More Mortgage Re-Sets Through 2012

Today I stumbled upon a troubling article from Karl Denninger. I had heard that the ARM *adjustable rate mortgage* mess was not over yet no matter how rosy a picture those on CNBC try to paint for us. The fact is; we are not out of the woods yet in relation to the mortgage meltdown we've been dealing with since 2007. The Alt-A, but more incredibly, the Option ARMs mortgage payments are going to be resetting (jacked-up) starting this year and if we think the Sub-prime was bad, we haven't seen anything yet.

Just think of it this way: Your mortgage payment you took on 5 years ago has been $900.00 a month UNTIL May 2010. Starting at that date your mortgage payment will now be $1900.00! It's been verified that on average the rise in these mortgage payments will reflect an eye-popping $1000.00 more a month!

Now I don't have a mortgage but that doesn't keep me from telling you what I would do if I did have one and was up against such a dower prospect. I would WALK AWAY! Yes folks, I would walk away and not fret about the situation nor look back. I would rent because that is all I suspect I would be able to do after having stopped paying my mortgage payments. Well, I would hope so at least. I hear of many sad stories of previous home owners walking away from their homes only to be turned away from renting due to poor credit that was directly attributed to the former.
How many can say they would be able to pay that large of an increase on their house payment? Not many I suspect, especially with so many in our nation out of work.
My heart goes out to all of my readers who have struggled to make ends meet. Many are those who have done without basic necessities in order to put food on the table and gas in the tank. Countless hours have been spent at the job you really don't like because you knew that it was the only way to keep your head above water and your family off of food stamps. Dealing with unappreciative employers, low wages, lack of insurance, and not enough vacation days. If this describes you, a prayer in my heart and a thank you on my lips goes out for you. You have sacrificed much and you love much and now you are facing the worst time of your life dealing with layoffs and possibly losing your home and even much, much more. In these times you cannot go wrong if you turn it all over to God and expect him to come to your rescue.

As for this recent continuation of the mortgage mess? What else can I say but this is just another spoke in the wheel of our recent economic nightmare that at one time was our American dream.

Unemployed Benefits in Jeopardy: Thanks Senator Bunning!

Good morning friends. I have been watching C-Span again and have come across something that I felt I should comment on. 

It seems that Senator Jim Bunning of Kentucky has been playing a game of keep-away with the nations unemployment benefits. Many of our unemployed Americans were due for their benefits to run out the last day of February 2010 and Bunning was not in favor of extending them, folks he was the sole objector! It seems sad and ridiculous that one person in the Senate can stop the extensions of benefits for millions but sadly this is the case. I hear that he cannot continue this for long though, he is just stalling the inevitable. But here's the real story here: Bunning's stall game  is the unemployed workers worse nightmare. Those workers as well as their employers both paid toward future need of drawing out those benefits so it is certainly not like they are unworthy to collect them. Surely Bunning feels he has nothing to lose by doing this to the American citizens as he is not up for re-election. Unemployment benefits are hardly ever equal to a regular pay check and are only enough to keep a family's head above water so why on earth would one man in the Senate object to doing the right thing? There is only one answer to this question and it is that Senator Bunning has a cold heart and cannot relate to the needs of average working Americans. Tell me what else it could be? I know all about Paygo, etc. But there was certainly enough money for an unjust war with Iraq wasn't there? There was certainly enough money when Bush and Bunning and the others were pushing tax cuts for the rich wasn't there? Sure there was.. and now that the common men and women of America are in need of unemployment extensions this scoundrel is going to object? Give me a break.

Bunning no doubt receives a salary upwards of 200,000. He is not worried about having health-care and surely does not worry about retirement. Contrast that with the average American worker who is laid off and has lost their health-care, hopes of retirement and a weekly paycheck!

Why do we have our Senate set up like this where one person can object to extending benefits? It is utterly obscene that one person can cause the pain and suffering for so many. Surely this morning those in the Senate will continue their wrangling and silliness but I don't think anything they do will end up in favor of extending the benefits for another week or so. One or two weeks of late unemployment checks can totally devastate a family. Mark my words, there will be long drawn out repercussions of Bunnings actions upon the laid-off citizens of our country. Now they are speaking about Medicare payments being in jeopardy because of their recent actions.

You can read more at the Huffington Post: Here are related articles and I find the comments from readers interesting to say the least.

