Credit Card Debt Settlement - Credit Answers

Some More Debt Tips

2009-03-23T08:44:00.000-07:00

Fix your financial house

Many popular television shows focus on renovating, cleaning, and organizing homes. Keep your bills organized with financial software or a filing system. Track expenses and review your budget to see if you can eliminate financial "clutter". For example, do you use your debit card a lot for dining out or for small purchases? Are you able to reduce your cable or cell phone bill? Everything adds up on the path to debt settlement negotation.

Earn money by using your talents

One way to earn extra income to fund your reserve account is to work overtime or a second job if it fits into your schedule. Certain skills such as programming, writing, or data entry may help you earn money doing freelance work or short-term assignments.

Show your results

Although debt problems are usually not solved in quickly. One way to continue your progress is to focus on educating yourself about personal finance. Visit educational money sites such as www.bankrate.com, www.dolans.com. You can also find many helpful tips if you borrow books about personal finance at your local library.

Pay Less On Your Property Taxes

2009-03-16T08:43:00.000-07:00

With the current economic climate in America, now might be a good time to re-evaluate your property taxes. Lowering your property taxes could lead to some extra savings that you can set aside to complete your debt settlement quicker. Below are a few tips to make sure your property tax value is current.

Verify your home's description

Once you obtain a copy of your property assessment, ensure that all of the information is correct. According to AHA, many property tax assessment errors are clerical. Appraisers are usually on strict deadlines to assess many homes in a short amount of time and they also do not go inside of your home. So, simple mistakes can happen. For example, make sure your assessment lists the correct number of bedrooms, square footage, and age of the home. Misrepresentation of these factors can affect the value of your home.

File an appeal

If your assessment does not contain any errors, you can still dispute the value of your home. Inquire at the assessor's office about how to appeal a property tax assessment. The process may vary among local communities. In most cases, you will have to do more research, which may involve gathering data on comparable properties in your area. According to Consumer Affairs.com, it may help you to seek the advice of a real estate agent or attorney to obtain the evidence that you need.

Scammers Hit Consumers With Small Charges

2009-03-09T08:27:00.000-07:00

The Better Business Bureau has received reports from consumers who have found very small charges on their credit card statements, typically charges of 26 cents or less, from a company identified on the credit card statement as "ADELE SERVICES 800-764-8104 NY." When consumers have tried to dial this number, they receive a message that it is disconnected. Some commentators on this scam have speculated that these small charges are placed to verify that the credit card number is good, and once the small charges go through, larger charges will come next. This apparent fraud scheme involves taking pennies from millions of people, which would then equal a large sum of money. The BBB strongly encourages consumers to immediately report unauthorized transactions, regardless of how small, to their credit card company and assure that the charge is removed. BBB also recommends that consumers file a complaint with Better Business Bureau at www.bbb.org and with the Internet Crime Complaint Center at www.ic3.gov.

Lower Credit Lines Do Not Upset Most Consumers

Bankrate, Inc. recently released the findings of a national poll which found that 40 percent of consumers say they would not be upset if their credit lines disappeared. In fact, of the respondents who have credit cards, nearly one-third (32 percent) say they will probably charge less in 2009. A much smaller group (only 5 percent) responded that they would be devastated with the loss of access to their credit cards.

Overcoming debt requires perseverance. The road to debt settlement may see like an endless journey. Staying informed and on top of your finances will help you reach your goals of becoming financial solvent.

Love and Money

2009-03-02T08:50:00.000-08:00

Paypal conducted a recent survey entitled "Can't Buy Me Love." Results indicated that young couples argue over money at least once per month. Below are some tips that may help newlyweds, fiancées, and couples manage their finances has they save for debt settlement.

Have The "Money Talk."

If you have recently gotten engaged or married, you may be uncomfortable talking about money issues. It is not the most important aspect in a relationship, but it is definitely a major factor. Most activities and choices that you make as a couple will involve money. For example, if you want to go on vacation or buy holiday gifts, you have to have the funds available.

During this conversation, it is best to be brutally honest about all of the financial "skeletons" in your closet. Be truthful about your amount of debt, spending weaknesses, and poor financial decisions. In order to introduce the topic, you may want to take an online quiz entitled, "Test Your Marriage Money Skills." It is offered by the Women's Institute for Financial Freedom (WIFE).

Obtain A Copy Of Your Credit Report And Credit Score.

As you and your significant other discuss money issues, you may consider obtaining a copy of your credit report. Getting financed for a mortgage or car loan will usually depend on a couple's credit score. This may also provide a road map to see which debts are still outstanding and any credit report errors that need to be corrected.

