hi, everybody. i'm suzeorman, and are you watching "the suze orman show. people are looking at me and going what's wrong? they're saying, oh, my god, su sdmr e. our mailbox is overflowing with viewers writing in to say, suze, my bank has just increased the minimum payment on my credit card bill. what can we do about this? why are they doing this? they shouldn't be allowed to do it, and have i to tell you, i agree with you. let's talk a little bit about what credit card companies are doing to you and why i personally think, oh, banks, they're being bullies right now.

so many times what you are really paying attention to, most of the time, is the interest rate that credit card companies, the bank happens to be charging you. you get upset when it goes from 4.9% to 32% and rightfully so. however, that in the long run will hurt you. what really matters and what determines your monthly payment is not the interest rate, but it's the minimum payment due and the percentage of that minimum payment. let me give you an example. if you owe $10,000 on a credit card regardless of the interest rate, your minimum payment at 2% of your balance would be $200 per month. all of a sudden a lot of you, especially those of you who are customers of chase, are getting

letters saying your minimum payment is going up from 2% of your outstanding balance to 5% of your outstanding balance, so if you have $10,000 of credit card debt, your minimum payment due will be $500 per month. now, that can truly affect your cash flow. you know, we actually did contact chase, and their reply to us was this. that while it is true that tens of millions of people took advantage of loans from chaes and were very responsible in paying them back, there were a few people that they had noticed weren't paying the loans back in the way that chase wanted them to. of course, what did they do? they raised their minimum from 2% to 5%. the amount of people that that affects, according to chase, is less than 1%. one has to wonder why is this happening? why is this going on across the board? well, let me tell you why.

the credit card act. here are just a few of the things that the credit card act changes for you. number one, they have to give you at least 45 days before they can just raise your interest rates. they have to give you time, at least 21 days, to pay those bills. there's no longer any double month billing cycles, month more universal default. if you pay on your credit card, the interest rate, when you pay something -- if you have varying interest rates, your payment goes to the highest interest first versus the lowest and on and on. in their wisdom a lot of those things are absolutely going to help you, but in their lack of wisdom many of these things don't go into effect until february of 2010. the problem is the credit card company said to all of you, if you pass this legislation, oh, we're going to stop making as much money, and if we're going to stop making as much money,

we're going to make suring that we get our money from you now. we'll be forced raise interest rates, the percentage of our minimum payment, all of that, and, guess what, all of this has come to pass. now, why the legislators did not put these rules into effect immediately is beyond me. why they also didn't go further than they went, which is you can't increase the minimum payment. you can't do certain things that the credit card companies are doing, and also that's beyond me. you have got to understand that these things are happening to you, and why things like chase now are flooding your mailboxes of the minimum percentage is because they know very shortly here in february of 2010 all of this -- or the majority of it, is going to have to stop. here's my advice to many of you. there has to be different alternatives to bairnks and credit card companies. maybe you need to start looking at credit unions.

credit unions that then get into the trouble that many of these banks did, number one. number two, if a bank happens to say to you, listen, we're increasing your minimum payment from 2% to 5%, at least call them, talk to them, tell them you're not going to be able to pay it. ask them if you can opt out, meaning, you're more than willing to let them close down that credit card. you don't use that credit card anymore. you want to stay at the 2% payment if you don't have the money to pay your bills. now, obviously, if you have the money to pay your bills, then you should be paying a 5% minimum payment. you'll get out of credit card debt that much sooner. the problem is many of you are still unemployed. you don't have the money. you don't know what to do, and they're forcing you into a situation where you are either going to have to claim bankruptcy or stop paying them altogether. shame on you, credit card companies. don't you understand the reality of what's happening to people out there? good, honest people that just

can't pay you now. why didn't you do this years ago when they were flush so they never got into credit card trouble to begin with? no, no. now that they're in credit card trouble, now you're sticking it to them. i think you should think about it, and i think the legislators, if you are watching the suze orman show right now, you need to crack down on them right here right now because how can you let them get away with this? doesn't make any sense. however, it is what it is. if you are wondering why this is all happening to you, it's happening to you because they're rushing to get as much money as they can before february 2010. let's go to our first guest tonight. it's mandy. she's coming to us from los angeles, and you are struggling with the exact problem identify been talking about. tell everybody about it, mandy. >> well, i am a single woman living in l.a., and i have $33,000 of credit card debt. i'm struggling to make ends meet, but i have been making all

