New Website Takes Social Approach To Personal Finance

The Internet is a great source of information on personal finance, but often this information lacks the personal touch. The new website MyMoneyCircles.com aims to provide that personalized element by taking an interactive, social media-style approach.
Though it focuses on the human element, MyMoneyCircles is anything but soft and fuzzy. The website refers to its approach as a "boot camp" for personal finance. But what exactly does a personal finance boot camp entail?
Getting financially fit
The boot camp method at MyMoneyCircles involves pushing participants to get their personal finances in the best shape possible. And the boot camp analogy is apt, because it highlights the simple fact that financial responsibility often isn't easy, and building robust savings accounts is often an act of sacrifice.
MyMoneyCircles will conduct a series of boot camps to address a variety of financial goals, including:
Saving money
Managing credit and debt
Protecting family and assets
Planning for the future
The personalized support system at MyMoneyCircles is designed to help users make the changes necessary to meet these goals. By engaging participants throughout the process, and providing advice tailored to their needs, the site aims to lead them each step of the way toward financial improvement.
Here are some of the methods MyMoneyCircles will use to engage, encourage, and energize those who want to improve their personal finances:
Personal assessment. A 10-question quiz will kick off each boot camp, to provide users with a clearer picture of their needs on each topic.
Customized advice and education. Participants will receive emails related to their areas of interest and access to online materials. Online resources will allow users to submit questions to financial experts through MyMoneyCircles.
A defined action plan. MyMoneyCircles will present participants with specific steps designed to get them to stop procrastinating and to start meeting their goals.
Community support. MyMoneyCircles is designed for users to share their personal experiences with other members of the community, especially those with similar needs and goals. In this way, users can help each other make progress.
Continued growth opportunties. MyMoneyCircles aims to provide multiple levels of informative material, allowing users to build on what they've learned.
Access to expertise
Central to the program is the expertise of Lynnette Khalfani-Cox. Khalfani-Cox, also known as "The Money Coach," is a best-selling author and frequently-quoted expert in the national media. Khalfani-Cox's input drives both the design and content of MyMoneyCircles, and she will answer individual participant questions too. A variety of financial specialists--full disclosure, this author will be one of them--will also be available to provide advice.

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Fixed mortgage rates rise above record lows

 Fixed mortgage rates rose slightly this week off their record lows. The year ends much like it began, with few people able to take advantage of the best rates in history.
Freddie Mac says the average on the 30-year home loan increased to 3.95 percent from 3.91 percent. Last week's rate was the lowest average on records dating to the 1950s.
The average on the 15-year fixed mortgage rose to 3.24 percent. That's up from 3.21 percent, also a record low.
Rates have been below 5 percent for all but two weeks in 2011. Even so, this year is shaping up to be one of the worst ever for home sales.

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Fixed mortgage rates end year above record lows

 Fixed mortgage rates rose slightly this week off their record lows. The year ends much like it began, with few people able to take advantage of the best rates in history.
Freddie Mac said Thursday that the average on the 30-year home loan increased to 3.95 percent from 3.91 percent. Last week's rate was the lowest average on records dating to the 1950s.
The average on the 15-year fixed mortgage rose to 3.24 percent. That's up from 3.21 percent, also a record low.
Rates have been below 5 percent for all but two weeks in 2011. Even so, this year is shaping up to be one of the worst ever for home sales.
Previously occupied homes are selling just slightly ahead of last year's dismal pace. And new-home sales appear headed for their worst year on records going back half a century.
Next year could be better. More than 5 percent of households said this month they plan to purchase a home within the next six months, according to the Conference Board.
Builders are also hopeful that the low rates could boost sales next year. Low mortgage rates were cited as a key reason the National Association of Home Builders survey of builder sentiment rose in December to its highest level in more than a year.
But so far, rates are having no major impact. Mortgage applications have fallen slightly in recent weeks, according to the Mortgage Bankers Association.
High unemployment and scant wage gains have made it harder for many people to qualify for loans. Many Americans don't want to sink money into a home that they fear could lose value over the next few years.
To calculate the average rates, Freddie Mac surveys lenders across the country Monday through Wednesday of each week. The average rates don't include extra fees, known as points, which most borrowers must pay to get the lowest rates. One point equals 1 percent of the loan amount.
The average fee for the 30-year loan was unchanged at 0.7; the average on the 15-year fixed mortgage was unchanged at 0.8.
For the five-year adjustable loan, the average rate rose to 2.88 percent from 2.85 percent. The average on the one-year adjustable loan ticked up to 2.78 percent from 2.77 percent.
The average fees on the five- and one-year adjustable-rate loans were unchanged at 0.6.

