Episode 65 is an interview Mr. Mark Clayborne of www.startupcreditrepairbusiness.com and author of an www.amazon.com bestselling book on personal credit repair “Hidden Credit Repair Secrets”. Mark Clayborne has established himself as an authority in the personal credit repair industry and now helps entrepreneurs get started in the business of credit repair as well. In this interview we discuss Fico scores, paying bills, credit utilization, the high cost of bad credit and authorized users among many other valuable and informative details. Mark Clayborne’s business model is all about how to get your personal credit on the right track.
What’s The Truth About an Emergency Fund, Other Than The Fact That You Need One?
Typical standard advice is to have an emergency fund of 3 – 6 months worth of expenses in the case of an emergency, which depending, seems to be at least a monthly occurrence for many. This episode talks to the advice of nearly a year worth of household expenses sitting in an account just waiting for an emergency to happen. That would be great! Now, here’s a piece of everyday reality pie… if most people aren’t saving enough for retirement, people have a hard time following advice on how to just LIVE into retirement healthy, people don’t get their car oil changed until it’s literally turned into ink and finally, a high number of people are living paycheck to paycheck. All that being said, guess what? A lot of folks don’t have 3 – 6 months of emergency savings.
All hope isn’t lost though, folks are devising ways to make it in case of emergency. And as much as the finance gurus warn against it, a good number of those people rely on their retirement fund or anything else they can reach for. Friends and family support systems and even the family car may have to go if things get tight before you get your money right.
Many of us have worked quite hard to elevate our financial profile to the position where we are readily able to take good care, buy most things that move us and reach most relative goals (most). Many of us can at the very least figure out how we can attain what we want, when and even how. While not being rich by any definition of the word, we still do pretty ok, so we say. Here’s what not news, others notice this financial confidence and ability to manage most financial lifestyle events. They notice you not only buying some things, participating in certain activities, but also maintaining the relative lifestyle and keeping up. Some folk notice this so much that they may even do what I call bookmark you as a financial “go to” in case things get sticky. Where they keep you in mind just in case their irresponsible ways of handling money catches up with them, just in case they aren’t able to pay their bills, need money right away to carry them over or even to help get themselves going in their own small business.
Problem is, you’re not a bank regardless if they treat you like one. You probably didn’t tell some of the most financially irresponsible people in the circle of family and friends “hey, if you run low on cash call me”. But they do anyway, sometimes they pay you back, sometimes they don’t and others times they want to pay you like your Master Card or Visa, paying $10. then $5. then $15. Like really, is this how I’m gonna get my $150. back???
Other than just making loans that may never get paid back with a guaranteed 0% interest, there’s the new thing “funding” on sites like Go Fund Me and others for all sorts of hair brain ideas. There’s been a new market built around the short on cash overspending crowd, PayDay Loans, but at the very least they fight to get their money back and balance the risk between borrowers.
So if you must lend money because it’s nice to be nice, you can make some money too because that’s even nicer! It won’t take becoming a Pay Day Lender and killing people financially, although peer lending is the original Pay Day Lending platform. However, you can lend money to individuals that are willing to pay back with interest, something like operating your own bank or credit card company. Of course, there are middle man sites that set this up, but either way, you can get in on the lending for a profit. The middle man sites work in your favor by qualifying lenders, getting profiles, rating borrowers, giving worthwhile insight and directions on lending rates to offer, setting up terms and other resources that will make remote personal lending simple and easy.
Some of the most popular sites for personal lending, officially called “peer-to-peer” or peer lending are https://www.prosper.com and https://www.lendingclub.com . There are several others of course and you can search them using “peer lending” in the search bar.
So this may your chance to move from friends and family network lender that never gets paid back to start lending and running your own little bank thing online.