Suzie Orman

iVillage Member
Registered: 08-24-2008
Suzie Orman
13
Mon, 09-29-2008 - 6:12pm

Who does Suzie Orman blame for the state of our ecomony?


Is she a rep or a dem?

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iVillage Member
Registered: 09-25-2008
Mon, 09-29-2008 - 6:20pm
I have no idea (and even less interest) in who she blames for the state of the economy. She is a large donor to the DNC and has said she supported Hillary Clinton in the primary and supports Barack Obama now.
iVillage Member
Registered: 10-09-2004
Mon, 09-29-2008 - 6:26pm

She was on w/Wolf Blitzer earlier.

iVillage Member
Registered: 04-09-2007
Mon, 09-29-2008 - 7:00pm

A lot of people praise her, but I remember her telling people, when the housing boom was making a lot of people very wealthy, that we should expect to spend 60% of our income on our homes in this market.

iVillage Member
Registered: 08-24-2008
Mon, 09-29-2008 - 7:15pm

http://www.bestsyndication.com/?q=20080924_warnings_from_suze_orman_current_financial_crisis_on_oprah.htm



September 24, 2008


Suze Orman expressed extreme concern on ‘Oprah’ yesterday about the current state that the banking and investing industries are in, she warned that credit cards with endless limits and mortgage loans will continue to disappear. Orman spent a good amount on the show today discussing ways to safeguard yourself from the financial meltdown.


Oprah opens the show by saying people are freaking out about the economy. Suze Orman said that we have built the economy on lies and deceit. She continued to explain that a little crack appears in the economy and it starts to open and everything starts going down. Orman gave blame to the greed, and she said it started with the bank, and the administration. There was greed at the top, such as stocks the more money they make the more their stock prices go up. The greed of the lenders prompted them to get more people to spend money that they don’t have.


Orman said that a lot of individuals have bought homes that they couldn’t afford, you put things on the credit card you couldn’t afford, and you cashed out equity in your home. She seemed ominous in this show and added that this time it is more serious than it has ever been.


Oprah added that it is like the laws of cause and effect.


Orman said that these corporations are made up of people, where there is a lack of consciousness. People first, then money, then things, is what Orman says her mantra is. The corporations wouldn’t have created loans that people couldn’t afford if they were concerned about people first instead of money. She added that when the economy looks great the stock market goes up, the compensation goes up for the CEOs.


Orman said that credit is almost impossible to get. She said that credit cards limits will disappear or shrink down to nothing.


She said it is going to take years for your stock portfolio to recover. She said that people’s 401K retirement funds have been reduced to half, which has changed many people’s chances for retirement.


Orman explained how the spiraling economy continues to go downward. She said that there is higher employment, then there is more foreclosure, then there are fewer amounts of people paying property taxes. Because property taxes pay for fire, police, and schools, they go up for other homeowners, and this will force more homeowners into foreclosure.











Orman recommends that it is time to be safe and sound. She said to start doing what she has been begging them to do all along. Don’t spend, downsize, and live within your means.


Orman warns again how credit cards will be disappearing. Oprah said remember layaway. That is were we are heading.


Oprah said that Trump said that this is just as bad as the crash of 1929. Orman said that it would almost be as bad but there were some safeguards in place.


A family Tim and Tammy from Flordia and her husband had lost his job. They have used their credit cards to pay the bills included their mortgage. They owe around $90,000. They have 29 credit cards. She said that they didn’t realize that they had so many credit cards until they did the worksheet.


Tim said that want advice on what to do. Orman said that she wished that she could have felt sorry for them. But they don’t have health insurance, life insurance. They used credit cards to keep up the façade because of their pride. Orman said that the most important thing is to be honest with themselves. Orman said they need to sell their home. Tammy said that it would cost just as much to rent a place as the mortgage. Orman said that is not true, there are hidden costs to owning a home, such as property taxes.


Orman said that she is riled up today that she wants to be proactive. She wants this family to have the proper insurance in place. Oprah said that it is the American dream to hold on to their house.


Tim said that since the prices have plummeted so far, he wouldn’t want to sell the house with the prices dropped.


Tim and Tammy said that they will sell the home. Orman said that they made their circumstances. Oprah said that you are good people that made some bad decisions.