my minimum payments. i have really good credit, but recently chase just raised my minimum payment from 2% to 5%, which makes it go up $400 a month. i can't pay it. i talked to them. they said there's no way that i can opt out. there were kind of like tough luck. i don't really know what to do, because my budget is really tight. there's not anything i can really cut out, and -- yeah. >> you are in trouble. let's drill down on this one for you. you owe $32,000 in credit card debt all together, but that's not all -- how much do you owe to chase? >> to chase i owe $14,000. it's all at a 4.99% fixed. >> you have a $14,000 debt to chase, 5% interest. as i just said in my opening, the interest rate doesn't matter because what your payments are based on isn't your interest rates. the payments are based on the minimum amount they require you to pay of month. it was at 2%. now it's 5% of your balance.

what was your payment? >> it was $265, and now it will be $665. >> so you are going up $400 per month, and they won't even talk to you? >> no. >> you know what this reminds me of? this reminds me of about a year or so ago when all the people in the real estate market, they were getting in big trouble. they couldn't make their payments, but the banks wouldn't negotiate with them until they were late on their payments and once they were late on their payments and they didn't have the money to pay anymore, oh, then the banks would listen to you. here's the thing. you are now being forced into a situation where you cannot pay them, but then one has to wonder how -- i know my viewers. you know what they're all sitting here thinking, man? they're sitting here thinking how did this woman, who is 30 years of age, get into $32,000

of credit card debt? how did you do that, by the way? >> well, i'm not making that much money, so i was basically using my credit cards to make ends meet, because -- well, i'm out here in l.a. for acting, so i kept thinking that i would book something, so that's kind of how that happened. >> happened, and i'm looking at your paperwork. it happened because you also put $4,000 on the credit card to go to germany. a trip. >> yes. >> you're still eating out $200 a month in restaurants. >> yes. >> yes. so while it is true, mandy, that i could tell you how to solve this problem financially, i am not sure that would actually help you because isn't it also true that you haven't quite learned your lesson yet because just a few years ago in 2005 you were $15,000 in credit card debt before you moved to los angeles, and your parents, your mother,

actually paid off $15,000 of credit card debt for you and you got yourself right back into it, right? >> yes. >> what does that say? >> well, that i didn't learn my lesson, but now i really have. like, lalts especially this past year. i have really been trying to get it under control. last year i was not good with money. i went through a pretty dramatic break-up, and that definitely contributed, but i really have been trying lately to really watch what i'm spending. >> if you are really trying, how is it possible that you are trying when the truth of the matter is that if you simply didn't eat out to the tune of $200 a month, you would have approximately -- because i'm sure you could eat at home for $50 for what it takes you to eat out for $200 -- you would have about $150 more a month to put towards the credit card debt

that you really legitimately owe. why aren't you doing that? >> well, i actually this past month i really have been strict with myself, and i cut eating out down a lot. >> are you eating out at all? >> yeah. >> yeah. a lot? >> yeah. >> why? >> mostly for social things. >> so you are socializing right now. you still go out, but that socialization isn't going to get you anywhere where you really want to go except further into debt. all right. that's one part of the equation. here's the thing. you have two choices right now. you are seriously being forced by chase where you cannot pay this bill. if you cannot pay this bill as of next month, you don't have a choice. you're not going to be able to pay it. if you just don't pay it because you can't pay it, you're not choosing not to pay it -- you physically and financially cannot pay it, yes, it's going to hurt your fico score, but

when it hurts your fico score and chase starts to realize, oh, my god, eep not going to get any money from mandy and you are saving the $200 and $300 a month right now or maybe $400 a month because you're not going out to eat and you are saving that money, there will come a time when chase will call you or you will call chase and you will say to them i know i owe you $13,000. i have $5,000 that i can send you right now. will you take it and settle the bill and they probably will say yes, i will. number two, you might want to look into doing a balance transfer. currently you still have good fico scores. what i would suggest is start looking into credit unions to do a balance transfer. now, many credit unions that you can join. credit unions have credit cards. credit unions did not get into

