UPDATE: I drove past a Salama Market (y'all already know) today & they have a big ass WE CASH INCOME TAX CHECKS sign hanging at the front entrance. I had to find my 360 post from last year.
I went to my local grocery store the other day & saw this big ass sign on the customer service counter:
Will someone please tell my why in the year of our Lord, 2007, grown ass men & women are still walking around without bank accounts? Why are we trying to cash tax refunds at the grocery store? Why are we still cashing payroll & tax refund checks at Western Union & the corner liquor store, while paying ri-damn-diculous fees?
Even if your credit is jacked up, you can open a savings account with several financial institutions. My ex got into CheckSystems (bad check writers know what this is) when he was with his ex. We couldn't get him a checking account anywhere but Bank of America did allow him to open a savings account & gave him an ATM card. This allowed him to have direct deposit of his payroll which gave him the means to save the dough to clear the bad checks up.
My mother taught me to bank when I was a teen. She taught me the importance of having & maintaining a bank account even if there was little to nothing in it. She also helped me realize that if I didn't "cash" my check, I was less likely to spend it all in one place....since it wasn't "in my pocket" to burn that dreadful hole.
I made some terrible mistakes in my late teens/early twenties with my credit. Shopping like there was no tomorrow. Me & my baby in the latest gear, etc., etc. It took me damn near a decade, but I finally got it all cleared up. I knew I wouldn't be able to get a decent interest rate on a home & car, once I was ready, if I had bad debt.
Now people, instead of buying a car you can't afford to pay taxes on or maintain after the fact, furniture that the kids will only destroy, that expensive throwback jersey, $200 sneakers, that Coach bag that you will never have any money in, use the Earned Income Credit (EIC) refund to get your credit straight....damn black people...we have got to do better!
My sister & BFF are perfect examples: They've gotten returns of at least $3,500 for the last 5+ years and don't have jack shit to show for it! Nothing, nada, zilch, zero!
I can honestly say I miss EIC. The largest check I had received was just shy of 3 grand. I did do some frivolous things with that money (designer clothes & kicks) but for the most part it was big ticket items: clearing bad debt (3-4 creditors got paid every year - I refused to pay all of them at once), buying my 1st & 2nd cars, washer/dryer, and bedroom furniture & living room furniture....shit I couldn't afford on the regular. I also started an account for the boy.
I say if you must spend your EIC, spend it wisely! Buy a washer/dryer, stove, refrigerator, get Kee-Kee some braces, buy Man-Man some new eyeglasses, etc. Leave the 50 inch plasma screens & all that unnecessary shit in the store!
Folks get those EIC checks & you would think they hit Lotto......*smh*
This has been another Precious Mo' ment.
LOL @ you.
ReplyDeleteNow I remember why I had to stop working at Jackson Hewitt, it was sickening to watch the $300+ fees for rapid refunds. Ironically all of the JH owners I knew were foreign and would make enough money between Jan and April to live and support themselves and their businesses all twelve months. They understood the value of $300, and what it could do for them and their financial status. :)
Some people just don't have the self-discipline and patience, and they didn't get the opportunity to learn these skills from their parents. So, they do what is easiest and take the paths of least resistance so to speak.
Good blog.
Exactly! Folks been broke ALL damn year, now they can't wait 2-3 weeks to get a full refund. Maybe I need to get me a check cashing license from Jan to May every year.....hmmmmmm.
ReplyDeleteI have employees who still have paper checks. WHYYYYYYYY don't you have direct deposit. If you work for the Federal Govt., you MUST have direct deposit or you don't get paid. Simple as that. That should be universal.
ReplyDeleteI never understood why I would PAY someone to give me my earned money. That's the most asinine thing ever.
Girl, RIGHT ON about the plasma TVs. We are so materialistic that it's not even funny anymore! Good info Mo! My parents opened my first bank account when I was a kid and didn't even understand why they were taking my money! I still have that account today. In fact, my mom's name is still on it!