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Credit score focus of new celeb-backed debit card

Personal finance media personality Suze Orman is thinking big. She's the   first out of the gate in the fast-growing prepaid debit card market with a card that aims to help its users build a credit score. It's a gamble that could pay off, if it can help create a way measure the creditworthiness of millions who function outside the traditional financial system.
The latest in a string of celebrities to put their stamp on a prepaid card, Orman will likely avoid the criticism about high fees lobbed at earlier offerings, such as those of hip-hop mogul Russell Simmons and reality show stars the Kardashians. Orman's card costs $3 to obtain, and then just $3 a month, rivaling the hugely popular Walmart MoneyCard.
Although some will question how Orman will recoup the more than $1 million she has invested in the card when charging that little, the real twist isn't the low fee structure. Orman is working with credit reporting agency TransUnion to create a new kind of credit score for users of "The Approved" prepaid MasterCard, one that's based on their spending habits.
Right now, using debit cards — both the prepaid kind and those tied to bank accounts — does not influence an individual's credit score, which is calculated with data related to borrowing. If Orman's experiment is successful, this new type of score could be a game-changer for the estimated 60 million Americans who do most or all of their personal business in cash or with cash alternatives like prepaid cards.
The TV adviser said she approached several companies, urging them to agree to develop such a score, and TransUnion ultimately agreed to gather spending data for 18 to 24 months. It will use that data to try to come up with a formula that works as a way to predict whether the user is a good risk for lenders.
"This is truthfully a work in progress," said Orman.
Banks and other lenders are interested in creating ways to measure how prepaid cards are used, because of the huge market they represent. Consumers loaded an estimated $70.7 billion onto prepaid cards in 2011, up from $2.7 billion in 2005, according to consultancy Mercator Advisory Group.
Mercator projects the market will top $120 billion this year if adoption continues at the same pace.
In general, users can be divided into three groups. The first subset is those caught up in the economy — people who had good credit until it was damaged by events like unemployment or foreclosure. Second are those who have not yet built credit histories, mainly the young and recent immigrants. The third group avoids banks, often because of negative experiences, such as racking up high overdraft fees.
"Wouldn't it be fabulous if, for the first time in history, people are literally rewarded for spending cash, versus penalized, in my opinion, for doing so?" Orman said.
The problem with traditional credit scores from FICO Inc. and its competitors is that they measure how well individuals keep up with their payments, but don't pay any attention to their overall financial health, she said. "Scoring doesn't question where the money is coming from to make payments."
Prepaid cards have already filled some of the void for those who don't use banks, especially because they can be used to receive paychecks via direct deposit. But because they don't contribute to credit scores, the cards can't help users get a mortgage, a car loan or a credit card.
Not having a credit score, or having a low one, also drives up the cost of living in other ways. Lower scores can mean higher car insurance rates, higher rent, difficulty getting a job and paying higher interest rates for any credit available. People with little credit history — known as a "thin file" in the industry — are also the most likely to use alternative services like payday lenders, check cashing stores and bill pay services. These are expensive options when compared with credit cards and banks.
FICO Inc. and other companies use data tied to borrowing to determine a score meant to measure the likelihood an individual will pay back future loans. FICO's 300-to-850 scale is based on an individual's history making payments on loans, the percentage of available credit that is being used and how long the individual has used credit, among other data.
Those with thin credit files have a better chance of having their creditworthiness reflected by FICO's "expansion score," which factors in data like utility bill payments and rent payments. FICO CEO Mark Greene said the expansion scores have shown that the population without traditional scores mirrors to the larger population in terms of credit risk. Other credit score providers are beginning to provide measures based on utility payments and other nontraditional data.
One big difference for developing a prepaid score, however, is that these alternatives still measure how well individuals meet obligations, not how they spend the rest of their income.
"Spending is not actually a great indicator of the thing that we're trying to measure, which is the likelihood you're going to pay your bill," Greene said. "We need to be careful about how we approach that issue."
Another issue a prepaid-linked score must address is the fact that the typical reloadable card is used for just three to four months, said Brian Riley, who analyzes the card market for the consultant The Tower Group.
That timeframe is likely to expand, however, because more users are beginning to have their paychecks deposited to reload prepaid cards. Adding rewards and services, and cutting fees, may also increase customer loyalty.
Orman is adamant that her card will carry only a $3-per-month fee for users who load at least $20 per month onto it. Fees will rise only if the user uses ATMs outside the network it is linked to when withdrawing cash. Consumers who use The Approved Card will also get daily text messages updating their balance, along with one after each purchase, and other free services like ID theft monitoring, credit monitoring and free credit reports from TransUnion.
The media star, whose new show on the Oprah Winfrey Network premieres Monday, said she knows creating the score will be an uphill battle, but believes that if successful, it will help both lenders and borrowers. "You've got to start it somewhere, and this is the beginning of that process.

