MiamiHerald.com | 11/24/2006 | No quick healing for victims of birthday party shooting:
Posted on Fri, Nov. 24, 2006 CRIME
No quick healing for victims of birthday party shootingThe family wounded in a shooting at a birthday party last month still grapples with physical and emotional wounds.
BY DAVID OVALLE
dovalle@MiamiHerald.com
The suspects
CRIME
No quick healing for victims of birthday party shootingThe family wounded in a shooting at a birthday party last month still grapples with physical and emotional wounds.
BY DAVID OVALLE
dovalle@MiamiHerald.com
The suspects
The suspected killers are jailed. The healing has just begun.
That October afternoon, the man who shot Ann Maynard, 31, at point-blank range before a child's birthday party left her with a mangled jaw and a broken arm.
Her sister, Shentara Maynard, 25, still needs surgery to remove a bullet lodged near her spine.
As for Shentara's two little ones, they still haven't grasped the severity of their own wounds.
Here at Jackson Memorial Hospital, Shanterria Kearse, 7, eases her embarrassment by unstrapping her helmet. She wears it to protect the portion of her missing skull.
And Tony Chester, 4, wears thick bandages wrapped around his head, his gait a bit woozy.
''Wiggle, wiggle! Chicken noodle! Chicken noodle!'' He dances a jig for his family.
For now, his spirit is undrained even though his right eye is gone forever.
All four victims still have bullets embedded in their bodies. The physical healing is slow; recovering from the emotional wounds is even slower.
To be sure, there is joy. Tony, his family figures, should have died. The would-be killer fired through the top of his head. The bullet lodged in his eye socket.
''That's modern medicine -- and prayers,'' said his grandmother, Annette Maynard.
And raw guilt: Their cousin, Carla Queely, and her son, Chaquone, 7, didn't survive the bullets.
In a year stained by the callous shootings of young people, names like Zykarious Cadillon, Sherdavia Jenkins and Otissha Burnett have been immortalized by the media, politicians and community leaders.
Yet, these were singular victims. Easy to rally around in marches and protests. Young victims caught in the crossfire of other people's guns.
STUNNED SILENCE
But the Birthday Party Shooting, as many call it, elicited no vigils or public outcry.
Were the facts of the case too jumbled at first? The public too jaded?
Or perhaps the crime was just too ruthless to grasp:
Five gunmen staged a home-invasion robbery, searching for a safe that did not exist. For the family, the surreal images flash back in spurts: Ann hearing a knock on the door, not seeing anyone in the video surveillance monitor; the gunmen bursting in, armed with flex cuffs stuffed in a belt under their shirts; Chaquone suffering from a cold that day.
'My chil' is sick, my chil' is sick,'' Carla sobbed in her thick island accent as the men kept them hostage. ``I just want to have a party. I just want to have a party.''
''If you cry, I'll kill you. I have no problem killing you,'' Ann remembers one of the gunman snarling.
Queely, Chaquone and Ann had been hostage for some 10 minutes when Shentara, Tony and Shanterria entered the home at 20517 NE Ninth Pl., in North Miami-Dade.
Ann, who police say was held at the door by gunman Jose Estache, pushed him away, yelling for them to run. Estache then shot Ann, Shentara and her two children in the head with a .22 caliber pistol.
Police say Sean N. Condell shot Carla and Chaquone; they did not survive. Condell told police he killed them so they couldn't identify him.
''We try to block it out as much as we can,'' Shentara said.
The youngest victim was Tony, a steadily improving Pee Wee football linebacker with an appetite for Vienna sausages and oatmeal.
His family says he is a remarkably spiritual boy. He spits on his hand and blesses his auntie's forehead as if he possessed holy water. He watches sermons on TV and says he wants to be a preacher one day.
Early on, chances seemed slim he would survive. Doctors sedated him for 13 days. Hooked up to life-saving equipment, his swollen body looked more machine than human.
Shentara, his mother, was wracked with guilt. She and her sister had been out of their hospital beds the next day.
Both women struggle with the ''What ifs.'' What if they had done something different that day? What if Ann had looked out the window before opening the door? What if Shentara hadn't played dead once she was wounded?
Why did they survive?
''It was a lot of praying and crying to God. I prayed. I asked God to give him back to me,'' Shentara said of her son.
Then, signs appeared, seemingly every seventh day. He drew breaths on his own. He wiggled his toes. He squeezed his aunt's finger.
Every sign of progress was measured. Emotions ebbed and flowed. His body still shivered; he still drooled.
Hope escalated. Tony opened his eyes. Hope swelled. His mother showed him Sunday newspaper ads. ''Which one is the boy? Which one is the girl?'' she asked.
He pointed correctly. She asked him to point out his favorite sport. Tony lifted his finger to a football someone had brought to the room.
''That's when I knew I had him,'' Shentara recalled.
The family's spirits were buoyed by flowers, balloons and the oversize card signed by Tony's football teammates.
Miami-Dade homicide detectives visited every day. Lead detective Juan Capote brought Tony a red Power Ranger doll.
For the detectives, solving the shooting was urgent -- even if it didn't elicit a huge public outcry. Three teams of detectives were assigned to the case. Many of the detectives have children. Capote himself is the father of a 4-year-old boy.
PAINFUL RECOVERY
As they tracked the five men believed responsible, the victims continued to recover. Doctors removed a portion of the left side of Shanterria's skull. She spent two weeks in bed. She feels self-conscious when she wears her helmet in public. Shanterria understands she was shot -- she cries during therapy, is afraid to go to the bathroom by herself and often wets her bed.
Her aunt, Ann, is still jumpy when she is alone. She was shot through the left side of the cheek; doctors performed surgery after she developed lockjaw.
She was also wounded in both arms: She has no feeling in parts of her left hand; her right arm is broken.
Nothing will bring Carla and Chaquone back. But life trudges on.
The family hopes prosecutors seek the death penalty for the shooters. Perhaps legislation can be passed to toughen crimes against children.
Ann hopes to write a book about her life and the shooting, to inspire teenage girls. She'll call it Which Way Out.
Before the shooting, Shentara wanted to open a group home for disabled people. Now she plans to open one for troubled teenage girls.
On Monday this week, the family received a welcome gift. Tony was discharged earlier than expected. He was home for Thanksgiving.
''It's wonderful. His birthday is next Wednesday,'' Shentara said.
Friday, November 24, 2006
Friday, November 17, 2006
The Ron Brown Scholar Program
My son is a freshman but I have begun the search for scholarship opportunities for college.
The Ron Brown Scholar Program
The Ron Brown Scholar Program seeks to identify African-American high school seniors who will make significant contributions to society. Applicants must excel academically, exhibit exceptional leadership potential, participate in community service activities and demonstrate financial need. The applicant must be a US citizen or hold a permanent resident visa card. Current college students are not eligible to apply.
Each year, a minimum of ten students will be designated Ron Brown Scholars and will receive $10,000 annually for four years, for a total of $40,000. The recipients may use the renewable scholarships to attend an accredited four-year college or university of their choice within the United States. Ron Brown Scholarships are not limited to any specific field or career objective and may be used to pursue any academic discipline. More than 200 students have been designated as Ron Brown Scholars since the inception of the Program.
Ron Brown Scholars are selected in the spring prior to entering college. Applications are screened during the month of February by Ron Brown Scholar Program staff. In March, finalists are invited to participate in a weekend selection process in Washington, D.C. at the expense of the CAP Charitable Foundation. Finalists are interviewed by members of the Ron Brown Selection Committee and are expected to participate in several Selection Weekend activities. Scholarship winners are selected on the basis of their applications, interviews and participation in Selection Weekend activities. Notification follows immediately.
Application Deadline
The Ron Brown Scholar Program currently has two deadlines for applications (students must be current high school seniors at the time of their application):
November 1st - application will be considered for the Ron Brown Scholar Program AND forwarded to a select and limited number of additional scholarship providers.
January 9th - final postmarked deadline in order to be considered for only the Ron Brown Scholar Program ONLY.
Application materials must be mailed in one packet. Transcripts and letters of recommendation should not be sent under separate cover. Incomplete, e-mailed or faxed applications will not be considered.
Due to the volume of applications received, the Ron Brown Scholar Program can only notify semi-finalists and finalists of their status in the competition. This notification will be made in March. Winners of the scholarship will be notified by April 1st and names
The Ron Brown Scholar Program
The Ron Brown Scholar Program seeks to identify African-American high school seniors who will make significant contributions to society. Applicants must excel academically, exhibit exceptional leadership potential, participate in community service activities and demonstrate financial need. The applicant must be a US citizen or hold a permanent resident visa card. Current college students are not eligible to apply.
Each year, a minimum of ten students will be designated Ron Brown Scholars and will receive $10,000 annually for four years, for a total of $40,000. The recipients may use the renewable scholarships to attend an accredited four-year college or university of their choice within the United States. Ron Brown Scholarships are not limited to any specific field or career objective and may be used to pursue any academic discipline. More than 200 students have been designated as Ron Brown Scholars since the inception of the Program.
Ron Brown Scholars are selected in the spring prior to entering college. Applications are screened during the month of February by Ron Brown Scholar Program staff. In March, finalists are invited to participate in a weekend selection process in Washington, D.C. at the expense of the CAP Charitable Foundation. Finalists are interviewed by members of the Ron Brown Selection Committee and are expected to participate in several Selection Weekend activities. Scholarship winners are selected on the basis of their applications, interviews and participation in Selection Weekend activities. Notification follows immediately.
Application Deadline
The Ron Brown Scholar Program currently has two deadlines for applications (students must be current high school seniors at the time of their application):
November 1st - application will be considered for the Ron Brown Scholar Program AND forwarded to a select and limited number of additional scholarship providers.
January 9th - final postmarked deadline in order to be considered for only the Ron Brown Scholar Program ONLY.
Application materials must be mailed in one packet. Transcripts and letters of recommendation should not be sent under separate cover. Incomplete, e-mailed or faxed applications will not be considered.
Due to the volume of applications received, the Ron Brown Scholar Program can only notify semi-finalists and finalists of their status in the competition. This notification will be made in March. Winners of the scholarship will be notified by April 1st and names
Monday, November 13, 2006
Wet Me - Krosfyah - Soca Video
Wet Me - Krosfyah - Soca Video
One of my favorite soca bands. Now if only I could get a video of Pump Me up, my #1 soca song. This will have to do till then. It's a nice groovy soca tune.
Here it is!!! Pump Me Up Video by Krosfyah. I absolutely love this song! I'll dance to this tune anytime.
One of my favorite soca bands. Now if only I could get a video of Pump Me up, my #1 soca song. This will have to do till then. It's a nice groovy soca tune.
Here it is!!! Pump Me Up Video by Krosfyah. I absolutely love this song! I'll dance to this tune anytime.
Saturday, November 11, 2006
Destra Garcia "Max it Up" Soca Video
Destra Garcia "Max it Up" Soca Video - Google Video
I like the high energy in this video... steelpan, carnival and brass. Pure niceness!
I like the high energy in this video... steelpan, carnival and brass. Pure niceness!
U.S. Marshals Make Final Arrest In Birthday Shootings - News - Local10.com | WPLG
Further proof that God answers prayers!
U.S. Marshals Make Final Arrest In Birthday Shootings - News - Local10.com | WPLG
U.S. Marshals Make Final Arrest In Birthday Shootings
5 Men Are Charged In Woman's, Son's Deaths
POSTED: 5:06 pm EST November 10, 2006
MIAMI -- On Friday, U.S. Marshals made the fifth and final arrest in connection with the shooting deaths of a mother and her 7-year-old son who were killed during the boy's birthday party.
Marshals arrested 26-year-old Jose Estache. He was taken into custody at 1943 S.W. 70th Way in North Lauderdale Friday afternoon.
On Thursday, police arrested Rayon Mathew Samuels, Sean Condell, Damian Lewis and Rashid Lee in connection with the Oct. 14 shooting. The men were connected to the shooting by weapons found during the search of a home at 1515 N.W. Third St. in Fort Lauderdale.
Carla Queeley, 34, and her son, Chaquone Watson, died from several gunshot wounds in a north Miami-Dade County neighborhood.
Shantaria Kearse, 7, and sisters Ann Maynard, 31, and Shantara Maynard, 24, were critically injured in the shooting but have since been released from the hospital. Shantaria suffered a serious brain injury when a bullet hit her in the head. Tony Chester, 4, lost an eye because of his injury. He is still hospitalized.
Relatives said that they suspected that the motive for the shooting was robbery.
"This was a brutal act, " said Curtis Maynard, who said he was Queeley's cousin. "They were trying to rob the house. Maybe they didn't expect that there was a birthday party."
Queeley, who was a nurse, was finishing up decorating the house for the birthday party when the armed men forced their way into the back of the home on Northeast Ninth Place, police said.
Police said that Queeley and her son were held hostage briefly while she was forced to call her cousins, who own the home, to tell them to return to the house. Shortly after other family members arrived, the men started shooting, police said.
U.S. Marshals Make Final Arrest In Birthday Shootings - News - Local10.com | WPLG
U.S. Marshals Make Final Arrest In Birthday Shootings
5 Men Are Charged In Woman's, Son's Deaths
POSTED: 5:06 pm EST November 10, 2006
MIAMI -- On Friday, U.S. Marshals made the fifth and final arrest in connection with the shooting deaths of a mother and her 7-year-old son who were killed during the boy's birthday party.
Marshals arrested 26-year-old Jose Estache. He was taken into custody at 1943 S.W. 70th Way in North Lauderdale Friday afternoon.
On Thursday, police arrested Rayon Mathew Samuels, Sean Condell, Damian Lewis and Rashid Lee in connection with the Oct. 14 shooting. The men were connected to the shooting by weapons found during the search of a home at 1515 N.W. Third St. in Fort Lauderdale.
Carla Queeley, 34, and her son, Chaquone Watson, died from several gunshot wounds in a north Miami-Dade County neighborhood.
Shantaria Kearse, 7, and sisters Ann Maynard, 31, and Shantara Maynard, 24, were critically injured in the shooting but have since been released from the hospital. Shantaria suffered a serious brain injury when a bullet hit her in the head. Tony Chester, 4, lost an eye because of his injury. He is still hospitalized.
Relatives said that they suspected that the motive for the shooting was robbery.
"This was a brutal act, " said Curtis Maynard, who said he was Queeley's cousin. "They were trying to rob the house. Maybe they didn't expect that there was a birthday party."
Queeley, who was a nurse, was finishing up decorating the house for the birthday party when the armed men forced their way into the back of the home on Northeast Ninth Place, police said.
Police said that Queeley and her son were held hostage briefly while she was forced to call her cousins, who own the home, to tell them to return to the house. Shortly after other family members arrived, the men started shooting, police said.
Friday, November 10, 2006
cbs4.com - Arrests Made In Birthday Party Murders
Proof that God truly answers prayers.
cbs4.com - Arrests Made In Birthday Party Murders: "Arrests Made In Birthday Party Murders
One Suspect Remains On The Loose
Carey Codd
Reporting
(CBS4) FT. LAUDERDALE Police have made four arrests in the murder of a North Miami-Dade mother and the shooting of her 7-year old son at the boy’s Spider-Man themed birthday party last month.
The arrests were made Wednesday after detectives raided a Fort Lauderdale apartment in the 1500 block of Northwest Third Street. Police also seized a cache of weapons and other items from the home. There were shotguns, Tec 9’s, rifles and even bullet proof vests discovered in the home.
One arrest was made after the raid and it didn’t take long before police linked the weapons discovery to the birthday party murders.
Sean Condell, aka “Shorty”, who police say confessed to the crime was arrested. Condell and Rayon Samuels, 20, have been charged with two counts of first-degree murder as well as other counts of attempted murder. Bjon Rashid Lewis, 27, and Damian Lewis, 23, were also jailed Thursday in connection to the crime.
Teams of homicide detectives have been working to solve the Oct. 14 shootings of Carla Queeley, 34, and her son, Shaquon Watson.
According to the Arrest Affidavit of Condell, he and another suspect, identified as Jose Estache entered the home at 20517 NE 9th Place, in order to commit a home invasion armed robbery.
The affidavit states that the men were armed with three guns, plastic flex cuffs and gloves when they entered the home.
Once inside, the suspects demanded to know where the safe was, while holding three of the victims at gunpoint, including Queeley, a nurse, who was preparing decorations for her son’s birthday party.
Three other victims arrived at the house in the middle of the robbery. Estache, allegedly took one victim to the front door at gunpoint. When the victim opened the front door, she told her sister and her sister’s two children, 7-year old Shantaria Kearse and 4-year old Tony Chester, to run.
When they did, the affidavit claims Estache fired his .22 caliber gun at the women and the two children. All four victims were shot in the head and sustained critical injuries. They’ve since been released from the hospital with the bullets still in their heads.
4-year old Tony Chester has lost an eye and 7-year old Shantaria Kearse will need brain surgery.
Queeley’s brother, Livingston Queeley spoke to CBS4’S Carey Codd and when told of Thursday’s arrests replied, “He deserved just what he done to my sister and nephew. He needs to get the worst punishment for this crime.”
The affidavit states police have a videotaped confession from Condell stating he shot Queeley and her son so they would not identify him in the crime.
(© MMVI, CBS Broadcasting Inc. All Rights Reserved.)
cbs4.com - Arrests Made In Birthday Party Murders: "Arrests Made In Birthday Party Murders
One Suspect Remains On The Loose
Carey Codd
Reporting
(CBS4) FT. LAUDERDALE Police have made four arrests in the murder of a North Miami-Dade mother and the shooting of her 7-year old son at the boy’s Spider-Man themed birthday party last month.
