Written on 17.36 by Admin
New insurance industry product that provides long term care insurance coverage requires no policy, premiums or health qualifications. Nd there is no Age Limitation
Why Seniors Don’t Buy Long Term Care
1. In my experience, over half the people who shun long term care insurance do so because they feel they will never need it. It is difficult to visualize going to a nursing home. Statistically, half of these people will be right.
However, there are a number of scenarios where the person may need some kind of assistance but never see the front door of a nursing home. In fact, most people who need long term care can receive care without ever leaving their home.
When you stop and think about it, the decision not to buy long term care insurance is a decision to self insure. This can be costly and possibly devastating.
The average cost of a nursing home today is $80,000 per year and rising.A normal man cant Afford Sch a huge money towards nursing. At that rate, it doesn’t take but a few years to grind through a modest estate. If both the husband and wife need nursing home care,
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Written on 05.36 by Admin
With sign-up bonuses for airline rewards cards hitting new heights, savvy frequent fliers can pocket thousands of extra miles -- for free -- by signing up for a succession of credit cards with mileage bonus offers. Pocket the miles, ditch the card, and repeat as necessary.
It's a good time to go for the rewards, say industry observers: As lenders and airlines compete for the prized frequent flier demographic, credit cards are offering bigger and better airline mileage extras to woo new customers. Getting such cards one after another is a strategy that can put your credit score at risk, but credit experts say responsible credit users can manage it.
Airline rewards buildAirline mile bonuses build
There was a time when the standard sign-up bonus for an airline-affiliated credit card was about 5,000 miles, says Tim Winship, editor-at-large for SmarterTravel.com. "It's only in the past two to three years that it's really become more or less industry standard to offer enough -- or almost enough -- frequent flier miles for a free ticket."
Randy Petersen, editor of Inside Flyer magazine, goes a step further. "Today, if you're not getting 25,000 miles, you're not doing very good," he says, because mileage bonuses "are way, way up there." There even have been offers up to 40,000 miles for some of the business cards, he says.
Enjoy the high-flying times while they last, he warns: Bonuses are unlikely to keep climbing because the economics wouldn't make sense for card issuers. "We're probably at 95 to 100 percent of what we'll ever see in bonuses," says Petersen.
It's no secret to the credit card industry that some consumers "churn" rewards cards, grabbing sign-up bonuses and then ditching the cards, but for now, the issuers don't mind.
"They've already built in that a lot of people are going to try to sign up for the bonus and not use the card," says Robert Manning, research professor and director of the Center for Consumer Financial Services at the Rochester Institute of Technology in New York.
Where the points are
Where can you find the best sign-up mileage bonus offers? You can find airline frequent flier bonus mile reward cards online. If you have excellent credit, your mailbox is probably stuffed with them already. It pays to open each mailing, though, because the same lender will often try to entice you repeatedly with different combinations of bonus miles, fees, and redemption conditions.
Citi's Aadvantage Citi Select American Express and Citi Platinum Select World MasterCard, for example, each award 25,000 American Airlines miles when you spend $750 within your first four months, while United's Mileage Plus Platinum Business Card delivers 20,000 miles after your first purchase. Both cards waive their hefty annual fees for the first year.
Before chasing the rewards, you'll need to decide if it makes financial sense for you. You'll reap the highest benefits with the least chance of damaging your credit rating if you:
• Have an excellent credit history and a high credit score.
• Always pay off all your credit card balances every month.
• Don't have any outstanding credit card balances.
• Can resist the temptation to use every credit card you have.
• Won't need to apply for another consumer loan, such as a car or home loan, for the next three to six months.
Keeping your score
Repeatedly swapping credit cards can ding credit ratings.
"Each time a consumer applies for new credit, a 'hard inquiry' is generated, causing a slight impact on the credit score," says Steven Katz, a spokesman for TransUnion, one of the three major consumer credit reporting agencies. "Opening multiple new credit accounts over a brief period of time will amplify that score impact. How much that affects an individual's credit score will depend on that individual's own circumstances."
