How Can I Save Money When I Don't Earn Much?

This question came to me from a coworker at my second job. She is a single mother of a disabled child. She feels limited in how much she can earn because if she earns too much, she will lose the much-needed Medicaid benefits for her disabled son.

I asked her quite a few questions about her eating/drinking habits as to how she bought things. It turns out that we were able to find almost $1,300+ in savings per year on some seemingly innocent actions.

First, she liked to purchase a drink at work every day. She justified it by saying that it was not a soda pop because it wasn't carbonated and didn't have caffeine. It was still $1.02 a day that was unneccesarily spent, particularly when filtered water is free out of the breakroon. Over a year's time, that one drink a day, five days a week, 50 weeks a year (two weeks of vacation) added up to $255 a year. I reframed it by asking her "How would you like it if I gave you a bottle of Poweraid a day for every day that you worked for a year, but you have to give me $255 today?" She didn't realize how the little things add up so quickly.

Secondly, she admitted to having some chips and snacks at work too...to the tune of $4.50 a day. That expense comes to a whopping $1,125.00 a year. We worked on a plan to purchase food at the grocery store or Wal-Mart in advance so that she could bring some of the same things to work from home and save the money.

The challenge is that so many people who are poor will remain poor if they listen to the sales people say that it is just pennies a day, or a few dollars a week. That is money out of your pockets and into theirs. If you live in a major city of 1 million people and everybody just gave you one penny a day (just a penny), you would make $3.65 million a year.

It all adds up!

Saving Money on Vacation

Vacations are great.

With that being said, vacations, in order to be at a lower stress level, require a bit of work. They can be made more financially affordable when planning is part of the process. Let me explain...

...My wife and I just returned from a 5-day cruise to Mexico. I have a co-worker at my day job that told me that it would be a good idea to pack your favorite snacks and sodas in your carry on luggage because they were not free! That is a great idea. We packed about 20 cans of soda into our luggage. Buying the case from our local Wal-mart for $5.41 for 24 cans now makes a lot more sense that the $81.42 that those same drinks would have cost on the ship. Not only did the sodas cost $2.95 each, a 15% gratuity was added as well.

Keep in mind that this was an all-inclusive cruise for which you had to pay nothing more for all the food that you could eat. Warning: the only free drink would be self-serve water, some juices at the buffet, and coffee. Everything else had a price.

That goes for pictures as well. Every time you would get off the boat, have dinner, get on the boat, etc. there would be somebody snapping your picture. It is a good thing that I do not like having my picture taken because I could have easily been out of another $200+ just for some "candid" photos. No thanks. Besides, the best pictures are those inside your head.

I hope that everybody has a Happy New Year!

Ho, Ho, Ho.....Oh NO!!!

Ah, the holiday season. The season of giving and the season of undue stress, especially on those of us who are financially challenged. This will represent the third season in a row of not using credit cards to fund my holiday season. The first time, it wasn't because I didn't want to, because I truly did.

It was because the cards were maxed out, or the payments were getting behind.

It wasn't until a few months later that I cut up the credit cards and began the adventure of getting out of debt once and for all. It has been learned that giving gifts is not about the item(s) in the box, but rather the thought that is in the heart. This much is true. I have sold a lot of the things that I rather like (such as DVDs), but am learning to survive without. I really don't have the time to watch them anymore, and the best memories are those within my head.

You can always make gifts, even if you aren't very handy or overtly blessed with craftsmanship. Sometimes a personal, handwritten note, will mean more than the bottle of expensive perfume, the newest and greatest toy, or anything else that you may purchase.

Enjoy the season for the people that are in your life. Be thankful for all that you have. I will continue the 100 Ways to Save Money by 11/18/09 at the latest.

A Long Time Comin'

Thank you for all of your concern while I have been absent from the blog. Everything is alright, and I have a renewed, and more intense and burning desire to be rid of my debt. Lately, I have been selling things on ebay and craigslist and turning around and using that money to pay off debt.

It helps.

I haven't always been honest about my spending problem (like an alcoholic who hides his/her behavior from others). I saw something on the Dave Ramsey show one night that talked about financial infidelity. I was guilty of it. Now, I let my wife know about every transaction that I do and give her full access to my accounts (which are password protected). I want her to know that I am serious about this.

She was a great help to me when I gave her the printout for my bank accounts (we keep separate accounts). She combed through those and came up with ways that I am wasting money. It would be $1.25 here, $2.45 there, but it was adding up. Here are a few things that I have done that you may find helpful:

1. Make a budget - I am a firm believer of telling your money where to go instead of wondering where it went. I have had to make a few minor adjustments as I go, but they are always with my wife's watchful eye. Any money that I get from selling things (like DVDs, tools, TV) have gone toward the debt.

2. DON'T EAT OUT SO MUCH!!!- I now have a $25 budget allotment for eating out, and when it is gone, it is gone. I used mine this month for an all-you-can-eat sushi dinner (well worth it). I take my lunch to work every day (which is seven days a week) and spend as much in a week as some of my co-workers spend on one meal.

3. Cook more at home - This works hand in hand with number 2, but I will fix some cheap ramen noodle dishes, beans, etc. and will take the leftovers to work. I also cook my breakfast each morning, be it oatmeal, biscuits (from scratch), or a breakfast burrito.

I will pick back up with the blog and the 100 ways to save money series, I just needed a break to get my stuff more together.

100 Ways to Save Money To Pay Down Your Credit Card Debt, Part XIII

Today might not apply to everybody because we could easily name this "Shave and a Haircut". Hair removal for men. It depends on how you wear your hair: cranial or facial.

25. Haircut - Some folks are not adventurous enough to attempt to cut their own hair. My hair style is fairly simple. For the last 20 years, I have always gone to a barber or hair cutting establishment and said "3 on top, 2 on the sides". It has always been a clipper style and I would shell out $18 (on average) a month for this style. I bought a good Oster 76 for $136 last year. After 8 months it had paid for itself, so my first year's savings was$80 and I figure it will last at least 5 years (it will last longer, so in 20 years four will be purchased. Savings minus cost averages out to $188.80 a year or $3776.00 over 20 years. You could save by having your hair done for less at a beauty/barber school.

26. Shaving - This is a little trickier, but I have always shaved at least around a beard or goatee. I figured razor shaving costs to be $70.10 a year. I purchased an electric razor for around $40 (rounded for simplicity), so if the electric razor lasts 2 years it will save on average $50.10 a year: That works out to be $1,002.00 over 20 years. If I bought expensive razors or expensive shaving cream, the savings would have been higher.

With keeping score, the total savings to date are $3,552.49 a year or $70,650.02 over 20 years. Where does all the money go?

Have a GREAT day!

100 Ways to Save Money To Pay Down Your Credit Card Debt, Part XII

Enough for now about saving gas (we'll explore that later in this series), so let's move on to personal grooming for a while. We will look at some of the ways that I have found to save some money so that I can pay down my credit card debt.

23. What Kind of Shampoo Are You Using? - This is going to be an area of controversy, but when it comes to being frugal, saving money, etc. there are some sacrifices to be made: That is if you are serious about saving money and paying down your credit card debt. Most people have hair, if you don't, this wouldn't necessarily apply to you. Shampoos can be downright expensive. I used to use Aussie Mega shampoo years ago and I would buy it at Sam's Club so I could at least enjoy it at a lower price. Even regular shampoo costs around $5-$10 a bottle. Being conservative we can call it $5 a bottle. I go through a bottle of shampoo a month roughly. I also found Suave shampoo for $1 a bottle and I stocked up with a year's worth. Doing that I save $4 a month or $48 a year. (20 years is $960 that is going down the drain).

24. How Are You Paying For That Soap? - Buy in bulk and you will save. Buy your soap by the bar and you can be taken to the cleaners, especially when you purchase it at the grocery store or a convenience store (hey, sometimes you just run out when you don't plan). Going through a bar of soap a week is common, especially for those who like to keep clean. On a recent trip to the store, I found that I could save $0.17 a bar by buying them in packs of 12 instead of 3. This would save $8.84 a year or $176.80 over 20 years. Not much, but keep in mind that things are cumulative.

That brings our cumulative total to $3,313.59 a year (rounding may make it slightly different) or a total of $65,872.02 over 20 years.

Have a GREAT day!

100 Ways to Save Money To Pay Down Your Credit Card Debt, Part XI

Remember, that if you are having a difficult time finding "extra" money with which to pay down your credit card debt, you can come here as we continue to discover 100 ways to save money. Lately, we have been finding ways to save on gasoline expenses for your car. Let us continue:

21. Straighten Up - Poor tire alignment can save you wear and tear on your tires and cause them to wear out more quickly. It also forces your engine to work harder and decreases your gas mileage. Keep you tires aligned properly and you can save over 20 cents per gallon. You would save $136.36 a year in gas, but you would have to pay, let's say, $79 for your alignment, so the end savings would be $57.36 a year or 1,147.27 over 2o years, assuming 1 alignment per year. Some place offer a lifetime alignment that could save you even more.