AnnualCreditReport.com provides consumers with the secure means to request and obtain a free credit report once every 12 months from each of the three major credit reporting bureaus in accordance with the Fair and Accurate Credit Transactions Act (FACT Act). Visit www.annualcreditreport.com for more details. Your free credit report obtained via this site only contains your credit disclosure, not your FICO score.

Organize Checking Accounts.

Many couples grapple with the idea of whether to have a joint checking account or keep individual accounts. We can not give you a definite answer to this question because it depends on your situation and personal preferences. The Paypal survey indicates that about half of American couples have joint checking accounts. You may consider having a joint account in which both of you can deposit money to pay for household expenses such as rent and utilities and each keep a separate account for miscellaneous costs like gas and lunch money. Balancing all of these accounts may require a lot of organizational skills. If you both agree on having just one joint account, keep the lines of communication open so both of you know when someone else is writing a check or using a debit card.

Money Does Not Equal Love.

Some couples enjoy showering each other with expensive gifts. This can become a problem if gifts are bought with credit or if basic household expenses are not met. For birthdays and other special occasions, consider making homemade gifts such as poems or framing special photographs.

New Tax Deductions

2009-02-23T08:26:00.000-08:00

New tax law changes that may help maximize your refund that help you save for your debt settlement.

Unemployment Deductions

If you lost your job in 2008, ask your tax professional about itemized tax deductions for job search expenses. According to Jackson Hewitt Tax Service, you may be eligible to deduct costs associated with travel, printing resumes, or job placement fees. If you were required to relocate for a new job, you may be able to deduct moving expenses.

Assistance Available For Those Unable To Pay Taxes

If you discover that you will not be able to pay your 2008 taxes, you may have options available. The IRS has compiled a list of questions and answers on their web site that deal with certain scenarios and financial situations. Due to the present state of the economy, some taxpayers may qualify for leniency if they owe back taxes. According to the IRS web site, financially distressed taxpayers may be eligible for suspended collection activity if they have a hardship case. For those unable to make a scheduled payment in an existing installment plan, the IRS may allow the individual to skip a payment.

Disclaimer

This is intended to give a basic overview of tax changes that may be available to you. It is not intended to replace the advice of a qualified tax professional. We recommend that you consult an experienced tax expert that may be able to help you with your individual situation.

Tax Resources

Free File: Free File Alliance companies will participate in the program run by the IRS and the Free File Alliance, a consortium of tax preparation software companies. This program is available to taxpayers that have an adjusted gross income of $56,000 or less. Each company sets its own criteria for who can use the service. Visit www.irs.gov and click on the "Free File" link on the left hand side. You can then read the requirements and search for participating companies.

VITA: The Volunteer Income Tax Assistance Program (VITA) offers free tax help to individuals with low and moderate incomes (usually $42,000 and below). VITA sites are usually located at libraries, schools, and shopping malls. Call the IRS at 1-800-TAX-1040, press option #1 followed by option #5. Ask the customer service representative for a VITA site located within your zip code.

TCE: The Tax Counseling for the Elderly (TCE) Program provides free tax help to people age 60 or older. For more information, you may also call the IRS at 1-800-TAX-1040, press #1 followed by option #5. AARP also offers the Tax-Aide counseling program for elderly individuals with low incomes. To locate the nearest AARP Tax-Aide site, call 1-888-227-7669 or visit the AARP-TaxAide site at www.aarp.org.

Household Expenses - Tips

2009-02-16T08:47:00.001-08:00

Daily expenses such as food and utilities may be taking a larger portion of our income each month. Below are some tips on how to save on a few common expenditures. Here are some tips to help you save for your debt settlement.

Energy

Wash Clothes In Cold Water

According to the Alliance to Save Energy, clothing washers and dryers may account for more than six percent of your annual energy bill. The Alliance recommends that consumers do full loads of laundry to avoid wasting water and clean dryer lint after every load to improve air circulation and quicken drying.

View Energy Tips Online

Last fall, the Department of Energy launched the web site www.energysavers.gov to help consumers be more energy efficient and save on energy costs. This site offers easy energy saving tips, financial assistance links, long-term solutions, and a blog covering energy topics. Visitors to the site can also download an energy saving to-do list and other materials.

Take Advantage Of Tax Credits

As part of the Emergency Economic Stabilization Act, energy efficiency tax credits will allow homeowners to lower their monthly home energy bills and their federal income taxes in 2009. Taxpayers have the opportunity to use tax credit up to $500 to make specific energy efficient home improvements to their insulation, exterior windows, furnace, air conditioner units, and much more.

Miscellaneous

Fix It

According to a recent survey from the Part Store, an online retailer that sells replacement parts for household appliances and electronics, 82 percent of consumers are more likely to repair a product rather than replace it in order to save money in this rough economy.

