John Sternal on the Internet and Recession

Do you think the Internet generation is responding to the economic tumult in our country differently than our forebears did in the early 1930s when America plunged into the Depression?

JS: The current recession, although very severe for millions who've lost their house or job, has some stark contrasts to the Great Depression of the 1930s. The Internet is one of those major differences. The speed in which people receive information, conduct research and live their lives is drastically different today compared to the 1930s. What's difficult with today's recession is all boiled down to one word: expectations. People expect the recession to end overnight because we live in the "Internet generation." Unfortunately, it took us some time to get into the economic climate we're in, so it will also take a little time to escape. Nevertheless, the Internet has been a very effective tool in not only receiving information quickly but also providing tools we need to make timely decisions and take action.

You run an online marketplace for car lease trading. How are people responding to it, why should they consider using it, and how would it help them save money?

JS: Our car lease trading marketplace, http://leasetrader.com, has been very popular over the years, and maybe more so today. One big problem facing families dealing with foreclosure is the fact that for many of them, they have no options. It has nothing to do with whose fault it is as to why they're now in the financial mess they're in. The fact remains, for millions of people their only option is to hand the keys back to the bank and destroy their credit. LeaseTrader.com is helping thousands of people by giving them a much-needed option with their car lease. If a person is stuck in a car lease they can no longer afford, they can now transfer the lease over to someone else, rather than default on the payment. And it's a win-win situation since the person taking over the lease gets a great car still under warranty, without having to pay a down payment and making a commitment to a long-term contract (since they're only taking over what's left on the contract).

Are there any other ways you or people you know use the Internet as a way of surviving economically or improving one's circumstances?

JS: That's the beauty of the Internet ... there are all kinds of ways you can use the Web to improve upon your financial situation. Whether it's doing research on your credit or taking advantage of a service like LeaseTrader.com, there are many different ways people can leverage the Web.

Are you optimistic or pessimistic about the economic direction of this country ... both in what the federal government is doing and what's happening in the private sector?

JS: Of course it's quite cliche, but I'd say I'm cautiously optimistic. I'm certainly hopeful that the combined stimulus packages ... for business and consumers ... will be making their way to everyone's door soon either directly or indirectly. We've seen a few positive signs (or at least less negative) in that home prices and sales have started to level off a bit, retail sales are seeing some life and consumer confidence is trending slightly upwards again. But like we've all been hearing, we won't truly feel any great sense of economic relief until the jobs situation stabilizes and sees some growth.

Are there any other suggestions you'd like to make about surviving financially during these tough times?

JS: Surviving financially today is really all about managing your credit. Yes, it's important to be able to buy the things you need to live, but your credit is the engine that runs your financial life. People must pay considerable attention to keeping their credit healthy and they must take every step necessary to protect the health of their credit. If you find yourself running into credit problems, turn to trusted resources and the Internet to find answers. Programs like LeaseTrader.com are out there and are helping people every single day.