Speaker 1: Hey, hey, hey, we're back. Well not really, but we
Speaker 1: are still black and Brown ambition. Hey, y'all, it's me
Speaker 1: Tiffany the budget. He said, I should cut up because
Speaker 1: Mandy's not here. Actually, neither one of us are here.
Speaker 1: I may or may not be sipping on a Virgin
Speaker 1: my tie in Hawaii because I'm on VACA and Mandy
Speaker 1: is chilling as well, minding her brown owned business. But
Speaker 1: we wanted to make sure you still had an awesome show,
Speaker 1: and since it's Halloween, we thought, why not have.
Speaker 2: A little spooky show.
Speaker 1: Let's talk about something super scary d e BT debt
Speaker 1: in particular, there's actually a debt called zombie debat, right,
Speaker 1: how apropos? Okay, So we hope you enjoyed this throwback
Speaker 1: show because we are gonna be talking about zombie debt
Speaker 1: and how it can actually kind of be your friend
Speaker 1: or what else. All right, So we will see you
Speaker 1: when we get back and enjoy your Halloween and be
Speaker 1: and save me some snickers.
Speaker 3: Those are my faves, all right.
Speaker 2: Bye.
Speaker 3: Hey, hey, hey, it's time for b a Q. A heykay,
Speaker 3: it's time for b a Q. Wait, come on baby
Speaker 3: que Hey hey, it's time for any until you left
Speaker 3: my tab.
Speaker 4: I don't know what you're doing. Oh there you are.
Speaker 1: So for those who don't know me and man, they
Speaker 1: are testing out this video thing. No, you can't see us,
Speaker 1: but I can see her. So I was trying to
Speaker 1: get her to do the bomb. I'm like, come on, Manny,
Speaker 1: come on, come on, show me, show me that.
Speaker 4: Bob I was lost in tab purgatory.
Speaker 3: What is it?
Speaker 4: It's like that part when I almost forget what the
Speaker 4: next the next move in the wobble is and you're
Speaker 4: kind of looking over.
Speaker 3: Wait, yeah, get in there.
Speaker 1: Well it's not from the aqua and we got some
Speaker 1: awesome questions. But if you have questions, maybe how can
Speaker 1: the people ask questions?
Speaker 3: Oh?
Speaker 4: How can't you ask questions? You can. You can go
Speaker 4: to Brandambition podcast dot com and click ask us anything.
Speaker 4: You can also hit us up on Instagram at brand
Speaker 4: Ambisson Podcast on the Gram and slide into our dms
Speaker 4: and let's see email. You can hit us up Brand
Speaker 4: Ambition Podcast at gmail dot com with your questions. Try
Speaker 4: to make them detailed. You don't have to say your name.
Speaker 4: You can stay anonymous. We're happy to call you whatever
Speaker 4: alias you prefer. So who knows try out a do
Speaker 4: name with our show, but we love to get y'all's questions.
Speaker 3: Okay, so first question you want me to read it?
Speaker 4: Yes?
Speaker 3: Please? Okay, it's from Brian, he says. Hey.
Speaker 1: First, thank you so much father, you do for our community,
Speaker 1: you welks. My question is about the statute of limitations
Speaker 1: slash zombie debt. I read your article about how to
Speaker 1: settle your credit card debt, and I have some questions
Speaker 1: about the statute of limitations for debt collection. Does that
Speaker 1: statute of limitations change if you move from one state
Speaker 1: to another or does the original state in which you
Speaker 1: open the account supersede your current state of residence?
Speaker 4: Ryan, Yeah, well zombie debt.
Speaker 3: Yeah yeah, So let's explain zombie debet. Let's do it.
