In Debt? Blame Behavioral Economics

Yesterday, I spent 2 hours helping Natasha. Until recently, a client of Bank Of America [BOFA] for over 10 years, Natasha was the model customer. She's always been on top of her bills, She never missed or made a late payment on any of her accounts.

Tragically, Bank Of America has recently raised her Interest Rate. From 3.99% to 14.99% and BOFA recently closed all 3 of her accounts. Why did BOFA close all of Natasha's accounts? Because Natasha's 'Outstanding Balance' on all 3 of her accounts was well over 50%. This is also a problem of many people when they come to DEBT WARRIORS for help.

Natasha needed urgent reinforcement and reassurance. Her minimum payment doubled overnight to over $900 per month. She didn't know what to do and had somehow stumbled upon a horrible Debt Settlement Company. Of course, they were willing to settle Natasha's Debt for her for 15% of her total outstanding balances.

The Debt Settlement Company wanted $4,800 down and $400 per month for 60 months.

Luckily Natasha called DEBT WARRIORS! There are a lot of myths about Debt Settlement. Because of these myths, Americans find themselves looking for solutions to get out of debt as soon as possible. For this reason Consumers like Natalie consider:

• Bankruptcy
• Credit Counseling
• Debt Consolidation and
• Quick Credit Fixes
  

Fact is, the majority of people don't need many of all of the above. People can settle their debt for themselves! So, why do people make terrible credit mistakes like the ones above?

So why do people make money mistakes? Behavioral Economics is the study of how people make economic decisions. You'll find it shocking that many Fortune 500 Companies hire Behavioral Economists to out-think Customers.


For example economic principle of 'Framing' is defined as "how a rational choice problem has been presented." Lets go back to 1981 when Behavioral Economist found systematic reversals of preference when the same problem was presented in two different ways.

Lenders use Behaivoral Economics to trick Consumers into thinking they are making rational choices - even when those choices bluntly irrational.

Beware of any company framing the benefits and not fully disclosing the burdens. Lenders know for a fact, and from experiment data, that Consumers can be mentally massaged into making emotional and irrational financial choices instead of cerebral rational choices, when under pressure.

We've been ranting about lack of adequate disclosure from lenders since we started DEBT WARRIORS! Once we calmed down and probed deeper, we discovered that Jedi Mind-Tricks are used on unaware and innocent Consumers everyday.

I told Natasha, it wasn't all her fault. Luckily she had the good sense to trust DEBT WARRIORS! I kept her from making one of the most irrational choices made by Americans. That is letting someone else settle their debt, without seeking self help and education first.

Feel free to blame your debt situation on the Mad Science of Behavioral Economist. We won't blame you :)

Also know you can outsmart your Credit Card Companies and secure financial liberty for yourself. We will be happy to show you how.

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Don't Let Debt Defeat you! Settle Your Debt For Yourself! Or, hire an affordable Attorney in your State - for less that $1 per day. DEBT WARRIORS Show you how. Call 866-576-4996.

Log onto www.DEBTWARRIORS.com