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Speaker 1: Welcome to Had of Money. I'm Joel and I am Matt.

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Speaker 2: Today we're talking loud budgeting, rampant financial infidelity, and bad

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Speaker 2: bank behavior.

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Speaker 1: You know, a buddy. This is our Friday flight and

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Speaker 1: we're gonna discuss the most important personal finance stories that

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Speaker 1: we came across this week. And I want to kick

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Speaker 1: things off. We're gonna say something I was gonna say.

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Speaker 1: I saw the breath and you get ready. One of

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Speaker 1: the headlines we'renna talk about is bad bank behavior. Let's

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Speaker 1: talk about bad mat behavior first, bad mad behavior. Please.

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Speaker 1: I started to share this with you, then we said no,

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Speaker 1: we need to talk about the single podcast. We have

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Speaker 1: discussed robin Hood in the past, and in particular how

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Speaker 1: they're trying to incentivize new customers to switch on over

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Speaker 1: because with some of the different bonuses that they're paying out,

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Speaker 1: they're offering a one percent match on any amount that

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Speaker 1: you transfer over from a brokerage account. And I'm doing it.

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Speaker 1: I'm actually taking the plung. I took the bait in

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Speaker 1: fidel by Vanguard Vanguard O Vanguard. Yeah, you took.

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Speaker 2: Vanguard turned into Robinhood, but you're still invested in the

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Speaker 2: same funds.

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Speaker 1: It's the exact same funds, and I think that for

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Speaker 1: me there was almost like this emotional hang up of like, well,

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Speaker 1: obviously we've sort of bad mouthed Robinhood in the past,

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Speaker 1: and how they kind of incentivize training that we wouldn't

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Speaker 1: necessarily encourage. But if you have the ability just to

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Speaker 1: not do that, and I've seen that, like, that's not

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Speaker 1: something I'm at all attempted with. I see this as

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Speaker 1: essentially free money, like there is a bonus here, and

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Speaker 1: I will say that there are some there's some fine print,

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Speaker 1: and so you have to keep your money. So the

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Speaker 1: money that you transfer over, it's got to sit there

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Speaker 1: two years for two years, right, and if you don't

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Speaker 1: get the bonus until then or they pull it back,

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Speaker 1: they pull it back. So you immediately get the bonus.

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Speaker 1: And here's the good news to Let's say you transfer

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Speaker 1: over fifty thousand dollars, get yourself a five hundred dollar bonus. Sweet.

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Speaker 1: And let's say though next year sometime you're like, oh,

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Speaker 1: actually I want to use twenty five grand towards a

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Speaker 1: new car or something like that. So in effect, you've

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Speaker 1: only left twenty five thousand dollars. Well, they're going to

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Speaker 1: take back two hundred and fifty dollars. So it doesn't

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Speaker 1: mean that like if you were to break the terms,

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Speaker 1: you lose the entire thing. You only forfeit a small

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Speaker 1: amount of it got them. Yeah, So I don't know,

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Speaker 1: We'll see. It's almost like an experiment. Maybe this is

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Speaker 1: a frugal or cheap We'll see if this ends up

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Speaker 1: coming to bite me in the butt.

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Speaker 2: Well when you when you transfer ten million dollars, that's

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Speaker 2: one hundred grand dude. So I mean we're talking about

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Speaker 2: big money.

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Speaker 1: Exactly, No, exactly, incorrect. Like the other part of it too, though,

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Speaker 1: I was thinking through I'm like, what is it the

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Speaker 1: folks often complained about and they're like, well, there's no

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Speaker 1: customer service, and that was one of the reasons I

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Speaker 1: was not doing it. Those kind of playing through my mind,

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Speaker 1: and I thought, have I ever called in to Vanguard

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Speaker 1: or ever had any issue? And I mean the fact

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Speaker 1: had some complaints about Vanguard's customer service too, Yeah yeah,

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Speaker 1: And so in effect, I'm like, well no, and so

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Speaker 1: if that's something that's keeping me from doing And granted

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Speaker 1: it's not like Robinhood is some butt head coin ETF

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Speaker 1: exchange or something like that like, this is a CIPIC

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Speaker 1: insured company, just like Vanguard is. And so I realized

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Speaker 1: for me it was more of an emotional roadblock as

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Speaker 1: opposed to being like, Okay, no, what do the numbers say?

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Speaker 1: What is required? What hoops do I have to jump through?

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Speaker 1: So I don't know, I just wanted to share that. Okay,

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Speaker 1: it's not necessarily going to be for everybody I know,

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Speaker 1: but just wanted to put that out there. And yeah,

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Speaker 1: if they do run off with all my money, we'll

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Speaker 1: talk about it. Then.

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Speaker 2: Well, no, I don't think that's I'm not worried about that,

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Speaker 2: and I'm not really worried about your training either. So hey,

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Speaker 2: take the free money. Move over to Robinhood when there's

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Speaker 2: an incentive again, like humans incentives move the needle for

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Speaker 2: us one way or the other. And when someone saying, hey, no,

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Speaker 2: we'll pay you money to move your money over and

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Speaker 2: there's no additional fees or any of that stuff. You

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Speaker 2: got to pay attention, like you said, to the red

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Speaker 2: tape or whatever. The time frame, yeah, the timeframe, but

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Speaker 2: other than that, it's free money.

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Speaker 1: And yeah, so and it's especially attractive too because VU,

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Speaker 1: which is the Vanguard's SMP five hundred etf Those are

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Speaker 1: et that you can also trade and buy and invest

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Speaker 1: in over on robin Hood's platforms, no additional costs. Like Honestly,

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Speaker 1: if I was with Fidelity, I think I may have

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Speaker 1: thought twice about it, because I'm like, oh, well, dang,

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Speaker 1: I'm gonna have to like sell.

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Speaker 2: Because they don't rocks.

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Speaker 1: Yeah, and so then there's some capital gains you have

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Speaker 1: to deal with. But because in particular for Vanguard users

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Speaker 1: out there, for them, I think this it could be

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Speaker 1: worth considering. And the reason Okay, so the other reason

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Speaker 1: to bring it up is because the one percent brokerage

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Speaker 1: bonus that they're paying out it's only good until the

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Speaker 1: end of this month, So you only have until next Wednesday,

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Speaker 1: January three. If you hear this, pull it off. Yeah.

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Speaker 2: If you hear this and you're like, okay, free money.

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Speaker 2: I want to do what Matt's doing. Check it Ford,

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Speaker 2: I'm saying put. But it's I don't even have any

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Speaker 2: sort of like moral qualms. I guess simplicity is what

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Speaker 2: I like, and having my stuff in in like one

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Speaker 2: or two places matters to me. Sense while we're talking

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Speaker 2: about investing that, let's move on the Friday Flight.

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Speaker 1: Let's talk about investing.

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Speaker 2: Let's let's kick off this episode talking about all time

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Speaker 2: highs the stock market. At all time highs, you're feeling

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Speaker 2: richer than ever, aren't you? Everyone one is, everyone who

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Speaker 2: invests in the market is feeling richer than ever. And

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Speaker 2: that's because I mean, it took a couple of years

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Speaker 2: for us to get there, But man, that round trip

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Speaker 2: is pretty normal in stock market terms, something we're going

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Speaker 2: to experience, likely every five or six years, twenty percent

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Speaker 2: downturn and then a comeback to all time highs again.

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Speaker 2: And a few things that we wanted to note on this.