the financial trouble that banks did, so credit unions are still having low minimum payments of 2%, maybe 3%. they're not charging you these hefty balance transfer fees, so if you want to stay current and you don't want to be forced into a situation where you're not paying chase and then you negotiate with them, look at a credit union to do a balance transfer. here's one thing and then i'll let you go. you know what i don't understand. when i look at your background, you graduated from penn state, correct? you graduated with two degrees, correct? >> uh-huh. >> you graduated with honors, correct? why does such a beautiful, intelligent, capable woman -- why is she doing this to herself? why really. that's the question, mandy. i just told you how to solve it

financially, but under every financial problem it is rooted in an emotional lack of self-worth. why? >> don't know. >> don't know. you got to know. you got to know. you've got to find out. you have to deal with who you are before the world can value what you do. right now, everybody, i want you to stick with me because the truth of the matter is after i was done with the interview with mandy, i spoke to her a few more seconds and, guess what, that's when we got to the guts of the matter, so stay tuned so you can see what happened. >> i guess i keep hoping that i'll book one of these commercial odd igs because if i could book just one, like, that could be enough to get me out of this. >> but hope is not a financial plan. >> and later, been wanting

something? ask me can i afford it? >> i want to buy a wood chipper. >> a wood chipper? >> a wood chipper. like one that makes mulch. >> you make me laugh.

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welcome back to the suze orman show. >> under every financial problem it is rooted in an emotional

lack of self-worth. why? >> don't know. >> don't know. you got to know. you got to know. you've got to find out. >> as i before the break, i got down to the core of the issue with mandy after the interview. take a look. >> hi, mandy. okay. how are you? >> i'm okay. >> are you okay? >> yeah. >> you got to acting powerfully with this. you've got to start really the same thing assist a diet, the same whatever, you have to be on the thing with your money that you've got to turn this around. yeah. >> i know. >> what do you think keeps you from doing that? >> i really -- i don't know.

it's like i'm working six days a week, and i feel like i don't have enough time to focus on finding another job, and i do t don't -- i don't know. i just got this new agent. they're sending me out on so many auditions that i'm missing so many hours of work, so it's like one good thing happens and then two bad things happen. >> all right. so what, honest to god, in your situation, when you are $32,000 in credit card debt, you don't own any raeshgs you don't really have any assets to your name, i have to tell you between you and me, this is the perfect situation for you to claim bankruptcy. >> really? >> honest to god it is. you know, it's because if you think that chase is the only bank that's going to raise the minimum payment from 2% to 5%, they're all going to do it. as soon as they -- >> i know. >> when that happens, you're going to be at $1500 a month

just for credit card payments and you are making $2,000. you understand where it's going? so if you can just see that and see the situation that you got yourself into, because one way or another, you're going to be forced to either stop making all the payments here and then negotiate with them and in the meantime that debt is going to go up. honest to god, mandy, if you really in your heart are sorry for your past actions and what you wasted all this money on, in this particular situation -- and i don't say this lightly -- you should claim bankruptcy. >> i guess i keep hoping that i'll book one of these commercial odd igs, because if i could book just one, like, that could be enough to get me out of this. >> yes, but hope is not a financial plan, and in the meantime look at what it's doing to you. >> i spent that money. i should pay it back. >> that's right.

but you can only pay it back when you have the money to pay it back. we don't have the money to pay it back right now. it doesn't make you a bad person. mandy, given that you feel a responsibility -- and i love that in you -- that's a great thing that you feel a responsibility to these companies. i would do two things. number one, i would call chase. you tell them i'm going to stop paying. keep me to my 2% minimum payment and close my account, but you keep me at my 2% minimum payment or i'm going to stop paying pu as of this month. i'm going on record to say that because i do not have the money. call me back with a decision. if they don't respect you enough to call you back, just stop paying them. in the same time i would then check out credit cards at credit unions to see if you could do the balance transfer. if, however, you really look at this and you get that you can't afford this anymore, and i look at your numbers, and you are

already $400 a month behind every month. even paying the minimum of 2% you're still $400 behind. i'm just telling you financially speaking, then bankruptcy. i can't choose this for you. financially speaking, bankruptcy is what you should be doing. zirjts up next, you can't afford to miss can i afford it? >> aye never been to my high school reunion pz in 40 years. >> so you want to spend $8,000 for a semi-facelift just so you can go back to your reunion. >> also -- >> i want to send my two teenage kids on a band and choir trip to europe next summer. it's going to cost about $of,000 per kid, and we want to also use this as an opportunity to teach them the value of work and money. >> how does this teach them the value of work and money?