Spacing your credit card applications throughout the year can lessen any damage, experts say. "If you did three or four applications within a month or two months, that could start to make a significant ding on your score -- 20, 60, even 80 points," says Evan Hendricks, author of "Credit Scores & Credit Reports" and longtime editor of the Washington-based newsletter "Privacy Times."
Dedicated credit card rewards collectors tend to monitor their credit reports regularly. Aaron McCrea is a Bloomington, Ind., lawyer who has racked up more than a million American Airlines frequent flier miles since 1997, primarily through personal and business credit cards and bonus offers. "I've kept track over the 10 years, and it's had no negative effect on our credit rating," he says. McCrea says he regularly uses four credit cards to earn miles, supplemented by the occasional new card with an enticing sign-up bonus.
Is it worth it?
Read the fine print before you apply for any new credit card -- but especially if your interest lies only in the sign-up bonus.
Here's what to look for:
• Annual fee. If there is one, is it waived for the first year (or more)? If not, how does it compare with the value of the bonus you'll receive? If the fee is $49, for example, but you'll receive enough miles or points for a free ticket to Hawaii, you might not mind paying for the card.
• Spending requirements. You may have to spend a certain amount of money with the new credit card (for example, $1,000 in the first 90 days) before you receive some or all of your bonus miles. Is this money you would be spending anyway, or would you have to make unnecessary purchases to hit the total?
• Cancellation conditions. If you're not planning to keep and use the card, find out whether you'll be able to redeem your bonus miles or points even when you're no longer a cardholder. In some cases, you might not receive all of the bonus miles until you've held the card for a specified number of months or even years, and you might have to pay an annual fee at some point.
• Redemption rules. Some of the bank travel reward cards have very complicated conditions for redeeming points for a reward or even for accrual, says Jay Sorensen, president of product, partnership and marketing practice for IdeaWorks in Shorewood, Wis. With an airline-sponsored card, the bonus miles might automatically show up in your existing frequent flier account, so you'll redeem them as you would any other miles. With nonairline travel cards, such as those sponsored by Capitol One and American Express, you might have to follow special rules for purchasing a ticket with miles or points, or specifically request that miles be transferred to your frequent flier account. Be sure to note whether the bonus miles or points expire within a certain time limit.
• Blackout dates and other limitations. Although most bonus offers tout the absence of blackout dates, the reality is that some tickets are tougher to get than others. "Some programs are saying no blackout dates, but instead they're closing out dates for award tickets by inventory control," says Sorensen. "That 25,000-mile reward ticket? For many people it's fiction because it's just not reliable anymore." You may need to be flexible about traveling off-season and at off hours to redeem your miles or points.
To cancel or not to cancel?
Once you've banked your bonus miles, you have two choices if you're not planning to use your new card again: keep or cancel.
There are pros and cons to both, says Gary Symington, president of Debt-Free America. Canceling the card right away may drop you five points on your credit score, he says, while opening up your credit limit by keeping the card "may drop you 10, 15, even 20 points."
You'll also need to pace yourself: Closing more than one or two credit cards a month can raise red flags on your credit report, says Julie Zachariason, counseling supervisor for LSS Financial Counseling Service based in Duluth, Minn.
On the other hand, if the card isn't costing you anything out of pocket and you don't already have too many credit cards, you might want to keep the account open as a backup, says Hendricks.
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Written on 09.18 by Admin
* Avoid shopping malls, if possible. If you need to purchase something, go to a store that sells that thing. Don't automatically head for the mall, where you'll likely get lured into buying things you don't need. If you go to the mall just to hang out with your friends, consider finding new hobbies, or new friends. If you have to walk through a shopping mall to get to a restaurant or a movie theater, keep yourself engrossed in conversation (either with yourself or your companions) so that you don't focus on your surroundings. Concentrate on where you are going, but pay no attention to the stores along the way.