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Speaker 2: This happened, by the way, Friday, right after we released

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Speaker 2: our Friday Flight, but no, we've been hitting multiple, multiple

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Speaker 2: all time highs since then.

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Speaker 1: You know what else is coincided with these all time highs?

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Speaker 1: Is I saw? Was it earlier this week that they

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Speaker 1: released the consumer sentiment? The consumer and how that's also

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Speaker 1: gone up, And oftentimes they tie it to inflation, but

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Speaker 1: I wonder how much of it is also tied to

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Speaker 1: individuals retirement accounts and knowing that their net worth is

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Speaker 1: either increasing or decreasing.

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Speaker 2: It goes back to something we talked about recently, the

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Speaker 2: wealth effect, the bigger the numbers on the page. When

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Speaker 2: you log into a look, you're like.

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Speaker 1: Oh, okay, all right, big spender. Now get out there

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Speaker 1: and buy stuff I wouldn't normally be able to afford, right, Okay,

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Speaker 1: so do that, Please don't do that. But we still

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Speaker 1: talk about this.

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Speaker 2: If twenty percent downturns are tough for you to handle emotionally,

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Speaker 2: you're probably invested too aggressively. That's one thing I think

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Speaker 2: we can learn from kind of this round trip back

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Speaker 2: to all time hise. If that had you freaking out,

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Speaker 2: we just said, this is a normal thing. You should expect.

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Speaker 2: Essentially routes of the stock market to occur every five

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Speaker 2: or six years, sometimes more common. We had two bear

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Speaker 2: markets essentially in the past three or four years, and

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Speaker 2: so much of how you should be invested it should

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Speaker 2: be reflected in how emotionally you get about what's going on,

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Speaker 2: what current market conditions are doing. Also, Matt, I think

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Speaker 2: something else we can learn from this trek back to

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Speaker 2: all time highs is to not bet against the American economy.

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Speaker 2: It's resilient as all get out, man like it resilient,

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Speaker 2: resilient through COVID resilient through all of these prognostications of

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Speaker 2: a recession. Could we enter into a recession this year, Sure,

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Speaker 2: of course we could. But businesses continue to innovate, they

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Speaker 2: continue to create more value for shareholders, and so I

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Speaker 2: think the thing to take away from this too is

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Speaker 2: to be a shareholder, to invest regularly, and for most

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Speaker 2: folks that means with every paycheck or monthly be in

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Speaker 2: AH or something like that into your IRA. And it's

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Speaker 2: fun to see the market bounce back, but the most

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Speaker 2: important thing is to keep investing when things are going

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Speaker 2: good when they're going tough. And what that makes me

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Speaker 2: think of, too is automation. The more you can kind

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Speaker 2: of set it and forget it, do the thing you're

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Speaker 2: supposed to do without having to actually remember to do it.

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Speaker 1: To act better the decisions of oh, wait a minute,

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Speaker 1: it is our country in the crapper, should I be

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Speaker 1: investing with or maybe I should be looking internationally?

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Speaker 2: Or wait, there's an election this year, Should that impact

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Speaker 2: how I invest? Yeah, short answer is no, are things

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Speaker 2: that we want you like. This should not go into

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Speaker 2: how it.

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Speaker 1: Is that you think about your investments. And actually, the

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Speaker 1: Financial Times they actually just reported this week that passive

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Speaker 1: investing has actually surpassed active investing for the first time.

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Speaker 1: Now there's more money now in passive mutual funds and

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Speaker 1: ETFs than there are in actively managed ones. And this

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Speaker 1: is of course something that we love seeing, and in

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Speaker 1: large part because actively managed funds come with significantly higher fees.

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Speaker 1: And the truth is man the results often aren't superior,

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Speaker 1: or if they are, it's only for a short period

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Speaker 1: of time. I think the last latest data I saw

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Speaker 1: was that of actively managed funds, only like fifty percent

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Speaker 1: of them outperformed their passive counterparts passive index counterparts, and

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Speaker 1: that was only for the first year yea. After on

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Speaker 1: that it drops precipitously, and trying to do it for

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Speaker 1: five years exactly, the numbers don't look nearly as good.

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Speaker 1: It makes something about Kathy Woods r ETF, which got

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Speaker 1: so much press to go and it rose to crazy

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Speaker 1: heights and then it plummeted. But it's doing well again

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Speaker 1: because it's lucky every now and then. Yeah, all that

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Speaker 1: because text acture crushing, Yeah, but can you maintain that?

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Speaker 1: So another reason for this passive surge is because evidently

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Speaker 1: advisors they're also steering their clients in the direction of

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Speaker 1: passively managed funds. And I'll say there's even a bit

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Speaker 1: of good news here if you're attracted to actively managed funds,

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Speaker 1: even though we wouldn't recommend it, but expenses on those

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Speaker 1: actively managed have actually come down on average as well

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Speaker 1: as the different fund fees have dropped across the board.

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Speaker 1: But bottom line, if you want more of your money

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Speaker 1: working for you, passive index funds are the way to go.

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Speaker 1: And by the way, we actually just published a new

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Speaker 1: post just singing the praises of passively managed index funds

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Speaker 1: up on the website that will make sure to link

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Speaker 1: to in our showdows.

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Speaker 2: Yeah, and talk about those expense ratios. It seems small,

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Speaker 2: point oh five versus point five.

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Speaker 1: But what's the big difference? Just a single zero?

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Speaker 2: It turns out there's a lot of money that should

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Speaker 2: be working for you that's not working for you when

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Speaker 2: you act opt for those more expensive actively managed funds.

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Speaker 2: All right, now, let's talk about income and happiness and

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Speaker 2: how correlated they might be. I think anybody listening would

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Speaker 2: say more pay bring it on. Sounds nice. I'm not

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Speaker 2: going to like refuse.

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Speaker 1: Hey, Joel, one to one correlation buddy.

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Speaker 2: Right, and I get it, Like I too would not

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Speaker 2: turn down a pay raise, but I think it's important

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Speaker 2: to mention that a pay raise, while it's nice, it's

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Speaker 2: not going to make you as happy as you think.

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Speaker 2: And we talk a fair amount about increase your take

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Speaker 2: on pay The more you bring in, the more quickly

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Speaker 2: you'll be able to make progress on your financial goals.

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Speaker 2: But there was a recent Wall Street Journal article mat

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Speaker 2: that highlighted the reality that the positive feelings we derive

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Speaker 2: from pay rays are often short lived. We get that

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Speaker 2: pot of gold at the end of the rainbow and

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Speaker 2: we're like whoa who, and then quickly the feeling wears off.

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Speaker 2: Getting that pay bump, though, I will say from like

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Speaker 2: forty thousand to seventy thousand bucks has a more dramatic impact.

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Speaker 2: But if you go from like two hundred thousand bucks

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Speaker 2: in pay to two hundred fifty thousand dollars, while it's

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Speaker 2: an overall bigger increase in the overall amount of dollars,

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Speaker 2: it's not going to have nearly the same sustained impact.

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Speaker 2: And I think that makes sense because those dollars are

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Speaker 2: basically a necessity on the lower end of the income spectrum.

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Speaker 2: But it's more like gravy on top for those high incomers.

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Speaker 2: But I guess again, fighting for that raise is great,

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Speaker 2: but banking on it for putting a perpetual smile on

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Speaker 2: your face if not.