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>> i really topt buy a boflex treadmill. >> a life coach. >> are you ready? drum roll. this is the can i afford it segment. this is where you call me and tell me what it is you want to buy. i ask you a few questions, and then i tell you if you can afford it or not. are you ready? let's p begin. brandon, what do you want to buy? >> caller: hi, suze. i've never been to my high school reunions in 40 years, and i want to go to the 40th one next june. >> because you're looking hot now and you weren't looking hot before. i didn't mean to go there. all right. you want to go to the 40th next june. yes? >> caller: and i would like to get a modified facelift. >> i was kind of right, wasn't i? i always think that. you know, when i went to school, i was a short little pudgey thing. now it's like, you know, i kind

of think i'm a hottie. i go to show everybody that i actually am probably better than they are right now. that's not a good reason to go. you want to spend $8,000 for a semi-facelift just so you can go back to your reunion, or do you just want to also do it for yourself month no matter what? >> i had been planning on doing it for a couple of year, but then the opportunity to go to the 40th high school reunion made me say, well, now is the time. >> all right. it's a sham. i'm looking at my screen over here, and i see the $8,000, and i see two surgeons over you. the truth of the matter is i so would love to have seen your little face there, but that's besides the point. show me the money. >> okay. we have $12,061 per month combined. we own our home outright. >> fabulous. >> we have $150,000 in ciaings, and we have $850,000 in retirement. >> yeah. and you're 57 years of age. and you want to spending 1% of

your retirement essentially on a facelift? >> well, i've actually already saved the money for that set aside. you know, if it's inappropriate to do that, i need you to tell me. >> here's the thing, i want you to go to your high school reunion. i want you to look beautiful. i want you to feel beautiful. guess what, you have been really beautiful when it comes to your money. go on, girlfriend. you can afford it. webdy, what do you want to buy? >> i want to buy a life coach. >> a life coach? >> a life coach. >> you want to buy a person for $300? oh, you want life coaching. >> i want life coaching for $300 a month. >> how many months are you going to do this for? >> well, for whatever it takes, but i think about three months. >> so you are looking at approximately $1,000 here, girlfriend, to spend with somebody who will life coach you on what you should do with your life. >> exactly. i was laid off for about a month

and a half. >> yep. >> and i am considering becoming a life coach, and the best way to do that is to get my own life coach to help me become successful. >> show me the money. >> well, i make $4,034 a month combined. >> you just tell me you were laid off, so the truth is your husband is bringing in $4,334 a month, right? >> no, i was re-employed within a month and a half. >> all right. so now you're both making money. how much of that $4,000 is yours? >> right now i believe i'm bringing in about $2,000. >> so 50% of your take-home between you and your husband is yours. okay. go on. >> i have $192,000 at 4.25%. we just refinanced. >> eighty. >> i took a month of that, but i didn't have to pay and put that into my savings. >> yeah. >> i have $46,000 in my savings and emergency fund. >> yeah.

>> i did not touch the whole time i was laid off. >> yeah. >> and i have $104,000 in retirement. no credit card debt. no car loan. >> here's the thing. again, the name of the segment is can i afford it? this is something that i think you should do. that is not what you are asking me. you are asking me if you can afford it or not. when i look at your finances and i look at all of this and the fact that you are bringing in 50% of your take home right now and you have no credit card debt. all right. you have been approved. you can afford it, but can you just kind of try it for one month and make your decision then? i don't think you need to spend two more months to figure this one out. all right. jen, what do you want to buy? >> hi, suze. i want to buy a wood chipper. >> a wood chipper? >> a wood chipper. like one that makes mulch. >> you make me laugh. all right. so you want to -- you need to -- oh, so you just can't put all your stuff into, like, a big gashan can and let it mulch itself. you have to do something with it