Speaker 4: So, zombie debt occurs. So something you may not realize
Speaker 4: is when you so, let's say you run up a
Speaker 4: credit card and you don't pay it off. There's several
Speaker 4: things that happen over a long period of time. Eventually,
Speaker 4: what may happen is that you're so delinquent that the
Speaker 4: credit card issuer or the debt collector just charges it
Speaker 4: off and that goes on your credit report. Is a
Speaker 4: charge off and it's not good for your credit, and
Speaker 4: then they may send it to a collector who will
Speaker 4: try to pursue that debt. And in each state they
Speaker 4: have a specific window of time, a window of opportunity,
Speaker 4: when lenders or debt collectors can actually sue you to
Speaker 4: recoup that debt. And this is important. It means the
Speaker 4: time in which they can sue you to recoup that debt.
Speaker 4: And once that statute of limitations has passed, they technically
Speaker 4: can't sue you. They can still pursue it, and do
Speaker 4: they ever try. They definitely will try, but technically they
Speaker 4: don't have the legal authority at that point to actually
Speaker 4: sue you. So what that means for you, So if
Speaker 4: you have a super old debt that was charged off
Speaker 4: forever ago, and you get a phone call and they're like, hey,
Speaker 4: we want you to make a payment, just one dollar,
Speaker 4: just ten dollars on this old account, if that has
Speaker 4: passed the statue limitations in your state, there's technically no
Speaker 4: benefit to you giving them money. In fact, if you
Speaker 4: do give them money, what it can do is resurrect
Speaker 4: that debt. Then it breathes new. It's like it's like
Speaker 4: infecting a zombie or how do zombies turn into zombies?
Speaker 4: Who knows?
Speaker 2: Whatever?
Speaker 1: They bite, So it basically is a zombie bite you.
Speaker 1: And now yeah, it basically statute of limitation. It starts
Speaker 1: back over so in New Jersey, New York, like the
Speaker 1: statute of limitation of evolving debt, meaning like credit card
Speaker 1: debt is six years. So if it's your seven and
Speaker 1: it's like oh and you don't realize and you pay
Speaker 1: that one dollar then literally it can start back at
Speaker 1: a year zero again and work its way back up.
Speaker 1: So just be mindful. So just so you guys know,
Speaker 1: that's what it is. And so Brian, no, whatever whatever
Speaker 1: state that you incurred that in, it stays there. It
Speaker 1: doesn't because technically you can go from a state with
Speaker 1: you know, a six year statute limitation to a state
Speaker 1: with three year and be.
Speaker 3: Like wooo sorry Nanna and boom booth.
Speaker 1: So they're like, no, wherever you started, that's that's where
Speaker 1: it is.
Speaker 3: So it won't. It won't.
Speaker 1: It's with the original state where you opened up the account.
Speaker 1: It doesn't supersede. It's not about your current residence if
Speaker 1: you've moved, if you open that account when you're in Jersey,
Speaker 1: it's with Jersey. And then if you go to you know, California,
Speaker 1: it's still Jersey.
Speaker 4: Brian's on the run.
Speaker 2: What do you do?
Speaker 4: Brian?
Speaker 1: Next?
Speaker 3: Like you brother?
Speaker 4: A question for friends.
Speaker 3: Proximo we Spanish.
Speaker 1: Oh look at this, morm They say, hey, hey, just
Speaker 1: like me. Hey, hey, hey, Tiffany and Mandy love you ladies,
Speaker 1: love you back?
Speaker 3: Keep up?
Speaker 1: Oh, let's you. I'm sorry, Mandy. I read you read
Speaker 1: I read the last one. You could read this one,
Speaker 1: my bad girl.
Speaker 4: Oh thank you. You're so generous.
Speaker 3: All right?
Speaker 4: Hey, hey, hey, hey, hey, Tiffany and Mandy love you ladies.
Speaker 4: I giggle right along with y'all while taking notes. I
Speaker 4: have a question about paying back debt. Currently this is
Speaker 4: my debt, and she goes on to list one, two, three, four, five,
Speaker 4: six different types of debt line of credit, credit card,
Speaker 4: another credit card, some kind of zero percent credit card.
Speaker 4: I don't know, different accounts. Am I reading that right?