ReplyDeleteTalk about credit! Girl, my FRESHMAN YEAR in college I was APPROVED AND RECEIVED my first American Express card! That is SO WRONG! DO YOU THINK I HAD A JOB AT THE TIME? NO! It should be against the law to issue credit cards to people without a full-time job, especially college students!
I sooooooooooo wish my employer would force it, but they are too damn "old school" to do it. If I EVER make HR manager some thangs are gonna change or I'll be looking for a new gig.
ReplyDeleteThat was the start of my downfall. I was also a freshman & did work part-time. Even tho most of my cards on had a $500 limit, I had a wallet full of them!
ReplyDeleteI just remembered something else: My ex's sister & bro-in-law bought a brand new Cadillac with one of their refunds & these negros rode around on janky plates for over 2 years because they couldn't afford taxes to properly register the damn car. Just dumb!
ReplyDeleteGurl, it is called being ghetto rich. Usually my routine is that by time tax time comes, I am behind in my daughter's tuition and about to be behind in rent (like now) so I will drop a good load of money on both, drop 500 @ super walmart for groceries and household stuff and maybe get one big ticket item (last year I bought my computer used mind you), this year, I am thinking a digital camera. But naw, I don't buy anything that I can't afford to maintain.
ReplyDeleteI am a late bloomer, my mother did not show me how to save or manage finances, and the first thing that I did was get a bunch of credit cards when I went to college, that I couldn't pay. My credit has been awful since then. I filed bankruptcy (right before they changed the law) and finally cleared stuff off, but I am almost back in that shape because of single parenthood. Hmmm, maybe I will attempt to pay one this year.
I made some serious spending whoa's in my twenties and still trying to get some of that shit cleared up.. But, there is no excuse for any person, working or not to not have at least a savings account. I hate going anywhere near a currency exchange or check cashers on the first of the month. Sometimes I need to get bus cards for the kids or mailing stamps, but hell I always make sure I get my shit the day before the first or the day after cuz the place is always packed with folks cashing their payroll checks, gubment checks and so forth... But it comes from a lack of knowledge on our people or just plain laziness... I've been with my company for 10 years and we've been doing direct depost for the last 8 of those years.. And I remember the last time I cashed a check at a currency was in 1995 and the amount I had to pay to get my check cashed was $50.... Now for folks that can afford that or think its not that much, then more power to you... But thats groceries in my fridge, a payment on a bill, a months worth of gas for my car (back then...lol), or some kick ass perfume...Basically if we (black folks) can't see the importance of having and maintaining a positive savings and checking account we'll never get ahead of the game... I mean, how can we even expect to be apart of the stock market game or projecting for a secure future if we can't even think past today... All the kids in my family have savings account that range from 7 years old to the oldest teenager, and they have to make weekly deposits themselves, even it its on $5... (I mean we take them)... But what you teach them now, and allow them to fill out their own deposit slips and give it to the teller gives them a since of financial power...
ReplyDeleteAs far as cashing the big ass income tax checks... I dont know nothing bout that... Uncle Sam kicks my ass. I dont own any property yet and because I've decided to wait and not have kids yet I get penalized... Hell I think for all the misery I see each time I look at my check and see how much the mofo has taken, I should be getting something JUST BECAUSE.... But all the same, Im thankful for my job, Im thankful for all that I have and Im thankful that you wrote this blog because some poor witless non-account having mofo will decide to go out and open one Tuesday, cuz its the sensible thing to do....
Take Care,
~RED~
I try and avoid the currency exchange at all costs! Not even for a bus card, I will send someone else.
ReplyDeleteI think the credit card companies knew exactly what they were doing. I had a wallet full of em too and between American Express (I didn't know at the time that you paid off the balance EACH MONTH) and becoming a single parent, I didn't stand a chance.
ReplyDeleteMy parents never taught me about money management either so I have been a learn as you go and I have PLENTY of lessons to pass on to my children who both have savings accounts that they started with Bank at School.