before it gets there. >> the thing is i just bought a house about a year ago, and i've been working really hard it get the lawn back up to par, and mulch costs about $5 a bag, and basically it's like a dead shaved tree in a bag, and i have thousands -- hundreds of dead trees all around my, so i figure why not just use those. >> so $650. okay. i think your friends think you're nuts, right? >> not really something most 20 something females want, so not really the talk of the party on this one. >> you know what, i can relate as a lot older than a 26-year-old. i can picture myself back there at 26 years of age and, you know, wanting to do kind of things like that and my friends would go, you want to do what? all right, girlfriend. show me the money. >> i take home $3130 a month. i have a $260,000 30 year fixed mortgage at 5.5%. this is a joint ten answery with my boyfriend. i have $17,000 in ciaings ask $4,000 in retirement. >> you have been approved.

go ahead. chip, chip, chippewa on that wood and send me some pictures when your lawn starts to look good again. all right. lucy. we have one more here. what do you want to buy? >> well, thank you, suze, for taking my call. i want to second my two teenage kids on a band and choir trip to europe next summer. it's going to cost about $6,000 per kid, so a total of $12,000. we lived in europe when they were younger, and so this is a great opportunity for them to go with their peers and without their parents, and we want to also use this as an opportunity to teach them the value of work and money. >> how does this teach them the value of work and money when you worked for your money and you are going to spend $12,000 of your money? how does that relate to what they're doing? all they're going is tooting away on their little instruments there. $12,000, girlg friend. you better have a serious sum of money for this one.

>> yeah. well, we're thinking that that's part question. how much of this should they be required to earn? >> like 100% of it if you ask ask me. >> okay. >> what is wrong with america today? that's the can i afford it segment? you want to know if you can spend $12 thougs of your money on your children. show me the money. >> all right. we have -- my husband and i bring home $11,310 combined. >> yeah. >> we own our home out right. >> fabulous. >> we have $130,000 in savings. >> wonderful. >> and $376,000 in retirement. >> so you are doing kind of great, yeah? >> we save our money. we -- >> yeah, you have been really great, so, again, i'll make it easy for you. you have been denied, and the reason that you are denied is this. you are 46 years of able. you have $376,000 in your retirement account. i'm looking at your expenses, because you know, i do do research on all of you before i approve or deny you. you're going to need at least $1

million in your retirement account, possibly even more if tax brackets go up, for it to generate the income that you are going to need to live the lifestyle that you have. $1,000, if you take that away right now, that really hurts the future plans. i am serious. i know everything is great. i know you have worked hard for it. i personally do not think that you have one month of your life that you can give to your children where 100% of your salary goes to pay for them for this vacation. it is a vacation for them. they lived in europe. they've seen it. again, take my word for it here. you are denied. oh, boy. i want to be part of the can i afford it segment, you never know what i'm going to say. am i getting good at fooling you or not? anyway, you want to be part, all you have to do is go to my website suzeorman.com, and you'll find the information you need to know there to be part of any of the segments here right on the suze orman show. let's continue with the can i

afford it callbacks. this is where i call back somebody from the can i afford it segment to feepd out if they listened to my advice or not. tonight we're going to sheila. sheila wanted to buy an outdoor kitchen. she wanted to spend between $3,000 to $5,000. take a look at the call back flashback. >> i want to build an outdoor kitchen. >> an outdoor kitchen. okay. and that's because? >> well, my husband loves to cook, and we both love to entertain, and it seems like every weekend we have somebody here in our kitchen, and it's not big enough inside so, we want to move it outside. >> why can't you barbecue outside and why do you have to spend $3,000 to $5,000 -- how are you going to pay for this? >> we're going to take it out of savings. >> in this type of an economy, do you think $25,000 in savings is enough in case both of you happen to lose your jobs at the same time? >> sure. >> in your particular situation,

given your actual spens, so do i, you have been approved. she'll yashgs i have to tell you, a lot of people wrote in and said i can't belief suze orman, you approved sheila for that outdoor kitch. she didn't need it. what were you thinking? did you or did you not build it? >> we did, and i must say it is amazing. >> oh, so i went -- look. i am looking at the picture of it right now, and have you used it? >> i am not kidding when i say we have been out there with people probably every single night since we've had it done. >> what is that picture of me above that kitchen? what happened there? >> well, we homeland a suze orman company you afford it party, and now we're just expanding your fan base. ewe got, you know, a lot more fans now that just love your show, and it was a lot of fun to have that party that night. >> all right. i just have to ask a question. youmented to know could you