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Speaker 1: Yeah, dude. I think what this points to is that

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Speaker 1: the hedonic treadmill is real. As we continue to move

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Speaker 1: the goalpost in our life as to what it is

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Speaker 1: that we think is going to make us happy, we

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Speaker 1: just have to perpetually stay in motion in order to

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Speaker 1: maintain that well.

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Speaker 2: And we've it makes sense because the other things we've

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Speaker 2: talked about in the past that have to do with

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Speaker 2: that is like something like lottery winners. And yes, their

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Speaker 2: happiness increases in a big way right when they win

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Speaker 2: the lottery, but you talk to them nine months down

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Speaker 2: the road and they're kind of back to those baseline

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Speaker 2: levels of hapiness.

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Speaker 1: It's the new normal. Yeah, exactly. There's sort of like

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Speaker 1: this standard, there's a floor that we always revert to.

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Speaker 1: But this what we're getting out here, though, is that

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Speaker 1: we shouldn't avoid getting promoted and getting pay bumps because

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Speaker 1: they're not going to lead to ultimate happiness. We're not

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Speaker 1: going to tell our employeer no, thank you. The math

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Speaker 1: still works out in our favor. Especially if a big

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Speaker 1: chunk of the increase in pay there is going to

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Speaker 1: go towards pushing you further along towards financial independence or

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Speaker 1: financial freedom. And there is an interesting quote in that

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Speaker 1: piece from someone who experienced a raise and who seemed

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Speaker 1: to be noticing more long Live joy and I love this.

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Speaker 1: He said, there's a weird rush and making money and

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Speaker 1: not spending it. I think that there is just a

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Speaker 1: lot of truth here, was my brother separated. I think

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Speaker 1: what he's realizing is sort of the dorky rush of

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Speaker 1: being a financially responsible adults, where instead of just blowing

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Speaker 1: the money into here now on frivolous things, we're socking

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Speaker 1: it away.

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Speaker 2: Man and other people interviewed in that same article were like,

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Speaker 2: I got the raise, and I the first thing I

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Speaker 2: did was book a trip to Europe, and they were like,

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Speaker 2: the trip was fun.

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Speaker 1: But I think that's part of the letdown exactly. And

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Speaker 1: I think what it speaks to, though, is someone who's

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Speaker 1: thinking long term and man the ability to sock this

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Speaker 1: money away for your future so that at some point

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Speaker 1: you can then enjoy it. It's like a form of

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Speaker 1: time travel. I think it was mister money Mustache back

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Speaker 1: in the day that wrote about this and how he

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Speaker 1: said that the money you invest now are like these

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Speaker 1: little sweet little presents. They're like these little packages that

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Speaker 1: you send through time to yourself in the future. And

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Speaker 1: so do you want to give yourself these sweet little

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Speaker 1: treats to enjoy in the future, or do you want

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Speaker 1: them to be like flaming bags of poop that you're

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Speaker 1: then going to have to deal with because that's not

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Speaker 1: something that you paid attention to in the present. Yeah,

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Speaker 1: I know what it is that I want to be

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Speaker 1: receiving off in my feture.

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Speaker 2: Yes, And I know when I was first starting off

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Speaker 2: in my career Matt making very little impact. First first

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Speaker 2: job was making less than thirty k full time, and

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Speaker 2: then after that I went to a part time job

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Speaker 2: making an hourly rage because I worked in radio and

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Speaker 2: that doesn't pay very well. And I just kept thinking, like,

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Speaker 2: oh man, when I get a raise, once I get

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Speaker 2: to this certain level of income, my life's going to

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Speaker 2: be golden. And it's not that those raises weren't impactful

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Speaker 2: and allowing me to save and invest and to even

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Speaker 2: consume some more of those dollars that I was making,

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Speaker 2: but the pay raises I can tell you from personal experience,

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Speaker 2: did not result in the happiest levels that I thought

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Speaker 2: they would that make oh, seventy thousand bucks if I

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Speaker 2: get to that threshold, that's going to be the game changer,

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Speaker 2: And it never was in the way that I thought

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Speaker 2: it was going.

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Speaker 1: To be exactly. Yeah, and it's not that lifestyle great,

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Speaker 1: that's what we're talking about here. It impacts our ability

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Speaker 1: to save, yes, that's true, but it's using higher levels

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Speaker 1: of pay to fuel more consumption. It's that that often

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Speaker 1: doesn't have the impact that we think it will. It's

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Speaker 1: sort of like being famous, Like folks think that, oh,

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Speaker 1: it's another one of those what do you call them

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Speaker 1: in the deserts, a mirage. You see it off in

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Speaker 1: the distance and you're like, oh, that's the source of

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Speaker 1: my oasis. Yes, But in reality it's it's all fleeting. Yeah. Yeah,

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Speaker 1: that's why what a lot of.

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Speaker 2: Famous people say, why do you like, if you want

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Speaker 2: to be rich and famous, we'll try being rich first,

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Speaker 2: because I don't know, the fame part takes a toll

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Speaker 2: on you too. And if you're going to be rich,

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Speaker 2: maybe don't spend it all either, because that won't lead

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Speaker 2: to greater levels of happiness. Okay, let's talk about careers

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Speaker 2: for a second. Matt, we've talked about a couple of

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Speaker 2: new to us terms. We've talked about career cushioning recently

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Speaker 2: on the show. Well there's another one, I think, cash stuffing.

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Speaker 1: Cash stuffing.

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Speaker 2: Yeah, there's another one I found worth mentioning in an

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Speaker 2: article this week. It's called new collar workers, and it's

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Speaker 2: got a nice ring to it, he does. I'm like, okay, cool,

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Speaker 2: what are these things I've heerd?

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Speaker 1: No collar, I'm a new collar worker. Just wear a

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Speaker 1: T shirt. But okay. New collar workers are apparently kind

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Speaker 1: of sandwiched in between blue collar and white collar workers.

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Speaker 1: The crux of new collar is basically needing specialized education

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Speaker 1: but not needing a college degree, and so a lot

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Speaker 1: of the jobs where new collar folks are wanted are

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Speaker 1: the fields of engineering, tech, and software. And these jobs

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Speaker 1: pay pretty well, but all while allowing you to avoid

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Speaker 1: accumulating a massive pile of student loan debt. And of course,

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Speaker 1: you know, as the cost of four year degrees continues

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Speaker 1: to rise and more employers are willing to accept other

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Speaker 1: certifications and forms of education, that provides a nice lane

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Speaker 1: for a whole lot of folks to get paid more

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Speaker 1: without the downside of crushing debt. And so this is

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Speaker 1: just something to think about instead of, like I think, Matt,

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Speaker 1: the patented way people think is I'll got to go

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Speaker 1: back to school and get my MBA. That's what's going

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Speaker 1: to allow me to make the step up in my

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Speaker 1: career and increase my income. But that's not always the case.

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Speaker 1: Sometimes it's a much much cheaper way to move forward

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Speaker 1: and it doesn't involve years and years of schooling and

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Speaker 1: loads and loads of debt. That's right, Okay, So on

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Speaker 1: another new fangled term here, let's talk about loud budgeting.

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Speaker 1: This is something actually that's weird. I was gon thing

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Speaker 1: about saying it, like really quietly, we're gonna talk about

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Speaker 1: loud budgeting. We are all about this, man, and what

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Speaker 1: it is. Essentially, it's making your money goals more visible

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Speaker 1: to your friends and family. And the reason we love

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Speaker 1: this is because so many folks just avoid talking about money.