22. Clean Up! - Okay, so we are talking about the air filter here. A clean air filter can improve your gas mileage by 10%. With our assumption of being an average driver, you could save $169.77 a years. With air filters running around $10 a pop (surely you could install them yourself and save even more), you could realize a savings of $139.77 a year or $2,795.45 over 20 years (if you changed your air filter every 5,000 miles.

That brings us up to a yearly savings of $3,236.76 and a 20 year savings of $64,735.22. When you are told that little things add up, there is your proof.

Have a GREAT day!

100 Ways to Save Money To Pay Down Your Credi6t Card Debt, Part X

Continuing on in the campaign to save money so that you can get out of credit card debt sooner, let us look at numbers 19 and 20 today.

19. Hey! Slow Down! - Looking at that in print brings me vivid memories of my dad and my early teenage driving. Sure, I had a bit of a heavy foot, and I got a speeding ticket or two, but after researching, I find that it can actually save gas: for every 5 MPH you drive (say 65 instead of 70) you can save 7% in fuel consumption. With the driving amount average of 15,000 miles a year it would translate to saving 47.73 gallons of gas a year, or $118.84 per year (and yes, $2,376.80 over 20 years)

20. Lay Off The Brake - (no, that is not a contradiction to number 19) - It is difficult when you have a commute in a major metropolitan district, but riding the brake can cost you by increasing your gas consumption by 35%, not to mention that you will have more wear and tear on your tires. Let us assume that you could save 25 gallons of gas a year, which translates to $62.25 a year, or $1,245.00 over 20 years.

That now brings our savings to be $3,039.62 a year (isn't that a car payment?) or $60,792.49 over 20 years...And we have only just begun.

If you are serious about forever eliminating your credit card debt, you can use Never Surrender!!, a book that I wrote that gives you winning strategies to totally eliminate your credit card debt.

Have a GREAT day!

100 Ways to Save Money To Pay Down Your Credit Card Debt, Part IX

Let's continue on finding ways to save money by looking more at simple ways to save on fuel costs. When you live in a near a big city, you will probably have some commute times ahead of you.

17. Change Your Air Filter - Air filters are inexpensive, usually around $10-$15. You can save $0.20-$0.30 cents a gallon on our gasoline costs. That would translate to $136.36 per year in fuel savings, or $2,727.27 over 20 years. If you buy an air filter twice a year, it would be $116.36 per year.

18. Keep Less Junk In Your Trunk - Every 100 pounds of extra weight that you carry in your vehicle will save $0.03 a gallon. Lighten up by 100 pounds and you will save approximately $20.45 a year or $409.09 over 20 years. (You could lighten yourself up as well...it is better for the environment as well as your pocket).

If you were able to use every single way presented so far, you now would be saving $2,858.53 a year or $57,170.69 over the course of 20 years!

Want to save money by forever eliminating your credit card debt? You can get a copy of Never Surrender!! that is guaranteed to save you at least the price of the book. Click to order yours today.

Have a Great day!

100 Ways to Save Money To Pay Down Your Credit Card Debt, Part VIII

Lets spend a few days on ways to save at the gas pump. Most people drive nowadays (although my grandmother on my father's side lived into her 90s and never drove a day in her life). The average person drives 15,000 or so a year. For simplicity and illustrative purposes, we will stick with that 15,000 mile figure. If the average car gets 22 miles a gallon, that means that you would burn through 681.8 gallons of gas in a year.

15. Pay Cash At The Pump - Using a credit card is one of the ways that you can easily drive up your balance, and your interest rate. It takes a bit of planning to have the cash on hand, but it can be done. There are a series of gas stations in our area that offer a $0.03 discount per gallon of gas. Chump change. Perhaps, but it would save the average driver $20.45 a year, or $409.09 over 20 years. You have to keep the long term solution in mind here.

16. Keep Your Tires At The Proper Inflation Pressure - This is estimated to save up to $0.10 per gallon. Let's be conservative and call it a nickel a gallon. That would save you $34.09 a year or $681.82 over 20 years. Could you use an extra $1,000+ in your pocket for simple stuff?

There are lots of money saving and credit card debt elimination strategies found in Never Surrender!!, a guaranteed ebook. Check it out!

Have a GREAT day!

100 Ways to Save Money To Pay Down Your Credit Card Debt, Part VII

It is easy to come up with 10 ways to save money in order to pay down your credit card debt, but more becomes a challenge, a challenge that I gladly accept.

13. Wash your dishes by hand - Most homes now have a dishwasher in the kitchen, and ours has one as well. In doing an audit online, I found that the electricity for the dishwasher runs $21.85 a month to run. Keep in mind that this is the electricity cost (you still have to have hot water and detergent of some sort). Wash by hand and you save $263.40 a year, or $5,268.00 over twenty years.

14. Switch to CFL light bulbs - sure the cost of a CFL bulb is higher, but it lasts much longer. Where the savings are is the electricity cost. If you were to replace all of your light bulbs with CFL light bulbs, you would be saving on average $10.93 a month. $131.16 a year, or $2 623.20 over twenty years, WOW!

So, when when add everything up (and I realize that not everything will apply to everybody), the savings add up to $53,343.60 over 20 years. Chump change can no longer be thought of as chump change.

Have a GREAT day!

100 Ways to Save Money To Pay Down Your Credit Card Debt, Part VI

On we go to numbers eleven and twelve:

11. Bring Your Own Lunch To Work - Let's face it: brown-bagging it is in. Where I work, there is a cafeteria, but I have seen fewer and fewer people frequent there and more and more lunches in the refrigerators in the break room. We usually get a half-hour lunch, which doesn't give you time to even leave campus and get anything that is located more than two blocks away (which limits you to Burger King or the convenience store). Lunch usually runs about $5-$6. Bring something from home, be it a sandwich or leftovers once a week. This would save you $5 a week or $250 a year (you do get two weeks of vacation usually). Add that up over 20 years and you have just pocketed cool $5,000.

12. Skip the Snack Machine - There are times that you will be hungry for a snack sometime in the middle of the day. You could easily waddle to the snack machine at work and plug in $1.00 for a candy bar or bag of chips (neither of which is very nutritionally sound). Be prepared, purchase your snacks ahead of time when you go to the grocery store and you can get your snacks for less. For simplicity sake, let's assume that you save $0.50 a day, or $2.50 a week. That makes it $125.00 per year, or a nice $2,500.00 over twenty years.

Since we are keeping score, we are now saving $2,272.62 a year, or $45,452.40 over twenty years.

There are lots of other ways that you can save to lower your credit card indebtedness that are covered in my book Never Surrender!!. There is a 30-day money-back guarantee, so you have nothing to lose. To order, click the book.

Have a GREAT day!

100 Ways to Save Money To Pay Down Your Credit Card Debt, Part V

Numbers 9 & 10 come today. Hopefully, you can come up with some of your own ways to save money so that you can eliminate your credit card debt.

9. If you are going to have a soda when you eat dinner out (sometimes it seems unavoidable), drink a smaller soda and add water to your drink list for dinner - For example, if you were going through the drive through and you usually "Super-size" your meal by paying an extra $0.79, go with the regular and save that $0.79. That doesn't seem like much, but it is an extra $41.08 a year if you eat "drive-through" once a week.

10. Say "No Thank You" To Unnecessary Extended Warranties - For the most part, extended warranties are a great pure-profit stream for many retailers. I work at a home improvement warehouse and, as a cashier, I am required to offer the extended warranties for many items that we sell. A lawn mower, for example, automatically comes with a one-year warranty, but you can get an extension for $49.99-$99.99 (depending on the price of the mower). Usually, if something is going to go wrong with an item it will happen in the first year of purchase. Skip this twice a year and save $99.98 a year or $1.999.60 over 20 years.

This will bring our running total up to $1.897.62 saved in one year, or $37,952.40 for 20 years.

Pretty impressive.

If you want to find ways to forever eliminate your credit card debt, you can check out my book Never Surrender!!. There are plenty of ways to save thousands on your existing credit card debt.

Have a GREAT day!

100 Ways to Save Money To Pay Down Your Credit Card Debt, Part IV

Six good ways to save money down, ninety-four to go. Let's continue on and see just how much money you can save over the year and over twenty years.

7. Buy generics - There really is very little difference in the quality of name brand grocery items as opposed to name brand. This is especially true if you are using the item as an ingredient. Say you were asked to bring a green bean casserole to a function. You could buy the name-brand green beans. If you are eating only green beans, you might be able to tell the difference between Libby's or store-brand. Put the green beans in as an ingredient in the casserole, and there is virtually no difference. Your savings? Let's assume that it is a $1.00 difference. That would be $52 a year or $1,040.00 over twenty years.

8. Buy in bulk - this does not make sense if you buy a large quantity and throw away the savings that you would have enjoyed. I will use soda as an example (and I know how nutritionally bereft soda is). Say that you drink one per day. Out of the soda machine, it could easily run $0.70 a can. That is $4.90 a week or $254.80 a year. Buy it by the case and it is $0.27 a can (recently). You would save $3.01 a week or $156.52 a year. This is saving, and buying the name brand. That would calculate to $156.52 a year or $3,130.40 over twenty years.