spend between $3,000 and $5,000. i have never -- i do a lot of building. i have a lot of homes, whatever it is. whatever. i have never come in on budget yet. suze orman cannot even come in on budget for a construction project. did you really just spend $3,000 to $5,000 on this? >> no. >> how much did it end up costing you? at least double? >> yeah. you know, we ended up -- because we're going to stay in the house for a long team and we had the savings, we felt like we could go and put a few extra little touches in it that we wanted, so, you know, we got three barbecues out there, and -- >> i'm -- what did you end up spending? $8,000? >> yeah. >> i knew it. i knew it. all right. girlfriend, listen, next time you call in to ask if you can afford it or not and i approve you, you better stick to budget. do you hear me? i'm so excited that it worked out for you. i'm worried about an investment my in-laws made. they've taken money from a bunch of sources in order to take the cash and envest it into a life

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sflimplt welcome back to the su sfwl e orman show. >> dan, what can i do pow? >> suze, thanks for taking my call. i'm worried about an investment my in-laws made. they've taken money from a bunch of sources in order to take the cash and invest it into a life insurance policy. i'm guessing the amount of money is around $500,000 to $750,000. they're in their mid 60s. they collect a pension.

all this advice was done on the advice of a financial advisor. i'm not sure. i believe they're trying to save on tacks by taking loans on the policy. is this a viable strategy? >> all right. let me just get this straight. they took $500,000 to $700,000 -- my eyes are twitching here because i'm so upset for you. $500,000 to $700,000 of money they had invested elsewhere, is that correct? >> that's correct. >> where was it envested? >> four different areas that i can see. one of them is a mortgage on a paid house. >> so they took a mortgage on a home that they owned outright? >> that's correct. >> also, stock options, 401k money, and some savings. >> so they took money from a 401k that they're going to owe ordinary income tax on? >> that's correct. >> when did they do this?

>> very recently. >> less than 60 days ago? >> i would say so. >> all right. listen to me. are they there? can i talk to them? how much did they take from their 401k? >> i don't have the details, suze. they're in-laws. >> do you think it was, like, $200,000? >> would i guess in that area. >> do they p understand that let's say they took $200,000 from their 401k, they're going to owe approximately $75,000 to $100,000 in taxes on that? >> i tried to explain that to them. >> do they not understand that? >> i wish they would. >> but they -- do they have $100,000 to pay for taxes if that happens to them? >> that's hard to say, su sdmr e. >> and they put all $500,000, $600,000, $700,000 into an insurance policy, probably known as a single premium whole life, is that correct, or a seven pay whole life? >> it's got a lock name, suze. i have the name. it's called a flexible premium equity index.

>> i knew it. >> adjustable life insurance policy. >> and then what they're doing is do they need income to live on? >> they're living on their pension. >> so this is all money that they put in here that probably generated the agent who sold that to them. if they put $500,000 in there, do not be surprised if it created a $100,000 or $200,000 commission for the agent for a serious sum of money. who is this agent? >> i don't have his name. >> is it a relative? is it a friend? how did this agent get ahold of your in-laws. >> word of mouth between friends. >> a whole bunch of people are doing this. >> apparently. >> and the sales pitch is because i know the sales pitch. it's you put your money in here. it will grow. when you need money, you take out a loan.

the loan will be at 8%. in the meantime, we'll credit you 8% on the loan, which is a net zero, so it's not going to cost you any money to get the money out. in the meantime, that is tax-free money to you, and when you die, it all goes to your beneficiary, tax-free with a life insurance policy on top of it. correct? >> correct. what i'm really worried about is all the loads they have taking moving money around. >> listen, this is -- first of all, i'm very sorry that this happened to your in-laws. for those viewers who are watching, i ask you to be very careful with this. here's what i really think needs to happen, because this case is so serious. i think with the producers, you need to arrange with me a time that i can personally talk to your in-laws. we see exactly what they did, where they took it from, and it is still possible if they got that money back it could go back into their 401k plan or their