Speaker 4: So basically what she's asking is should I concentrate and
Speaker 4: pay off a line of credit that is accruing at
Speaker 4: seven percent and my balance is ten five hundred dollars?
Speaker 4: Or should I concentrate on paying down credit cards while
Speaker 4: they are charging zero percent and two percent. So she
Speaker 4: has a total of eleven thousand dollars on those two
Speaker 4: credit cards which are charging zero percent and two percent,
Speaker 4: and wants to know she should prioritize those or a
Speaker 4: line of credit at her bank, which is charging seven
Speaker 4: percent for a balance of ten. So about the same
Speaker 4: amount of money but vastly different.
Speaker 3: But poqu I see she has regular credit card. It
Speaker 3: says twenty percent. We ain't gonna talk about that. I
Speaker 3: look like we talk about the wrong thing.
Speaker 1: Sis, sister child, We're gonna call you giggles, So she said,
Speaker 1: you're gonna giggle, so giggles. I'm concerned that we're not
Speaker 1: mentioning that the second item on your list says twenty
Speaker 1: percent credit card, it's forty five hundred dollars. That would
Speaker 1: be my main priority because it's that's expensive, giggles, that's pricey.
Speaker 3: You know. So that's where I would put, quite honestly,
Speaker 3: where I put my energy.
Speaker 4: Yeah, I mean, just reading this kind of stresses me out,
Speaker 4: and it makes me think of people who are kind
Speaker 4: of juggling those multiple debts, and all you're doing is
Speaker 4: kind of making your minimum payments and just staying above
Speaker 4: So I commend you, Giggles for at least trying to strategically,
Speaker 4: you know, attack the debt. So the two zero percent
Speaker 4: interest cards that she has, those are zero percent until
Speaker 4: twenty twenty two. So in my mind, set your set
Speaker 4: a calendar alert even for March or April or sorry,
Speaker 4: yeah late, it's like March and May next year. So
Speaker 4: I would set a calendar alert for like February, just
Speaker 4: to be sure that you don't miss and you want
Speaker 4: to get back on top of those cards. Check the
Speaker 4: on those zero percent offers, check the fine print and
Speaker 4: make sure that there's not a deferred interest clause, because
Speaker 4: if there is, you may be sitting pretty until early
Speaker 4: next year, but then get slapped with all the interest
Speaker 4: that you would have been accruing if you leave money
Speaker 4: on your if you leave a balance on those cards, well,
Speaker 4: let's see. I mean, I agree with Tiff. I think
Speaker 4: that the smartest thing to do is order these from
Speaker 4: most expensive to least and do your best to attack them.
Speaker 4: So starting with that twenty percent credit card and then
Speaker 4: moving on to your seventy percent interest line credit teen percent,
Speaker 4: there's a thirteen number four. This is interesting, okay, you
Speaker 4: are I'm confused why you show these cards?
Speaker 3: It's one That's what I guess.
Speaker 1: I'm just I would love to know, like, what is
Speaker 1: it about the line of credit that made you think
Speaker 1: that you should I can understand the zero percent because
Speaker 1: you're like, I can put all of my money that
Speaker 1: I put toward it goes to the money goes to
Speaker 1: the principle. So I can understand why you bring that up.
Speaker 1: But what is it about the line of credit that
Speaker 1: makes you think that you should pay that first versus
Speaker 1: the twenty percent and the thirteen percent credit card? So
Speaker 1: that's what I'm curious about. So I would focus on.
Speaker 3: The twenty then the thirteen. To Mandy's point, what will
Speaker 3: that is? What will your zero percent cards be in
Speaker 3: March and in May?