Get the picture?

We now stand at saving $1,756.56 a year or $35,131.20 with just 8 suggestions. Who says the little things don't add up?

Have a GREAT day!

100 Ways to Save Money To Pay Down Your Credit Card Debt, Part III

We now have four ways to save money in order to have more to pay down credit card debt, so lets continue through numbers 5 and 6. We have covered four ways to save money when you eat away from home, but let us look now at ways to save money when you do eat at home. Of course, you will more than likely need to go to the grocery store to purchase your food, so on we go:

5. Go Prepared - Take a list and stick with the list. Grocery stores (actually, any successful retailer) have had outstanding success by placing high-profit items in slick displays that draw on people's impulsiveness. If you know the layout of your store, you can plan your list accordingly so that you don't go down any aisles that you don't need to. Unfortunately, you may have to pass some to get to the milk and eggs (usually located in the back of the store). Let us assume that you would save $10 a week or $520 a year. That would be $10,400 over 20 years.

6. BYOB - Bring Your Own Bags - One way that I have witnessed people saving money has been by being green and bringing their own bags to the store. It is good for the environment, but it can also be good for the pocket book. You only buy what you can carry, which will save you money. This also will help you to better stick with your list. Lets assume that you would save $5 a week, or $260 a years. That would be $5,200 over twenty years.

Our running total for the six ideas will save you $1,548 a year, or $30,960.80 over twenty years. I have a correction to make on yesterday's post: the incorrect calculation was used to come up with $39,938.08 and should have read $15,360.80. My apologies are in order.

You can pick up your copy of Never Surrender!! today to find other ways to forever eliminate your credit card debt.

Have a GREAT day!

100 Ways to Save Money To Pay Down Your Credit Card Debt part II

Yesterday, we covered the first two ways on our journey for 100 ways to save money to pay down your credit card debt. As a review, they were 1) Drink water and 2) purchase with a coupon. Let's continue on and cover some more. And right now, we are talking about when you are eating meals away from home.

3. Skip the extras - Most restaurants train their employees to see the extras. It never fails when we eat lunch or dinner at a restaurant, they will ask if you want a salad with your meal, or an appetizer, or a desert. These "extras" are high-profit items for the restaurant and help their bottom line, but do nothing for your bottom line. If you must have desert, buy some ice cream at the grocery store (preferably on sale) and have it at home (or whatever is your desert of choice). Let's assume that you eat out once a week and the desert is $4.99. That is $259.48 a year, or $5,189.60 over 20 years.

4. Take half of it with you - One thing that my wife and I do when we eat at a restaurant is to eat half of our meal and take the other half home for another meal. We did this just yesterday. We had a coupon for about $6 off a meal (but you had to purchase a soda, so that made it about $4) and that made it around $5.00 a meal. Mine sits in the refrigerator waiting to be eaten for lunch/dinner today. Save $4.00 a week and that is $208 a year or $4,160 over twenty years.

So far, that brings up our savings to $786.04 a year or $39,938.08 over 20 years by using four tips.

There are lots of other ways to forever eliminate your credit card debt in Never Surrender!!. Pick Up Your Copy Today!

More tomorrow.

Have a GREAT day!

100 Ways to Save Money To Pay Down Your Credit Card Debt

Let's just start a series of 100 ways to save money so that you can have more to pay down your credit card debt. We will start with one of my favorite activities and I know that you participate in this activity (at least play the home version of the game):

Eating.

In so many ways, eating meals out, or away from home, has been perhaps one of the things that has hurt my finances, not to mention the waist line. Let's gain control of that and save some money in the process. The money you save can be used to pay down your credit card debt. If you are fortunate enough to have no credit card debt, then use it to save for your future.

1. Drink Water - for the most part, water is free. Sure, you would like to have a soda, but when you pay $1.79 for the soda versus $0.00 for water, it makes sense. If you have one meal out a week and you purchase the soda, that would work out (before tax, of course) to be $93.08 a year. Over a 20 year period, that is $1,861.00. Water doesn't leave you thirsty after you drink it, it has no calories, and no preservatives (usually). Drink up!!

2. Purchase with a coupon - You can find coupons in your local paper, online, or in your mailbox. One that is with a restaurant that my wife and I frequent always has a coupon online or in one of the local papers. Right now, it is for $3.99 off an entree when you buy another. Using the same logic as before, you would save $207.48 a year or $4,149.60 for 20 years. Combine that savings with the drink and you would save $6,011.20. Wow!!

There are many more ideas in the book Never Surrender!! that you can use to lower your credit card debt. Get your copy today!

Have a GREAT day!

Where Has Summer Gone?

Looking at the calendar, I realize that it is the last day of July and that means that summer is on the downhill side. When I was a band director and teacher, August typically meant the end of summer vacation and the beginning of band camp to prepare for the upcoming marching season. Time has slipped away, and you don't know where it all went.

That's the same thing with your money.

You must keep a constant watch on your credit card spending, or it will creep up on you and before you know it, you have a balance of thousands of dollars and the balance keeps growing and growing and it overtakes your entire life. You struggle to make ends meet, you take a cash advance to pay a bill that is due that you cannot afford, and you drive yourself deeper and deeper into the hell that follows.

That is why I wrote Never Surrender!!, an ebook that can help you to forever eliminate your credit card debt. In there, I discuss many strategies that can be used to use a lifestyle that can free you from the oppression of credit card debt. I know firsthand (as I am sure that you do as well) that credit card debt can make your life a living hell and that it affects all aspects of your life. Check it out, if you want to get out of credit card debt forever.

Have a GREAT day!

You Can Take It With You

Whoa. That may be a bit misleading, especially considering what we usually talk about on this blog. This is not a reference to taking money with you into the afterlife (like the ancient Egyptians may have believed), but rather about food.

Leftovers.

On one of the rare occasions that I had the late afternoon off, I offered to pick up some of our favorite food and bring it home for supper. They have a signature teriyaki chicken that you can double the meat for $0.99. It is more than enough for two meals. So, I picked up two orders (enough for four separate meals) for $13.02 (including tax) and took it home. We didn't have to pay $1.79 for a soda since we had water at home.

One way to save money (to use for credit card debt elimination) is to either order take out or, if you happen to go out to eat at a restaurant, eat half of what you get and take the other half home. As a younger adult, I rarely ate leftovers. Now, older and wiser, I tend to have them quite often because of the savings that I realize by doing so.

You can do the same. You can save by providing your own drinks and service ware. Food is also easier to reheat thanks to microwave technology. That saves time (and yes, time is money). Save even more by finding coupons and purchasing only with a coupon.

Have a GREAT day!

Part V: Conclusion: A Loan? At What Cost?

Let's finish up today by discussing a sneaky way that banks buffer their bottom line. It really isn't a loan, but, in some ways it is: Overdraft Loans. In the past, if your checking account balance was near the zero mark, you wouldn't be allowed to debit your account past zero. It didn't happen. Your transaction would be denied.

Banks got greedy (as we have all been witness to in the recent financial stuff in the news). They will "allow" your transaction to go through. You think that you still have money in your account, but there really isn't. The bank will, of course, assess a fee, say $34, so that you can have the tank of gas. Now you owe the bank $34 that you didn't have. Other checks or transactions will "bounce" too. It may often cost you several hundred dollars for an overdraft as little as $1. Who gets the money?

The bank.

Who gets screwed?

You.

Better to have an extra $100 in your account that you don't intend to spend. Or ask the bank to set the debit overdraw to zero on your account. Whatever you do, be sure to use the "savings" to pay down your credit card debt.

Have a GREAT day!

Part IV: A Loan? At What Cost?

The fourth type of loan that will be discussed will be the use of cash advances on your credit card. This is most definitely NOT the way to lower your credit card debt. The average interest rate on a cash advance on credit cards is 22%. This is up from the average of 19% just four years ago. Add the fees for 3%-5% of the advance amount, and the cost for the money is even higher.



In the past, these have had a double whammy effect. What would happen is this: If you had a purchases balance of $1,000 at 12% and a cash advance balance of $200 at 22%. When you sent in your monthly credit card payment (let's just say $100), your credit card company, in all their greed, would apply that to the purchases balance. Your $200 at 22% would continue to grow untouched until your purchase balance was at zero. If you continued to use your credit card for purchases, you may never get the cash advance portion to disappear.



It is very difficult to rid yourself of this type of balance.



The good news is that the credit card legislation that takes place in February 2010 will make the monthly payment that you send in apply to the highest interest rate balance portion first. Avoid cash advances if at all possible: borrow from your family or friends before you ever venture to whip out your credit card and get a cash advance.



Have a GREAT day!

Part III: A Loan? At What Cost?

Yesterday we looked at 401(K) loans and how they can be both a blessing and a curse. Let's look today at car title loans. You have probably seen the commercials for these loans in which you bring in your car title for loan (yes, you have to actually own your car). The good news is that you can get some emergency cash (and, no, needing some money for the beer party does not constitute an emergency) relatively easily. The bad news is that if you default on the loan, you will no longer own that vehicle.

