1 00:00:00,080 --> 00:00:01,320 Speaker 1: Welcome to Had of Money. 2 00:00:01,400 --> 00:00:04,480 Speaker 2: I'm Joel, I'm Matt, and today we're talking about credit 3 00:00:04,519 --> 00:00:21,160 Speaker 2: score supremacy, avoiding alts and points in purgatory. 4 00:00:27,280 --> 00:00:30,240 Speaker 1: Look at hu Jewel alliteration on point. Today with our 5 00:00:30,240 --> 00:00:32,960 Speaker 1: Friday Flight to the Max, our weekly roundup of the 6 00:00:33,000 --> 00:00:35,240 Speaker 1: news stories that we came across this week and specifically 7 00:00:35,360 --> 00:00:37,479 Speaker 1: the ones we think you should pay attention to and 8 00:00:37,479 --> 00:00:39,960 Speaker 1: how it's going to impact your wallet. We hope everyone 9 00:00:40,040 --> 00:00:44,200 Speaker 1: is staying warm out there. It's like nationwide sub zero 10 00:00:44,440 --> 00:00:45,559 Speaker 1: or sub freezing temperature. 11 00:00:45,600 --> 00:00:49,120 Speaker 2: Most of the kid is in California, which geez hearts 12 00:00:49,120 --> 00:00:51,000 Speaker 2: go out to all our friends and one impacted out 13 00:00:51,040 --> 00:00:51,839 Speaker 2: there listeners out there. 14 00:00:51,920 --> 00:00:54,120 Speaker 1: Yeah, well, I was going to say, so, we've we 15 00:00:54,200 --> 00:00:57,920 Speaker 1: talked recently about my sort of close phone versus open 16 00:00:57,960 --> 00:01:00,240 Speaker 1: cell spray poam, you know, with a with a house 17 00:01:00,280 --> 00:01:02,680 Speaker 1: and all that insulation. Yeah, yeah, all of that. I 18 00:01:02,680 --> 00:01:04,520 Speaker 1: don't want to talk about that. I've got another sort 19 00:01:04,520 --> 00:01:09,600 Speaker 1: of insulation breakthrough a lot of research trying to figure 20 00:01:09,640 --> 00:01:11,840 Speaker 1: this thing out, especially now when it's so cold in 21 00:01:11,840 --> 00:01:14,640 Speaker 1: the house and you can feel the cold through the floors. Man. 22 00:01:14,880 --> 00:01:18,080 Speaker 1: And so I've been considering getting our cross space in 23 00:01:18,120 --> 00:01:20,600 Speaker 1: the existing part of the home spray phoned because that's 24 00:01:20,600 --> 00:01:22,959 Speaker 1: something folks do they anyway. 25 00:01:22,720 --> 00:01:25,160 Speaker 2: Especially just for comfort. Like I know it will reduce 26 00:01:25,160 --> 00:01:29,360 Speaker 2: your energy bills, but it will also just make your feet. 27 00:01:29,400 --> 00:01:32,199 Speaker 1: Yeah, absolutely, it makes it. It just insulates that cross 28 00:01:32,200 --> 00:01:34,120 Speaker 1: space even more. But I got to thinking about it, 29 00:01:34,120 --> 00:01:35,640 Speaker 1: and I'm not going to do it. And here's why. 30 00:01:35,680 --> 00:01:38,840 Speaker 1: Because I came across honestly a bunch of different articles. 31 00:01:39,080 --> 00:01:43,880 Speaker 1: But cinderblock has a fairly high R value value or whatever, like, 32 00:01:43,920 --> 00:01:46,319 Speaker 1: it's fairly insulated. And on top of that, you consider 33 00:01:46,360 --> 00:01:47,880 Speaker 1: the fact that there's like a foam board on the 34 00:01:47,920 --> 00:01:51,400 Speaker 1: outside of that, then an air gap and then brick. Well, 35 00:01:51,560 --> 00:01:54,880 Speaker 1: all that equals to a fairly insulated cross space. You 36 00:01:54,880 --> 00:01:56,320 Speaker 1: don't need ad more. So you don't need to do 37 00:01:56,320 --> 00:01:58,960 Speaker 1: that leak. You could, but you don't. It's not necessary, 38 00:01:58,960 --> 00:02:00,680 Speaker 1: I guess, is what I'm saying. And that got me. 39 00:02:00,760 --> 00:02:02,720 Speaker 1: Might be overkill. It might be overkilled. But then I've 40 00:02:02,720 --> 00:02:04,600 Speaker 1: got to ask myself, well, why is the cross space 41 00:02:04,680 --> 00:02:10,040 Speaker 1: so cold? So here's my insulation breakthrough or my insulation realization, jol, 42 00:02:10,240 --> 00:02:12,560 Speaker 1: which is that the very cross space. Did you like 43 00:02:12,600 --> 00:02:15,640 Speaker 1: that the cross space door that I was going through 44 00:02:16,200 --> 00:02:19,760 Speaker 1: is not insulated, and so I looked it up. Guess 45 00:02:19,800 --> 00:02:23,040 Speaker 1: what the R value is of a half inch piece 46 00:02:23,160 --> 00:02:26,720 Speaker 1: of plywood of OSB gotta be minimal? It is less 47 00:02:27,040 --> 00:02:29,960 Speaker 1: is less than one? Okay, So basically I've got a 48 00:02:30,560 --> 00:02:32,640 Speaker 1: You know, most folks, if you've got a brick house, 49 00:02:32,680 --> 00:02:34,919 Speaker 1: like you have a fairly well insulated cross space that's 50 00:02:34,960 --> 00:02:36,280 Speaker 1: for all the cold air is coming in. But it's 51 00:02:36,280 --> 00:02:38,240 Speaker 1: like there's not even a door on there, like the 52 00:02:38,240 --> 00:02:40,240 Speaker 1: cold air is just pouring in. And it makes so 53 00:02:40,320 --> 00:02:43,400 Speaker 1: much sense because in the on our main level of 54 00:02:43,440 --> 00:02:46,079 Speaker 1: the house, like that is the coldest section and that's 55 00:02:46,080 --> 00:02:47,600 Speaker 1: one of the things where it's like, man, why is 56 00:02:47,600 --> 00:02:49,560 Speaker 1: it It's just so cold down here? It's not actually 57 00:02:49,960 --> 00:02:51,840 Speaker 1: that cold in other parts of the main floor, but 58 00:02:51,919 --> 00:02:54,760 Speaker 1: that portion of the house near the laundry room, oh, 59 00:02:54,800 --> 00:02:57,360 Speaker 1: which happens to be where the cross space access is. 60 00:02:57,400 --> 00:02:59,440 Speaker 1: My question for you, then, is I going to insulate 61 00:02:59,440 --> 00:03:00,959 Speaker 1: that door? Yeah? Better believe it. 62 00:03:01,320 --> 00:03:04,120 Speaker 2: Is it similar though to when you have like attic 63 00:03:04,280 --> 00:03:06,160 Speaker 2: access and people will put those I've got one of 64 00:03:06,160 --> 00:03:10,080 Speaker 2: those zipper like et space hats. 65 00:03:10,160 --> 00:03:12,200 Speaker 1: Yeah, basically is that what they put on the cross 66 00:03:12,200 --> 00:03:14,520 Speaker 1: space door. I've only minimally looked into it, but I 67 00:03:14,560 --> 00:03:17,040 Speaker 1: know that I am at least going to put some 68 00:03:17,200 --> 00:03:19,520 Speaker 1: foam back or board, which adds a little bit. But 69 00:03:19,560 --> 00:03:22,679 Speaker 1: I'm also considering They sell these different canister kits even 70 00:03:22,720 --> 00:03:26,400 Speaker 1: at home depot, where it's much more affordable and you 71 00:03:26,440 --> 00:03:29,840 Speaker 1: can it's a spray foam application, and I'm thinking about 72 00:03:29,960 --> 00:03:33,080 Speaker 1: buying one of those consumer grade spray foam application kits, 73 00:03:33,680 --> 00:03:36,040 Speaker 1: going in the cross space, putting a mask on, shutting 74 00:03:36,040 --> 00:03:38,400 Speaker 1: the door and spraying over it, springing the back of 75 00:03:38,440 --> 00:03:41,400 Speaker 1: the door, yeah, letting it cure, and then cutting my 76 00:03:41,440 --> 00:03:43,920 Speaker 1: way out essentially just with like a razor blade. So 77 00:03:43,960 --> 00:03:47,400 Speaker 1: it's still really half home improvement half escape room. Yeah, 78 00:03:47,560 --> 00:03:49,480 Speaker 1: it's really tight because you don't That's that's one of 79 00:03:49,520 --> 00:03:54,000 Speaker 1: the other issues with actual air leaks that can come sometimes. 80 00:03:54,040 --> 00:03:56,760 Speaker 1: It's not just insulation, is the fact that like, hey, 81 00:03:56,800 --> 00:03:58,760 Speaker 1: if you can see a gap, if you can see 82 00:03:58,760 --> 00:04:02,520 Speaker 1: sky out from your cross space, there's cold air obviously 83 00:04:02,560 --> 00:04:05,120 Speaker 1: getting in there. But anyway, all that to say, this 84 00:04:05,280 --> 00:04:08,080 Speaker 1: is a way to avoid spending thousands of dollars on 85 00:04:08,360 --> 00:04:10,960 Speaker 1: an encapsulation which you may not need. Instead, I'm going 86 00:04:11,040 --> 00:04:15,560 Speaker 1: to take this low cost budget approach to finding the 87 00:04:15,560 --> 00:04:18,240 Speaker 1: most low hanging fruit, and man, that cross based door 88 00:04:18,320 --> 00:04:20,880 Speaker 1: is one hundred percent the lowest hanging fruit when it 89 00:04:20,880 --> 00:04:22,440 Speaker 1: comes to keeping that space warm. 90 00:04:22,640 --> 00:04:25,080 Speaker 2: Well, let us know how it goes and how it 91 00:04:25,200 --> 00:04:28,360 Speaker 2: changes kind of your environment near where that door is 92 00:04:28,440 --> 00:04:29,080 Speaker 2: in your main. 93 00:04:29,000 --> 00:04:31,279 Speaker 1: To man, it has to yeah, but that Yeah, you're right. 94 00:04:31,440 --> 00:04:32,320 Speaker 1: I'm really hopeful a. 95 00:04:32,279 --> 00:04:34,400 Speaker 2: Small amount of DIY I think could save you a 96 00:04:34,400 --> 00:04:36,360 Speaker 2: lot of money and get you where you want to 97 00:04:36,400 --> 00:04:37,680 Speaker 2: go without overdoing it. 98 00:04:37,800 --> 00:04:39,640 Speaker 1: Yeah. And that's why I was thinking the phone backer 99 00:04:39,680 --> 00:04:41,039 Speaker 1: board because I was thinking, you know what, I could 100 00:04:41,040 --> 00:04:44,320 Speaker 1: even cut it to be slightly larger than the actual door. Yeah, 101 00:04:44,360 --> 00:04:46,919 Speaker 1: and that's that's really affordable, right, just a piece of whatever. 