* Use the buddy system. If you go out with friends, you may find that you enjoy yourselves so much that you don't even feel like buying anything. You could all make a pact to prevent purchases. It's kind of like a 12-step program to escape the consumer culture.
* Avoid unnecessary upgrades. Yes, that new toaster has a little chime and can toast eight slices at once, but seriously, how often do you need eight slices of toast at once? Our consumer culture pressures people to replace perfectly good products with newer products for silly reasons, like fashion. Remember, an avocado-colored oven works just as well as one that's mango-colored.
* Buy for durability. If you decide to purchase something, choose something that won't wear out, or won't wear out quickly. Also avoid purchasing items that will go out of fashion. Think through how you will use the item and how your choice will meet your needs for as long as possible. Thinking in the long term, a more durable item costing 30% more up front will still save you money if you can use it twice as long.
* Buy for easy compatibility. If you really like an item, think carefully about how well it will work with what you have already. Maybe a clothing item is fresh and flattering, but if it doesn't coordinate well with at least two or three pieces you own, you'll either get limited use out of it, or worse, you may 'need' to buy more to use it at all.
* Use the "Rule of 7." If something you want is over 7 dollars, wait 7 days and ask 7 trusted people whether this is a good purchase. Then buy it if you still think it is a good idea. This rule will curtail impulse buying. As you get more financially secure and have a larger disposable income, you can gradually increase the threshold upward from 7 dollars.
* Make gifts for people. Use your own skills (or learn a new skill) to make gifts that people will remember long after they've forgotten store-bought presents. Don't forget that gifts needn't be wrapped. You can make a gift of time or skills, too. Remember the lesson of The Gift of the Magi: it really is the thought that counts. Money can't buy you happiness or self-respect or any friends worth having.
* Tax yourself. Every time you make a purchase over $10 (or $50 or whatever limit you choose), take 10% of the price and put it into your savings or your investments. This way, you discourage yourself from buying something just because the item is "marked down" or "a bargain" and boost your financial security every time you make a significant purchase. If you use a debit card or a credit card, try using one that has a savings program, American Express offers a card with a savings account and Bank of America offers their "Keep The Change" program to automatically transfer money into your savings account.
* Grow your own food. If you have even a small garden, it's easy to grow your own food.
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Written on 09.16 by Admin
In O. Henry's classic Christmas story The Gift of the Magi, Della Young sells her most prized possession, her long, beautiful hair, in order to buy her husband, Jim, a Christmas present. The present she chooses is a chain for Jim's heirloom pocket watch, the only valuable thing he owns. When she presents her gift to Jim, she discovers that he has sold his watch in order to buy a set of ornate combs for her beautiful locks. Is there a lesson in here for us? The lesson is you don't have to buy anything to be happy. Here's how to resist the urge to splurge.
# Examine your spending habits. Are your buying decisions motivated by your own values or by advertisements? Don't be influenced by consumerism and an obsession with spending.
# Stay home. If you don't need to shop, don't go shopping simply because you are bored. Don't use shopping as a recreation or amusement.
# Leave the money at home. The easiest way to not buy anything is simply not to take any cash, checks, debit cards, or credit cards with you when you go out. At most, take a small amount of cash with you for emergencies.
# Avoid plastic. Try putting your credit card in a container with some water and freezing it. That way you have it for holidays and emergencies but not just to go buy stuff.
# Buy used. If you really need something and haven't been able to beg, borrow, or dumpster-dive it, go to a thrift shop and get one for pennies on the dollar. Online auctions and yard sales are also good, although there is still the temptation to buy "stuff" you don't really need.
# Pay cash. Studies show the average person spends less when paying with cash and much more when paying with credit, possibly because when you use a credit card it feels as though you are not parting with "real" money.
# Make a budget and stick to it. Don't treat your budget like a New Year's resolution. While creating and sticking to a budget requires self-control, it's a really good way to get your finances under control and avoid accumulating a pile of crippling debts and a bunch of worthless crap in the process of destroying your self-respect.