These loans are for a fraction of what your car is worth: typically, you can get cash for 55% of the value of the car. Say your car is worth $2,000. You could get a car title loan for $1,100. You get to keep the car and make regular payments on this loan. Of course, they can renew it for a fee, but the interest rates on these loans can often run as high as 300%.

300%!

That means for the $1,100 you got for your $2,000 car you paid the car title loan place $3,300. That is no bargain. These are loans that you should avoid at any cost, particularly if you are trying to eliminate your credit card debt any time soon.

Have a GREAT day!

Part II: A Loan? At What Cost?

Yesterday it was mentioned that a WalletPop article had mentioned loans that people should avoid if at all possible. Only one was written about yesterday. There are more than just the payday loan, which I am proud to say that I have not taken. The next loan type is a 401(K) loan.

Most 401(K) plans permit the borrower to borrow half of the value of their 401(K), or $50,000 whichever is lower. Basically, you have up to five years to repay that balance, and it is taken out of regular payroll deductions. They usually charge the prime interest rate plus 1%, which is around 4.25% currently. That isn't bad. What is bad is that should you leave your job (or your job leaves you), you have to repay that loan immediately, or you are subject to a 10% early distribution penalty in the eyes of the IRS. Plus, the income tax on the remaining balance because you have had the money withdrawn pre-tax previously and now it is computed in your income.

This move may make sense number-wise, especially if it is used to pay down credit card debt (but you really shouldn't do this). Instead of paying 15-25% to a credit card, you are paying that interest back to yourself. But, in today's economy, is your job stable? Are you likely to continue to have your job? Can you afford the money taken out of your check?

Weigh this option carefully, and have a GREAT day!

A Loan? At What Cost?

An interesting article was found at WalletPop about some loans that people take and really should avoid if at all possible. These loans include payday loans. Payday loans are short-term loans that range from $300 - $500. You have probably seen the payday loan businesses set up in a strip mall. Usually, to qualify for a payday loan, you need to have a checking account and a pay stub (or other verifiable income source, like Social Security). You write a check for the amount borrowed plus the interest. The payday loan company will then hold your check. Should you fail to pay the company back, they will cash the check.

The goal is to pay your loan back on your next payday. It would make sense if you have an emergency and had no credit line left on your credit card (which you are hopefully in the process of eliminating). You usually have the opportunity to renew the loan if you cannot pay it back. The problem is that you will be charged a fee anywhere from $10-$100. Continue on this course of action, and you could be looking at 400% interest.

That doesn't make sense.

If you needed to borrow a hundred dollars, that would be similar to doing so, but having a $400 payment due after a year. Not worth it.

Think carefully about taking out a payday loan. There are better alternatives out there, even if it means borrowing money from friends or family (strongly discouraged as well).

Have a GREAT day!

All You Have To Do Is Ask

As the Dave Ramsey show was playing last night, an interesting fact popped up that a large majority of people that ask for a deal usually get it, and he pointed out that sometimes all you have to do is ask. As a part-time cashier at a home improvement store occasionally someone will come through the line and ask if there is a discount available. It is unadvertised, but there are a few things that we cashiers can do, including a 10% competitor discount. The trick is that you have to ask.

That is true when you contact your cellular carrier. Just because there is one price advertised doesn't mean that you are stuck paying that price. Often, just the threat of changing carriers (made easier with number portability) will "magically" make an offer show up. The worst thing that can happen is that you end up paying the full price, but if you didn't ask you would pay it anyway.

It is your money, keep more of it so that you can pay down your credit card debt.

Have a GREAT day!

Credit Card Debt Elimination: Maybe You Should Stay At Home A Little More

When I look back at my finances for the past few years, it is realized how much more money I save by not going out to eat for nearly every meal. True, it does save wear and tear on your dishwater and you save on your water, electricity, and gas by not having your dishes or pots and pans to clean, but those savings are eaten up by the interest, the gasoline for your car, time spent getting ready, etc.

We like a good steak once in a while. When money was a little more free-flowing, we would traditionally go out on Monday nights to a steak house that had a special for a steak, salad, and potato (or rice pilaf) for only $15 (including a soda). Basically, $2o when you include the tip and gas to get there. When you do that each and every Monday, it comes to $1,000 a year...for one. Add 20% interest for the credit card, and you have $1,200 per person. And that is for one meal a week.

Now that we eat at home, we can still have a steak (fixed on the barbecue grill) for two with soda for around $7.00. That is a savings of $33 a week or (with interest) $2,059 saved a year. Makes you think about it.

Have a GREAT day!

Saving Money (For Credit Card Debt Elimination) At A Theme Park

My son has a job performing at Six Flags and I got off early yesterday afternoon and went to go see him perform. I was greatly pleased at the performance. I wasn't impressed with the high price of things at the park, however. After spending the afternoon and evening there, I noticed some ways that one could save money at the park.

1. Go In Groups - Parking at the park was $15 a car. Not a party, but a car. If you are going to go there, find out if some of your friends want to go there as well. Carpool and save the money.

2. Pack a Picnic Lunch/Supper - I noticed several families doing this when I was searching for a place to park. I didn't think too much of it until I walked through the park and noticed the high prices for food: A slice of pizza, cheese bread, and a soda for $9.99 + tax. Of course, you could get a souvenir cup with unlimited refills for only $12.99. And I thought that paying $1.25 for a soda to be high. When you pack a picnic supper, you can feed a family of four for roughly the cost of feeding one person inside the park.

3. Buy a Season Pass and Season Parking - that is, of course, if you are going to go often and live within a reasonable commute of the park.

Just because you would like to go to a theme park doesn't mean that you have to break the bank.

Have a GREAT day!

Saving Money By Buying In Bulk

The whole point of this blog has been to help save money so that you can have more money to pay down your credit card debt and so that you can begin to live your life free from the bonds that credit card companies are so good at trapping you with. One thing that will be mentioned (again) is buying in bulk. You can save tremendous amounts of money if you can purchase certain items in bulk.

We have a dog that likes rawhide bones. Sure, she is noisy when she is attacking the bone, but better the bone than shoes or baseboard. We bought a pack of ten of the bones for around $20. That's $2 a bone. If we purchased them at Target they usually are a pack of three for $9.99. It is worth it to buy a bone that would be bought anyway for $1.33 less. One usually lasts about five days or so. But the last time that I went there, I was going for a cheap lunch of pizza and an Icee for around $3. I happened to notice that tortillas were forty for $4.98. I usually pick them up for $3.02 at the grocery store for a ten-pack. We make our own quesadillas an breakfast burritos so they don't go to waste, I would just rather pay twelve cents for one instead of thirty cents. When you have your mind set on saving money, you will notice these kinds of things.

Have a GREAT day!

Credit Card Debt Elimination: Really, Open What They Send You

Continuing on the theme from yesterday, it cannot be stressed enough that you need to read the mail that comes to you. Yes, you are busy. Yes, there seems to be a lot of it, especially when you start to be behind in your payments on your credit cards. Even if you aren't behind...

...Read Your Mail!!

Why? Credit card companies are just money-hungry entities that have one purpose: Separate you from your hard-earned money. Do they care that they have cut back on hours at your job? NO! Do they care that with rising fees and interest rates on the credit cards that you struggle with paying some of your bills? NO! Do they care that you are thinking of skipping meals just to have enough money to put gas in your car to get you to your job that is, in effective, paying you less to do more? NO!!

Often, the mail that you particularly want to notice are the ones that have "Important Information About Your Account" on the envelope. What it usually contains is information that the base interest rate of your credit card is going up for all future purchases. They are required to notify you in writing. I can recall one credit card that I had in the past that was a fixed rate and was going to change to a variable rate that as a percentage above the prime interest rate. It was going to cost me more money. At the time, I had a little bit of money, and I angrily wrote them a letter and paid off the card. And I don't believe for a minute that they had any bad feelings about it. Just be sure to read your mail so you will know what your rights may be.

Have a GREAT day!

The Tracking Continues

Grocery shopping and eating at home has certainly paid off. Breakfast was eaten at home (to the delight of the dog) and supper was another cheap frozen pizza from Friday's excursion to the grocery store. It becomes increasingly difficult on the weekends because for years that was always the time that we would go out to eat our meals (and run the credit card bills even higher). You can be on your best behavior, though, an the credit card companies will jack your interest rate even higher.

My wife has stellar credit and she has always used credit cards responsibly (unlike myself). She was known for transferring balances to other cards and the rates would usually be in the single digits for the interest. Smart move. But she recently has had some activity from the credit card company that has been quite disturbing. While her transferred balance rate remains fixed, if she happens to use the card to incur any new charges, the rate that she will be charged is nearly 30%!

OUCH!!

Not only that, another credit card has lowered her available credit so that she has a higher debt to income ratio (a unit of measurement that the credit rating companies like Trans Union use to figure your credit score) potentially lowering her credit score. That's a double whammy.

