I enjoy listening to music as much as the next person, but recently I’ve vowed to stop listening to the radio. During my commute, I’m usually listening to The Russ Parrs Morning Show on 93.9 WKYS. His morning show is usually good for a laugh or two, especially when he does his music parodies & voice imitations.  Also, every once in a while they’ll play a good rush hour mix by their DJ. Usually after 15 minutes of their usual music rotation, I’m ready to find something on my SD card to listen to.  At least with my own music, I won’t have to subject myself to slew of advertisers Radio One chooses to sell airtime to.

During most commercial segments on 93.9 WKYS, no matter what time of day, you’re guaranteed to hear either a pay-day loan commercial, debt consolidation, or a credit repair scam. The garbage they’re marketing to their urban community is vitriolic, and is buyer beware at its best. Why would you want to push pay-day loans & companies that offer services to further aid in people obtaining more debt in these days and times?

According to Credit.com pay-day loans ARE NOT the way to go:

It is crucial that you repay a payday loan as soon as possible. Many people get into trouble with these types of loans when they are unable to quickly repay the debt. If you can’t repay the loan at the end of the term, you’ll be charged expensive additional fees. It is very costly to be stuck in a payday loan cycle for a long time and can lead to larger financial problems. Payday loans are also much more expensive than other methods of borrowing money. In most cases the annual percentage rate (APR) on a payday loan averages about 400%, but the APR is often as high as 5,000%. A standard credit card has an APR of 12% and a standard loan APR is around 7%. If possible, it is better to use a credit card or tap into your savings in the event of an emergency.

So basically, most people end up owing more than they borrow, and usually fall into ‘pay day loan’ hell. That’s definitely not something you want to market to your urban listeners. As my fellow blogger, Cuvy Girl Chronicles said, “yep, it’s the equivalent of advertising lottery tickets and malt liquor”.

Let me not forget the debt consolidation & credit repair scams that also pollute the airwaves.  Why are they once again marketing bogus opportunities to people?  For the record, there is no such thing as ‘credit repair’. There’s not a company out there that can wipe out the negative issues on your credit report. If you have ‘errors’ on your credit report, it’s just as simple as writing the credit reporting companies and getting it resolved on your own, although it may take time, it is FREE.  The only repairing you can do, is to pay off your debts.  Debt consolidation also may sound like a quick fix, but in the long run, the company is making money of off you. Financial author Dave Ramsey breaks down how a debt consolidation isn’t good in the grand scheme of things:

For example, let’s say you have $30,000 in unsecured debt, including a two-year loan for $10,000 at 12%, and a four-year loan for $20,000 at 10%. Your monthly payment on the $10,000 loan is $517 and $583 on the $20,000 loan, for a total payment of $1,100 per month. The debt consolidation company tells you they have been able to lower your payment to $640 per month and your interest rate to 9% by negotiating with your creditors and rolling the loans together into one. Sounds great, doesn’t it? Who wouldn’t want to pay $460 less per month in payments?

But they don’t tell you that it will now take you six years to pay off the loan. This may not sound that bad to you at first unless you realize how much more you will actually pay in additional payments. You will now pay $46,080 to pay off the new loan vs. $40,392 for the original loans, even with the lower interest rate of 9%. This means you paid $5,688 more for the “lower payment.” Not such a good deal after all. This example shows you why they are in the business – because they make money off of you.

Unfortunately, I’m sure there are people who were/are desperate enough to actually pay these companies for something they can easily do on their own if they contact their creditors.

I totally understand that the airwaves aren’t free, and advertising is what funds the majority of its costs, but when should a company be held responsible for what their advertisers are selling? In these economic times, it would make sense to have advertisers that are promoting economic stability, instead of economic decline, particularly in the urban areas where Radio-One makes the majority of their profits.

Have you paid attention to the advertisers on the radio in your area? What do you think about the products & services advertised?

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