# Make a list and stick to it. Make purchasing decisions at home, where your needs are apparent, instead of in stores where shelves full of other products will distract and entice you. A list can also help you postpone and consider purchases and consolidate trips out.
# Ask yourself some questions. Will I use this every day? Will I use it enough for it to be worth buying? How many hours did I have to work to pay for this? Employ the 3-month forecast. Ask yourself if you'll still be using the product regularly in 3 months. If you have lived this long without it, do you really need it? If you move frequently, contemplate whether this purchase is really worth hauling around each time you move. If you don't, ask yourself if it's worth sacrificing some of your precious living space to own it.
# Repair, don't replace. If you shopped carefully and got good service out of something, don't assume you have to replace it when it breaks. A good repair shop might be able to restore it to "near-new" condition for less than the cost of a replacement, and you won't be adding to the landfill problem.
# Try to get things you need or want for free. In a surprising number of cases you can get whatever you need without spending a dime.
* Check local "free sales". Visit websites such as freecycle, Freesharing,Sharing is Givingor craigslist. These sites are so useful precisely because so many people buy things they don't need or replace perfectly good things with similar but newer things. You can decide to be smarter than that.
* Borrow. If you need a product for just a short time, why not borrow someone else's? There's no shame in borrowing as long as you are willing to reciprocate when someone needs to borrow something of yours.
* Try bartering. Your past extravagances have probably left you with a lot of things you no longer need, but which other people may want. Experience some of the gains from trade that economists are always talking about.
To be continue
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Written on 22.46 by Admin
1. It is always better to be an employer than an employee, if you are disciplined and able to devote time and money. Learn all you can about running a business. Take a class. Ask an experienced business owner for advice. Be careful, though. Many businesses fail, especially in their first year. You could end up with considerable debt, no savings, and no benefits. Get help!
2. Entrepeneurs make up the majority of millionaires, it is high risk, but it is also the most likely way to become truly wealthy. Few people amass great wealth through other means. Less than 1 % become a millionaire through "other" means such as being a rockstar, winning the lottery, etc. So unless you inherit wealth your best shot is doing this.
3. Note that you can start your own business part-time. For example by going into real estate, purchasing, renovating and selling homes is a common way for building wealth for people without money to invest.
Be Smart
1. Learn about budgeting, credit, and debt. Learn how credit cards work! If you get into debt early it can sabotage your progress.
2. Put an amount of money in the bank monthly. 10, 20, 30 dollars is good - $100 is better. By the time you get old, retirement would be easy. (See segment about compound interest).
3. If you are in college and can't afford an apartment and don't like those nasty dorms, then gather with 3 or 4 people, and buy a good sized house while splitting the payment. It'd probably cost less than a apartment.
On the other hand, there haven't been covered any specific ways in this article. Please update.
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Written on 22.45 by Admin
Invest
1. Start investing as early as possible. Do not wait until you have "enough" money to invest. You will end up with a larger account in the end if you start investing a small amount early and keep adding more regularly.
2. Make smart investments
If you don't understand what you are investing in, don't. Start with something easy like index funds. They have fewer ups and downs than individual stocks, and you will not have all your eggs in one basket.
1. For safety: Stay as debt free as possible. A paid-for education and a paid-off house will enable you to invest more money in the stock market or your own business. Only gear up low-risk investments with loans.
2. Starting now is better than never starting. The power of compound interest can make anyone wealthy. Example: Investing only $10 every year at 15 % annual profit will give you over $1.3 million after 70 years.
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Written on 22.43 by Admin
There are many way to become rich, but many more to become poor. Of course it's usually not easy and many quick methods involve a lot of risk. so take your time and follow these steps to build your wealth.
Note that people have different perceptions of what it means to be rich. In this article we will define rich as having a fortune higher than $1 million.
Steps
Start by investing in your most important asset: Your mind
1. Doing well in school and getting an education in a high-paying profession such as doctor, lawyer, economist, etc. will give you a head-start and a safe economic position.