Speaker 1: If they're going to be like thirty percent something crazy,
Speaker 1: then then I might rethink my strategy. Or if it's
Speaker 1: not paid off, I have to pay back all the
Speaker 1: interest from before, then my strategy might be to focus
Speaker 1: on the zero percent cards. It depends on what happens
Speaker 1: if there if it's not paid off in full by
Speaker 1: March in May, if it's something astronomical those cards first,
Speaker 1: if it's something that so bad twenty percent, then thirteen percent,
Speaker 1: then you know, whatever, the the whatever. I would do
Speaker 1: my interest rates in order from highest to lowest basically.
Speaker 4: And count those zero percent cards as their regular APR
Speaker 4: once you check the fine print. Yeah, that's smart, that's smart.
Speaker 4: I mean in general, having this many lines of credit
Speaker 4: and credit cards kind of it just tells me there's
Speaker 4: something underlying that's probably that's problematic with your cash flow.
Speaker 4: So I would also say, really focus on bringing an
Speaker 4: additional income, trying to find any way that you can
Speaker 4: bring an extra income to really attack, you know, these
Speaker 4: debts so that you can get debt free. Because each
Speaker 4: card balance isn't that insane? Yeah, add it up. When
Speaker 4: you add it up, that's I'm gonna do some quick math.
Speaker 4: That's like fifteen k plus four. That's nineteen plus five
Speaker 4: twenty four. That's like twenty five twenty six thousand dollars.
Speaker 4: That's a lot to have on all credit lines, which
Speaker 4: could be variable aprs and change with the market. So
Speaker 4: you definitely want to get that under control.
Speaker 1: So make a little bit more tighten the belt, spend
Speaker 1: a little bit less, put it toward your expensive debt.
Speaker 1: Especially first, Okay, giggles, we're gonna have you looking good.
Speaker 3: It's OPA's bank account all right, Number three?
Speaker 4: This distracted thinking about her Oprah's bank account ahead.
Speaker 3: This is from quotes Kia.
Speaker 1: Okay, hey, Kiyah. She has a question for her parents.
Speaker 1: They're planning to relocate to another state within the next
Speaker 1: two years. They plan to rent out their current home
Speaker 1: that still has a mortgage, but they are trying to
Speaker 1: determine if they should dip into their retirement accounts to
Speaker 1: pay off their current home and then buy a new
Speaker 1: home in their new city or simply rent in the
Speaker 1: new city. In either option, they would rent out their
Speaker 1: corn home for more than enough to cover the mortgage.
Speaker 1: They're both sixty and fly, I bet Kia, and have
Speaker 1: about one million safe for retirement.
Speaker 3: Oh, they all fly and are five.
Speaker 1: And ten years away from retirement, are they because it's
Speaker 1: not like they're there. There's about one hundred K left
Speaker 1: to pay on the house, and they feel that paying
Speaker 1: this off will improve their credit score, which is currently
Speaker 1: pretty low, and debt to income ratio which is very
Speaker 1: high to due to student loans, so they can qualify
Speaker 1: to buy a new house. I'm concerned about them dipping
Speaker 1: into their retirement accounts. What do you think they should do?
Speaker 4: Well?
Speaker 1: First of all, let's give a round for falls to
Speaker 1: Kia's million dollars saving parents, because that's not an easy thing.
Speaker 1: So you know, commend your mama and pop up you know,
Speaker 1: papa about that because that's awesome. And there's a lot
Speaker 1: here so to really unpack. She's got parents, they have
Speaker 1: a million dollars safe for retirement, boohoo. They do have
Speaker 1: a house that they want to pay off, and they're like,
Speaker 1: it's about one hundred thousand dollars. Do they go from
Speaker 1: one million to nine hundred thousand to pay off the
Speaker 1: house because this will hopefully want improve their credit score
Speaker 1: because they want to buy another house, and I guess
Speaker 1: just not having you know, that particular debt, or they
Speaker 1: can just pay it off more naturally by renting out
Speaker 1: the house and having someone else pay the mortgage via rent.
Speaker 3: I'll say what I'm leaning toward, Kei Ki.
