economy Debt Consolidation Services and Credit Card Debt Elimination services frequented more...

Even with the possible fix as announced last night in holding interest rates for those facing adjustable rate mortgages, the reality is some won't qualify and for some it will already be too late. For some homeowners they are already behind and/or in the process of foreclosure. One of the good things about this discussion in the media is it increases awareness of Debt Consolidation Services. While it's not possible at times to be able to stop a foreclosure, there are ways that those facing serious debt can take advantage of the consolidation of what is owed and many times can be done in a way that will help reduce late fees and other penalties that make it even more difficult to get caught up.

Even for those who are not homeowners, with the increase in consumer credit card debt, the numbers of those making minimum payments and facing default on their payments is also increasing. Credit Card Debt Elimination services are a solution that many consumers don't turn to in time but is readily available for those who need help. As stated above, one of the good things about the media attention on this topic is the increased consumer information aspect...

The aftermath of holiday shopping

Just as surely as kissing happens under mistletoe, it's pretty much a given that for some people the aftermath of holiday a shopping will create a scenario where they realize they have over spent. Some will tighten their budgets and recover, yet some will need Credit Card Debt Help. Just here in the US there are 641 million credit cards in circulation that account for an estimated $1.5 trillion of consumer spending.

If you discover you are really over your head in credit card debt, using Credit Card Debt Consolidation services and Credit Counseling services can be a way to re-build your credit. It takes time, while it may only take seconds to use your credit card it does take a bit of time for your credit score to decrease, which means it also takes some time for your scores to increase. The best advice is of course to avoid over spending and to make sure you only charge what you know you can afford to pay back, yet unexpected things like the loss of a job or other life circumstances can make this difficult. Remember, having bad credit does not make you a bad person...

Bank offers by mail...

While the internet has increased it's promotion of things like credit cards and checking accounts, there are still a great many offers that are still sent out by the traditional post office system. My fourth oldest daughter having recently gotten her first credit card seems to get at least one offer a day sometimes more from various banks or financial institutions. Today? WaMu...

Wiki on Investments

I came across a new wiki today called, Wikinvest.com that focuses on providing articles about many of the popular stocks out there on the market today. In my part of Ohio there has been a great deal of controversy at times concerning Starbucks (SBUX) and some of the local coffee shops, so it was with interest I read the Wiki piece on Starbucks. What I found very interesting in the way that Wikinvest does this is they have a neutral position, a bull position and a bear position. Reading all three opinions is a very enlightening experience and I learned much more about this one particular company than I knew before. As an example, I had no idea that Starbucks sells 14 times as much coffee per store as McDonald’s. There are also many other articles on the site on other stocks Sprint Nextel (S).

The additional feature of the Wikichart is something that would really be helpful for those interested in investigating the history of a stock as well as getting tips as when to sell and what news was released that had a bearing on a stock price going up or going down. Whether you are a casual follower of the stock market or a serious investor the information provided on stocks through Wikinvest could very well not only be of interest to you but helpful in your decision making process.

Social networking for financial smarts...

Sure it's fun to do social networking, to chat, to discuss topics, to make new friends and to catch up with the latest gossip. Imagine if you could do all of that yet have a place where you could get some great stock tips as well as financial advice. That's the basis behind MyWallSt.net, a place to social network but one to learn the latest gossip, hints and more about investing.

We all know it's not what you know it's who you know all too often and this gives you a chance to connect with people interested in investing, learn from what worked for them or what didn't work for them. Share what worked for you or what you predict and what did not work out quite as you would have wanted. Rather than wait for publications to come out with most of the information already passe by then, here's a way to stay current on what's hot in the world of investments, from fellow investors just like you.

MyWallSt.net is free to join, it's easy to navigate when it comes to the website and it's membership numbers are growing daily. Stop by and check it out and enjoy trading virtual money with real stock...

Online resource for those with less than perfect credit

There are many offers out there for credit card offers for people with bad credit. You could probably spend hours searching in various locations to try to find one that will meet your particular needs, which is why this online resource that contains offers for both unsecured credit offers and secured credit cards is a recommended site.

In addition to the credit card offers, there are many other resources listed from credit counseling to home loans. This gives you the ability to compare and to apply online...

Credit Card company in UK with a focus on ethics...

The Co-Operative Bank takes a different tack when it comes to banking and providing credit cards, they offer the "usual fare" of selection between a zero interest credit card for an introductory period of time, and a standard credit card with a competitive interest rate, they also have a credit card that earns travel points. Online banking is available which is also becoming a standard in the credit card industry. Where the difference starts is their established policy on ethics, they have demonstrated through years in business that they put into practice what is stated. One example of their ethics policy is since 1998 they have not invested in any business involved in the extraction or production of fossil fuels. They also offer people the ability to donate to environmental and social organizations with their Affinity credit card. This means with every purchase made a donation is made to the organization/organization of your choice, whether it be Amnesty International or Hospice.

Great credit offers in the UK...

For those of you who are residents of the UK, it's easy to get more from a Mint credit card, especially right now. Mint through the The Royal Bank of Scotland is offering some special introductory rates for you to select from, such as 0% interest until April 2008, no interest on balance transfers for 13 months. Mint also offers a 56 day grace period for purchases, online account management and the ability to manage your account through your cell phone text message software. Account management does not get much easier than that...

There are other advantages to going Mint, like special discounts to card members for everything from chocolate easter eggs to the Wine Club in association with Laithwaites that you can receive as a Mint card holder. If you don't have the Mint in your hands? Head on over and check out these introductory rates and you could save a mint...

Consumer Comfort Index still low...

Economic pessimism is still in negative territory in the Consumer Comfort Index as just release. It's being stated that it is the lowest in two years with fifty-seven percent of Americans now say the economy is getting worse compared to 34% at the beginning of the year. If you want to read even more details on this I suggest visiting the Washington Post/ABC News Post.

Once upon a time I had good credit...

There was a time years ago when I did have very good credit. A few major life events later such as a loss of a job then a divorce created a situation where not only did I not have good credit anymore but I was in debt. My husband at the time was not interested in debt consolidation, he opted to file for bankruptcy. I did not, not realizing at the time that while he became free and clear of all of that debt, that creditors would come after me for all of the money owed. I decided to opt for credit counseling as a way to get credit card debt help. It took a very long time to be able to get most of that old debt taken care of and deal with new additional medical bills at the same time.

Since I did not own a home, the option of a home equity loan was not open for me as a solution. Eventually I'll get to the good credit stage again, a much wiser and smarter consumer when I do get there. I learned quite a bit during those years and the hit to my pride and my self-esteem in needing help from friends and family is a huge motivation to be able to succeed. While they were all great about it, that feeling of failure was hard to shake. I highly recommend that if you are experiencing problems with debt that you address it now rather than wait. I know better than anyone the tendency to put it off since it is so overwhelming you think you can't solve it, but at times a solution is possible and Debt Help could assist you in finding that solution.