Earlier today, I traded a few emails with my younger sister in Minnesota regarding the financial meltdown in the US, the Rescue Package…and the state of our IRA’s and and 401-k accounts. It’s been a bad week for Main Street, America. No doubt about it.
But in my opinion, there is a lot of panic being caused by the media reporting. +It’s so easy to release twenty and thirty second sound bites of news. These hardly tell the whole story. These tidbits also are designed to grab our attention quickly. Doom and gloom and FEAR sells! And then Wall Street tanks…because all the investors are hearing the panic, so they call their brokers to sell, sell, sell. +People who can buy right now are going to be handsomely rewarded in several years, in my opinion. But I am not a financial expert. And this is not the point of my post today.
Let’s look at some of the news causing panic. This story, from the USA Today web site, on September 5, 2008, says that the number of loans in foreclosure rose to 2.75%, up from 2.47% earlier in 2008. It goes on to say that a total of 9% of borrowers are behind with payments or in foreclosure.
To hear the news coverage on television, most of us are led to believe that this number is much, much higher. I certainly thought that it was a number like 50% or better. Then I decided to investigate just a bit. The truth, it turns out, is not nearly as scary.
Now, I am not some Polyanna. Nor am I choosing to be an ostrich, and stick my head into the sand. No, I’m not downplaying the current mess that our precious America finds herself in…
But seriously. Another Great Depression? Let’s be critical thinkers here.
The number of homes in foreclosure, during the Great Depression was 30-50%, depending on what source you want to believe. Here’s an interesting site discussing the topic:
And though we suffered the largest point drop ever on the Dow yesterday, which the media made a huge deal of…it was not even in the top ten worst percentage drops in one day.
Here’s what CNN.com had to say:…”
The Dow Jones industrial average (INDU) lost 777.68, surpassing the 684.81 loss on Sept. 17, 2001 – the first trading day after the September 11 attacks. However the 7% decline does not rank among the top 10 percentage declines…”
Read the rest of the story…
And what about this thing going around that credit lines are completely gone? That nobody can buy a home or a vehicle this past week. The credit crunch, momentarily, is real. My husband and I have received notices from four different credit issuers (one credit union, three credit card companies) that our lines of credit have been cancelled or severely reduced. Have we missed payments? No. Is there a liquidity problem and FEAR? Clearly, yes. +But to say there is zero credit out there? That’s not quite the full truth, either.
Back to CNN.com again, for some clarity on the credit crisis…
So…you may ask…what does all of this have to do with Network Marketing and home based businesses?
You may have been led to believe that ‘nobody’ is going to be interested in joining your business, due to this crisis.
In my opinion, quite the contrary! September/October is normally ‘high season’ for home-based business recruiting. The US Financial Crisis should help a lot of people to read the writing on the wall. Their retirement accounts are not safe, their jobs are not safe, their home equity lines of credit have vanished for now. Do you think that a whole lot of people are going to hit the internet, searching for credible ways to earn some extra income? YES.
Are they going to find YOU when they search? If you are a student of Attraction Marketing and the Renegade Network Marketer philosophy, they will. Build your web of content. And they will come.