The arrests were made Wednesday after detectives raided a Fort Lauderdale apartment in the 1500 block of Northwest Third Street. Police also seized a cache of weapons and other items from the home. There were shotguns, Tec 9’s, rifles and even bullet proof vests discovered in the home.
One arrest was made after the raid and it didn’t take long before police linked the weapons discovery to the birthday party murders.
Sean Condell, aka “Shorty”, who police say confessed to the crime was arrested. Condell and Rayon Samuels, 20, have been charged with two counts of first-degree murder as well as other counts of attempted murder. Bjon Rashid Lewis, 27, and Damian Lewis, 23, were also jailed Thursday in connection to the crime.
Teams of homicide detectives have been working to solve the Oct. 14 shootings of Carla Queeley, 34, and her son, Shaquon Watson.
According to the Arrest Affidavit of Condell, he and another suspect, identified as Jose Estache entered the home at 20517 NE 9th Place, in order to commit a home invasion armed robbery.
The affidavit states that the men were armed with three guns, plastic flex cuffs and gloves when they entered the home.
Once inside, the suspects demanded to know where the safe was, while holding three of the victims at gunpoint, including Queeley, a nurse, who was preparing decorations for her son’s birthday party.
Three other victims arrived at the house in the middle of the robbery. Estache, allegedly took one victim to the front door at gunpoint. When the victim opened the front door, she told her sister and her sister’s two children, 7-year old Shantaria Kearse and 4-year old Tony Chester, to run.
When they did, the affidavit claims Estache fired his .22 caliber gun at the women and the two children. All four victims were shot in the head and sustained critical injuries. They’ve since been released from the hospital with the bullets still in their heads.
4-year old Tony Chester has lost an eye and 7-year old Shantaria Kearse will need brain surgery.
Queeley’s brother, Livingston Queeley spoke to CBS4’S Carey Codd and when told of Thursday’s arrests replied, “He deserved just what he done to my sister and nephew. He needs to get the worst punishment for this crime.”
The affidavit states police have a videotaped confession from Condell stating he shot Queeley and her son so they would not identify him in the crime.
(© MMVI, CBS Broadcasting Inc. All Rights Reserved.)
Monday, November 06, 2006
cbs4.com - Robber Could Have Caused Birthday Boy's Death
Carla was born in St. Kitts but grew up in the Virgin Islands.
Oct 16, 2006 7:57 pm US/Eastern
cbs4.com - Robber Could Have Caused Birthday Boy's Death
Relatives believe robbery may be the motive
Carla Queeley And Her Son Were Killed
Carey Codd
Reporting
(CBS4 News) NORTHEAST MIAMI-DADE Two victims, hurt in Saturday’s brutal murder of a young mother and her son at a birthday party in North Miami-Dade, have been released from the hospital, all while a community and police try to figure out why the crime occurred in the first place.
Sisters Ann Maynard, 31, a Miami-Dade Corrections Department nurse and Shantara Maynard, 24, a bartender, were released Monday morning. Shantara’s 7-year-old daughter, Shantaria Kearse and 4-year-old son, Tony Chester, remain hospitalized at Jackson Memorial Hospital. They are the survivors of Saturday’s shooting which grieving family members speculate might have been motivated by robbery.
Carla Queeley, 34, a nurse was killed along with her son, Shaquon Watson, who was celebrating his 7th birthday with a Spiderman theme party. Monday, grief counselors were out at the boy's school, Lakeview Elementary, to provide emotional needed help for grieving students.
The school principal says the loss was felt by many at the school.
"It's devastating when you hear that one of your students, who you deal with on a day-in, day-out, has gone through such a catastrophe," said Principal Jeffrey Hernandez.
Relatives say that only minutes after breaking in to the home located at 20517 NE 9 Place, the gunmen demanded Queeley, who was decorating the home for her son’s birthday party, to call the owners of the house so she could show them where the money was kept. Gunfire broke out soon afterward, they said.
It's unclear whether money or valuables were taken.
Party guests arrived after 3 p.m. to find the home surrounded by yellow police tape.
Official information about the Saturday afternoon assault has been hard to come by; police made no statements Sunday and had little to say after the attack. They also have not released any type of description of the suspects. Detectives describe the case as an "ongoing, sensitive criminal investigation."
Sandry Bowers lives across the street from the home where the attack took place, and said she heard a knock at the door Saturday When she opened it, she found Ann Maynard drenched in blood.
“And the blood came in, and then she said, ‘Hurry, he’s coming’” she recalled. “And I just closed it back because, I mean, if somebody’s going to come he could come in here as well and shoot me and my grand-daughter too.”
Bowers said Maynard owns the home, and was hosting the birthday party. She was told by a relative what apparently happened in the home.
“She said they just walked up and shot the little boy in the head, and they were just walking around and shooting everybody, just shooting them with no reason,” Bowers said. “That’s what she said.”
Residents of the neighborhood say they have no idea why the home was targeted, and are upset they have heard nothing from police investigating the attack.
"It's sad, you know, because they are so innocent and wholesome and were shot and killed," said Livingston Queeley, whose sister died in the attack.
"It's devious," said Dehana. "They don't have anything else to do but go out and kill a 7 year old child and an innocent lady? She's not doing nobody nothing."
Family members have started planning funeral arrangements for the dead, even as they anxiously watch over those being treated for gunshot wounds.
The person or people responsible for the attack remain at large.
Anyone with information can call Miami-Dade Crime Stoppers at 305-471-8477.
(© MMVI, CBS Broadcasting Inc. All Rights Reserved.)
Oct 16, 2006 7:57 pm US/Eastern
cbs4.com - Robber Could Have Caused Birthday Boy's Death
Relatives believe robbery may be the motive
Carla Queeley And Her Son Were Killed
Carey Codd
Reporting
(CBS4 News) NORTHEAST MIAMI-DADE Two victims, hurt in Saturday’s brutal murder of a young mother and her son at a birthday party in North Miami-Dade, have been released from the hospital, all while a community and police try to figure out why the crime occurred in the first place.
Sisters Ann Maynard, 31, a Miami-Dade Corrections Department nurse and Shantara Maynard, 24, a bartender, were released Monday morning. Shantara’s 7-year-old daughter, Shantaria Kearse and 4-year-old son, Tony Chester, remain hospitalized at Jackson Memorial Hospital. They are the survivors of Saturday’s shooting which grieving family members speculate might have been motivated by robbery.
Carla Queeley, 34, a nurse was killed along with her son, Shaquon Watson, who was celebrating his 7th birthday with a Spiderman theme party. Monday, grief counselors were out at the boy's school, Lakeview Elementary, to provide emotional needed help for grieving students.
The school principal says the loss was felt by many at the school.
"It's devastating when you hear that one of your students, who you deal with on a day-in, day-out, has gone through such a catastrophe," said Principal Jeffrey Hernandez.
Relatives say that only minutes after breaking in to the home located at 20517 NE 9 Place, the gunmen demanded Queeley, who was decorating the home for her son’s birthday party, to call the owners of the house so she could show them where the money was kept. Gunfire broke out soon afterward, they said.
It's unclear whether money or valuables were taken.
Party guests arrived after 3 p.m. to find the home surrounded by yellow police tape.
Official information about the Saturday afternoon assault has been hard to come by; police made no statements Sunday and had little to say after the attack. They also have not released any type of description of the suspects. Detectives describe the case as an "ongoing, sensitive criminal investigation."
Sandry Bowers lives across the street from the home where the attack took place, and said she heard a knock at the door Saturday When she opened it, she found Ann Maynard drenched in blood.
“And the blood came in, and then she said, ‘Hurry, he’s coming’” she recalled. “And I just closed it back because, I mean, if somebody’s going to come he could come in here as well and shoot me and my grand-daughter too.”
Bowers said Maynard owns the home, and was hosting the birthday party. She was told by a relative what apparently happened in the home.
“She said they just walked up and shot the little boy in the head, and they were just walking around and shooting everybody, just shooting them with no reason,” Bowers said. “That’s what she said.”
Residents of the neighborhood say they have no idea why the home was targeted, and are upset they have heard nothing from police investigating the attack.
"It's sad, you know, because they are so innocent and wholesome and were shot and killed," said Livingston Queeley, whose sister died in the attack.
"It's devious," said Dehana. "They don't have anything else to do but go out and kill a 7 year old child and an innocent lady? She's not doing nobody nothing."
Family members have started planning funeral arrangements for the dead, even as they anxiously watch over those being treated for gunshot wounds.
The person or people responsible for the attack remain at large.
Anyone with information can call Miami-Dade Crime Stoppers at 305-471-8477.
(© MMVI, CBS Broadcasting Inc. All Rights Reserved.)
Friday, July 14, 2006
SUNPHONIX STEEL ORCHESTRA'S TRIBUTE TO Winston "MoutaBee" Phillips
SUNPHONIX
STEEL ORCHESTRA'S
TRIBUTE TO
Winston "MoutaBee" Phillips
1942-2006
“Pan Pioneer”
MoutaBee, also called "Bee" was a stalwart who dedicated his life to the advancement and recognition of the steelband movement. He played pan all over the world. An original Invaders member, he arranged for many steelbands in Trinidad, London, Germany, Canada, New York, California, Washington, Miami and a long list of others too many to detail.
In Miami, starting with North Side Steelband, he moved to New Image Steelband and then on to Sunphonix Steel Orchestra. From the old days of "Softly in the Morning Sunrise" to his latest arrangement of "How Great Thou Art", members would forever remember his dedication to "get it right" (his favorite expression).
Now that he has been lifted up to the stars, please join us as we honor his memory.
SATURDAY JULY 15TH 2006
6:00 PM UNTIL
THE SUNPHONIX PANYARD
2734 NW 183RD STREET
MIAMI GARDENS
CALL: (305) 622-7255
INVITED GUESTS: Hon. Gerard Greene (T&T Consul General), Harvey R. Borris (Consul Info.), Carl and Carol Jacobs, Reporter, Dry River, Picoplat, Marlon Sirju (SoJoe); Andrew Romero (New Musical Arranger for Sunphonix), Rising Star Steel Orchestra, Uprising Steel Orchestra, Lauderhill Steel Ensemble, Miami Pan Symphony; DJ Tee Rexx, DJ Guru, DJ Roderick, as well as a Major Surprise ! !
FOOD & REFRESHMENTS AVAILABLE
STEEL ORCHESTRA'S
TRIBUTE TO
Winston "MoutaBee" Phillips
1942-2006
“Pan Pioneer”
MoutaBee, also called "Bee" was a stalwart who dedicated his life to the advancement and recognition of the steelband movement. He played pan all over the world. An original Invaders member, he arranged for many steelbands in Trinidad, London, Germany, Canada, New York, California, Washington, Miami and a long list of others too many to detail.
In Miami, starting with North Side Steelband, he moved to New Image Steelband and then on to Sunphonix Steel Orchestra. From the old days of "Softly in the Morning Sunrise" to his latest arrangement of "How Great Thou Art", members would forever remember his dedication to "get it right" (his favorite expression).
Now that he has been lifted up to the stars, please join us as we honor his memory.
SATURDAY JULY 15TH 2006
6:00 PM UNTIL
THE SUNPHONIX PANYARD
2734 NW 183RD STREET
MIAMI GARDENS
CALL: (305) 622-7255
INVITED GUESTS: Hon. Gerard Greene (T&T Consul General), Harvey R. Borris (Consul Info.), Carl and Carol Jacobs, Reporter, Dry River, Picoplat, Marlon Sirju (SoJoe); Andrew Romero (New Musical Arranger for Sunphonix), Rising Star Steel Orchestra, Uprising Steel Orchestra, Lauderhill Steel Ensemble, Miami Pan Symphony; DJ Tee Rexx, DJ Guru, DJ Roderick, as well as a Major Surprise ! !
FOOD & REFRESHMENTS AVAILABLE
Tuesday, June 13, 2006
5 tips for wisely tapping your home equity
5 tips for wisely tapping your home equity
Bankers love it when you borrow against your house. That's reason enough to be wary of home-equity lending.
Yet millions of Americans are buying lenders' pitches that our homes are a good source of funds for whatever our little hearts desire, from Super Bowl tickets to exotic vacations to investments in stocks and bonds. That lust for cheap cash has turned home-equity lending into the fastest-growing, and very profitable, area of consumer loans.
Mainstream home-equity lending soared 33% last year according to SMR Research, with new borrowing at nearly quadruple the level of just five years ago. The amount we owe on home-equity loans and lines of credit, $719 billion, now exceeds the balances on our Visas, MasterCards and other general-purpose credit cards.
Home-equity lending skyrockets
2004 1999 Increase
New borrowing $431 billion $114 billion 278%
Total owed $719 billion $267 billion 169%
Source: SMR Research
Those figures don't include home-equity lending to people with troubled credit. So-called subprime mortgage lending rose 60% last year, said SMR vice president George Yacik, to $516 billion. Although the figure includes first mortgages, Yacik said most subprime home lending involves home-equity loans and lines of credit.
Good for banks, risky for consumers
The risk to lenders from all this debt is quite low. The amount banks actually lose on home-equity lending overall is about 0.15%, Yacik said, compared to more than 3% on credit cards.
"There's no bad debt to speak of," Yacik said. "(The borrower's) home is at stake, and they have to be deeply extended not to pay their bill."
Rising home prices mean that banks can get their money back even if they have to foreclose, and troubled borrowers typically sell the home or refinance before that happens.
The low default rate masks the real problem with home-equity lending: Most borrowers are using the loans and lines of credit to fritter away their long-term wealth on short-term spending.
"I recall one computer magazine a couple of years ago that recommended that people get home-equity loans or lines of credit to purchase computers," said Andrew Analore, editor of Inside B&C Lending, an Inside Mortgage Finance publication. Then there was the recent Associated Press article about fans calling mortgage lenders to finance Super Bowl tickets, on top of the more usual borrowing to fund big-screen TVs to watch the game.
"That kind of stuff can be problematic," Analore said, "because people sometimes don't understand that their house is on the line if, for some reason, they are unable to pay for their new computer or big-screen television."
Understand loan types
Solid statistics are hard to find, but lenders believe a third or less of home-equity borrowing is used for anything that could be considered an investment, such as home improvements or education. The rest goes for debt consolidation, vacations or purchases of assets that quickly depreciate, such as cars.
If you're thinking of literally betting your house with a home-equity loan or line of credit, you should clearly understand how these loans work, when to use them and how to get the best deals.
First, the basics. There are two types of home equity lending, loans and lines of credit:
Home-equity loans are installment loans, like regular mortgages and auto loans. You're given a certain amount of money which you typically receive all at once and pay back according to a set schedule, over time. Home-equity loans usually come with fixed rates and fixed payments.
Home-equity lines of credit, by contrast, work more like credit cards. You're given a credit limit that you can borrow against, and paying down your debt frees up more credit that you can potentially spend. Home-equity lines of credit have variable interest rates that are typically tied to the prime rate.
Unlike credit cards, however, home-equity lines of credit usually aren't open-ended. For the first 10 years or so, you can draw as much as you want from your credit limit, and you only need to pay the interest charges. In the next stage, however, the "draw" period ends and whatever debt you have left is "amortized," which means you need to start paying principal and interest to retire your debt. (Some lenders let you renew your draw period, but eventually the debt has to be paid off.)
Average amounts borrowed
Types
2004
1999
Increase
Lines of credit
$77,526
$49,260
57%
Loans
$62,112
$35,672
74%
Source: Consumer Bankers Association
With either type of borrowing, you're pledging your home as collateral. If you fall behind on your payments, the lender can foreclose and take your house.
When to use these loans
A home-equity loan is generally the best choice when you know exactly how much your purchase is likely to cost and you need several years to pay it off. A major home-improvement project, for example, might be a good candidate for a home-equity loan.
A line of credit may be a better option for shorter-term borrowing, or when you want to be able to tap your home equity to cover emergencies.
You also might consider a loan, rather than a line of credit, when you want to lock in a low interest rate in a rising-rate environment, like we have now. In recent months, the rates on lines of credit have been ratcheting up with each Federal Reserve hike.
The gap has narrowed considerably from a few years ago, when lines of credit averaged more than two percentage points less than loans. When the gap is that big, it may make sense to take the risk of choosing a variable-rate line of credit over a fixed-rate loan.
5 tips for smart borrowing
Here's how to know if you're getting a good deal:
Compare the rates. The rate you'll be offered on a loan or line of credit depends heavily on your credit score -- perhaps too much, according to one banking regulator. Julie Williams, acting head of the U.S. Comptroller of the Currency, said in December that home-equity lenders were relying too much on "risk factor shortcuts" like credit scores, which reflect consumer's past credit performance but that don't factor in how well they'll handle a big increase in their debt.
If you have an excellent score of 760 or above, you should be able to win a home-equity line of credit for half a point below the prime rate, said Chris Larsen, CEO of E-Loan. A good score of 700 to 759 should win you a rate equal to prime. (To see current rates on lines of credit and loans by credit score, visit the Loan Savings Calculator at MyFico.com.) People with mediocre to poor credit can pay 1 to 5 points over prime, or more.
Avoid the fees. If you have decent credit, you shouldn't have to pay any application or appraisal fees to borrow against your home. (Make sure the lender isn't tacking fees onto the loan amount, and that you're not paying a "broker fee" if a third party is helping to arrange the loan.) You may have to pay recording fees, which should be minimal, and an annual fee on your credit line.
