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Regardless of where we are in life we can all learn something about money and how to better prepare for our future. Especially when we see that the national average is $10,000 in credit card debt and that savings and preparedness is dropping. This article can put you back on track to a more fulfilling and financially free life.

1) Automate your investing. Experience has proven that if we have to make a conscious effort every time we need to invest we will start with good intentions and then miserably fail a few months later. If you can automate your savings, whether by using your employers 401k, a sep (self employment plan), or direct deductions from your account you will finish ahead. The rule here is if you don’t see it, you won’t realize it and you won’t miss it. Some of these deductions will reduce your taxable income and save you further on taxes (see your CPA and tax advisor for more info on this). A good rule of thumb is to set aside 10% of your income.

2) Real estate. If you haven’t already, buy a house. Renting will only make your landlord (hint – house owner) rich. Regardless of what the immediate market does real estate is one of the best long term investments you can make. It also has many advantages including deductions for mortgage interest. Real estate will always go up. People will always need a roof over their head. Just watch HGTV, real estate has made many millionaires and is a key factor in almost every tape and book series on gaining wealth. Stick with the standard 30 year fixed mortgage.

3) Medical and life insurance. You need to have them, if you think you don’t just ask anyone that didn’t have it when something unexpected happened. If you love your family, they are a must. But, on that note, don’t get taken. Buy term life. 20 years will give good term coverage and if you follow all of these tips you won’t need anything beyond that. Whole life only makes your agent rich and really never builds any value for the huge costs involved. Term life can be purchased cheap over the internet at great savings. For medical insurance, in most states Blue Cross and Blue Shield offer great plans that are a fraction of Cobra or employer plans. If you have an adequate employer plan, by all means use it. Stick with big names like Blue Cross as they will be around for years.

4) Don’t ever buy new cars. It is a fact that new cars lose 25-30% of their value the moment you drive it off the lot. Let someone else pay for that depreciation and get a two or three year old car or truck. With the latest technological advances cars can easily go 150,000 miles and above. A two or three year old vehicle with 30,000 miles on it will save you not only in initial cost, but also on your insurance, and taxes. Also do your homework before buying your car. Get your credit score and see what loans you qualify for. This can easily be done right off the internet and will save you big at your local dealer (never take a dealers word for your credit and rate – they will hold 1-3 points on rate and that can mean thousands in extra interest over the term of the loan).

5) Get out of debt. I put the Read more…

Perhaps you are just finishing up your degree program, or maybe you are just now preparing to enter college. Whatever the case may be you should understand the implications of student loans and how repaying them can affect not only your current credit situation, but also your future financial worthiness. In this article we?ll examine some of the tips, tricks and warning associated with repaying student loans so that you can be a prepared borrower no matter what your current degree status is.

The first thing you should know about student loans is that unlike most other debts and obligations they cannot be wiped away by bankruptcy. Student loans will follow you through your entire life until they are repaid in full, or forgiven by the loan guarantor or originator. Unfortunately many people fail to realize the potentially heavy burden student loans will place upon their financial health until it is too late.

Most student loans are guaranteed by the federal government though few are actually issued by the government. Most of them are issued by banks and other financial institutions that are using the guarantee of the government to secure your loan. If you should fail to repay the loan, the government would repay it and then take over collecting the money owed from you.

With rare exception, many student loans due not require payment on the balance during the years you are in school. Some of them will continue to accrue interest; while others may accrue interest that will be payable once the loan comes due.

While you are in school one of the best things you can do to prepare for repayment of your student loans is to research typical salaries for the area you are studying. By having this data available you can better prepare yourself for the payment process. Many students get themselves way over their heads in debt with student loans, only to find out that the job they get after college does not pay quite as much as they would have hoped.

Many lenders will be flexible in the payment arrangements once your student loans become due. Several offer a staggered repayment plan that lets you pay less in the beginning years of your Read more…

Everyone faces times in their life when money is tight and financial emergencies arise. In those moments, taking out a payday loan can be a wonderful solution to your financial burdens, but these loans aren?t for everyone. Payday loans do come with high interest rates and if you can?t pay them off on time, you face the risk of accruing high loan fees. Despite the cost and the risks, there are times when it is worth it to take out a payday cash advance.