I was never taught, so I have made a lot of mistakes and I am still working to clean things up. However, I can say that I have learned my lesson, and once these items clear off my credit report, its going to STAY clean. I always used my refunds to catch up or pay off something. I treat myself, but its not with anything ridiculous. I have never understood that "ghetto rich" mentallity. Most places now will at least give you a savings account and if you do well, in 6 mos or so, they will let you open a checking account. Where there is a will to do better, there is definately a way!
ReplyDeleteI'm scared to do my taxes right now. Afraid I'll end up OWING Uncle Sam. I get sick every time I hear about somebody spending $300 to get a quick refund. And on the checking account thing. The rules have changed for the most part. Unless someone was involved in some totally janky past account fraud (which I do see weekly), you can pretty much get an account anywhere. Plus, a lot of employers can work out with banks to give their employees free checking accounts in order to get everyone on direct deposit. So it's really no excuse for grown people not to have a checking account SOMEWHERE.
ReplyDeleteYou hit it right on the nail. If you're going to spend it, make sure you have something to show that you spent it. Years ago, I took my daughter with me after I got one of the EIC checks. She was about 6 or 7 at the time and I let her pick out her own TV for her room and she helped me decide on my washer and dryer.
ReplyDeleteI can never understand how people can get so much money like that and turn around the next week, talking about "I'm broke......can you lend me some money?" WTF???
..which is why IF we get those checks Bush is promising folks, we are banking it. Forget stimulating the economy. I did enough of that during the holidays. Any extra money I might befall this years is going towards savings. I'm of the mindset that I don't want to rent anymore, and I should already be a homeowner. Damn giving my money away to frivolous shit! Enough! I already know though, we are more than likely going to just break even on our taxes, which is cool, I suppose....the marriage penalty can be a Biatch sometimes...LOL
ReplyDeleteI never qualified for the EIC so I cant miss wha tI never had. But I agree with you on all points but:
ReplyDeleteBlack folks are scared of banks, especially Black folks over 40.
Black folks over 40 still getting the EIC need to use that for some education or training to advance themselves into a higher tax bracket.
We spend billions and billions a year on JUNK. We have the greatest spending power of any ethnic group because we're too stupid to think about the future and save.
credit cards in freshman year - that was the start of my downfall as well, and I had only a 1/4 time job (10 hours a week!)
ReplyDeleteMy mother made sure we all had bank accounts when were younger. I've always had bank accounts. Always. Credit is good when you use it responsibly. I'm paying for my irresponsibility, but at least I'm owning up to it, and making strides to pay things down. It's not easy, but I'm doing it.
ReplyDeleteI have to echo what a lot of what was already said. Stop buying things that are not really needed. Know the difference between wants, needs. I want a big screen TV, but I do not need it. So that purchase has to wait!!!
I needed a mattress set and got it!!! We need to learn to invest, save, and plan for our futures.
There are plenty of books out there on investing and money management and we need to read them.
I've never qualified for EIC, but I still get refunds for both fed and state that total over $1000.
ReplyDeleteI just get refunds and try to use them wisely.
ReplyDeletegurl....I am so miss'n that EIC refund. I had 3 children and for years my refund was FAT!! Then they grew up ... like I knew they would ... then the credits started getting smaller and smaller .... now a days...I long for those $5K checks. But like you said, I bought things I knew we would need...clothes/shoes/furniture/my very first car I purchased all by myself/stocked the freeze for the summer months...paid some bills! Took a lil something something for myself...but YOU gave some great advise....I hope a lot of PLY members read and heed ur advise; for future reference!
ReplyDeleteI couldn't agree with you more. Folks get these lil checks and spend like they lost their mind. SMH!
ReplyDeleteHow about we stop giving the government free loans until they start doing stuff with our money that we support?
ReplyDeleteI owed $75 to my state and got no federal refund this year and I was HAPPY!! I'm not contributing any more to this war than I need to! hmph!
OK! I owed the state $50, but I did get about $300 back from the feds.
ReplyDelete