Know the tax rules. Home-equity borrowing is often touted as superior to other consumer debt because you can deduct the interest. But that's not always true. You have to be able to itemize, which most taxpayers can't do because they don't have enough deductions.
If you have excellent credit, for example, you might be able to get a new car loan for a fixed rate that's actually lower than what you'd get on a variable line of credit. Unless you're able to itemize, the fixed-rate auto loan is clearly the way to go.
Also, know that even if you do get a deduction, the tax break is limited to interest on loan amounts of $100,000 or less; if you've borrowed more, the interest you pay on amounts over $100,000 can't be deducted.
Know what you're risking. A home can be a good way to build long-term wealth -- as long as you're not constantly draining it away. Every dollar of equity you borrow is a dollar that can't be used to buy your next home when you're ready to trade up, or to fund your retirement when you're ready to downsize.
Be particularly wary of using home equity to pay off credit cards or other short-term debt. Often you'll just wind up deeper in debt because you haven't addressed the basic overspending problem that got you into trouble in the first place.
Also, don't assume that using equity to pay for home improvements or education is always a slam dunk. Not all home improvements add value and it's easy to go overboard with student-loan debt, as well. It's up to you to set reasonable limits on your borrowing and to make sure that what you're buying is worth the wealth you're committing.
In general, you don't want the term of your borrowing to last longer than what you've purchased. If you use home-equity borrowing to buy a car, for example, try to pay off the balance in a few years -- and definitely before you trade in for a new vehicle.
Keep some headroom. You should try to keep a cushion of at least 20% equity in your home. If your combined mortgage and home-equity borrowing exceeds that amount, you'll pay higher interest rates. You're also cutting yourself off from an important source of funds in an emergency.
"Very few families are good at savings. In effect, their home equity is their 'rainy day' fund," Analore said. "It's the only source of capital that many people will be able to tap in an emergency. And it won't be there if the home has already been leveraged to fund short-term consumption."
Liz Pulliam Weston's column appears every Monday and Thursday, exclusively on MSN Money. She also answers reader questions in the Your Money message board.
Bankers love it when you borrow against your house. That's reason enough to be wary of home-equity lending.
Yet millions of Americans are buying lenders' pitches that our homes are a good source of funds for whatever our little hearts desire, from Super Bowl tickets to exotic vacations to investments in stocks and bonds. That lust for cheap cash has turned home-equity lending into the fastest-growing, and very profitable, area of consumer loans.
Mainstream home-equity lending soared 33% last year according to SMR Research, with new borrowing at nearly quadruple the level of just five years ago. The amount we owe on home-equity loans and lines of credit, $719 billion, now exceeds the balances on our Visas, MasterCards and other general-purpose credit cards.
Home-equity lending skyrockets
2004 1999 Increase
New borrowing $431 billion $114 billion 278%
Total owed $719 billion $267 billion 169%
Source: SMR Research
Those figures don't include home-equity lending to people with troubled credit. So-called subprime mortgage lending rose 60% last year, said SMR vice president George Yacik, to $516 billion. Although the figure includes first mortgages, Yacik said most subprime home lending involves home-equity loans and lines of credit.
Good for banks, risky for consumers
The risk to lenders from all this debt is quite low. The amount banks actually lose on home-equity lending overall is about 0.15%, Yacik said, compared to more than 3% on credit cards.
"There's no bad debt to speak of," Yacik said. "(The borrower's) home is at stake, and they have to be deeply extended not to pay their bill."
Rising home prices mean that banks can get their money back even if they have to foreclose, and troubled borrowers typically sell the home or refinance before that happens.
The low default rate masks the real problem with home-equity lending: Most borrowers are using the loans and lines of credit to fritter away their long-term wealth on short-term spending.
"I recall one computer magazine a couple of years ago that recommended that people get home-equity loans or lines of credit to purchase computers," said Andrew Analore, editor of Inside B&C Lending, an Inside Mortgage Finance publication. Then there was the recent Associated Press article about fans calling mortgage lenders to finance Super Bowl tickets, on top of the more usual borrowing to fund big-screen TVs to watch the game.
"That kind of stuff can be problematic," Analore said, "because people sometimes don't understand that their house is on the line if, for some reason, they are unable to pay for their new computer or big-screen television."
Understand loan types
Solid statistics are hard to find, but lenders believe a third or less of home-equity borrowing is used for anything that could be considered an investment, such as home improvements or education. The rest goes for debt consolidation, vacations or purchases of assets that quickly depreciate, such as cars.
If you're thinking of literally betting your house with a home-equity loan or line of credit, you should clearly understand how these loans work, when to use them and how to get the best deals.
First, the basics. There are two types of home equity lending, loans and lines of credit:
Home-equity loans are installment loans, like regular mortgages and auto loans. You're given a certain amount of money which you typically receive all at once and pay back according to a set schedule, over time. Home-equity loans usually come with fixed rates and fixed payments.
Home-equity lines of credit, by contrast, work more like credit cards. You're given a credit limit that you can borrow against, and paying down your debt frees up more credit that you can potentially spend. Home-equity lines of credit have variable interest rates that are typically tied to the prime rate.
Unlike credit cards, however, home-equity lines of credit usually aren't open-ended. For the first 10 years or so, you can draw as much as you want from your credit limit, and you only need to pay the interest charges. In the next stage, however, the "draw" period ends and whatever debt you have left is "amortized," which means you need to start paying principal and interest to retire your debt. (Some lenders let you renew your draw period, but eventually the debt has to be paid off.)
Average amounts borrowed
Types
2004
1999
Increase
Lines of credit
$77,526
$49,260
57%
Loans
$62,112
$35,672
74%
Source: Consumer Bankers Association
With either type of borrowing, you're pledging your home as collateral. If you fall behind on your payments, the lender can foreclose and take your house.
When to use these loans
A home-equity loan is generally the best choice when you know exactly how much your purchase is likely to cost and you need several years to pay it off. A major home-improvement project, for example, might be a good candidate for a home-equity loan.
A line of credit may be a better option for shorter-term borrowing, or when you want to be able to tap your home equity to cover emergencies.
You also might consider a loan, rather than a line of credit, when you want to lock in a low interest rate in a rising-rate environment, like we have now. In recent months, the rates on lines of credit have been ratcheting up with each Federal Reserve hike.
The gap has narrowed considerably from a few years ago, when lines of credit averaged more than two percentage points less than loans. When the gap is that big, it may make sense to take the risk of choosing a variable-rate line of credit over a fixed-rate loan.
5 tips for smart borrowing
Here's how to know if you're getting a good deal:
Compare the rates. The rate you'll be offered on a loan or line of credit depends heavily on your credit score -- perhaps too much, according to one banking regulator. Julie Williams, acting head of the U.S. Comptroller of the Currency, said in December that home-equity lenders were relying too much on "risk factor shortcuts" like credit scores, which reflect consumer's past credit performance but that don't factor in how well they'll handle a big increase in their debt.
If you have an excellent score of 760 or above, you should be able to win a home-equity line of credit for half a point below the prime rate, said Chris Larsen, CEO of E-Loan. A good score of 700 to 759 should win you a rate equal to prime. (To see current rates on lines of credit and loans by credit score, visit the Loan Savings Calculator at MyFico.com.) People with mediocre to poor credit can pay 1 to 5 points over prime, or more.
Avoid the fees. If you have decent credit, you shouldn't have to pay any application or appraisal fees to borrow against your home. (Make sure the lender isn't tacking fees onto the loan amount, and that you're not paying a "broker fee" if a third party is helping to arrange the loan.) You may have to pay recording fees, which should be minimal, and an annual fee on your credit line.
Know the tax rules. Home-equity borrowing is often touted as superior to other consumer debt because you can deduct the interest. But that's not always true. You have to be able to itemize, which most taxpayers can't do because they don't have enough deductions.
If you have excellent credit, for example, you might be able to get a new car loan for a fixed rate that's actually lower than what you'd get on a variable line of credit. Unless you're able to itemize, the fixed-rate auto loan is clearly the way to go.
Also, know that even if you do get a deduction, the tax break is limited to interest on loan amounts of $100,000 or less; if you've borrowed more, the interest you pay on amounts over $100,000 can't be deducted.
Know what you're risking. A home can be a good way to build long-term wealth -- as long as you're not constantly draining it away. Every dollar of equity you borrow is a dollar that can't be used to buy your next home when you're ready to trade up, or to fund your retirement when you're ready to downsize.
Be particularly wary of using home equity to pay off credit cards or other short-term debt. Often you'll just wind up deeper in debt because you haven't addressed the basic overspending problem that got you into trouble in the first place.
Also, don't assume that using equity to pay for home improvements or education is always a slam dunk. Not all home improvements add value and it's easy to go overboard with student-loan debt, as well. It's up to you to set reasonable limits on your borrowing and to make sure that what you're buying is worth the wealth you're committing.
In general, you don't want the term of your borrowing to last longer than what you've purchased. If you use home-equity borrowing to buy a car, for example, try to pay off the balance in a few years -- and definitely before you trade in for a new vehicle.
Keep some headroom. You should try to keep a cushion of at least 20% equity in your home. If your combined mortgage and home-equity borrowing exceeds that amount, you'll pay higher interest rates. You're also cutting yourself off from an important source of funds in an emergency.
"Very few families are good at savings. In effect, their home equity is their 'rainy day' fund," Analore said. "It's the only source of capital that many people will be able to tap in an emergency. And it won't be there if the home has already been leveraged to fund short-term consumption."
Liz Pulliam Weston's column appears every Monday and Thursday, exclusively on MSN Money. She also answers reader questions in the Your Money message board.
Don't hand your house to a thief
Don't hand your house to a thief
Mortgage scams are like Baskin-Robbins offerings -- they come in 31 flavors. Here are three top choices of con artists and how to avoid them.
By Christopher Solomon
If owning a home is the great American dream, then swindling people out of their prized possession is one of the great, lucrative American scams. Mortgage fraud is on the rise, thanks to the tremendous value that's locked up in real estate today and to the increasing number of people who are struggling to pay their mortgages.
"It's kind of become the new get-rich-quick scheme out there," says attorney Rachel Dollar, publisher of Mortgage Fraud Blog.
More than 323,000 properties entered some state of foreclosure in the first quarter of 2006, a 72% increase over the same period a year ago, according to RealtyTrac. And things could get worse: Nationwide, more than one in three outstanding mortgages has an adjustable rate and interest rates have been rising. "Nobody really knows what's going to happen," says RealtyTrac's Rick Sharga, vice president of marketing.
But scammers know that people in trouble make easy victims. They're swooping in and offering to "help" beleaguered borrowers -- and ending up with their house keys. Victims sometimes spend years fighting to get their homes back and some never succeed.
Meet Carol and Anthony
Carol and Anthony Calvagno of Deer Park, N.Y., on Long Island are in a hell like this right now. In 2003, the Calvagnos were in trouble. Anthony Calvagno had health troubles and had lost his job. In order to pay their bills, the couple took out a home equity loan on the Cape Cod-style house that had been in the family for three generations. (At the time, the couple had a $125,000 mortgage on a house worth about $290,000 -- a high-equity target.) But even the home equity loan wasn't enough.
That's when Mitchell Sims swooped in, offering to help, says the couple's attorney, Arshad Majid.
Sims told the couple that he would arrange a bailout, and that they should stop making mortgage payments while he worked out the details. When foreclosure notices started showing up, he told the couple to ignore them, saying he'd take care of it.
Nearly eight weeks after Sims had entered their lives, and the day before their foreclosure was scheduled, Sims told the Calvagnos that the arrangement hadn't worked. Instead, he said they'd have to file for bankruptcy and enter a "special program" in which they'd sign over their house's title to one of Sims' employees and another of his business associates, who also happened to be Sims' brother. They'd be allowed to live in their home as tenants, Sims told them, and their rent payments would go toward buying their home back from him, says Majid. "They were put in the position where they didn't have any choice" but to sell their deed, Majid says.
But Sims never made any mortgage payments. He kept the Calvagnos' rent money and about $50,000 of the couple's money that remained after their creditors were paid.
The Calvagnos had fallen victim to a scam known as equity stripping -- just one of the many flavors of mortgage fraud. Their house was sold. Sims and another person have been put in prison for their crimes. The couple has successfully fought eviction -- so far -- but not everyone is so lucky. Here's a quick look at three of the main ways scammers can steal the roof over your head.
Scam No. 1: The bailout, aka 'equity stripping'
As the Calvagnos' case shows, this scam is particularly ingenious -- and humiliating for the victim. In theory, a person or company could help a homeowner keep his house via a process in which the homeowner sells the house very cheaply to them while the homeowner gets his finances in order. The new owner pays the mortgage, and the old homeowner pays to live in the home in the meantime, buying back the home (with interest) in a fixed amount of time. If the financial setbacks are temporary, and the company is above-board, everybody can win: The homeowner keeps the house and the company earns a profit for its role as rescuer.
But "reconveyance," as it's sometimes known, is ripe for abuse.
Attorney Leah Weaver, who focuses on fighting the scams as an Equal Justice Works Fellow at the Legal Aid Society of Minneapolis, explains how scammers work this fraud:
Suppose you've got a $200,000 home, with $100,000 of equity in it. A divorce and medical bills have you facing foreclosure. Suddenly, the phone rings with a bailout proposal.
So you sell your home, for $120,000 -- not much more than what's owed on the mortgage. Why sell for so little? "Because it's never intended to be a true sale," Weaver explains; remember, you don't think you're selling the house permanently, but buying it back in a short period, right?
The new purchaser, meanwhile, takes out a $120,000 loan, wipes out any liens on your property and even gets you a little cash back; and you get a two-year lease with a purchase option at the end.
But soon you realize you're in trouble. Why? Because scammers aren't about to let you get your home back. Often, the lease terms desperate homeowners agree to turn out to be as onerous as their previous mortgage payments that helped get them into trouble. Con artists also manipulate victims when facing crucial deadlines.
"One of my clients was told that payments were going be to under $1,000 a month," Weaver recalls. But the criminals dragged out the process until the foreclosure was imminent and she was backed into a corner. "When she got to the closing … they were like, 'Oh, no, the payments are going to be $1,150.'
"Inevitably," she says, "you're going to default."
And default isn't pretty. The new purchaser evicts you as soon as possible, sells your $200,000 house, pays off the $120,000 loan and pockets about $80,000 -- all for a few months' work, says Weaver. Some people don't even fight back because they don't know they have options -- such as calling a lawyer, says attorney Dollar.
Do's and don'ts:
• Don't fall for promises like "We'll save your credit"; "We'll buy your house 'as is'"; or "We'll get you a new mortgage with low monthly payments."
• Don't sign away ownership of your property (sometimes called a "quit claim deed") to anyone without the advice of lawyer you trust. "When people get behind on their loan payments, they get a bit desperate, but the answer is not putting someone else on your title," says Oakland real-estate attorney James Hand.
• Beware of any home sale contract where you aren't formally released from liability for your mortgage. Also, make sure you know what rights you're giving up and that you agree to giving them up.
Scam No. 2: Phantom help
This scheme is fairly simple: Let's say you're way behind on your home payments and facing foreclosure. An individual or group approaches and offers to help -- then charges you thousands of dollars for various administrative duties like filing forms and phone calls, or else keeps simply promising a big rescue later. You can probably guess what's really going on: The "helper" isn't really doing anything at all to stop your foreclosure despite collecting thousands from you. By the time you figure out you've been hoodwinked, it's often too late to stop the loss of your house.
How did the scammer know to target you, anyway? That's easy: When a lender schedules the home for public auction, the matter becomes public record. In just more than half of the states, a lawsuit must be filed in order to spur a sale. Anyone can check the court documents to find the list of lawsuits, says Elizabeth Renuart, an attorney with the National Consumer Law Center and co-author of a major report last year on mortgage fraud called "Dreams Foreclosed." Soon, a letter or phone call comes like something from a guardian angel -- only it's a vulture.
In the other states (including California and Massachusetts, for example), the process doesn't go through the courts; foreclosure sales simply must be advertised publicly, as in the local newspaper. This latter process usually moves faster -- and makes an already-stressed homeowner even more vulnerable to a scam, says Renuart.
Do's and don'ts:
• Do call your mortgage company or lender if you're in trouble. Ask for the loss mitigation department. Contrary to popular perception, lenders don't want to steal your house, says attorney Dollar. They want to work with you. Why? "Lenders always lose money on foreclosures, even in a rising market," Dollar says. Scammers, on the other hand, will try to keep you from communicating with your lender.
• Don't call for assistance from one of those ubiquitous signs on telephone poles that advertise help. Chances are, that's not where help lies.
• Do proceed with caution, if a company or person:
o Describes itself as a "mortgage consultant," "foreclosure service," or something similar;
o Collects a fee before giving any services;
o Advertises to people whose homes are listed for foreclosure, including anyone who sends flyers or solicits door-to-door; and
o Says you should make home mortgage payments directly to them or to their company instead of your mortgage lender.
• Don't panic. Get full information on the foreclosure process in your state. Make sure you know ALL deadlines -- for court, for document filings, etc. States usually have associations that can offer free advice. Minnesota, for example, has the Minnesota Housing Finance Agency as well as the Minnesota Mortgage Foreclosure Prevention Association, which has federal Housing and Urban Development counselors available. For who to turn to for advice, click on your state here.
Scam No. 3: The bait-and-switch
In this scam, which NCLC calls the "bait-and-switch," con artists actually trick a homeowner into signing over the deed to a home -- without his knowledge.
How could somebody fall for this?
