.......we had stockbrokers jumping out of windows on Wall Street.  

The Dow is down almost 40% just since April.  I think this week is the single biggest %decline in the Dow ever.  

This crisis is staggering.  This makes October, 1987 look rosey.  It's really unbelievable.

It is ugly.

And it's gonna get even uglier.....

I was talking to someone yesterday and he said he pulled everything out of his 401k and IRA and put it in CD's.  He figured the losses, had he not closed those accounts, would exceed the tax and penalties.  He is only 28.

What do you guy's think of this?  This is not only ugly, but damn scary.

Beth

wrote on Oct 10^th, 2008 at 2:15pm:

And it's gonna get even uglier..... I was talking to someone yesterday and he said he pulled everything out of his 401k and IRA and put it in CD's.  He figured the losses, had he not closed those accounts, would exceed the tax and penalties.  He is only 28. What do you guy's think of this?  This is not only ugly, but damn scary. Beth

Well, he should not have pulled the money out of the sheltered account.  He could have sold what he had and purchased CDs in the sheltered accounts.  There would be no tax liability and no penalties.

Doesn't that depend on the plan the guy was in?

I pulled all my money out of mutual funds into cd's about a month ago. Sure glad I did.

wrote on Oct 10^th, 2008 at 2:40pm:

Doesn't that depend on the plan the guy was in?

A company 401K might be run by a mutual fund company or some other bank.  They might not let you purchase CDs in that account, but they will have money markets or other things that are liquid equivalents.

Jess is suspending his 401k on Monday.  We're going to do the debt snowball. :)

Suspending further contributions, or cashing it out?

Anyone with more than about 3 years to retirement is a fool to cash out now. By selling, you are realizing the full loss. In the meantime, while the market climbs back up (and it will), you still have the same number of shares, and if you make purchases with a fixed dollar amount, you're actually buying more shares per period than you were yesterday, last week, last month.

Unless you think the market is headed for zero and is going to stay there....

The time to buy is when there's blood in the streets.

suspending :)

What is a debt snowball?

The only thing I closed out was my sons college fund.  He will be using that money again in the next year.  I got a call a couple weeks ago from my broker who told me to cash it out before it lost too much.

I am trying not to panic.

BMoneeTheMoneeMan wrote on Oct 10^th, 2008 at 3:45pm:

What is a debt snowball?

Know who Dave Ramsey is?  

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(but we're going to tackle the smaller debts with highest interest first.  Fortunately our highest debt before our mortgage only has a 6.5% interest rate)

Well, I guess there's a bright side to being broke.... having no money to invest... having nothing..

when this shit happens... i dont feel it. (as much)

Yeah ME.  
:-/


broke ass woobs  :-*
 

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8,451.19  -128.00 -1.49%

Previous Close 8,579.19 Volume 674.92 Mil
Open 8,568.67 52 Week High 14,280.00
Day's High 8,901.28 52 Week Low 8,579.19
Day's Low 7,882.51


A late day rally really helped to tide the losses at only  1.5 percent.

Monday is a Federal Holiday so we'll see where the Market opens Tuesday and watch......(like I always do)

Melissa wrote on Oct 10^th, 2008 at 3:52pm:

Know who Dave Ramsey is?   START PRINTPAGEMultimedia File Viewing and Clickable Links are available for Registered Members only!!  You need to or END PRINTPAGE (but we're going to tackle the smaller debts with highest interest first.  Fortunately our highest debt before our mortgage only has a 6.5% interest rate)

Makes sense - Ramsey's 'snowball' is often a good idea because so much of it is psychological.  But if you are disciplined and rational, hitting the high interest debt first is actually faster.

It's friday, and I'm better than I deserve to be!

Geeze............I should not have even opened the mail box today.

Scary that today was the best day of the week for the NYST.

Charlie

I lost thousands in the last few weeks.  Today, I was so scared that I finally called my financial advisor to ask some questions  (Edward Jones rep)  Seems he couldn't stand all the calls he was getting and left town on Tuesday for Idaho. His receptionist said he'll be back but good God!!!!!! what a time to leave.

  Rats leaving the sinking ship?  George, if you see a cowardly looking guy slinking around Boise...shoot him for me.  

Just got off the phone with my Mom and her Canadian retirement account is in sad shape.  She had a meeting with her financial advisor with RBC Dominion Securities, and he advised her to have about 20k cash under the mattress - literally.

Imagine if you lived in Iceland right now?  Whether you had money in investments or the bank wouldn't matter, you'd have no way to get it any more.

I'm thinking the mattress will work well for what meager amount of cash we can stuff under it.

And to think, I am likely to have to try and get a car loan in the next few weeks in order to replace my van *sigh*.... the times they are a changin'
Cat

Linda_Howell wrote on Oct 10^th, 2008 at 9:26pm:

George, if you see a cowardly looking guy slinking around Boise...shoot him for me.

If it makes you feel any better, it snowed like heck in Boise today.  Things are a little chancy this time of year, weatherwise.  Winter's closing in.  Sometimes folks get stuck here until spring.

Looks to be a tough winter.  Along about January, a nice fat California financial adviser might look pretty tasty.  We'll keep you advised.

Best,

George

Woobie wrote on Oct 10^th, 2008 at 5:49pm:

Well, I guess there's a bright side to being broke.... having no money to invest... having nothing.. when this shit happens... i dont feel it. (as much) Yeah ME.   :-/ broke ass woobs  :-*

damn straight Woobs, yea me too :)
Mast

Woobie wrote on Oct 10^th, 2008 at 5:49pm:

Well, I guess there's a bright side to being broke.... broke ass woobs  :-*

Mastifflvr28 wrote on Oct 11^th, 2008 at 2:02am:

damn straight Woobs, yea me too.

Michelle and Woobie, just think of how much better off you are than, say, Bill Gates!!!  Why I would be willing to bet that he lost, maybe as much as, One Hundred Million Dollars!

Aren't you glad you haven't lost that much money?

Does THAT make you feel better?

(Well I feel worserer!  Just think, he probably doesn't even miss it!)

Chuck, Who did NOT loose $100,000,000.00!