102 00:04:47,200 --> 00:04:49,080 Speaker 1: Maybe I'll even double it up, I don't know. Yeah, 103 00:04:49,120 --> 00:04:51,080 Speaker 1: but sticking that on, they're making it slightly larger that way, 104 00:04:51,080 --> 00:04:54,320 Speaker 1: when it closes, it's like it overlaps the crack in 105 00:04:54,360 --> 00:04:55,960 Speaker 1: the door. To sure, Oh you know what I'm saying. 106 00:04:57,160 --> 00:04:59,200 Speaker 2: I think that because there's always a game plywood there. 107 00:04:59,240 --> 00:05:01,440 Speaker 2: It's not there's always a little gap there. It seems 108 00:05:01,480 --> 00:05:02,880 Speaker 2: like exactly, that's a good way to fix that. 109 00:05:02,920 --> 00:05:04,360 Speaker 1: Anyway. I wanted to share that with all the folks 110 00:05:04,400 --> 00:05:06,520 Speaker 1: out there. Who might be thinking something similar where they're like, man, 111 00:05:06,560 --> 00:05:08,960 Speaker 1: my feet are so cold, how do we how do 112 00:05:09,000 --> 00:05:11,039 Speaker 1: we fix this? Yeah, this might be a solution. I 113 00:05:11,120 --> 00:05:14,160 Speaker 1: like it. I like it. And that's enough house talk. Yeah, 114 00:05:14,200 --> 00:05:17,840 Speaker 1: enough enough house which that truly is like our favorite channel. Now. 115 00:05:17,880 --> 00:05:19,920 Speaker 1: I have that set up a really on the same 116 00:05:20,040 --> 00:05:22,040 Speaker 1: because the same sung It's got all these free channels 117 00:05:22,080 --> 00:05:25,080 Speaker 1: included H and whatever you turn the TV on, it 118 00:05:25,080 --> 00:05:27,640 Speaker 1: always goes to some default channel, and so I always 119 00:05:27,680 --> 00:05:30,480 Speaker 1: have it set there because I love seeing all these 120 00:05:30,480 --> 00:05:34,120 Speaker 1: home improvement projects. It's like classic Americana. I love it. 121 00:05:34,160 --> 00:05:36,200 Speaker 1: I think most people here talk like this or they 122 00:05:36,200 --> 00:05:38,839 Speaker 1: think about having to do something like this themselves on 123 00:05:38,880 --> 00:05:41,680 Speaker 1: their own home, and they just get bummed out. I 124 00:05:41,720 --> 00:05:44,400 Speaker 1: get stoked. Yeah, you love home promos. 125 00:05:44,480 --> 00:05:46,039 Speaker 2: I'm like most of the people listening who are like, 126 00:05:46,400 --> 00:05:49,800 Speaker 2: let's screw that. They're not terribly interested. But let's move 127 00:05:49,839 --> 00:05:51,320 Speaker 2: on with a Friday flight mass that to talk about 128 00:05:51,440 --> 00:05:54,080 Speaker 2: let's do them home. Let's talk about cars. Turns out 129 00:05:54,400 --> 00:05:57,440 Speaker 2: January is the best time to buy a used car. 130 00:05:57,560 --> 00:05:59,560 Speaker 2: This is according to our friends over at car Edge. 131 00:05:59,600 --> 00:06:01,640 Speaker 2: You know, we have had Ray and Zach on the 132 00:06:01,680 --> 00:06:05,520 Speaker 2: show last year and they provided a lot of great 133 00:06:05,600 --> 00:06:08,160 Speaker 2: advice when it comes to shopping for cars and getting 134 00:06:08,200 --> 00:06:10,359 Speaker 2: the best price. Well, the reasons that January is the 135 00:06:10,360 --> 00:06:12,520 Speaker 2: best time to buy a used car is because there 136 00:06:12,560 --> 00:06:15,880 Speaker 2: are more trade ins on the lot, because you know, 137 00:06:15,920 --> 00:06:18,080 Speaker 2: people upgrading their car, buying the new car, trading in 138 00:06:18,120 --> 00:06:20,400 Speaker 2: their old car in December, that's a popular time to do. 139 00:06:20,440 --> 00:06:22,920 Speaker 2: That makes sense for used cars now in abundance. 140 00:06:23,000 --> 00:06:24,440 Speaker 1: That was one of the things they said was that 141 00:06:24,480 --> 00:06:26,400 Speaker 1: you get a good deal at the end of the month, 142 00:06:26,440 --> 00:06:27,920 Speaker 1: you get a better deal at the end of the quarter. 143 00:06:28,000 --> 00:06:30,400 Speaker 1: You get the best deals at the end of the year. Yeap. 144 00:06:30,520 --> 00:06:32,360 Speaker 2: So if you want to buy a new car, e 145 00:06:32,440 --> 00:06:35,880 Speaker 2: might want to wait eleven and a half months. Within 146 00:06:36,279 --> 00:06:38,839 Speaker 2: Spring actually is typically when people start to look to 147 00:06:38,920 --> 00:06:43,200 Speaker 2: upgrade their used car ride too often because of a 148 00:06:43,279 --> 00:06:46,000 Speaker 2: tax refund cash infusion. So we're in this sweet spot 149 00:06:46,040 --> 00:06:48,960 Speaker 2: where there's an abundance of used cars and not all 150 00:06:49,000 --> 00:06:52,760 Speaker 2: that many people looking. Car prices Obviously they fluctuate according 151 00:06:52,800 --> 00:06:55,800 Speaker 2: to supply and demand, and so supplies high demand isn't 152 00:06:56,040 --> 00:06:57,640 Speaker 2: so basically for. 153 00:06:57,600 --> 00:06:58,200 Speaker 1: Everyone out there. 154 00:06:58,200 --> 00:07:00,680 Speaker 2: If you're like I'm looking for a used car, I 155 00:07:00,720 --> 00:07:02,680 Speaker 2: don't know when I'm going to start, well, now it 156 00:07:02,800 --> 00:07:05,320 Speaker 2: might be the best time actually, and it might even 157 00:07:05,320 --> 00:07:08,520 Speaker 2: be a good time to consider an electric vehicle, specifically 158 00:07:08,560 --> 00:07:11,480 Speaker 2: from rental car company Hurts. They bought Oh yeah, we've 159 00:07:11,520 --> 00:07:13,160 Speaker 2: talked about this before, Maat, but this continues to be 160 00:07:13,160 --> 00:07:15,239 Speaker 2: a problem for them. They bought a ton of Teslas, 161 00:07:15,280 --> 00:07:16,800 Speaker 2: they weren't able to rent them out in the numbers 162 00:07:16,800 --> 00:07:19,600 Speaker 2: that they hoped, and they're even I saw it. I 163 00:07:19,600 --> 00:07:22,560 Speaker 2: think it was in Jelopnik. They're even soliciting people who 164 00:07:22,640 --> 00:07:25,400 Speaker 2: just rent an EV. Now they're telling them at the 165 00:07:25,440 --> 00:07:27,200 Speaker 2: end of the rental period, hey, do you actually want 166 00:07:27,240 --> 00:07:28,680 Speaker 2: to buy this car. Here's what we'll sell it to 167 00:07:28,680 --> 00:07:30,520 Speaker 2: you for. You don't even need to take your things out, 168 00:07:30,600 --> 00:07:33,040 Speaker 2: just to just keep on driving. Really really incredible, Like 169 00:07:33,120 --> 00:07:35,160 Speaker 2: Hurts really wants to get rid of some of these 170 00:07:35,440 --> 00:07:38,080 Speaker 2: Teslas and other evs that they bought. Wow, their loss 171 00:07:38,120 --> 00:07:39,920 Speaker 2: could be your gain. It's at least worth taking a 172 00:07:40,040 --> 00:07:42,240 Speaker 2: look to see. But I mean some of those cars 173 00:07:42,400 --> 00:07:45,760 Speaker 2: are priced at sub twenty thousand dollars. That's not bad 174 00:07:45,840 --> 00:07:47,600 Speaker 2: for like an EV if it's in good condition. 175 00:07:47,720 --> 00:07:49,680 Speaker 1: Absolutely, And it makes sense that they're wanting to unload 176 00:07:49,680 --> 00:07:52,200 Speaker 1: these because like if you think about it. If you 177 00:07:52,360 --> 00:07:54,120 Speaker 1: let's say you're a business traveler and you're just flying 178 00:07:54,160 --> 00:07:57,040 Speaker 1: into a city for the day, You're not thinking about like, 179 00:07:57,080 --> 00:07:58,360 Speaker 1: you don't want to have to learn how to drive 180 00:07:58,400 --> 00:08:00,120 Speaker 1: an EV you don't want to have to learn the 181 00:08:00,160 --> 00:08:01,640 Speaker 1: ins and outs of a tesla if that's not what 182 00:08:01,720 --> 00:08:03,720 Speaker 1: you typically drive. You want something that you're used to. 183 00:08:03,960 --> 00:08:06,200 Speaker 1: You're going to get to work or the office wherever 184 00:08:06,240 --> 00:08:08,320 Speaker 1: you're visiting. I don't know how this works, make your 185 00:08:08,360 --> 00:08:10,120 Speaker 1: sales calls or something like that. You don't don't have 186 00:08:10,160 --> 00:08:12,640 Speaker 1: to find a place to charge. No, Yeah, And when 187 00:08:12,640 --> 00:08:15,760 Speaker 1: it comes to if it is an overnight trip, where 188 00:08:15,800 --> 00:08:18,040 Speaker 1: are you typically staying. Most folks are staying at a hotel, 189 00:08:18,320 --> 00:08:21,120 Speaker 1: but how many of those give you the ability to charge? 190 00:08:21,160 --> 00:08:23,200 Speaker 1: I mean, is not that easy. And this is something 191 00:08:23,240 --> 00:08:25,800 Speaker 1: Kate and I learned firsthand when we went out to Colorado. 192 00:08:26,160 --> 00:08:27,960 Speaker 1: I wanted to try out the tesla and I was like, man, 193 00:08:27,960 --> 00:08:29,400 Speaker 1: it's kind of a pain in the butt actually to 194 00:08:29,440 --> 00:08:32,000 Speaker 1: stay at a condo where I can't charge the thing. 195 00:08:32,000 --> 00:08:35,280 Speaker 1: And we were forced to find the superchargers, which was 196 00:08:35,320 --> 00:08:39,040 Speaker 1: fairly easy, but still budgeting the time to because you 197 00:08:39,080 --> 00:08:41,120 Speaker 1: still have to sit there while it's charging, even on 198 00:08:41,160 --> 00:08:43,600 Speaker 1: a supercharger, and the cost it was just as expensive 199 00:08:43,640 --> 00:08:45,920 Speaker 1: as gasoline. Yeah, and that's why it's better to own. 200 00:08:46,400 --> 00:08:48,600 Speaker 1: It makes a ton of rent. All the advantage is 201 00:08:48,600 --> 00:08:50,960 Speaker 1: being able to drive it home, pulled into your garage 202 00:08:51,080 --> 00:08:54,160 Speaker 1: and do that slow basic charge. That's where the real 203 00:08:54,160 --> 00:08:57,320 Speaker 1: savings come in. Absolutely, No, the real savings is buying 204 00:08:57,720 --> 00:08:59,920 Speaker 1: not a new car but a used car. Because the 205 00:09:00,120 --> 00:09:02,760 Speaker 1: average price of a new car these asual is it's 206 00:09:02,760 --> 00:09:06,280 Speaker 1: still close to fifty thousand dollars, which is it's difficult 207 00:09:06,280 --> 00:09:07,360 Speaker 1: for me to wrap my mind around. 