Senate Extends DTV Date

The United States Senate recently approved legislation to shift the nation's digital television transition from February 17, 2009 to June 12, 2009. This decision was made in order to better educate consumers about the transition and give households an opportunity to utilize the converter-box coupon program. Consumers with expired coupons may apply for new replacement coupons at www.dtv2009.gov or call 1-888-DTV-2009 for more information.

New Web Site Helps Keep Consumers Secure Online

The new site: www.JustAskGemalto.com is a place where people can go for advice on topics such as Internet security, online payments, password management, credit card fraud, and identity theft. As the use of digital technology broadens, consumers have a role in safeguarding their identity more than ever. This site is set up in a user-friendly question and answer format. You can find helpful answers to questions such as "What is the safest way to pay online?" or "What are common ways identity theft occurs?"

Consumers Are Still Protected When Purchasing Service Contracts

2009-02-09T12:43:00.000-08:00

According to the Service Contract Industry Council (SCIC), consumers can continue to buy and enjoy the benefits of service contracts for their electronic products durring the holiday season and beyond, with the knowledge that the contracts will still be viable and honored even if the retailer closes or files for bankruptcy. Many state legislatures across the nation have adopted or adapted the SCIC's model legislation, which among other provisions puts in place regulations -- including the requirement to buy insurance -- to protect consumers who purchase service contracts from struggling retailers.

Service contracts (sometimes referred to as extended warranties) purchased from major retailers are sold and administered by third-party service contract providers that are independent of retailers. And, according to the SCIC, a national trade association that represents the service contract industry and works to implement consumer protection regulations, these third-party providers will continue taking claims and providing service regardless of the status of the retailer that originally sold the service contract.

At Credit Answers we believe in educating our customers so they can get the credit card debt help they need. If at any point you have a credit card debt question, one of our experienced debt settlement coaches will be happy to help you live better debt free. Call 1-800-297-6417 24 Hours A Day!

Loan Modification Could Help You Save Your House

2009-02-06T07:35:00.000-08:00

What Is Loan Modification

Loan modification is restructuring your current loan to re-establish your mortgage and create a monthly mortgage payment that will work within your budget. A loan modification is not a refinance; it is an enhancment to your current mortgage loan to create a payment that you can afford. A successful loan modification will result in saving you thousands over the life of your mortgage.

Why Do A Loan Modification

If you are struggling to make your mortgage payment, already late or getting ready to loose your home. A loan modification can reduce your monthly payments to a managable level. Credit Answers will negotiate mortgage loan modifications with your lenders to help you lower your monthly payments. Credit Answers works with almost all lenders and loan types, including government loans. Call 1-866-230-4567 for a FREE consultation today!

Tricky Sales Tactics

2009-02-02T08:21:00.000-08:00

Consumers need to become aware of the tricky and misleading sales tactics used by stores to tempt you to spend more money. On the road to debt settlement you need to be aware of how you spend your money and make informed decisions about what you really need. Here are some common tricky sales practices incorporated by retailers to entice you to spend more money than you typically would.

Price Points:

According to TheStreet.com, a leading financial media company, consumers spend more money when prices end in "9". This may explain why many stores may charge $19.99 for an item, as opposed to $20. In order to keep track of your spending, it may be wise to carry a calculator while you shop so you can see the minuscule difference.

Stock-Up Sales:

Many stores offer "Buy One, Get One Free" sales. If you do not think you will use "two" of a particular item, read the store requirements. You may be able to purchase one for half of the price. Stores may also promote sales such as "5 for $9.99" or "3 for $7.98". Once again, ask yourself if you need to buy that many items. If not, do the math and figure out how much it is to buy just one.

Mail-In Rebates:

These offers can provide some savings to consumers. However, stores are expecting that most customers will not follow through with the requirements. According to Bankrate.com, at least 50% of consumers do not claim their rebates because they forget to cut off the UPC, lose the rebate form, or they just simply do not want to be bothered by all of the paperwork.

New Credit Card Rules And Regulations

2009-01-26T07:49:00.000-08:00

New Credit Card Rules

According to Demos, a public policy research organization, the recently issued rules will ban some of the bait-and-switch tactics in credit card lending. The new rules will:

• Prohibit banks from retroactively increasing the interest rate their customers must pay on existing balances
• Prohibit banks from allocating payments to lower-rate balances first to maximize finance charges
• Ban the practice of "double-cycle billing," which calculates interest over more than one month, and can result in higher finance charges
• Eliminate upfront fees on so-called fee harvesting credit cards when they eat up the majority of the available balance on the cards

What still needs to be done?