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Speaker 1: They don't share their goals, they don't share their progress,

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Speaker 1: how they're doing at work. They're not honest about why

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Speaker 1: it is that they're reducing their spending, like, for instance,

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Speaker 1: if they're just really getting after their debt. But I

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Speaker 1: think opening some lines of communication where you're getting loud

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Speaker 1: about the path that you're taking is a good way

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Speaker 1: to make money less taboo, and it catalyzes money conversations

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Speaker 1: in general. That's a big reason why we even started

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Speaker 1: the show, because it was something that you and I

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Speaker 1: enjoyed these conversations. I mean that literally, don't aloud podcasting.

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Speaker 1: We just called it getting beers. I mean like literally,

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Speaker 1: that's kind of how the show started, because we were

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Speaker 1: having these conversations ourselves, but then we thought, oh, let's

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Speaker 1: maybe record these in a more formal setting. Boom include

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Speaker 1: tens of thousands of other best tings equals a podcast.

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Speaker 1: But granted this is loud budgeting, so this is of

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Speaker 1: course a TikTok trend. And I say that because not

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Speaker 1: to encourage you to create some new account, Like you

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Speaker 1: don't have to go out there and post on social

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Speaker 1: media to take advantage of this, but just do make

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Speaker 1: it a goal to maybe be a little less tight

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Speaker 1: lipped about your finances. You don't have to like share

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Speaker 1: your exact amount of debt that you have or how

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Speaker 1: much you're able to invest over the past three years.

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Speaker 1: While you're able to crush it because you're a white

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Speaker 1: collar worker and you're able to remote work from home

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Speaker 1: and you job hopped and so in fact, you doubled

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Speaker 1: your income since twenty twenty. Yeah, you don't necessarily have

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Speaker 1: to go that far.

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Speaker 2: You don't have to be one hundred percent transparent with

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Speaker 2: every single valar you're doing everything with. But you, you know,

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Speaker 2: why not speak up a little more about what your

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Speaker 2: goals are, what you're aiming for, and why you're making

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Speaker 2: certain decisions. I think that's just like good communication skills too, Matt. Sometimes,

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Speaker 2: like we just say no to an opportunity or a

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Speaker 2: hang with somebody because we're like, oh, it's going to

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Speaker 2: cost us money, instead of suggesting something else. And I

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Speaker 2: think you being willing to broach the money topic is

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Speaker 2: actually a good thing. And I think a lot of

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Speaker 2: people would love to talk about money.

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Speaker 1: Yeah, they're just.

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Speaker 2: Too fearful to actually bring it up. And if you're

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Speaker 2: the one who initiates the conversation, some of your friends

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Speaker 2: are gonna be like, oh, hey, thank you, Like, yeah,

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Speaker 2: let's talk about this thing because it's something I haven't

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Speaker 2: been able to talk about with any anybody else.

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Speaker 1: Absolutely, Yeah, you can be the spark I don't know,

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Speaker 1: like in your in your friend group, and pretty soon

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Speaker 1: you're all on fire. You get it fire. Financially, we've

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Speaker 1: got more to get to during our Friday flight. We're

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Speaker 1: going to talk about student loans and even luxury brands.

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Speaker 1: We'll get to all of that and more right after this.

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Speaker 2: All right, we're back to Friday flight, continues Fatt. Let's

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Speaker 2: get to the ludicrous headline of the week. This one

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Speaker 2: comes from the New York Post and the title was

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Speaker 2: as that's how you pronounce it rights, Oh.

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Speaker 1: Come on, Ermez and Mes blasted. This tells you it's

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Speaker 1: not I thought you were gonna say Hermes, that would

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Speaker 1: have been worse. She didn't do that, That would have been worse.

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Speaker 2: Urmas blasted for one hundred and twenty five dollars envelope

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Speaker 2: and that we.

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Speaker 1: As they should be.

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Speaker 2: Yeah, I mean you and I. We don't typically bash

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Speaker 2: specific spending choices. We try to guide people in the

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Speaker 2: right direction without like obliterating the things that they care about.

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Speaker 2: If you really want a new car, like, we're not

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Speaker 2: gonna talk smack pay cash warp please, if you want

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Speaker 2: a Stanley cup, that's another thing I saw some somebody

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Speaker 2: stole like hundreds of Stanley cups and got arrested.

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Speaker 1: For when he got arrested. Yeah, I thought it was

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Speaker 1: an Onion article. It's because the picture with like on

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Speaker 1: the front of the police Yeah. Yeah, so stupid.

433
00:19:18,440 --> 00:19:20,360
Speaker 2: But if you really want a Stanley cup, get one,

434
00:19:20,560 --> 00:19:23,439
Speaker 2: just make sure you're doing it not for your own reasons,

435
00:19:23,440 --> 00:19:26,000
Speaker 2: not because of the consumerism craze currently surrounding them.

436
00:19:25,840 --> 00:19:28,360
Speaker 1: Which I would say is would be hard to justify

437
00:19:28,440 --> 00:19:31,040
Speaker 1: considering it's become the new hot thing. Yeah, and it's

438
00:19:31,080 --> 00:19:33,680
Speaker 1: not like you've always had this deep seated.

439
00:19:33,480 --> 00:19:35,680
Speaker 2: Passion for Stanley cups, right, I mean, come on, let's

440
00:19:35,680 --> 00:19:37,479
Speaker 2: be cup all that came out in twenty seventeen, be

441
00:19:37,520 --> 00:19:39,960
Speaker 2: honest with yourself, right, And same thing is true with

442
00:19:40,000 --> 00:19:42,640
Speaker 2: this Enimeze envelope that was that good?

443
00:19:43,000 --> 00:19:43,720
Speaker 1: Pretty good? Okay?

444
00:19:43,920 --> 00:19:46,120
Speaker 2: It so it costs like one hundred and fifty times

445
00:19:46,160 --> 00:19:48,840
Speaker 2: what a normal envelope costs, and what's so special about it? Well,

446
00:19:48,840 --> 00:19:52,480
Speaker 2: apparently it's wrapped in silk, it's reusable, and it's made

447
00:19:52,480 --> 00:19:54,680
Speaker 2: in France, which sounds ridiculous to me. And so Matt,

448
00:19:54,760 --> 00:19:58,080
Speaker 2: this kind of got me thinking, what else does Animeze

449
00:19:58,119 --> 00:20:01,560
Speaker 2: sell that's just ridiculously over And I went on their

450
00:20:01,600 --> 00:20:04,000
Speaker 2: website to look one hundred and seventy five bucks for

451
00:20:04,040 --> 00:20:06,080
Speaker 2: a couple of decks of playing cards. Nice, you can

452
00:20:06,080 --> 00:20:08,639
Speaker 2: get a beanie for four and twenty bucks, and.

453
00:20:08,680 --> 00:20:12,399
Speaker 1: That sounds intentional. Yeah, it just makes me think act stupid.

454
00:20:12,440 --> 00:20:14,400
Speaker 2: And then obviously you go beyond that into any sort

455
00:20:14,400 --> 00:20:17,480
Speaker 2: of real clothing item and the price rises astronomically.