208 00:09:07,360 --> 00:09:09,080 Speaker 2: I want to say, if I'm recalling correctly, is like 209 00:09:10,200 --> 00:09:12,120 Speaker 2: and seventy three dollars average price for a new car 210 00:09:12,360 --> 00:09:13,359 Speaker 2: so expensive. 211 00:09:13,480 --> 00:09:17,160 Speaker 1: Twenty percent of buyers now have a monthly payment of 212 00:09:17,160 --> 00:09:20,840 Speaker 1: one thousand dollars or more. And certainly some of this 213 00:09:20,960 --> 00:09:23,920 Speaker 1: we can blame on inflation, but that's only a part 214 00:09:23,960 --> 00:09:27,360 Speaker 1: of it. Felix Salmon over at Axios. He highlights that 215 00:09:27,440 --> 00:09:31,200 Speaker 1: our tastes they account for most of the price increased. 216 00:09:31,200 --> 00:09:34,600 Speaker 1: We like nice things or less content with compacts in 217 00:09:34,640 --> 00:09:37,560 Speaker 1: sedans than we used to be, and upgrading to the 218 00:09:37,720 --> 00:09:41,000 Speaker 1: suv or upgrading to that truck. It costs dramatically more. 219 00:09:41,240 --> 00:09:42,920 Speaker 1: And so when you're thinking about your next car, just 220 00:09:42,960 --> 00:09:45,480 Speaker 1: keep that in mind. For some folks, a three to 221 00:09:45,640 --> 00:09:49,360 Speaker 1: row shuv maybe it is necessary. But if not, man, 222 00:09:49,440 --> 00:09:51,360 Speaker 1: a smaller car is going to save you a lot 223 00:09:51,400 --> 00:09:53,520 Speaker 1: more money in almost every way as well. 224 00:09:53,679 --> 00:09:56,439 Speaker 2: Yeah, I think that's really important to highlight, Matt. I 225 00:09:56,440 --> 00:09:58,240 Speaker 2: think a lot of it's like that Spider Man meme 226 00:09:58,320 --> 00:10:00,960 Speaker 2: where all the Spider Man are at each other. I 227 00:10:00,960 --> 00:10:02,880 Speaker 2: think it's really easy to point in inflation, but then 228 00:10:02,920 --> 00:10:05,199 Speaker 2: there's a finger pointing back at you, and it's like, well, 229 00:10:05,320 --> 00:10:07,680 Speaker 2: did you have to buy the biggest possible car on 230 00:10:07,720 --> 00:10:10,439 Speaker 2: the planet. And when you're talking about those big SUVs, 231 00:10:10,480 --> 00:10:13,800 Speaker 2: we're typically talking about seventy plus thousand dollars rides. And 232 00:10:13,840 --> 00:10:17,040 Speaker 2: so maybe you need it, maybe you don't, and if 233 00:10:17,040 --> 00:10:18,880 Speaker 2: you don't, you can save a lot of money. And 234 00:10:18,960 --> 00:10:22,000 Speaker 2: this coincides perfectly with something else I saw about the 235 00:10:22,040 --> 00:10:24,199 Speaker 2: amount of space that the average American has in their 236 00:10:24,200 --> 00:10:27,479 Speaker 2: home these days. The number of homes with extra bedrooms 237 00:10:27,640 --> 00:10:29,880 Speaker 2: just hitting all time high. So like we are gluttons 238 00:10:29,920 --> 00:10:34,240 Speaker 2: for space and we're expanding maybe even when we don't need. 239 00:10:34,120 --> 00:10:36,920 Speaker 1: To, or just such a facy rich nation yea, our 240 00:10:36,960 --> 00:10:39,959 Speaker 1: tastes have exceeded our pocket book. That's true, that's right, Yeah, 241 00:10:40,120 --> 00:10:42,400 Speaker 1: and so yes, similar to buying the larger car, that 242 00:10:42,520 --> 00:10:45,800 Speaker 1: extra space is going to cost you big time. Zillow 243 00:10:46,200 --> 00:10:50,199 Speaker 1: estimates that the average three bedroom home costs three hundred 244 00:10:50,200 --> 00:10:53,000 Speaker 1: and thirty six thousand dollars, but the average four bedroom 245 00:10:53,000 --> 00:10:55,959 Speaker 1: home costs four hundred and ninety six thousand dollars. That's 246 00:10:56,000 --> 00:10:58,400 Speaker 1: a more than one hundred and fifty thousand dollars difference, 247 00:10:58,440 --> 00:11:02,000 Speaker 1: which is substantial. And there's nothing wrong with having a 248 00:11:02,040 --> 00:11:04,319 Speaker 1: home office or having a guest room, right, having maybe 249 00:11:04,679 --> 00:11:06,320 Speaker 1: a little bit more room than you need. 250 00:11:06,400 --> 00:11:09,040 Speaker 2: But and especially you know post COVID more people working 251 00:11:09,040 --> 00:11:11,480 Speaker 2: from home, Like I get that you want a separate 252 00:11:11,520 --> 00:11:13,840 Speaker 2: space like that. But given that homes are one of 253 00:11:13,840 --> 00:11:16,840 Speaker 2: our most expensive purchases, it's important to go in eyes 254 00:11:16,880 --> 00:11:19,680 Speaker 2: wide open and know that buying a beastly home, one 255 00:11:19,679 --> 00:11:22,280 Speaker 2: that's maybe larger than you actually need, with space that 256 00:11:22,320 --> 00:11:24,840 Speaker 2: you're not going to put to use very well, it 257 00:11:24,880 --> 00:11:28,439 Speaker 2: comes with financial consequences. And Matt, I think sometimes people 258 00:11:28,440 --> 00:11:32,520 Speaker 2: think about, well, what about when the rare occurrences where 259 00:11:32,520 --> 00:11:34,679 Speaker 2: people are staying at your home yep, or maybe Hey, 260 00:11:34,720 --> 00:11:37,640 Speaker 2: the holidays just finished and you had someone staying at 261 00:11:37,679 --> 00:11:39,400 Speaker 2: your home for four or five days, and you're like, gosh, 262 00:11:39,559 --> 00:11:41,720 Speaker 2: don't want to live through those tight quarters again next 263 00:11:41,800 --> 00:11:45,520 Speaker 2: Christmas when it comes around, Well, maybe think about renting 264 00:11:45,520 --> 00:11:47,839 Speaker 2: that special person in your life, your parents or whoever 265 00:11:47,880 --> 00:11:50,679 Speaker 2: they might be, renting them something around the corner. And 266 00:11:51,120 --> 00:11:53,240 Speaker 2: that is way cheaper you pay for it yourself, even 267 00:11:53,400 --> 00:11:56,079 Speaker 2: how much cheaper is that than renovating, adding on or 268 00:11:56,120 --> 00:11:57,400 Speaker 2: buying a new, bigger house. 269 00:11:57,200 --> 00:11:59,000 Speaker 1: Tens of thousands of dollars. And the same thing is 270 00:11:59,040 --> 00:12:01,040 Speaker 1: true when it comes to to vehicles. Like a common 271 00:12:01,080 --> 00:12:04,400 Speaker 1: thread between silk houses and autos is the fact that, 272 00:12:04,800 --> 00:12:07,760 Speaker 1: like we're planning for these edge case scenarios that rarely happen, 273 00:12:08,200 --> 00:12:11,800 Speaker 1: and we catastrophize what would happen if we were in need? Right, 274 00:12:11,880 --> 00:12:13,800 Speaker 1: and so like I'm thinking of like going back to 275 00:12:13,880 --> 00:12:15,599 Speaker 1: cars and trucks. Folks are like, well, I want to 276 00:12:15,640 --> 00:12:17,200 Speaker 1: have a truck because I want to be able to 277 00:12:17,240 --> 00:12:19,880 Speaker 1: pick up the new refrigerator because we're going to upgrade 278 00:12:19,920 --> 00:12:22,840 Speaker 1: our appliances or whatever. A couple of things here. First off, 279 00:12:22,960 --> 00:12:25,280 Speaker 1: Costco and Home Depot they all deliver. Yeah, so you 280 00:12:25,280 --> 00:12:27,920 Speaker 1: don't even need the truck. Secondly, if you actually do 281 00:12:28,120 --> 00:12:30,319 Speaker 1: need a pickup, well, for you could borrow it. But 282 00:12:30,400 --> 00:12:32,480 Speaker 1: let's say you don't have any friends with trucks. Okay, 283 00:12:32,600 --> 00:12:34,520 Speaker 1: you can still go to home depot and rent the 284 00:12:34,520 --> 00:12:37,520 Speaker 1: stupid truck for twenty bucks for a flatbed. And there's 285 00:12:37,520 --> 00:12:40,080 Speaker 1: a big difference between paying twenty twenty five bucks to 286 00:12:40,120 --> 00:12:43,600 Speaker 1: rent a pickup truck versus financing a seventy five thousand 287 00:12:43,640 --> 00:12:47,200 Speaker 1: dollars decked out whatever fancy pickup truck. That people are 288 00:12:47,200 --> 00:12:48,200 Speaker 1: spending so much money on this. 289 00:12:48,200 --> 00:12:51,280 Speaker 2: And it's I think it's just so easy to feel that, 290 00:12:51,480 --> 00:12:54,240 Speaker 2: especially in the aftermath of a visit like that, and say, 291 00:12:54,400 --> 00:12:55,679 Speaker 2: we got to do something about this house. 292 00:12:55,720 --> 00:12:58,000 Speaker 1: It's getting too tight. But is it really getting too tight? 