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Rate on 30-year mortgage drops to record 3.89 pct.

Fixed mortgage rates fell once again to a record low, offering a great opportunity for those who can afford to buy or refinance homes. But few are able to take advantage of the historic rates.
Freddie Mac said Thursday the average rate on the 30-year fixed mortgage fell to 3.89 percent. That's below the previous record of 3.91 percent reached three weeks ago.
Records for mortgage rates date back to the 1950s.
The average on the 15-year fixed mortgage ticked down to 3.16 percent. That's down from a record 3.21 percent three weeks ago.
Mortgage rates are lower because they track the yield on the 10-year Treasury note, which fell below 2 percent. They could fall even lower this year if the Fed launches another round of bond purchases, as some economists expect.
Average fixed mortgage rates hovered around 4 percent at the end of 2011. Yet many Americans either can't take advantage of the rates or have already done so.
High unemployment and scant wage gains have made it harder for many people to qualify for loans. Many don't want to sink money into a home that they fear could lose value over the next few years.
Mortgage applications have fallen slightly on a seasonally adjusted basis over the past four weeks, according to the Mortgage Bankers Association.
Frank Nothaft, Freddie Mac's chief economist, said that until hiring picks up and unemployment drops significantly, the impact of lower mortgage rates will remain muted.
Previously occupied homes are selling just slightly ahead of 2010's dismal pace. New-home sales in 2011 will likely be the worst year on records going back half a century.
Builders hope that the low rates could boost sales next year. Low mortgage rates were cited as a key reason the National Association of Home Builders survey of builder sentiment rose in December to its highest level in more than a year.
But so far, they have had little impact on the depressed housing market.
To calculate the average rates, Freddie Mac surveys lenders across the country Monday through Wednesday of each week. The average rates don't include extra fees, known as points, which most borrowers must pay to get the lowest rates. One point equals 1 percent of the loan amount.
The average fee for the 30-year loan fell to 0.7 from 0.8; the average on the 15-year fixed mortgage was unchanged at 0.8.
For the five-year adjustable loan, the average rate declined to 2.82 percent from 2.86 percent. The average on the one-year adjustable loan fell to 2.76 percent from 2.80 percent.
The average fee on the five-year adjustable loan rose was unchanged at 0.7; the average on the one-year adjustable-rate loan was unchanged at 0.6.