Speaker 1: If your parents were you know, forty five, I might
Speaker 1: be like, you know what, maybe I would dip a
Speaker 1: little maybe, but honestly, not at sixty. Not at sixty,
Speaker 1: especially since they can rent and the renter will pay
Speaker 1: their mortgage. I feel nervous about so close to retirement,
Speaker 1: taking money out of your retirement account that's not specifically
Speaker 1: for retirement.
Speaker 3: You know, let the renter just pay off the mortgage.
Speaker 3: I mean, and.
Speaker 1: Here's the thing, I don't even know at this age,
Speaker 1: why do they need to buy a house.
Speaker 4: I know I said it, That's what I was gonna say.
Speaker 3: Don't buy another house. Go ahead, I know, I'm like, don't,
Speaker 3: don't buy another house.
Speaker 4: My dad is sixty. He is desperate to buy a
Speaker 4: house right now. And I'm like, you don't have to,
Speaker 4: but he just something about he wants I mean, helmes
Speaker 4: are in where he wants to live in like the
Speaker 4: boon The Boonies of Georgia aren't that pricey. But you know,
Speaker 4: first of all, do your parents want our advices? Michael,
Speaker 4: I'm a little nervous. I'm like this woman.
Speaker 3: They don't want to.
Speaker 4: They don't want to know what made you take me?
Speaker 3: Then? Baby grown? They talk about Yeah.
Speaker 4: But I would say, like if you're depends on what
Speaker 4: kind of retirement they want, but you can have a
Speaker 4: you can have a home that you rent. Yes, you know,
Speaker 4: you don't have to buy a house.
Speaker 1: Yeah, it's a financial because here's the thing. So much
Speaker 1: mortgage you're gonna get is between fifteen and thirty years. Wow,
Speaker 1: what are we trying to Are we trying to owe
Speaker 1: for the next fifteen years? No, you want to be
Speaker 1: footloose and fancy free as sixty. I know your pop
Speaker 1: still got your mom's still dipping on a dance floor.
Speaker 1: If it was me, no disrespect to your parents, you know,
Speaker 1: I'd be like, hey, parents, I know, I'm like, you know,
Speaker 1: you're like, girl, this baby's talking. But I would be like,
Speaker 1: I'm going to rent in our new city. I'm going
Speaker 1: to let someone else pay off my mortgage. I ain't
Speaker 1: got to worry about it, and I'm going to lean
Speaker 1: into the four percent rule for my million dollars that
Speaker 1: I have saved. That four percent rule is this is
Speaker 1: them on average. I know the last year the market
Speaker 1: has been crazy, but on average, if we look over
Speaker 1: the last you know, one hundred years, the market has
Speaker 1: yielded between like seven to ten percent, so to be conservative,
Speaker 1: eight percent. The four percent rule is that you have
Speaker 1: your money put up and you pull out four percent
Speaker 1: a year, because it means that you'll put out pull
Speaker 1: out on typically less than what your money has returned
Speaker 1: to you and you'll never you'll never have to dip
Speaker 1: into that one million, and you can live off that
Speaker 1: four percent, you know. And so I would be living
Speaker 1: off the four percent rule, keeping that million dollars in
Speaker 1: the bank less somebody else pay mortgage, you know, renting
Speaker 1: a nice apartment. Because here's the thing about apartment too.
Speaker 1: You ain't got to what shovel, you don't got to
Speaker 1: what raake.
Speaker 3: Oh there's a leak. I'm sorry, mister super you need
Speaker 3: to fix that. No, sir, I.
Speaker 1: Feel like buying a home when you're younger makes more
Speaker 1: sense when you're like having a kid and you want
Speaker 1: something more stable whatever. But no, like if my parents'
Speaker 1: house wasn't paid off, that was their plan that they
Speaker 1: were gonna get a condo, you know, so they don't
Speaker 1: have to worry about kind of like the household chore.
Speaker 1: So that's what I wou suggest, Keia, But your parents
Speaker 1: are grown and they're gonna do grown things.