Attorney Hand gives an example. Hand is dealing with 10 cases involving the same real estate loan broker, Kaseem Mohammadi of Union City, Calif., who has been charged with 13 counts of real estate fraud. One of Mohammadi’s strategies, Hand says, was to visit his alleged victims armed with a load of documents on a clipboard and places marked with Post-It notes indicating where to sign. His victims -- some of whom were elderly, or didn't speak English well -- were usually overwhelmed by the documents and also couldn't exactly see what they were signing thanks to the clipboard. And one of the things Mohammadi allegedly got them to sign was a "grant deed" that passed their home's title to a third party.
You don't have to be old or a non-English speaker to be stymied by the legalese. Attorney Renuart says she has seen shysters get their victims to sign incredibly complicated legal documents that resulted in their property being transferred to entities such as trusts. "These trust agreements, I can't understand them -- and I'm a lawyer."
And if a criminal can't get the signature? Forgery goes a long way in real estate these days, experts say.
Do's and don'ts• Don't sign anything that has any blank spaces. Information could be added later that you didn’t agree to. (Yes, it happens.)
• Never sign a contract under pressure. Always know exactly what you're signing. Take your time to review the paperwork thoroughly -- ideally with a lawyer who only represents your interests.
• Never make a verbal agreement. Get all promises in writing and get full copies.
• Cast a jaundiced eye at deals that sound too good to be true. Lately, some scam artists promise they'll wipe out or pay off your home's debt for you (so-called "debt elimination"). Some flustered homeowners bite. Just remember the free lunch rule: There isn't one.
A final thought: Remember, if you can't fix your finances, selling your house (on the normal market, that is) may not be the end of the world. Sure, you'll be a renter again. But given how much homes around the country have appreciated in the last several years, chances are you've made some money, which you can use to get back on your feet.
Source of tips: National Consumer Law Center; U.S. Department of Justice's U.S. Trustee Program; attorney Rachel Dollar
Mortgage scams are like Baskin-Robbins offerings -- they come in 31 flavors. Here are three top choices of con artists and how to avoid them.
By Christopher Solomon
If owning a home is the great American dream, then swindling people out of their prized possession is one of the great, lucrative American scams. Mortgage fraud is on the rise, thanks to the tremendous value that's locked up in real estate today and to the increasing number of people who are struggling to pay their mortgages.
"It's kind of become the new get-rich-quick scheme out there," says attorney Rachel Dollar, publisher of Mortgage Fraud Blog.
More than 323,000 properties entered some state of foreclosure in the first quarter of 2006, a 72% increase over the same period a year ago, according to RealtyTrac. And things could get worse: Nationwide, more than one in three outstanding mortgages has an adjustable rate and interest rates have been rising. "Nobody really knows what's going to happen," says RealtyTrac's Rick Sharga, vice president of marketing.
But scammers know that people in trouble make easy victims. They're swooping in and offering to "help" beleaguered borrowers -- and ending up with their house keys. Victims sometimes spend years fighting to get their homes back and some never succeed.
Meet Carol and Anthony
Carol and Anthony Calvagno of Deer Park, N.Y., on Long Island are in a hell like this right now. In 2003, the Calvagnos were in trouble. Anthony Calvagno had health troubles and had lost his job. In order to pay their bills, the couple took out a home equity loan on the Cape Cod-style house that had been in the family for three generations. (At the time, the couple had a $125,000 mortgage on a house worth about $290,000 -- a high-equity target.) But even the home equity loan wasn't enough.
That's when Mitchell Sims swooped in, offering to help, says the couple's attorney, Arshad Majid.
Sims told the couple that he would arrange a bailout, and that they should stop making mortgage payments while he worked out the details. When foreclosure notices started showing up, he told the couple to ignore them, saying he'd take care of it.
Nearly eight weeks after Sims had entered their lives, and the day before their foreclosure was scheduled, Sims told the Calvagnos that the arrangement hadn't worked. Instead, he said they'd have to file for bankruptcy and enter a "special program" in which they'd sign over their house's title to one of Sims' employees and another of his business associates, who also happened to be Sims' brother. They'd be allowed to live in their home as tenants, Sims told them, and their rent payments would go toward buying their home back from him, says Majid. "They were put in the position where they didn't have any choice" but to sell their deed, Majid says.
But Sims never made any mortgage payments. He kept the Calvagnos' rent money and about $50,000 of the couple's money that remained after their creditors were paid.
The Calvagnos had fallen victim to a scam known as equity stripping -- just one of the many flavors of mortgage fraud. Their house was sold. Sims and another person have been put in prison for their crimes. The couple has successfully fought eviction -- so far -- but not everyone is so lucky. Here's a quick look at three of the main ways scammers can steal the roof over your head.
Scam No. 1: The bailout, aka 'equity stripping'
As the Calvagnos' case shows, this scam is particularly ingenious -- and humiliating for the victim. In theory, a person or company could help a homeowner keep his house via a process in which the homeowner sells the house very cheaply to them while the homeowner gets his finances in order. The new owner pays the mortgage, and the old homeowner pays to live in the home in the meantime, buying back the home (with interest) in a fixed amount of time. If the financial setbacks are temporary, and the company is above-board, everybody can win: The homeowner keeps the house and the company earns a profit for its role as rescuer.
But "reconveyance," as it's sometimes known, is ripe for abuse.
Attorney Leah Weaver, who focuses on fighting the scams as an Equal Justice Works Fellow at the Legal Aid Society of Minneapolis, explains how scammers work this fraud:
Suppose you've got a $200,000 home, with $100,000 of equity in it. A divorce and medical bills have you facing foreclosure. Suddenly, the phone rings with a bailout proposal.
So you sell your home, for $120,000 -- not much more than what's owed on the mortgage. Why sell for so little? "Because it's never intended to be a true sale," Weaver explains; remember, you don't think you're selling the house permanently, but buying it back in a short period, right?
The new purchaser, meanwhile, takes out a $120,000 loan, wipes out any liens on your property and even gets you a little cash back; and you get a two-year lease with a purchase option at the end.
But soon you realize you're in trouble. Why? Because scammers aren't about to let you get your home back. Often, the lease terms desperate homeowners agree to turn out to be as onerous as their previous mortgage payments that helped get them into trouble. Con artists also manipulate victims when facing crucial deadlines.
"One of my clients was told that payments were going be to under $1,000 a month," Weaver recalls. But the criminals dragged out the process until the foreclosure was imminent and she was backed into a corner. "When she got to the closing … they were like, 'Oh, no, the payments are going to be $1,150.'
"Inevitably," she says, "you're going to default."
And default isn't pretty. The new purchaser evicts you as soon as possible, sells your $200,000 house, pays off the $120,000 loan and pockets about $80,000 -- all for a few months' work, says Weaver. Some people don't even fight back because they don't know they have options -- such as calling a lawyer, says attorney Dollar.
Do's and don'ts:
• Don't fall for promises like "We'll save your credit"; "We'll buy your house 'as is'"; or "We'll get you a new mortgage with low monthly payments."
• Don't sign away ownership of your property (sometimes called a "quit claim deed") to anyone without the advice of lawyer you trust. "When people get behind on their loan payments, they get a bit desperate, but the answer is not putting someone else on your title," says Oakland real-estate attorney James Hand.
• Beware of any home sale contract where you aren't formally released from liability for your mortgage. Also, make sure you know what rights you're giving up and that you agree to giving them up.
Scam No. 2: Phantom help
This scheme is fairly simple: Let's say you're way behind on your home payments and facing foreclosure. An individual or group approaches and offers to help -- then charges you thousands of dollars for various administrative duties like filing forms and phone calls, or else keeps simply promising a big rescue later. You can probably guess what's really going on: The "helper" isn't really doing anything at all to stop your foreclosure despite collecting thousands from you. By the time you figure out you've been hoodwinked, it's often too late to stop the loss of your house.
How did the scammer know to target you, anyway? That's easy: When a lender schedules the home for public auction, the matter becomes public record. In just more than half of the states, a lawsuit must be filed in order to spur a sale. Anyone can check the court documents to find the list of lawsuits, says Elizabeth Renuart, an attorney with the National Consumer Law Center and co-author of a major report last year on mortgage fraud called "Dreams Foreclosed." Soon, a letter or phone call comes like something from a guardian angel -- only it's a vulture.
In the other states (including California and Massachusetts, for example), the process doesn't go through the courts; foreclosure sales simply must be advertised publicly, as in the local newspaper. This latter process usually moves faster -- and makes an already-stressed homeowner even more vulnerable to a scam, says Renuart.
Do's and don'ts:
• Do call your mortgage company or lender if you're in trouble. Ask for the loss mitigation department. Contrary to popular perception, lenders don't want to steal your house, says attorney Dollar. They want to work with you. Why? "Lenders always lose money on foreclosures, even in a rising market," Dollar says. Scammers, on the other hand, will try to keep you from communicating with your lender.
• Don't call for assistance from one of those ubiquitous signs on telephone poles that advertise help. Chances are, that's not where help lies.
• Do proceed with caution, if a company or person:
o Describes itself as a "mortgage consultant," "foreclosure service," or something similar;
o Collects a fee before giving any services;
o Advertises to people whose homes are listed for foreclosure, including anyone who sends flyers or solicits door-to-door; and
o Says you should make home mortgage payments directly to them or to their company instead of your mortgage lender.
• Don't panic. Get full information on the foreclosure process in your state. Make sure you know ALL deadlines -- for court, for document filings, etc. States usually have associations that can offer free advice. Minnesota, for example, has the Minnesota Housing Finance Agency as well as the Minnesota Mortgage Foreclosure Prevention Association, which has federal Housing and Urban Development counselors available. For who to turn to for advice, click on your state here.
Scam No. 3: The bait-and-switch
In this scam, which NCLC calls the "bait-and-switch," con artists actually trick a homeowner into signing over the deed to a home -- without his knowledge.
How could somebody fall for this?
Attorney Hand gives an example. Hand is dealing with 10 cases involving the same real estate loan broker, Kaseem Mohammadi of Union City, Calif., who has been charged with 13 counts of real estate fraud. One of Mohammadi’s strategies, Hand says, was to visit his alleged victims armed with a load of documents on a clipboard and places marked with Post-It notes indicating where to sign. His victims -- some of whom were elderly, or didn't speak English well -- were usually overwhelmed by the documents and also couldn't exactly see what they were signing thanks to the clipboard. And one of the things Mohammadi allegedly got them to sign was a "grant deed" that passed their home's title to a third party.
You don't have to be old or a non-English speaker to be stymied by the legalese. Attorney Renuart says she has seen shysters get their victims to sign incredibly complicated legal documents that resulted in their property being transferred to entities such as trusts. "These trust agreements, I can't understand them -- and I'm a lawyer."
And if a criminal can't get the signature? Forgery goes a long way in real estate these days, experts say.
Do's and don'ts• Don't sign anything that has any blank spaces. Information could be added later that you didn’t agree to. (Yes, it happens.)
• Never sign a contract under pressure. Always know exactly what you're signing. Take your time to review the paperwork thoroughly -- ideally with a lawyer who only represents your interests.
• Never make a verbal agreement. Get all promises in writing and get full copies.
• Cast a jaundiced eye at deals that sound too good to be true. Lately, some scam artists promise they'll wipe out or pay off your home's debt for you (so-called "debt elimination"). Some flustered homeowners bite. Just remember the free lunch rule: There isn't one.
A final thought: Remember, if you can't fix your finances, selling your house (on the normal market, that is) may not be the end of the world. Sure, you'll be a renter again. But given how much homes around the country have appreciated in the last several years, chances are you've made some money, which you can use to get back on your feet.
Source of tips: National Consumer Law Center; U.S. Department of Justice's U.S. Trustee Program; attorney Rachel Dollar
How to Answer These Tricky Interview Questions
How to Answer These Tricky Interview Questions
By Kate Lorenz, CareerBuilder.com
Does the thought of going on a job interview cause your palms to sweat and your body to break out in hives? Stop itching; you're not alone.
The vast majority of job seekers admit to emotions ranging from mild uneasiness to downright panic leading up to their interviews. The good news is there have been no reported cases of job seekers who died of nervousness during a job interview. So relax and follow these simple tips for keeping your anxiety at bay before and during your interview.
First, take the proper amount of time to prepare for your interview. Being well-prepared will boost your confidence and lower your anxiety. Experts recommend that you spend at least three hours preparing for each interview.
You should draft answers to the most common interview questions and practice speaking them out loud. You also should read up on the company with which you will be interviewing and prepare some questions of your own. This lets the interviewer know that you are truly interested in the company and the position.
As a final step in your preparation, make sure you have good directions to the interview site. Some job seekers make a dry run to the interview site to ensure the directions are correct and to estimate the amount of time they will need to get to the interview on time.
Going into a job interview is often like entering the great unknown. Although every interviewer is different and questions vary from industry to industry, there are some questions that are common across the board. Reading through the following questions and developing your own answers is a good place to start in your preparation. Once you have done that, remember practice makes perfect! Nothing impresses a potential employer like being ready for whatever is thrown your way.
Why should we hire you?
Here's the chance to really sell yourself. You need to briefly and succinctly lay out your strengths, qualifications and what you can bring to the table. Be careful not to answer this question too generically, however. Nearly everyone says they are hardworking and motivated. Set yourself apart by telling the interviewer about qualities that are unique to you.
Why do you want to work here?
This is one tool interviewers use to see if you have done your homework. You should never attend an interview unless you know about the company, its direction and the industry in which it plays. If you have done your research, this question gives you an opportunity to show initiative and demonstrate how your experience and qualifications match the company's needs.
What are your greatest weaknesses?
The secret to answering this question is being honest about a weakness, but demonstrating how you have turned it into a strength. For example, if you had a problem with organization in the past, demonstrate the steps you took to more effectively keep yourself on track. This will show that you have the ability to recognize aspects of yourself that need improvement, and the initiative to make yourself better.
Why did you leave your last job?
Even if your last job ended badly, be careful about being negative in answering this question. Be as diplomatic as possible. If you do point out negative aspects of your last job, find some positives to mention as well. Complaining endlessly about your last company will not say much for your attitude.
Describe a problem situation and how you solved it.
Sometimes it is hard to come up with a response to this request, particularly if you are coming straight from college and do not have professional experience. Interviewers want to see that you can think critically and develop solutions, regardless of what kind of issue you faced. Even if your problem was not having enough time to study, describe the steps you took to prioritize your schedule. This will demonstrate that you are responsible and can think through situations on your own.
What accomplishment are you most proud of?
The secret to this question is being specific and selecting an accomplishment that relates to the position. Even if your greatest accomplishment is being on a championship high school basketball team, opt for a more professionally relevant accomplishment. Think of the qualities the company is looking for and develop an example that demonstrates how you can meet the company's needs.
What are your salary expectations?
This is one of the hardest questions, particularly for those with little experience. The first thing to do before going to your interview is to research the salary range in your field to get an idea of what you should be making. Steer clear of discussing salary specifics before receiving a job offer. Let the interviewer know that you will be open to discussing fair compensation when the time comes. If pressed for a more specific answer, always give a range, rather than a specific number.
Tell me about yourself.
While this query seems like a piece of cake, it is difficult to answer because it is so broad. The important thing to know is that the interviewer typically does not want to know about your hometown or what you do on the weekends. He or she is trying to figure you out professionally. Pick a couple of points about yourself, your professional experience and your career goals and stick to those points. Wrap up your answer by bringing up your desire to be a part of the company. If you have a solid response prepared for this question, it can lead your conversation in a direction that allows you to elaborate on your qualifications
By Kate Lorenz, CareerBuilder.com
Does the thought of going on a job interview cause your palms to sweat and your body to break out in hives? Stop itching; you're not alone.
The vast majority of job seekers admit to emotions ranging from mild uneasiness to downright panic leading up to their interviews. The good news is there have been no reported cases of job seekers who died of nervousness during a job interview. So relax and follow these simple tips for keeping your anxiety at bay before and during your interview.
First, take the proper amount of time to prepare for your interview. Being well-prepared will boost your confidence and lower your anxiety. Experts recommend that you spend at least three hours preparing for each interview.
You should draft answers to the most common interview questions and practice speaking them out loud. You also should read up on the company with which you will be interviewing and prepare some questions of your own. This lets the interviewer know that you are truly interested in the company and the position.
As a final step in your preparation, make sure you have good directions to the interview site. Some job seekers make a dry run to the interview site to ensure the directions are correct and to estimate the amount of time they will need to get to the interview on time.
Going into a job interview is often like entering the great unknown. Although every interviewer is different and questions vary from industry to industry, there are some questions that are common across the board. Reading through the following questions and developing your own answers is a good place to start in your preparation. Once you have done that, remember practice makes perfect! Nothing impresses a potential employer like being ready for whatever is thrown your way.
Why should we hire you?
Here's the chance to really sell yourself. You need to briefly and succinctly lay out your strengths, qualifications and what you can bring to the table. Be careful not to answer this question too generically, however. Nearly everyone says they are hardworking and motivated. Set yourself apart by telling the interviewer about qualities that are unique to you.
Why do you want to work here?
This is one tool interviewers use to see if you have done your homework. You should never attend an interview unless you know about the company, its direction and the industry in which it plays. If you have done your research, this question gives you an opportunity to show initiative and demonstrate how your experience and qualifications match the company's needs.
What are your greatest weaknesses?
The secret to answering this question is being honest about a weakness, but demonstrating how you have turned it into a strength. For example, if you had a problem with organization in the past, demonstrate the steps you took to more effectively keep yourself on track. This will show that you have the ability to recognize aspects of yourself that need improvement, and the initiative to make yourself better.
Why did you leave your last job?