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Pope pardons Vatican butler

Pope Benedict XVI granted his former butler a Christmas pardon Saturday, forgiving him in person during a jailhouse meeting for stealing and leaking his private papers in one of the gravest Vatican security breaches in recent times.
After the 15-minute meeting, Paolo Gabriele was freed and returned to his Vatican City apartment where he lives with his wife and three children. The Vatican said he couldn't continue living or working in the Vatican, but said it would find him housing and a job elsewhere soon.
"This is a paternal gesture toward someone with whom the pope for many years shared daily life," according to a statement from the Vatican secretariat of state.
The pardon closes a painful and embarrassing chapter for the Vatican, capping a sensational, Hollywood-like scandal that exposed power struggles, intrigue and allegations of corruption and homosexual liaisons in the highest levels of the Catholic Church.
Gabriele, 46, was arrested May 23 after Vatican police found what they called an "enormous" stash of papal documents in his Vatican City apartment. He was convicted of aggravated theft by a Vatican tribunal on Oct. 6 and has been serving his 18-month sentence in the Vatican police barracks.
He told Vatican investigators he gave the documents to Italian journalist Gianluigi Nuzzi because he thought the 85-year-old pope wasn't being informed of the "evil and corruption" in the Vatican and thought that exposing it publicly would put the church back on the right track.
During the trial, Gabriele testified that he loved the pope "as a son loves his father" and said he never meant to hurt the pontiff or the church. A photograph taken during the meeting Saturday — the first between Benedict and his once trusted butler since his arrest — showed Gabriele dressed in his typical dark gray suit, smiling.
The publication of the leaked documents, first on Italian television then in Nuzzi's book "His Holiness: Pope Benedict XVI's Secret Papers" convulsed the Vatican all year, a devastating betrayal of the pope from within his papal family that exposed the unseemly side of the Catholic Church's governance.
The papal pardon had been widely expected before Christmas, and the jailhouse meeting Benedict used to personally deliver it recalled the image of Pope John Paul II visiting Mehmet Ali Agca, the Turkish gunman who shot him in 1981, while he served his sentence in an Italian prison.
The Vatican spokesman, the Rev. Federico Lombardi, said the meeting was "intense" and "personal" and said that during it Benedict "communicated to him in person that he had accepted his request for pardon, commuting his sentence."
Lombardi said the Vatican hoped the Benedict's pardon and Gabriele's freedom would allow the Holy See to return to work "in an atmosphere of serenity."
None of the leaked documents threatened the papacy. Most were of interest only to Italians, as they concerned relations between Italy and the Vatican and a few local scandals and personalities. Their main aim appeared to be to discredit Benedict's trusted No. 2, the secretary of state, Cardinal Tarcisio Bertone.
Vatican officials have said the theft, though, shattered the confidentiality that typically governs correspondence with the pope. Cardinals, bishops and everyday laymen write to him about spiritual and practical matters assuming that their words will be treated with the discretion for which the Holy See is known.
As a result, the leaks prompted a remarkable reaction, with the pope naming a commission of three cardinals to investigate alongside Vatican prosecutors. Italian news reports have said new security measures and personnel checks have been put in place to prevent a repeat offense.
Gabriele insisted he acted alone, with no accomplices, but it remains an open question whether any other heads will roll. Technically the criminal investigation remains open, and few in the Vatican believe Gabriele could have construed such a plot without at least the endorsement if not the outright help of others. But Lombardi said he had no new information to release about any new investigative leads, saying the pardon "closed a sad and painful chapter" for the Holy See.
Nuzzi, who has supported Gabriele as a hero for having exposed corruption in the Vatican, tweeted Saturday that it appeared the butler was thrilled to speak with the pope and go home. "Unending joy for him, but the problems of the curia and power remain," he wrote, referring to the Vatican bureaucracy.
A Vatican computer expert, Claudio Sciarpelletti, was convicted Nov. 10 of aiding and abetting Gabriele by changing his testimony to Vatican investigators about the origins of an envelope with Gabriele's name on it that was found in his desk. His two-month sentence was suspended. Lombardi said a pardon was expected for him as well. He recently returned to work in the Vatican.
Benedict met this past week with the cardinals who investigated the origins of the leaks, but it wasn't known if they provided him with any further updates or were merely meeting ahead of the expected pardon for Gabriele.
As supreme executive, legislator and judge in Vatican City, the pope had the power to pardon Gabriele at any time. The only question was when.