While the new rules will provide important new protections, more safeguards may be needed to address other lending practices that can make it difficult for consumers to manage their credit.

According to the Consumers Union, other reforms needed to address some of the abusive practices that hurt consumers are:

• Limiting the amount of "penalty" interest rates, and how long card companies can keep you at these extremely high rates.
• Prohibiting fees for paying a credit card by phone or internet.
• Prohibiting account-opening fees no more than 10 percent of the credit limit.
• Banning multiple over-limit fees during a single billing cycle.
• Require banks to provide consumers a reasonable amount of time to make payments.

How do these new rules affect me?
These new rules are a positive step in the right direction for consumers. Once you complete your debt settlement program, these regulations may help you make a fresh start as you strive to rebuild your credit rating. Keep in mind that it will still benefit you to practice prudent credit card use. Avoid additional interest and fees by only charging what you can afford to pay in full that month. Timely credit card payments may slowly improve your credit score.

How To Get Through A Tough Economy

2009-01-19T07:35:00.000-08:00

Have A Support System

Credit cards make it easy for consumers to live beyond their means and impress friends and family. Swiping a credit card can quickly allow you to pick up the tab for an expensive dinner or purchase extravagant gifts for special occasions. As more consumers experience the effects of the economy, you will more than likely be acquainted with people required to tighten-up their budgets instead of people who encourage overspending. Surrounding yourself with supportive individuals that understand your situation may help you persevere and achieve your financial goals to complete your debt settlement. Hopefully, frugal living will become a lasting trend even when the economy bounces back to a prosperous state.

Your Opinion Counts

Consumer Reports' latest national survey finds that more than half (56%) of respondents think that the government has not done enough for them in these tough economic times. Only 17 percent of those polled said the government needs to do more for banks and financial institutions. In the poll, 29 percent said the government went too far in bailing out the financial industry. You have the opportunity to express your views on these types of issues by calling 1-800-BAIL-OUT. Once you call the toll-free number, you will be prompted to speak and share anything on your mind about the current financial situation in America. Your message will be recorded, digitized, and uploaded to http://www.bailoutrants.com/. Other users can listen to your message and comment on it.

Achieving Financial Goals

2009-01-13T08:28:00.000-08:00

Effective debt management and achieving financial freedom are probably some goals that you consider high priorities. Below are some things to keep in mind as you continue to work towards becoming debt-free.

Stay Organized

Establish a filing system for all of your financial documents. Knowing when your bills are due and paying them on time may help you achieve your goals. Balance your checkbook and make a monthly budget. If you know how your money is being spent, you bring a clearer perspective to your financial plan. Disorganization may cause chaos and confusion, which may delay your financial goals.

Stop Trying To 'Keep Up With The Joneses'

You may know of a friend or neighbor that buys a new vehicle every few years or shops frequently for the latest gadgets. Because we live in such a consumer-driven society, it is easy to fall into this trap. Having the need to always purchase the latest and greatest can really hinder financial goals and create more debt. When compelled to spend a lot of money on items that are not necessities, keep your financial goals in mind.

Don't Get Discouraged

You may stumble upon a series of road blocks on the road to reaching your debt settlement negotation. If you encounter difficult situations remember your ultimate goal is to be free of debt. You can also contact your debt settlement company when you have any questions about your program or a problem with a specific collector.

Creditors Bugging You - Know Your Rights

2009-01-05T11:25:00.000-08:00

Charges Are Filed Against Florida Collection Agency

West Virginia Attorney General Darrell McGraw recently filed suit against Florida collection agency for unlawful, coercive debt collection practices. Beginning in 2006, consumers complained that they had received calls from this agency suggesting they would be arrested if they did not pay a cellular telephone bill. According to the lawsuit, this agency tried to coerce payments from consumers by implying that a "federal marshal" would appear at the consumer's workplace, or that a deputy sheriff would serve a warrant for the consumer's arrest. Any debt collection contact involving an accusation of a crime or similar conduct is strictly forbidden by law. Consumers also reported that this agency threatened to sue them if they did not pay. Because this particular collection agency employs no lawyers and does not file lawsuits of any kind, these threats were misleading and therefore, unlawful.

Con Artists Pose As FTC Employees

In their latest effort to defraud the public, con artists claiming to work for the Federal Trade Commission are calling consumers and claiming that they have won a lottery or sweepstakes. As the nation's consumer protection agency, the FTC never collects money directly from consumers. But the public may be fooled, because by using Internet technology, con artists can make it appear that they are calling from Washington, DC, where the FTC is headquartered. The FTC's name may even be displayed on consumers' caller ID machines. All the public has to do, according to the con artists' pitch, is pay the taxes and insurance on their "winnings." The caller asks that consumers wire money or send a check for an amount between $1,000 and $10,000. In reality, there is no prize, and the scammers disappear with the consumers' money. Real sweepstakes don't require you to send money to claim a prize.