Jim Bunning Impasse Puts Federal Employees Out Of Work

Bunning Objects to Extending Unemployment Benefits...Again (Video)

After the Cash Runs Out: Part 1

Let me present a scenario to my readers :
You've lost your job and cannot find another.
If you had a savings, you have already used it up. Your numerous job searches have exhausted you and proven unfruitful. You figure that you have 2 more weeks to draw on unemployment and that is it.
Rent, bills and putting food on the table never stops. There is medicine to buy, kids to clothe, and a gas tank on empty. How do you choose which bill to cover and which to let go? Some bills are non-negotiable. Your options are to turn your back on the life you have known and move in with family members which NONE of us want to do OR load everything up (the bare necessities) and set off for-----God knows where. What a predicament.
Unfortunately, this is the very scenario thousands of Americans are facing today. I can't believe I'm addressing this but I feel compelled to. With this in mind, is it any wonder why thousands of tent cities are cropping up all over our nation today? The nationwide health-care debate should be placed on the back burner until we address the serious job loss in this nation. It is so serious in fact that many are struggling like never before because of cut hours at work not to mention those recently handed pink slips. I admit that I have led a somewhat sheltered life. Yes, I am a hard worker, but for the past 10 years or more I have not found myself struggling with the above scenario.
Sure, I have had times when my children were small when I REALLY had to skimp by and be contented with the little we had in the fridge. Sometimes pickings were REALLY slim for us. Making ends meet is really tough even WITH a full time job when you have children. Let's all agree that when it comes to losing our jobs we have the idea that WE won't have to know what it's like - it's always the next door neighbor it happens to until the unimaginable becomes our reality. Now if you own property that is the best position to be in. Even if it's undeveloped, you own it and nobody can kick you off it as long as you pay your property taxes. I suggest if you have spare cash you buy a small piece of land. If possible, go rural, this is the absolute best investment you will ever make. Even if it's a small lot-- whatever. If you have land in your possession you have a place you can go and not have to worry about getting booted off of it. No home on it? Live in a lean-to or tent for now. Sure you must have shelter, but before that you must have ground under your feet that you own- thus my rant on buying a cheap piece of land.

Now if you are not in this position, then it is a given that you must live with family members who are willing to take you in OR live in your car on the side of the road or parking lot OR find a homeless shelter. Shelters are now overflowing. Churches should have their doors open to the new homeless who have lost their jobs and are in need of a helping hand. I have a feeling that many jobs that have been lost will NOT be coming back. Who has any money anymore? The middle class in this country is under attack. I can see in the near future that our malls are going to be a very lonely place. What am I talking about in the near future--- many already are a lonely place. How pray tell are people going to be spending when they are out of work? They simply won't be spending anymore. More businesses are closing every day. This may be the time that many of you are hunkering down and saying to yourself, "That's it, my family and no more". Understandable until you put yourself in anothers shoes. This is not the time to be drawing back and taking care of only ourselves. Jesus would have us STILL help those who are in need. He would have us take pity on those who are down on their luck and in need of a help up and not a hand out.

Job Loss and Lifestyles

It's been many months since I last posted on my blog. I have been at a loss for words about the situation with our economy and the way it is hurting so many precious people out there.

A bit of perspective about job loss:
When we lose our job we might draw unemployment benefits but they do run out and then stark reality sets in. There are NOT a lot of jobs out there and anyone who says there is has not been beating the pavement looking for one lately. The most important thing we can do while looking for a new job is to make DRASTIC changes in our lifestyles. Do without and live within your means in other words. Cut the cable, drop your cell phone if at all possible, eat differently, take this time getting in shape as much as possible because what else is there to do when you are out of work? Take this time you now have on your hands to get yourself "spiritually" fit as well. Make peace with God and yourself and anyone else you need to. Take a walk, think on how much better you have things than the next person because I can promise you that no matter how bad you feel, there is ALWAYS someone else you can look to who has things worse than you. I'm sure you have taken an inventory of all the bills you have to pay and how to adjust and juggle them accordingly. Get odd jobs. Go visit your neighbors and ask if they have anything you can help them get done. In doing this you are NOT asking for a handout. You are merely helping that person out and yourself as well. Remember that if you don't ask, you will never know. It is surprising how losing our jobs will humble us. Remember this, most of our lives are spent earning the almighty dollar, often times we rarely take time to REALLY live because our career consumes so much of our time. But along with a pink slip comes the time you need to get down to basics and reflect on the people and things which are truly most important to you. No matter what job you turn up with, chances are you are going to have to reorder your life and cut back to the bare necessities but this is the good part of losing your job. We don't have to have a cell phone, it is only a form of communication but by no means the only one. Get a land line, after all, we were able to do well with that in the past. Sell that other vehicle. You can only drive one car at a time.

Stop eating out and make simple and less costly meals at home. Buy fresh vegetables instead of those tasty boxed foods we all think we cannot do without.
My friends, I'm not suggesting things that I do not put into practice myself. All these things I have mentioned I have been doing for the past few years. In the months to come, I plan on passing along some tips that I hope will allow you to stretch your dollar further as well.