Does your credit card work for you? Learn from credit card reviews how to make a credit card work for you!
October 23rd, 2008 Admin
Insider Tips for the Holiday Shopping Season
Economists around the country are saying that this holiday shopping season will be the worse since 2002. How can that be when Toys-R-Us is planning to hire 35,000 employees nationwide? I personally think that some economists are just way too negative. These economists make it sound like everyone is going to spend their Christmas without any gifts at all. This isn’t the case. Consumer spending is still projected to be high.
Holiday shopping can be a real pain. There are large crowded and even longer lines in every store. It seems like every store is a mess (thanks to careless consumers). Holiday shopping makes it even harder to locate merchandise. But, there are many things you can do to make this holiday shopping season a good one. Just follow each of these insider tips.
1. Pause before you click “Buy.” Obviously, this only applies if you will be doing your holiday shopping online. Before you click “Buy” pause a few seconds. Make sure you use a coupon code before finalizing your purchase. Coupon codes are widely available online, so there is no excuse not to use one and save some extra money!
2. Shop the day BEFORE the big sale…after 6 pm. If the ad says, “Sale starts Saturday,” don’t wait until Saturday. Go after 6:00 p.m. on Friday night. Typically, all the discounts enter the system after 6:00 p.m. the day before. Remember that not every retailer does this, but most do.
3. Get a gift just for you. Who says that the holidays is just about giving to other people? You’ve worked hard this year too. You deserve a gift as much as anyone else. There is nothing wrong with getting a gift that comes with a special bonus, giving the gift away and keeping the bonus for yourself. Fragrance sets are perfect for this. Often times when you buy perfume or cologne, it comes with an additional gift. Give away the fragrance and keep the gift just for you.
4. Make money. It is becoming the norm to get paid while you shop. Many websites offer a percentage cash back when you make a purchase. You can also use your cash back credit cards. Cash back credit cards make it extremely easy to get paid to shop. Some people don’t think that these programs are worth the time. But, trust me, these cash back programs are definitely worth it.
5. Get the “hidden” discounts. Richard Paul Evans shares a financial secret that will come in handy, especially this holiday season. Always ask, “Is that the best you can do?” Don’t be shy. Ask the employees if there are any unadvertised coupons going on. Many times, you can sign up for a store’s loyalty program and get exclusive deals.
There you have it…the insider scoop on holiday shopping. Don’t be afraid to make adjustments to the way you have always shopped. It could make a huge difference this year.
Posted in Chase Credit Cards | 1 Comment »
October 22nd, 2008 Admin
The Reality of Holiday Shopping
Americans are beginning to realize that another Great Depression is looming ahead. The government has enacted several policies that will hopefully stop the economy from being damaged further. Everyone is unsure what the future will hold. With the Christmas season just around the corner, no one knows exactly what the 2008 holiday season will be like.
2008 has already been a life-changing year for millions of Americans. Many people have had to change the way they live. This includes changing the way they shop. Different cultural trend research companies have been evaluating trends in American shopping. It has already been found that Americans have already drastically changed the way they shop. Consumers have been forced to become smarter shoppers by the mortgage crisis, the ever high prices of fuel, and the stock market meltdown.
So, this means that this holiday season will be dramatically different from previous years. Americans won’t be able to depend as heavily on their credit cards because many credit card companies have tightened restrictions. Still, there are ways that you can use your cash back credit card company for good this holiday season. Here are some trends to keep in mind when using your cash back credit card this season.
1. Part 2: Christmas. The price of airfare is dramatically higher this season, thanks to the rising price of fuel. Because of this, many Americans have decided not to do their usual holiday traveling. These people will also take advantage of many post-Christmas sales with their cash back credit card. Instead of visiting their loved ones this holiday season, they will send gifts from these post-holiday sales.
2. Practical Giving. American consumers will use more practicality this year than ever before. Many consumers are still planning on buying gifts, but the amount of money spent on these gifts will be dramatically less. We’ll see more practical gifts instead of extravagant ones.
3. Gift Cards. There are thousands and thousands of cash back credit cards out there. Many Americans are planning on using their reward points to buy gift cards to give to their loved ones. These practical gifts won’t cost them a thing (since they are using their cash back points)
4. Indulgences. Americans aren’t going to completely deny themselves this holiday season. Everyone will be using their cash back or reward credit cards to buy gifts for others and for themselves.
Using a cash back credit card is the only way to go this holiday season. If you want to make the most out of your holiday budget, you absolutely have to use your cash back credit card. Make the credit card companies pay you this Christmas season…use your cash back credit card.
Posted in Cash Back Credit Card | No Comments »
October 21st, 2008 Admin
Escaping Student Loans
If you are planning to go on to graduate school, you are probably going to end up with a lot of student debts. College students who go to graduate school often end up with over $100,000 in student loans. Most of these students don’t realize that Congress recently passed a new law that could eliminate this debt forever.