293 00:12:58,080 --> 00:12:59,360 Speaker 1: Let's just sign up for some payments. Yeah. 294 00:12:59,360 --> 00:13:01,760 Speaker 2: And it's just interesting to see that Americans have gotten 295 00:13:01,760 --> 00:13:04,160 Speaker 2: accustomed to having more space than they actually need. Part 296 00:13:04,200 --> 00:13:06,480 Speaker 2: of that is increasing home sizes, part of that is 297 00:13:06,520 --> 00:13:08,959 Speaker 2: declining family sizes. It's kind of both of those things 298 00:13:09,000 --> 00:13:11,600 Speaker 2: happening simultaneously. But we used to get by with a 299 00:13:11,679 --> 00:13:14,000 Speaker 2: heck of a lot less space in this country, and 300 00:13:14,120 --> 00:13:16,440 Speaker 2: to think, I don't know the twenty five hundred square 301 00:13:16,440 --> 00:13:18,280 Speaker 2: foot house is getting pretty tight from my family of 302 00:13:18,320 --> 00:13:20,680 Speaker 2: three like that. I think that's the phenomenon that you 303 00:13:20,720 --> 00:13:22,120 Speaker 2: and I would love to combat a little here. 304 00:13:22,320 --> 00:13:27,160 Speaker 1: Absolutely, Joel's talk about debt, specifically medical debt, because it's 305 00:13:27,200 --> 00:13:30,160 Speaker 1: no longer going to show up on credit reports, or 306 00:13:30,679 --> 00:13:34,079 Speaker 1: actually will it, Joel, We will see. That's what That's 307 00:13:34,120 --> 00:13:36,040 Speaker 1: what all the headlines are saying. At least, it's another 308 00:13:36,240 --> 00:13:40,080 Speaker 1: political tug of war the outgoing Biden administration. They have 309 00:13:40,320 --> 00:13:43,400 Speaker 1: finalized a rule that is going to end the inclusion 310 00:13:43,800 --> 00:13:47,719 Speaker 1: of all medical debt on credit reports moving forward. We've 311 00:13:47,720 --> 00:13:50,520 Speaker 1: already seen the removal of sub five hundred dollars medical 312 00:13:50,600 --> 00:13:53,440 Speaker 1: bills from being reported to credit bureaus, which has helped 313 00:13:53,480 --> 00:13:56,680 Speaker 1: a lot of folks not have their scores crushed thanks 314 00:13:56,720 --> 00:13:58,560 Speaker 1: to just, you know, a minor bill that they couldn't 315 00:13:58,559 --> 00:14:00,880 Speaker 1: afford to pay, or even maybe that they forgot to pay. 316 00:14:01,480 --> 00:14:04,080 Speaker 1: But this much bigger rule change would mean that medical 317 00:14:04,120 --> 00:14:08,040 Speaker 1: debt of any size can no longer plague people on 318 00:14:08,080 --> 00:14:11,040 Speaker 1: the credit front, and it would impact close to fifteen 319 00:14:11,160 --> 00:14:15,400 Speaker 1: million people according to the CFPB. But I think it 320 00:14:15,440 --> 00:14:19,080 Speaker 1: is unlikely to stick because again of the way that 321 00:14:19,600 --> 00:14:22,880 Speaker 1: we arrived to this rule being implemented. It's not that 322 00:14:22,920 --> 00:14:26,600 Speaker 1: we don't feel for folks who have medical debt, certainly, but. 323 00:14:26,840 --> 00:14:30,280 Speaker 2: And it's not that the system doesn't have meaningful problems 324 00:14:30,320 --> 00:14:32,040 Speaker 2: with sure how medical debt. 325 00:14:32,080 --> 00:14:35,000 Speaker 1: Is, but the way you arrive at solving these problems 326 00:14:35,000 --> 00:14:37,800 Speaker 1: and matters a ton and to say, carte blanche, oh, 327 00:14:37,840 --> 00:14:39,480 Speaker 1: we're going to change the rules. We're going to change 328 00:14:39,480 --> 00:14:42,360 Speaker 1: the standards. As to the idea is that, well, everyone's 329 00:14:42,360 --> 00:14:44,800 Speaker 1: credit score is going to be boosted. But like, think 330 00:14:44,840 --> 00:14:47,240 Speaker 1: about the last time you had, like just think about 331 00:14:47,240 --> 00:14:49,600 Speaker 1: great inflation with teachers. What if a teacher says, hey, 332 00:14:49,800 --> 00:14:52,160 Speaker 1: I'm only going to give a's this semester, Well, guess 333 00:14:52,200 --> 00:14:55,000 Speaker 1: what that A no longer means anything because everybody got 334 00:14:55,000 --> 00:14:58,400 Speaker 1: an A. And so what do colleges then do. They're like, Okay, well, 335 00:14:58,400 --> 00:15:00,880 Speaker 1: we're actually looking for people that have high than A 336 00:15:00,920 --> 00:15:02,720 Speaker 1: four point zero. We're looking for the students out there, 337 00:15:02,760 --> 00:15:04,400 Speaker 1: they have the four point two to four point three 338 00:15:04,720 --> 00:15:07,880 Speaker 1: who are tacking on the ap classes. That's what I 339 00:15:07,880 --> 00:15:10,360 Speaker 1: see happening here is that there's not going to be 340 00:15:10,440 --> 00:15:13,080 Speaker 1: this sort of long term benefit to folks because lenders 341 00:15:13,080 --> 00:15:14,840 Speaker 1: are still going to cover their butts. They're still going 342 00:15:14,880 --> 00:15:17,760 Speaker 1: to find ways to filter through applicants that are out there, 343 00:15:17,800 --> 00:15:20,320 Speaker 1: and they want the best applicants who are looking to 344 00:15:20,360 --> 00:15:22,560 Speaker 1: take loans from banks and credit unilll. 345 00:15:22,560 --> 00:15:24,320 Speaker 2: The other thing is that this might be this might 346 00:15:24,360 --> 00:15:26,000 Speaker 2: not live for very long because it. 347 00:15:26,160 --> 00:15:27,720 Speaker 1: Is assuming the best that it is able to stick 348 00:15:27,760 --> 00:15:28,080 Speaker 1: around for. 349 00:15:28,160 --> 00:15:32,200 Speaker 2: Literally, you know, weeks away from transition to the next presidency, 350 00:15:32,240 --> 00:15:35,480 Speaker 2: the next administration, and this could be overturned and with 351 00:15:35,560 --> 00:15:39,120 Speaker 2: stroke of a pen. So when we don't arrive at 352 00:15:39,200 --> 00:15:43,560 Speaker 2: legislation in the proper way, which is typically through congressional action, 353 00:15:43,960 --> 00:15:47,800 Speaker 2: which they have been loath to work, it seems the 354 00:15:47,880 --> 00:15:50,920 Speaker 2: sort of back and forth politics and legislation that we've seen, 355 00:15:50,960 --> 00:15:55,120 Speaker 2: specifically from executive branches and administrations going back and forth, 356 00:15:55,520 --> 00:15:57,000 Speaker 2: we see more of that, and that means that these 357 00:15:57,040 --> 00:16:00,440 Speaker 2: changes aren't necessarily standing the test of time to stay. 358 00:16:00,520 --> 00:16:00,760 Speaker 1: Yeah. 359 00:16:00,840 --> 00:16:02,280 Speaker 2: Oh, and by the way, we have an episode go 360 00:16:02,320 --> 00:16:04,160 Speaker 2: back and listen in to episode seven sixteen if you 361 00:16:04,200 --> 00:16:08,000 Speaker 2: want to know how to fight back against medical debt again. Oh, 362 00:16:08,080 --> 00:16:10,920 Speaker 2: the system sucks, doctor Virgie. Doctor Virgie, she was wonderful 363 00:16:11,040 --> 00:16:16,040 Speaker 2: and the system is again not consumer friendly. The healthcare 364 00:16:16,080 --> 00:16:19,760 Speaker 2: system the health insurance system and then the reporting of 365 00:16:19,960 --> 00:16:22,960 Speaker 2: health debt to your credit report. But if you want 366 00:16:23,000 --> 00:16:24,400 Speaker 2: to know how to battle that in your life, you 367 00:16:24,400 --> 00:16:26,320 Speaker 2: got to stick up for yourself. Episode seven to sixteen 368 00:16:26,400 --> 00:16:27,600 Speaker 2: is for you. Will link to that in the show 369 00:16:27,600 --> 00:16:30,280 Speaker 2: notes And Matt this brings up too, you're kind of 370 00:16:30,280 --> 00:16:33,520 Speaker 2: getting at maybe how credit scores are becoming less relevant 371 00:16:33,920 --> 00:16:37,480 Speaker 2: if we're not taking into account certain factors for credit reports. 372 00:16:37,880 --> 00:16:41,240 Speaker 2: And I guess the importance of credit scores has been 373 00:16:41,560 --> 00:16:44,160 Speaker 2: widely debated in the personal finance community. Some people think 374 00:16:44,200 --> 00:16:46,200 Speaker 2: that they matter, other people would say that they don't. 375 00:16:46,400 --> 00:16:48,280 Speaker 2: Dave Ramsey in particular, is one of those guys who 376 00:16:48,320 --> 00:16:49,760 Speaker 2: would say, oh, he loves. 377 00:16:49,520 --> 00:16:52,200 Speaker 1: The I love debt score. That's what he calls it. 378 00:16:52,240 --> 00:16:54,120 Speaker 2: Heytes that thing, right, And you and I have said, well, no, 379 00:16:54,200 --> 00:16:56,160 Speaker 2: it's it's not the best thing in the world, but 380 00:16:56,560 --> 00:16:59,200 Speaker 2: it's smart to jump through the hoops to make sure 381 00:16:59,240 --> 00:17:02,880 Speaker 2: that your credit score stays solid. And so this Yahoo 382 00:17:02,920 --> 00:17:05,800 Speaker 2: Finance article detailed why you shouldn't listen to Dave Ramsey's 383 00:17:05,800 --> 00:17:08,920 Speaker 2: advice on living without a credit score, and we wholeheartedly 384 00:17:09,000 --> 00:17:12,879 Speaker 2: agree with it. The credit scoring system is flawed. The 385 00:17:12,960 --> 00:17:16,720 Speaker 2: credit bureaus are error prone and not great at responding 386 00:17:16,760 --> 00:17:19,440 Speaker 2: to your concerns. There was actually another lawsuit just filed 387 00:17:19,440 --> 00:17:23,520 Speaker 2: against TransUnion this week because guess what, they don't deal 388 00:17:23,520 --> 00:17:27,359 Speaker 2: with consumer complaints well at all. And that's phrasing it nicely. 389 00:17:27,680 --> 00:17:30,359 Speaker 2: But at the same time, you know, the game isn't 390 00:17:30,520 --> 00:17:32,480 Speaker 2: all that hard to play once you kind of dig 391 00:17:32,520 --> 00:17:35,720 Speaker 2: into the rules, and not playing the game of trying 392 00:17:35,720 --> 00:17:38,320 Speaker 2: to have a solid credit score makes your life harder. 