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Aleppo's fledgling government reflects a society shaped by war

Members of the Syrian opposition in Aleppo are preparing to unveil what will be the most ambitious transitional government effort to come from inside Syria since the revolution began 21 months ago.
Aleppo’s Transitional Revolutionary Council, a civilian effort to provide government services in areas of northern Syria under opposition control, has created a 224-person Grand Assembly with representatives for every area of the province, even those still under government control. The new legislative body plans to have its first meeting within a month.
The creation of the opposition’s Grand Assembly comes on the heels of weeks of major rebel gains in northern Syria and is emblematic of their growing confidence in Aleppo. But the new legislature faces challenges finding sufficient funding and securing locations to meet, underscoring the challenges that remain despite recent progress.
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“What makes this project successful here in Aleppo is that most of Aleppo is liberated,” says Rafat Rifai, a freelance journalist who works as a consultant for the Transitional Revolutionary Council. Still, he adds, “the main financial resources are still with the regime so if the new assembly tries to take on the same role of the [Assad] government, it will need the same budget.”
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The assembly has only limited funding. It comes from a mix of sources including Syrian expatriates and local businessmen, and the new Syrian opposition coalition formed in Doha last month is said to be considering offering assistance. The modest budget will force the group to prioritize its efforts on essentials such as repairing the electric grid and addressing bread shortages.
Throughout opposition-controlled areas in Aleppo province, citizens have formed a variety of ad hoc councils to manage their villages and neighborhoods in the absence of a central government, but the Grand Assembly is the first attempt to create a representative body that can begin to operate more like a traditional government body.
The new legislators were chosen in town hall style meetings by their communities. In areas still under control of the Assad army, representatives were selected from residents of these areas who had fled to opposition-controlled territory.
“We try to push them to choose the best and most qualified person to be the representative, not just the most popular,” says Shekary, who does not use his full name to protect his identity and serves as the media coordinator for the General Assembly.
Organizers say that with fighting still ongoing in Aleppo and reliable communication by telephone or Internet often impossible, a popular election to choose the 224 representatives would not have been feasible.
SEATS APPORTIONED BY SACRIFICE
The number of representatives each district receives is proportional to both its population and level of participation in the revolution. The latter is determined by a matrix that uses measurements such as the number of residents killed in the uprising and the level of destruction the community experienced.
Responding to a question about whether giving less representation to those who did not participate as heavily in the revolution could appear as a punitive measure, Hakeem Halabi says this current council is meant to serve as a transitional revolutionary government, which, for the time being, is run by those who started the uprising.
“We agree in the future we will have to have a popular vote,” says Mr. Halabi, co-leader of the temporary presidential committee for the Transitional Revolutionary Council, adding that the goal of the forthcoming assembly is to help achieve the goals of the revolution. "There are people with guns on the street and they deserve to get representatives.... If they don’t have a big enough voice, it will be hard to convince them to put down their guns.”
The assembly will hold its first meeting in Gaziantep, Turkey, just north of the Syrian border. Originally the group wanted to hold the meeting in Syria along the border where government jets seldom bomb, but a recent air strike against a border town made them reconsider.
The group says that they will conduct their meetings in Turkey, but return immediately upon their conclusion. Opposition forces have long criticized their leadership based outside the country for being out of touch with realities on the ground. The newly created Syrian National Coalition for Opposition and Revolutionary Forces, founded in Doha, enjoys more support within Syria, but still faces criticisms for operating outside the country.
“We consider ourselves more legitimate than the Doha coalition itself because this transitional council is 100 percent in Syria,” says Halabi.
Currently, there are no other provinces firmly enough under rebel control to consider something like the Aleppo Grand Assembly there, and there are no plans to use it as a model for temporary government in provinces that come under opposition control in the future.

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Uruguay postpones vote on 'state as dealer' approach to drug regulation - but not for long?