In 2007, Congress passed a new law that could benefit thousands of students across the nation. This law was enacted to give aid to “highly indebted college graduates who go to work in critical but often low-paying professions.”
This program is called the Public Service Loan Forgiveness act. It allows people who work in qualifying jobs to have all of their federal loans forgiven. The borrowers have to be unable to repay their entire student loan debt after 10 years of regular payments. After these 120 payments have been paid, the remaining interest and balance can be forgiven.
This sounds pretty good right? So, which jobs qualify for the Public Service Loan Forgiveness program? There are many. Here are some jobs that do qualify:
- Military service
- All government jobs, whether federal, state or local
- Police and fire departments
- Social work
- Public education
- Public health care
- Public and school libraries
- Education in high-need areas
- Nonprofit, tax-exempt 401(c)3 organizations
There are a few catches though. The program can’t help you in you are struggling to make your payments right now. Loan forgiveness comes only after the 10 years of repayment. Only payments that are made to the federal Direct Loan program qualify for the program. Additionally, the only payments that count are those that were made after October 2007.
Check out the Public Service Loan Forgiveness act if you are looking for ways to decrease the amount of student loans that you have. Your debt could be completely eliminated after only 120 payments. This might be the only way to get your family back on track after years of school.
Posted in Student Loans | No Comments »
October 20th, 2008 Admin
Holiday Shopping Won’t Provide Any Relief to the U.S. Economy
“Christmas just won’t be the same this year.” That is the thought on many Americans’ minds this holiday season. Consumers are already starting to think about the gifts they will give. Instead of lavish and extravagant presents for their loved ones, consumers around the country will give practical gifts instead.
The National Retail Federation doesn’t expect this shopping season to be very successful. It recently released its predictions for the season. It predicts that there will only be a slight 2.2 percent increase in the end of year retail purchases. 2008 is predicted to end its year with retail sales of only $470.7 billion.
The NRF Chief Economist Rosalind Wells recently stated, “Current financial pressures and a lack of confidence in the economy will force shoppers to be very conservative with their holiday spending. We expect consumers to be frugal this season and less willing to splurge on discretionary items.”
If predictions for this year are correct, we will see the slowest growth in the retail industry in over six years. 2002 was the last time that things slowed down this much. The major cause for such a dramatic drop is the recent plummet of the labor market.
Americans do not have as much real income as they once did. This new found need for keeping a close eye on their personal budget will cause a problem for the retail market. No one is going to go buy a new Nintendo Wii or iPhone if they can’t afford to put gas in the car or food on the table.
American consumers need to solve the economic problem this holiday season by using their cash back credit cards. The U.S. economy depends on consumer spending for over two-thirds of its gross domestic product. You have the power to fix the economy by just using your cash back credit card. Do your part this holiday season and use your cash back credit card wisely.
Posted in Budgetting | No Comments »
October 17th, 2008 Admin
The Average American Income
America has always been known as the land of “opportunity.” Citizens have come here from other countries with hopes of creating a better life for themselves and their families. So, how much does the average American make every year? Certainly, our people live in comfortable houses and enjoy many other “luxuries”…for the most part. Did you know that half of the American population makes less than $32,000 per year?
That is an incredible number. I personally was shocked to hear those statistics. These statistics were recently released by the Internal Revenue Service. Americans who made the most last year (the highest earning one percent of all taxpayers) made over 22 percent of all of the income that was reported to the IRS. The lowest earning 50 percent of employees made, collectively, 12.51 percent of the total amount of U.S. income. That means that over 1.4 million taxpayers earn 22 percent of the income. On the other hand, 68 million people share only 12.5 percent.
Those 1.4 million people who make the most of American income pay over 39 percent of all federal income taxes. Only 2.99 percent of federal individual income taxes are paid by the bottom 50 percent of earners. These numbers are from individual income-tax returns from 2006. The IRS recently analyzed these returns and reported its findings.
Income tax is something that nobody wants to pay. Luckily, those people who make less aren’t taxed as heavily as those who do make more annually. $32,000 certainly isn’t a high salary, especially for those people who are trying to raise a family on such a small income. The failing economy certainly isn’t helping anything. Hopefully, the new bailout plan will stimulate the economy enough to generate cash flow into our economy.
Posted in Economy | No Comments »
October 16th, 2008 Admin
The Truth Behind American Homeowners
America is the land of opportunity. Unfortunately, bad business practices by many mortgage companies and banks throughout the nation has left us in a major economic slump.
