Ask Terry Archives

I am 64 years old and receive $30,000 per year in maintenance for 7 more years. I only have $170,000. in a 401k and about $8000. in various investments. I feel I need to save more but have been struggling financially at a low paying commission based job. If I retire now I'll get $15,150…

Dear Ms. Savage: I went on the internet to download a free generic type "Financial Power of Attorney" form that I could fill out to legally assume the Power of Attorney for financial matters for my ailing 87 year old Father. I was unable to find any such forms for free. The web sites indicated…

Terry, I hold a number of Illinois college savings bonds. They are beginning to mature this year and each subsequent year until 2024. The financial condition of Illinois has continued to erode and I am in need of some advice. Is there anything that I can do with such illiquid investments other than hold them,…

I am 60 and my wife is 62. We have no mortgage on our house and have about $600,000 in savings. I would like to retire soon and have a choice to make. I will receive $3000 a month in a pension from my union of which I can have them take $400 a month…

Having recently retired with no mortgage or outstanding debt, I find myself with a substantial amount of money in two checking accounts. I would like to keep the money available for family emergencies but could use some advise as to where it would earn a better interest than what the banks are now offering. Terry…

Hi Terry, I was wondering if you know of any rules of thumb as far as a recommended minimum purchase amount for stocks based on the commission charged? For example I have a self directed account within my 401K that I use to hold individual stocks and ETFs (usually for 6 months or more) but…

Terry, regarding your article "5ways to tell . . .", the one question I was looking for pertains to a prospective financial planner's performance. Is it appropriate to inquire about benchmarks? For example, does a planner's performance, over time, at least equal the market after his or her fees are taken? Terry Says:  You bring…

Terry, thank you for taking this. We have begun reading your column in the new sunday Harrisburg,pa patriot news financial section. 14 yrs ago I met with a fee based planner who has my dads business. At the time he wanted $600 per yr to manage our (wife and I) 50k in investment money. I…

What is your opinion of former Congressman Dr. Ron Paul's prediction of a currency crisis, and financial failure for the US in the not so distant future? As a person entering his retirement years, this is beyond frightening. What are your recommendations for the average citizen? Terry Says:  There have been predictions -- and realities…

Hi Terry, How do I convince my mom to sign a promissory note? I'm buying her part of the share of a house that we bought together. She thinks I'm underestimating her portion relative to the value of the house. The house has depreciated in value when I bought the house in 2008, but she…

Hi Terry, My husband bought an annuity in 1994 (flexible premium tax deferred annuity). He can't find the policy and when I contacted the company they want us to send them $25.00 to mail out a duplicate copy. Is this fee common? Thank you. Terry Says:  Well, it's not outrageous, but I think it's unnecessary. …

Hi - What is the best way to pay off my mortgage early? I currently have a 30 year fixed at appx 4.1% and have appx 25 years left. I also pay $200 a month over my current payment. Thanks. Terry Says:  Well, you're making a good start at paying it off early by adding…

I am 59 years old, single, no mortgage, with two grown children living on their own, have been out of work for a few years and not likely to work again. I have over $1.5 million in savings and investments, not counting Social Security, which I don't plan on taking until I am 70 at…

Can you please give me advice on how to get financing for a mobile home that will be in an upscale Pennsylvania private community? Banks in our area plus our credit union no longer finance mobile homes in private communities. I was advised to go online and apply. I am hesitant to do this. I…

I use Bright start college fund, (I think it is called that), never the less, I saw that you do not recommend that fund, even though it is tax deductible. What should I be using in place of that fund? Thank you, A.J. Terry Says:   You don't have to change programs.  I have explained elsewhere…

are you doing any seminars in the Asheville, NC area ?? Terry Says:  Nothing planned, but ask your local newspaper or bank to bring me in for an event.  I love getting out to meet my readers!  Thanks for asking.

SHOULD MARRIED COUPLES HAVE TWO SEPARATE REVOCABLE LIVING TRUSTS? Terry Says:  That depends on how they want to maintain their assets.  First of all, note that I edited your question a bit.  You asked about IRREVOCABLE trusts.  But a "living trust" is truly a "revocable living trust" -- which means you can change the directions…

Hi Terry, My daughter is approaching her first birthday and have begun saving for her future college tuition. What would you suggest as a plan to set enough money aside until then? I stay at home, but plan to work again in a year or two. My partner currently earns about $3,000 a month, after…

Dear Ms. Savage, I am writing concerning your article on bonds a few weeks ago. We are retired and have some index bond funds, which we would only sell to rebalance. The dividends are our main concern. So, if the interest rate rises could we actually receive as much or more dividends than we get…

I heard a financial planner on WGN talk about the above bridge loan which returns 6% on a one year $10000 investment. 6% seems quite healthy in this economy which makes me skeptical if this is a real opportunity. Are you familiar with this and would it be a viable investment for a safe income…