456
00:20:17,960 --> 00:20:19,720
Speaker 1: I guess I'm just not cut out to live that

457
00:20:20,119 --> 00:20:22,800
Speaker 1: luxury life story brand lifestyle. So you know what this

458
00:20:22,840 --> 00:20:25,480
Speaker 1: reminds me of? You remember the frugaler cheap story I

459
00:20:25,520 --> 00:20:28,520
Speaker 1: shared this is years ago about the Ermez scarf that

460
00:20:28,600 --> 00:20:31,760
Speaker 1: Kate got. Oh, that that was an Ermez scarf. So

461
00:20:31,960 --> 00:20:35,560
Speaker 1: here's a quick recap. My mom received an Ermez scarf

462
00:20:35,640 --> 00:20:38,560
Speaker 1: and these things evidently cost like up to thousands of dollars. Well,

463
00:20:38,600 --> 00:20:40,560
Speaker 1: I believe it brand new, I believe it. She was

464
00:20:40,600 --> 00:20:43,960
Speaker 1: gifted that by like a rich friend. She didn't like it,

465
00:20:44,280 --> 00:20:46,920
Speaker 1: turn around, gifted it to Kate for Christmas. Kate didn't

466
00:20:46,960 --> 00:20:50,240
Speaker 1: like it, but also realized this is an expensive scarf,

467
00:20:50,280 --> 00:20:52,439
Speaker 1: I know, and so we ended up selling it on

468
00:20:52,480 --> 00:20:56,120
Speaker 1: eBay for like seven hundred dollars because somebody really wanted it.

469
00:20:56,359 --> 00:20:59,320
Speaker 1: So frugler cheap Joel. I think it's frugal. It's rue

470
00:20:59,560 --> 00:21:02,479
Speaker 1: because that seven hundred bucks was much better spent than

471
00:21:02,520 --> 00:21:05,360
Speaker 1: it sitting in the form of a scarf in her closet.

472
00:21:05,720 --> 00:21:06,919
Speaker 1: Just think about all that she was able to do

473
00:21:06,920 --> 00:21:07,119
Speaker 1: with that.

474
00:21:07,359 --> 00:21:09,000
Speaker 2: That's a much better gift. It was already a regift

475
00:21:09,000 --> 00:21:11,320
Speaker 2: from your mom. So your mom understood. She didn't go

476
00:21:11,320 --> 00:21:13,359
Speaker 2: out and spend the seventeen hundred bucks expecting me to

477
00:21:13,400 --> 00:21:13,719
Speaker 2: wear it.

478
00:21:14,040 --> 00:21:16,640
Speaker 1: She was like, I don't want this thing exactly exactly

479
00:21:16,680 --> 00:21:20,840
Speaker 1: as long as her friend doesn't. Does hear about the story? Okay,

480
00:21:20,880 --> 00:21:24,920
Speaker 1: so also ludacrous. Evidently, nearly two in five Americans admit

481
00:21:25,000 --> 00:21:28,199
Speaker 1: to having committed financial and fidelity. This is according to

482
00:21:28,240 --> 00:21:30,840
Speaker 1: bank Rate, Forty two percent of adults surveyed have kept

483
00:21:30,840 --> 00:21:34,600
Speaker 1: a financial secret from their partner. And that's certainly not

484
00:21:34,680 --> 00:21:36,399
Speaker 1: a good thing. We're not going to approve of that,

485
00:21:36,480 --> 00:21:38,920
Speaker 1: and we don't recommend lying to your spouse, not even

486
00:21:39,119 --> 00:21:42,359
Speaker 1: the little white lies. But it's also important to mention

487
00:21:42,440 --> 00:21:45,960
Speaker 1: that not all financial infidelity is equal. I think a

488
00:21:45,960 --> 00:21:48,280
Speaker 1: lot of the potential guilt might stem from the fact

489
00:21:48,280 --> 00:21:51,399
Speaker 1: that maybe there haven't been clear lines of communication regarding

490
00:21:51,800 --> 00:21:53,320
Speaker 1: what it is that we're going to be spending this

491
00:21:53,359 --> 00:21:56,200
Speaker 1: month or what we're trying to achieve this year. There's

492
00:21:56,200 --> 00:21:57,840
Speaker 1: a lot of gray area involved. I think a lot

493
00:21:57,880 --> 00:21:59,800
Speaker 1: of times with couples in spending and there's a lot

494
00:21:59,800 --> 00:22:03,119
Speaker 1: of feelings like, well, I don't think I should be

495
00:22:03,160 --> 00:22:04,880
Speaker 1: spending on that, but I'm going to do it anyway,

496
00:22:05,040 --> 00:22:07,800
Speaker 1: and I feel kind of guilty. I think there's a

497
00:22:07,920 --> 00:22:11,240
Speaker 1: lack of communication that could lead to couples feeling a

498
00:22:11,280 --> 00:22:12,640
Speaker 1: whole lot better about their money.

499
00:22:12,720 --> 00:22:14,359
Speaker 2: Yeah, And I think the reason that the numbers are

500
00:22:14,359 --> 00:22:16,359
Speaker 2: so high on this, some like forty two percent you

501
00:22:16,400 --> 00:22:20,359
Speaker 2: said of people having admitting to basically committing financial infidelity,

502
00:22:20,920 --> 00:22:23,199
Speaker 2: is because the term is so loosely defined, and so

503
00:22:23,440 --> 00:22:26,720
Speaker 2: financial infidelity could be Oh man, I opened up I

504
00:22:26,880 --> 00:22:29,080
Speaker 2: download the sports gambling app on my phone and it

505
00:22:29,119 --> 00:22:31,560
Speaker 2: turns out I've been I've lost thousands of dollars I

506
00:22:31,600 --> 00:22:33,639
Speaker 2: just haven't told my spouse about it. Or can be

507
00:22:33,640 --> 00:22:35,960
Speaker 2: opening up a credit card spending lots of money that

508
00:22:36,000 --> 00:22:38,359
Speaker 2: they don't know about something like those are really big things.

509
00:22:38,359 --> 00:22:40,640
Speaker 2: So both of those are real, pretty big ones, really

510
00:22:40,640 --> 00:22:42,359
Speaker 2: big breaches of trust, but I think it could also

511
00:22:42,560 --> 00:22:44,680
Speaker 2: someone might say, yes, I've done this too, because i

512
00:22:44,720 --> 00:22:47,280
Speaker 2: went to the grocery store and I've got a craft

513
00:22:47,320 --> 00:22:49,960
Speaker 2: beer budget and I'm supposed to put that on my account,

514
00:22:50,080 --> 00:22:51,800
Speaker 2: but I scanned it at the checkout counter and I

515
00:22:51,840 --> 00:22:53,040
Speaker 2: just included I mean, groceries.

516
00:22:53,080 --> 00:22:54,280
Speaker 1: Doesn't have to be a confession time.

517
00:22:55,920 --> 00:22:57,760
Speaker 2: Those are the kind of exact way I guess that

518
00:22:57,800 --> 00:22:59,880
Speaker 2: would still fall under the realm of financial infidelity.

519
00:23:00,040 --> 00:23:03,640
Speaker 1: Depends what kind of moral obstaining character fiber that you're

520
00:23:03,640 --> 00:23:03,959
Speaker 1: made of.