Banks Reduce Credit Limits

2008-12-29T07:34:00.000-08:00

Recent news indicates that credit card companies may be reducing credit limits on consumer accounts in response to the troubling economy. Consumer Action, a non-profit consumer advocacy organization, conducted a study this past summer entitled, "Consumer Action's Credit Limit Survey." According to this survey, 18% of the 1,083 participants revealed that their credit limits had been lowered by their banks this year. Consumers that plan to apply for new loans or credit may also face more stringent guidelines. A July 2008 Federal Reserve Board survey indicates that 65% of domestic banks had tightened their lending standards on credit card debt loans during the previous three months.

Is this good news? For years, many credit card companies have enticed consumers to spend by increasing credit limits and charging a relatively low minimum monthly payment. The convenience of credit cards have allowed some consumers to charge luxury items they would not normally buy with cash, cover emergency expenses, or pay for necessities such as groceries or gas during tough economic times. Shrinking credit lines could be viewed as a positive step in the right direction as many consumers may be required to live below their means.

Common Financial Setbacks

2008-12-22T08:28:00.000-08:00

During your life, you will probably experience some sort of unexpected financial incident or emergency that will cause you to dip into your debt settlement savings fund. Below are some common situations that may drastically change a person's financial situation. At Credit Answers we realize that you may have your own complex set of circumstances that may require additional resources.

A Divorce Occurs

Divorce laws can be complicated and may differ by state. You may choose to seek the advice of an attorney that specializes in this field. Search for a divorce attorney in your area at Family Law Software. Under the section labeled "For Individuals Facing Divorce," click on the "Find Professionals in Our Directory" link. This site sells divorce-related software, but also offers valuable information about the divorce process. You can also check out the "Divorce Guide---A World of Help" link located under the "For Individuals Facing Divorce" column for a variety of helpful information and calculators. A certified divorce planner (CDP) may also be able to assist you. This professional is a financial planner that has completed additional training and education related to the financial issues of divorce.

A Family Member Passes Away

Coping with the loss of a loved one will undoubtedly take an emotional toll on family members. During this difficult time, most families will struggle with the unbelievable shock and grief of the situation. Therefore, finances and money will not be at the forefront of someone that recently lost a loved one. This will be a time that family members can band together to support one another in accomplishing some of the following necessary tasks.

- Locate important documents, such as insurance policies and the most recent will.
Before committing to any funeral costs, consult with other family members and perhaps a lawyer about any prior instructions or arrangements.

- Obtain multiple copies of the death certificate, which will be needed to apply for death benefits (such as life insurance policies or Social Security) and to access bank accounts.

- If the family's medical insurance is through the deceased person's employer, consider options for continuing coverage.

Making the Most of Gift Cards

2008-12-15T07:52:00.000-08:00

In recent years, gift cards have become a popular present among gift-givers. The National Retail Federation (NRF) estimates that gift card sales will total $26.3 billion this holiday season. Here are some ideas to keep in mind when using or purchasing gift cards.

Read the fine print before you buy.

Although NRF reports that 92 percent of the nation's top retailers have no expiration date or dormancy fees associated with their gift cards, it is still wise to read the fine print. Gift cards from credit card issuers such as VISA, Mastercard, and American Express are more likely to expire and tack on fees for activation, maintenance, and inactivity. This information may appear on the card itself, on the accompanying sleeve or envelope, or on the issuer's web site.

Report your card lost or stolen.

If your card is lost or stolen, report it to the issuer immediately. Some issuers will not replace the cards, but others will replace them for a fee. According to the National Retail Federation, improved technology has allowed some retailers to reissue lost gift cards if consumers have the original purchase receipt. Some stores also encourage gift card recipients to register their cards online so they can check their balance and receive a new card in the event that their gift card is lost or stolen.

At Credit Answers we believe in educating our customers so they can get the credit card debt help they need. If at any point you have a credit card debt question, one of our experienced debt management settlement coaches will be happy to help you live better debt free. Call 1-800-297-6417 24 Hours A Day!

Benefits of Shopping Online

2008-12-09T08:08:00.000-08:00

Malls and department stores may not be bustling with as many customers this holiday season. According to Deloitte's 23rd Annual Holiday Survey, online retailing will continue to grow this holiday season, with a record 71% of consumers spending at least part of their holiday budgets on the Internet. The survey shows that difficult economic conditions are a factor in the Internet's continued growth. More than one-third of consumers say they will shop more online in order to save on gas. In addition, because of the economic environment, more than half will be on the lookout for free shipping offers from online retailers. The tips below discuss in detail some benefits of shopping online.

