Todd Pietzsch from BECU joins us live in studio! 01-18-17

Wednesday, January 18th

Caller Autumn has a small amount of credit debt and wants to know the best way to pay it off. A texter wants to know the best way to prepare for their child’s future. A man is entering a marriage and his wife has debt, wants to know how it will affect him. An emailer wants to know how to remove medical bills from his credit report. A texter wants to know how to start a retirement plan because his job doesn’t offer one.


Transcript - Not for consumer use. Robot overlords only. Will not be accurate.

You resistant KI DSW financial advisor here don't. Oh god. I invented numbers so I know how this stuff words each. I've reached. All hard. Gates to sorry that shifts. Kind of got excited because the man. Todd of course one of the fein members I say members because you know everybody is part of be easy you are you're the owner you'll remember you're everything man you know Todd and I are both pretty much equal. Sherri puzzle bit more for the company but if I watch him right now I say don't. You're now you are lazy worker you only be serious and you know you want me as well that's how it goes MB ECU we all knew each other which is why I credit union is the way to go if you wanna do your banking BE CU dot org only got to do is live work. Or attend school in Washington State simple as that you can be a DE CU member. All the info would be ECU dot org and toss got a lot of experience in the money bin is no doubt about it over 25 years. Pretty much saying hey I know what's up with a dollar sign. You got a question 206421. Rock rock is 765. Texas it's 77999. Let's go to Ottoman Mount Vernon. Ought to be Robert Todd from beat ECU dot org go ahead. Good morning. Morning on. I just had a pretty simple fresh. I how. Look at it both at our equity. Between Cuban port without an indirect ballot. Are then I don't. Wondering if that would be backed by a tractor turn curved grip on the store. It got to get prepaid credit current and opera that addicts are out there every building credit or if you weren't in the. We do it look kind of credit do you have any credit cards right now or what is his debt now. I did edit all of their old from a 000. Look at all that they are you betcha. Matt in New York. I am and I kept thinking I can't secured credit card you're paying more importantly let me count on it I can democratic rock or are now. I'm yet you absolutely it as far as you need to build you have to. Have credit to build credit right and that's where a lot of people get in trouble so yeah I would definitely recommending getting a credit card. On nick a couple things to think about and obviously have to pay on time every month that 35% of your score. On the second part and a lot of people don't realize is called utilization and that's your balance that you see on your statement even if you paid in full every month. Relative to your credit limit so let's say you have five thousand dollar credit limit. On you and keep that if you can it hundred dollars on that statement or less. I'll. Actually. No yeah and that's another 30% to 65% of its just those two things paying on time and keeping a low balance. That's just did now that's that's that's what that's it that's what you did strain folks happy with my yet and then there's longevity in this type of credit so there's a couple things item you can do there's also that's shared secured line of credit which is it like installment loan that's the type of credit that's another thing we wanted to go a little bit deeper but I think you need to start with a credit card. On the benefits security at a negate might be six months a year year and a half or so before you you get that on your own bed and now the year over time it'll build up but it will take a little bit time. Appreciate the call on them ask you about medical because you know man as Sarah of course recently had some surgery. And their man you know you get bills from everywhere I medium bills from everywhere you don't know what you paid sometimes they don't even know if you paid them they just send them on out and you know she said she gets a medical bills is just so somebody can do to single a collection agencies pretty quickly OK you do if you got those medical on the you know don't ignore them is the first thing so yeah at ninety days that are hospitals or whoever they are they pretty much similar collections then it's much more difficult. On the if you reach out to that if you right away if you can't make it they're willing to make payment arrangement with Ian I've done it I've done it with my and my mom before. Mina where we stretch it out over two year period if she's on fixed income. So big eat eat have to address it right away and work with them and show show why you can't expect come up with a plan. And any and so you're saying that for the most part all a lot of his medical organizations they are pretty reasonable and all right well stretched out over whenever and then you get some money that way yep yet because it the is better than senate collections where they get you know fifty cents on the dollar whatever whatever it may be. And so they're gonna know what they're going to be willing to work with you but you gotta you gotta address that right out of the gate and with its neck and he isn't usually low interest her interest free when Melanie who Eumig those deals. It wasn't my case yes okay so very straight so makes us like two seconds I'll get pennies on the dollar yes if they go collection yet. We had Texas 77 and I'm just had a kid I'd like to make sure I make is in good shape for when it grows up to be a teenager books I do. To put some money aside for my kid. Well what are we to a return to go to college with our goal here. I'm wit with your salary trying to teach them how to save money or make enough money and take a blow it when they're fifteen how exactly that's what we're looking lawyer if we're trying to save for her undergraduate college yeah I think he had been that I I would recommend a 529 plan. And it's similar to rock you're gonna put the money and today but it's gonna grow tax free just so long as it's used for qualified education expenses. On you may have heard that they get program which is Washington State program currently closed but they're gonna open that up. It doesn't mean you can invest another plan to go to saving for college dot com. That's saving for college that com you can pick from pretty much every other state. On the it'll rain comes it'll give you that funds it's really simply consult directed the yourself. Didn't minutes now what happens if my kid doesn't go to college. I'm you can still eking daggers to Cancun you can transfer the beneficiary at any time so it lets face on your kidney navy USA for grandkids whatever worst case scenario if you withdraw there is a 10% penalty in the media