The Blog Of TL Wall Accounting


Don’t Go To A Payday Lender… Ever!

There’s a strong reason we stress budgeting for everyone, but especially for individuals. Budgeting is the best way of knowing how much money you have to spend and how much you might have left over for things you need out of the ordinary or things you might want to buy or do.

Unfortunately, too many people go about their business without a budget. They create too much debt because of their credit cards unnecessarily instead of saving some of it for an emergency. They spend their money without thinking on a lot of frivolous things. We understand; who doesn’t want nice things?

Then… something comes up that wasn’t planned. Maybe it’s a car repair. Maybe it’s not having enough money to pay rent or mortgage. Maybe your favorite musician is coming into town and the tickets are a bit expensive and you don’t have enough money on your credit card or in the bank to cover it.

Payday loan companies were created to help people fill that void. The premise behind them is that you go in and borrow any amount, and you pay it back in a week if possible. If not, they’ll extend you until you can pay them back.

Sounds good, doesn’t it? Well… it’s not…

There are multiple problems with payday loan companies.

The first is that the interest rates they can charge can be exorbitant. Some contracts will charge you upwards of 400% APR… some even larger if you’re borrowing relatively small amounts.

The second is that they’ll want your bank account information so they can automatically withdraw the money you owe them. Some companies have been known to withdraw the money sooner than you expect them to, which puts you in a bad situation. You can sue to get your money back… if you have the money to sue them.

The third is that you might not be able to sue them if you didn’t read the contract properly. Many contracts made you go through arbitration in another state other than your own. Imagine living in Minnesota and realizing after the fact that you have to file for arbitration in Florida because you missed that line in the contract.

Many payday loans have had either the state they’re in or the federal government crack down on their operations. New York state actually banned them, while other states allow them to stay open but mandate that they change the language in their contracts. The reality is that they’re basically unregulated; just because someone penalizes them doesn’t mean you’ll get your money back.

It’s better to stay away from payday loan companies than risk losing more money than you were expecting. The four ways of dealing with the lack of money are:

1. Borrow from friends or family;

2. Call your creditors and ask for a temporary deal;

3. Start budgeting or saving small bits of money for a rainy day;

4. Do without; this is for those things you don’t necessarily need but want.

All of these are better options than thinking about payday loans. Protect yourself and your money.

Not Filing Taxes When You’re Owed Money Is A Bad Idea

I know a lot of people who say that if the IRS owes them money that they don’t file their taxes. Some of these folks are owed literally hundreds, even thousands of dollars. I can’t comprehend why they wouldn’t want their money, but from an accounting perspective it’s still a bad idea not to file yearly and on time.

One fact is that if you’re sure you don’t owe taxes, you’re exempt from filing by the yearly deadline. The magic word there is “sure”. If you file later in the year or the next year and they calculate that you indeed owed something, you’ll not only earn a penalty but it’ll be calculated monthly for every month you were delinquent. The rate won’t be the same each month either; the balance will compound like a credit card.
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Can You Be A Courageous Investor?

According to financial experts, investing over the long haul is one of the safest ways for you to not only make money but to help save your money. How is this possible? Here’s the quick down and dirty of it all.

First, you get into a money market type of account, where your investments are spread out among a lot of companies. What this does is protect your investment if one company starts to tank, and gives the person handling your account time to switch you to someone else more stable.
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5 More Things To Know About Self Employment

Two years ago we wrote a post titled 5 Things To Know About Self Employment. It covered some pretty good ground, but there’s so many more things that we can share which will help you if you’re not already working on your own and are thinking about exploring it. As with everything else in life, some of it’s good, some of it’s scary. Let’s take a look at 5 more things regarding self employment.

self employment

1. You need to plan for the possibility of making a lot of money. One client of ours spent the first few years basically floundering; he wasn’t a client at that time. Then he struck virtual gold and over the next two years he made more than $350,000 total; sounds great, right?
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5 Things You Need To Know About Debt

The topic of debt is one that a lot of people want to run away from. The problem with debt is that you can’t hide from it. You can let it bring you down or you can address it.


We believe in addressing debt and fear of debt. We also believe there’s a large range of issues concerning debt that most people never think about. With that said, here are XX things you need to know about debt.
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