Take out a payday loan when the late charges on your credit card are higher than the loan fees.

If money is so tight that you are going to have to be late on your credit card payments, consider taking out a payday loan. Some credit card companies charge outrageous late fees, so if they add up to more than the cost of the loan, it makes sense to take out the cash advance.

Take out a payday loan when a late credit card payment will hurt your credit.

Your credit score determines the interest rate you will qualify for when you try to take out a home mortgage. Every time you make a late payment, it can change your credit score. It is worth it to pay a the loan fees Read more…

The annual percentage rate can seem like calculus to most people. It?s some arcane and hard to understand method to help credit card companies know how much money to charge you every month for interest. The problem is?that makes the annual percentage rate, or APR, very important if you use your credit card. So it?s just as important for you to have some understanding, even if just basic, of how the annual percentage rate is calculated.

First, you should get the definition of the annual percentage rate. It?s actually pretty simple if you look at the APR from this way. By definition, the annual percentage rate is the yearly rate of interest that the credit card charges you, including any fees and costs paid to acquire that loan. The credit card companies figure out this loan in a pretty straightforward way, believe it or not. They take the average compound interest rate of the term of your loan. That way, you can compare one credit card debt, or loan, to another.

The annual percentage rate for a credit card company, in this respect, is just the same as the annual percentage rate that you?d be paying for a mortgage, for instance. But with a mortgage, the details are different. For instance, with a mortgage, the APR includes the interest rate of a mortgage taking into mind not only the interest, but the mortgage insurance, and certain closing costs and even points paid at the time of closing.

Credit card companies, like mortgage companies and other lenders, are required by law to always let you know what your annual percentage rate is. That way, when you?re Read more…

It?s like the search for the Holy Grail. Before the days of King Arthur and the roundtable of Camelot, people have hunted for this holy relic and its promise of eternal life. Just the same, consumers the world over have searched for their lives for the holy grail of the credit card world: a card with 0 annual percentage rates, or no interest at all. Such a card could provide eternal shopping, and a life without fear of debt.

The reality of the situation, however, may be slightly different. Don?t get us wrong. A card with 0 annual percentage rate is a beautiful thing. It allows you to carry debt on the card without fear of swamping your finances with interest payments. On the other hand, the 0 annual percentage rate is not a free ride to spend to excess. After all, most of these 0 annual percentage rate, or 0 APR cards, have a time limit. The carriage, so to speak, eventually turns back into the pumpkin, and then you could be left holding the bag with a maxed out credit card and a new APR of, say, 22 percent.

So, what exactly is a 0 APR credit card? Is it such a great deal anymore, or should you not chase after the holy grail? It depends, as with any great decision. If you plan to be making a lot of heavy purchases soon?such as to decorate a new house?you may want to find yourself a 0 APR card, but do so with the understanding that you must be able to pay that baby off when the 0 annual percentage rate special wears off.

Don?t just jump at any 0 annual Read more…

Bad credit can sometimes feel like the end of the world, but it doesn?t have to be. There is now a wealth of credit options, such as credit cards, out there for people with bad credit. Sure, you may not have all the options when it comes to terms and percentage rates, but at least you will have a way to build your credit back up to ultimate personal freedom.

1. Visit Your Local Credit Union

One of the best things you can tell someone with damaged, or bad, credit is to visit their local credit union. These bank-like institutions may be more than likely to extend you a card if you belong to a particular community, civic organization, union, or other social group.

2. Explore Your Alternatives

Another good option is to explore alternative credit card companies, such as gas company cards, department store cards, and newer card companies. These will help you not only organize your finances. They will also help you slowly build up the credit you need to get a card from one of the big credit companies.

3. Get a Buddy to Co-Sign

If you still have no luck securing a card, don?t give up yet. Try to see if you could have a friend or relative be a co-signer on a card. Basically, they?re agreeing to shell over the cash you owe if you default on your payments, an agreement that tends to make creditors feel a bit more comfortable. Hopefully, of course, it won?t come to that. Also, check out secured Read more…

They may seem like a relic of a long-ago age, when gas stations wouldn?t accept credit cards unless they were from their own company. But now with credit cards being accepted at nearly every gas station in the country?many times right at the pump?gas reward credit cards may seem unnecessary. What good do they do you if you can use your Visa or MasterCard instead?