Enjoy the convenience.

Before the days of online shopping, you may remember battling crowds, standing in long checkout lines, and fighting for parking spaces at a busy mall. These types of hectic environments may trigger stress and cause consumers to make impulsive or extravagant purchases. Shopping online allows you to browse the Web in the privacy of your own home. You may be more likely to make rational purchasing decisions and stay within your budget when you do not have to worry about diving on a store shelf for the last toy that is in demand. As mentioned previously, making purchases online can also help you save money on gasoline. According to a survey from the National Retail Federation, 23% of the participants claim that they shop more online because of high gas prices.

Take advantage of free shipping.

Shipping fees can be one of the hidden costs of ordering items online. However, according to a survey from the National Retail Federation, 78% of online retailers plan to offer free shipping with conditions during this holiday season. Many online stores require customers to spend a certain amount of money in order to receive free shipping. This is a great perk, but be careful of using free shipping as an excuse to buy extra items that you may not need. For example, if you only plan to spend $25, think twice before you spend $50 just to receive free shipping. Visit www.freeshipping.org for a list of offers from more than 850 stores.

At Credit Answers we believe in educating our customers so they can get the credit card debt help they need. If at any point you have a credit card debt question, one of our experienced debt management settlement coaches will be happy to help you live better debt free. Call 1-800-297-6417 24 Hours A Day!

Credit freeze laws are streamlined in certain states

2008-12-01T09:00:00.000-08:00

A security freeze gives consumers the ability to freeze or lock access to their credit files against anyone trying to open up a new account for credit or services in their name. When a security freeze is in place at all three major credit bureaus, an identity thief cannot open a new account because the potential creditor or seller of services will not be able to check the credit file. When the rightful consumer is applying for credit, he or she can lift the freeze temporarily using a PIN so legitimate applications for credit or services can be processed. Most states give the credit bureaus up to three business days to lift or remove the freeze after a consumer makes that request. As of September 1, consumers in Arizona, Idaho, New Mexico, Utah, Wyoming, and Washington, D.C., will be able to lift or remove the security freeze within 15 minutes of making an electronic request to the credit bureaus using a PIN. This same provision goes into effect in January 2009 in Delaware, Indiana, Maryland, Montana, Nebraska, and Tennessee. The rules for using a security freeze vary across the country because of different state laws governing their use.

At Credit Answers we believe in educating our customers so they can get the credit card debt help they need. If at any point you have a credit card debt question, one of our experienced debt management settlement coaches will be happy to help you live better debt free. Call 1-800-297-6417 24 Hours A Day!

Sales Techniques To Get You Into Credit Card Debt

2008-11-24T08:17:00.000-08:00

Below are a couple of sales techniques used to get you into more credit card debt.

Open an account and save.

Many chain retailers offer a store credit card to their customers. Employees are usually trained to persuade customers to complete a credit card application at the checkout counter. Sales associates persuade customers by telling them that they can save a certain percentage off of their purchase. Due to technological advances in recent years, customers will know the outcome of their application in minutes. Applicants usually just need to swipe another major credit card along with entering some other basic information into a pin pad. If approved, the cashier issues a temporary credit card so the customer can use it until they receive the plastic one in the mail. When it comes time to re-establish your credit, you may want to think twice about opening up a store account at a register. Checkout lines and retail stores are usually busy and hectic. This type of environment may cause you to make impulsive decisions. If you really want a credit card from a particular store, it may be best to think about the choice before you make a snap decision just to save 10 or 20 percent. Keeping a revolving balance on the card can quickly surpass that amount of savings. Don't bother telling the sales associate that you do not think you will get approved. Many stores will still give you the discount, but the inquiry will appear on your credit report. Too many inquiries may affect your credit rating.

Buy now and make no payment for three years.

Stores that sell furniture and large appliances are notorious for offering deferred payment sales. Receiving your purchase now and not paying for it for years may seem like a wonderful option. These sales also promote that there will be "no interest" during the deferment period, which also may sound like a great deal. However, many consumers fail to read the fine print before signing the paperwork. In most cases, these contracts state that if you wait until after the deferment period to start making payments, you will be paying the accrued interest from the date of your purchase, which can result in an outrageous amount of money. Before agreeing to this type of contract, be sure that you can pay off the balance within the deferment period. Consider the fact that your situation may change during this time and you may not be able to make payments as early as you would like. Also, consider how long it will take to pay off the balance if you simply pay the minimum. If it will take you ten years to pay off a piece of furniture by simply paying the minimum, consider what it will look like at that time.