Just be sure to read your statements and mail that the credit card companies send to you. It will make you realize that they are ruthless, greedy companies that don't give a crap about YOU and care about increasing their bottom line more.

Have a GREAT day!

Saturday Supermarket Savings

There was money spent at the grocery store yesterday. Since supper was to be on my own thee was a great deal of conflict as to where or what to have: Should I visit on of my favorite fast food places?...Nah. I knew that the bill would easily run anywhere from $6-$10.

And that was for one meal for one.

I went to the grocery store instead and got $25.59 worth of groceries. You may think to yourself, "what good was that financially to spend $25.59 as opposed to $6-$10?" Simple. there was enough food purchased for approximately 12-15 meals. That is closer to $2 a meal. If you are keeping track, our tab now runs to $150.68, and there is enough food to last until the end of the month (and perhaps even beyond).

Some advocate going to the grocery store only once a month except for the perishables like milk, meat, eggs and cheese. I largely agree. But your can always freeze meat for a short while, so you could get your basic hamburger and chicken and freeze it. Just be sure to use it before your meat develops freezer burn. Keep your eyes open for bargains. When the supermarket was visited last night after work, a noticed that there was a special on the frozen pizza that I like at 4 for $5. Not bad considering that the pizzas are usually $1.89 apiece.

You can save money by always being vigilant for savings like that: savings can quickly add up to give you extra money with which to pay do your credit card debt. Tomorrow we will look at skyrocketing interest rates.

Have a GREAT day!

Credit Card Debt Elimination: Friday

The running tab still stands at $125.09 because there was no eating dinner out (leftovers were had instead) and no bills were due. Life is truly good. As a look back is taken over the last 130+ posts, the habits and life-patterns are starting to solidify for living a debt-free and frugal lifestyle. Shopping habits have now developed to the point that rarely are groceries bought without a coupon (or on the days where the store offers $10 off a total of $50 or more), more meals are eaten at home, and now leftovers are a major staple, especially when dinner is eaten on a rare occasion at a restaurant (and water is the drink of choice).

Perhaps my parents had it right. Leftovers are actually a decent way to stretch your food dollars. My mom used to save plastic containers of every sort (butter, ice cream, Cool Whip) and there could always be found meals in the refrigerator composed of various meals that had been enjoyed earlier in the week. With the advent of microwaves, eating leftovers has become faster and more efficient. Leftovers, for me, used to be viewed with a bit of disdain because once I entered adulthood and didn't live at home anymore, leftovers didn't have any appeal to me.

Boy, was that incorrect thinking!

There is no shame in leftovers. In fact, sometimes leftovers are the best thing. We will usually eat half of what we get at a restaurant and get the rest to go for another meal at a later time. Perhaps you can think of thinks that you can do to save money for your own personal credit card debt elimination.

Have a GREAT day!

Thursdays and Credit Card Debt Elimination Plans

My wife and I enjoyed a delicious dinner of fillet minon, corn on the cob, fresh-baked bread, and, for dessert, watermelon. At a restaurant it would have easily run up a tab of $50 or more. Total cost?: $12.06. The steak was purchased at a local grocery store, and it was cooked on the grill in the back yard.

Who says that you can't eat like a king for less?

The satellite bill was due yesterday and it was $70.68. It is quite a bit less since we cut out the movie channels (that we didn't have time to watch). The total spent yesterday was $82.74. Since we are keeping track, the total expenses after four days is $125.09. It wasn't just last year that our satellite bill ran that much per month, but after review of our watching habits, we decided that we just needed a few channels. Summertime is baseball, and we like to be able to watch the St. Louis Cardinals, we insist on having Fox Sports Midwest. The cost is an extra $12 a month over regular channel line up, but that is a luxury we will take, especially since we can rarely afford to actually drive the 30 miles and go to a game.

I was doing a bit of research by watching Dave Ramsey last night and was impressed by his straight-forward approach to finances. Too often, people know what they need to do to get out of credit card debt, yet they are unwilling to change their lifestyle. Dave Ramsey advocates making changes to your life, and you can do just that.

I have available my book Never Surrender!! which you can view a preview by clicking on the title in this blog, or order by clicking the button on the upper right side of the web page. I personally guarantee that you can save the cost of the book or you can get your money back. It will assist you in making sound financial choices to forever eliminate your credit card debt.

Have a GREAT day!

Savings Continued, Now Completing The Third Day

In quest to see how much money was spent in day-to-day activities, we have begun keeping track of some of the non-fixed items to see if there are any ways in which money can be saved. Of course, this is just to take those same savings and apply them toward the debt elimination at hand.

Day three there was money spent. Occasionally one has to replenish the perishable items in the food reserve, and yesterday was no exception. We needed milk, bread, and (hangs head in shame at a vice) Diet Coke. I had stopped by Wal-Mart on the way to work (it isn't out of the way, so no "special trip" was made), but the $4.98 for a case of soda was replaced by $7.13 for the same case of 24. I was not happy about that, so I went to my local grocery store and got it instead (for the same price...). I did find and stock up on the cheese that I liked which is normally $3.28 for $1.00. I walked away feeling more like a winner on that one. All told, there was $42.35 spent on food, but that will last a while.

You have to be ready to take advantage of sale prices when you see them. There was $2.15 that was spent unnecessarily. Since we regularly buy the soda by the can, there is a renewed effort to keep the eyes peeled for the opportunity. So, the total now stands at $47.85 spent thus far since Sunday.

Have a GREAT day!

Two Days of Tracking Saving For Credit Card Debt Elimination

It would have been so easy to order a pizza online and have it scheduled to be delivered when I got home from work: my wife was gone on business and it was just the dog and me. The dog always has to have a bit of pizza when we have that. I am a big fan of Papa Johns, but had I done that, it would have cost around $25. Granted, I would have had meals for the rest of the week, but since Little Caesars is on the way home, I could have saved about $16 and only spent nine (including the breadsticks). But, cooler heads prevailed and I fixed something that was in the pantry already. Money spent: $0. So, my two day total expenses now run $5.50.

Impulses are one of the biggest ways that we tend to waste money. We don't even think about it. When you are shopping at Wal-Mart, they count on you picking up the gossip magazine, the pack of gum, the soda, or whatever. Sure, it is only a buck or two and you will enjoy it for a few minutes, but those little expenditures can sure add up quickly. Don't feel bad for the stores either because the items that are strategically placed around the register are high profit items. Out of the machine, a can of soda can cost $0.75, but if you actually plan ahead, you can have the same can waiting at your home in the refrigerator for around $0.22. And the store that sold the case for $4.98 makes a profit. If you bought the case and resold it for $0.75 a can, you could realize a profit of $12.67 or 237.8%. (catch your breath)

Just watch the little things, because they add up to big bucks.

Have a GREAT day!

Saving Money For Credit Card Debt Elimination

Spend less than you make. That's a key phrase that will help you to eliminate your credit card debt, allow you to take a ton of pressure off and give you the opportunity to build wealth in your life. In the last few months, we have explored many ways as to how to accomplish that and some of your letters have been inspirational to me and have served as fodder for some columns. Sometimes, you need to take an inventory and see if things are working out for you or not, and that is what we will spend the next bit of time on.

My goal is to spend as little as possible for the next month and will keep track to allow everybody to see how I am doing. Of course, a little public scrutiny will keep the pressure on (in a good way). Fixed expenses like mortgage and utilities won't be listed, but things like gas, groceries, and other variables will be.

One way in which I saved yesterday was that a fairly big (and late) breakfast was fixed at home so there was only dinner to worry about. I (hangs head in shame) had a drive-through lunch at work and spent $5.50. Since it was late in the day, supper wasn't necessary and sufficed on some popcorn on the porch to cool off before bed.

Money spent: $5.50.

We'll keep track, and have a GREAT day!

Coupons Savings and Credit Card Debt Elimination

By now, you should realize that using coupons can be a way for you to escalate your credit card debt elimination program. What you may not realize as a big savings, when you add them all up and apply them to your existing credit card debt balances, the savings are astronomical. For example, my wife and I rarely eat out, we usually have something at home. We went out to eat last night and used a coupon. Usually, the bill at this restaurant is around $38.84 (this is for two dinners ,which produce enough leftovers for one meal each, soda, and 20% tip). We used a coupon last night and had water to drink (it is better for you anyway) and our bill with tip came to $26.46. That was a $12.20 savings. Since we tend to eat out on average once a week, that comes to an annual saving of $683.25.

Who said coupons aren't worth the effort.

That is just one example. We use coupons when we grocery shop and rarely buy things at full price. This has helped in credit card debt elimination, especially when we use the saved money to pay a little extra on our credit card. Now I am down to eight credit cards (yes, I had a problem) from thirteen. You can succeed too.

Have a GREAT day!

Credit Card Debt And You: Choices Abound

There doesn't seem to be any one, single path to get to freedom from credit card debt: you can get there by just saving money on your everyday things and pay more on your credit card balances. You can cut up your credit cards so that you are unable to use them. You can cut back to one credit card for emergencies only...the possibilities and solutions are seemingly endless.