2. Learn about basic economics such as Compound interest and investment strategies.
3. Develop yourself all your life. Increase your professional skills, leadership skills, financial skills, social skills and general life skills. Making yourself valuable will increase your chances regardless of your path to riches.
4. Develop a vision; why should you become wealthy? Based on this, set your goals. You wont rise up unless you are able to build and focus your ambition.
5. Stay healthy; It is very important to stay healthy in your endeavour to become rich. This will enable you to work hard and also increase your life span increasing your earning period. On the other hand, you will be able to reduce the cost on health care.
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Written on 22.39 by Admin
Warren Buffett and other value investors operate on the assumption that if the real value of an investment is some multiple of its current price it may qualify for an investment. In other words if the value of a investment provide a sufficient safety factor it could be considered for an investment. Buffet's safety factor is necessary but maybe not sufficient.
Steps
1. Project Cash Flow. Using the investments historical cash flow (not Net Income), either operating cash flow or free cash flow project cash flow into the future. You cannot project the future any further then you have historical data. If you investment only has two year of data on cash flow then you only can project two years into the future.
2. Using a reasonable cash savings or money market rate of return, discount the future cash flow to present value.
3. Divide by the number of shares outstanding to get a present value per share.
4. If the ratio of Future Value per Share to Current Price is greater then 2, 3 or 4, then the investment could be considered.
Tips
* Look for investments with low P/E ratios to start. While these investments have good earnings (Net Income) they may not have the kind of cash flow to provide a high safety factor
* Look for low debt to equity ratios
Warnings
* The Present Value of future cash flow could be overstated if the investment has considerable debt. Debt principle payments occur below the free cash flow line and as a result actual cash flow would be lower by the amount associated with debt repayment.
* Investments with short or irradiate historical cash flows will be difficult to forecast and will likely produce low present values and thus low safety factors and will automatically eliminate themselves for consideration
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Written on 10.34 by Admin
By Emily Starbuck Gerson and Ben Woolsey
If you have substantial credit card debt, you may feel trapped. Escaping debt is a must, but there are both right and wrong ways to go about it. Unfortunately, those dressed up as a quick fix tend to cause more problems than they solve.
Below are four common but ill-advised "solutions" for credit card debt:
1. Take a cash advance on another card
The expression "robbing Peter to pay Paul" comes to mind with this one. For starters, taking a cash advance on a credit card is a very expensive proposition. There is usually an ugly 3 percent fee charged for advances along with very high interest rates that begin ticking away from the moment you initiate the advance. "Cash advances are very costly, high-risk items," says Harrine Freeman, author, speaker, columnist and CEO of Freeman Enterprises, a credit repair and financial counseling service. "The cost of a cash advance from a credit card can be 500 percent or more." Don't dig one hole to fill in another.
2. Get a payday advance against your next paycheck
Payday lenders offer a solution for short-term emergencies. They're not meant as a long-term fix for credit card debt. When calculated on an annual basis, their interest rates are astronomical. Freeman concedes that payday loans have advantages: the possibility of getting your loan extended, no credit check and avoiding bounced checks or late fees on credit cards. But that's where the good ends. "You have to pay back the loan plus fees, and extending your loan can double or triple your fees," Freeman says. "The interest rate can be as much as 100 percent or more of the amount borrowed and you could end up owing more debt after obtaining the payday loan."
3. Rob your 401(k) or other retirement savings
This is a bad idea since any time you touch tax-advantaged retirement savings you get dinged twice. You will first experience the pain of paying a 10 percent penalty for early withdrawal, and you will then be taxed at your normal income tax rate for the amount withdrawn. For most consumers this means keeping only 65 percent of the money withdrawn. Freeman admits borrowing from your 401(k) can have a few advantages, including a good interest rate and the fact that you are paying interest back to yourself instead of a lender. The downsides, however, are devastating. "If you are unable to pay the loan at the time, you will also be required to pay taxes and penalties on the amount borrowed, and the loan must be repaid in five years,"Freeman says. "If you lose or quit your job you will have to pay the loan back in full. When your borrow money from your 401(k), you are taking money that can generate additional growth in your retirement plan and affects your overall projected earnings."
