Phantom Debt – The Hidden Financial Crisis Exposed | I Allegedly

Hey, it’s Dan. Welcome back. This is I, Allegedly. And I’ve got a good one for you today because we’re going to talk about something that is going to destroy a lot of things. And that’s phantom debt. And it’s something that people don’t even realize is out there. But it’s there. And it’s a real big problem. So please like the video, subscribe to the channel. And today we have a sponsor, Chuck Norris. We’ll talk about him today. And it’s Mom Yoga Day too. So you get a little bonus for everybody. Now, I love when you guys write me.

And I love my audience. And I love the professionals that are out there that are knee deep in something. And don’t want to, you know, give out their names. Don’t want to even give out their state. Nothing. But I’m just going to call this guy, the accountant. The accountant wrote me a great email. And I thanked him, him profusely. He said I could say that. But this guy was talking about phantom debt. And the problem with Buy Now, Pay Later. This is a huge, huge problem that people don’t even realize. Now, what Buy Now, Pay Later is, guys, is it gives you the ability to go out and to make a purchase, take possession of it immediately, and then pay it off at a later date.

And they give you a payment program for this. Really simple. Three easy payments, six easy payments. You know, and this has been around since the dawn of time, guys. They had, you know, nine months, same as cash and things like that. But the problem with it is the interest that’s associated with this. And this person wrote that this is such a huge, staggering problem. And as I was researching this, and the stuff that he gave me was beautiful. I mean, it really did explain this in such a way that’s very serious. Now, first things first, these Buy Now, Pay Later programs generally not put on your credit report until you skip a payment and you stiff the vendor.

Okay. So there is so much of this out there that people don’t know about. Now, you can sit there and say, Oh, that’s okay. Because people aren’t, people are not defaulting on this. They’re defaulting left and right. As of May 24, 2024, banks have got to report their Buy Now, Pay Later numbers. Who knew? Now, as we enter the $1.14 trillion of personal debt, this money is not included in this. So here’s a few stats that I got. Okay. The global amount of people that are going to use this, it’s going to grow to 900 million people by 2027.

In the United States, in 2024, the number is 94 million people use this right now. And it’s going to grow in the next year to well over a hundred million. Okay. Payment volume and since 2022 has gone up by over 20% because people have no money. People are looking for ways to take possession. Can I get the makeup now? If I do Buy Now, Pay Later? Yeah. Okay. The market’s going to go by 25%. You know, globally, it’s going to go by 15% over the next year. 50% of all US consumers have used Buy Now, Pay Later.

So again, you know, here’s the thing. I knew somebody that owned a very famous TV store here in Southern California and he would have nine months same as cash and he would make money on the interest. He had a bonus kicked into you not paying. But here’s the thing. Almost 80% of the people did not pay it off. 78% I think was the number did not pay off their 90 days same as cash, six months, same as cash, all that stuff, you know. 17% of all US consumers have used it. Women are more likely to use this more than men.

You know, globally, it’s the US and European. This is great stats, by the way, guys. Black and Hispanic customers use the most. Millennials use it the most. Just great stats. But 40% of these people are between 25 and 34 years old. This is a bad precedent, guys, to go out and to borrow money in such a way that you’re just deferring it. Because again, if you pay cash for stuff, pay cash. And, you know, consumers have our lower income make 20 to 50 grand a year. Two thirds say that they would rather have Buy Now, Pay Later over credit cards, you know.

People use this because they don’t have the budget for it, which obviously, you don’t have the budget for it, you don’t buy it. So how about this? Only 50% of the people that use Buy Now, Pay Later are confident they’re going to be able to pay it off. That is crazy. This number, a couple of these figures are absolutely staggering, okay? 32% of the people use Buy Now, Pay Later once a month. That is wild. That is absolutely wild. This dog showed up for yoga, so. So, average users taking out $2,000 in Buy Now, Pay Later loans.

Klarna is the most popular Buy Now, Pay Later. Here, now, again, staggering. This is another staggering. What is the average Buy Now, Pay Later figure that people borrow? I know you’re probably thinking, oh, it’s $1,800. No, $132. You know, one thing that I covered, and I looked it up, it’s two years ago, people were using Buy Now, Pay Later for food, pizza, things like that. So, you know, 200, you know, it’s just the increases of this. Now, here is the problem. Phantom loans, phantom money, this gets down to the losses that we have, and I’ll cover this doing a full deep dive on something else with the banks right now.

The amount of money that are losses. In other words, you borrow $10,000, and Dan is not paying for that? Well, that’s not a serviceable debt by the bank. The bank should report that as either a loss to either send Dan to the collections and sue Dan, or come after me for not paying them. Well, let’s just not mention it. The problem with it is that when you have 10 loans like that, you have 100 grand. What happens when you have 100, 1,000, 100,000 loans like that? That’s the problem right now. People don’t want to talk about how bad the economy is right now, and this is where it’s at right now.