Some friends of mine have been trying to sell their home in St. George, Utah for almost a year now. Their home is currently listed as “For Sale By Owner.” I personally couldn’t understand this move because home are sold much faster and much closer to the asking price if sold through a Realtor. As I was discussing this with my friend one day, she told me why they couldn’t go through a Realtor. They owned too much on their home and couldn’t afford to pay the 3 percent commission to a Realtor.
Similar situations are rising throughout the country. People can’t afford to stay in their homes, let alone sell it through a successful realty network, and are living on credit cards right now.. A recent study by The Wall Street Journal lets us know exactly how bad things really are. One in six homeowners owes more on their home than it is worth.
Can you believe that number? Just imagine how many friends you have. Now, think of that statistic and count how many of your friends are upside down on their mortgage. Because this statistic is so high, it also raises the statistic for the possibility of home loan defaults. In all seriousness, our economy really can’t handle any more defaults.
The number of homeowners that are upside down on their mortgage loans is putting more and more pressure on our already weakened economy. People aren’t going to be spending as much if the value of their home is drastically reduced. Why? Because people aren’t going to feel as “rich” and they will be forced to do a better job at expense tracking in seeing where every penny is going.
As the number of homeowners that owe more than their home is worth rises, the number of eventual foreclosures will also continue to rise. It is much harder to refinance or sell a home if the value of the home is less than the debt. People nowadays just aren’t in a financial position to come up with thousands of dollars in cash to pay off their mortgage loan. This will lead to more people having to simply walk away from their home and let it go into foreclosure. Every time a home is foreclosed on, it weakens the value of the other homes in the neighborhood.
Imagine this epidemic that is sweeping across the nation. Over 75.5 million households in the U.S. own their homes. The value of homes has been reduced by 30 percent in some areas. This means that 12 million people owe more on their home than it is worth. That is roughly the same as the entire population of New York City, Los Angeles and Chicago (the three largest cities in the United States).
Hopefully, the new bailout bill will help keep people in their homes. Luckily, the vast majority of Americans are still paying their mortgages on time and still have equity in their homes.
Posted in credit | 1 Comment »
October 15th, 2008 Admin
The American Family Financial Crisis
Our country is in a major financial crisis. Some states have been affected more severely than others. Economists predict that over one-third of our country wouldn’t be able to make it without a job by using the money they have in savings. That is an alarming number of people who have been spending more than they have been saving. Consumer debt, more specifically credit card debt, and sub-prime mortgages are a constant worry for many families.
Credit card debt is not an uncommon thing these days. It used to be almost unheard of hear of people who were buried under thousands of dollars in credit card debt. Now, it isn’t shocking to hear that families here and there have $19,000 in credit card debt or even upwards of $100,000 on their credit cards.
People have been forced to skip payments on their mortgages. This can be especially costly with an adjustable rate mortgage. Some mortgages have increased by $200 per month, or even more. The problem is that too many people jumped into too many loans before carefully considering their budget.
Financial counseling services, as well as online budget services are in full swing. Communities and business around the country have begun offering more credit and loan counseling services. These classes are filling up with people who can’t afford almost anything anymore because everything they make is going towards debt payments. A big problem is that most of this money is being paid towards interest, not principle.
Maybe this crisis is a good and bad thing. It has sparked people’s interest in learning how to manage their finances. The majority of this country does not understand money management or the correct way to save and spend. Hopefully, this crisis will inspire more people to get out of debt and start saving for a rainy day.
Posted in Credit Cards | No Comments »
October 9th, 2008 Admin
How to Beat the Credit Crisis
How do you beat the credit crisis that is crippling our economy? Don’t borrow. The answer is as simple as that. Americans don’t seem to think that it is possible to live without borrowed money.
That is why our economy is hurting so badly. First, there was too much credit. Now, there isn’t enough credit. If every American learned to live without credit accounts, or even less of them, we wouldn’t be going through this enormous headache.
There are some people who don’t live on credit. These people are considered “radicals.” I know of several people who haven’t used any sort of credit for years. How does someone do it? How do you do anything these days without a credit card? You simply can’t have a car without an auto loan, right? Wrong.
It is possible to live without credit. Some people only borrow enough credit to have a modest home and car. Other people buy everything on a credit card. There are even some people who are saving their hard earned money to buy a home…in cash.
Let’s face it. You will need to borrow money from time to time. It’s perfectly fine to get a mortgage loan, car loan, even a student loan to pay for college. The problem is that too many people are living off of too many loans. You don’t necessarily need a recreation loan. Save up your money for a years, practice a little money management and buy that boat or RV in cash. Chances are, you will enjoy and take care of the things you have worked hard to sacrifice for.
You don’t have to have everything now. The American mainstream media teaches us from a young age that it is “cool” to buy now and pay later. Although this can be a major benefit, if used correctly, it is more often mistreated.
