Financial Tales of Terror!
As Read By: The Librarian
(For those of you who have no idea who that is, watch this clip courtesy of Hillarious House of Frightenstein on You Tube here)
My first story is about a man who purchased a big ticket item to entertain his friends. What he didn't realize is that it ended up costing him his soul..savings! Muhahahah...*cough*cough*gasp*... I call this one:
The Tale Of The Blind Sided Couch Potato
Rick couldn't wait to be the envy of his friends every Sunday. He finally found a good deal on a big screen TV he wanted from his local big box store. As he eagerly approached the sales counter, the clerk asked him if he wanted to sign up for store credit card and pay nothing for a whole year. "Hell yeah!", cheered Rick as he signed the dotted line without reading the fine print. As Rick was driving home he had a big grin on his face and thought of all the other toys he can buy with the $3000 he just saved himself from paying. Little did he know that boxed up TV was about to take him on a financial roller coaster of scary...things!
Sunday afternoon couldn't come fast enough and Rick invited all of his friends over to watch the game on his brand new big screen. "The best part is I don't have to pay for it for a whole year.", Chimed Rick. "Ooooh nice score bro", exclaimed his friends. As weeks went by, the luster of the new TV wore away and each Sunday came and passed. Summer turned to fall, and soon winter followed and time was running out for Rick to pay off his credit card purchase. "I have plenty of time to come up with the money", thought Rick.
With a week left to pay for the TV, Rick went outside to start his vehicle to go to work. After turning the key, the engine whined and black smoke started coming out of his hood. "Your engine cratered and it's gonna cost $5000", explained the generic mechanic type character as he slammed down the hood on Rick's vehicle.
With his finances tapped out, Rick had no choice but to wait to pay off the TV so he could get his mode of transportation fixed.
A few months later Rick received a letter in the mail from the big box store from which he purchased the TV. As Rick began reading the letter his face turned white and the letter fell from his fingers and floated to the floor. Because Rick took longer than 12 months to pay for the TV, he was charged a full year of 30% interest on top of the original cost of the TV. His $3000 TV was now going to cost him $3900. So much for the good deal, Rick!
Wasn't that a terrifying story of high interest store credit!... No?... Well maybe this next one will scare the life out of you. I call this one:
The Tale Of The Never Ending Loan
Janet loved working at her retail job. She would get a employee discount so she would always spend her extra money on the newest clothes and instead of putting money into an emergency fund. Even though she saved money by using public transit and living with a roommate, she loved going to live shows or go on a night on the town with the girls. Life seemed good for Janet, but what she didn't realize is that life likes to throw a few curve balls to keep things interesting.
One day Janet came to work with her $6 Mocha Latte in hand, only to find out that the store was losing money so Janet had her hours reduced. "Not a biggie, I'll just find a part time job", said carefree Janet. After looking through the newspaper she realized times were tough, and there weren't a lot of jobs out there. When she returned home that night, her roommate was waiting for her with a look of concern on her face. "Umm, I forgot to tell you that we received a letter from our landlord a few months ago, and that our rent is going up in a few days," the roommate announced. For the first time in her life, Janet felt worried. What was she going to do? She needed more money and she needed it fast.
That night she went for a walk to calm her racing mind. Suddenly it started to pour rain and Janet did not have her umbrella so she dashed under a nearby canopy. As Janet collected herself in her newly found shelter, she noticed a green glow above her head. As she looked up she saw the words "Payday Loans" flash above her, calling out like a beacon of hope. "I've never noticed this place here before", she thought to herself as the ominous thunder roared in the background.
She entered through the door and heard the door chimes ring above here head. Just then a short little man popped up behind the counter. "Well hello there, how are you little lady?" chimed the short man. "Not so good. I'm a little short this month and could really use some cash right now," replied Janet as she approached the counter. "Would you like to borrow some money, then pay us back on you next payday?" asked the short man. Janet was so relieved to hear the good news that she nodded her head with excitement and the man pulled out a few pieces of paper. The short man had an even bigger grin on his face now and had Janet fill out the appropriate paperwork without reading all the details...yada yada...let me skip forward a little bit here.....Janet finally got home with the $600. She figured she'd ask for more money since the man was so nice and she deserved to buy some new clothes to make herself feel better.
Well when the rent was due, Janet had enough money to pay all her bills and buy that new outfit she had promised herself. When pay day rolled around she decided to stop by and pay back that nice man at the pay day loan store. When she opened the door the short man greeted her as usual and Janet approached the counter. The short man pulled out the contract, did some fancy calculations on his calculator and asked for a total amount of $690. "But I thought I owed you $600", cried Janet. The short man explained to her the outrageous interest rates that cash advance businesses are legally allowed to charge and the high risks they take to lend money. Janet looked confused and thought about how she would get the extra money. The ever smiling short man leaned in close and asked her, "Would you like to borrow some more money?" Janet thought to herself for a moment and said, "You know, I could use a new outfit". The short man laughed maniacally as he pulled out more paperwork and Janet smiled nervously as she unknowingly became trapped in a debt-cycle from...Hell!
Oh my goodness, wasn't that a very scary story of financial terror? It wasn't? Are you kidding me, I was absolutely terrified at all the wasted money. I don't think I'll be able to sleep anymore..... you.. you're laughing.
Curses! I thought these stories would scare the pants off of you. I'll have to come up with some even more terrifying tales of financial terror for next year. Until then, have a happy Halloween and good bye...for now.
2 comments:
I know that I have annoyed a lot of people by reading before signing anything. When I took out my line of credit the loans officer told me that she had never seen anyone read the application before signing it before.
My wife handles all the fine print. She's great to have along when it comes to signing papers.
Post a Comment