393 00:17:39,080 --> 00:17:41,480 Speaker 2: You know, not tending to your credit score. It can 394 00:17:41,560 --> 00:17:44,560 Speaker 2: lead to higher mortgage rates, higher insurance costs in most 395 00:17:44,600 --> 00:17:47,119 Speaker 2: states around the country, to not getting a rental that 396 00:17:47,160 --> 00:17:50,240 Speaker 2: you're interested in getting if you know you are. Let's 397 00:17:50,240 --> 00:17:52,800 Speaker 2: say you're trying to go down the street and you say, oh, hey, 398 00:17:52,800 --> 00:17:54,679 Speaker 2: I want to apply to live at this property. Well, 399 00:17:54,720 --> 00:17:56,720 Speaker 2: the landlord might say, I don't know. Your credit score 400 00:17:56,800 --> 00:17:59,400 Speaker 2: is pretty rough. Sorry, you can't live here. So you're 401 00:17:59,440 --> 00:18:01,359 Speaker 2: only harming your self if you're not paying attention to 402 00:18:01,400 --> 00:18:03,760 Speaker 2: your credit score. And we've got resources on how to 403 00:18:03,840 --> 00:18:05,800 Speaker 2: money dot com about how to tend to your credit 404 00:18:06,160 --> 00:18:08,520 Speaker 2: But I think despite what Dave Ramsey says on this, 405 00:18:09,200 --> 00:18:12,679 Speaker 2: we advise caring about your credit score, even though he doesn't. 406 00:18:12,840 --> 00:18:16,120 Speaker 1: Yeah, but it's also possible to pay too much attention 407 00:18:16,400 --> 00:18:20,280 Speaker 1: to your credit score. The Journal documented someone someone who 408 00:18:20,320 --> 00:18:23,600 Speaker 1: is attempting to attain a perfect credit score. He was 409 00:18:23,640 --> 00:18:26,359 Speaker 1: already at eight forty, but guess what, Joel wasn't good enough. 410 00:18:27,000 --> 00:18:30,399 Speaker 1: He wanted the coveted eight fifty, and he achieved it. 411 00:18:30,440 --> 00:18:32,400 Speaker 1: One of those type A folks. I guess, yeah, through 412 00:18:32,480 --> 00:18:35,840 Speaker 1: some trial and air. But dude, this what a hollow victory. 413 00:18:35,880 --> 00:18:38,920 Speaker 1: Talk about like majoring in the minors. Maybe at the 414 00:18:38,960 --> 00:18:40,119 Speaker 1: end of the soul section, I'll ask you what your 415 00:18:40,160 --> 00:18:43,320 Speaker 1: credit score is, but I don't. Honestly, I don't know 416 00:18:43,400 --> 00:18:45,040 Speaker 1: right now. I know you don't know because it doesn't Honestly, 417 00:18:45,080 --> 00:18:47,520 Speaker 1: it doesn't even matter. I was anytime we talk about 418 00:18:47,560 --> 00:18:49,480 Speaker 1: credit score, I know it's good enough, so I'm always curious. 419 00:18:49,520 --> 00:18:51,000 Speaker 1: I'm like, all right, well, actually, where am I sitting 420 00:18:51,040 --> 00:18:53,320 Speaker 1: right now? Probably like maybe I'm guessing I'm like seven eighty. 421 00:18:53,359 --> 00:18:55,199 Speaker 1: I bet you're higher than that. Actually, But there are 422 00:18:55,280 --> 00:18:57,600 Speaker 1: a certain segment of Americans out there who seem to 423 00:18:57,640 --> 00:19:00,600 Speaker 1: be obsessing over the credit score to an unhell healthy degree. 424 00:19:00,600 --> 00:19:04,000 Speaker 1: But the truth is, anything above a seven sixty is fantastic. 425 00:19:04,040 --> 00:19:06,320 Speaker 1: And that's going to get you qualified for the best 426 00:19:06,359 --> 00:19:08,240 Speaker 1: loan terms out there. And so what we would say 427 00:19:08,320 --> 00:19:11,239 Speaker 1: is to it's kind of fun, right if you're just 428 00:19:11,320 --> 00:19:13,000 Speaker 1: like like the way I'm talking about it, be like, oh, 429 00:19:13,080 --> 00:19:14,200 Speaker 1: you just kind of keep an eye on it, and 430 00:19:14,240 --> 00:19:15,800 Speaker 1: it's kind of fun to be like, oh, yeah, actually 431 00:19:15,800 --> 00:19:19,200 Speaker 1: I'm ten points higher than you. But also, don't make 432 00:19:19,240 --> 00:19:21,400 Speaker 1: this slight if that's what you want to compare your friendships, 433 00:19:21,440 --> 00:19:23,680 Speaker 1: like like just some healthy competition, right, Like it makes 434 00:19:23,720 --> 00:19:25,480 Speaker 1: me think of that one time when we're like, all right, 435 00:19:25,520 --> 00:19:27,119 Speaker 1: where do we think Netflix is going to be at 436 00:19:27,160 --> 00:19:30,080 Speaker 1: the end of the year. We never followed up on that. Actually, yeah, 437 00:19:30,160 --> 00:19:32,320 Speaker 1: you remember that. This is like years ago when Netflix 438 00:19:32,359 --> 00:19:34,760 Speaker 1: tanked or whatever, and you and I we had a 439 00:19:34,760 --> 00:19:38,720 Speaker 1: small friendly wager, yeah on Netflix the price of their stock. 440 00:19:38,840 --> 00:19:41,160 Speaker 1: But don't take it too seriously. Don't waste your time 441 00:19:41,200 --> 00:19:43,520 Speaker 1: and energy trying to push your score way up above 442 00:19:43,960 --> 00:19:46,640 Speaker 1: anything that is actually going to move the needle when 443 00:19:46,640 --> 00:19:49,679 Speaker 1: it comes to the kind of loan terms that you 444 00:19:49,760 --> 00:19:52,080 Speaker 1: might be able to qualify for. Yeah, in the case 445 00:19:52,119 --> 00:19:55,360 Speaker 1: of your credit score, good enough is great, agreed. And 446 00:19:55,560 --> 00:19:57,840 Speaker 1: I think if you are kind of wondering where your 447 00:19:57,920 --> 00:20:00,040 Speaker 1: credit score stands. It's a good idea to get the 448 00:20:00,080 --> 00:20:01,960 Speaker 1: picture that you can typically get that from a credit 449 00:20:02,000 --> 00:20:03,960 Speaker 1: card company that you do business with, or you can 450 00:20:04,200 --> 00:20:06,320 Speaker 1: check out credit karma dot com. That's a good place 451 00:20:06,320 --> 00:20:06,800 Speaker 1: to kind. 452 00:20:06,640 --> 00:20:09,600 Speaker 2: Of not just get an idea of what your score is, 453 00:20:09,600 --> 00:20:11,359 Speaker 2: but then you can also they've got like the score 454 00:20:11,440 --> 00:20:14,560 Speaker 2: card that'll help you help highlight the places where you 455 00:20:14,600 --> 00:20:16,280 Speaker 2: can improve your credit. But again, if you're in that 456 00:20:16,640 --> 00:20:21,520 Speaker 2: seven to seventy plus range, don't sweat trying to raise 457 00:20:21,560 --> 00:20:24,639 Speaker 2: it significantly. And it was really interesting to see the 458 00:20:24,720 --> 00:20:26,480 Speaker 2: journey of this guy, Matt, trying to improve his score 459 00:20:26,520 --> 00:20:28,920 Speaker 2: to eight fifty and how much time and effort it took. 460 00:20:28,960 --> 00:20:31,159 Speaker 1: I feel bad for the guy. Yeah, Like, honestly, guess what, 461 00:20:31,280 --> 00:20:32,040 Speaker 1: like as a waste of. 462 00:20:31,960 --> 00:20:33,480 Speaker 2: Time, we only hear so many hours on this earth 463 00:20:33,560 --> 00:20:35,720 Speaker 2: does don't waste it thinking about a perfect credit score. 464 00:20:35,880 --> 00:20:38,200 Speaker 1: As I'm reading through that profile, and just like, dude, 465 00:20:38,200 --> 00:20:40,040 Speaker 1: there's so many better things you could be doing with 466 00:20:40,040 --> 00:20:42,120 Speaker 1: your life, but instead this is the thing that you've 467 00:20:42,240 --> 00:20:44,560 Speaker 1: chosen to obsess over. Yeah, but Joe, we got more 468 00:20:44,560 --> 00:20:46,560 Speaker 1: to get to more Friday Fly, We're gonna get to 469 00:20:46,800 --> 00:20:57,760 Speaker 1: points Purgatory and more. Right after the break our Matt, 470 00:20:57,760 --> 00:20:59,280 Speaker 1: we're back. Now it's time for. 471 00:20:59,359 --> 00:21:02,760 Speaker 2: The ludicrous headline of the week. This one comes from 472 00:21:02,800 --> 00:21:05,479 Speaker 2: the Wall Street Journal and the headline reads, You're invited 473 00:21:05,520 --> 00:21:09,520 Speaker 2: to Wall Street's private party. Say you're busy and more 474 00:21:09,520 --> 00:21:11,840 Speaker 2: and more is being written about alternative assets right now. 475 00:21:12,000 --> 00:21:16,119 Speaker 2: And Jason's Wyke, he's the investment columnist over there at 476 00:21:16,160 --> 00:21:19,080 Speaker 2: the Journal. He had a great piece on why we 477 00:21:19,600 --> 00:21:22,920 Speaker 2: should kind of give him the heisman, right, we don't 478 00:21:22,920 --> 00:21:27,200 Speaker 2: want alternative assets in our lives, in our portfolios, even 479 00:21:27,240 --> 00:21:30,959 Speaker 2: though financial advisors are pushing these alternative investments on us 480 00:21:31,000 --> 00:21:34,800 Speaker 2: as individual investors more than ever before. And there are 481 00:21:34,840 --> 00:21:37,639 Speaker 2: all sorts of ways now we've documented this on the 482 00:21:37,640 --> 00:21:40,879 Speaker 2: show in the past, for people, the average person to 483 00:21:41,080 --> 00:21:44,520 Speaker 2: invest that were essentially unavailable to previous generations. 484 00:21:44,680 --> 00:21:45,359 Speaker 1: We talked about. 485 00:21:45,400 --> 00:21:47,600 Speaker 2: And some of that's good, right, like the advent of 486 00:21:47,640 --> 00:21:51,560 Speaker 2: index funds in the seventies, Like that's a beautiful, wonderful 487 00:21:51,560 --> 00:21:54,960 Speaker 2: thing that makes it easier to invest. And then there 488 00:21:54,960 --> 00:21:58,760 Speaker 2: are other ways that you can easily invest, but in 489 00:21:58,920 --> 00:22:02,960 Speaker 2: products that might not makes sense for you, So wine, whiskey, 490 00:22:03,040 --> 00:22:06,240 Speaker 2: real estate. Those are some of the alternative assets that 491 00:22:06,280 --> 00:22:09,760 Speaker 2: people can now invest in. There's invest in farmland, farmland 492 00:22:09,840 --> 00:22:12,400 Speaker 2: anchor Trader Veno vest. I mean, there's all of these 493 00:22:12,440 --> 00:22:14,760 Speaker 2: websites out there that make it easy to invest in 494 00:22:14,880 --> 00:22:15,520 Speaker 2: all these different things. 