Uruguay has been on the vanguard of drug policy reform in the Americas, proposing a state regulatory market for the cultivation and consumption of marijuana. (See our cover on “Latin America reinventing the War on Drugs” here).
But last week the project’s No. 1 proponent – and perhaps the globe’s most trailblazing reformer – Uruguayan President Jose Mujica, told Parliament to postpone the vote.
President Mujica always said he would not go forward with the proposal if a majority of Uruguayans did not accept it. And a new poll by the firm Cifra shows 64 percent of those surveyed remain opposed.
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“Don’t pass a law because it has a majority in Parliament,” the president was quoted as saying in the local press. “The majority has to be in the streets.”
His words will generate a cheer from those opposed to such a radical rethink of the “war on drugs,” from United States drug officials to functionaries at the United Nations.
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But few think it means the project has been forever shelved, including those who don't explicitly favor it. In fact, Pablo Stratta, who is the secretary of the Mothers of the Plaza, an organization that fights against drug addiction, says that the polls do not reflect that people are necessarily against Mujica’s project but that it is simply not their top priority – an opinion his organization shares.
“Before we talk about legalizing any substance, whether it’s marijuana or any other, we have to start talking about addiction from a health perspective,” Mr. Stratta says. “There are many other problems to be talking about, such as the families of drug addicts, or the number of addicts living on the streets.”
Still, the news surprised those who support the increasingly bold moves around drug reform. Many proponents have looked at Uruguay’s proposal as a model for the globe; from new ballot initiatives in Washington and Colorado that make recreational marijuana use legal, to presidents in Mexico and Colombia calling for new solutions to the US “war on drugs.”
Martin Jelsma, a foremost drug policy reform proponent at the Transnational Institute, was attending a drug reform meeting in Bangkok when he read an article insinuating that Mr. Mujica’s motive in delaying the parliamentary vote on the subject stemmed from doubt.
He called his colleagues from the Uruguayan drug commission, where he is an adviser. And he says he, like Mr. Stratta, is convinced that it will pass in the future – the timing is just not right.
"There have been several other quite controversial and difficult issues to deal with,” Mr. Jelsma says, including abortion and gay rights.
“And there was still the clear hope from the president’s side that this project would be carried through with a clearer majority of support population wise. In that context there are still deep details to sort out … like the details of the proposal, how it relates to UN treaties, legal issues,” Jelsma says.
"I don’t have doubts myself that a good communication strategy and a good poll that does not reduce [the issue] to overly simplistic questions will show that there is a majority support for the direction in which Mujica and his government wants to go.

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South Korea charges North building missile that could reach US

