banking

So the economy is still a bit finicky and jobs are hard to come by but here's an interesting advertising kick I found this weekend from a law firm specializing in consumer debt renegotiation for young people who are suffering from the high youth unemployment rate, school debt, and credit card debt.

"Even as they struggle to find jobs, many Millennials are burdened with educational and credit card debt. According to the Pew study, 2008 graduates left school with an average of 24 percent more debt than 2004 graduates -- and nearly double the average of 1996 grads."

They continue to quote the average Millennial carries "more than three credit cards and that a fifth maintain a balance of over $10,000."

So all those Sallie Mae people who are upset about the student loan sharks being shifted to the the warmer and fuzzier Federal Direct Loan program, they can now have other options to hassle young people about debt consolidation.

I just received an urgent call to action from Demos announcing this week as THE week we must call our Senators to urge them to protect us against the abuses that led to the financial crisis.

How You Can Help

The toll-free number, 866-544-7573 , will ask you to dial-in your zip code. You will automatically be connected to your Senator's office. Once connected, tell your Senator's Office that:

"I want you to support financial reform that holds the big Wall Street Banks accountable and creates a strong and independent Consumer Financial Protection Agency (CFPA)."

"American families need a Consumer Financial Protection Agency to rein in financial products like the deceptive mortgages, credit cards and overdraft fees that are drowning families in debt."

"We need a truly independent consumer agency. Weak reform that subjects the consumer protection agency to the control of another bank regulator is not real reform. Bank regulators got us into this mess by failing to stand up for consumers."

The call-in days are focused on a prioritized list of Senators on the Banking and Agriculture Committees, who will be the first to take up this critical legislation: Sen. Lincoln (AR), Sen. Bennet (CO), Sen. Dodd (CT), Sen. Bayh (IN), Sen. Tester (MT), Sen. Menendez (NJ), Sen. Schumer & Sen. Gillibrand (NY), Sen. Reed (RI), Sen. Johnson (SD), and Sen. Warner (VA). However, the toll-free number will work in all 50 states, and generating calls all around the country is encouraged.

For more information check out their website.

Fun new piece from the SanFan Biz Journal about a survey Microsoft did where they found young people don't trust traditional financial institutions.

I would say... well after the last year who DOES trust them!?

"Two-thirds of the survey respondents said they won’t invest money in the stock market and more than half said they won’t invest in a 401(k) or other retirement plan. Slightly less than half said they’d invest in an insurance policy and 22 percent said they would not even deposit money in a bank."

Of course, its a survey of only 500 people, which is like surveying an intro Psych class, but still its a fun think to think about.

"More than 80 percent said they believe that more financial institutions will fail in the future and 80 percent said that U.S. financial institutions don’t deserve any more bailout money."

Secondly, Ara Trembly of the Insurance Networking Blog used this as footer for his column about why he thinks young people don't trust "us" he says.

He begins the piece by building legitimacy in himself from a story about growing up in the 1960's when young people didn't trust anyone over 30. He gives a good point that to some extent older people have experience and knowledge and should at least be listened to before dismissed, but he also points out that decisions that older people make or opinions they have may not actually be representative of our lives as a whole. Their thoughts or "expert opinions" cannot come close to reflecting the future or the potential future, and as such, despite all of the "experience" old people have we as young people may have more of an understanding about what is best for our future. Amazing! Who'd have thought...

"So what can we old hippie-types learn from our own experience that might help address this generational gap and, perhaps, reduce the size of the span? First, we need to remember that despite all our own youthful angst, the world continued on its course, and many of us found a place in it with which we were satisfied overall. Thus, when we begin to wonder what will become of this rebellious generation, we can point to evidence that it doesn’t necessarily mean we are all doomed. In short, we need to chill out and listen to the valid points being raised by younger workers.

And what can you millennials learn from we, the long-in-the-tooth? Perhaps you can see from our experience that while some things seem vitally important now, they may not mean all that much in the grand scheme of your life. Sure, it’s important that technology be brought to bear on our financial and other industries to increase efficiency and help ensure integrity, but it is equally important to realize that your generation’s needs are not the only ones that the market must meet.

Obviously, those of us who have helped create the world as it now exists haven’t solved many of its major problems. But that doesn’t mean we can’t be trusted. Instead, it means that we all need to find reasons to pull together in the same direction, instead of perpetuating a generational tug-of-war that I suspect has been around since Adam and Eve bore offspring."