I'm proud to inform you that your previous contributor has been kidnapped. CRASS CASH is now running this website! I'm here to tell you everything that you don't want to hear about what an awful financial advisor you are to yourself. I'm like the personal trainer that you hired to call and wake you up at 5AM to see where the hell you are since you're not at the gym "you fat lazy maggot"!
Let's get to work!
1. Fifty percent of Americans have less than one month’s income saved for a rainy day. Top personal finance advisors will tell you – and especially drawing from lessons in the economic crisis to have at least six months income saved, just in case.
2. The average student loan is US$23,186. Americans collectively owe more than US$875 billion on student loans – which is more than the nation’s credit card debt. The student loan debt in the US increases at a rate of US$2,853.88 per second.
3. Fifty-six percent of people have no idea that their credit score is the most important factor for applying for a mortgage, car loan and new credit card. This is now even starting to affect people's employability. A good credit score is above 700, only 58 percent of Americans scored above 700. The national average credit score is 692.
4. The vast majority of people's net worth is tied up in their home, not cash generation investments.
5. You spend 12-18 percent more when you swipe your card than when you use cash. McDonalds observed their average transactions rose from $4.50 to $7 when customers were allowed to use credit cards to make their purchase instead of cash. Research conducted revealed people spend more when they use their cards even if they paid off their credit card balance each month. I've seen more research on this that suggest people spend upwards of 50% more than they otherwise would.
6. You can save $112,000 over a lifetime by bringing your lunch to work.
7. According to Money magazine's audience poll:
- Forty-three percent of readers who lent money to family of friends weren’t paid back in full, 27 percent hadn’t received a dime.
- Sixty-one percent of Americans live paycheck to paycheck, up from 49 percent last year – more than one in five earn US$100K or more.
8. Thirty-two percent of home loan applications were rejected last year. Showing just how many of you, are really financially responsible enough to be considered for the responsibility (and eligibility) of a mortgage.
9. There were 159 million credit card holders in the US in 2000. In 2010 that figure is expected to grow to 181 million. Despite the harsh lessons learnt during the economic crisis, people continue to apply for credit cards – and banks continue handing them out. This isn't bad if you're disciplined enough to pay it off each month, but most people don't.
10. In 2008, US credit card debt reached $973 billion. The average credit debt per household was $8,329. How does your household debt compare?
11. 15% of Americans have no health insurance. Anybody who doesn't even have at least a catastrophic plan is leaving themselves open to a potentially financial catastrophe that could lead them to bankruptcy.
12. Two-thirds of Americans don't have enough to retire until their death. Meaning that at some point when they're too old to work, they will run out of money.
If any of this applies to you, then you need some financial pain in your life. And I'm just the person to give it to you!
ALL HAIL CRASS CASH!