DALLAS, Sept. 5, 2013 /PRNewswire/ -- The mistakes that caused the Great Recession are rearing their ugly heads again, according to one of the nation's top financial professionals Lance Thayer, who hosts the nationally syndicated financial Talk Show "Money Lessons with Lance" which airs Mondays at 1:00 pm Central Time on 770 AM KAAM.
"There is no denying that a major financial event is coming, and not a positive one," said Thayer, who also wrote a free report called "35 Social Security Secrets Every Baby Boomer Needs to Know," which is available for free at http://www.radiolance.com/
"Much of what is playing out today in the financial markets, as well as newly-released economic data, bears striking similarities to what we all saw transpire in the 2008-2009 disaster. And by 'striking,' I really mean 'scary,' " said Thayer, a recognized personal finance author who has been quoted many times in top media outlets like USA TODAY, The Wall Street Journal, BusinessWeek and CNBC.
"It's like we're all standing on those same old tracks once again. Most of us seem to be watching, or even worse, waiting for the next disaster as if we're mesmerized by its approaching doom," said Thayer, Owner of Professional Tax Planners of Texas, LLC, which specializes in the needs of Baby Boomer middle class families. He is one of the few independent tax planning specialists in Texas who is committed to reducing taxes for his clients.
"Even worse this time around is the fact that our leaders, the same ones who were sleeping at the wheel during the 2008 disaster, seem to be sleeping at the wheel once again. It's as if they are incapable of seeing, and let alone handling, the financial crash that is clearly headed our way," he said.
Here are 9 similarities between the last crisis and today:
1. The Housing Bubble of 2008-09 burst, leaving millions of homeowners underwater in their mortgages. It's happening all over again, but this time in the global bond market where the bubble has already started exploding.
2. Mortgage delinquency rates spiked in 2008. Now they're on the rise again.
3. In 2008, banks began failing because they couldn't pay up on promises when derivatives and loans failed. It's happening all over again.
4. Wall Street investment bankers seem to have short memories about the collateralized debt obligations, or "CDOs," implosion that rocked the markets in 2008. They're at it again this year pouring nearly $37 billion into those derivatives.
5. The number of adjustable rate mortgages has skyrocketed to levels not seen since 2008. See where it's happening all over again.
6. Bank of America Merrill Lynch has seen large institutional clients exiting stock positions at a rate not seen since 2008.
7. Gold prices fell sharply in 2008 before the crisis began. Is this happening all over again?
8. Food stamp usage has soared since 2008 from 28 million to 46.7 million recipients.
9. Consumer Confidence in the economy continues to fall for the third straight month. 49% of consumers believe that the U.S. continues its Economic Recession.
"The American economy is very volatile right now, to say the least. It doesn't take a financial guru to see how exposed we are," he said. "Right now, millions of people are unprepared for the next financial disaster. When it happens, they will point their fingers at those at the wheel and ignore the fact that they had a chance to avoid losing much of their wealth-again."
There are ways around it, though.
"Don't be that person who looks back on this in five years and asks yourself 'what if?' There are already enough people still asking themselves that since the infamous crash of 2008. This impending disaster has zero manners and can take complete control of your wealth and erode it by the second," he said.
About Lance Thayer
Mr. Thayer is an expert in his field and is active in the financial community. He has been quoted in national and local publications including the Dallas Morning News and The Atlanta Journal Constitution. He teaches financial advisors and CPAs nationwide on financial planning issues.
He helps each client attain financial health and security through his advising services. With this mission in mind, he maintains a network of financial professionals to serve his clients in all 50 states.
Professionals within the financial services industry benefit from his expertise as well, both via one-on-one instruction and through marketing support organizations like the BluePrint Financial Marketing LLC, which he founded.
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SOURCE Lance Thayer