4. Get a home equity loan and pay off everything
OK, this one isn't so terrible -- IF you have financial discipline and are willing to put your house at risk. There are pluses, such as a lower interest rate and the deductibility of the interest payments. And a home equity loan can be relatively fast compared to a full-blown mortgage loan. But it isn't the silver bullet for debt. Many costs, especially origination fees, often aren't disclosed until well into the application process. And remember, you're putting your home on the line. Too many borrowers take out a home equity loan, then rack up more credit card debt, leaving them in worse shape than they started. Freeman says taking out a home equity loan should be a last resort. "Don't get one if you already have bad credit, if you can't afford to make your current mortgage payment or if you are not sure that you can make the home equity loan payments," Freeman says. "If you make a late payment, your interest rate may increase. This is only a temporary solution because you could easily get into debt again." She insists that home equity loans should only be used for covering costs of large purchases such as roof repairs or an unexpected emergency.
Right ways to escape credit card debt
If there are so many dangerous routes to becoming free of credit card debt (and indebted elsewhere), what represents the golden path? The answer doesn't involve a quick fix, but will provide a safer, long-lasting solution.
The first step requires a change of behavior. "The main obstacle is changing your spending habits," Freeman says. "By simply doing that, you will be able to reduce expenses and pay off your debt."
Her advice:
• Don't open any new accounts.
• Reduce expenses by bringing your lunch to work, taking public transportation, shopping at wholesale stores, etc.
• Don't transfer balances unless you can pay the full balance before the promotional period expires.
• Budget, budget, budget.
"Create a spending plan to determine the total amount you owe and your total monthly income to see where you can reduce expenses," Freeman suggests. She also says to focus on paying your bills on time and alerting your creditors immediately if you will not be able to pay your bills when they are due. If need be, cut up all of your credit cards except for one to use for emergencies -- and keep that one safely tucked away to reduce splurge temptation.
Once this financial bleeding has been stanched it's time to go to work on whittling down that debt. Finding a good 0 percent APR balance transfer credit card is often a good next step. Think of this credit card as a debt consolidation loan; don't carry it in your wallet. It's simply a place to park your debt at no interest in order to begin cutting it down.
Attaining freedom from debt at this point is a matter of using your newly budgeted income to pay it off bit by bit until it is gone.It takes time and self-discipline to destroy debt, but once you are free of its shackles, you will lift an enormous weight off your back.
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Written on 10.34 by Admin
By Emily Starbuck Gerson and Ben Woolsey
If you have substantial credit card debt, you may feel trapped. Escaping debt is a must, but there are both right and wrong ways to go about it. Unfortunately, those dressed up as a quick fix tend to cause more problems than they solve.
Below are four common but ill-advised "solutions" for credit card debt:
1. Take a cash advance on another card
The expression "robbing Peter to pay Paul" comes to mind with this one. For starters, taking a cash advance on a credit card is a very expensive proposition. There is usually an ugly 3 percent fee charged for advances along with very high interest rates that begin ticking away from the moment you initiate the advance. "Cash advances are very costly, high-risk items," says Harrine Freeman, author, speaker, columnist and CEO of Freeman Enterprises, a credit repair and financial counseling service. "The cost of a cash advance from a credit card can be 500 percent or more." Don't dig one hole to fill in another.
2. Get a payday advance against your next paycheck
Payday lenders offer a solution for short-term emergencies. They're not meant as a long-term fix for credit card debt. When calculated on an annual basis, their interest rates are astronomical. Freeman concedes that payday loans have advantages: the possibility of getting your loan extended, no credit check and avoiding bounced checks or late fees on credit cards. But that's where the good ends. "You have to pay back the loan plus fees, and extending your loan can double or triple your fees," Freeman says. "The interest rate can be as much as 100 percent or more of the amount borrowed and you could end up owing more debt after obtaining the payday loan."