521
00:23:04,160 --> 00:23:07,880
Speaker 2: I lack in somewheres, I'll tell you that. But yeah,

522
00:23:08,000 --> 00:23:09,520
Speaker 2: I think you're right, Matt. It's just crucially keep the

523
00:23:09,560 --> 00:23:12,040
Speaker 2: lines of communication up and to talk about your finances

524
00:23:12,080 --> 00:23:14,960
Speaker 2: regularly and to talk about those shared goals saying that

525
00:23:15,160 --> 00:23:17,960
Speaker 2: is really where a lot of progress is made. Totally agree,

526
00:23:18,000 --> 00:23:20,919
Speaker 2: and it kind of prevents you from wanting to go

527
00:23:20,960 --> 00:23:23,440
Speaker 2: down that other rabbit hole of financial infidelity. And then

528
00:23:23,480 --> 00:23:26,960
Speaker 2: also set up a spending threshold where no discussion has

529
00:23:26,960 --> 00:23:29,800
Speaker 2: to happen before you each are allowed to spend the

530
00:23:29,800 --> 00:23:31,840
Speaker 2: amount of money that you want to write on your own,

531
00:23:32,160 --> 00:23:34,480
Speaker 2: on your own wants and desires, without having to check

532
00:23:34,480 --> 00:23:37,240
Speaker 2: in and like, let's say sports gaming is something you

533
00:23:37,240 --> 00:23:39,000
Speaker 2: want to do and you want to commit three hundred

534
00:23:39,000 --> 00:23:40,719
Speaker 2: bucks a month to doing that. As long as your

535
00:23:40,760 --> 00:23:42,920
Speaker 2: partner knows about it. It doesn't matter that you're losing

536
00:23:42,960 --> 00:23:44,399
Speaker 2: thirty six hundred bucks a year as long as you

537
00:23:44,440 --> 00:23:46,080
Speaker 2: can afford to and it's fun for you. I guess

538
00:23:46,760 --> 00:23:47,360
Speaker 2: I hate it.

539
00:23:47,400 --> 00:23:50,680
Speaker 1: That sounds Yeah, that's a lot of money. Yeah, but

540
00:23:51,000 --> 00:23:53,760
Speaker 1: maybe for some folks listen and that's their gosh, I

541
00:23:53,760 --> 00:23:55,760
Speaker 1: guess that could be their craft beer equivalent for sure,

542
00:23:55,840 --> 00:23:58,000
Speaker 1: And like they're really into sports and they like to

543
00:23:58,000 --> 00:23:59,800
Speaker 1: be invested in that way. As long as we're on

544
00:23:59,840 --> 00:24:02,240
Speaker 1: some they invested, you're doing really behind the back of

545
00:24:02,280 --> 00:24:05,000
Speaker 1: the person you love exactly. I like that. Yeah, And

546
00:24:05,040 --> 00:24:08,240
Speaker 1: that's what's so great about budgeting is because we're talking

547
00:24:08,320 --> 00:24:12,400
Speaker 1: about dollar amounts, and dollars are so easily definable. It's

548
00:24:12,440 --> 00:24:16,480
Speaker 1: not like it's so incredibly objective. There's no value or

549
00:24:16,520 --> 00:24:19,239
Speaker 1: judgment call on the dollar amount once you arrive at that,

550
00:24:19,520 --> 00:24:21,200
Speaker 1: and like you said, then you don't have to continually

551
00:24:21,240 --> 00:24:23,320
Speaker 1: have these conversations. I think it's a great way of

552
00:24:23,359 --> 00:24:26,119
Speaker 1: kind of greasing the skids and just kind of lubricating

553
00:24:26,160 --> 00:24:29,040
Speaker 1: the gears so that your your finances are working well

554
00:24:29,080 --> 00:24:33,280
Speaker 1: with your partner. Joel We mentioned the Wrath Forwink changes

555
00:24:33,320 --> 00:24:36,280
Speaker 1: that actually have now gone into effect. This is thanks

556
00:24:36,280 --> 00:24:39,480
Speaker 1: to the Secure two point zero Acts past a couple

557
00:24:39,520 --> 00:24:42,000
Speaker 1: of years ago. Well, another element of that bill it

558
00:24:42,040 --> 00:24:44,240
Speaker 1: went live at the beginning of this year as well,

559
00:24:44,680 --> 00:24:47,879
Speaker 1: and that is that your employer is now allowed to

560
00:24:47,960 --> 00:24:51,960
Speaker 1: match your student loan payments with contributions to your workplace

561
00:24:52,000 --> 00:24:55,800
Speaker 1: retirement accounts. Basically, if you're saying, let's say your student

562
00:24:55,840 --> 00:24:58,920
Speaker 1: loan payment it's it's so high it's preventing you from investing, well,

563
00:24:58,920 --> 00:25:01,639
Speaker 1: your employer is allowed to sock money into your four

564
00:25:01,680 --> 00:25:05,679
Speaker 1: O WINK for you even if you aren't doing that. So,

565
00:25:05,760 --> 00:25:08,080
Speaker 1: for instance, you could like let's say two percent of

566
00:25:08,080 --> 00:25:10,119
Speaker 1: your pay is going towards your student loans. Your company

567
00:25:10,119 --> 00:25:12,320
Speaker 1: could have a policy where they're sticking five percent of

568
00:25:12,359 --> 00:25:15,440
Speaker 1: your pay into your work sponsored four A win K account.

569
00:25:15,720 --> 00:25:18,520
Speaker 1: The amounts very depending on whatever it is that your

570
00:25:18,560 --> 00:25:21,280
Speaker 1: company may or may not have implemented.

571
00:25:21,359 --> 00:25:23,680
Speaker 2: Yeah, everyone's got like a different policy. And actually a

572
00:25:23,680 --> 00:25:25,880
Speaker 2: lot of companies have no policy on this yet because

573
00:25:25,920 --> 00:25:26,840
Speaker 2: this is so brand new.

574
00:25:26,960 --> 00:25:30,200
Speaker 1: Yeah, it's available to be offered, but that doesn't mean

575
00:25:30,240 --> 00:25:32,960
Speaker 1: it's a requirement. So that's something that if this sounds

576
00:25:32,960 --> 00:25:35,880
Speaker 1: interesting to you, bark up that HR tree or see

577
00:25:35,880 --> 00:25:38,960
Speaker 1: if that's something that you could start having implemented at

578
00:25:38,960 --> 00:25:40,520
Speaker 1: your place of employment.

579
00:25:40,040 --> 00:25:41,960
Speaker 2: To send an email, go knock on the door and

580
00:25:42,080 --> 00:25:43,919
Speaker 2: have a quick meeting, say hey, I know this is

581
00:25:44,040 --> 00:25:46,640
Speaker 2: like available, now is this something we do. I will

582
00:25:46,680 --> 00:25:50,120
Speaker 2: also say this though, Matt, just because this is now

583
00:25:50,200 --> 00:25:52,720
Speaker 2: a reality and that some people are going to at

584
00:25:52,760 --> 00:25:56,160
Speaker 2: some places of employment get a match to their four

585
00:25:56,160 --> 00:25:58,840
Speaker 2: O one K for paying on their student loans. Well,

586
00:25:58,840 --> 00:26:00,879
Speaker 2: it doesn't mean that you shouldn't stick money in your

587
00:26:00,920 --> 00:26:04,320
Speaker 2: four one K if you can, right like, don't forego

588
00:26:04,320 --> 00:26:06,040
Speaker 2: contributing to your four one K if you have the

589
00:26:06,080 --> 00:26:08,800
Speaker 2: ability to both contribute to that and pay off your

590
00:26:08,800 --> 00:26:11,879
Speaker 2: student loans. Something else, by the way, that's worth mentioning