Speaker 3: Yeah, let us know.
Speaker 4: How that goes. I want you to sit down and
Speaker 4: say so mommy and daddy, and I tell you what
Speaker 4: my friend's Mandy and Tiffany think you should do with
Speaker 4: your money.
Speaker 3: She's gonna be like press play.
Speaker 1: No, disrespect mister and missus Kia.
Speaker 3: First of all, they're gonna be like, why are you
Speaker 3: tell my business? Right?
Speaker 4: Oh no, they don't want any of their any of
Speaker 4: theirs out there. But I think this they've given you
Speaker 4: a gift, which sounds like they're gonna be okay. So, yeah,
Speaker 4: how is your finances? Yes?
Speaker 3: Her the house, you focus on mom and dad.
Speaker 2: You good girl.
Speaker 1: I can only see her mom being like, meanwhile, me
Speaker 1: and your daddy's good.
Speaker 3: Me and daddy good. But you're over here asking to
Speaker 3: borrow five hundred dollars.
Speaker 1: You worry about me and my retirement your parents.
Speaker 4: I was just like, hell, why why do you worry?
Speaker 3: Kia?
Speaker 1: But honestly, k you being an awesome daughter, These questions
Speaker 1: were awesome. I hope you like this ba QA.
Speaker 4: I like this format right, mind you too. I'm glad
Speaker 4: we switched it in.
Speaker 1: Yeah yeah see so yes, we'll be doing the b
Speaker 1: A QA every week.
Speaker 3: So if you have some QA for the b A
Speaker 3: what you gotta do?
Speaker 4: Andy ask us? Oh my boy, my bad, you served it.
Speaker 4: I dropped the ball picking it back up. You can
Speaker 4: go to Brannivision podcast dot com, dot ask us anything,
Speaker 4: or hit us up on I G. I check my
Speaker 4: ig quite often Brand Ambition Podcast. I probably will respond
Speaker 4: to your message if you send us one just saying
Speaker 4: send us your question there or email us Brandonbission Podcast
Speaker 4: at gmail dot com.
Speaker 1: And one last favor poor for war That means please
Speaker 1: in Spanish. If you love the baqa, and especially if
Speaker 1: you have a friend that could quite obviously use the advice,
Speaker 1: please share the link to this podcast with at least
Speaker 1: three friends coworkers, mom, dad, cousin, Auntie and them, because
Speaker 1: we would really love to share our delicious brown ambitiousness
Speaker 1: with the world.
Speaker 3: Yeah, you guys seem to be enjoying.
Speaker 1: The way we're doing the podcast now, so we would
Speaker 1: just love even more people to listen and to help
Speaker 1: more people. So share with at least three different people.
Speaker 1: I promise you you won't regret it. We're gonna treat
Speaker 1: them good, real good.
Speaker 4: To Superman just open the door and slam it.
Speaker 3: Yes, I like bruh, I told you, mondays, Well.
Speaker 1: The good thing is we ain't got to worry about
Speaker 1: that because we're gonna be taping early. I'm doing the
Speaker 1: own what is this called the bogel like that? You
Speaker 1: know that I don't know it's like, you know, think.
Speaker 3: About shall me and Madia both doing it?
Speaker 4: Like?
Speaker 2: I don't know what it is like.
Speaker 3: Let me find a many got a little little rhythm.
Speaker 4: Okay, you haven't seen you came to my wedding way,
Speaker 4: I know, but you entire But.
Speaker 3: Yes, I'm saying you didn't like that dancing like you.
Speaker 4: Know, yes I dance, you should say me in Rio
Speaker 4: we cut at with.
Speaker 3: A little two step rhythm.
Speaker 4: Now I thought you knew where I was from and
Speaker 4: who I am.
Speaker 3: That's a person.
Speaker 4: Got a little bit of money. I could still move, all.
Speaker 3: Right, Jenny from the block, all right, until next time.
Speaker 3: The a q A is out out by