You have to find the way that works best for you.

There are countless programs out there as well, each has its own merits. There are regular books, tapes, CDs, e-books and the like. Some programs are very strict in their approach and they state that there way is the only way. I have looked at many of the programs and books and websites out there, and they all have a little something that could be used. That is why I wrote the e-book Never Surrender!! as a way to help you to get out of your credit card debt. Why was the e-book format chosen? It is easily transported from one place to another. You can print it out if you like. There isn't any shipping or packaging costs involved in production, and you can get it at any time without leaving the comfort of your home.

One thing is certain: in order to get out or stay out of credit card debt is to charge/spend less than you bring home. Find a way to do that, and you will be successful in your effort to eliminate credit card debt. Have faith that it can be done, and it shall be done.

Have a GREAT day!

It's Friday, Are You Free From Credit Card Debt?

If you aren't, perhaps your mindset should be that you are free. Yes, the odds may be stacked against you, but you should never give up in your quest. You may have read about the winner of the lottery who has nothing but heartache and despair since. Winning all that money may have been temporarily great, but he even admitted that he wished he'd "torn that ticket up."

Many of the wealthy people in this world are not the ones who drive the fancy cars, live in the Mc-mansions, or have the $50,000 watch: they are probably quietly living a frugal life, not spending money needlessly and making do with what they have. How are you doing?

Have you sat down and figured out what it is that you are spending your hard-earned money on each month? The time invested in analysis of your finances will probably lead you to the answer of why there is so much month left at the end of your money. If you find yourself sighing after paying your bills and just wishing that perhaps next month will be better, there is some news for you: until you get control of your spending and change to where you look for ways not to waste your money, next month will be the same story.

And the month after.

You MUST have the DESIRE and the DEDICATION to make the change. That is why I wrote Never Surrender!! so that I could solidify MY thinking and actions and help YOU to do so as well. I also write on this blog everyday in an attempt to make a difference for you to be able to succeed. And I know that you have that ability to do so.

Have a GREAT day!

How Can I Possibly Save Any Money?

It is all in your mindset.

In one of my previous lives, the girl that I was dating at the time had a knack for finding four-leaf clovers. When asked, she would simply state that she had the ability to find them because she was looking for them. When I tried, it didn't work. Maybe it was because I didn't believe that any four-leaf clover could be found simply by looking for them, but it didn't work for me.

It all comes down to belief.

You have to have faith that you will be able to do something, and, amazingly, you do. When looking for ways to save money, you will be able to do so. If you believe. If I can find ways to save money every day (which is used in turn to pay down credit card debt) I have every ounce of faith that you can do so yourself. Just turn your mind to finding the simplest of ways. It may be that the next time that you are at the grocery store that you decide to buy a case of soda that is on sale and take a can of soda with you to work. Instead of paying 75 cents at the break room soda machine, you pop open your can of 25 cent soda (they are identical except for the point of service: a machine or the checkout lane of the grocery store). It is these little things that will snowball into bigger things that will free up some serious money for you to make a dent in your credit card debt.

Have a GREAT day!

Wednesday Is A Great Day to Work on Your Credit Card Debt Elimination

Not just on Wednesday, of course, but every day is a great day to work on your plan to save money, pay down your credit card debt, and find ways to live your life more affordably and rewardingly. This is a venture that does require some effort on your part: nobody is going to do all of your work for you. One of the first steps is to sit down and figure out the plan for what you will do. You will need to write down every expense (you may have to track these for a while, but you will get the hang of it after a while) and every source of income that you have.

Have you set aside the time to plan?

There is no time like to present to do so. Just simply set aside a few hours that you can work on this uninterrupted. Once you get into the flow, things will come more easily. Sometimes it is difficult to think of all of the things that you spend money on. There may be the occasional soda at work. Or a candy bar at the gas station where you fill up your tank.

The idea is to write down everything.

You may need some help in getting out of your credit card debt. That is why Never Surrender!! was written: to help you get out of credit card debt. There was not the book when I began my journey, so I wrote it down for your benefit.

Have a GREAT day!

It's Tuesday, How's Your Positive Mental Attitude?

Positive mental attitudes are not just for New Year's Day or Mondays, but for every day of the year. Like a campfire that has a good bed of coals to it, you don't need to have a ten-foot blaze of flames shooting forth at all times, but once the flames have gone down to embers, all you have to do to keep it hot is to add a little bit at a time. Our attitudes are the same. Being "on fire" all the time can be done, but it is work, and can get a bit irritating to those around us.

Instead of going "gang-busters" all the time, add a bit of fuel every day.

* Have a bit of quiet time to reflect each morning or evening before you head to bed to take assessment of where you are and how you are going about to get there.
* Find the good things to think about. If you are tired from working all day, be thankful that you have a job. If you are exhausted from mowing your yard, be thankful that you still have a home with a roof over your house. If your clothes are becoming more snug lately, have a grateful heart that you have plenty to eat.
* Hang around with other positive people. If all you do is hang around hateful, sullen folks, you too will soon become hateful and sullen. Other people can become an influence to you, so choose your friends wisely.

Keep the faith and keep working on getting out of credit card debt because you CAN do it! Have a GREAT day!

The Weekend is Over And It's Back To Work

Did YOU have a good holiday weekend? Some people had and extended weekend for the Fourth of July, some people had to work, and some people had a blend, particularly those that hold more than one job. Today, however, things should be falling back into their normal ebb and flow. A lot of time was spent contemplating what is to be done next in the quest to eliminate credit card debt, and there are, of course, decisions still to be rendered.

Sadly, this holiday weekend saw more people swallowed deeper and deeper into credit card debt: they charged hundreds of dollars of fireworks, they charged at the grocery store for the best cuts of meat, they went out for fancy desserts after the fireworks had nothing left in them, and they woke up this morning with a higher credit card debt and are struggling right now to make a minimum payment.

Don't despair because there is something that can be done, even if you find yourself deeper in debt today than you were on Friday morning. You have to take ACTION! Find a way to pay for something in cash (or without using a credit cad), save some money and earmark that toward a higher payment to the credit card, heck, you can even sell some unwanted things in your home to raise the capital.

But...

...you have to do SOMETHING and do it NOW! Build your strength by starting small and working your way to Independence from credit card use and toward using only the money that you have on hand. Budget so that you don't spend needlessly.

If you need help, you can always pick up a copy of Never Surrender!!. In this ebook, you will find proven strategies to forever eliminate your credit card debt. Many have already saved thousands of dollars, and you could too!

Have a GREAT day!

Another Day In The Life of Credit Card Debt Elimination

Sunday is a traditional day of rest for many. That doesn't mean that you can be non-vigilant in your pursuit of the elimination of your credit card debt. You should always be on the lookout for ways to save your hard-earned money so that you can use the "found" money to pay down your credit car debts. You have to remember that when you have $1.00 at 22% interest, if you just make the minimum monthly payments, you may find that the executors of your estate have to use whatever proceeds are left from the liquidation of your estate to pay your creditors. That one dollar may grow to be two, three, even four times the original cost.

Once your credit card debt is eliminated, you should not use that opportunity to incur more debt and forget the money-saving tips that you have learned. Instead, you can now use this money to build your nest egg or purchase the home or car of your dreams. Just don't stop once your have reached the milestone of being credit card debt-free.

If you ever need a resource for assisting you in your quest for credit card debt elimination, you can always turn to the ebook Never Surrender!!. There you will find proven strategies to get you out of debt.

Have a GREAT day!

We Celebrate Freedom on the Fourth, Are YOU Free?

The Fourth of July has traditionally been a day for Americans to celebrate our independence and the fact that we are free: free to do as we like (within the confines of legality), free to worship how we like, and free to succeed in whatever business we like. Unfortunately, many of us are not free from the credit card debt that dampens our holiday festivities.

It doesn't have to be that way.

There is a way to get out of the credit card debt that shackless you. The very first step to take is to take action. Find a way to save some money and earmark that money to pay down the balance on one of your cards. Call up your credit card company (or companies, if that is the case) and ask for a lower rate. Don't take "NO!" for an answer. Ask to speak to a supervisor or a manager and call back until you get one willing to speak to you on the telephone. Speak firmly, but don't lose your temper. You will find that you get more of what you want by being courteous than by being angry, lous, and hard-headed. I have worked for years in customer service, and I speak from experience. Don't hate the customer service representative because they are just doing the job that they are told to do and make a living.

That is why I wrote the ebook Never Surrender!! that can help YOU to forever eliminate your credit card debt. It is guaranteed or your money back, so what have you got to lose? (Beside the shackles of credit card debt)

Have a GREAT day!

The Frugal Fourth

So, today is not the Fourth of July, but it is a day that the company that I work for during the day gives us so that we can have a three-day weekend. This is actually looking like it is going to be a wonderful day, I don’t have to work anywhere (I am even off from my part-time job) and there is nothing planned. That, of course, doesn’t mean that there is a vacation from the struggle to save money in order to eliminate my credit card debt. We are staying at an RV park (but it isn’t really the traditional RV parks that one saw in the Robin Williams movie), but our cost for the week (we come down on our days off and when we are done working for the day) is minimal: We have brought our own food and soda and we are just enjoying nature far from the hustle and bustle of suburban living or urban working.