591
00:26:11,920 --> 00:26:13,840
Speaker 2: on the student loan front is that if you've been

592
00:26:13,880 --> 00:26:16,280
Speaker 2: paying on your loans for more than a decade and

593
00:26:16,320 --> 00:26:19,719
Speaker 2: your original loan amount was less than twelve thousand dollars,

594
00:26:20,080 --> 00:26:23,439
Speaker 2: your debt is eligible to be erased next month. And

595
00:26:23,480 --> 00:26:26,680
Speaker 2: so this is only for federal borrowers who are enrolled

596
00:26:27,119 --> 00:26:29,920
Speaker 2: in the new Save Plan that we've talked about many

597
00:26:29,920 --> 00:26:32,720
Speaker 2: times now on the show, and it's not applicable to

598
00:26:32,760 --> 00:26:34,480
Speaker 2: a massive chunk of folks. Matt, I don't think there's

599
00:26:34,640 --> 00:26:37,399
Speaker 2: I think there's probably hundreds of thousands instead of like

600
00:26:37,480 --> 00:26:39,440
Speaker 2: millions or tens of millions or anything like that who

601
00:26:39,480 --> 00:26:40,680
Speaker 2: fall into this category.

602
00:26:40,840 --> 00:26:43,720
Speaker 1: Unfortunately, because their balances, their initial balances ye are way

603
00:26:43,720 --> 00:26:44,120
Speaker 1: too high.

604
00:26:44,160 --> 00:26:46,520
Speaker 2: Not many people will graduate with like eight thousand dollars

605
00:26:46,600 --> 00:26:48,520
Speaker 2: in student loans. Most people graduate with a lot more

606
00:26:48,560 --> 00:26:48,880
Speaker 2: than that.

607
00:26:49,320 --> 00:26:51,680
Speaker 1: Forty thousand right loans. But if you're one of those.

608
00:26:51,560 --> 00:26:53,720
Speaker 2: Folks who meets those guidelines, you might be able to

609
00:26:53,720 --> 00:26:57,320
Speaker 2: say cyanora to those loans real soon. Look into it,

610
00:26:57,359 --> 00:26:59,560
Speaker 2: make sure you're signed up for the Save Plan, and

611
00:26:59,840 --> 00:27:03,080
Speaker 2: hopefully your smallish balance goes away completely.

612
00:27:03,119 --> 00:27:05,760
Speaker 1: That's right, man, Okay, time now for our last story.

613
00:27:05,800 --> 00:27:08,760
Speaker 1: This is the bad banks behavior Bad would you say

614
00:27:08,800 --> 00:27:12,879
Speaker 1: bad behavior bank? Bad Bunny? I don't know number one

615
00:27:12,920 --> 00:27:16,399
Speaker 1: streaming artists evidently until Tayler Swift be throned him.

616
00:27:16,400 --> 00:27:18,040
Speaker 2: We were just talking about that before we started recording.

617
00:27:18,040 --> 00:27:19,919
Speaker 2: How neither of us can name one song of his,

618
00:27:20,080 --> 00:27:21,960
Speaker 2: and he's one of the most popular musicians on the

619
00:27:22,000 --> 00:27:22,520
Speaker 2: face of the earth.

620
00:27:22,520 --> 00:27:24,359
Speaker 1: Evidently we lived behind rocks. I thought he was like

621
00:27:24,359 --> 00:27:26,760
Speaker 1: a producer, but evidently he's an actual he's an actual artist.

622
00:27:26,880 --> 00:27:30,320
Speaker 1: I think he's huge. Yeah, Okay. Bad bank behavior. Everyone

623
00:27:30,600 --> 00:27:33,320
Speaker 1: Joel has a bias oftentimes. I think they can be

624
00:27:33,359 --> 00:27:35,440
Speaker 1: difficult for us to spot. It's just it's kind of

625
00:27:35,480 --> 00:27:37,639
Speaker 1: baked into just who we are and how it is

626
00:27:37,680 --> 00:27:40,359
Speaker 1: that we believe. And we have a pretty strong bias

627
00:27:40,400 --> 00:27:43,520
Speaker 1: towards our favorite online banks that we talk about regularly

628
00:27:43,680 --> 00:27:46,280
Speaker 1: here on the show. But we also try to retain

629
00:27:46,320 --> 00:27:48,600
Speaker 1: a willingness to call out bad behavior when we see

630
00:27:48,640 --> 00:27:51,520
Speaker 1: it and we feel compelled to mention something that Capital

631
00:27:51,600 --> 00:27:54,760
Speaker 1: One has done that isn't necessarily in the best interest

632
00:27:54,800 --> 00:27:58,159
Speaker 1: of their customers. And basically, here's what's going on. They

633
00:27:58,240 --> 00:28:00,600
Speaker 1: have an account saving his account that pays a really

634
00:28:00,680 --> 00:28:04,119
Speaker 1: competitive market interest rate, but they also have another savings

635
00:28:04,160 --> 00:28:07,640
Speaker 1: account that pays a pittance. And which account you're in

636
00:28:08,000 --> 00:28:11,639
Speaker 1: depends on your level of vigilance. Specifically, if you've been

637
00:28:11,680 --> 00:28:14,359
Speaker 1: banking with Capital One for a while, you might not

638
00:28:14,400 --> 00:28:17,560
Speaker 1: have noticed that their new savings account is paying something.

639
00:28:17,680 --> 00:28:19,440
Speaker 1: I think it's like four close to four and a

640
00:28:19,440 --> 00:28:22,560
Speaker 1: half percent. But because you have not noticed, that probably

641
00:28:22,600 --> 00:28:24,639
Speaker 1: also means that you didn't notice that you're only getting

642
00:28:24,680 --> 00:28:28,160
Speaker 1: paid zero point three percent, and that is a massive gap.

643
00:28:28,200 --> 00:28:30,760
Speaker 1: It could mean missing out on hundreds of dollars or

644
00:28:30,800 --> 00:28:33,440
Speaker 1: even thousands, depending on how much of a nest egg,

645
00:28:33,440 --> 00:28:36,320
Speaker 1: how much of a of an emergency, how many months

646
00:28:36,320 --> 00:28:38,640
Speaker 1: of living expenses you have socked away in there. That's

647
00:28:38,680 --> 00:28:41,280
Speaker 1: a ton of money, and I think it's a kind

648
00:28:41,280 --> 00:28:44,440
Speaker 1: of a crappy stunt to pull on, especially your loyal customers,

649
00:28:44,480 --> 00:28:47,480
Speaker 1: because oftentimes those impacting those who had been with Capital

650
00:28:47,520 --> 00:28:49,560
Speaker 1: One for a while and didn't see that they're now

651
00:28:49,600 --> 00:28:52,160
Speaker 1: offering something that was a bit more attractive.

652
00:28:52,200 --> 00:28:55,240
Speaker 2: Agreed, Yeah, just to have those two savings accounts and

653
00:28:55,560 --> 00:28:58,640
Speaker 2: their names were kind of confusing to one is the

654
00:28:58,680 --> 00:29:01,480
Speaker 2: performance savings acount, that's the higher interest rate one, and

655
00:29:01,480 --> 00:29:03,440
Speaker 2: the other one's just playing old Capital One savings.