Even if your last job ended badly, be careful about being negative in answering this question. Be as diplomatic as possible. If you do point out negative aspects of your last job, find some positives to mention as well. Complaining endlessly about your last company will not say much for your attitude.
Describe a problem situation and how you solved it.
Sometimes it is hard to come up with a response to this request, particularly if you are coming straight from college and do not have professional experience. Interviewers want to see that you can think critically and develop solutions, regardless of what kind of issue you faced. Even if your problem was not having enough time to study, describe the steps you took to prioritize your schedule. This will demonstrate that you are responsible and can think through situations on your own.
What accomplishment are you most proud of?
The secret to this question is being specific and selecting an accomplishment that relates to the position. Even if your greatest accomplishment is being on a championship high school basketball team, opt for a more professionally relevant accomplishment. Think of the qualities the company is looking for and develop an example that demonstrates how you can meet the company's needs.
What are your salary expectations?
This is one of the hardest questions, particularly for those with little experience. The first thing to do before going to your interview is to research the salary range in your field to get an idea of what you should be making. Steer clear of discussing salary specifics before receiving a job offer. Let the interviewer know that you will be open to discussing fair compensation when the time comes. If pressed for a more specific answer, always give a range, rather than a specific number.
Tell me about yourself.
While this query seems like a piece of cake, it is difficult to answer because it is so broad. The important thing to know is that the interviewer typically does not want to know about your hometown or what you do on the weekends. He or she is trying to figure you out professionally. Pick a couple of points about yourself, your professional experience and your career goals and stick to those points. Wrap up your answer by bringing up your desire to be a part of the company. If you have a solid response prepared for this question, it can lead your conversation in a direction that allows you to elaborate on your qualifications
Saturday, June 03, 2006
Ways to pay for college
KATHY KRISTOF 5/30/06:
Kathy Kristof
Personal Finance Columnist
June 5, 2006
For Matt Morris, the good news and the bad news came in the same envelope -- his acceptance letter from the University of Southern California's film school.
It is, after all, one of the most lauded programs in the country. But at $44,000 a year, it's also one of the most costly, and his financial aid grant was nowhere near enough to make it affordable.
Now the big issue for Morris is how to pay the tab at a time when federal grant money is scarce, competition for academic scholarships is intense, and interest rates for student loans are rising.
Paying for college is particularly thorny for middle-income families because higher-income parents can better afford it and lower-income students can get much more financial aid.
Complicating matters further are housing values, which have soared in recent years, boosting home equity for many middle-income parents. This paper wealth puts them in a bind when their children choose private schools, which can count home equity as an asset the parents can tap to pay for college.
But tapping that equity forces parents to pay on bigger home mortgages as they use most of their disposable income to pay college bills.
"It has gotten progressively tougher to finance college every year," said David Jaffe, president of College Pursuit, a New York-based college consulting firm. "Parents are in a really tough spot. I see them giving up home equity. I see them giving up their retirement money."
As students like Morris can attest, financial aid for middle-income families is increasingly about loans, loans and more loans. But experts say there are ways to cut the number of loans needed and make wiser choices among the lending options.
It all starts with a financial aid award letter, which all students who have applied for aid should receive from any college that accepted them. These award letters detail the scholarships, grants and loans available to the student from federal, state and school-based aid programs.
This is the cornerstone of college finance, but it's not the last word, said Martha Holler, a spokeswoman for student lender Sallie Mae.
Chances are, the award letter will provide a handful of sources of free money -- scholarships and grants based on need and merit -- and a list of loans and work-study awards.
Morris, for example, said he had received about $6,500 in scholarships, "enough to take the edge off" but not nearly enough to finance the entire bill. USC expects him to come up with the rest of the tab by working, using his parents' resources and taking out loans.
Before Morris heads down those roads, Holler suggested that he seek out private scholarships. Although it is too late to apply for some of these grants, others have late deadlines. The rules affecting private donor awards are as diverse as the individuals and organizations that provide them. These groups include corporations aiming to encourage certain fields of study, service groups such as the Knights of Columbus or DeMolay International, and even private individuals.
The easiest way to find private scholarships is to search on the Web. At sites such as www.fastweb.com and www.finaid.com, applicants fill out detailed surveys about their family history, awards and interests. The sites then search for relevant scholarships, sending links and applications to the student.
Students should apply for everything that has an even modest chance of success -- even if they're small amounts. But this aid will affect the aid the college provides, said Joe Russo, director of student financial strategy at the University of Notre Dame in Indiana. Notre Dame tells its students that they must inform the college when they receive scholarships not listed on their aid award letters. Those scholarships will reduce other aid, he added, but will generally offset loans rather than grants.
Once all sources of free money are exhausted, students and parents have myriad loans to choose from:
>The best of the lot, for those who qualify, Russo said, is the Perkins Loan -- federally subsidized loans for students with demonstrated financial need. The government pays the 5 percent fixed interest rate while the student is in school and through a nine-month grace period after graduation.
There are no origination or guarantee fees, but the maximum loan amount for undergraduate students is $4,000 -- and few students qualify for the full amount.
The next-best option is Stafford loans, which come in two forms -- subsidized and unsubsidized. Starting in July, the interest rate on all newly issued Stafford loans will be fixed at 6.8 percent. For a subsidized Stafford loan, the government pays the interest while the student is in school. But more commonly, middle-income students are offered unsubsidized loans, for which the interest accumulates while the student is in school. Therefore, the loan amount -- the maximum is $2,625 in 2006 -- will grow until the student begins to pay it off.
The big trick with Stafford loans is realizing that the origination and guarantee fees that are charged up front are negotiable. Many lenders waive most, if not all, of these fees, which can add up to as much as 4 percent of the loan amount. Pending changes will alter the fees charged in 2007. For now, students need to know that every lender will charge the same rate on a Stafford loan, but it's worth shopping for lenders who will waive the fees.
Those who reach their Perkins and Stafford borrowing limits and still need more aid have four additional options -- monthly payment plans, parent loans, home equity loans and private loans"
>Monthly payment plans are simply an arrangement with the school -- or a third-party financial service -- to break the remaining cost of tuition (after scholarships and other loans) into nine or 10 monthly payments. For families that don't have the cash flow to handle the bill in one fell swoop, these are a terrific option. Typically, the only cost is a sign-up fee of $40 or $50, depending on the school.
>Parent loans fall under the federal student loan program. As such, they have set rates and fees. As of July 1, all parent loans, dubbed PLUS for Parent Loan for Undergraduate Students, will be at a fixed 8.5 percent rate for the life of the loan. These loans are also subject to 4 percent origination fees, and, unlike student loans, parents must start repaying this debt within 60 days after the funds are disbursed. They are generally repaid over 10 years.
With those rates and fees, PLUS loans aren't a huge bargain. But if the parents have a poor credit rating, they may be worth applying for because these parents have fewer low-cost borrowing options and, if they're turned down for a PLUS loan because of credit problems, their children may be able to borrow more under the lower-cost Stafford loan program.
>Home equity lines of credit may be a better option for some parents. A good credit risk can often secure a home equity line at prime rate -- currently 7.75 percent -- or just a fraction more. However, these loans are generally variable rate, which means they could become more costly if the Federal Reserve continues to hike interest rates.
On the plus side, interest paid on home equity debt of as much as $100,000 is tax-deductible -- no matter what the money is used for -- which lowers the after-tax cost.
The downside to home equity debt is that these loans put the house on the line, giving the lender the right to foreclose on the property if the loan is not repaid. If there's any chance the parents will have trouble repaying, they'd be smart to stick with unsecured loans, even if they cost a little more.
>Private and alternative student loans have cropped up in large numbers as lenders have discovered that the federally guaranteed options are increasingly insufficient to deal with the rising cost of college. The terms and conditions of these loans, however, vary widely. Some can be as attractive as PLUS loans, whereas others are far more costly and less flexible.
These bank loans are usually variable rate and can be taken out by the student or the parents. The loan rate will vary based on the lender and the borrower's credit profile. Holler suggests that students consider getting a cosigner if they take out the loan because it's likely to win them a considerably lower rate.
In any event, she said, the private loan is probably the last option, to be used when the student's ability to borrow elsewhere is exhausted.
Kathy Kristof writes for the Los Angeles Times, a Tribune Co. newspaper. She can be reached at Business Section, Los Angeles Times, 202 W. First St., Los Angeles, CA 90012, or kathy.kristof@latimes.com.
Kathy Kristof
Personal Finance Columnist
June 5, 2006
For Matt Morris, the good news and the bad news came in the same envelope -- his acceptance letter from the University of Southern California's film school.
It is, after all, one of the most lauded programs in the country. But at $44,000 a year, it's also one of the most costly, and his financial aid grant was nowhere near enough to make it affordable.
Now the big issue for Morris is how to pay the tab at a time when federal grant money is scarce, competition for academic scholarships is intense, and interest rates for student loans are rising.
Paying for college is particularly thorny for middle-income families because higher-income parents can better afford it and lower-income students can get much more financial aid.
Complicating matters further are housing values, which have soared in recent years, boosting home equity for many middle-income parents. This paper wealth puts them in a bind when their children choose private schools, which can count home equity as an asset the parents can tap to pay for college.
But tapping that equity forces parents to pay on bigger home mortgages as they use most of their disposable income to pay college bills.
"It has gotten progressively tougher to finance college every year," said David Jaffe, president of College Pursuit, a New York-based college consulting firm. "Parents are in a really tough spot. I see them giving up home equity. I see them giving up their retirement money."
As students like Morris can attest, financial aid for middle-income families is increasingly about loans, loans and more loans. But experts say there are ways to cut the number of loans needed and make wiser choices among the lending options.
It all starts with a financial aid award letter, which all students who have applied for aid should receive from any college that accepted them. These award letters detail the scholarships, grants and loans available to the student from federal, state and school-based aid programs.
This is the cornerstone of college finance, but it's not the last word, said Martha Holler, a spokeswoman for student lender Sallie Mae.
Chances are, the award letter will provide a handful of sources of free money -- scholarships and grants based on need and merit -- and a list of loans and work-study awards.
Morris, for example, said he had received about $6,500 in scholarships, "enough to take the edge off" but not nearly enough to finance the entire bill. USC expects him to come up with the rest of the tab by working, using his parents' resources and taking out loans.
Before Morris heads down those roads, Holler suggested that he seek out private scholarships. Although it is too late to apply for some of these grants, others have late deadlines. The rules affecting private donor awards are as diverse as the individuals and organizations that provide them. These groups include corporations aiming to encourage certain fields of study, service groups such as the Knights of Columbus or DeMolay International, and even private individuals.
The easiest way to find private scholarships is to search on the Web. At sites such as www.fastweb.com and www.finaid.com, applicants fill out detailed surveys about their family history, awards and interests. The sites then search for relevant scholarships, sending links and applications to the student.
Students should apply for everything that has an even modest chance of success -- even if they're small amounts. But this aid will affect the aid the college provides, said Joe Russo, director of student financial strategy at the University of Notre Dame in Indiana. Notre Dame tells its students that they must inform the college when they receive scholarships not listed on their aid award letters. Those scholarships will reduce other aid, he added, but will generally offset loans rather than grants.
Once all sources of free money are exhausted, students and parents have myriad loans to choose from:
>The best of the lot, for those who qualify, Russo said, is the Perkins Loan -- federally subsidized loans for students with demonstrated financial need. The government pays the 5 percent fixed interest rate while the student is in school and through a nine-month grace period after graduation.
There are no origination or guarantee fees, but the maximum loan amount for undergraduate students is $4,000 -- and few students qualify for the full amount.
The next-best option is Stafford loans, which come in two forms -- subsidized and unsubsidized. Starting in July, the interest rate on all newly issued Stafford loans will be fixed at 6.8 percent. For a subsidized Stafford loan, the government pays the interest while the student is in school. But more commonly, middle-income students are offered unsubsidized loans, for which the interest accumulates while the student is in school. Therefore, the loan amount -- the maximum is $2,625 in 2006 -- will grow until the student begins to pay it off.
The big trick with Stafford loans is realizing that the origination and guarantee fees that are charged up front are negotiable. Many lenders waive most, if not all, of these fees, which can add up to as much as 4 percent of the loan amount. Pending changes will alter the fees charged in 2007. For now, students need to know that every lender will charge the same rate on a Stafford loan, but it's worth shopping for lenders who will waive the fees.
Those who reach their Perkins and Stafford borrowing limits and still need more aid have four additional options -- monthly payment plans, parent loans, home equity loans and private loans"
>Monthly payment plans are simply an arrangement with the school -- or a third-party financial service -- to break the remaining cost of tuition (after scholarships and other loans) into nine or 10 monthly payments. For families that don't have the cash flow to handle the bill in one fell swoop, these are a terrific option. Typically, the only cost is a sign-up fee of $40 or $50, depending on the school.
>Parent loans fall under the federal student loan program. As such, they have set rates and fees. As of July 1, all parent loans, dubbed PLUS for Parent Loan for Undergraduate Students, will be at a fixed 8.5 percent rate for the life of the loan. These loans are also subject to 4 percent origination fees, and, unlike student loans, parents must start repaying this debt within 60 days after the funds are disbursed. They are generally repaid over 10 years.
With those rates and fees, PLUS loans aren't a huge bargain. But if the parents have a poor credit rating, they may be worth applying for because these parents have fewer low-cost borrowing options and, if they're turned down for a PLUS loan because of credit problems, their children may be able to borrow more under the lower-cost Stafford loan program.
>Home equity lines of credit may be a better option for some parents. A good credit risk can often secure a home equity line at prime rate -- currently 7.75 percent -- or just a fraction more. However, these loans are generally variable rate, which means they could become more costly if the Federal Reserve continues to hike interest rates.
On the plus side, interest paid on home equity debt of as much as $100,000 is tax-deductible -- no matter what the money is used for -- which lowers the after-tax cost.
The downside to home equity debt is that these loans put the house on the line, giving the lender the right to foreclose on the property if the loan is not repaid. If there's any chance the parents will have trouble repaying, they'd be smart to stick with unsecured loans, even if they cost a little more.
>Private and alternative student loans have cropped up in large numbers as lenders have discovered that the federally guaranteed options are increasingly insufficient to deal with the rising cost of college. The terms and conditions of these loans, however, vary widely. Some can be as attractive as PLUS loans, whereas others are far more costly and less flexible.
These bank loans are usually variable rate and can be taken out by the student or the parents. The loan rate will vary based on the lender and the borrower's credit profile. Holler suggests that students consider getting a cosigner if they take out the loan because it's likely to win them a considerably lower rate.
In any event, she said, the private loan is probably the last option, to be used when the student's ability to borrow elsewhere is exhausted.
Kathy Kristof writes for the Los Angeles Times, a Tribune Co. newspaper. She can be reached at Business Section, Los Angeles Times, 202 W. First St., Los Angeles, CA 90012, or kathy.kristof@latimes.com.
Tuesday, May 09, 2006
Can this be the key to a really high SAT score?
Mom was right! "Practice makes perfect."
Freakonomics
A Star Is Made
By STEPHEN J. DUBNER and STEVEN D. LEVITT
Published: May 7, 2006
The Birth-Month Soccer Anomaly
Illustration by Paul Sahre
If you were to examine the birth certificates of every soccer player in next month's World Cup tournament, you would most likely find a noteworthy quirk: elite soccer players are more likely to have been born in the earlier months of the year than in the later months. If you then examined the European national youth teams that feed the World Cup and professional ranks, you would find this quirk to be even more pronounced. On recent English teams, for instance, half of the elite teenage soccer players were born in January, February or March, with the other half spread out over the remaining 9 months. In Germany, 52 elite youth players were born in the first three months of the year, with just 4 players born in the last three.
What might account for this anomaly? Here are a few guesses: a) certain astrological signs confer superior soccer skills; b) winter-born babies tend to have higher oxygen capacity, which increases soccer stamina; c) soccer-mad parents are more likely to conceive children in springtime, at the annual peak of soccer mania; d) none of the above.
Anders Ericsson, a 58-year-old psychology professor at Florida State University, says he believes strongly in "none of the above." He is the ringleader of what might be called the Expert Performance Movement, a loose coalition of scholars trying to answer an important and seemingly primordial question: When someone is very good at a given thing, what is it that actually makes him good?
Ericsson, who grew up in Sweden, studied nuclear engineering until he realized he would have more opportunity to conduct his own research if he switched to psychology. His first experiment, nearly 30 years ago, involved memory: training a person to hear and then repeat a random series of numbers. "With the first subject, after about 20 hours of training, his digit span had risen from 7 to 20," Ericsson recalls. "He kept improving, and after about 200 hours of training he had risen to over 80 numbers."
This success, coupled with later research showing that memory itself is not genetically determined, led Ericsson to conclude that the act of memorizing is more of a cognitive exercise than an intuitive one. In other words, whatever innate differences two people may exhibit in their abilities to memorize, those differences are swamped by how well each person "encodes" the information. And the best way to learn how to encode information meaningfully, Ericsson determined, was a process known as deliberate practice.
Deliberate practice entails more than simply repeating a task — playing a C-minor scale 100 times, for instance, or hitting tennis serves until your shoulder pops out of its socket. Rather, it involves setting specific goals, obtaining immediate feedback and concentrating as much on technique as on outcome.
Ericsson and his colleagues have thus taken to studying expert performers in a wide range of pursuits, including soccer, golf, surgery, piano playing, Scrabble, writing, chess, software design, stock picking and darts. They gather all the data they can, not just performance statistics and biographical details but also the results of their own laboratory experiments with high achievers.