South Korean defense officials say they have evidence showing a recent North Korean missile launch was to test an intercontinental ballistic missile (ICBM).
South Korean navy divers have recovered more than three tons of debris from the first stage of a missile Korean analysts say was fueled by a type of nitric acid developed in the former Soviet Union over 40 years ago for firing missiles with warheads more than 6,000 miles. The rocket, fired from a pad in northwestern North Korea on December 12, managed to put a small satellite into orbit, but officials offer the discovery of nitric acid as evidence of the real reason why North Korea was anxious to test it.
The defense ministry released a photograph of a truck carrying the most conspicuous piece of the debris – the gleaming white casing for the first stage. The word Unha in Korean lettering, the name of the rocket, was clearly visible.as it was in North Korean pictures of the rocket before the launch.
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“Definitely their main purpose is to have the capability of reaching the US west coast,” says Kim Tae-woo, former president of the Korea Institute for National Unification. “North Korea this time proved the capability of their ICBM."
The evidence of the rocket’s mission as a test of an ICBM, according to the defense ministry, was that the main piece of the wreckage was a container for “redfuming nitric acid” that’s not ordinarily used in missiles for launching satellites.
A member of the team that examined the rocket was quoted by Yonhap, the South Korean news agency, as saying they had found the rocket “was intended for testing ICBM technology rather than developing a space launch vehicle.” He said the team based this conclusion on the fact that “red fuming nitric acid” was used “as an oxidizer” and could “be stored for a long time at normal temperature.”
Navy divers reportedly found still more wreckage on Sunday and are still scouring the seabed of the Yellow Sea off the southwestern coast of South Korea.
The major piece picked up from a depth of 250 feet measured more than 25 feet long and nearly 8 feet in diameter. Mr. Kim, who worked for many years as a senior North Korea analyst at the Korea Institute for Defense Analyses, says the success of North Korean scientists and engineers in launching the rocket “does not mean an immediate threat.”
“They are successful this time,” he says, but “it was just a simple test.” He adds that “their satellite technology is very primitive” – so much so that analysts here believeNorth Korea has lost touch with the 200-pound object as it circles the earth.
Mr. Kim is quick to add, however, that putting a satellite into orbit “is not their main target.” Rather, he says, the North Koreans want to develop the technology for firing a warhead a long distance – a highly complicated feat..
The great question is when and how North Korea will test the response of the incoming administrations of both the United States and South Korea. Park Geun-hye, daughter of the long-ruling dictator Park Chung-hee, assassinated by his intelligence chief in 1979, was elected as South Korea’s president last Thursday and is to be inaugurated in February.
“North Korea might be tempted to test John Kerry either by long-range missiles or another nuclear test,” says Lee Chang Choon, a retired South Korean diplomat whoserved as ambassador to the International Atomic Energy Agency in Vienna. President Obama has nominated Senator John Kerry to replace Hillary Clinton as secretary of state.
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North Korea has conducted two previous underground nuclear tests – in October 2006 and again in May 2009 – soon after test-firing long-range missiles.
Kim Tae-woo agrees with that assessment. “Traditionally North Korea may be preparing to test the will of the second Obama government,” he says. “North Korea definitely wants to test Mr. Kerry.”
North Korea has been celebrating the launch of the rocket – and the satellite – with exuberant displays in Pyongyang. North Korea’s leader Kim Jong-un, reported by Pyongyang’s Korean Central News Agency to have visited the launch site and personally penned the hand-written order to go ahead with the launch, urged more launches at a dinner Friday honoring scientists, engineers and technicians responsible for the launch 11 days ago. KCNA quoted the North Korean leader as urging them to develop “carrier rockets of bigger capacity” in order to put “a variety of more working satellites” into orbit.
The rocket is believed capable of carrying a payload of 1,200 pounds.
South Korea, says Kim Tae-woo, is developing ballistic missiles with a maxium range of 500 miles – enough to reach any target in the North, including the launch site of the Unha. “We can have a much greater deterrence,” he says, “but it takes time.

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Muslim scholars and clerics: suicide bombings are un-Islamic.

