- quote -

I agree with little else in this post, but I can find a sliver here. My
payroll deposit goes into a savings account. I make 1 or 2 transfers a month
into our checking account. If your money goes into savings first, you're
more likely to be conscious of the balance. In my case, this savings account
guarantees against any overdrafts. In your case, you might want to make sure
that your savings account can't be drawn on so easily. Still, you'll want it
at the same financial institution as your checking. Check to see if you
qualify as a member of a credit union near you. It has been my experience
that these member-owned institutions provide the most personal service,
treat you as an individual, and will help you along your way to a successful
financial future.

Elizabeth Richardson

"Chip G" <NOSPAMchipg_98[at]ATyahoo.TODELETE.com> wrote in message news:<NO%jb.810001$uu5.142155[at]sccrnsc04> ...
- quote -

Well, God Bless Chip. I wish we had a million more like him. Seth,
don't be an idiot. Forget the past and get on with your life. The
merchant who stiffed you on a guarantee, the insurance company that
denied your legitimate claim, the politician that lined his pockets
with your tax money and the kid who lied about you to the teacher
aren't going to show up and apologize and make good on their debts.
Why should you be the only one. Making payments on a discharged loan
could re-instate it. Life ain't a feel good AA meeting. Forget the
"You ain't going to get credit for it anyway" crap.

OK Seth, you are doing a bunch of stuff right. 401K contributions.
Kid's (college?) fund. Eliminating unnecessary expenses. Living with
your parents. Keep on doing what you are doing. Do not get sloppy
again!

"Growth of that money is not paramount, just getting it somewhere to
get it out of our hands is. I intend to purchase a house when the
bankruptcy is discharged in 2006, so that is what I want the bulk of
the savings to be towards."

So let's say you have 36 months to save up this down payment and very
little is going to come from appreciation. It is important to
actually write down these numbers and stare at them. None of this
"I'll save whatever is left over".

Down payment = $25,000
Need to save $25,000/36 months = $695/month.

If you can do this, swell. If not you are going to have to cut back
on the 401K and kid's fund. It's hard choice time. Is saving for
your retirement more important than saving for a good life? Only you
know.

Do you want your kids to grow up knowing they have a college
entitlement? Or do you want them to grow up knowing that they are
going to have to work very hard just to get the opportunity to work
hard in school. And you'll be there to fill in the gaps. Every
entitlement of our society is for the "virtuous poor". People with
money who pay for the entitlements are means tested out. Having money
saved away may not do you much good when it comes to grants and
student loans. If you have excess home equity you can always buy a
rental that is only break even cash flow and makes your equity
disappear. By the time the kids are out of college it could be making
you money. One of the few Suze Orman opinions I like is that you
should save for yourself first and buy love from your kids second.
OK, she puts much better spin on it.

Now for the advice. I assume that you have a written plan that works.
Maybe you had to go out to 46 months and get rid of the kids money.
Whatever.
Get a checking account with automatic payroll deposit. Get an FDIC
insured (1% interest) account that can be deposited with automatic
checking deductions. I'm pretty sure my old E-trade account could do
this. Call brokerage houses if banks can't do this. Look for FDIC
insurance. Pay yourself first and live on the rest. This will
probably be very hard. Stick it out. It will be worth it.

Best of Luck to you,
Speednxs

- quote -

Hi Chip, thank you for your kind words. After reading several posts
here, I was actually bracing myself for a thrashing, though that may
still come. Such a heart-warming bunch of folks you all can be

I should mention that I currently pay $500/month to our trustee who in
turn pays our creditors. That is scheduled to continue until August,
2006.

I am beyond the woe-is-me phase and have entered into the
how-do-I-turn-this-into-a-positive-situation phase. Unfortunately it
took me two years to get here. I just really don't have any clue to
accomplish my goal. I was thinking perhaps instead of pouring cash
into my 401k, I should lose the pre-tax benefit and just dump all my
money into CDs.

- quote -

learning so I'm going to try to do my kids a service by instilling it
into them at a young age and working with them on it as they grow.

"Seth" <onemorebademail[at]yahoo.com> wrote in message
news:8f145a85.0310171042.56c49b15[at]posting.google.com...
- quote -

Hello Seth. I think it is commendable that you are working hard to get your
financial house in order. However, I think you should seriously consider
looking back at your debts that were so handily discharged by your
bankruptcy. Even though the law says you are free, morally, I believe you
still owe the people the money. They trusted you to do the right thing then
and you should be honorable to repay the debts no matter how long it takes
before you start spending money on other things.

I sense that you really did learn from your past mistakes based on your
comments and truly believe that you should seriously consider this advice.
Otherwise, you and your family... especially your children will always know
that you basically stole from all those people who trusted you before...
even though you probably never intended to do so.

What a fantastic example you will set for your children if you do the right
thing even though the law does not require it!

Best wishes.

Sincerely,
Chip

Hello, I have spent time reading some of the postings here and I think
I'm in the right arena to bounce some things off others. It's
somewhat nice to get an opinion without having to divulge my finances
to associates or family. I have one short-term goal that I am
striving for, but I need a little guidance. Like everyone else, I
want to maximize my growth, however I am looking for immediate (3-4
years) growth. I also want to minimize my take-home pay. My wife and
I were forced to file bankruptcy 2 years ago now and have been living
with my parents since, we also have two small boys and my wife has
since returned to school in the evenings and stays home with them
during the day. I get the night shift.

Last year I took a job that I like (long-term outlook is good finally)
at $54k/year with a 15% (max) contribution to my 401k valued at almost
$10k. I have also recently opened a 2% savings account for the kids
and contribute $100/month each. We were hemorrhaging money but I
think I have found all the leaks. I'd still like to tie up as much
money as I can without us getting our hands on it. Since we are
bankrupt and homeless we have no real expenses other than my wife's
student loans and we pay the utilities at the house ($500/mo in the
peak of summer but now are dropping back).

My intention is to get out of my parent's house but I want to save as
much as I can as quickly as I can. Growth of that money is not
paramount, just getting it somewhere to get it out of our hands is. I
intend to purchase a house when the bankruptcy is discharged in 2006,
so that is what I want the bulk of the savings to be towards.

I am not joe-money, but I'm not stupid about it either (anymore).
Hindsight is 20-20 as they say and I can see clearly now. I just
don't know how to accomplish what I want to do. Should I cut back the
amount of my 401k contribution or keep dumping cash into it then use
that as a loan source (not a withdrawal) when I'm ready to purchase a
house? I also recently purchased life-insurance policies for my wife
and myself in the event we tap into my 401k. Should I purchase a
stock or managed account? I don't know much nor do I have the time
for individual self-investing. Thanks in advance for your input.