Oprah continued the show by discussing about how some people are seeing their nest egg for retirement disappearing overnight. Orman said that you shouldn’t worry if you got 20 years. It will more than likely take around 3 years to turn around. If you are going to retire next year, and you see the price fallout from you retirement, you will very likely still have to work. It could take you 12 years to get you back to where you were before the crash.


Orman said that it is better to know what you have and deal with that reality. For those people that need to be safe and sound take your money out and put it into something safe instead of the stock market. If you need the money in the next 6 months to 1 year take the money out and change it to something that will generate income for you.


Husband and wife sold their townhome for an RV. They wanted to spend their retirement on the road, but their nest egg is shrinking faster than they thought because of high gas and food prices. They want to know what they should do if they should park their RV and do something else.











Oprah and Orman went outside to go inside the couples RV. It was a really nice RV. They said that they have enjoyed the lifestyle of living in an RV on the road. They said they wanted to live together and see America. So far they have been able to, but they are starting to worry if they have enough to keep doing this. Orman said that they have done everything right. She missed only a $100 on a medical bill and it lowered her fico score, which caused her car insurance premiums, to go up on the RV.


Orman said that they have adequate savings and they can start to take extra out for the husband. She said that there are certain markets that she would recommend getting out of and then put them into safer investments.


Orman said that their RV is always in order, and this reflects their financial state. A person that has debt and there is clutter in their drawers and there life. Oprah then toured the RV looking inside of cabinets, and yes it was neat and tidy.


They started planning their RV retirement 5 years before doing it and saved the money that was necessary. They did budgets and spreadsheets and to figure out these expenses.


Orman said they lived off of one income and saved the second income and they did everything right for planning their retirement.


Orman said not to panic, make sure that your bank is insured with FDIC. If you live within the guidelines of FDIC, you will not lose a dime. Orman recommend visiting MyFDICInsurance.gov to complete a quiz to let you know if you money is insured.


An audience member asked were they should be keeping their cash?


Orman said that cash should be in an FDIC insured bank account, treasury bill or bonds, or in a treasury money market accounts. These are the three places only. She said not to put your cash in a money market account that is not insured by FDIC. If you do have a money market account that isn’t insured, she warned those people need to get their money out and into a FDIC account right away.


Tim wants to know what is the first thing that he should do? (This is the $90,000 credit card debt guy)


Orman said the first step is to sell the house and to ask the bank about a short sale, and then work from that point. Orman will be following up with them.


Oprah asked if things are going to get worst before they get better?


Orman said it depends if everyone starts to become honest. If people are still trying to deceive themselves it will get worst. Orman said that we can change the way we spend money. Orman said that the first priority for some might be to face your credit card debt. Oprah said there will be a reality check if you don’t face the truth. Orman said that financial industry experts are saying this is nothing like they have everything seen. Orman did add that if you have the extra cash it possibly could be an opportunity to make a ton of money when the markets recover.


Of course this is television, and at the end of the show they put up a disclaimer to remind you that this is not to be taken as financial advice, but only as information. You should take to a professional, or maybe even a couple professionals for any financial advice.


By: Nicole Wilson
Best Syndication News Writer

 

iVillage Member
Registered: 04-10-2003
Mon, 09-29-2008 - 7:30pm

What does it matter whether she's a dem or rep??


And to another poster who said she gave out advice that you should spend up to 60% of your income on a home....well I've watched her program on and off for years and I've never heard her give that advice.

iVillage Member
Registered: 04-09-2007
Mon, 09-29-2008 - 7:40pm

I was really shocked at this too, but I hadn't really

iVillage Member
Registered: 06-09-2008
Mon, 09-29-2008 - 7:43pm

Who does Suzie Orman blame for the state of our ecomony?


Avoid her advice at all costs.

iVillage Member
Registered: 08-24-2008
Mon, 09-29-2008 - 9:10pm

She is on Larry King tonight, along with others

 

iVillage Member
Registered: 08-24-2008
Mon, 09-29-2008 - 9:30pm

What does it matter whether she's a dem or rep??


It does not really matter. I was just curious for some reason.:)

iVillage Member
Registered: 10-09-2004
Mon, 09-29-2008 - 9:50pm

Thanks...checked it out for a second..I turned off the news, I couldn't take it anymore!!

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