495 00:22:15,560 --> 00:22:16,200 Speaker 1: Hey, why don't you. 496 00:22:16,119 --> 00:22:19,800 Speaker 2: Diversify your portfolio and invest in some farmland or some 497 00:22:20,000 --> 00:22:22,359 Speaker 2: art right stuff like that. And then it even got 498 00:22:22,400 --> 00:22:25,040 Speaker 2: pretty wild with NFTs and meme coins over the last 499 00:22:25,040 --> 00:22:27,440 Speaker 2: few years. And you can do this all like from 500 00:22:27,440 --> 00:22:30,040 Speaker 2: the comfort of your home and your PJS on a 501 00:22:30,040 --> 00:22:32,959 Speaker 2: slick looking website. So I think people are more tempted 502 00:22:33,320 --> 00:22:35,200 Speaker 2: or even just like some of the partial real estate 503 00:22:35,240 --> 00:22:38,280 Speaker 2: investing websites. Matt the crowdfunding real estate website. That's another 504 00:22:38,320 --> 00:22:42,400 Speaker 2: one that attracts people, and the accessibility I think makes 505 00:22:42,400 --> 00:22:46,080 Speaker 2: it seem normal or even good. But then these alternative 506 00:22:46,160 --> 00:22:50,600 Speaker 2: investment products come with often in small type, often in 507 00:22:50,640 --> 00:22:54,560 Speaker 2: places that are hard to find, significantly higher fees, yeah, 508 00:22:54,760 --> 00:22:58,960 Speaker 2: lots more risk, significantly less liquidity. And so I'm with 509 00:22:59,040 --> 00:23:02,840 Speaker 2: Jason's wig here. We don't believe that anybody out there 510 00:23:02,880 --> 00:23:06,720 Speaker 2: listening needs any alternative investments in their life in order 511 00:23:06,760 --> 00:23:09,800 Speaker 2: to be diversified, in order to build wealth wisely. In 512 00:23:09,800 --> 00:23:11,680 Speaker 2: In fact, I think a lot of people you're maybe 513 00:23:11,760 --> 00:23:14,000 Speaker 2: majoring on the miners, if you like, try to put 514 00:23:14,040 --> 00:23:15,640 Speaker 2: too much your focus in. They're kind of like trying 515 00:23:15,640 --> 00:23:17,560 Speaker 2: to get that perfect credit score. It's just not important. 516 00:23:17,760 --> 00:23:21,000 Speaker 1: Agreed. One small caveat is real estate, because that is 517 00:23:21,000 --> 00:23:22,840 Speaker 1: something that you and I are invested in, but not 518 00:23:23,200 --> 00:23:26,600 Speaker 1: this sort of crowdfunded approach to investing in real estate 519 00:23:26,600 --> 00:23:28,199 Speaker 1: I do. I think it's not even something that we 520 00:23:28,240 --> 00:23:30,760 Speaker 1: talk about all that all that often these days, Like 521 00:23:31,040 --> 00:23:32,840 Speaker 1: when's the last time you bought a house, Joel, Yeah, 522 00:23:33,119 --> 00:23:35,400 Speaker 1: it's been a minute. Like I haven't purchased a home 523 00:23:35,440 --> 00:23:38,639 Speaker 1: in the twenty twenties because well, my personal home. But 524 00:23:38,680 --> 00:23:41,040 Speaker 1: when it comes to an investment in real estate, because 525 00:23:41,040 --> 00:23:44,199 Speaker 1: the deals were back in the teams harder to come 526 00:23:44,240 --> 00:23:46,879 Speaker 1: by now. And if you already have a property, that's fine, 527 00:23:46,920 --> 00:23:48,920 Speaker 1: it's sure hang onto it, especially if you've got that 528 00:23:49,240 --> 00:23:51,280 Speaker 1: low interest rate mortgage rate baked into it. But for 529 00:23:51,400 --> 00:23:53,720 Speaker 1: somebody who is interested in growing their wealth right now 530 00:23:53,720 --> 00:23:55,760 Speaker 1: and they're just getting started, and that is not an 531 00:23:55,760 --> 00:23:57,879 Speaker 1: area I would say that you should be focusing on 532 00:23:58,359 --> 00:24:00,680 Speaker 1: unless it's something that you're really really passionate about it. 533 00:24:00,680 --> 00:24:03,080 Speaker 2: And I think there is a difference in my mind, 534 00:24:03,200 --> 00:24:08,080 Speaker 2: between owning long term real estate that you invest in 535 00:24:08,320 --> 00:24:11,600 Speaker 2: locally and you self manage or renting out a portion 536 00:24:11,720 --> 00:24:15,040 Speaker 2: of your house right short term rental style. There's a 537 00:24:15,040 --> 00:24:18,199 Speaker 2: big difference between that and between some of these alternative 538 00:24:18,200 --> 00:24:20,600 Speaker 2: investment styles, because there are advantages you can have as 539 00:24:20,600 --> 00:24:23,440 Speaker 2: a local real estate investor that you don't have when 540 00:24:23,440 --> 00:24:27,920 Speaker 2: you're investing via some of these other newfangled websites. And yeah, 541 00:24:27,960 --> 00:24:29,800 Speaker 2: there are higher fees in real estate, but there are 542 00:24:29,800 --> 00:24:32,920 Speaker 2: also advantages to real estate too that the index fund 543 00:24:32,920 --> 00:24:36,560 Speaker 2: investor just doesn't quite have. But yeah, I think that's 544 00:24:36,720 --> 00:24:38,399 Speaker 2: that's like the one exception I'll give to this. I 545 00:24:38,560 --> 00:24:42,040 Speaker 2: just don't I don't wrangle regular real estate investing, owning 546 00:24:42,080 --> 00:24:46,280 Speaker 2: other owning, owning more properties into the alternative investment sphere. 547 00:24:46,520 --> 00:24:48,680 Speaker 2: I think I'm talking about all these other things or 548 00:24:48,680 --> 00:24:51,320 Speaker 2: all these digital ways to invest that seem super sexy, 549 00:24:51,520 --> 00:24:54,840 Speaker 2: and they talk about and they tout magnified returns by 550 00:24:54,880 --> 00:24:57,920 Speaker 2: investing in art or watches or whatever, and hey, look 551 00:24:57,920 --> 00:25:00,840 Speaker 2: at what's happened with like watch valueations matt over the 552 00:25:00,880 --> 00:25:02,879 Speaker 2: past few years. Those have gone down. And it's been 553 00:25:02,920 --> 00:25:05,360 Speaker 2: said that, oh, Rolex watches, they only go up in value. 554 00:25:05,520 --> 00:25:06,480 Speaker 2: That's not so that's. 555 00:25:06,359 --> 00:25:08,760 Speaker 1: Not the case necessarily, the case stock market's been going up, 556 00:25:08,920 --> 00:25:10,800 Speaker 1: the value of your Rolex watch has gone down. Yeah, 557 00:25:10,840 --> 00:25:13,080 Speaker 1: I will say, if investing more is one of your 558 00:25:13,080 --> 00:25:16,160 Speaker 1: big goals for twenty twenty five, be careful which brokerage 559 00:25:16,160 --> 00:25:18,399 Speaker 1: firm that you choose to go with, because more of 560 00:25:18,440 --> 00:25:20,960 Speaker 1: the different uh, you know, as we're talking about apps here, 561 00:25:21,000 --> 00:25:23,640 Speaker 1: there are a lot more investment apps that are more 562 00:25:23,720 --> 00:25:27,360 Speaker 1: like traditional investing apps, but they are incentivizing risk these 563 00:25:27,440 --> 00:25:29,679 Speaker 1: days more than some of the big ones that we 564 00:25:29,720 --> 00:25:32,720 Speaker 1: are actually fans of. So it started with robin Hood, 565 00:25:32,760 --> 00:25:34,920 Speaker 1: of course, but they've actually gotten better since their inception, 566 00:25:35,400 --> 00:25:40,159 Speaker 1: while other newer companies have leaned harder in the gamification direction, 567 00:25:40,680 --> 00:25:43,679 Speaker 1: and new research shows that it is particularly effective at 568 00:25:43,680 --> 00:25:47,880 Speaker 1: getting younger investors with less investing knowledge to trade more frequently, 569 00:25:47,920 --> 00:25:50,880 Speaker 1: which of course leads to worse results. There's a study 570 00:25:50,960 --> 00:25:54,200 Speaker 1: that showed that the best performing portfolios were the unfortunately, 571 00:25:54,240 --> 00:25:56,000 Speaker 1: were those of people who had died and they hadn't 572 00:25:56,000 --> 00:25:58,720 Speaker 1: been touched. Because you're not getting in there and you're 573 00:25:58,760 --> 00:26:01,960 Speaker 1: not messing, you're not buying and selling at inopportune times, I. 574 00:26:01,920 --> 00:26:04,000 Speaker 2: Feel like you should reiterate that, because every time I 575 00:26:04,040 --> 00:26:06,760 Speaker 2: see that, it's it just it's kind of baffling. But 576 00:26:06,800 --> 00:26:08,919 Speaker 2: it makes a lot of sense, right that, like people 577 00:26:09,240 --> 00:26:12,000 Speaker 2: who aren't living can't tweak their portfolio so they do better. 