Their work, compiled in the "Cambridge Handbook of Expertise and Expert Performance," a 900-page academic book that will be published next month, makes a rather startling assertion: the trait we commonly call talent is highly overrated. Or, put another way, expert performers — whether in memory or surgery, ballet or computer programming — are nearly always made, not born. And yes, practice does make perfect. These may be the sort of clichés that parents are fond of whispering to their children. But these particular clichés just happen to be true.
Ericsson's research suggests a third cliché as well: when it comes to choosing a life path, you should do what you love — because if you don't love it, you are unlikely to work hard enough to get very good. Most people naturally don't like to do things they aren't "good" at. So they often give up, telling themselves they simply don't possess the talent for math or skiing or the violin. But what they really lack is the desire to be good and to undertake the deliberate practice that would make them better.
Stephen J. Dubner and Steven D. Levitt are the authors of "Freakonomics: A Rogue Economist Explores the Hidden Side of Everything." More information on the research behind this column is at www.freakonomics.com.
Freakonomics
A Star Is Made
By STEPHEN J. DUBNER and STEVEN D. LEVITT
Published: May 7, 2006
The Birth-Month Soccer Anomaly
Illustration by Paul SahreIf you were to examine the birth certificates of every soccer player in next month's World Cup tournament, you would most likely find a noteworthy quirk: elite soccer players are more likely to have been born in the earlier months of the year than in the later months. If you then examined the European national youth teams that feed the World Cup and professional ranks, you would find this quirk to be even more pronounced. On recent English teams, for instance, half of the elite teenage soccer players were born in January, February or March, with the other half spread out over the remaining 9 months. In Germany, 52 elite youth players were born in the first three months of the year, with just 4 players born in the last three.
What might account for this anomaly? Here are a few guesses: a) certain astrological signs confer superior soccer skills; b) winter-born babies tend to have higher oxygen capacity, which increases soccer stamina; c) soccer-mad parents are more likely to conceive children in springtime, at the annual peak of soccer mania; d) none of the above.
Anders Ericsson, a 58-year-old psychology professor at Florida State University, says he believes strongly in "none of the above." He is the ringleader of what might be called the Expert Performance Movement, a loose coalition of scholars trying to answer an important and seemingly primordial question: When someone is very good at a given thing, what is it that actually makes him good?
Ericsson, who grew up in Sweden, studied nuclear engineering until he realized he would have more opportunity to conduct his own research if he switched to psychology. His first experiment, nearly 30 years ago, involved memory: training a person to hear and then repeat a random series of numbers. "With the first subject, after about 20 hours of training, his digit span had risen from 7 to 20," Ericsson recalls. "He kept improving, and after about 200 hours of training he had risen to over 80 numbers."
This success, coupled with later research showing that memory itself is not genetically determined, led Ericsson to conclude that the act of memorizing is more of a cognitive exercise than an intuitive one. In other words, whatever innate differences two people may exhibit in their abilities to memorize, those differences are swamped by how well each person "encodes" the information. And the best way to learn how to encode information meaningfully, Ericsson determined, was a process known as deliberate practice.
Deliberate practice entails more than simply repeating a task — playing a C-minor scale 100 times, for instance, or hitting tennis serves until your shoulder pops out of its socket. Rather, it involves setting specific goals, obtaining immediate feedback and concentrating as much on technique as on outcome.
Ericsson and his colleagues have thus taken to studying expert performers in a wide range of pursuits, including soccer, golf, surgery, piano playing, Scrabble, writing, chess, software design, stock picking and darts. They gather all the data they can, not just performance statistics and biographical details but also the results of their own laboratory experiments with high achievers.
Their work, compiled in the "Cambridge Handbook of Expertise and Expert Performance," a 900-page academic book that will be published next month, makes a rather startling assertion: the trait we commonly call talent is highly overrated. Or, put another way, expert performers — whether in memory or surgery, ballet or computer programming — are nearly always made, not born. And yes, practice does make perfect. These may be the sort of clichés that parents are fond of whispering to their children. But these particular clichés just happen to be true.
Ericsson's research suggests a third cliché as well: when it comes to choosing a life path, you should do what you love — because if you don't love it, you are unlikely to work hard enough to get very good. Most people naturally don't like to do things they aren't "good" at. So they often give up, telling themselves they simply don't possess the talent for math or skiing or the violin. But what they really lack is the desire to be good and to undertake the deliberate practice that would make them better.
Stephen J. Dubner and Steven D. Levitt are the authors of "Freakonomics: A Rogue Economist Explores the Hidden Side of Everything." More information on the research behind this column is at www.freakonomics.com.
Monday, May 01, 2006
MAST Academy makes Newsweek List of Top 100 High Schools
MAST Academy on Virginia Key beach is listed at number 70 in the nation. See the complete list here. Once again MAST has ranked in the top 6% of high schools nationally by offering a combination of marine themed classes and AP courses that prepare students for college success. My son will be attending MAST Academy this fall so we are particularly proud of this achievement. He was accepted to 3 excellent magnet programs in Miami but we chose MAST (Maritime and Science Technology) because we felt the smaller school size (less than 550) and the fact that so many of their graduates are accepted to elite colleges and universities would be the best fit for him.
Wednesday, April 26, 2006
Scientific Proof that the Paunch Must Go
Belly fat blues
A noxious type of fat raises risk for heart disease, diabetes and more. Luckily, it's easy to rid with exercise.
By Shari Roan, Times Staff Writer
April 24, 2006
HAVING a little paunch is just no good with a Speedo or bikini. Health-wise, it's none too pretty either.
That bulge is the outward sign of a deeper problem: visceral fat, a kind of biological monstrosity that, in excess, wreaks havoc on the body, raising the risk for heart disease, diabetes, possibly even dementia and some types of cancer.
Lying deep inside the body, wrapping around the liver and other major organs, visceral fat acts like a kind of organ itself — spewing out bad hormones and squashing the production of good ones. It sets up the body for sickness as the years roll by and additional fat accumulates.
"Visceral fat is very bad for you," says Richard N. Bergman, a professor at USC's Keck School of Medicine. "It seems to have a more negative outcome on health than overall fat."
The evidence now is so compelling that some experts suggest it's time to forget about scales and weight loss and focus on waists and "inch loss."
Luckily, visceral fat doesn't appear to be a particularly stubborn enemy. Health experts have discovered that consistent, moderate exercise by itself appears to help the body rid itself of vast amounts of deep abdominal fat — even when the scales show the pounds aren't dropping very fast.
This emerging science carries a message for consumers: Measure your waist circumference. And reduce it if need be. Doing something about that paunch could help save your life.
Recent studies on visceral fat help explain a well-established fact: that having a pear shape is more healthful than having an apple shape. A pear shape is caused by subcutaneous fat resting just under the skin. Apple is caused by the deep, visceral fat. What this means is that although both types of people — apple and pear — can be overweight, the person with the apple shape has more health risks.
It also means that people with normal weight can be at a higher health risk without realizing it.
Most people gain abdominal fat with age, but research shows the tendency to put on weight around the middle may be inherited. A study published this month in the Proceedings of the National Academy of Sciences identified particular genes that appear to dictate how fat develops and where it's stored.
A long list of illnesses
Meanwhile, the evidence for visceral fat's ill effects is mounting.
In research published in November in the Lancet, doctors concluded that a person's waist measurement is a more accurate predictor of heart attack than the body mass index, or BMI, which is a weight-to-height ratio.
Analyzing data from 27,000 people in 52 countries, the scientists found that BMI measurements were only slightly higher among people who had had heart attacks compared with those who hadn't. But heart attack sufferers had a much higher waist-to-hip ratio (a measurement that reflects abdominal fat) compared with those who hadn't, regardless of other cardiovascular risk factors. This finding was true for men and women in every ethnic group.
"This was the first study that really documented this relationship across all ethnic groups," says Dr. Arya M. Sharma, a co-author of the study from McMaster University in Hamilton, Ontario, Canada, and director of the Canadian Obesity Network.
Other studies have linked visceral fat to metabolic syndrome — a grouping of risk factors, such as high cholesterol and high blood pressure, that can precede diabetes and heart disease. For example, Wake Forest University researcher Barbara Nicklas published a study in 2004 showing that among overweight, post-menopausal women, those with the most abdominal fat were the most likely to have metabolic syndrome.
Additional illnesses may be influenced by excess abdominal weight too. A Kaiser Permanente study presented earlier this year at an obesity conference showed that people with the most abdominal fat were 145% more likely to develop dementia compared with people with the least amount of abdominal fat.
Research has also linked deep abdominal fat to the development of gallstones and breast cancer in women and overall risk of premature death in men. In a study of 291 men published online earlier this month in the journal Obesity Research, doctors found that men with more abdominal fat died in greater numbers, independent of all other risk factors the scientists examined. A man with 2.2 pounds of visceral fat has double the risk of death compared with a man with 1.1 pounds of fat.
Fat's harmful factors
Experts aren't sure why fat can be bad in one area of the body and yet not so bad in others. But they have two strong theories. One has to do with what visceral fat does. The other has to do with where it's located.
Today scientists know that fat is more than just inactive blubber. Fat cells were once thought of as inactive storage units containing a droplet of oil — the fat — that expand in a person who is gaining weight and shrink with weight loss. Now researchers have adopted a more complex picture of fat cells as mini-endocrine factories that produce a range of good and bad substances.
"Once we got beyond the bag-of-fat concept, we found there were a lot of things going on with those cells," says Philip A. Wood, director of genomics at the University of Alabama at Birmingham and author of the book "How Fat Works."
Scientists now know that fat churns out an array of hormones.
The first such substance was discovered in 1994. Researchers identified a hormone, leptin, which is made by fat cells to signal a feeling of fullness.
Researchers now think that leptin, which plays a helpful role in regulating weight, goes down in people with excessive abdominal fat — leading people to eat more and pack on the pounds.
Visceral fat cells make another beneficial hormone, adiponectin, which helps insulin pull sugar from the bloodstream into cells to be used for energy or stored. This also declines as visceral fat levels go up. That can lead to insulin resistance, a condition in which cells no longer respond properly to insulin and which can lead to diabetes.
"Adiponectin going down is exactly what we don't need to happen," Wood says.
Visceral fat also causes some harmful substances to surge, including two proteins called interleukin-6 and tumor necrosis factor-alpha. These substances are bad players because they are thought to incite chronic, low-level inflammation in the body.
"Inflammation itself is not bad," says Nicklas, an associate professor of internal medicine at Wake Forest. "When our bodies are injured or sick we need that to heal. But there is an underlying degree of chronic inflammation with excess abdominal fat." Chronic inflammation aggravates heart disease.
This ability to promote low-level inflammation in the body may in part explain why excessive visceral fat is linked to a higher risk of dementia, says Rachel Whitmer, a research scientist with the Kaiser Permanente Division of Research in Oakland.
In a recent study, Whitmer examined data from more than 6,700 people who were measured for abdominal obesity at ages 40 to 45 and were followed for more than 20 years. Those with the highest amounts of abdominal fat were much more likely to develop dementia. "Being overweight is not only bad for your heart, it's bad for your brain," she says.
Whitmer's theory is that inflammatory substances released by visceral fat may enter the brain and damage nerve cells, contributing to cognitive decline.
Visceral fat may be worse than fat in the hips or buttocks not just because of the substances it makes — but because of its location. It sits near the portal vein, a major vessel that carries blood from the abdominal organs. "Visceral fat dumps its products into this vein that goes right into the liver," Bergman says.
These substances include free fatty acids — fat that circulates in the bloodstream — which appear to make the liver produce too much sugar, upsetting the body's ability to produce the right amount of insulin. This sets up the body for insulin resistance and possibly Type 2 diabetes.
The discovery that excess visceral fat functions almost like an organ, actively producing substances that can ultimately affect overall health, has changed the way many doctors now think about obesity.
"For an obese person with metabolic risks, we probably need to treat what the fat is doing to them, as opposed to trying to get them to lose weight," Nicklas says. "The idea is treating the symptoms of obesity rather than the obesity itself."
And the first step in that process could be pulling out an old-fashioned tape measure.
A simple test
Measuring the waistline with a tape measure hasn't been in vogue since the days of the girdle. Yet increasing numbers of researchers — including the Obesity Society, a major research group — are saying that waist measurements should be part of every checkup.
"You go to the doctor and get your height and weight measured all the time, but physicians don't measure the waist," says Nicklas. "I think it should be measured."
Some weight-loss groups are making waist measurement part of the weekly weigh-in. At Lindora weight-loss clinics, waist circumference is measured each week along with weight loss. It can end up being a positive experience, says Dr. Joseph Risser, director of clinical research at Lindora Medical Clinics. Studies show most dieters tend to have inflated estimates of how much weight they can or will lose. It can be discouraging when the pounds don't melt away.
But, Risser says: "People are encouraged by seeing changes in inches even without losing weight. If they go down a couple of dress sizes or pant sizes, even if the scale shows only 10 or 15 pounds [of weight loss], they are encouraged by that."
Having a tape measure wrapped around his middle was embarrassing at first, admits John Fiore, 47, a Laguna Niguel man who enrolled in a Lindora program in December.
But, he says, waist measurements have helped him appreciate his healthful new approach to eating and exercise. Along with a 64-pound weight loss, Fiore has lost 6 inches around his waist. Moreover, a recent ultrasound scan of his abdomen showed that he lost the large cluster of fat around his liver.
"I know it's important, at my age, to lose that weight around the middle," he says. "My clothes fit better too."
At least it's not stubborn
That is probably the best news about visceral fat: It's not all that hard to lose, and losing even a little might make a big difference in cardiovascular health. Sit-ups and liposuction won't work (sit-ups merely tighten the muscle and liposuction only removes subcutaneous fat), but studies show that regular diet and exercise can lead to a substantial drop. "It's easier than reducing any other fat because the abdominal fat is metabolically very active," Sharma of McMaster University says.
In fact, studies show that people who lose only 10% to 15% of total body weight can still lose up to 30% of their visceral fat — and reap fast, important benefits. A 2001 study published in the American Journal of Clinical Nutrition showed that white and black women on a diet-and-exercise program lost 41% and 37% of their visceral fat, respectively, with a total weight loss of about 15%.
And in a study of 564 patients at Lindora, Risser found that reducing the waistline correlated with drops in blood pressure, cholesterol levels and blood sugar.
Ultimately, scientists hope that efforts to understand how visceral fat functions may lead to medications that target it and its byproducts. One drug under investigation, rimonabant, has been shown to help reduce waist circumference. For now, however, exercise may be the most effective way to reduce abdominal fat.
A study published in 2003 in the Journal of the American Medical Assn. found that people who exercised moderately for a year lost from 3.4% to 6.9% of intra-abdominal fat. The new study in Obesity Research finding higher death rates in men with excessive visceral fat also found that those who exercised tended to lose more visceral fat than those using strictly diet.
A third study, from the University of Pennsylvania, found that even among women who didn't diet, a twice-a-week strength-training regimen still helped slow the amount of visceral fat gained over two years.
"Visceral fat is sort of like a checking account: easy in, easy out," Wood says. "Excess peripheral fat, such as fat in the rear end, is like a retirement account. It's not that easy to get out."
*
(INFOBOX BELOW)
Fat around the middle
Fat comes in two forms: subcutaneous and visceral. Researchers now believe that visceral fat in the body's midsection increases the risk for several diseases.
1. Subcutaneous fat is the layer you can pinch just under the skin.
2. Visceral fat is deep in the body; you can't pinch it.
Two reasons why visceral fat is bad
1. The fat in this region of the body is near the portal vein, a major vessel feeding the liver. Substances released by fat cells, such as harmful fatty acids, may use this vein for direct entry to the liver, setting off a chain of events that can lead to insulin resistance.
2. Fat cells are thought to release both good and bad hormonelike substances. Excess visceral fat in people ...
... Decreases these helpful substances*Leptin: Helps regulate appetite by sending a message to the brain indicating fullness.*Adiponectin: Fights insulin resistance.--
... Increases these harmful substances
*Tumor necrosis factor-alpha: Worsens insulin resistance and can cause low-level inflammation in the body.
*Interleukin-6: Worsens insulin resistance and can cause low-level inflammation in the body.
*
Sources: Philip A. Wood and Richard N. Bergman
A noxious type of fat raises risk for heart disease, diabetes and more. Luckily, it's easy to rid with exercise.
By Shari Roan, Times Staff Writer
April 24, 2006
HAVING a little paunch is just no good with a Speedo or bikini. Health-wise, it's none too pretty either.
That bulge is the outward sign of a deeper problem: visceral fat, a kind of biological monstrosity that, in excess, wreaks havoc on the body, raising the risk for heart disease, diabetes, possibly even dementia and some types of cancer.
Lying deep inside the body, wrapping around the liver and other major organs, visceral fat acts like a kind of organ itself — spewing out bad hormones and squashing the production of good ones. It sets up the body for sickness as the years roll by and additional fat accumulates.
"Visceral fat is very bad for you," says Richard N. Bergman, a professor at USC's Keck School of Medicine. "It seems to have a more negative outcome on health than overall fat."
The evidence now is so compelling that some experts suggest it's time to forget about scales and weight loss and focus on waists and "inch loss."
Luckily, visceral fat doesn't appear to be a particularly stubborn enemy. Health experts have discovered that consistent, moderate exercise by itself appears to help the body rid itself of vast amounts of deep abdominal fat — even when the scales show the pounds aren't dropping very fast.
This emerging science carries a message for consumers: Measure your waist circumference. And reduce it if need be. Doing something about that paunch could help save your life.