But don?t count out gas credit cards just yet. They still have their benefits for certain people. We know what question is coming next: “Am I one of those special certain people?” Well, it depends. Read the following five reasons that people should consider a gas reward credit card.

1. Consider Your Bill Paying Habits

First, ask yourself if you pay off your debt every month or you usually allow your credit debt to revolve. Gas credit cards tend to have higher percentage interest rates, so they may not be a good bet if you let your debt build from month to month.

2. Are You a Devoted Customer to One Particular Gas Station?

Next, do a quick estimate of the number of gas stations you?ve visited in the last month. Is it a random assortment of stations?whichever happened to be closest when your empty tank light went on? Or do you tend to go to the same station every time you buy gas? If you?re a devoted customer to one gas station, a gas card at that station may be the best idea. That?s because gas cards tend to give higher rebates at their stations, compared to other purchases.

3. Find the Best Rebates

If you shop at a few gas stations, you may want to narrow down your Read more…

When shopping for a credit card, it is important to understand the annual percentage rate (APR) to find the best deal for your situation. If you pay off your bill every month, a no fee and moderate APR plan may be best. However, if you take out cash advances, you will want a low APR on that feature.

Various APRs

Each credit card has several different APRs. At the minimum they will have a rate for purchases, cash advances, and transfers. Typically, cash advances will carry a higher rate than for purchases or transfers. Transfers usually carry low rates. Sometimes you can even find an APR of 0% for an introductory period.

To entice you to open an account, credit card companies offer introductory and delayed APRs. An introductory rate lasts for a certain period, usually six months to a year. Delayed APRs charge no interest until a certain month.

Some cards also offer tiered rates, which keeps rates low for those that carry a small balance. For example, a card might offer 15% on balances between $1 – $1000 and 18% on balances over $1000.

Credit card companies also have penalty APRs. These apply when a payment is late, as outlined by the card?s terms.

Fixed Versus Variable APRs

A fixed rate APR doesn?t change. Usually these types of cards have an annual fee with them. But they usually offer lower rates with some security, making them attractive Read more…

Credit card companies charge fees of some sort or another. The key is to find a card with the lowest fees for the services you use. For instance, if you use cash advances, then investigate those fees with credit card companies before you sign up with them.

Upfront Fees

Not every credit card program has upfront fees, so it pays to shop around for the right card. For instance, annual fees are common on cards with fixed or low rates. In the right circumstance, this fee with the right rate can save you money.

You will also find cash advance fees, either a flat rate or percentage. Not all cards charge this, but usually they have higher APRs. It is important to read the terms if you plan on using this feature.

Balance-transfer fees also can be charged, usually when you use a ?check? sent by the credit card company. Some programs offer no fees or low rates for transfers, especially with an introductory offer.

Extra Fees

Extra fees can often be avoid but should still be researched. Late payment, over-the-credit-limit, or credit increase can all result in extra dollars. Less common are set-up, return item, or telephone ordering fees. Unless a card is offering an exceptional rate, these types of programs should be avoided.

Low Fees Equal High Rates – Sometimes

While no one wants to pay fees, sometimes they can save you money. With large balances or balance transfers, you can often Read more…

How can a student with limited income and no credit history get a credit card? By applying for a student card. Student credit cards require no income or co-signer. Usually these cards offer small credit lines with reasonable rates. By using one wisely, you can build your credit.

What To Look For

When you are shopping for a student credit card, don?t bother applying for a regular card. For one, you will be denied if you have no credit history. For another, every time you apply for credit, you are lowering your credit score. Multiple credit applications in a short period makes you look desperate for cash. Lenders avoid such people.

Instead, look for a credit card that is targeted for students. Usually such cards will require no income or co-signer. Your credit limit will be small at first, but you can increase it later on. If you do need a larger credit limit, you will need to find a co-signer who will be partially responsible for your payments.

You will also want to look for a card with low interest rates and no annual fees. You may also find a card that offers discounts or rewards. These can help you financially, but don?t get caught on paying out large financing fees.

Shop Credit Card Companies

Don?t be afraid to compare credit card companies? offers. Just because you find an application on campus or in the mail, doesn?t mean there aren?t better ones out there. Search online for student credit card programs. Be sure to read the terms of Read more…