At Credit Answers we strive to help the consumer with the proper debt help online to let them make informed decisions when it comes to debt management and debt settlement

Children & Commercialism pt2

2008-11-17T08:14:00.000-08:00

Make shopping trips a financial lesson. The effect of television commercials can surface when you take your children shopping. This gives young kids an opportunity to see all of the toys and products advertised in commercials. You are bound to hear pleas and whines begging you to buy them stuff. Consider having your kids start a master list of things they want. If they demand that you buy something for them in a store, tell them they cannot have it now. If it is really important to them, they can add it to the list. When birthdays and holidays come around, tell children they can pick a certain number of items from their master list.

Resist the urge to overindulge. As the holiday season approaches, advertisers are gearing up by airing many commercials for items that children may request on their holiday lists. There is nothing wrong with making a child smile for a special occasion, but catering to every one of their wishes may not always be a wise choice. Oftentimes, children that are showered with gifts from relatives on birthdays and various holidays become so overwhelmed that they may lose appreciation for the items. If grandparents, aunts, and uncles insist on splurging, suggest one or two toys along with savings bonds so children can learn the importance of saving for the future.

Be aware of how toys and games represent money. Certain toys and games on the market may give children misconceptions about money. Pay close attention to games that simulate a shopping experience or include play credit cards or money. These products may claim that they teach children financial responsibility, but in actuality, they may be promoting consumerism. Whether it's playing games, cooking, reading together, or just sharing space with the TV off, remember that the best thing you can give your kids is you.

At Credit Answers we believe in educating our customers so they can get the credit card debt help they need. If at any point you have a credit card debt question, one of our experienced debt management settlement coaches will be happy to help you live better debt free. Call 1-800-297-6417 24 Hours A Day!

Children & Commercialism pt1

2008-11-12T07:28:00.000-08:00

You are watching TV with your children and they see a commercial for the latest toy that features their favorite character. They will more than likely become excited and say: "I want that!" Research shows that this is how product makers want kids to react.

According to a national survey commissioned by the Center for a New American Dream, children aged 12 to 17 will ask their parents for products they have seen advertised an average of nine times until the parents finally relent.

Watching television commercials may seem like a harmless activity for children. However, companies use commercial spots and other advertising methods to promote new products to young consumers.

The Institute of Medicine reports that advertisers spent more than $10 billion targeting youth through TV ads, coupons, contests, and packaging designed for children. Exposure to an abundance of advertising can make parent and child shopping trips stressful experiences and may affect the future spending habits of children. Below are some tips to help children make smart choices in a consumer culture.

Limit TV time. According to CommonSense Media, a non-profit organization dedicated to improving media directed towards children, the average American child views 40,000 commercials each year on broadcast TV. That amounts to approximately 100 commercials per day! If you are watching TV with your children and they insist that they want a toy or product shown in a commercial, consider having a conversation with them. Tell them that you wonder if the product is really as wonderful as the commercial claims. You may also want to ask them if they currently have a toy that did not live up to its expectations or was not as fabulous as the commercial implied. This type of dialogue may help children make better purchasing decisions. If you are interested in how the amount of television and other electronic media exposure affects children, you may want to visit the web site for the Center for Screen-Time Awareness at www.screentime.org.

At Credit Answers we believe in educating our customers so they can get the credit card debt help they need. If at any point you have a credit card debt question, one of our experienced debt management settlement coaches will be happy to help you live better debt free. Call 1-800-297-6417 24 Hours A Day!

Many consumers surf for internet coupons

2008-10-29T11:24:00.000-07:00

Internet coupons are of increasing interest to consumers, according to a recent analysis by consumer and media measurement firm Scarborough Research. Eleven percent of households currently obtain coupons via the Internet, and this has increased 83 percent since 2005. However, the Sunday newspaper remains the number one place for acquiring household coupons. Fifty-three percent of households get their coupons from the Sunday newspaper. Other leading places for acquiring coupons include the mail (35 percent of households usually obtain coupons via the mail), in-store coupons (33 percent), preferred customer/loyalty cards (22 percent), in-store circulars (22 percent), weekday newspapers (17 percent), product packages (17 percent), and magazines (15 percent). All of the coupon acquisition categories have experienced growth since 2005, however none at the level of Internet coupons.

Thrifty Organizational Ideas

2008-10-22T11:12:00.000-07:00

Disorganization may cause additional stress in your life. It may also affect your finances. According to the National Association of Professional Organizers (NAPO), it costs an average of $10 per square foot to store items in your home and disorganization may cause "crisis" purchases, which involves buying duplicates of misplaced or broken items and last-minute shopping at premium prices. This does not help in reducing your debt. If your bills and mail are disorganized piles of paperwork, this could result in missed due dates and late fees.