578 00:26:12,040 --> 00:26:14,520 Speaker 1: The less active of an investor you are, the better 579 00:26:14,880 --> 00:26:16,919 Speaker 1: your results are going to be. And so instead of 580 00:26:16,960 --> 00:26:20,640 Speaker 1: realizing your potential behavioral biases and you know, and helping out, 581 00:26:21,000 --> 00:26:22,960 Speaker 1: some of these newer apps out there and some of 582 00:26:23,000 --> 00:26:28,520 Speaker 1: these newer platforms are exploiting your behavioral issues, your biases 583 00:26:28,880 --> 00:26:30,560 Speaker 1: because it's better for their bottom line to get you 584 00:26:30,600 --> 00:26:32,840 Speaker 1: to trade more often. And this is why the more 585 00:26:32,880 --> 00:26:35,800 Speaker 1: boring companies that we have always recommended, like Vanguard and 586 00:26:35,840 --> 00:26:38,840 Speaker 1: Fidelity are still great. And it's almost like a ride 587 00:26:38,840 --> 00:26:42,440 Speaker 1: of passage for younger investors to get sort of distracted 588 00:26:42,440 --> 00:26:45,520 Speaker 1: by the shiny, the novel, the sexy, the new, which 589 00:26:45,640 --> 00:26:48,320 Speaker 1: I almost want to be okay with because when you're younger, 590 00:26:48,359 --> 00:26:51,560 Speaker 1: you've got less money at risk, like the stakes are lower, 591 00:26:52,080 --> 00:26:53,959 Speaker 1: And part of me says, well, better to learn these 592 00:26:54,040 --> 00:26:58,560 Speaker 1: lessons now while you're younger with fewer zeros than you 593 00:26:58,600 --> 00:27:01,000 Speaker 1: know twenty thirty years from now. But of course The 594 00:27:01,000 --> 00:27:02,520 Speaker 1: reason we have the show is for people to learn 595 00:27:02,600 --> 00:27:05,040 Speaker 1: from our mistakes, to learn from other people, Like why 596 00:27:05,160 --> 00:27:07,200 Speaker 1: make the same mistakes that your parents have made when 597 00:27:07,240 --> 00:27:09,720 Speaker 1: you can learn your lessons like in a secondhand way. 598 00:27:09,760 --> 00:27:11,280 Speaker 1: But I think there are still going to be some 599 00:27:11,320 --> 00:27:14,840 Speaker 1: folks out there who might have to experience it. 600 00:27:14,880 --> 00:27:17,159 Speaker 2: Well, that's exactly what you marry. In our conversation with 601 00:27:17,240 --> 00:27:19,040 Speaker 2: Josh Brown, that's that was one of the things he 602 00:27:19,080 --> 00:27:21,480 Speaker 2: said was like, no, people should be like given the 603 00:27:21,640 --> 00:27:23,920 Speaker 2: chance to to screw up. And I think people should 604 00:27:23,920 --> 00:27:26,399 Speaker 2: certainly be given the chance to screw up, but I 605 00:27:27,080 --> 00:27:30,320 Speaker 2: wouldn't it be better to avoid it completely and to yeah, 606 00:27:30,400 --> 00:27:33,639 Speaker 2: learn from other people's beats, right, Yeah, So I agree, 607 00:27:33,680 --> 00:27:34,520 Speaker 2: that's why we have the show. 608 00:27:34,800 --> 00:27:36,560 Speaker 1: I guess that's what we're trying to advocate for. People 609 00:27:36,640 --> 00:27:39,919 Speaker 1: are still gonna meme, bros. Are still gonna meme, you know, 610 00:27:40,000 --> 00:27:41,480 Speaker 1: Like folks are still going to go out there and 611 00:27:41,560 --> 00:27:42,360 Speaker 1: do the dumb things and. 612 00:27:42,280 --> 00:27:44,199 Speaker 2: If they want to do And we talked about like 613 00:27:44,240 --> 00:27:47,520 Speaker 2: maybe sandboxing too some of your investing as well, Like 614 00:27:47,520 --> 00:27:50,960 Speaker 2: if you have this die hard desire to trade or 615 00:27:51,000 --> 00:27:52,560 Speaker 2: to speculate on individual. 616 00:27:52,200 --> 00:27:53,600 Speaker 1: Stocks, do you want to have a little bit of fun. 617 00:27:53,720 --> 00:27:56,720 Speaker 2: Yeah, that's okay, but just do it with a small 618 00:27:56,760 --> 00:27:59,520 Speaker 2: portion of your portfolio and make sure you can lose 619 00:27:59,560 --> 00:28:01,960 Speaker 2: sleep or you won't lose sleep at night if you 620 00:28:02,040 --> 00:28:04,800 Speaker 2: lose the money that you're training inside of that account. 621 00:28:04,880 --> 00:28:06,520 Speaker 2: But I would siphon that off and do it somewhere 622 00:28:06,520 --> 00:28:09,119 Speaker 2: else and do the boring thing with the vast majority 623 00:28:09,359 --> 00:28:11,720 Speaker 2: because it's the tried and true way to build wealth 624 00:28:12,000 --> 00:28:15,560 Speaker 2: and it's far less mentally taxing. So yeah, let's talk 625 00:28:15,560 --> 00:28:18,040 Speaker 2: about credit cards for a second. For the extreme credit 626 00:28:18,040 --> 00:28:21,040 Speaker 2: card nerds, getting the right reward credit card can be 627 00:28:21,119 --> 00:28:24,760 Speaker 2: massively beneficial. And Matt I think about hearing from listeners 628 00:28:24,760 --> 00:28:28,120 Speaker 2: the exotic trips that they've taken, the cool places they've gone, 629 00:28:28,160 --> 00:28:30,080 Speaker 2: and how much money they've saved because they've just played 630 00:28:30,200 --> 00:28:33,080 Speaker 2: the game. They know the system, and they've just changed 631 00:28:33,160 --> 00:28:36,160 Speaker 2: essentially the method of their payment and it's led to 632 00:28:36,440 --> 00:28:39,040 Speaker 2: some pretty cool perks. And we've talked about that on 633 00:28:39,080 --> 00:28:41,360 Speaker 2: the show a reasonable amount, most recently in episode eight 634 00:28:41,480 --> 00:28:44,520 Speaker 2: ninety nine with our friend Chris Hutchins from the podcast 635 00:28:44,560 --> 00:28:47,480 Speaker 2: All the Hacks. Well, there was this new survey from 636 00:28:47,560 --> 00:28:49,880 Speaker 2: bankrate and it made me think twice about rewards credit cards, 637 00:28:49,960 --> 00:28:52,440 Speaker 2: or at least want to add some nuance into the conversation. 638 00:28:52,840 --> 00:28:56,560 Speaker 2: What Bankrate found was that the average person, they're not 639 00:28:56,560 --> 00:28:59,840 Speaker 2: paying much attention to the credit cards they are using 640 00:29:00,080 --> 00:29:02,600 Speaker 2: and to the points that they're racking up. Almost a 641 00:29:02,680 --> 00:29:05,640 Speaker 2: quarter of folks ended up not redeeming any of their 642 00:29:05,680 --> 00:29:07,560 Speaker 2: rewards in the past year, so they hey, maybe they 643 00:29:07,560 --> 00:29:10,480 Speaker 2: accumulated their rewards, but they didn't spend any of them. 644 00:29:10,560 --> 00:29:12,960 Speaker 2: I forgot about them, Yeah, exactly. I think that's a 645 00:29:12,960 --> 00:29:14,760 Speaker 2: big part of it. It's almost like the gift card 646 00:29:14,760 --> 00:29:16,200 Speaker 2: that you were given a couple of years ago. It's 647 00:29:16,240 --> 00:29:19,600 Speaker 2: lost somewhere or it's been forgotten about, and I think 648 00:29:19,600 --> 00:29:21,560 Speaker 2: it could be fun to play the game. It can 649 00:29:21,600 --> 00:29:24,600 Speaker 2: be really cool to accrue those travel points, but the 650 00:29:24,640 --> 00:29:26,800 Speaker 2: truth is using them for the cost of the trip. 651 00:29:27,160 --> 00:29:29,640 Speaker 2: That's the real joy. I mean, if you miss out 652 00:29:29,840 --> 00:29:32,680 Speaker 2: on that connection, what are you actually doing. Plus the 653 00:29:32,680 --> 00:29:35,600 Speaker 2: longer those points linger, the less valuable they become. And 654 00:29:35,720 --> 00:29:38,360 Speaker 2: travel rewards, Man, they might sound great in theory, but 655 00:29:38,440 --> 00:29:40,040 Speaker 2: what do they look like in practice in your life. 656 00:29:40,040 --> 00:29:42,800 Speaker 2: I think it's a good question to ask, because it 657 00:29:42,800 --> 00:29:45,840 Speaker 2: turns out, based on this Bankrate survey, cash back cards 658 00:29:46,040 --> 00:29:49,040 Speaker 2: were the crowd favorites, and although yeah, they might not 659 00:29:49,120 --> 00:29:52,640 Speaker 2: provide the best theoretical return for your spending, they might 660 00:29:52,680 --> 00:29:54,680 Speaker 2: be the best real life choice for a lot of people. 661 00:29:54,880 --> 00:29:58,120 Speaker 2: Because the credit card rewards the best ones that you 662 00:29:58,120 --> 00:30:00,680 Speaker 2: can get are the ones that you're actually going to use. 663 00:30:00,840 --> 00:30:04,000 Speaker 1: Absolutely, yeah, where are you going to actually follow through 664 00:30:04,040 --> 00:30:06,560 Speaker 1: and do the dang thing. But having said, be careful 665 00:30:06,560 --> 00:30:09,440 Speaker 1: how you're using your credit cards, especially if you are 666 00:30:09,520 --> 00:30:11,600 Speaker 1: a newer listener, or if you've had a history of 667 00:30:11,640 --> 00:30:15,920 Speaker 1: overspending or getting into consumer debt. But either way, check 668 00:30:15,960 --> 00:30:18,480 Speaker 1: out the Golden Rules of Plastic. This is an article 669 00:30:18,480 --> 00:30:20,760 Speaker 1: we've got up on the site. We don't want poor 670 00:30:20,880 --> 00:30:23,480 Speaker 1: usage of credit cards to increase your debt load or 671 00:30:23,760 --> 00:30:26,720 Speaker 1: to harm your credit score. We talked about earlier The 672 00:30:26,960 --> 00:30:29,320 Speaker 1: Financial Times they just published an article about how US 673 00:30:29,400 --> 00:30:32,760 Speaker 1: credit card defaults. They're actually at a fifteen year high, 674 00:30:33,320 --> 00:30:39,440 Speaker 1: which isn't great macro data or on an individual micro level. Basically, 675 00:30:39,520 --> 00:30:41,680 Speaker 1: the lender doesn't think that the debt will be repaid, 676 00:30:41,720 --> 00:30:44,200 Speaker 1: so they write it off. That is what it means 677 00:30:44,240 --> 00:30:47,040 Speaker 1: when credit card debt is in default. We've discussed how 678 00:30:47,080 --> 00:30:50,160 Speaker 1: paying off debt, how it's basically like this apex goal 679 00:30:50,280 --> 00:30:53,120 Speaker 1: for Americans and we love that, especially as interest rates 680 00:30:53,120 --> 00:30:56,960 Speaker 1: have climbed. But never having a balance, well, that is 681 00:30:57,000 --> 00:30:59,360 Speaker 1: crucial to smart credit card use to be able to 682 00:30:59,400 --> 00:31:01,720 Speaker 1: completely avoid it all together or to get out of 683 00:31:01,720 --> 00:31:05,240 Speaker 1: that debt. If you have acquired some we will link 684 00:31:05,280 --> 00:31:07,840 Speaker 1: to that Golden Rules of Plastic article in the show 685 00:31:07,880 --> 00:31:10,880 Speaker 1: notes as well. But if you need some additional help, 686 00:31:10,920 --> 00:31:13,120 Speaker 1: we would well, we would love to hear from you. 687 00:31:13,160 --> 00:31:14,880 Speaker 1: Send us a voice memo. We'd love to hear the 688 00:31:14,880 --> 00:31:17,720 Speaker 1: particulars of your personal situation. But if you are someone 689 00:31:18,040 --> 00:31:19,720 Speaker 1: who is like no, no, no, guys, I can't wait 690 00:31:19,760 --> 00:31:21,760 Speaker 1: for you to maybe get back to me on a 691 00:31:21,800 --> 00:31:24,440 Speaker 1: show off in the future. I need help now. If so, 692 00:31:24,520 --> 00:31:26,720 Speaker 1: we would recommend to reach out to an organization like 693 00:31:26,800 --> 00:31:31,480 Speaker 1: Money Management International that provides credit card debt counseling. We 694 00:31:31,560 --> 00:31:34,480 Speaker 1: want consumer debts to be something that is in the 695 00:31:34,520 --> 00:31:35,680 Speaker 1: rear view mirror for you. 696 00:31:36,120 --> 00:31:39,480 Speaker 2: And I think I just saw this today this morning, Matt, 697 00:31:39,480 --> 00:31:43,040 Speaker 2: when I was looking at my email, and the number 698 00:31:43,120 --> 00:31:46,280 Speaker 2: is ticked up. The percentage of people who use credit 699 00:31:46,280 --> 00:31:48,800 Speaker 2: cards who don't pay them off on time infil every month, 700 00:31:48,800 --> 00:31:50,760 Speaker 2: that is just going up. That number, so I think 701 00:31:50,760 --> 00:31:53,120 Speaker 2: it's like forty eight percent of families now have some 702 00:31:53,160 --> 00:31:55,640 Speaker 2: sort of recurring credit card debt, and that with a 703 00:31:56,000 --> 00:31:59,200 Speaker 2: high interest rate attached. That is putting you behind in 704 00:31:59,240 --> 00:32:02,600 Speaker 2: your finances. It's like running on a treadmill, but like 705 00:32:02,680 --> 00:32:05,160 Speaker 2: have you seen the treadmills for the guy who runs 706 00:32:05,200 --> 00:32:07,680 Speaker 2: marathons in like two hours and they try to put 707 00:32:07,680 --> 00:32:08,560 Speaker 2: people on it like the. 708 00:32:08,560 --> 00:32:10,640 Speaker 1: Size of a room, like a small regain, and it's like, 709 00:32:10,640 --> 00:32:12,840 Speaker 1: can you run out the pace? And you can't. I couldn't. 710 00:32:12,880 --> 00:32:15,760 Speaker 2: I couldn't run it for eight seconds, I don't think, 711 00:32:15,840 --> 00:32:17,479 Speaker 2: and people just fall flat on their face because that's 712 00:32:17,480 --> 00:32:18,920 Speaker 2: how fast he runs. But he runs that fast for 713 00:32:18,920 --> 00:32:21,560 Speaker 2: twenty six miles. That's what like perpetual credit card debt 714 00:32:21,680 --> 00:32:22,600 Speaker 2: is doing to your finances. 715 00:32:22,600 --> 00:32:27,200 Speaker 1: The algorithm knows you, Joel, Yes it does. Twenty twenty 716 00:32:27,240 --> 00:32:28,960 Speaker 1: twenty one, Joel would have been like, wait what I'm 717 00:32:28,960 --> 00:32:32,719 Speaker 1: being fed treadmill videos of I give had way too 718 00:32:32,760 --> 00:32:35,360 Speaker 1: much running the world record marathon runner. It's pretty ridiculous. 719 00:32:35,360 --> 00:32:35,680 Speaker 1: I love it. 720 00:32:35,840 --> 00:32:38,520 Speaker 2: Well. We talked about the downsides of buying gift cards 721 00:32:38,560 --> 00:32:42,080 Speaker 2: ahead of Christmas, and I have more hesitation, I think 722 00:32:42,200 --> 00:32:45,760 Speaker 2: than you do. You you you're more leisse fair about 723 00:32:45,800 --> 00:32:48,760 Speaker 2: gift cards and I yeah, let people make their mistakes, right, 724 00:32:49,000 --> 00:32:51,280 Speaker 2: I won't be able to think twice. Although there were 725 00:32:51,320 --> 00:32:54,000 Speaker 2: some good discounts out there that made gift cards cheaper, 726 00:32:54,000 --> 00:32:55,480 Speaker 2: which we're down with. Let mean, I think about the 727 00:32:55,920 --> 00:32:58,080 Speaker 2: annual Target ten percent off gift cards sale. We didn't 728 00:32:58,080 --> 00:32:59,920 Speaker 2: talk about it on the show, but it's usually kind 729 00:32:59,920 --> 00:33:03,200 Speaker 2: of of after Black Friday before Christmas, and if you're 730 00:33:03,240 --> 00:33:05,880 Speaker 2: a big time Target chopper, hey go get that discount, 731 00:33:06,400 --> 00:33:10,080 Speaker 2: but just remember to not be a spillage statistic. And 732 00:33:10,120 --> 00:33:13,280 Speaker 2: spillage is when gift cards linger for months or for 733 00:33:13,400 --> 00:33:18,040 Speaker 2: years without being spent. And this is great for retailers 734 00:33:18,080 --> 00:33:19,760 Speaker 2: because they hey, get they got the money in their 735 00:33:19,760 --> 00:33:22,120 Speaker 2: pocket already, they sold the gift card, and then if 736 00:33:22,120 --> 00:33:25,320 Speaker 2: that gift card never gets presented, that's cashing their in 737 00:33:25,360 --> 00:33:28,360 Speaker 2: their pockets. But it's important for you to not be 738 00:33:28,400 --> 00:33:31,280 Speaker 2: that statistic and to spend the money because, as we've documented, 739 00:33:31,480 --> 00:33:33,920 Speaker 2: there's no guarantee that the store you have a gift 740 00:33:33,920 --> 00:33:36,080 Speaker 2: card for sticks around for forever. 741 00:33:36,320 --> 00:33:39,600 Speaker 1: It's right if you're a TGI Fridays was a Fridays Yeah, 742 00:33:39,640 --> 00:33:40,360 Speaker 1: that was the last one. 743 00:33:40,360 --> 00:33:42,680 Speaker 2: But this has happened at many different times, right where 744 00:33:42,680 --> 00:33:44,240 Speaker 2: a store is just going out of business and you're like, 745 00:33:44,240 --> 00:33:46,200 Speaker 2: wait a second, or my gift cards worthless and they 746 00:33:46,280 --> 00:33:49,440 Speaker 2: might be. So make a plan to spend your gift 747 00:33:49,480 --> 00:33:52,040 Speaker 2: cards quickly, like let's say in the first quarter of 748 00:33:52,040 --> 00:33:55,200 Speaker 2: twenty twenty five, or another option. If you have a 749 00:33:55,240 --> 00:33:57,160 Speaker 2: gift card and you're like, I'm never using that. I 750 00:33:57,160 --> 00:33:59,640 Speaker 2: don't really like this retailer. Why did ant Edna give 751 00:33:59,640 --> 00:34:02,320 Speaker 2: it to me? Use a site like card cash dot com. 752 00:34:02,560 --> 00:34:05,520 Speaker 2: You can sell a gift card online. You're gonna get 753 00:34:05,680 --> 00:34:08,360 Speaker 2: you know, depending on where it's two pennies on the 754 00:34:08,360 --> 00:34:10,560 Speaker 2: dollar or let's say sixty cents on the dollar or 755 00:34:10,600 --> 00:34:13,320 Speaker 2: something like that. But getting something is better than getting nothing. 756 00:34:13,640 --> 00:34:15,960 Speaker 2: Just I think the key here is to not let 757 00:34:15,960 --> 00:34:18,960 Speaker 2: your gift cards languish or get lost. 758 00:34:19,280 --> 00:34:22,720 Speaker 1: That's right. Actually, have you continue to use the costco 759 00:34:22,920 --> 00:34:25,600 Speaker 1: instacrt gift card hacked? Uh? 760 00:34:25,719 --> 00:34:29,000 Speaker 2: I will say they on the online purchases they limit 761 00:34:29,400 --> 00:34:32,080 Speaker 2: two Instacard gift card purchases per fourteen days. 762 00:34:32,520 --> 00:34:33,160 Speaker 1: Oh really? 763 00:34:33,320 --> 00:34:35,879 Speaker 2: Yeah, but then so I had to I ran back 764 00:34:35,880 --> 00:34:37,640 Speaker 2: into the store to get a couple more. But yeah, 765 00:34:38,000 --> 00:34:40,000 Speaker 2: it's working out well for me. So far, I'm still 766 00:34:40,080 --> 00:34:41,120 Speaker 2: as a hoop. 767 00:34:40,960 --> 00:34:42,560 Speaker 1: That you're willing to jump through for sure, give that 768 00:34:42,600 --> 00:34:45,719 Speaker 1: sweet discount. Well that's a situation where it totally makes 769 00:34:45,719 --> 00:34:48,800 Speaker 1: sense to get the gift card. Dreda. I'm not anti 770 00:34:48,840 --> 00:34:49,279 Speaker 1: gift cards. 771 00:34:49,280 --> 00:34:51,960 Speaker 2: I'm just anti gift cards going to waste, Yeah, going 772 00:34:52,000 --> 00:34:53,920 Speaker 2: to waste, or I prefer for you to get them 773 00:34:53,960 --> 00:34:54,640 Speaker 2: at a lower price. 774 00:34:54,640 --> 00:34:56,120 Speaker 1: Well, that's gonna be it for this episode. We hope 775 00:34:56,120 --> 00:34:58,480 Speaker 1: everyone has a fantastic weekend that you stay warm out there. 776 00:34:58,520 --> 00:35:00,759 Speaker 1: We'll see back here on Monday with a fresh ask 777 00:35:00,800 --> 00:35:03,799 Speaker 1: how to Money episode. Head over to the website. Specifically, 778 00:35:03,840 --> 00:35:06,160 Speaker 1: check out our credit card tool if you are looking 779 00:35:06,200 --> 00:35:09,160 Speaker 1: for a credit card that aligns with how it is 780 00:35:09,200 --> 00:35:11,520 Speaker 1: that you spend your money, or specifically the kind of 781 00:35:11,560 --> 00:35:15,239 Speaker 1: rewards that you're looking to garner from your credit card. 782 00:35:15,280 --> 00:35:17,160 Speaker 1: You can sort it buy airline, you can sort it 783 00:35:17,160 --> 00:35:20,080 Speaker 1: buy business cards, personal cards, cash back, and of course 784 00:35:20,120 --> 00:35:21,759 Speaker 1: you can find that at how to money dot com. 785 00:35:21,760 --> 00:35:24,799 Speaker 1: Forward slash credit card tool. Joel, it's gonna be it 786 00:35:24,840 --> 00:35:26,879 Speaker 1: for this one, buddy. Until next time, Best Friends Out, 787 00:35:26,960 --> 00:35:28,359 Speaker 1: Best Friends Out,