Recent studies on visceral fat help explain a well-established fact: that having a pear shape is more healthful than having an apple shape. A pear shape is caused by subcutaneous fat resting just under the skin. Apple is caused by the deep, visceral fat. What this means is that although both types of people — apple and pear — can be overweight, the person with the apple shape has more health risks.
It also means that people with normal weight can be at a higher health risk without realizing it.
Most people gain abdominal fat with age, but research shows the tendency to put on weight around the middle may be inherited. A study published this month in the Proceedings of the National Academy of Sciences identified particular genes that appear to dictate how fat develops and where it's stored.
A long list of illnesses
Meanwhile, the evidence for visceral fat's ill effects is mounting.
In research published in November in the Lancet, doctors concluded that a person's waist measurement is a more accurate predictor of heart attack than the body mass index, or BMI, which is a weight-to-height ratio.
Analyzing data from 27,000 people in 52 countries, the scientists found that BMI measurements were only slightly higher among people who had had heart attacks compared with those who hadn't. But heart attack sufferers had a much higher waist-to-hip ratio (a measurement that reflects abdominal fat) compared with those who hadn't, regardless of other cardiovascular risk factors. This finding was true for men and women in every ethnic group.
"This was the first study that really documented this relationship across all ethnic groups," says Dr. Arya M. Sharma, a co-author of the study from McMaster University in Hamilton, Ontario, Canada, and director of the Canadian Obesity Network.
Other studies have linked visceral fat to metabolic syndrome — a grouping of risk factors, such as high cholesterol and high blood pressure, that can precede diabetes and heart disease. For example, Wake Forest University researcher Barbara Nicklas published a study in 2004 showing that among overweight, post-menopausal women, those with the most abdominal fat were the most likely to have metabolic syndrome.
Additional illnesses may be influenced by excess abdominal weight too. A Kaiser Permanente study presented earlier this year at an obesity conference showed that people with the most abdominal fat were 145% more likely to develop dementia compared with people with the least amount of abdominal fat.
Research has also linked deep abdominal fat to the development of gallstones and breast cancer in women and overall risk of premature death in men. In a study of 291 men published online earlier this month in the journal Obesity Research, doctors found that men with more abdominal fat died in greater numbers, independent of all other risk factors the scientists examined. A man with 2.2 pounds of visceral fat has double the risk of death compared with a man with 1.1 pounds of fat.
Fat's harmful factors
Experts aren't sure why fat can be bad in one area of the body and yet not so bad in others. But they have two strong theories. One has to do with what visceral fat does. The other has to do with where it's located.
Today scientists know that fat is more than just inactive blubber. Fat cells were once thought of as inactive storage units containing a droplet of oil — the fat — that expand in a person who is gaining weight and shrink with weight loss. Now researchers have adopted a more complex picture of fat cells as mini-endocrine factories that produce a range of good and bad substances.
"Once we got beyond the bag-of-fat concept, we found there were a lot of things going on with those cells," says Philip A. Wood, director of genomics at the University of Alabama at Birmingham and author of the book "How Fat Works."
Scientists now know that fat churns out an array of hormones.
The first such substance was discovered in 1994. Researchers identified a hormone, leptin, which is made by fat cells to signal a feeling of fullness.
Researchers now think that leptin, which plays a helpful role in regulating weight, goes down in people with excessive abdominal fat — leading people to eat more and pack on the pounds.
Visceral fat cells make another beneficial hormone, adiponectin, which helps insulin pull sugar from the bloodstream into cells to be used for energy or stored. This also declines as visceral fat levels go up. That can lead to insulin resistance, a condition in which cells no longer respond properly to insulin and which can lead to diabetes.
"Adiponectin going down is exactly what we don't need to happen," Wood says.
Visceral fat also causes some harmful substances to surge, including two proteins called interleukin-6 and tumor necrosis factor-alpha. These substances are bad players because they are thought to incite chronic, low-level inflammation in the body.
"Inflammation itself is not bad," says Nicklas, an associate professor of internal medicine at Wake Forest. "When our bodies are injured or sick we need that to heal. But there is an underlying degree of chronic inflammation with excess abdominal fat." Chronic inflammation aggravates heart disease.
This ability to promote low-level inflammation in the body may in part explain why excessive visceral fat is linked to a higher risk of dementia, says Rachel Whitmer, a research scientist with the Kaiser Permanente Division of Research in Oakland.
In a recent study, Whitmer examined data from more than 6,700 people who were measured for abdominal obesity at ages 40 to 45 and were followed for more than 20 years. Those with the highest amounts of abdominal fat were much more likely to develop dementia. "Being overweight is not only bad for your heart, it's bad for your brain," she says.
Whitmer's theory is that inflammatory substances released by visceral fat may enter the brain and damage nerve cells, contributing to cognitive decline.
Visceral fat may be worse than fat in the hips or buttocks not just because of the substances it makes — but because of its location. It sits near the portal vein, a major vessel that carries blood from the abdominal organs. "Visceral fat dumps its products into this vein that goes right into the liver," Bergman says.
These substances include free fatty acids — fat that circulates in the bloodstream — which appear to make the liver produce too much sugar, upsetting the body's ability to produce the right amount of insulin. This sets up the body for insulin resistance and possibly Type 2 diabetes.
The discovery that excess visceral fat functions almost like an organ, actively producing substances that can ultimately affect overall health, has changed the way many doctors now think about obesity.
"For an obese person with metabolic risks, we probably need to treat what the fat is doing to them, as opposed to trying to get them to lose weight," Nicklas says. "The idea is treating the symptoms of obesity rather than the obesity itself."
And the first step in that process could be pulling out an old-fashioned tape measure.
A simple test
Measuring the waistline with a tape measure hasn't been in vogue since the days of the girdle. Yet increasing numbers of researchers — including the Obesity Society, a major research group — are saying that waist measurements should be part of every checkup.
"You go to the doctor and get your height and weight measured all the time, but physicians don't measure the waist," says Nicklas. "I think it should be measured."
Some weight-loss groups are making waist measurement part of the weekly weigh-in. At Lindora weight-loss clinics, waist circumference is measured each week along with weight loss. It can end up being a positive experience, says Dr. Joseph Risser, director of clinical research at Lindora Medical Clinics. Studies show most dieters tend to have inflated estimates of how much weight they can or will lose. It can be discouraging when the pounds don't melt away.
But, Risser says: "People are encouraged by seeing changes in inches even without losing weight. If they go down a couple of dress sizes or pant sizes, even if the scale shows only 10 or 15 pounds [of weight loss], they are encouraged by that."
Having a tape measure wrapped around his middle was embarrassing at first, admits John Fiore, 47, a Laguna Niguel man who enrolled in a Lindora program in December.
But, he says, waist measurements have helped him appreciate his healthful new approach to eating and exercise. Along with a 64-pound weight loss, Fiore has lost 6 inches around his waist. Moreover, a recent ultrasound scan of his abdomen showed that he lost the large cluster of fat around his liver.
"I know it's important, at my age, to lose that weight around the middle," he says. "My clothes fit better too."
At least it's not stubborn
That is probably the best news about visceral fat: It's not all that hard to lose, and losing even a little might make a big difference in cardiovascular health. Sit-ups and liposuction won't work (sit-ups merely tighten the muscle and liposuction only removes subcutaneous fat), but studies show that regular diet and exercise can lead to a substantial drop. "It's easier than reducing any other fat because the abdominal fat is metabolically very active," Sharma of McMaster University says.
In fact, studies show that people who lose only 10% to 15% of total body weight can still lose up to 30% of their visceral fat — and reap fast, important benefits. A 2001 study published in the American Journal of Clinical Nutrition showed that white and black women on a diet-and-exercise program lost 41% and 37% of their visceral fat, respectively, with a total weight loss of about 15%.
And in a study of 564 patients at Lindora, Risser found that reducing the waistline correlated with drops in blood pressure, cholesterol levels and blood sugar.
Ultimately, scientists hope that efforts to understand how visceral fat functions may lead to medications that target it and its byproducts. One drug under investigation, rimonabant, has been shown to help reduce waist circumference. For now, however, exercise may be the most effective way to reduce abdominal fat.
A study published in 2003 in the Journal of the American Medical Assn. found that people who exercised moderately for a year lost from 3.4% to 6.9% of intra-abdominal fat. The new study in Obesity Research finding higher death rates in men with excessive visceral fat also found that those who exercised tended to lose more visceral fat than those using strictly diet.
A third study, from the University of Pennsylvania, found that even among women who didn't diet, a twice-a-week strength-training regimen still helped slow the amount of visceral fat gained over two years.
"Visceral fat is sort of like a checking account: easy in, easy out," Wood says. "Excess peripheral fat, such as fat in the rear end, is like a retirement account. It's not that easy to get out."
*
(INFOBOX BELOW)
Fat around the middle
Fat comes in two forms: subcutaneous and visceral. Researchers now believe that visceral fat in the body's midsection increases the risk for several diseases.
1. Subcutaneous fat is the layer you can pinch just under the skin.
2. Visceral fat is deep in the body; you can't pinch it.
Two reasons why visceral fat is bad
1. The fat in this region of the body is near the portal vein, a major vessel feeding the liver. Substances released by fat cells, such as harmful fatty acids, may use this vein for direct entry to the liver, setting off a chain of events that can lead to insulin resistance.
2. Fat cells are thought to release both good and bad hormonelike substances. Excess visceral fat in people ...
... Decreases these helpful substances*Leptin: Helps regulate appetite by sending a message to the brain indicating fullness.*Adiponectin: Fights insulin resistance.--
... Increases these harmful substances
*Tumor necrosis factor-alpha: Worsens insulin resistance and can cause low-level inflammation in the body.
*Interleukin-6: Worsens insulin resistance and can cause low-level inflammation in the body.
*
Sources: Philip A. Wood and Richard N. Bergman
Yet another reason to turn the TV off
MTV's 'Super Sweet 16' Gives a Sour Pleasure
By LOLA OGUNNAIKE
Published: April 26, 2006
Sophie Mitchell, a high school senior in Jupiter, Fla., had no intentions of turning 16 quietly. She wanted that birthday to be an epic event — no cake-and-ice-cream social or pajama-and-pizza sleepover would do. No, her party would be a ridiculously lavish, invitation-only affair, inspired by the film "Moulin Rouge." There would be can-can dancers, a fleet of stretch limousines for friends and family and a $1,500 cake.
MTV
Sophie Mitchell of Jupiter, Fla., at her sweet 16 celebration on MTV.
Readers’ Opinions
Forum: Television
"I wanted something with a lot of substance," said Sophie, now 17, without a hint of irony, "not just a regular party but pure entertainment for everyone."
Sophie is just one of the dozens of privileged kids who have had their coming-of-age extravaganzas captured on MTV's hit series "My Super Sweet 16" (Wednesdays at 10 p.m., Eastern and Pacific times; 9, Central Time). The show, in its third season, follows teenagers as they painstakingly plan their elaborate celebrations (which can cost as much as $200,000), argue over the details with their parents, fret over guest lists and shop for their first cars. There are tears and tantrums and nouveau-riche displays of conspicuous consumption. Marissa, a daddy's girl from Arizona, dyes her two poodles pink, so they'll match her dress. Her party was the show's season opener.
"It's like Jerry Springer for rich kids," said Zena Burns, entertainment director at Teen People magazine. Her readers can't get enough of the show, she said.
"You're either the type of kid that aspires to have that over-the-top party, or you're the type of kid that finds that absolutely repellent, but you still can't stop watching," said Ms. Burns, a fan of the series. "And I have just as many adult friends who watch it and do the water cooler recap the next day."
Predictably, the show has its share of critics. "Their blingy flings are not celebrations of accomplishment; they're celebrations of self," Ana Marie Cox, a Time magazine columnist, wrote in this week's issue. "What used to mark the end of childhood now seems only an excuse to prolong the whiny, self-centered greediness that gives infantile a bad name." Ms. Cox compared watching the show to eating an entire sheet cake, "wax decorative candles and all."
The show follows a simple but wildly successful formula: (1) kid makes a series of high-priced demands (a fireworks display, a helicopter ride, perhaps a harem of belly dancers); (2) parents capitulate and cough up the cash; (3) kid gleefully humiliates the uninvited; (4) something goes awry; (5) kid has a meltdown and repeatedly refers to self in the third person; (6) party miraculously comes together, and kid is presented with an automobile before his salivating, less fortunate peers. In Marissa's case, her father, who owns three auto dealerships, presented her with two cars: a red convertible for the weekend and a sturdy S.U.V. for the week.
Nina Diaz, the show's creator, said that in addition to receiving submissions, she worked with a casting team of five who scoured the country talking with party planners, florists and catering-hall owners, in search of the type of teenagers who make for great television. Each season about 200 are interviewed, but only 8 or 9 make the cut, Ms. Diaz said.
"We're looking for the parties to be over the top, and we're looking for originality," she explained. "We're looking for personality, how they visualize their grand entrance, how they're going through the process of inviting people."
While Ms. Mitchell's party was organized in four weeks, other teenagers have dedicated nearly a year to ensuring that their big one-six will be memorable. Aaron Reid, son of the music mogul L. A. Reid, took five months to plan his party. He had just moved to New York from Atlanta and was eager to make a name for himself at his new prep school, to establish himself as more than L. A. Reid's son. His invitation was an MP3 player. At his party, held at Jay-Z's 40/40 club last November, the producer Jermaine Dupri was the D.J., the rapper Kanye West performed, and Diddy, Aaron's godfather, made an appearance. Poppa Reid clearly pulled some strings.
"Everybody else spent hundreds of thousands of dollars, but I didn't spend anything," Mr. Reid said proudly. "I got my friend's club. I got my friend to perform and I got my friend to D.J."
"There's absolutely no way that I would ever spend that type of money," he continued. "I think it's over the top and sickening and a real poor representation of wealth."
Still, Dr. Srinivasa Rao Kothapalli, a prominent cardiologist in Beaumont, Tex., is more than willing to relinquish his checkbook. His daughter Priya turned 16 earlier this month, and she is in the throes of planning a joint birthday-graduation party with her elder sister, Divya, 18. "If you can afford to have a grand celebration, then why not," said Dr. Kothapalli, who immigrated to the United States from India in the mid-1980's. "It's the American way. You work hard and you play hard."
Born with silver ladles in their mouths, his daughters have certainly mastered the latter. Their Bollywood-themed party for 500 guests will be held in the family's backyard — all 4½ acres, behind the 10,000-square-foot house. The Format, their favorite band, will perform. And they will make their grand entrance on litters, during an elaborate procession led by elephants. The sisters, who plan to perform a choreographed routine at their to-do next month, are also taking dance lessons, and they've enlisted the help of a trainer.
"We both want to lose three pounds," said Priya, who received a Mercedes convertible and an assortment of diamond jewelry for her birthday. Her sister's graduation gift package included a Bentley, diamonds and two homes in India.
"I was really surprised," Divya said, "because I was only expecting a Bentley and one house."
Just last month they gave a preparty where invitations to their coming event were handed out by body builders whom Priya ordered not to smile. "Assistants are not supposed to smile," she explained.
Over the years, the sisters' ostentatiousness has earned them enemies. "Some people give us dirty looks and mock us," Divya said. "They're just jealous." MTV cameras following the pair around have not made things easier. "Sometimes people are fake nice because they want to be invited to our party; it's so annoying," she said.
Priya added, "It's pathetic when people suck up." Still, dealing with sycophantic classmates and a bit of teasing is a small price to pay for the spotlight. "We both love attention—that's one of our main motives for having the party," Divya said. "The more attention the better."
Ms. Burns was not surprised. "Given the advent of the Internet and reality television, a lot of kids think that fame is a realistic goal," she said. "What better way to be famous in your own world than throw the party of the year?"
Appearing on the series has meant instant pseudocelebrity for many of the teenagers. They've been asked to sign autographs and pose for photos. None of those interviewed seemed to mind the newfound attention, though not all of it has been positive. After her episode was shown last season, Sophie, the Florida teenager, a high-strung diva given to pronouncements like "the moral of this story is I'm always right," received tons of hate e-mail.
"At first I was reading it all, but then I had to stop because I was punishing myself," she said. Sophie's mother, Dale, a veterinarian, was quick to defend her daughter, blaming editing for making her look like an ungrateful monster. "My daughter and I have an adoring relationship; we're best friends," she said, "but that's not interesting to people. People want the guts and the juicy stuff."
Sophie was just as quick to defend her mother's decision to spend $180,000 for her party. "Unless they were crazy or hated their child, any parent who was financially able would do it," she said.
By LOLA OGUNNAIKE
Published: April 26, 2006
Sophie Mitchell, a high school senior in Jupiter, Fla., had no intentions of turning 16 quietly. She wanted that birthday to be an epic event — no cake-and-ice-cream social or pajama-and-pizza sleepover would do. No, her party would be a ridiculously lavish, invitation-only affair, inspired by the film "Moulin Rouge." There would be can-can dancers, a fleet of stretch limousines for friends and family and a $1,500 cake.
MTV
Sophie Mitchell of Jupiter, Fla., at her sweet 16 celebration on MTV.
Readers’ Opinions
Forum: Television
"I wanted something with a lot of substance," said Sophie, now 17, without a hint of irony, "not just a regular party but pure entertainment for everyone."
Sophie is just one of the dozens of privileged kids who have had their coming-of-age extravaganzas captured on MTV's hit series "My Super Sweet 16" (Wednesdays at 10 p.m., Eastern and Pacific times; 9, Central Time). The show, in its third season, follows teenagers as they painstakingly plan their elaborate celebrations (which can cost as much as $200,000), argue over the details with their parents, fret over guest lists and shop for their first cars. There are tears and tantrums and nouveau-riche displays of conspicuous consumption. Marissa, a daddy's girl from Arizona, dyes her two poodles pink, so they'll match her dress. Her party was the show's season opener.