paid the taxes. I'm on their earnings so oh cool. Abby awesome though but that's the worst case scenario right let's 10% penalty before and nab them before they even assess what your earnings as soon as you don't use it like to say I mean Alan Khazei and never went to college or whatever I don't have grandkids whenever. And you'd pay 10% on their earnings. And then now and then taxes on the also present only on the earning days if not on the principle all connect just only made in the count so it's still not it's still not bad. Cannot fund reality game show with your kids he'll go to college it's gonna go to your granted. Yes yes I mean I guess mean a lot packing a lot of parents acted do that Amy needed Enola colleges today and how expensive it is an. Just think about it he started today for granted in let's say you know you can have it they don't have kids yet what that's going to be in twenty years thirty years yes probably is the best way to say fear cute as you get like you say you get the money beckoning give it to be kids who you know and and hadn't started savings account or something if you know if there 182020. Though not gonna go to college or use it for yourself. Like that I did not occur until today at but I don't oil and prayer breaks spreading around that covers traveled to Cancun for class that you know I'm Cancun university beat Jack thank you and your personal way that they go see you cannot be out of Suzanne writes if I. I don't Tyson got to get married she has really old student loans and doesn't file our taxes as she says quote. They've taken anyways what liability business posed to me after we tied the knot. Well you're only gonna be liable for any any loans there are documents a year you'd hate to be on jointly together. So anything and hearing their marriage and is going to be separate tee you're not going to be liable for anything and I won't affect you as you as you guys go on to become an entity and you see as outstanding debt it's still won't affect you he has bad credit and then you're gonna apply for alone together it will affect you yeah. And that's a tough thing because qualify on your own then it's no different than if you were married they Betty here there's they're looking at via home heated and now it's time to get together to out work on the credit for both of you because that that is in effect here. Abilities and so so I could buy the home on my credit but then of what if I wanted to put her name on the deed but I'm still responsible long commute is that nothing you can do com well you're gonna have to hack qualify for the income on the side as well so you rarely used her income on their natural marriage as an entity elicit my life now on weren't entities that's a tarmac it's powerful sound entities yes. Odds got an email from Nathan he says I can US taught how to remove unpaid medical bills for your credit report. And how to find out who to contact to pay them. And I told you all the credit report and it should be some information on there who who it is on its drop probably sounds like it's been a wild those probably isn't collections. So you're gonna need to work with you know with that company that should be on the credit report and they probably trying to get ahold of via. I had a body hired a lawyer because the because those credit because is a certain things you have to do in order to get stuff expunged. In NM NM a much more timely fashion I don't know I don't know if there loopholes or whatever because was like fifteen years for stuff the falloff that Clinton now says 777. But then that there are statute to limitations on. How. How aware how long they've making collect. So that's the other thing you can be that if you just pay one dollar that starts the clock all over again a hole although it has gone on then they haven't you know lecture I think I believe it's four years but don't quote me but that there are statute of limitations on on how long they can clip that that that again I would. I think he's getting old and an attorney if you have quite a bit is not a bad idea. Another text message are going to make and I work for a company does not have a retirement plan how can I started retirement from my wife myself and my wife you can only entity. The entity. On open appear out here own diary and and you just go to there's all kinds of brokers out there elect vanguard fidelity. On just go sign up opened the count and I if you can I would consider the Roth IRA which we talked a lot about. Mick you're under fifty can pick 5500 dollars and that rock hiring or he could do the traditional IRA and if you need have you have a network you can both do that. Yeah I mean now people it's on me there are apps out there where you basically you you you can manage your money you know even you don't even need some of these companies anymore these financial advisor companies I. I myself am old school also have somebody but there Todd is is is that a legitimate thing where people via an app can manage her own money don't need anybody and there is some savvy enough it's becoming very popular it's called robo advisors yes these events at the razors these are basically computer programs simulations that that'll recommends that raise funds and they're not a bad way to go. On the other big thing I like I sometimes recommend if you game very confused with the target date fund. And with that says is it says okay I'm an retired 2050 let's say. It automatically re balances and and puts you into lower risk as you get older. Oh wow so it's a kind of a warning shot shot I mean look which UN stocks bonds and had known if you're young if you're going to be 199 point 9% on them no pun intended that. And inequities and and then you're gonna it's gonna take take that in and make it more conservative as you age. Suites. And then again going yellow I lose money. In the long annual make money Vijay state darn I tell yourself cruise is known to blame but yourself it's a good points there. All right brother are very excited so long game Grassley right its along game you can't go you're a year when you talk about retirement from now. So it's not teach peace deal. I did I time is running out again but managed to get through the fault lines you can always email Todd just go to KI SW dot com. Scrawled on C Todd smiling face and a better with me and click on that. As a lot of great info by the way on that financial pace that we have as you click to. Hobbled to woody can't help you out because that's what he's all about and DE CU man it's a great place to put your money and do your banking. And it is a credit union which means they you know what a lot of those problems that some banks had over the years not the credit unions because they're all bunch of members working for each other. More info go to beat ECU dot org Todd you're the man rather face BJ. And they eggs morning. Rock and 99.9 KI ESW.