Although my book, Never Surrender is complete, time will be spent today refining the landing page. The book gives practical advice and guidance on how to eliminate your credit card debt.

One thing to help you save money (for credit card debt elimination, or survival, as far as that is concerned) is to keep an eye out for the ads for grocery stores. Here in the St. Louis region, there are three large grocery store chains that regularly advertise. Fortunately, we live close to all three and drive by them on the way home from work. When we plan, we try to go to the one that offers $10 off a purchase of $50 or more. I will take a list and keep track to make sure that I get as close to $50 as I can so that the savings is 20%. Look for coupons either in the local paper or even online (like at coupons.com).

Have a GREAT day and a wonderful Fourth of July!

Frugality is NOT The F-Word

In the quest to become credit card debt-free, some (myself included) adopt a frugal lifestyle. They start to find ways to spend less money so that they free up money which can then be used to eliminate their debt. I know that my family has started to use strategies that allow us to enjoy life at a lower sticker price.

Case in point: this is the Fourth of July Holiday weekend (OK, it doesn’t really start until Friday, but who is counting). We have decided to camp at the timeshare/RV park that we got for a steal. Usually the level of membership that my wife managed to nab over the Internet sells for $21,000,but we managed to secure it for much, much less (less than 10% of the full price). We have reserved out spot for two weeks, which, if we had rented a small hotel room for $100 a night would have cost over $2,000. Instead, with the groceries, wood, and accessories, we will walk away with a mini vacation for less than $150. Not bad.

One other thing that we saved on was food. There is a small grocery store/meat market near our home (that is on the way to my day job) which always has an 8 oz. bacon-wrapped fillet for $4.99. I am a big guy and I could easily eat two of those myself, but if I take the time to eat, my wife and I do well just splitting one. (If you are doing the math, it is $4.99 vs. $14.97, a savings of $9.98). It is the little things like that which can save you money. Look for simple ways that you can save money that, in turn, can be used to more quickly get you out of credit card debt.

The sooner you are free, the better you will feel.

Have a GREAT day!

New Half-Year For Credit Card Debt Elimination

Today is July 1, 2009 and it marks the beginning of the second half of the year. This is a good time for reflection on a checkup on all of your goals. Traditionally New Year's Day is the day that people traditionally do that sort of thing, but perhaps a new tradition is in order for you. After all, there is a goal for many of us to get out of credit card debt. So,

How Are You Doing?

I began the year having $61,960.24 in credit card debt. Today, the number is $54,432.81. Better than it used to be, especially considering that I had to go to court on several of the cards, and there were lawyer's fees and such added in. Having that sort of reality slap you in the face is not a pleasant experience. Today, however, I am seriously meeting with several attorneys to discuss Chapter 13 bankruptcy. I have fought my problem for many years and I have to explore the possibilities. It is not a road that I am traveling lightly.

I fear most hurting the ones that I love the most. I don't want to involve them if I can help it, but something has got to be done. That is why I write this blog, and this blog is both therapeutic to me and also I hope to teach others how to avoid this if at all possible. My parents taught me better, that's for sure, but I never saw them suffer or felt as if we had money issues (and I feel that we must have). I am being as open as possible with my family and hopefully, my son will develop some good spending and saving habits so that he doesn't have the struggles that I have.

Keep up the good fight, I write about it in my ebook, Never Surrender!! and it can help others to get out and stay out of credit card debt.

Have a GREAT day!

Oatmeal Is Better Than "No"-Meal

This is one of my favorite sayings that I have picked up from my wife. There have been times in our lives together that the money has been flowing not at freely as others and times that I have taken some menial job despite the fact that I have an MBA or working at minimum wage. Some might not even take the job, but I have always appreciated having the ability to work. When you are on a quest to eliminate your credit card debt you might have to take on a second job. Right now, my second job is as a cashier at a home improvement warehouse where I make as much as the high school graduate doing the same job.

Why?

Something is better than nothing. If I waited until I got a second job that paid what I was worth, I would still be waiting after five years (which is how long I have been working there). It isn't much, but it adds up. I have earned about $32,000 in five years (before taxes and all), and there are some important things to remember when you take on a part-time job, the most important has to do with many people's favorite subject:

Taxes.

If you aren't careful and have enough tax taken out on the front end, you will be in for a big surprise on the 15th of April the following year. You see, your second job doesn't figure taxes as if you were making any other money except for the job that they are paying you for. That means if you are making $8,000 in a year for your second job, they will only tax you as if you only made $8,000, and that is little if no tax, particularly if you have any dependents that you claim when it is time to fill out your taxes. Personally, I have them withhold at the higher single rate (since I am happily married) plus an extra $25 for federal and $20 for state tax. That may be a bit excessive, but I would much rather get a refund at tax time than owe anybody one stinkin' cent! You may not care and would rather have the money now than later. It is all a personal choice, but I figured that you would e best off knowing ahead of time.

Whatever you do, keep the faith and keep working off your credit card debt, it will be worth it!

Have a GREAT day!

Do You Have Any Money on Monday?

Some people get paid once a month (i.e. teachers), some people twice a month, some every other week, and some people weekly (i.e. certain Union workers). No matter when you get paid, do you ever have any money left a few days later, or are you like most people and your money is already spent for you when the weekend of pay period is over. Until my credit card debt is eliminated (and, it is less by $17,000 than it was a year ago), paycheck to paycheck is the way that life will continue to be lived. I have advocated a budget before, but let's take this time to revisit a sometimes unpleasant, but really quite necessary subject:

BUDGET!

"How do I make a budget?", you may ask. It is really quite simple and it takes a little bit of effort on your part. Start first by writing down everything that you spend your money on in an entire month. If you buy a piece of gum at the gas station when you fill up your vehicle with gasoline, write it down (don't forget to write the purchase of the gasoline either). When you buy a can of soda from the vending machine on your way out the door of Wal-Mart write that down. It is a bit of a tedious task, but it can develop some very helpful habits for you: You become more aware of what you are spending wherever you go, and you are developing the habit of building a budget. When your month is over, add up all of your expenses on one side of a sheet of paper and your income on the other side of the paper. Did you spend more than you had (credit cards) or did you have money left over?

If you are like most, you have more month left at the end of your money. See how you are wasting money on all of the trivial things and unnecessary things in your daily life. Do you really "need" the soda from the machine at work? Could you save money by buying a case of it at the store and taking it with you? Are you spending a fortune at the grocery store, but your cabinets are basically empty except for the 10 varieties of potato chips?

This is a good start. Tomorrow we will go into a little more detail on how to "flesh out" your budget. If you want a book that will help you to forever eliminate your credit card debt, click here.

Have a GREAT day!

Successful Sunday

Usually Sundays are a day that I can sleep in. Of course, by sleeping in, that means getting up at six o'clock AM instead of 4 o'clock AM. This Sunday, however, is a little bit different for a couple of reasons: 1)the store at which I work on the weekends is having one of it semi-annual store meetings (they provide free breakfast, one of my favorite meals of the day and we are paid for our time to be there -- a double bonus) and 2) I finally have my ebook Never Surrender!! available (a test run was made, and all of the links work, although some of the graphics may not).

A lot of time and effort went into the writing of that ebook and I would like to take the opportunity to thank everyone who assisted me in the writing of the ebook, especially my beautiful wife who has seen the back of my head more than anything for some time now. But the excitement is there that it has finally made it past all of the hurdles.

That has been a small goal for me lately, and it goes to show that even though you may have a definite goal in mind (such as credit card debt elimination), you can run into obstacles and hurdles that prevent you from getting there in exactly the fashion that you expect. Rather than quit at the first sign of difficulty (for me, it was linkage problems, a link wasn't leading people to where I wanted them to go), a solution was sought and eventually found. Some would have given up, but keeping the end in mind was essential.

You may have a challenge come up in your life too. You may have a goal of having $1,000 in the bank by a certain date. You make lifestyle changes and you make adjustments in your life and progress is slowly made. Then you get an unexpected expense, like a flat tire, a chipped tooth, or a trip to the doctor. These are only diversions, and you must remain focused on the prize because the goal is a good goal and you will be better in the long run because of it!

You can do it! Have a GREAT day!

A Confession

Many of you have been following this blog for the last several months and you know that I advocate taking your food from home (it's less expensive and you know what it is that you are getting). Yesterday I ate dinner out. The rush was on to get the yard mowed in the extreme heat, get cooled off, and get to my weekday job in time. After work, I was going to spend the evening watching the rest of the Cardinals ball game at the RV. I managed to do that, but it was realized about halfway down to the campground (about an hour and a half away in good traffic) that there was no dinner packed for me. I easily could have spent $10.00 at Hardees, but that would have packed on the pounds. I did manage to drive by a Taco Bell and picked up a couple of $0.99 bean burritos. There was already a drink in the car, so I managed supper for a couple of bucks.