whatever if we can do it here relatively shortly. goodness me, or get it into an ira rollover for them before the 60 days is up. this is an emergency situation that we kneeled to act on immediately so can you please set that up with the producers? >> listen, everybody. obviously, i'm going to be talking to those people, but i'm going to send out a suze warning here. did we not learn anything from bernie madoff and all these other people that were scam artists? what are you thinking? it's a financial advisor comes to you and says to you i can show you how to do things, avoid taxes, and they're telling you to take money out of a 401k to take all of your money, a mortgage out of a home that you already have paid off to do what with? have you lost your minds? have you not learned anything? oh, my god. you have to learn. these people did not learn. i don't even want to tell you

what i think is really going to happen to these people's money. you know, they were 60. they were retired. they earned all these things. don't be surprised if they have to now go back to work, and the financial advisor made a fortune off of them. i am sounding off on this. you be careful. don't you ever take money out of a paid home, a 401k plan, this to do something else. have you lost your minds? >> up next e-mail wrshgs. >> why? why in the world would you have co-signed a loan for her anyway when he wasn't speaking to her? is that his way of treeing to buy her love back? you cannot buy love, people. you cannot buy love. chloe is 9 months old.

she is the greatest thing ever. woman: one little smile, one little laugh. - honey bunny. - ( coos ) we would do anything for her. my name is kim bryant and my husband and i made a will on legalzoom. man: it was really easy to do. - ( blows raspberries ) - ( laughing ) robert shapiro: we created legalzoom to help you take care of the ones you love. go to legalzoom.com today and complete your will in minutes.

ooh, peanuts.

welcome back. coming on with that t-shirt, boy the you know i twitter all the time. you know how many twitersters ai say does he only wear t-shirts? i say yes. are you losing weight because you are nervous about, everybody knows he is engaged. >> i m am engaged. i'm not nervous. >> when is the wedding? >> trying to decide what kind of wedding and party we want to have. >> are you going to invite me? >> yeah, we discussed that. and you are not going to come. because that's what you said. >> i never would say that. i would never say that. >> then i'll put you back on the list. ha-ha. >> i can't believe he wasn't going to invite me.

>> i said i would invite you. you said you're not coming. >> i was joking with you. >> who can tell? >> see lou get married the who wouldn't want to invite me the i give incredible gifts. are you nuts? are you crazy? >> i'll put you at our table. >> i just want to see you get married the i don't like receptions. >> ready. from ohio the my husband co-signed for a $6,000 loan for his daughter who doesn't speak to him. she forged his signature to increase it to $17,000. she has defaulted on the loan and we are getting letters from sallie mae. what scan we do so this doesn't ruin our credit. one choice is to take her to court to press charges for the forgery. >> what does that mean you don't want to do that? you don't want to do that? you don't want to do that? i don't understand that. listen to me, you do not help

your daughter who does not speak to your husband or your husband's daughter. by not holding her accountable for breaking the law. if she does that to him what else is she doing? what es is she doing that could actually land her in jail? are you kidding me? if you want to do her a favor you would absolutely take her to court. small claims court. don't care what you have to do. to increase it, forged his signature and she doesn't speak to him. what else is she doing behind his back? that is your only, only, only thing. why, why in the word would he have co-sibed a loan for her anyway, when he wasn't speaking to her. is that his way of trying to buy her love back. his way of trying to get them to have a relationship again. look what she does to him. do you understand it doesn't work that way. you cannot buy love people, you cannot buy love. so you really want to set this straight. take her to court!

and let her know that you are going to do so the do not protect her. it isn't helping her. >> that's sweet. she is daddy's little felon. >> i love that. very funny, lou. everybody. lou made a funny. lou made a funny. very good. are you all laughing at lou. very good. >> i am going to go out on a high note. let's go. >> all right, everybody. what a night tonight has been. if you think about it, it's true. lou would say, daddy's little felon. we had the other caller whose in-laws are being totally taken advantage of. we start tonight's program by banks being bullies. there is always something happening here on the suze orman show. you need to come back every single saturday night. until next time. there is one thing i want you to do. remember when it comes to your money and it is this. people first, then money, then things. now you stay safe.

profits from pleasure led to the ultimate sin. >> everybody has a price. sex, money and murder at the mustang ranch. american greed next.