"It's like Jerry Springer for rich kids," said Zena Burns, entertainment director at Teen People magazine. Her readers can't get enough of the show, she said.
"You're either the type of kid that aspires to have that over-the-top party, or you're the type of kid that finds that absolutely repellent, but you still can't stop watching," said Ms. Burns, a fan of the series. "And I have just as many adult friends who watch it and do the water cooler recap the next day."
Predictably, the show has its share of critics. "Their blingy flings are not celebrations of accomplishment; they're celebrations of self," Ana Marie Cox, a Time magazine columnist, wrote in this week's issue. "What used to mark the end of childhood now seems only an excuse to prolong the whiny, self-centered greediness that gives infantile a bad name." Ms. Cox compared watching the show to eating an entire sheet cake, "wax decorative candles and all."
The show follows a simple but wildly successful formula: (1) kid makes a series of high-priced demands (a fireworks display, a helicopter ride, perhaps a harem of belly dancers); (2) parents capitulate and cough up the cash; (3) kid gleefully humiliates the uninvited; (4) something goes awry; (5) kid has a meltdown and repeatedly refers to self in the third person; (6) party miraculously comes together, and kid is presented with an automobile before his salivating, less fortunate peers. In Marissa's case, her father, who owns three auto dealerships, presented her with two cars: a red convertible for the weekend and a sturdy S.U.V. for the week.
Nina Diaz, the show's creator, said that in addition to receiving submissions, she worked with a casting team of five who scoured the country talking with party planners, florists and catering-hall owners, in search of the type of teenagers who make for great television. Each season about 200 are interviewed, but only 8 or 9 make the cut, Ms. Diaz said.
"We're looking for the parties to be over the top, and we're looking for originality," she explained. "We're looking for personality, how they visualize their grand entrance, how they're going through the process of inviting people."
While Ms. Mitchell's party was organized in four weeks, other teenagers have dedicated nearly a year to ensuring that their big one-six will be memorable. Aaron Reid, son of the music mogul L. A. Reid, took five months to plan his party. He had just moved to New York from Atlanta and was eager to make a name for himself at his new prep school, to establish himself as more than L. A. Reid's son. His invitation was an MP3 player. At his party, held at Jay-Z's 40/40 club last November, the producer Jermaine Dupri was the D.J., the rapper Kanye West performed, and Diddy, Aaron's godfather, made an appearance. Poppa Reid clearly pulled some strings.
"Everybody else spent hundreds of thousands of dollars, but I didn't spend anything," Mr. Reid said proudly. "I got my friend's club. I got my friend to perform and I got my friend to D.J."
"There's absolutely no way that I would ever spend that type of money," he continued. "I think it's over the top and sickening and a real poor representation of wealth."
Still, Dr. Srinivasa Rao Kothapalli, a prominent cardiologist in Beaumont, Tex., is more than willing to relinquish his checkbook. His daughter Priya turned 16 earlier this month, and she is in the throes of planning a joint birthday-graduation party with her elder sister, Divya, 18. "If you can afford to have a grand celebration, then why not," said Dr. Kothapalli, who immigrated to the United States from India in the mid-1980's. "It's the American way. You work hard and you play hard."
Born with silver ladles in their mouths, his daughters have certainly mastered the latter. Their Bollywood-themed party for 500 guests will be held in the family's backyard — all 4½ acres, behind the 10,000-square-foot house. The Format, their favorite band, will perform. And they will make their grand entrance on litters, during an elaborate procession led by elephants. The sisters, who plan to perform a choreographed routine at their to-do next month, are also taking dance lessons, and they've enlisted the help of a trainer.
"We both want to lose three pounds," said Priya, who received a Mercedes convertible and an assortment of diamond jewelry for her birthday. Her sister's graduation gift package included a Bentley, diamonds and two homes in India.
"I was really surprised," Divya said, "because I was only expecting a Bentley and one house."
Just last month they gave a preparty where invitations to their coming event were handed out by body builders whom Priya ordered not to smile. "Assistants are not supposed to smile," she explained.
Over the years, the sisters' ostentatiousness has earned them enemies. "Some people give us dirty looks and mock us," Divya said. "They're just jealous." MTV cameras following the pair around have not made things easier. "Sometimes people are fake nice because they want to be invited to our party; it's so annoying," she said.
Priya added, "It's pathetic when people suck up." Still, dealing with sycophantic classmates and a bit of teasing is a small price to pay for the spotlight. "We both love attention—that's one of our main motives for having the party," Divya said. "The more attention the better."
Ms. Burns was not surprised. "Given the advent of the Internet and reality television, a lot of kids think that fame is a realistic goal," she said. "What better way to be famous in your own world than throw the party of the year?"
Appearing on the series has meant instant pseudocelebrity for many of the teenagers. They've been asked to sign autographs and pose for photos. None of those interviewed seemed to mind the newfound attention, though not all of it has been positive. After her episode was shown last season, Sophie, the Florida teenager, a high-strung diva given to pronouncements like "the moral of this story is I'm always right," received tons of hate e-mail.
"At first I was reading it all, but then I had to stop because I was punishing myself," she said. Sophie's mother, Dale, a veterinarian, was quick to defend her daughter, blaming editing for making her look like an ungrateful monster. "My daughter and I have an adoring relationship; we're best friends," she said, "but that's not interesting to people. People want the guts and the juicy stuff."
Sophie was just as quick to defend her mother's decision to spend $180,000 for her party. "Unless they were crazy or hated their child, any parent who was financially able would do it," she said.
Affording your dream college
--------------------
Affording your dream college
--------------------
Negotiation 101 begins with the financial aid director.
Gail Marksjarvis
Chicago Tribune
April 23, 2006
Who would have thought that one piece of mail could stir so much
emotion?
But that's what happens to families this time of year when the initial
elation over fat college acceptance envelopes morphs into sticker
shock.
In May, students generally need to let colleges know if they will
attend next fall, or pass up offers to favorite institutions and settle for
more affordable options. For many parents, that poses sleepless nights
as they face $20,000 or $40,000 annual costs to make their children's
dreams come true.
But there are still opportunities to make the price tags less
terrifying.
Don't take those college letters at face value. One college may appear
to offer a better financial aid package than another, but you might be
able to change that.
It's time to negotiate for better financial aid.
Financial aid offices expect it, and frequently offer more grants or
scholarships so they don't miss out on students they want.
But just don't call it "negotiation" when you make the call, said
Kalman Chany, a New York financial aid consultant and author of Paying for
College Without Going Broke.
"Use tact and don't reenact the Jerry Maguire scene: 'Show me the
money,' " he said.
The process is not unlike negotiating on a car, but the criteria is
different, and the style less overt. This is, after all, about a loftier
goal -- educating a person. So keep the discussion on that level, but do
your homework first.
To be successful, understand that colleges approach financial aid in
two ways.
There's a formula for allocating financial aid based on family
finances. That has been used by the staff to compute the financial aid it has
offered. Using the Free Application for Federal Student Aid, known as
the FAFSA, and perhaps the CSS Financial Aid Profile forms, they have
calculated what the formula shows you can afford to pay for college.
That's the "expected family contribution," and calls for both parents and
the student to provide a certain amount of income and savings.
The best part of the aid package is the free money -- grants and
scholarships.
While the formula is precise, there is play in the system. Each college
is different, some with more room to negotiate than others. The outcome
of the negotiation will depend on factors such as whether it's a
private or public college, how attractive a child is to that institution, the
challenges the college is facing in filling next fall's class, and the
size of the endowment the institution has to provide grants or
scholarships.
If a child wants to attend a public college, there is usually no room
to negotiate because the formula is rigid and scholarship money limited.
The exception would be if family financial conditions have changed
since the student applied for aid. If a parent has lost a job, or the
family suffered another financial setback, make sure the financial aid
office takes that into consideration.
Also do that with private schools.
"Offer documentation," Chany said. For example, show records that
indicate you have lost overtime pay or had unusual medical expenses.
You may have some luck, he said, if you can show an extraordinary
necessary expense such as a roof repair after a storm.
But private colleges have more flexibility to add grant money.
Consequently, low- and middle-income students often can attend a private school
at a better price than they would pay at a public university.
Here's what to do: Call the financial aid office and ask to speak to
the director. Tell the director that your child wants to attend that
institution, but you are agonizing over the financial impact on your
family. Also mention that your child has a less expensive option. Then ask if
there is anything that can be done to help make the school more
affordable.
Don't say there is less expensive alternative if you don't have one.
You should be prepared to fax another college's offer when negotiating.
You will be in the best position if your child has been accepted and
given an attractive financial aid package from an institution that is
viewed as a close competitor to the college your child wants to attend.
Use the college rankings assembled by U.S. News and World Report to help
spot competitors. At its Web site (www.usnews.com/us
news/edu/college/rankings/rank index-brief.php) you will see that colleges are
categorized by top universities or top liberal arts colleges. Then there are
lower tiers, or less prestigious colleges, ranked by "tier 3" and "tier 4."
If you have a great financial aid package from a tier 3 college, but
the student wants to attend a college ranked high among "top" colleges,
you probably won't have the negotiating strength that you would if you
also had a great offer from another top college.
Your negotiating position may be enhanced depending on where colleges
rank. For example, if you were admitted to Duke University, ranked fifth
best by U.S. News, and liberal arts school Goucher College, ranked No.
94, you might be in a better position to negotiate with Goucher than
Duke. On the other hand, Duke and Northwestern University, both among the
top 15 schools, might compete more aggressively for very attractive
students.
What's attractive to one college may be less so for another. For
example, all colleges compete to land students with the highest SAT or ACT
scores. When they accept students with high scores, it brings the
colleges up in the rankings, and the schools use their rankings to market
themselves to top prospective students.
So some colleges will attempt to lure students with high SAT scores by
offering merit scholarships. Don't expect the scores to mean much at
universities such as Yale or Harvard, where top SAT scores are the norm
and fewer than 11 percent of students who apply are admitted.
But look through the college rankings for colleges that accept half or
75 percent of the students applying, and there will be more opportunity
for a student with high SAT scores to receive an inducement to attend.
Also look at the average SAT or ACT scores for that college. If your
child is on the high end or above, you are in a good position to land
some merit aid.
A student also may be attractive if he or she has a special talent, is
from a particular ethnic or racial group or from a part of the country
that the admissions staff would like to represent in its student body.
If during the application process your student received special
interest by the admissions office, a coach or academic department, contact
that person and tell them about your financial concerns. He or she may be
your advocate with the financial aid office.
"Some parents are afraid to do this because they are afraid the offer
will be withdrawn," Chany said. "But at worst, they will just decline to
provide extra aid."
When trying to evaluate the attractiveness of your child to a college,
realize that it is difficult to guess on the face of it. A small
liberal arts college, for example, could have had few applicants that year
from a student with a specific talent. So, for example, if the college
needs a cello player, the admissions staff might want to make sure such a
student is admitted.
While you might receive a quick response from a college, you also could
be asked to submit a formal written appeal of your financial aid
package.
If you're still negotiating May 1, Chany suggests asking if you can
delay your response to the college's acceptance letter.
But if that doesn't work, take a deep breath and look at the cost of
college through objective eyes to evaluate whether you can truly afford
it or not.
The Chicago Tribune is a Tribune Publishing newspaper. E-mail Gail
MarksJarvis at yourmoney@tribune.com.
Copyright (c) 2006, Orlando Sentinel
Visit Sun-Sentinel.com
Affording your dream college
--------------------
Negotiation 101 begins with the financial aid director.
Gail Marksjarvis
Chicago Tribune
April 23, 2006
Who would have thought that one piece of mail could stir so much
emotion?
But that's what happens to families this time of year when the initial
elation over fat college acceptance envelopes morphs into sticker
shock.
In May, students generally need to let colleges know if they will
attend next fall, or pass up offers to favorite institutions and settle for
more affordable options. For many parents, that poses sleepless nights
as they face $20,000 or $40,000 annual costs to make their children's
dreams come true.
But there are still opportunities to make the price tags less
terrifying.
Don't take those college letters at face value. One college may appear
to offer a better financial aid package than another, but you might be
able to change that.
It's time to negotiate for better financial aid.
Financial aid offices expect it, and frequently offer more grants or
scholarships so they don't miss out on students they want.
But just don't call it "negotiation" when you make the call, said
Kalman Chany, a New York financial aid consultant and author of Paying for
College Without Going Broke.
"Use tact and don't reenact the Jerry Maguire scene: 'Show me the
money,' " he said.
The process is not unlike negotiating on a car, but the criteria is
different, and the style less overt. This is, after all, about a loftier
goal -- educating a person. So keep the discussion on that level, but do
your homework first.
To be successful, understand that colleges approach financial aid in
two ways.
There's a formula for allocating financial aid based on family
finances. That has been used by the staff to compute the financial aid it has
offered. Using the Free Application for Federal Student Aid, known as
the FAFSA, and perhaps the CSS Financial Aid Profile forms, they have
calculated what the formula shows you can afford to pay for college.
That's the "expected family contribution," and calls for both parents and
the student to provide a certain amount of income and savings.
The best part of the aid package is the free money -- grants and
scholarships.
While the formula is precise, there is play in the system. Each college
is different, some with more room to negotiate than others. The outcome
of the negotiation will depend on factors such as whether it's a
private or public college, how attractive a child is to that institution, the
challenges the college is facing in filling next fall's class, and the
size of the endowment the institution has to provide grants or
scholarships.
If a child wants to attend a public college, there is usually no room
to negotiate because the formula is rigid and scholarship money limited.
The exception would be if family financial conditions have changed
since the student applied for aid. If a parent has lost a job, or the
family suffered another financial setback, make sure the financial aid
office takes that into consideration.
Also do that with private schools.
"Offer documentation," Chany said. For example, show records that
indicate you have lost overtime pay or had unusual medical expenses.
You may have some luck, he said, if you can show an extraordinary
necessary expense such as a roof repair after a storm.
But private colleges have more flexibility to add grant money.
Consequently, low- and middle-income students often can attend a private school
at a better price than they would pay at a public university.
Here's what to do: Call the financial aid office and ask to speak to
the director. Tell the director that your child wants to attend that
institution, but you are agonizing over the financial impact on your
family. Also mention that your child has a less expensive option. Then ask if
there is anything that can be done to help make the school more
affordable.
Don't say there is less expensive alternative if you don't have one.
You should be prepared to fax another college's offer when negotiating.
You will be in the best position if your child has been accepted and
given an attractive financial aid package from an institution that is
viewed as a close competitor to the college your child wants to attend.
Use the college rankings assembled by U.S. News and World Report to help
spot competitors. At its Web site (www.usnews.com/us
news/edu/college/rankings/rank index-brief.php) you will see that colleges are
categorized by top universities or top liberal arts colleges. Then there are
lower tiers, or less prestigious colleges, ranked by "tier 3" and "tier 4."
If you have a great financial aid package from a tier 3 college, but
the student wants to attend a college ranked high among "top" colleges,
you probably won't have the negotiating strength that you would if you
also had a great offer from another top college.
Your negotiating position may be enhanced depending on where colleges
rank. For example, if you were admitted to Duke University, ranked fifth
best by U.S. News, and liberal arts school Goucher College, ranked No.
94, you might be in a better position to negotiate with Goucher than
Duke. On the other hand, Duke and Northwestern University, both among the
top 15 schools, might compete more aggressively for very attractive
students.
What's attractive to one college may be less so for another. For
example, all colleges compete to land students with the highest SAT or ACT
scores. When they accept students with high scores, it brings the
colleges up in the rankings, and the schools use their rankings to market
themselves to top prospective students.
So some colleges will attempt to lure students with high SAT scores by
offering merit scholarships. Don't expect the scores to mean much at
universities such as Yale or Harvard, where top SAT scores are the norm
and fewer than 11 percent of students who apply are admitted.
But look through the college rankings for colleges that accept half or
75 percent of the students applying, and there will be more opportunity
for a student with high SAT scores to receive an inducement to attend.
Also look at the average SAT or ACT scores for that college. If your
child is on the high end or above, you are in a good position to land
some merit aid.
A student also may be attractive if he or she has a special talent, is
from a particular ethnic or racial group or from a part of the country
that the admissions staff would like to represent in its student body.
If during the application process your student received special
interest by the admissions office, a coach or academic department, contact
that person and tell them about your financial concerns. He or she may be
your advocate with the financial aid office.
"Some parents are afraid to do this because they are afraid the offer
will be withdrawn," Chany said. "But at worst, they will just decline to
provide extra aid."
When trying to evaluate the attractiveness of your child to a college,
realize that it is difficult to guess on the face of it. A small
liberal arts college, for example, could have had few applicants that year
from a student with a specific talent. So, for example, if the college
needs a cello player, the admissions staff might want to make sure such a
student is admitted.
While you might receive a quick response from a college, you also could
be asked to submit a formal written appeal of your financial aid
package.
If you're still negotiating May 1, Chany suggests asking if you can
delay your response to the college's acceptance letter.
But if that doesn't work, take a deep breath and look at the cost of
college through objective eyes to evaluate whether you can truly afford
it or not.
The Chicago Tribune is a Tribune Publishing newspaper. E-mail Gail
MarksJarvis at yourmoney@tribune.com.
Copyright (c) 2006, Orlando Sentinel
Visit Sun-Sentinel.com
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