How often do we not think about the financial consequences of our actions. $8.00 was saved by doing that. If one meal a week is eaten that way, $416.00 could be saved in a year. If you were to charge that, and make minimum payments on the card over a year, it could easily have cost $500+. Personally, I would rather have the $500 even if it meant that I don't eat a Monster Burger and fries. You see, in order to have more money to pay down your credit card debt, or build your future, you have to have the long-term mindset.

Have a GREAT day!

Where Does It All Go?

We have been working toward eliminating our credit card debt by saving money. How do we save the money? We keep track of all that we spend and eliminate the ways that are not productive. For example, I like to have an occasional adult beverage, particularly in the summer (and especially after the yard is mowed). If I were to go to a local establishment to purchase a beer, it would run $4.50 (depending on where you went).

Ouch!

Instead, I can purchase a case of 30 (which will last quite a while) at a store for around $0.60 a can. That means that I would save $3.90 per drink. If that case lasts the entire summer (and it may), I will have saved $117.00. Wow! And it saves me the gas to drive to an establishment and the time, yada, yada, yada. You see, it is the little things that add up.

That is why having a budget and keeping track is essential to gaining control of your finances. Rumor has it that when Michael Jackson passed away yesterday, he had amassed nearly $200 million in debt. Our credit card debt may not be anywhere near that amount, but when compared to our income, I am sure that some had nearly the same rate of debt. He didn't have control over his spending habits and it caused him financial worry. Everybody has the ability to gain a little more control over their finances, but you have to make a decision to be informed and willing to work at it. The good news?:

You CAN do it! Have a GREAT day!

Small Victories Add Up!

When we get a small victory, take note and celebrate (if only in your mind). Recently, I reached a milestone on my online adventures. I participate in a program from Inbox Dollars that gives me a few cents for every email that I read, usually two or three every day. I have to run through my inbox every evening anyway, so it doesn't take up more than a minute of my time. When the account reaches $30, you can request a payout and that is precisely what was done the other night. I have reached it twice in one year. Now, $60 doesn't sound like much ammunition when you are attempting to eliminate your credit card debt, but it will be over $300 in five years. Would it make a difference if you got the lump sum of $300 on the front end? They way that I view it is that in the long term I am getting that money and it makes a difference. You can click on the banner at the bottom of today's post and join.

Inside that is a small victory. There are many small victories that are earned each and every day, but in the long run, they will add up to make a huge difference! As it is said that the journey of a thousand miles begins with but a single step, you have to decide to get on the path of ridding yourself of credit card debt and begin the task. It may seem a bit overwhelming when you finally confront it, but as you gain strength in dealing with it and look back, the task was not that difficult.

When you find a way to save $0.10 per can of soda by buying a case (which you will end up drinking in the end anyway), celebrate! When you decide to order a free glass of water at a dinner out instead of the $1.79 glass of soda, celebrate. When you decide to pay a bill online and save the $0.43 cents (or whatever postage stamps are today), celebrate. Add them all together and you have saved perhaps $5.00. Do that every week, and you have saved $260, and over five years you have saved $1,300! CELEBRATE!!

Have a GREAT day!

Credit Card Debt Isn't The End of the World

But sometimes it can bring it closer.

If you have a ton of credit card debt, digging out and ridding yourself of this beast can be a life-changing event. You may feel powerless to do anything about that debt. You are constantly being called by creditors that want their money. You leave your mail in piles (or throw it away) in fear of seeing how much your credit line has diminished, how many late fees have been added, and how many over-the-limit fees are tacked on as well. You get less sleep at night, and it is beginning to affect your personal life. People notice the change in you and begin to avoid you.

Take control of your life!

There is help and information available out there. The formula is simple: spend less than you make and use the extra cash to eliminate your credit card debt. When you combine saving with getting more money (visit my website) with saving money, it begins to gain momentum and you see your balances diminish and slowly disappear.

Be strong!

Know that you can do it and that others have eliminated their credit card debt as well. See what works for them and try it yourself. You may have to customize it to meet your particular needs, but do something. If it doesn't work: do something else!

Have a GREAT day!

How To Save Money on a Birthday Party

After a while you learn to find ways that you can save on everything. Yesterday was my sister-in-law's birthday. She is developmentally disabled, but even at 39, her birthday is a very special day. She loves to go out to eat and she picked one of her favorite places to eat for her birthday. She had about ten of her friends from school and from her work at a sheltered workshop. They don't make a lot and so they didn't spend a lot on gifts, but that didn't matter to her. It was a very nice time and everybody enjoyed themselves and it didn't cost an arm and a leg.

Makes you wonder why one would spend hundreds, even thousands, on a birthday party for a child. My best birthdays were spent with family sharing a birthday cake (or pie, if you recall). I didn't need to eat at the best restaurant or have tons of the newest biggest toys that would be quickly forgotten or broken and discarded days later.

It is said that the best things in life are free. The cynic in me used to mutter, "yeah right", but that was back when I used credit cards and was quickly charging my way to a deep, deep debt problem: A problem I am dealing with to this day. I am confident that millions are out there now dealing with the same issue. You and I have seen a lot of changes going on because of the downturn in the economy. Just last week, I saw construction workers tearing down a fairly new BlockBuster store being dismantled. Brick and mortar stores are going by the wayside as people entertain themselves at home more and don't drive out to stores as much to rent movies, games, and things of the like.

You have to stay focused and save your own money and pay down the debt that you owe so that you can be free.

Have a GREAT day!

Saving Money In a Way You Don't Think About Often

The quest to save money in order to pay down credit card debt hopefully has you thinking of creative ways to think of saving money. You, of course, know about the use of coupons, watching for the best deal, and even asking stores if they will give you a lower price. You are also beginning to buy some things in bulk when you know the per-item price is lower. One opportunity presented itself a few days ago, and it is realized that this way may not be the way that best works for your particular situation. This is an area that not everybody thinks about and not everybody does. It does for me...

...shaving.

I have the habit of shaving everyday (despite the fact that I have a goatee). I already save money by not purchasing the expensive razors or shaving cream. I figured that I spent$30.55 per year on shaving. You may spend more, but I was using my figures, tax not included. I bought an electric razor. They run in price from $29.99 all the way to $179.99 at the store that I was shopping at during my lunch hour from my weekend job. I erred on the side of lower cost and didn't buy the least expensive one, but I bought one that cost $39.99. I figured that if it lasts for 15.71 months, it will pay for itself. Since there was a two-year warranty on it, I saved $21.11, or $10.56 a month. Had a more expensive one been purchased, it would have taken longer to break even.

Is there something that you could purchase to replace something else that if disposable? Perhaps.

Have a GREAT day!

Father's Day

Financial wisdom comes from a blend of teachings from my father (which, unfortunately, were largely unheeded) and life experiences of trial and error (or, as Zig Ziglar would say, trial and success). My father is very smart and wise when it comes to money. Money was a bit of a taboo subject in our house and we would rarely talk about it.

I never saw the tough times or ever thought that there was a challenge with money because it was never brought up to anybody.

Looking back, it does sort of make sense. My dad didn't have a credit card when I was growing up: If he didn't have the cash for something right then (and we didn't need it), we simply didn't buy it. Period. There was very little impulse buying. We only went out to eat on kid's birthdays and so special meals were often prepared at home (mom is great about making meals at home). Birthday cakes were made, not bought (although as my brother and I got older, we asked for banana cream pie instead of cake). Presents were not the extravagant kind of gifts that now are more popular, At Christmas, we would usually get one toy and some more practical things like clothes.

Dad lived a frugal lifestyle without coming across as cheap.

I am letting my son see my struggles so that he will know that credit cards can so easily entrap you into paying a lot more for something that you may want, but not necessarily need. I think he sees the message.

Happy Father's Day and have a GREAT day!

Are You a Fan of Fans?

The journey to eliminate credit card debt for many involves a trip down the road of saving money, money that is otherwise wasted but, once saved, can be used to pay down the credit card debt. Yesterday we discussed the use of programmable thermostats and how having your house (in the summer) warmer for the times that you are not home can save you lots of fleeting money. Let's take that a step further.

Houses built today are fairly sterile as far a air flow is concerned. I recall opening my window on a warm summer evening and my father turning on the attic fan to draw air into the house and save us from having to turn on the air conditioner. My grandparents had little use for an air conditioner because they used fans to move the air and to keep things cooler, at least they seemed cooler.

Nowadays, we make use of the ceiling fans to keep it more comfortable even though the temperature is higher (again, we are talking about summertime). The breeze that is caused by the ceiling fan fools your body into thinking that it is cooler than it is (technically, it has to do with evaporation of water from the skin, but lets save that for a physics blog). We have become so spoiled that if the temperature isn't 71 degrees at all times, there are complaints of being too hot or too cold. My suggestion is to make use of fans (which use considerably less electricity than do air conditioners) and keep, in the summer, the temperature at a higher level than you would otherwise keep it. Your pocketbook/wallet will thank you for that.

Have a GREAT day!