Controlling your clutter does not always have to entail hiring a professional organizer or buying expensive bins and furniture. You may be able to use containers and objects that you already have in your home if you follow some of the tips listed below. Keep in mind that as you begin to organize, you will more than likely come across things that you no longer use. Try to sell them and make extra cash.

Is that really trash? Your family may throw away many boxes and household items each week. Before you toss something, consider if it will help organize clutter. For example, you could use empty cereal boxes to make magazine holders. (Detailed instructions are listed on this site: www.allfreecrafts.com/recycling-crafts/magazine-holder.shtml ). Empty tissue boxes can also be a solution to hold all of those plastic grocery bags. Wash empty glass jars and cans and use them to store a variety of small objects such as office supplies, craft beads, nails, or screws. Kids also can have fun decorating these types of objects. In addition to saving money and organizing your home, reusing items can also help the environment. Using a tin can as a pen holder is better on your desk than in a landfill.

Do You Have a Credit Card Emergency?

2008-10-13T11:52:00.000-07:00

When you received a new credit card, you might have thought that you would only use it for emergencies. Unfortunately, every clothing, shoe and electronics sale became a reason to use plastic cash. Too many of these alleged emergencies can cause difficult debt problems.

You may wonder what constitutes an emergency situation. Obviously, special sales would not be considered an urgent state of affairs. As you may know, department stores frequently have sales for items such as clothes and shoes. Instead of charging theses items, wait until your budget allows you to purchase them with cash. More than likely, you will discover a good sale when you are ready to buy.

If you are stranded at an airport due to bad weather, charging a hotel room is understandable. If your car breaks down, you might use your credit card to pay for repair and towing costs, especially if you need your vehicle to drive to work. If a family member becomes ill, some necessary items and services may not be covered by your health insurance, leaving you no choice but to charge medical expenses.

You may be one of many who acquired debt not because of frivolous shopping sprees, but because of numerous hardships such as the ones above. Unforeseen incidents do occur throughout most of our lives. In order to prepare for the costs associated with these surprise events, you may consider building an emergency fund. Although you are currently concentrating on fulfilling the financial requirements with your debt management company, you should also focus on saving at least $500 to $1,000 to offset the costs of life's unexpected events.

If you are close to completing the program with your debt settlement company, you may be eager to start rebuilding your credit. When you do so, open only one or two credit card accounts to use for actual emergencies and periodically to purchase items that you can afford to pay off in full each month. Showing repeated use of your card with timely payments of the total balance can only help your credit rating. Keep the charged amounts small, and make sure that they are for necessary items or services. Life can change in the matter of a day. Using most of your credit line for nonessentials today will not help you in an emergency situation tomorrow.

Debt Management Tips

2008-10-08T07:35:00.000-07:00

Here are just a few debt management tips to help you in these trying times. Credit Answers is always here to help you live better debt free

Shop around for prescription drugs:
For consumers who pay for all or most of their prescription drugs out of pocket, a new price study by Consumer Reports finds that it pays to shop around. Not only do prices vary from store to store for the same drug, but the fluctuations can be dramatic, sometimes more than $100 for the same prescription. Consumer Reports placed more than 500 calls to 163 pharmacies nationwide to gauge price differences among four prescription drugs. For example, prices ran from $29 to $85 for the drug Levoxyl (for treating hypothyroidism). Plavix, which prevents blood clots, could cost anywhere between $382-$541. Costs for generic drugs may also differ. The price range for the drug alendronate (for osteoporosis) was $124 to $306. Overall, the study revealed that Costco was the cheapest for the four drugs, followed by AARP.com and Wal-Mart. The prices at major store chains such as Rite-Aid and Walgreens could also vary depending on the geographical location.

New regulations require financial institutions and creditors to have identity theft prevention programs:
Financial institutions and creditors are now required to develop and implement written identity theft prevention programs under the new "Red Flags Rules," which is part of the Fair and Accurate Credit Transactions (FACT) Act of 2003. Under these Rules, financial institutions and creditors with covered accounts must have identity theft prevention programs in place by November 1, 2008, to identify, detect, and respond to patterns, practices, or specific activities that could indicate identity theft.

Tax-Free Days:
Visit the web site of the Federation of Tax Administrators (FTA) located at www.taxadmin.org and click on the link at the top of the page entitled "2008 State Sales Tax Holidays." Many states are waiving sales tax for back-to-school shopping.

Frugal Green Tips:
According to the U.S. Department of Energy, 75% of the energy used to power electronics in the home is consumed while the products are turned off. Consider unplugging items such as microwaves and cell phone chargers when not in use.