656
00:29:03,440 --> 00:29:05,040
Speaker 1: It makes it doesn't make it seem like it was

657
00:29:05,080 --> 00:29:06,680
Speaker 1: just something that was kind of done on the sly

658
00:29:07,280 --> 00:29:09,200
Speaker 1: on the DL. I'm glad that they offer me.

659
00:29:09,240 --> 00:29:11,440
Speaker 2: And again we've talked about Capital One in great terms

660
00:29:11,480 --> 00:29:14,200
Speaker 2: regularly because they do have there's a lot of good

661
00:29:14,200 --> 00:29:15,920
Speaker 2: things to be said about Capital One, but there are

662
00:29:16,080 --> 00:29:18,920
Speaker 2: This is also something that really frustrates me, especially when

663
00:29:19,000 --> 00:29:21,280
Speaker 2: loyal customers get kind of left in the lurch. When

664
00:29:21,320 --> 00:29:23,800
Speaker 2: a new account is launched, they should be notified and honestly,

665
00:29:23,840 --> 00:29:27,239
Speaker 2: they should probably be automatically moved into that account. And

666
00:29:27,520 --> 00:29:29,640
Speaker 2: why is there a need for multiple saving these accounts

667
00:29:29,720 --> 00:29:32,680
Speaker 2: that pay different rates when everything else about these accounts

668
00:29:32,680 --> 00:29:33,760
Speaker 2: is essentially they.

669
00:29:33,520 --> 00:29:36,680
Speaker 1: Say not to like give a defense for Capital One,

670
00:29:36,760 --> 00:29:39,200
Speaker 1: but one of their CEOs mentioned that a lot of

671
00:29:39,200 --> 00:29:41,680
Speaker 1: times these multiple accounts, it's not as straightforward, I guess

672
00:29:41,720 --> 00:29:43,960
Speaker 1: as we wish it was right, which is that when

673
00:29:44,040 --> 00:29:46,800
Speaker 1: a merger or an acquisition takes place, you've got customers

674
00:29:46,840 --> 00:29:50,200
Speaker 1: from an old bank and oftentimes that's actually when they're

675
00:29:50,200 --> 00:29:52,280
Speaker 1: in that other account, because I guess it's just more

676
00:29:52,280 --> 00:29:56,120
Speaker 1: complicated that we wish it to be. Similarly, C Bank,

677
00:29:56,320 --> 00:29:58,760
Speaker 1: who we are huge fans of because they pay I

678
00:29:58,760 --> 00:30:01,840
Speaker 1: mean pretty much tops it comes to savings for sure,

679
00:30:01,880 --> 00:30:04,000
Speaker 1: But we talked about this a long time ago. But

680
00:30:04,080 --> 00:30:06,840
Speaker 1: when they merged with another bank, it meant that they

681
00:30:06,880 --> 00:30:08,640
Speaker 1: had I don't know if they have to maintain one

682
00:30:08,680 --> 00:30:10,520
Speaker 1: of those other savings account, but they have a product

683
00:30:10,520 --> 00:30:13,200
Speaker 1: where that's in like the one percent range as opposed

684
00:30:13,240 --> 00:30:15,080
Speaker 1: to the one that we always talk about, which is

685
00:30:15,080 --> 00:30:17,240
Speaker 1: the you know exactly.

686
00:30:17,320 --> 00:30:20,120
Speaker 2: Yeah. So it's they're not alone in this. Other banks

687
00:30:20,120 --> 00:30:23,880
Speaker 2: do similar tactics, and uh, I guess some the reason

688
00:30:23,920 --> 00:30:26,040
Speaker 2: there was an article written about it is because customers

689
00:30:26,040 --> 00:30:27,960
Speaker 2: were coming out and saying like they were complaining to

690
00:30:27,960 --> 00:30:29,880
Speaker 2: the CFPB and saying, why am I being left out

691
00:30:30,040 --> 00:30:32,800
Speaker 2: of this higher savings account? Can I get the interest

692
00:30:33,280 --> 00:30:35,560
Speaker 2: restored to me retroactively? And campital on and says, no,

693
00:30:35,640 --> 00:30:38,840
Speaker 2: we can't do that. And I understand that, but it's

694
00:30:38,920 --> 00:30:41,280
Speaker 2: it is really important for you to realize, Okay, not

695
00:30:41,400 --> 00:30:43,680
Speaker 2: just what bank am I with, but what bank account

696
00:30:43,920 --> 00:30:45,080
Speaker 2: do I have with this bank?

697
00:30:45,200 --> 00:30:45,400
Speaker 1: Yeah?

698
00:30:45,440 --> 00:30:48,080
Speaker 2: And am I getting the top tier offering that they have?

699
00:30:48,360 --> 00:30:50,960
Speaker 2: And again specifically on capital one, make sure it's the

700
00:30:51,000 --> 00:30:54,200
Speaker 2: performance savings and not the regular savings account that you're

701
00:30:54,280 --> 00:30:56,040
Speaker 2: that you're uh opening exactly Yeah.

702
00:30:56,040 --> 00:30:57,560
Speaker 1: I mean, especially if you've been with them for a

703
00:30:57,560 --> 00:30:59,000
Speaker 1: long time like you and I, we've both been with

704
00:30:59,080 --> 00:31:01,280
Speaker 1: them back when they're the I n G Direct Yeah,

705
00:31:01,320 --> 00:31:04,479
Speaker 1: Orange Electric Orange account when you had to manually use

706
00:31:04,520 --> 00:31:09,160
Speaker 1: your cursor to click your pin. That's right to log in.

707
00:31:09,520 --> 00:31:11,720
Speaker 1: But yeah to prent keyloggers, I think right, it's something

708
00:31:11,760 --> 00:31:13,320
Speaker 1: like that. Yeah. So if you think you've been in

709
00:31:13,320 --> 00:31:15,760
Speaker 1: the clear because you have been banking with somebody that

710
00:31:15,760 --> 00:31:18,480
Speaker 1: we've talked about, yeah, log in, check the check the settings,

711
00:31:18,480 --> 00:31:20,280
Speaker 1: make sure that you are getting getting that higher rate.

712
00:31:20,560 --> 00:31:22,120
Speaker 2: And if you're with Capital One and you've got the

713
00:31:22,120 --> 00:31:24,880
Speaker 2: old school account that doesn't pay as much, you actually

714
00:31:24,880 --> 00:31:27,680
Speaker 2: have to go open new account, open performance savings, and

715
00:31:27,720 --> 00:31:30,160
Speaker 2: then you can move that money over and Matt, the

716
00:31:30,280 --> 00:31:32,920
Speaker 2: stakes have never been higher because you actually get paid

717
00:31:32,920 --> 00:31:36,000
Speaker 2: money on savings these days with some of our favorite banks.

718
00:31:36,040 --> 00:31:38,920
Speaker 2: So that's good news. But just make sure you're actually

719
00:31:38,920 --> 00:31:41,640
Speaker 2: getting paid. All right, that's gonna do it. For this episode.

720
00:31:41,800 --> 00:31:44,280
Speaker 2: We'll have links to the articles that we mentioned up

721
00:31:44,280 --> 00:31:46,640
Speaker 2: in the show notes on our website at how to

722
00:31:46,720 --> 00:31:47,440
Speaker 2: money dot com.

723
00:31:47,480 --> 00:31:50,400
Speaker 1: You know, buddy. So until next time, best Friends Out,

724
00:31:50,480 --> 00:32:03,200
Speaker 1: Best Friends Out. The book