It is getting so much worse right now because a few things. The buy now pay later is a real problem because it opens itself up to all these different scams. Zelle right now, people want to use Zelle and different payment programs like that more often, but it’s creating an issue where the scammers are, how can we exploit this? How can we get through this to make it so you can click on this, send us money, or do something in a nefarious way? That’s on the rise. This is going to be on the rise too. This channel was started by getting people grant money and EIDL money and PPP money and just my expertise from medical and from all my content and contacts with the SBA.

When I started this thing over four years ago, the wild thing about this was you have people that have very small businesses. They have a little side hustle that makes money in small increments, $20 sales. $30 sales. They do things online. They do things at the swap meet, and that’s all they get paid. Now, some of these people don’t even have real bank accounts. They have chime and different programs like that. I saw people get PPP money where multiple people, the wild figure was $8,000. $8,000 for these people was a lot of money. They’ve never seen that kind of money go through that account.

The account got frozen by chime. Chime froze the account and said, this is a suspicious deposit. And I had a few people that I helped walk through getting that money unfrozen, but I had multiple people that never got the money back, never got it back because they just didn’t know how to deal with a bank and deal with fighting this stuff. These phantom loans that are out there, this is going to destroy things, guys. When you have bad loans at a bank, they’ve got to get this money someplace. J.P. Morgan right now is getting so much heat out there because they want to take their 88 million customers and go out and charge them a monthly fee, 12 bucks a month.

And that would bring in well over a billion dollars a month. We talked about this. But all these consumer advocates like Warren and Bernie Sanders are saying, this is terrible. We need to stop this. They bank there, by the way, guys. They don’t want to get charged a monthly fee. So you have to look at this for what it is. You can’t have the world not paying because the rest of us, they shake down. The rest of us, they sue. The rest of us, they come back and say, pay us, you know. So payday loans are an absolute nightmare.

People are getting behind on these left and right. They’re doing these buy now paylators. The fact that you have such a large percentage of people that have missed a payment, that’s a big deal, guys. That’s a big deal. So let me know what you think about this so far. It’s a lot more to cover. Let’s talk about our sponsor, Chuck Norris. Chuck Norris is the legendary actor that you’ve heard so much about what a tough guy he is and all the memes about how Chuck is just a real bad dude. And he’s in his mid 80s now and he is doing great.

His health is absolutely amazing and he attributes it to one thing. If you go to chuckdefense.com forward slash Dan, you can see the differences that he made. He attributes it to one thing and he says he feels like he did when he was in his 50s. Eliminating belly fat, keeping his energy high. He says it’s given him energy to play with his grandchildren and just work out longer, which we could all use. So use the link below. Go to chuckdefense.com forward slash Dan and see the difference that he made. Chuck’s wife even did this and she said that she feels 10 years younger herself.

So check it out today. Go to chuckdefense.com forward slash Dan. Use the link below and see the difference that he made in his life. Check it out today. Now think about this. Taylor Swift has concerts in Europe right now that have been canceled because of potential attacks at her concert. And this is terrible. I mean, these people that have traveled, people travel from the United States around the world. There’s all these people singing songs outside the venues and that have gotten gotten together and it’s absolutely tragic and sad. But here’s what’s wild. The insurance company is going to have a massive loss.

The insurance company may not be able to pay everything out. They’ve already said that they’re going to give everybody a refund on the ticket price. Now, from a lawyer standpoint, if you flew to Vienna to see a concert and it didn’t happen, are you just out of luck? Is that it? I mean, this is terrible. It’s absolutely tragic. Here in Southern California, Cisco was a big company during the dot com bubble. It was just growing every day and you’d meet these Cisco employees that were millionaires because they worked, you know, as a low level programmer and things like that.

But Cisco is like everybody else right now. You guys haven’t seen anything when it comes to the layoffs yet. Cisco is going to lay off another 4000 people for profitability because it’s not making money. So add all this stuff up, guys. When do people sit there and think that there is a problem? Because there is a big problem right now with the economy. And, you know, we talked earlier about these payment platforms, Cash App. Cash App got hacked and people lost their money and they determined that some of these hackers found ways that were nefarious to get through the app and you could get, you know, money.

There could be $2500 for you if you were a victim of this. So the link is below if you have a family member, child, son, relative. Look at this because Cash App got nailed from this and it’s just a matter of time until people people go out and realize that they were scammed and that they need to get their money. So share your thoughts on this stuff so far. I’m going to finish this video with these last few stories, but I love when you guys send me the local stuff because it really gives us a feel for things that are happening around the world.

And everybody thinks when they have an issue like this that it’s only them. Vernon, Connecticut. It’s a story put on patch where a man walked into the local supermarket, grabbed a fork and started eating directly out of the hot bar, sampling different things. People complained. People saw it. And finally the guy was so freaked out he bailed, ran, and the police ended up catching him. And they told him that he had to pay for everything he ate. And he said, I don’t have any money. So they had to throw out all the food which made the damages even worse.