If you don’t want to be affected by this credit crunch, try borrowing less. Save your money and pay off any unnecessary debts. It isn’t impossible. It will take a certain amount of hard work, patience and determination. However, you’ll be able to enjoy the years ahead instead of worrying about your position financially.
Posted in Money Management | No Comments »
October 6th, 2008 Admin
Is It Still Worth It? Frequent Flier Miles
Americans have loved frequent flier reward programs since they started to be offered. Earlier this year, Delta’s SkyMiles frequent flier program had over 41 million members. United’s Mileage Plus reward program had over 52 million members. The AAdvantage Program, offered by American Airlines, had 60 million members. But, when was the last time you looked into one of these programs?
Recently, the airline industry has struggled to stay afloat. Rising gas prices and terrorist activities have threatened the livelihood of the airline industry. Because of this, airlines have had to start charging more and more fees. There are now fees for checking more than 1 bag, checking even 1 bag, etc. Is it even worth it to have a frequent flier card anymore?
When you think about it, the days of “free” reward travel are virtually gone. You really can’t use enough airline points anymore to have your trip completely paid for. The airline companies have had to charge different fees to prevent this so they can stay in business. Credit card experts recommend cashing your frequent flier credit card in and getting a gas reward card instead.
If you don’t want to give up your frequent flier credit card just yet, here are some tips that can help you save some money.
1. If the airplane ticket costs less than $200, pay cash for it. If the ticket costs more than $200, use your mileage points.
2. It may be time to cash in your card if you find out that your frequent flier airline decides to cut back the number of cities it serves. Think about cashing in your card especially if they stop service to your city.
3. Cash in your airline miles, no matter what, if they are nearing the date of expiration. Don’t assume that you’ll have those miles forever. Use them now instead of having them go to waste.
4. If you don’t pay off your credit card every month, frequent flier programs may not be for you. This is because each programs has a high annual APR.
5. Think about the sign up bonuses. Other reward credit card programs do not come with an automatic sign up bonus. Most airline programs do come with at least a 20,000 or 25,000 mile sign up bonus. This may be beneficial if you want to start taking trips before you start using your card.
You need to think long and hard before signing up for a frequent flier program. The airline industry has just gotten so expensive. Even if you do earn a “free” ticket by using your points, you may be charged a lot of fees. Think about whether or not you should just cash in your airline reward credit card
Posted in Credit Cards | No Comments »
October 3rd, 2008 Admin
Extreme Ways to Save
Our economy today has forced millions of people to take a look at their finances. People that haven’t been saving are beginning to get a little worried.
I remember watching my grandma when I was a little girl and wondering why she did some of the things she did. She grew up in the Great Depression and saved everything. She would use shampoo and conditioner until there was a few uses left and then tuck it away. She really did save everything. I compare that to how I live and I save nothing. Certainly, there is a happy medium between the two lifestyles. Here are some more extreme ways that you can save.
1. Hypermiling. AAA warns against it because it is dangerous. But, hypermilers have discovered the secret to saving gas. They turn off their engine while the car is moving. The secret is to glide into parking stalls or where ever you need to go. It really does use less fuel.
2. Stop saving money. If you are saving money and getting into credit card debt, it completely nullifies your saving efforts. Stop saving money if this means that you are getting into debt. Work on paying off all of your debts and start saving after that.
3. Sandwich bags. When you are done using sandwich bags, rinse them out and dry them. Sandwich bags can easily be reused. You could save about $30 a year doing this.
4. Cleaning supplies. How much do you spend on buying cleaning supplies? Try making your own. You can use vinegar and lemon as kitchen cleaners and ammonia as window cleaner. You could save approximately $10 a month this way.
5. Good Old H2O. Americans are notorious for drinking tons of soda pop, coffee, juice…anything but water. These beverages cost a lot when you think about it. You’ll more than likely save about $50 a month by drinking water instead. And, you’ll be healthier too.
6. Move back home. How much is your rent? How about your mortgage? Are you spending more than half of your monthly budget on your housing costs? Think about moving back in with your parents. If doesn’t matter how old you are, you can save a lot this way.
7. No-spend. Try holding a no-spend month. People have begun spending no more than $250 or less for the entire month. This budget includes everything for gas, entertainment, food and any other expense. It will help you realize all of the unnecessary things you are buying. You could save as much as $1000 a month this way.
8. No more carpet. The Clever Dude blog has recently pointed out how expensive it is to have carpet. Between the costs of cleaning, shampooing, the electricity to vacuum, and even other costs of having allergens in your carpet can really add up. Some people have saved about $200 a year by getting rid of their carpet.
These are all extremely extreme. But, if you are serious about getting out of debt and saving money, it may be worth it to implement one, two or more of these suggestions.
Posted in Saving Money | No Comments »