3. Rob your 401(k) or other retirement savings
This is a bad idea since any time you touch tax-advantaged retirement savings you get dinged twice. You will first experience the pain of paying a 10 percent penalty for early withdrawal, and you will then be taxed at your normal income tax rate for the amount withdrawn. For most consumers this means keeping only 65 percent of the money withdrawn. Freeman admits borrowing from your 401(k) can have a few advantages, including a good interest rate and the fact that you are paying interest back to yourself instead of a lender. The downsides, however, are devastating. "If you are unable to pay the loan at the time, you will also be required to pay taxes and penalties on the amount borrowed, and the loan must be repaid in five years,"Freeman says. "If you lose or quit your job you will have to pay the loan back in full. When your borrow money from your 401(k), you are taking money that can generate additional growth in your retirement plan and affects your overall projected earnings."
4. Get a home equity loan and pay off everything
OK, this one isn't so terrible -- IF you have financial discipline and are willing to put your house at risk. There are pluses, such as a lower interest rate and the deductibility of the interest payments. And a home equity loan can be relatively fast compared to a full-blown mortgage loan. But it isn't the silver bullet for debt. Many costs, especially origination fees, often aren't disclosed until well into the application process. And remember, you're putting your home on the line. Too many borrowers take out a home equity loan, then rack up more credit card debt, leaving them in worse shape than they started. Freeman says taking out a home equity loan should be a last resort. "Don't get one if you already have bad credit, if you can't afford to make your current mortgage payment or if you are not sure that you can make the home equity loan payments," Freeman says. "If you make a late payment, your interest rate may increase. This is only a temporary solution because you could easily get into debt again." She insists that home equity loans should only be used for covering costs of large purchases such as roof repairs or an unexpected emergency.
Right ways to escape credit card debt
If there are so many dangerous routes to becoming free of credit card debt (and indebted elsewhere), what represents the golden path? The answer doesn't involve a quick fix, but will provide a safer, long-lasting solution.
The first step requires a change of behavior. "The main obstacle is changing your spending habits," Freeman says. "By simply doing that, you will be able to reduce expenses and pay off your debt."
Her advice:
• Don't open any new accounts.
• Reduce expenses by bringing your lunch to work, taking public transportation, shopping at wholesale stores, etc.
• Don't transfer balances unless you can pay the full balance before the promotional period expires.
• Budget, budget, budget.
"Create a spending plan to determine the total amount you owe and your total monthly income to see where you can reduce expenses," Freeman suggests. She also says to focus on paying your bills on time and alerting your creditors immediately if you will not be able to pay your bills when they are due. If need be, cut up all of your credit cards except for one to use for emergencies -- and keep that one safely tucked away to reduce splurge temptation.
Once this financial bleeding has been stanched it's time to go to work on whittling down that debt. Finding a good 0 percent APR balance transfer credit card is often a good next step. Think of this credit card as a debt consolidation loan; don't carry it in your wallet. It's simply a place to park your debt at no interest in order to begin cutting it down.
Attaining freedom from debt at this point is a matter of using your newly budgeted income to pay it off bit by bit until it is gone.It takes time and self-discipline to destroy debt, but once you are free of its shackles, you will lift an enormous weight off your back.
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Written on 18.20 by Admin
CHARLOTTESVILLE, Va. (AP) -- Virginia linebacker J'Courtney Williams faces charges of credit card theft and credit card fraud, according to university police.
Lt. Melissa Fielding said Tuesday that Williams was charged after police investigated a student's report that his wallet was stolen at the Aquatics and Fitness Center. The theft charge is a felony, the fraud count a misdemeanor.
Williams, a freshman from Danville who redshirted last season, also was arrested in February on a misdemeanor charge of marijuana possession. That case has been continued until February 2009 in Albemarle General District Court.
Williams is recovering from shoulder surgery and has not been practicing this spring.
Virginia athletics spokesman Jim Daves said coach Al Groh was not available for comment.
Copyright 2008 Associated Press.
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