Now, two years ago I went to the Whole Foods in the district in Tustin and a guy was eating out of the olive bar straight, sampling stuff. And I said, are you for real? Do you really do that? Sir, mind your own business. And I said, no, no, no, no, no. They need to call the cops on you. And he’s like, what are you talking about? I don’t know if I’m going to eat these or not. Put them in a bowl. Put them on a plate. Don’t eat it like that. Literally fork in this, with this dirt head, okay? So dirt head went to the manager and the manager came over and roused a dirt head.

And the manager goes, hey, you’re Dan, you need to leave. Like, you don’t want to be here when the cops show up. That was the first one. Second one was I was at a soup plantation, like 10 years ago, and I walked up and a guy had his plate right in front of all the things and was just eating out of it. And somebody told the manager and the manager said, everything this guy touched, they removed. All the utensils, they changed out because of this guy. I said, wow, why’d you do that? He goes, well, we just don’t want him to cross contaminate everything.

Which brings us up to the Boris head thing. You know, Boris head has a Listeria outbreak. Another person died from the Listeria outbreak. If Boris head survives this, they make lunch meats. They make great sandwich meats. They did. But this is bad, bad, bad, because you’ve got almost 40 people that have been hospitalized. Three are now dead. There’s been over 100 that have been determined that have gotten at least sick from it. So where does it end? Where does it end? Hundreds of tons, hundreds of tons. Of meat was supposed to be destroyed. But you know, you’ve been to these sandwich places that they have problems.

Well, you know what? Who’s gonna know? This looks good. Taste it, honey. It tastes good to me. Let’s serve it when somebody gets sick. The final, final story was in the eighties. I had a date. I think about this 1980s salad bars were not a big deal. There was a salad bar at the Sizzler. Sizzler. So that was so good. We would drive three cities over to go to the salad bar. Anyways, we date nine a Saturday. We both got off of work. We’re driving to the Sizzler. What are you gonna get? I’m gonna get the cheese toast.

I’m gonna load up on this. I’m gonna go back over and over again. And remember, Sizzler, you got in line, you paid, and then you they gave you the place and you sit down your table. And I’m in line to pay and I go to my date. Hey, go, go see what they got tonight. And she comes back with this. White look on her face. You’re not gonna wait here. Let’s go. Let’s go. So I’m like, what are you talking about? And I walk over there and look and there is this fat dude with a fork eating that had food on his shirt, eating directly out of the bowls.

And I’m like, oh my God. And I call the manager and I said, hey, listen, you’ve got this fat dude eating out of out of directly out of things. And the guy says, hey, sir, don’t exaggerate. You don’t need to make up stories like this. Now, the best part about this was that the guy walks around the wall and says to the guy, what in the F and use the word, are you doing? Okay. So he’s like, we got to throw out all this food. What did you touch? I just touched that. No, no, no.

He said you’re eating over there. Okay. So anyways, they throw out all the food. The manager came over and apologized profusely. Oh my God. He was so embarrassed. We got a free meal. That man got Malibu cheese. Chicken too. Got a free meal. Got a hundred dollars. I got a hundred dollars in gift certificates from Sizzler in the eighties. It was like getting a thousand dollars worth of free food for reporting this guy. But that’s disgusting guys. You know, so the patch story from Vernon, Connecticut, I can relate guys, but you don’t want this problem. And again, when you look at the Boris head problem with the cross contamination and some dirt head eating directly out of that stuff, it makes you not want to do this.

It makes you want to go back to COVID. Compliance of Hey, dish it my buffet, you know? Okay. So share your thoughts on this stuff. The problem with it is there are phantom debts in every aspect of our lives. There are husbands and wives that lie about what they owe. I’ve heard horror stories of the husband having credit cards. The wife didn’t know about the husband having a garage full of motorcycles and off road equipment and things like that, that the wife didn’t know about. But he owed $200,000 on this stuff. Kind of a trust issue thing, you know? At that point, anyways, it goes both ways, guys.

Please don’t forget to share the video, comment in the video, join the email list. Because one is going out in the next day or so, okay? You use the link below. You can be on the email list. If you want to email me any stories and you want to be like the accountant, which is what I’m going to call this guy from now on. Because this was absolutely masterful and beautiful that this guy did this, I will not lie and I will never give any Use your name. I again, I thanked him profusely. His knowledge is second to none but the detail that he sent me and sent you guys and everything that we just covered was amazing because what he’s seen is clients go in there that even are high-end that are in debt in weird ways right now and when you have a down economy people get more creative to the negative.

They don’t get more creative to the positive. Go start a business like this guys. Go out and start mom yoga on the weekend. This woman is making a fortune and she’s about to be finished and go home for the day with a jar full of money okay. Onward and upward guys. I’ll see you guys very soon. [tr:trw].

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