Suicide bombers in Afghanistan have shown little restraint: Wedding parties and even mosques and children have witnessed gruesome targeting by the Taliban against civilians.
But as attacks soared in the summer and fall, killing scores of civilians every week – including at least 40 Muslim devotees at a mosque in late October –public revulsion has turned into unprecedented condemnation.
For the first time in late January, Muslim scholars and clerics from around the world will come to Kabul specifically to condemn suicide bombings as un-Islamic. The conference will be the first to focus on suicide bombing, and its framers hope the result will reverberate beyond Afghanistan.
"Many times, scholars in Pakistan and Afghanistan have made statements but had no influence," says Mufti Shamsur Rahman Firotan, a religious scholar in Kabul. "This one will have influence, and will give the idea to the people that suicide attacks are forbidden. The message is for all: in Iraq, in Pakistan, all these [militant jihadist] groups."
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Senior United Nations officials have challenged religious officials to speak more loudly against attacks carried out in the name of Islam, while Afghan religious scholars have long decried suicide attacks, with little response by the ultra-conservative Taliban. An official gathering this summer resolved that suicide attacks "have no legitimate foundation in Islam."
It had little effect at the time. But those declarations have now been further bolstered. Saudi Arabia’s Grand Mufti, the highest religious authority in the birthplace of Islam and respected by the Taliban, explicitly condemned suicide bombing.
Yet since Sheikh Abdulaziz bin Abdullah Al al-Sheikh issued such a high-profile public statement in late October, Taliban suicide attacks have continued, some with multiple bombers. But Afghan religious scholars say momentum is building against them.
One reason is because Mr. Abdulaziz “does have influence on the Taliban," says Mr. Firotan, who is a member of Afghanistan's Ulema Council of Islamic scholars, which has long campaigned against civilian deaths.
"The Taliban think we are their enemies, so they don't respect our declarations," says Mr. Firotan. "But Mufti Aziz is respected by them, and all around the Islamic world…. It has influence."
INVOKING MUHAMMED
The newsletter of Afghanistan’s religious scholars, called Al-Islam, publicized the Grand Mufti’s high-profile pronouncement against suicide bombing.
Invoking the Muslim prophet Mohammed, Abdulaziz noted that killing innocents has been forbidden for 14 centuries. He said justifying suicide attacks in the name of religion was a "misuse" of Islam.
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"Attacks, suicide attacks, and killing of the innocent have no place in Islam, and whoever conducts these are not just deprived of Paradise, but they will go to hell," Abdulaziz said according to Al-Islam. "There is jihad in Islam, but it is very different from killing of the innocent and suicide attacks [which does] not benefit the people and humanity."
The Taliban claims it has not "officially" received Abdulaziz's fatwa (or religious decree), says Firotan, but only heard about it.
'THIS IS NOT THE WAY'
The Quran makes clear that self-defense is acceptable, says Firotan, providing "there is no other way to live, but that is not the situation now."
For those who want to fight US forces, says Firotan, there are methods. "But this is not the way – to go to mosques, banks, bazaars, or shops. There, are 100 percent, some Taliban who are [also] against these actions."
As the Taliban has waged its insurgency in recent years, it has also increasingly targeted civilians, along with US and NATO military forces, Afghan security, and the government. By early summer, the toll caught the attention of the UN Special Representative Jan Kubis, who lamented in a speech that every morning started with “very sad news” of civilian deaths.
Addressing an Islamic cooperation conference in June, he said the previous “typical” week had 200 civilian casualties, with 57 dead. The week before registered 244 casualties, with 90 killed. One day saw three suicide bombings; another single day left 107 casualties.
Such a soaring toll was "unacceptable," Kubis said. "We keep hearing reports of suicide bombings, intimidation, targeted killings, assassination of elders, religious leaders, teachers, and scholars, burning of schools – all done in the name of Islam."
Yet Kubis noted that different interpretations are also heard, based on the Quran, that show such acts to be un-Islamic. The result has been confusion and questions in the minds of many Afghans.
"They are not anymore sure what is the truth, what is right, what is wrong, what is Islamic, what is non-Islamic," said Kubis. He challenged the religious scholars to magnify their voices: "You have a major role, a major responsibility to help."
That message has been transmitted many times by many religious scholars and officials, over many years. But it has yet to break through to those who favor such attacks, as “religious” as their ideology is meant to be.
EASIER SAID, THAN DONE
Even the writ of Taliban chiefs is limited, as shown by the example of fugitive leader Mullah Omar. In 1998 he condemned the use of anti-personnel landmines as "un-Islamic" and "anti-human."
Despite that, the UN Assistance Mission in Afghanistan (UNAMA) notes that improvised explosive devices (IEDs) placed by Taliban operatives are "by far the biggest killer of civilians" in Afghanistan. In the first nine months of this year, they caused 340 deaths – a nearly 30 percent increase from the same period the previous year.
Likewise, suicide attacks remain a pernicious killer, despite the volume of religious scholarship against it.
"Practically every family has suffered some form of attack by these suicide bombings or IEDs, and they don't look at it very kindly," says Massoumeh Torfeh, the director of strategic communications for UNAMA in Kabul.
Abdul Hakim Mujahid, a former Taliban ambassador to the UN who is now a member of the High Peace Council, tasked by the government of President Hamid Karzai with talking to the Taliban, says the opinions of religious figures can have an impact.
"Afghanistan is a religious country, and absolutely the majority are listening to their religious scholars," says Mr. Mujahid. About the Taliban, he says: "They are human beings, and also they have their religious scholars."
Mujahid quotes the Quran, saying: "You have to fight against those who are fighting against you. But do not cross the limit."
That limit is beyond "proportional reaction," says Mujahid: "It means that when someone is fighting against you with their fists, you should not use a Kalashnikov."
The Taliban see themselves as "being attacked, that war is being waged against [them]," adds Mujahid. The High Peace Council is "trying our best to convince them that war is not to the benefit of any party [and to] settle everything by negotiations, not by fighting."

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