Tuesday, March 27, 2007

How to stop inflation

How to stop inflation. Seems one of the biggest contributors to inflation is insurance companies. In a way it's like having your own ATM machine and print money never loosing as a business. If you take a hit like after Katrina, you just raise your rates. That's what they did after Andrew. When they made bad investments in energy futures they raised the rates. Some insurance are being looked into here in California for terminating people policies after they get sick. That amazes me they will insure you as long as you don't get sick. It's "Give us you money and we will protect you as long as your healthy." What kind of deal is that? Sounds like "Life Insurance" which in itself is an oxymoron in terms. It should be called death insurance because you pay into it and collect when your dead. What really gets me is the insurance companies pushing to make it a state law that you have to buy insurance. What a deal! You don't have a choose and they can charge any price they want after that because you have to have it or what, go to jail or be fined because you don't. Health insurance is going up faster then inflation rates. Doctors have to have insurance to protect them and there it's another program of printing your own pay checks. You need a new boat or summer home, then raise the rates. Cars getting old and the ash tray is full, time to raise the rates to get the next year model.

To curb the health care problem a single payer system needs to be made excluding the insurance companies. Other countries have done it and done it rather well. The only people that will disagree are the insurance companies like they did several elections ago with their scare tactics.

Other parasites of society

I just listened to a show about credit card. Very interesting! Seem like the mafia moved into legal businesses like credit cards and set up their loan sharking business. Seems it doesn't mater what the rate they promise you going to pay a higher rate. They also do tricks like just put a charge on your bill in hopes you miss it. The woman talking was a law professor at Harvard. She said she would have her class take a letter offering a credit card that pays you some percentage back each year. Her question to the class was to fine out the rate of interest you need to pay to get cash back. Turns out he low interest card wasn't, you had to pay 17% on the card to get 3% back which makes it a 14% card. She went into the other ways card companies get you like sending you payments to a small town on the opposite coast from you so it takes longer for the mail and they can get you with a late fee. She said the card companies even shred payments so they can say they never got the payment and charge you a late fee. One example she gave was parents buy new baby all the junk for the new kid and the total charge was $5000 dollars. If you make minimum payments on that it would take 35 years to pay it off, never charging anything else on the card. Talk about parasites worse then tapeworms.

Cut up those cards. They can take you to the cleaners if you don't have a card.

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